Amd SS302 & 375-f, add S383-d, R & SS L; amd S58, Civ Serv L
Allows state university police officers to transfer to the NYSLPFRS and to be covered by the provisions of a new 25 year half pay retirement plan, with additional one-sixtieths of final average salary for each year of service in excess of twenty-five years, but not exceeding fifteen such years; provides that for tier 2 & 5 members, the additional one-sixtieths can not exceed seven such years.
STATE OF NEW YORK
________________________________________________________________________
4197--A
2011-2012 Regular Sessions
IN ASSEMBLY
February 2, 2011
___________
Introduced by M. of A. McENENY, CANESTRARI, ENGLEBRIGHT, WEPRIN --
Multi-Sponsored by -- M. of A. BOYLAND, COLTON, PERRY, WEISENBERG --
read once and referred to the Committee on Governmental Employees --
recommitted to the Committee on Governmental Employees in accordance
with Assembly Rule 3, sec. 2 -- committee discharged, bill amended,
ordered reprinted as amended and recommitted to said committee
AN ACT to amend the retirement and social security law and the civil
service law, in relation to university police officers appointed by
the state university
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 11 of section 302 of the retirement and social
2 security law is amended by adding a new paragraph i to read as follows:
3 i. Service as a university police officer appointed by the state
4 university pursuant to paragraph l of subdivision two of section three
5 hundred fifty-five of the education law.
6 § 2. Subdivision d of section 375-f of the retirement and social secu-
7 rity law, as separately amended by chapters 674 and 677 of the laws of
8 1986, is amended to read as follows:
9 d. In addition to the retirement allowance provided pursuant to the
10 plans set forth in sections three hundred eighty-three, three hundred
11 eighty-three-a [and], three hundred eighty-three-b and three hundred
12 eighty-three-d of this [chapter] article, a member of either such plan
13 who retires on or after April first, nineteen hundred sixty-nine with
14 more than twenty-five years of total service shall be entitled to
15 receive, in addition to the benefits provided pursuant to [either] any
16 such section and notwithstanding the limitations of [either] any such
17 section, an additional retirement allowance for such years of service
18 rendered in excess of twenty-five. The additional retirement allowance
19 for such additional years of service shall be computed as if such member
20 had been eligible to have his or her retirement allowance computed
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD01610-04-2
A. 4197--A 2
1 pursuant to the provisions of subdivision b of section three hundred
2 seventy-five-c and of paragraph one of subdivision a of section three
3 hundred seventy-five-d of this [chapter] title.
4 § 3. The retirement and social security law is amended by adding a new
5 section 383-d to read as follows:
6 § 383-d. Alternate retirement benefits for university police officers
7 appointed by the state university. a. As used in this section, the term
8 "university police officer" shall mean a person who is so appointed
9 pursuant to paragraph l of subdivision two of section three hundred
10 fifty-five of the education law.
11 b. Notwithstanding any other provision of law providing for transfers
12 between retirement systems, any university police officer in the service
13 of the state university who is a member of the New York state and local
14 employees' retirement system may transfer to the New York state and
15 local police and fire retirement system and shall receive credit pursu-
16 ant to and be entitled to the retirement benefits afforded in accordance
17 with this section. Upon any such transfer the member shall be entitled
18 to the amount of service which would have been deemed creditable and
19 such member shall be entitled to the amount of service which would have
20 been deemed creditable had such member been subject to such system
21 during the course of his or her membership within such system. Contrib-
22 utions to such system shall be made in accordance with appropriate
23 provisions of law relating thereto. Application for such transfer must
24 be made to the state comptroller on or before December thirty-first, two
25 thousand thirteen. The provisions of section three hundred forty-three
26 of this article shall apply to any member making application for trans-
27 fer under this subdivision.
28 c. Any university police officer in the service of the state universi-
29 ty who elects or is required to contribute under this section shall
30 contribute to the New York state and local police and fire retirement
31 system on the basis of retirement upon his or her:
32 1. Completion of twenty-five years of total creditable service, or
33 2. Attainment of age sixty as a university police officer in the
34 service of the state university, if prior thereto, on an allowance of
35 one-fiftieth of his or her final average salary for each year of total
36 creditable service not in excess of twenty-five years. Such election
37 shall be in writing and shall be duly executed and filed with the comp-
38 troller.
39 d. Every employee entering or re-entering service as a university
40 police officer in the service of the state university on or after the
41 effective date of this section shall contribute on the basis provided
42 for by this section.
