A00857 Summary:

BILL NO    A00857B

SAME AS    SAME AS S03951-B

SPONSOR    Cahill (MS)

COSPNSR    

MLTSPNSR   Cusick

Amd S89-a, Nav L

Creates the Hudson River pilots surcharge board; provides that the board shall
determine the rate of surcharge to be applied and benefits provided to Hudson
River pilots.
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A00857 Actions:

BILL NO    A00857B

01/07/2015 referred to transportation
02/17/2015 amend (t) and recommit to transportation
02/17/2015 print number 857a
06/11/2015 amend and recommit to transportation
06/11/2015 print number 857b
06/17/2015 reported referred to ways and means
06/17/2015 reported referred to rules
06/18/2015 reported 
06/18/2015 rules report cal.637
06/18/2015 substituted by s3951b
           S03951  AMEND=B  LARKIN
           02/24/2015 REFERRED TO CULTURAL AFFAIRS, TOURISM, PARKS AND RECREATION
           05/20/2015 1ST REPORT CAL.855
           05/27/2015 2ND REPORT CAL.
           05/28/2015 AMENDED 3951A
           05/28/2015 ADVANCED TO THIRD READING 
           06/15/2015 AMENDED ON THIRD READING 3951B
           06/18/2015 PASSED SENATE
           06/18/2015 DELIVERED TO ASSEMBLY
           06/18/2015 referred to ways and means
           06/18/2015 substituted for a857b
           06/18/2015 ordered to third reading rules cal.637
           06/18/2015 passed assembly
           06/18/2015 returned to senate
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A00857 Votes:

There are no votes for this bill in this legislative session.
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A00857 Memo:

BILL NUMBER:A857B

TITLE OF BILL:

An act to amend the navigation law, in relation to the creation of a
Hudson River pilots surcharge board; and to amend the navigation law,
in relation to time restrictions on continuous pilotage on vessels
transiting the Hudson River

PURPOSE OR GENERAL IDEA OF BILL:

To establish a surcharge on vessels piloted by the Hudson River Pilots
for the purpose of creating a pension fund for Hudson River Pilots.

SUMMARY OF SPECIFIC PROVISIONS:

Section two of the bill amends the Navigation Law S 89-a (1) (b) (1)
to add a new subdivision (ii) to establish a surcharge on every
foreign and American vessel under navigating the waters of the Hudson
River including Section 1 (Lower River - Yonkers to all ports through
Hyde Park) and Section 2 (Upper River - Yonkers to all ports beyond
Hyde Park through Albany or Troy). The charges will increase to a
stated amount every twelve months for four years.

Section three is amended to create a Hudson River pilots surcharge
board to determine the rate of the surcharge that will be levied in
addition to the base surcharge in order to fund the retirement
benefits for Hudson River pilots on a sound actuarial basis. The
additional surcharge will be raised to a set amount every twelve
months until sixty months have passed, at which point the Hudson River
pilots surcharge board will determine its amount using actuarial
principles and not allowing it to exceed 35 percent of the sum of base
pilotage charges or $5,000 in a calendar year. Retirement benefits
accumulating from the additional surcharge will pay a yearly
retirement benefit to Hudson River Pilots and eligible surviving
spouses.

JUSTIFICATION:

Currently, pensions of Hudson River Pilots are financed out of annual
revenues and determined by pilot earnings. This current pension System
creates an unfunded pension liability. This legislation is intended to
correct the unfunded liability and replace it with an actuarially
sound system. Sandy Hook Pilots already have legislation in place that
has successfully accomplished a strengthening of their pension system.
With a shortage of pilots on the Hudson River, a stronger pension may
reward and encourage those who put the effort into becoming pilots.

The current pilotage tariff will continue to cover all operational
expenses and distribution to pilots. This still does not grant an
increase in earnings to pilots. The legislation will establish a
pension surcharge to be determined by the Hudson River pilots
surcharge board. The surcharge will be monitored quarterly by the
Surcharge Board and adjusted as necessary to cover the pensions of
Hudson River Pilots.

PRIOR LEGISLATIVE HISTORY:


2013-2014: A.7912 - Referred to Transportation

FISCAL IMPLICATIONS:

None to the State.

EFFECTIVE DATE:

This act shall take effect on the ninetieth day after it shall have
become law.
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A00857 Text:

                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________

                                        857--B

                              2015-2016 Regular Sessions

                                 I N  A S S E M B L Y

                                    January 7, 2015
                                      ___________

       Introduced  by  M. of A. CAHILL -- Multi-Sponsored by -- M. of A. CUSICK
         -- read once and  referred  to  the  Committee  on  Transportation  --
         committee  discharged,  bill amended, ordered reprinted as amended and
         recommitted to said committee -- again reported  from  said  committee
         with  amendments, ordered reprinted as amended and recommitted to said
         committee

       AN ACT to amend the navigation law, in relation to  the  creation  of  a
         Hudson  River pilots surcharge board; and to amend the navigation law,
         in relation to time restrictions on  continuous  pilotage  on  vessels
         transiting the Hudson River

         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:

