@sardog1, do you have any detailed reports of this actually happening? I'd love to be able to analyze the actual circumstances, determine if there's any possible chance I myself might end up in the same situation, and think through whether or not a fire is in fact the best plan.
Several good posts above, thanks all for contributing. A couple of points:
1. I originally posted this in Q&A New England (it got moved), and the questions are specific to New England. That's because AK, CO, MT, WA, even NY are really different from New England - treeline, availability of wood, weather, distance from roads, off trail terrain, etc. It's really difficult to draw conclusions for local best practices based on how someone responded to a situation in AK.
2. I've asked this same question many, many times, at WFA workshops, AMC workshops, and among all of my hiking contacts, and not a single person has even a second-hand story to tell of such a case happening in New England.
3. Submersion in difficult conditions a good distance from warmth is, in my view, immediately life-threatening. It's a situation that folks should take VERY seriously [note Lawn Sale, your situation obviously does not fall into this category]. If there's a chance you might go into the drink in such conditions, you better think very carefully about whether there's another way to go that doesn't involve submersion potential (best option), and what your plan is if you do go in. I still maintain the best response would be to get the submergee out of wet clothes, into a dry base layer and insulating layer, and either up and moving again (to generate body heat) or into some kind of shelter, depending on the circumstances. This could be accomplished in 5 minutes with a very small amount of backup/group gear.
4. I fear that inexperienced folks consider a fire to be a good backup plan if they are forced to bivy. "We don't need to cary extra clothes and shelter, I've got this magnesium strip and a piece of flint..." There are a lot of good options that require only minimal extra gear that will increase your odds of survival far more than a fire.
5. A fire is TREMENDOUSLY comforting. I love having a fire. I heat my house with a wood stove, have a fire pit in my backyard, and have been experimenting with fire starting techniques since I was 5 (much to my parents' chagrin). Once a given situation has been stabilized, a fire can provide a very useful moral boost. This should not be confused with the life-saving actions that come before it.
I'd still love to hear if anyone has a New England fire experience that they feel was life-saving. So far, I get the impression that case is exceedingly rare or nonexistant.