43 e. A member who is required to contribute in accordance with this
44 section shall contribute, in lieu of the proportion of compensation as
45 provided in section three hundred twenty-one of this article, a propor-
46 tion of his or her compensation similarly determined. Such latter
47 proportion shall be computed to provide at the time when he or she shall
48 first become eligible for retirement under this section, an annuity
49 equal to one-one hundredth of his or her final average salary for each
50 year of service as a member prior to the attainment of the age when he
51 or she shall first become eligible for retirement. Such member's rate of
52 contribution pursuant to this section shall be appropriately reduced
53 pursuant to section three hundred seventy-a of this article for such
54 period of time as his or her employer contributes pursuant to such
55 section toward pensions-providing-for-increased-take-home-pay. No such
A. 4197--A 3
1 member shall be required to continue contributions after completing
2 twenty-five years of such service.
3 f. A member contributing on the basis of this section, at the time of
4 retirement, shall be entitled to retire after the completion of twenty-
5 five years of total creditable service or upon the attainment of age
6 sixty by filing an application therefor in a manner similar to that
7 provided in section three hundred seventy of this article. He or she
8 shall receive, on retirement, a retirement allowance consisting of:
9 1. An annuity which shall be the actuarial equivalent of his or her
10 accumulated contributions at the time of his or her retirement, plus
11 2. A pension which, together with such annuity and a pension which is
12 the actuarial equivalent of the reserve-for-increased-take-home-pay to
13 which he or she may then be entitled, if any, shall equal one-fiftieth
14 of his or her final average salary for each year of creditable service
15 in such division. This pension shall not exceed the amount needed to
16 make the total amount of the benefits provided under this paragraph and
17 paragraph one of this subdivision equal to one-half of final average
18 salary.
19 3. An additional pension equal to the pension for any creditable
20 service rendered while not employed as a university police officer in
21 the service of the state university as provided under paragraphs two and
22 three of subdivision a of section three hundred seventy-five of this
23 article. This pension shall:
24 (i) Be payable only if such member has attained age sixty at the time
25 of retirement and has not completed twenty-five years of service as a
26 university police officer in the service of the state university for
27 which he or she receives credit under this article, and
28 (ii) Not increase the total allowance to more than he or she would
29 have received had his or her total service been rendered as a university
30 police officer in the service of the state university.
31 For the purpose only of determining the amount of the pension provided
32 herein, the annuity shall be computed as it would be:
33 (A) if not reduced by the actuarial equivalent of any outstanding
34 loan, and
35 (B) if not increased by the actuarial equivalent of any additional
36 contributions, and
37 (C) if not reduced by reason of the member's election to decrease his
38 or her annuity contributions to the retirement systems in order to apply
39 the amount of such reduction in payment of his or her contributions for
40 old-age and survivors insurance coverage.
41 g. The increased pensions to a university police officer in the
42 service of the state university, as provided by this section, shall be
43 paid from additional contributions made by the state on account of such
44 members. The actuary of the retirement system shall compute the addi-
45 tional contribution of each member who elects to receive the special
46 benefits provided under this section. Such additional contributions
47 shall be computed on the basis of contributions during the prospective
48 service of such member which will cover the liability of the retirement
49 system for such extra pensions. Upon approval by the comptroller, such
50 additional contributions shall be certified by him or her to the chan-
51 cellor of the state university. The amount thereof shall be included in
52 the annual appropriation of the state for the state university. Such
53 amount shall be paid on the warrant of the comptroller to the pension
54 accumulation fund of the retirement system.
55 h. In computing the twenty-five years of completed service of a
56 university police officer in the service of the state university, full
A. 4197--A 4
1 credit shall be given and full allowance shall be made for service of
2 such member in war after World War I as defined in section two of this
3 chapter, provided such member at the time of his or her entrance into
4 the armed forces was in state service.
5 i. The provisions of this section shall be controlling notwithstanding
6 any provision in this article to the contrary.
7 j. Notwithstanding any provision of subdivision d, e or i of this
8 section to the contrary, a member who is in the collective negotiating
9 unit designated as the agency law enforcement services unit and estab-
10 lished pursuant to article fourteen of the civil service law and who has
11 elected or is required to contribute in accordance with this section
12 may, on or before March thirty-first, two thousand fourteen, elect to
13 come under the provisions of section three hundred seventy-five-h of
14 this article. Such election shall be duly executed and filed with the
15 comptroller.
16 k. Commencing with the effective date of this section and in a manner
17 determined by the head of the retirement system, the employer shall make
18 contributions to the retirement system to fund the past service liabil-
19 ity costs associated with the implementation of this section as those
20 costs are calculated by the retirement system actuary. Such contrib-
21 utions may be made, at the election of the employer, in level dollar
22 installments over a ten year period.