    1    Section 1. Paragraph (a) of subdivision 4 of section 89-a of the navi-
    2  gation law, as added by chapter 197 of the laws of 1990, is  amended  to
    3  read as follows:
    4    (a)  Every  foreign  vessel  and  every American vessel under register
    5  navigating the waters of that portion of the Hudson river  specified  in
    6  this  section  shall  be  subject  to BASE pilotage [fees, at the] rates
    7  hereinafter specified in this subdivision:
    8    S 2. Subparagraph 1 of paragraph (b) of subdivision 4 of section  89-a
    9  of the navigation law, as amended by chapter 392 of the laws of 2006, is
   10  amended to read as follows:
   11    (1)  (I)  All  vessels of 100 pilotage units and over shall pay $12.17
   12  per pilotage unit for Section 1, Lower  River;  Yonkers,  to  all  ports
   13  through Hyde Park.
   14  The following charges shall be applicable to Section 1, Lower River:

   15  Up to 50 pilotage units ........................................ $852.97
   16  More than 50 and up to 100 pilotage units ..................... $1217.00
   17  All vessels of 100 pilotage units and over shall pay ............ $17.19

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD04664-09-5
       A. 857--B                           2

    1  per  pilotage  unit  for  Section  2, Upper River; Yonkers, to all ports
    2  beyond Hyde Park through Albany or Troy.

    3  The following charges shall be applicable to Section 2, Upper River:
    4  Up to 50 pilotage units ....................................... $1406.05
    5  More than 50 and up to 100 pilotage units ..................... $1719.00
    6  A maximum charge of up to 500 pilotage units shall be applicable.
    7    (II) TWELVE MONTHS AFTER THE EFFECTIVE DATE OF THIS CLAUSE THE FOLLOW-
    8  ING BASE PILOTAGE RATES SHALL BE APPLICABLE:
    9    ALL  VESSELS OF 100 PILOTAGE UNITS AND OVER SHALL PAY $12.41 PER PILO-
   10  TAGE UNIT FOR SECTION 1, LOWER RIVER; YONKERS, TO ALL PORTS THROUGH HYDE
   11  PARK.
   12  THE FOLLOWING BASE PILOTAGE RATES SHALL  BE  APPLICABLE  TO  SECTION  1,
   13  LOWER RIVER:

   14  UP TO 50 PILOTAGE UNITS ........................................ $870.03
   15  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1241.00
   16  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS
   17  SHALL BE APPLICABLE.
   18  ALL  VESSELS  OF  100  PILOTAGE UNITS AND OVER SHALL PAY A BASE PILOTAGE
   19  RATE OF .......................................................... 17.53
   20  PER PILOTAGE UNIT FOR SECTION 2,
   21  UPPER RIVER; YONKERS, TO ALL PORTS BEYOND HYDE
   22  PARK THROUGH ALBANY OR TROY.
   23  THE FOLLOWING BASE PILOTAGE RATES SHALL  BE  APPLICABLE  TO  SECTION  2,
   24  UPPER RIVER:
   25  UP TO 50 PILOTAGE UNITS ....................................... $1434.17
   26  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1753.00
   27  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS SHALL BE APPLICABLE.
   28    (III)  TWENTY-FOUR  MONTHS AFTER THE EFFECTIVE DATE OF THIS CLAUSE THE
   29  FOLLOWING BASE PILOTAGE RATES SHALL BE APPLICABLE:
   30    ALL VESSELS OF 100 PILOTAGE UNITS AND OVER SHALL PAY $12.66 PER  PILO-
   31  TAGE UNIT FOR SECTION 1, LOWER RIVER; YONKERS, TO ALL PORTS THROUGH HYDE
   32  PARK.
   33  THE  FOLLOWING  BASE  PILOTAGE  RATES  SHALL BE APPLICABLE TO SECTION 1,
   34  LOWER RIVER:

   35  UP TO 50 PILOTAGE UNITS ........................................ $887.43
   36  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1266.00
   37  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS SHALL BE APPLICABLE.
   38  ALL VESSELS OF 100 PILOTAGE UNITS AND OVER SHALL  PAY  A  BASE  PILOTAGE
   39  RATE OF ......................................................... $17.88
   40  PER  PILOTAGE  UNIT  FOR  SECTION  2, UPPER RIVER; YONKERS, TO ALL PORTS
   41  BEYOND HYDE PARK THROUGH ALBANY OR TROY.
   42  THE FOLLOWING BASE PILOTAGE RATES SHALL  BE  APPLICABLE  TO  SECTION  2,
   43  UPPER RIVER:
   44  UP TO 50 PILOTAGE UNITS ....................................... $1462.85
   45  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1788.00
   46  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS SHALL BE APPLICABLE.
   47    (IV)  THIRTY-SIX  MONTHS  AFTER  THE EFFECTIVE DATE OF THIS CLAUSE THE
   48  FOLLOWING BASE PILOTAGE RATES SHALL BE APPLICABLE:
   49    ALL VESSELS OF 100 PILOTAGE UNITS AND OVER SHALL PAY $12.85 PER  PILO-
   50  TAGE UNIT FOR SECTION 1, LOWER RIVER; YONKERS, TO ALL PORTS THROUGH HYDE
   51  PARK.
   52  THE  FOLLOWING  BASE  PILOTAGE  RATES  SHALL BE APPLICABLE TO SECTION 1,
   53  LOWER RIVER:
       A. 857--B                           3

