Nope, not fail safe, unless there is hidden information on the 120VAC actuator. The key is the MM for sensing the fan state. That can be done a couple of ways. You can pick up a contact output from the AHU controller, or someone puts in a EOLR-1 or equal that changes state when the fan motor is energized and de-energized. The MM picks that up, and its output becomes part of an AND function which tells the fire alarm control unit (FACU) "If fan is off, AND duct detector is active, trigger CM to close smoke damper". For this reason, all elements should be on emergency power, whether 701 or 702. LaGuardia has it all on a 701 system. There is a missing piece here, which should be a CM that tells the AHU to shut down. That could also be auxiliary contacts from the duct detector, if it happens to be within 3 feet of the AHU fan controller.