23 § 4. No employee contributions made to the New York state and local
24 employees' retirement system by any state university police officer who
25 elects to make a transfer pursuant to this act shall be returned to such
26 officer. Such employee contributions shall be used to offset any past
27 service costs incurred by operation of the provisions of this act.
28 § 5. Notwithstanding subdivision h of section 343 of the retirement
29 and social security law, the provisions of subdivisions c and d of
30 section 343 of the retirement and social security law shall apply and
31 the employer contributions reserve shall be transferred from the appro-
32 priate fund or funds of the New York state and local employees' retire-
33 ment system to the New York state and local police and fire retirement
34 system.
35 § 6. Subdivisions 1, 2 and 3 and paragraphs (a) and (b) of subdivision
36 4 of section 58 of the civil service law, subdivision 1 as amended by
37 chapter 560 of the laws of 1978, the opening paragraph of subdivision 1,
38 subdivision 3 and paragraphs (a) and (b) of subdivision 4 as amended by
39 chapter 435 of the laws of 1997, paragraph (a) of subdivision 1 as
40 amended by chapter 346 of the laws of 2008 and subdivision 2 as amended
41 by chapter 32 of the laws of 1999, are amended to read as follows:
42 1. Notwithstanding any other provision of this law or any general,
43 special or local law to the contrary, no person shall be eligible for
44 provisional or permanent appointment in the competitive class of the
45 civil service as a police officer of any police force or police depart-
46 ment of any county, city, town, village, housing authority [or], police
47 district or of the state university of New York unless he or she shall
48 satisfy the following basic requirements:
49 (a) he or she is not less than twenty years of age as of the date of
50 appointment nor more than thirty-five years of age as of the date when
51 the applicant takes the written examination, provided that the maximum
52 age requirement of thirty-five years of age as set forth in this para-
53 graph shall not apply to eligible lists finalized pursuant to an exam-
54 ination administered prior to May thirty-first, nineteen hundred nine-
55 ty-nine for the police officers described in this subdivision except for
56 police officers of the state university of New York and, with respect to
A. 4197--A 5
1 state university police officers only, the maximum age requirement of
2 thirty-five years of age as set forth in this paragraph shall not apply
3 to eligible lists finalized pursuant to an examination administered
4 prior to December thirty-first, two thousand thirteen, provided, howev-
5 er, that:
6 (i) time spent on military duty or on terminal leave, not exceeding a
7 total of six years, shall be subtracted from the age of any applicant
8 who has passed his or her thirty-fifth birthday as provided in subdivi-
9 sion ten-a of section two hundred forty-three of the military law;
10 (ii) such maximum age requirement of thirty-five years shall not apply
11 to any police officer as defined in subdivision thirty-four of section
12 1.20 of the criminal procedure law, who was continuously employed by the
13 Buffalo municipal housing authority between January first, two thousand
14 five and June thirtieth, two thousand five and who takes the next writ-
15 ten exam offered after the effective date of this subparagraph by the
16 city of Buffalo civil service commission for employment as a police
17 officer in the city of Buffalo police department, or June thirtieth, two
18 thousand six, whichever is later; and
19 (iii) such maximum age requirement of thirty-five years shall not
20 apply to any police officer of any county, town, city or village police
21 force not otherwise provided for in this section if the eligible list
22 has been exhausted and there are no other eligible candidates; provided,
23 however, the police officer themselves are on the eligible list of such
24 county, town, city or village and meet all other requirements of merit
25 and fitness set forth by this chapter and do not exceed the maximum age
26 of thirty-nine;
27 (b) he or she is a high school graduate or a holder of a high school
28 equivalency diploma issued by an education department of any of the
29 states of the United States or a holder of a comparable diploma issued
30 by any commonwealth, territory or possession of the United States or by
31 the Canal Zone or a holder of a report from the United States armed
32 forces certifying his or her successful completion of the tests of
33 general educational development, high school level;
34 (c) he or she satisfies the height, weight and physical fitness
35 requirements prescribed by the municipal police training council pursu-
36 ant to the provisions of section eight hundred forty of the executive
37 law; and
38 (d) he or she is of good moral character.
39 2. The provisions of this section shall not prevent any county, city,
40 town, village, housing authority, transit authority [or], police
41 district or the state university of New York from setting more restric-
42 tive requirements of eligibility for its police officers, except the
43 maximum age to be a police officer as provided in paragraph (a) of
44 subdivision one of this section.