    1  UP TO 50 PILOTAGE UNITS ........................................ $900.74
    2  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1285.00
    3  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS SHALL BE APPLICABLE.
    4  ALL  VESSELS  OF  100  PILOTAGE UNITS AND OVER SHALL PAY A BASE PILOTAGE
    5  RATE OF ......................................................... $18.15
    6  PER PILOTAGE UNIT FOR SECTION 2, UPPER  RIVER;  YONKERS,  TO  ALL  PORTS
    7  BEYOND HYDE PARK THROUGH ALBANY OR TROY.
    8  THE  FOLLOWING  BASE  PILOTAGE  RATES  SHALL BE APPLICABLE TO SECTION 2,
    9  UPPER RIVER:
   10  UP TO 50 PILOTAGE UNITS ....................................... $1484.48
   11  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1815.00
   12  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS SHALL BE APPLICABLE.
   13    (V) FORTY-EIGHT MONTHS AFTER THE EFFECTIVE DATE  OF  THIS  CLAUSE  THE
   14  FOLLOWING BASE PILOTAGE RATES SHALL BE APPLICABLE:
   15    ALL  VESSELS OF 100 PILOTAGE UNITS AND OVER SHALL PAY $13.07 PER PILO-
   16  TAGE UNIT FOR SECTION 1, LOWER RIVER; YONKERS, TO ALL PORTS THROUGH HYDE
   17  PARK.
   18  THE FOLLOWING BASE PILOTAGE RATES SHALL  BE  APPLICABLE  TO  SECTION  1,
   19  LOWER RIVER:
   20  UP TO 50 PILOTAGE UNITS ........................................ $914.25
   21  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1307.00
   22  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS SHALL BE APPLICABLE.
   23  ALL  VESSELS  OF  100  PILOTAGE UNITS AND OVER SHALL PAY A BASE PILOTAGE
   24  RATE OF ......................................................... $18.42
   25  PER PILOTAGE UNIT FOR SECTION 2, UPPER  RIVER;  YONKERS,  TO  ALL  PORTS
   26  BEYOND HYDE PARK THROUGH ALBANY OR TROY.
   27  THE  FOLLOWING  BASE  PILOTAGE  RATES  SHALL BE APPLICABLE TO SECTION 2,
   28  UPPER RIVER:
   29  UP TO 50 PILOTAGE UNITS ....................................... $1507.07
   30  MORE THAN 50 AND UP TO 100 PILOTAGE UNITS ..................... $1842.00
   31  A MAXIMUM CHARGE OF UP TO 500 PILOTAGE UNITS SHALL BE APPLICABLE.
   32    S 3. Paragraph (b) of subdivision 4 of section 89-a of the  navigation
   33  law  is  amended  by adding two new subparagraphs 1-b and 1-c to read as
   34  follows:
   35    (1-B) THERE IS HEREBY CREATED A HUDSON RIVER  PILOTS  SURCHARGE  BOARD
   36  WHICH SHALL DETERMINE THE RATE OF THE SURCHARGE PROVIDED IN SUBPARAGRAPH
   37  ONE-C OF THIS PARAGRAPH. THE SURCHARGE BOARD SHALL DETERMINE ELIGIBILITY
   38  FOR BENEFITS PURSUANT TO SUBDIVISIONS FIVE AND EIGHT OF THIS SECTION.
   39    THE  HUDSON  RIVER PILOTS SURCHARGE BOARD SHALL CONSIST OF TWO MEMBERS
   40  AS FOLLOWS: THE PRESIDENT OF THE BOARD OF COMMISSIONERS OF PILOTS OF THE
   41  STATE OF NEW YORK, OR HIS OR HER DESIGNEE FROM THE BOARD OF  COMMISSION-
   42  ERS, AND THE PRESIDENT OF THE HUDSON RIVER PILOTS ASSOCIATION, OR HIS OR
   43  HER  DESIGNEE WHO MUST BE A MEMBER OF SUCH ASSOCIATION. IN THE EVENT THE
   44  TWO MEMBERS CANNOT REACH A DECISION  ON  THE  SURCHARGE  RATE,  A  THIRD
   45  MEMBER  SHALL  BE  APPOINTED BY THE TWO MEMBERS FROM A LIST SUBMITTED BY
   46  THE SOCIETY OF MARITIME ARBITRATORS FROM ITS LISTS OF  COMMERCIAL  ARBI-
   47  TRATORS.  IF,  AFTER  SUBMISSION  OF SUCH A LIST, THE TWO MEMBERS OF THE
   48  BOARD FAIL TO AGREE UPON A SINGLE ARBITRATOR AS THE THIRD  MEMBER,  THEN
   49  THE  SOCIETY  OF  MARITIME ARBITRATORS SHALL BE AUTHORIZED TO SELECT AND
   50  SUBMIT THE NAME OF THE THIRD MEMBER FOR APPOINTMENT. SUCH  THIRD  MEMBER
   51  SHALL  BE  APPOINTED  WITHIN TEN DAYS OF A DEADLOCKED VOTE OF THE HUDSON
   52  RIVER PILOTS SURCHARGE BOARD. SUCH MEMBERS SHALL VOTE AT MEETINGS CALLED
   53  UPON WRITTEN NOTICE MAILED SEVEN CALENDAR DAYS IN ADVANCE OF  THE  MEET-
   54  ING, TO DETERMINE THE RATE OF SURCHARGE, ASSISTED AS NECESSARY BY QUALI-
   55  FIED  ACTUARIES OR ACCOUNTANTS, AUTHORIZED IN CLAUSE (I) OF SUBPARAGRAPH
   56  ONE-C OF THIS PARAGRAPH DURING EACH CALENDAR QUARTER IN TIME  SUFFICIENT
       A. 857--B                           4