45 3. As used in this section, the term "police officer" means a member
46 of the regional state park police, the state university of New York
47 police or a police force, police department, or other organization of a
48 county, city, town, village, housing authority, transit authority or
49 police district, who is responsible for the prevention and detection of
50 crime and the enforcement of the general criminal laws of the state, but
51 shall not include any person serving as such solely by virtue of his or
52 her occupying any other office or position, nor shall such term include
53 a sheriff, under-sheriff, commissioner of police, deputy or assistant
54 commissioner of police, chief of police, deputy or assistant chief of
55 police or any person having an equivalent title who is appointed or
56 employed to exercise equivalent supervisory authority.
A. 4197--A 6
1 (a) Any person who has received provisional or permanent appointment
2 in the competitive class of the civil service as a police officer of the
3 regional state park police, the state university of New York police or
4 any police force or police department of any county, city, town,
5 village, housing authority, transit authority or police district shall
6 be eligible to resign from any police force or police department, and to
7 be appointed as a police officer in the same or any other police force
8 or police department without satisfying the age requirements set forth
9 in paragraph (a) of subdivision one of this section at the time of such
10 second or subsequent appointment, provided such second or subsequent
11 appointment occurs within thirty days of the date of resignation.
12 (b) Any person who has received permanent appointment in the compet-
13 itive class of the civil service as a police officer of the regional
14 state park police, the state university of New York police or any police
15 force or police department of any county, city, town, village, housing
16 authority, transit authority or police district shall be eligible to
17 resign from any police force or police department and, subject to such
18 civil service rules as may be applicable, shall be eligible for rein-
19 statement in the same police force or police department or in any other
20 police force or police department to which he or she was eligible for
21 transfer, without satisfying the age requirements set forth in paragraph
22 (a) of subdivision one of this section at the time of such rein-
23 statement, provided such reinstatement occurs within one year of the
24 date of resignation.
25 § 7. This act shall take effect immediately, provided, however, that
26 the provisions of subdivisions 1 and 2 of section 58 of the civil
27 service law, as amended by section six of this act, shall not apply to
28 university police officers in the service of the state university of New
29 York on or before such effective date.
FISCAL NOTE.-- Pursuant to Legislative Law, Section 50:
This bill would allow State University Police Officers to transfer to
the New York State and Local Police and Fire Retirement System and to be
covered by the provisions of a new twenty-five (25) year half pay
retirement plan, with additional one-sixtieths of final average salary
for each year of service in excess of twenty-five (25) years, but not
exceeding fifteen (15) such years. For Tiers 2 and 5 members, the addi-
tional one-sixtieths can not exceed seven (7) such years. There will be
no refund of Article 14 or Article 15 member contributions for officers
who transfer to the Police and Fire Retirement system.
If this bill is enacted, we anticipate that there will be an increase
of approximately $1.1 million in the annual contributions of the State
of New York for the fiscal year ending March 31, 2013.
In addition to the annual contributions discussed above, there will be
an immediate past service cost of approximately $8.11 million which
would be borne by the State of New York. This estimate is based on the
assumption that payment will be made on March 1, 2013. If this cost is
amortized over ten (10) years, the cost for the first year, including
interest, would be approximately $1.10 million.
It should be noted that in addition to the increase in annual contrib-
utions given above, there would be increases in annual contributions for
future State University Police Officers who would be Tier 5 members of
the New York State and Local Police and Fire Retirement System rather
than Tier 5 members of the New York State and Local Employees' Retire-
ment System.
A. 4197--A 7
These estimated costs are based on five hundred nineteen (519) State
University Police Officers with a total estimated salary of approximate-
ly $33.1 million for the fiscal year ending March 31, 2012.
Summary of relevant resources:
Data: March 31, 2011 Actuarial Year End File with distributions of
membership and other statistics displayed in the 2011 Report of the
Actuary and 2011 Comprehensive Annual Financial Report.
Assumptions and Methods: 2010 and 2011 Annual Report to the Comp-
troller on Actuarial Assumptions, Codes Rules and Regulations of the
State of New York: Audit and Control.
Market Assets and GASB Disclosures: March 31, 2011 New York State and
Local Retirement System Financial Statements and Supplementary Informa-
tion.
Valuations of Benefit Liabilities and Actuarial Assets: summarized in
the 2011 Actuarial Valuations report.
I am a member of the American Academy of Actuaries and meet the Quali-
fication Standards to render the actuarial opinion contained herein.
This estimate, dated February 8, 2012 and intended for use only during
the 2012 Legislative Session, is Fiscal Note No. 2012-87 prepared by
the Actuary for the New York State and Local Employees' Retirement
System and the New York State and Local Police and Fire Retirement
System.