    1  FOR SUCH SURCHARGE TO BE IN EFFECT ON THE FOLLOWING JANUARY FIRST, APRIL
    2  FIRST,  JULY  FIRST,  AND OCTOBER FIRST OF EACH YEAR.  WRITTEN NOTICE OF
    3  MEETINGS MAY BE WAIVED IF DONE SO WITH UNANIMOUS CONSENT  OF  ALL  BOARD
    4  MEMBERS.  MEMBERS  OF  THE  HUDSON RIVER PILOTS SURCHARGE BOARD SHALL BE
    5  SUBJECT TO SECTION SEVENTEEN OF THE PUBLIC OFFICERS LAW.
    6    (1-C) (I) IN ADDITION TO THE BASE PILOTAGE CHARGE SET FORTH IN SUBPAR-
    7  AGRAPH ONE OF THIS PARAGRAPH, THERE IS HEREBY ESTABLISHED A SURCHARGE ON
    8  EVERY FOREIGN VESSEL AND EVERY AMERICAN VESSEL UNDER REGISTER NAVIGATING
    9  THAT PORTION OF  THE  HUDSON  RIVER  SPECIFIED  IN  THIS  SECTION.  SUCH
   10  SURCHARGE,  AS DETERMINED QUARTERLY BY THE HUDSON RIVER PILOTS SURCHARGE
   11  BOARD, SHALL BE IMPOSED FOR THE EXCLUSIVE PURPOSE OF THE FUNDING,  ON  A
   12  SOUND  ACTUARIAL BASIS, THE RETIREMENT BENEFITS FOR HUDSON RIVER PILOTS,
   13  DESCRIBED IN CLAUSE (II) OF THIS SUBPARAGRAPH.
   14    (II) THE AMOUNT OF THE SURCHARGE  DESCRIBED  IN  CLAUSE  (I)  OF  THIS
   15  SUBPARAGRAPH SHALL BE COMPUTED AS FOLLOWS:

   16  PILOTAGE UNITS       SURCHARGE
   17  0 TO 50              $113.00
   18  51 TO 100            $138.00
   19  OVER 100             $1.38 PER PILOT UNIT

   20  DURING THE FIRST TWELVE MONTHS AFTER THE EFFECTIVE DATE OF THIS SUBPARA-
   21  GRAPH.
   22    THE  AMOUNT  OF THE SURCHARGE DESCRIBED IN CLAUSE (I) OF THIS SUBPARA-
   23  GRAPH SHALL BE COMPUTED AS FOLLOWS:

   24  PILOTAGE UNITS       SURCHARGE
   25  0 TO 50              $170.00
   26  51 TO 100            $207.00
   27  OVER 100             $2.07 PER PILOT UNIT

   28  DURING THE PERIOD BEGINNING WITH THE THIRTEENTH MONTH  AND  ENDING  WITH
   29  THE TWENTY-FOURTH MONTH AFTER THE EFFECTIVE DATE OF THIS SUBPARAGRAPH.
   30    THE  AMOUNT  OF THE SURCHARGE DESCRIBED IN CLAUSE (I) OF THIS SUBPARA-
   31  GRAPH SHALL BE COMPUTED AS FOLLOWS:

   32  PILOTAGE UNITS       SURCHARGE
   33  0 TO 50              $213.00
   34  51 TO 100            $260.00
   35  OVER 100             $2.60 PER PILOT UNIT

   36  DURING THE PERIOD BEGINNING WITH THE TWENTY-FIFTH MONTH AND ENDING  WITH
   37  THE THIRTY-SIXTH MONTH AFTER THE EFFECTIVE DATE OF THIS SUBPARAGRAPH.
   38    THE  AMOUNT  OF THE SURCHARGE DESCRIBED IN CLAUSE (I) OF THIS SUBPARA-
   39  GRAPH SHALL BE COMPUTED AS FOLLOWS:
   40  PILOTAGE UNITS      SURCHARGE
   41  0-50                $250.00
   42  51-100              $305.00
   43  OVER 100            $  3.05 PER PILOT UNIT
   44  DURING THE PERIOD BEGINNING WITH THE  THIRTY-SEVENTH  MONTH  AND  ENDING
   45  WITH  THE  FORTY-EIGHTH  MONTH AFTER THE EFFECTIVE DATE OF THIS SUBPARA-
   46  GRAPH.
   47    THE AMOUNT OF THE SURCHARGE DESCRIBED IN CLAUSE (I) OF  THIS  SUBPARA-
   48  GRAPH SHALL BE COMPUTED AS FOLLOWS:
   49  PILOTAGE UNITS      SURCHARGE
   50  0-50                $280.00
       A. 857--B                           5

    1  51-100              $341.00
    2  OVER 100            $  3.41 PER PILOT UNIT
    3  DURING  THE  PERIOD BEGINNING WITH THE FORTY-NINTH MONTH AND ENDING WITH
    4  THE SIXTIETH MONTH AFTER THE EFFECTIVE DATE OF THIS SUBPARAGRAPH.
    5    (III) FOLLOWING THE SIXTIETH MONTH AFTER THE EFFECTIVE  DATE  OF  THIS
    6  SUBPARAGRAPH, THE AMOUNT OF THE SURCHARGE AS DETERMINED BY THE SURCHARGE
    7  BOARD  SHALL NOT EXCEED THE GREATER OF THIRTY-FIVE PERCENT OF THE SUM OF
    8  THE BASE PILOTAGE CHARGES COLLECTED PURSUANT TO THE RATE  SET  FORTH  IN
    9  THIS  SUBPARAGRAPH  FOR  SECTION  2,  UPPER RIVER; YONKERS, TO ALL PORTS
   10  BEYOND HYDE PARK THROUGH ALBANY OR TROY, AS  AMENDED,  OR  FIVE  HUNDRED
   11  THOUSAND DOLLARS, IN ANY CALENDAR YEAR.
   12    (IV)  THE  SCALE OF CHARGES SET FORTH IN THIS SUBPARAGRAPH IS DEEMED A
   13  PILOTAGE  FEE  AND  SHALL  BE  SUBJECT  TO  THE  PROVISIONS  OF  SECTION
   14  NINETY-FIVE OF THIS ARTICLE.
   15    (V)  (A)  THE  PROCEEDS  OF THE SURCHARGE PROVIDED FOR IN THIS SECTION
   16  SHALL BE DEPOSITED IN AN ACCOUNT MAINTAINED BY THE HUDSON  RIVER  PILOTS
   17  ASSOCIATION FOR THE BENEFIT OF HUDSON RIVER PILOTS ELIGIBLE FOR BENEFITS
   18  AS PROVIDED IN THIS CLAUSE, FROM WHICH ACCOUNT ALL SUCH BENEFITS AND THE
   19  REASONABLE EXPENSES FOR ADMINISTRATION THEREOF SHALL BE PAID. THE MONIES
   20  ON  DEPOSIT  IN  SUCH  ACCOUNT  SHALL  BE  REFERRED  TO HEREAFTER AS THE
   21  "RETIREMENT ASSETS". ALL RETIREMENT ASSETS SHALL BE USED EXCLUSIVELY  TO
   22  PAY A YEARLY TARGET RETIREMENT BENEFIT TO (I) HUDSON RIVER PILOTS ACTIVE
   23  ON  THE  DATE  PILOTAGE RATES ARE COMPUTED PURSUANT TO THIS SUBPARAGRAPH
   24  AND THEREAFTER, UPON RETIREMENT ON OR  AFTER  THE  AGE  OF  SIXTY;  (II)
   25  RETIRED HUDSON RIVER PILOTS OR HUDSON RIVER PILOTS RECEIVING BENEFITS ON
   26  THE  EFFECTIVE  DATE  OF  THIS  SECTION; AND (III) TO ELIGIBLE SURVIVING
   27  SPOUSES OF RETIRED PILOTS.
   28    (B) HUDSON RIVER PILOTS WHO ARE ALSO SANDY  HOOK  PILOTS  ELIGIBLE  TO
   29  RECEIVE A FULL BRANCH RETIREMENT BENEFIT UNDER ITEM (B) OF SUBCLAUSE ONE
   30  OF  CLAUSE (II) OF SUBPARAGRAPH ONE OF PARAGRAPH (B) OF SUBDIVISION FOUR
   31  OF SECTION EIGHTY-EIGHT OF THIS ARTICLE SHALL BE EXCLUDED FROM RECEIVING
   32  ANY BENEFITS SPECIFIED IN SUBDIVISION FIVE OF THIS SECTION.
   33    (C) NO INDIVIDUAL OTHER THAN THOSE SPECIFIED IN SUBCLAUSE (A) OF  THIS
   34  CLAUSE  SHALL  BE  ELIGIBLE  FOR  BENEFITS  PURSUANT  TO  THE  SURCHARGE
   35  DESCRIBED IN CLAUSE (I) OF THIS SUBPARAGRAPH WITHOUT THE APPROVAL OF THE
   36  HUDSON RIVER PILOTS SURCHARGE BOARD.
   37    (D) THE FUNDS GENERATED BY THE SURCHARGE IMPOSED BY CLAUSE (I) OF THIS
   38  SUBPARAGRAPH SHALL BE ADMINISTERED BY THE  EXECUTIVE  COMMITTEE  OF  THE
   39  HUDSON  RIVER  PILOTS ASSOCIATION, OR ANY SUCCESSORS THERETO.  ANY FUNDS
   40  GENERATED BY THE SURCHARGE IMPOSED BY CLAUSE (I)  OF  THIS  SUBPARAGRAPH
   41  WHICH  EXCEED  THE  FUNDS  DEEMED SUFFICIENT TO PROVIDE THE BENEFITS SET
   42  FORTH IN ITEMS (I) AND (III) OF SUBCLAUSE (A) OF THIS  CLAUSE  SHALL  BE
   43  USED TO DEFRAY THE RETIREMENT BENEFITS SET FORTH IN THIS SUBCLAUSE.
   44    (E)  THE  SURCHARGES PURSUANT TO CLAUSE (I) OF THIS SUBPARAGRAPH SHALL
   45  BE COLLECTED BY THE AGENT OF THE HUDSON RIVER  PILOTS.  FUNDS  GENERATED
   46  FOR  THESE  PURPOSES SHALL BE AUDITED ANNUALLY BY THE SURCHARGE BOARD TO
   47  ENSURE PROPER FUNDING FOR THE PURPOSES SET FORTH IN CLAUSE (I)  OF  THIS
   48  SUBPARAGRAPH.
   49    S  4. Section 89-a of the navigation law is amended by adding five new
   50  subdivisions 5, 6, 7, 8 and 9 to read as follows:
   51    5. EACH HUDSON RIVER PILOT WHO ENTERED SERVICE AFTER TWO THOUSAND FIVE
   52  AS A HUDSON RIVER PILOT SHALL PARTICIPATE IN SUCH  QUALIFIED  RETIREMENT
   53  PROGRAM  AS ADOPTED BY EACH SUCH PILOT AND FUNDED BY SUCH PORTION OF THE
   54  SURCHARGE ALLOCATED THERETO BY THE SURCHARGE BOARD TO PROVIDE A CONTRIB-
   55  UTION OF AN AMOUNT EQUIVALENT TO TWELVE PERCENT  OF  THE  EARNINGS  FROM
   56  SERVICE  AS  AN  ACTIVE  HUDSON RIVER PILOT BASED UPON THE BASE PILOTAGE
       A. 857--B                           6

    1  TARIFFS SET FORTH IN SUBPARAGRAPH ONE-C OF PARAGRAPH (B) OF  SUBDIVISION
    2  FOUR  OF THIS SECTION.  SUCH AMOUNT SHALL BE TRANSFERRED DIRECTLY BY THE
    3  AGENT TO SUCH PILOT'S RETIREMENT ACCOUNT, IT BEING UNDERSTOOD THAT  SUCH
    4  PILOT'S ENTIRE RETIREMENT BENEFIT WILL BE PROVIDED SOLELY BY THE ACCOUNT
    5  BALANCE  OF  SUCH RETIREMENT ACCOUNT ON THE DATE OF RETIREMENT. IN ADDI-
    6  TION, SUCH SURCHARGE SHALL BE  USED  TO  PURCHASE  LIFE  AND  DISABILITY
    7  INSURANCE COVERAGE FROM AN INSURANCE COMPANY SELECTED BY THE BOARD. SUCH
    8  DISABILITY  INSURANCE  SHALL  PROVIDE A DISABILITY BENEFIT COMPUTED AS A
    9  SINGLE LIFE ANNUITY, EQUAL TO FIFTY PERCENT OF THE AMOUNT WHICH IS EQUAL
   10  TO SUCH PILOT'S EARNINGS FROM SERVICE AS AN ACTIVE  HUDSON  RIVER  PILOT
   11  BASED  UPON THE BASE PILOTAGE TARIFFS SET FORTH IN SUBPARAGRAPH ONE-C OF
   12  PARAGRAPH (B) OF SUBDIVISION FOUR OF THIS SECTION DURING THE  LAST  FULL
   13  CALENDAR  YEAR OF SERVICE AS AN ACTIVE HUDSON RIVER PILOT PRIOR TO DISA-
   14  BILITY, UNTIL THE AGE OF SIXTY. IN THE EVENT SUCH  DISABILITY  INSURANCE
   15  IS  UNAVAILABLE,  EACH  SUCH PILOT ELIGIBLE FOR SICK RETIREMENT BENEFITS
   16  SHALL RECEIVE, A YEARLY BENEFIT COMPUTED AS A SINGLE LIFE ANNUITY  EQUAL
   17  TO  THE  SUM OF TEN PERCENT OF THE AMOUNT WHICH IS EQUAL TO THE EARNINGS
   18  FROM SERVICE AS AN ACTIVE HUDSON RIVER PILOT  BASED  UPON  THE  PILOTAGE
   19  TARIFFS  SET FORTH IN SUBPARAGRAPH ONE-C OF PARAGRAPH (B) OF SUBDIVISION
   20  FOUR OF THIS SECTION DURING THE LAST FULL CALENDAR YEAR OF SERVICE AS AN
   21  ACTIVE HUDSON RIVER PILOT PRIOR TO DISABILITY  AND  ONE  AND  SIX-TENTHS
   22  PERCENT  FOR  EACH  YEAR OF SERVICE AFTER THE FIRST YEAR TO A MAXIMUM OF
   23  FIFTY PERCENT OF THE AMOUNT WHICH IS EQUAL TO THE EARNINGS FROM  SERVICE
   24  AS AN ACTIVE HUDSON RIVER PILOT BASED UPON THE BASE PILOTAGE TARIFFS SET
   25  FORTH IN SUBPARAGRAPH ONE-C OF PARAGRAPH (B) OF SUBDIVISION FOUR OF THIS
   26  SECTION  DURING  THE  LAST  FULL  CALENDAR  YEAR OF SERVICE AS AN ACTIVE
   27  HUDSON RIVER PILOT PRIOR TO DISABILITY, UNTIL THE AGE OF SIXTY.
   28    6. HUDSON RIVER  PILOTS  WHO  RETIRED  BEFORE  NINETEEN  EIGHTY  SHALL
   29  RECEIVE  AN ANNUAL RETIREMENT BENEFIT IN THE AMOUNT OF THIRTY-FOUR THOU-
   30  SAND NINE HUNDRED NINETY-FIVE DOLLARS; THOSE WHO RETIRED  FROM  NINETEEN
   31  EIGHTY-ONE  THROUGH  NINETEEN  NINETY SHALL RECEIVE AN ANNUAL RETIREMENT
   32  BENEFIT IN THE AMOUNT OF THIRTY-NINE THOUSAND NINE  HUNDRED  NINETY-FIVE
   33  DOLLARS;  THOSE WHO RETIRED FROM NINETEEN HUNDRED NINETY-ONE THROUGH TWO
   34  THOUSAND SHALL RECEIVE AN ANNUAL RETIREMENT BENEFIT  IN  THE  AMOUNT  OF
   35  FORTY-FOUR  THOUSAND NINE HUNDRED NINETY-FOUR DOLLARS; THOSE WHO RETIRED
   36  IN TWO THOUSAND ONE SHALL RECEIVE AN ANNUAL RETIREMENT  BENEFIT  IN  THE
   37  AMOUNT  OF  FIFTY-EIGHT  THOUSAND FOUR HUNDRED NINETY-TWO DOLLARS; THOSE
   38  WHO RETIRED IN TWO THOUSAND EIGHT SHALL  RECEIVE  AN  ANNUAL  RETIREMENT
   39  BENEFIT  IN  THE  AMOUNT  OF FIFTY-NINE THOUSAND NINE HUNDRED NINETY-TWO
   40  DOLLARS; THOSE WHO RETIRED IN TWO THOUSAND TEN SHALL RECEIVE  AN  ANNUAL
   41  RETIREMENT  BENEFIT  IN  THE  AMOUNT OF FORTY-NINE THOUSAND NINE HUNDRED
   42  NINETY-THREE DOLLARS; AN ACTIVE HUDSON RIVER PILOT  WHO  RETIRES  BEFORE
   43  TWO  THOUSAND  SIXTEEN SHALL RECEIVE AN ANNUAL RETIREMENT BENEFIT IN THE
   44  AMOUNT OF EIGHTY-FOUR THOUSAND SIX HUNDRED DOLLARS.
   45    7. (A) A HUDSON RIVER PILOT ELIGIBLE FOR BENEFITS SET FORTH IN  SUBDI-
   46  VISION  FIVE  OF  THIS  SECTION,  WHO  RETIRES, SHALL NOT BE ENTITLED TO
   47  COMMENCE RECEIVING  BENEFITS  UNTIL  THE  COMMENCEMENT  OF  THE  BENEFIT
   48  PAYMENT  PERIOD  NEXT  FOLLOWING THE DATE ON WHICH SUCH PILOT RETIRED OR
   49  BECAME ELIGIBLE  FOR  DISABILITY  RETIREMENT  BENEFITS.  FOR  ACCOUNTING
   50  PURPOSES,  THE  BENEFIT PAYMENT PERIODS SHALL CONSIST OF A FULL CALENDAR
   51  QUARTER COMMENCING ON JANUARY FIRST, APRIL FIRST, JULY FIRST, AND  OCTO-
   52  BER FIRST OF EACH YEAR, BUT THE FIRST PAYMENTS OF BENEFITS SHALL BE MADE
   53  DURING THE MONTHS OF MARCH, JUNE, SEPTEMBER, AND DECEMBER.
   54    (B)  NO  ACTIVE  HUDSON  RIVER PILOT SHALL COMMENCE RECEIVING BENEFITS
   55  UNTIL A PROPERLY COMPLETED RESIGNATION AS AN ACTIVE PILOT  SPECIFYING  A
   56  PROPOSED  DATE OF RETIREMENT HAS BEEN SUBMITTED IN WRITING TO THE HUDSON
       A. 857--B                           7

    1  RIVER PILOTS EXECUTIVE COMMITTEE, OR SUCCESSOR THERETO, PRIOR TO  NOVEM-
    2  BER  FIRST, IF RETIREMENT IS TO BECOME EFFECTIVE ON THE FIRST DAY OF THE
    3  FOLLOWING JANUARY; PRIOR TO FEBRUARY FIRST, IF RETIREMENT IS  TO  BECOME
    4  EFFECTIVE  ON  THE FIRST DAY OF THE FOLLOWING APRIL; PRIOR TO MAY FIRST,
    5  IF RETIREMENT IS TO BECOME EFFECTIVE ON THE FIRST DAY OF  THE  FOLLOWING
    6  JULY;  AND,  PRIOR TO AUGUST FIRST, IF RETIREMENT IS TO BECOME EFFECTIVE
    7  ON THE FIRST DAY OF THE FOLLOWING OCTOBER.
    8    (C) FOR THE PURPOSE OF THE COMPUTATIONS DESCRIBED IN SUBDIVISION  FIVE
    9  OF  THIS  SECTION,  SERVICE  BY  A PILOT OF MORE THAN SIX MONTHS OF SUCH
   10  PILOT'S LAST CALENDAR YEAR AS AN ACTIVE PILOT SHALL BE CONSIDERED A FULL
   11  CALENDAR YEAR.
   12    (D) IF A RETIRED HUDSON RIVER PILOT DIES WITHOUT A  SURVIVING  SPOUSE,
   13  THE BALANCE OF THE YEARLY PENSION BENEFIT FOR THE REMAINDER OF THE BENE-
   14  FIT  PAYMENT  PERIOD  SHALL  BE  PAID  TO THE DECEASED PILOT'S ESTATE OR
   15  DESIGNATED BENEFICIARY AFTER WHICH  ALL  RIGHTS  TO  BENEFITS  SHALL  BE
   16  TERMINATED.
   17    8. (A) THE ELIGIBLE SURVIVING SPOUSE OF A HUDSON RIVER PILOT DESCRIBED
   18  IN  SUBDIVISION  FIVE  OF  THIS SECTION WHO DIES WHILE IN ACTIVE SERVICE
   19  SHALL RECEIVE A YEARLY PENSION BENEFIT EQUAL TO  FIFTY  PERCENT  OF  THE
   20  AMOUNT  WHICH  SUCH DECEASED PILOT WOULD HAVE RECEIVED UNDER SUBDIVISION
   21  FIVE OF THIS SECTION HAD RETIREMENT IMMEDIATELY  PRECEDED  THE  DATE  OF
   22  DEATH.
   23    (B)  WITH RESPECT TO HUDSON RIVER PILOTS DESCRIBED IN SUBDIVISION FIVE
   24  OF THIS SECTION, THE ELIGIBLE SURVIVING SPOUSE  OF  A  DECEASED  RETIRED
   25  HUDSON  RIVER  PILOT RECEIVING RETIREMENT BENEFITS ON THE DATE OF DEATH,
   26  SHALL RECEIVE A YEARLY BENEFIT EQUAL TO THE DECEASED PILOT'S BENEFIT FOR
   27  THE REMAINDER OF THE BENEFIT PAYMENT PERIOD IN WHICH DEATH OCCURRED, AND
   28  THEREAFTER FIFTY PERCENT OF THE AMOUNT RECEIVED BY THE DECEASED PILOT ON
   29  THE DATE OF DEATH.
   30    (C) UPON THE DEATH OF THE ELIGIBLE  SURVIVING  SPOUSE  OF  A  DECEASED
   31  HUDSON RIVER PILOT WHO WAS RECEIVING BENEFITS, THE BALANCE OF THE YEARLY
   32  PENSION BENEFIT FOR THE REMAINDER OF THE BENEFIT PAYMENT PERIOD SHALL BE
   33  PAID TO THE DECEASED SURVIVING SPOUSE'S ESTATE OR DESIGNATED BENEFICIARY
   34  AFTER WHICH ALL RIGHTS TO BENEFITS SHALL TERMINATE.
   35    9.  A "HUDSON RIVER PILOT" FOR THE PURPOSES OF THIS SECTION IS DEFINED
   36  AS AN INDIVIDUAL HOLDING A LICENSE TO ACT AS HUDSON RIVER PILOT FOR  THE
   37  WATERS OF THE HUDSON RIVER NORTH OF A LINE RUNNING FROM THE FOOT OF MAIN
   38  STREET  IN  YONKERS  TO ALPINE, NEW JERSEY AND SOUTH OF THE DAM AT TROY,
   39  ISSUED BY THE BOARD OF COMMISSIONERS OF PILOTS OF THE STATE OF NEW YORK.
   40  A "RETIRED HUDSON RIVER PILOT" FOR THE PURPOSES OF  THIS  SECTION  IS  A
   41  PILOT WHO RETIRED FROM ACTIVE SERVICE IN THE HUDSON RIVER PILOTS ASSOCI-
   42  ATION.   AN "ELIGIBLE SURVIVING SPOUSE" FOR THE PURPOSES OF THIS SECTION
   43  IS DEFINED AS A SPOUSE OF A DECEASED PILOT MARRIED  AT  LEAST  ONE  YEAR
   44  PRIOR TO THE DATE OF DEATH OF THE DECEASED PILOT.
   45    S  5.  This  act shall take effect on the ninetieth day after it shall
   46  have become a law.
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