Allows certain employees in the state office of fire prevention and control to transfer to the New York state and local police and fire retirement system and to be covered by the provisions of the twenty year half pay retirement plan.
STATE OF NEW YORK
________________________________________________________________________
5325
2013-2014 Regular Sessions
IN ASSEMBLY
February 22, 2013
___________
Introduced by M. of A. ABBATE -- read once and referred to the Committee
on Governmental Operations
AN ACT to amend the retirement and social security law, in relation to
retirement benefits for employees of the state office of fire
prevention and control
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 in the positions of state fire administrator, deputy state
4 fire administrator and fire protection specialists I, II and III in the
5 state office of fire prevention and control.
6 § 2. Subdivision c of section 340 of the retirement and social securi-
7 ty law is amended by adding a new paragraph 2-c to read as follows:
8 2-c. State fire administrators, deputy state fire administrators and
9 fire protection specialists I, II and III employed in the state office
10 of fire prevention and control shall have one year from the effective
11 date of this subdivision to make application for membership in the New
12 York state and local police and fire retirement system and upon filing
13 such an application shall be transferred to the New York state and local
14 police and fire retirement system and shall be covered by section three
15 hundred eighty-four-d of this article notwithstanding the provisions of
16 section three hundred forty-three of this title. Upon request for a
17 transfer of credit, the reserve on such member's benefits shall be
18 determined by the actuary and shall be transferred from the appropriate
19 fund of the first system to the appropriate fund of the second system.
20 State office of fire prevention and control employees transferred pursu-
21 ant to this paragraph must serve one year under the new plan before they
22 may receive a greater service retirement benefit than they would have
23 received had they not transferred to such new plan.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD08298-01-3
A. 5325 2
1 § 3. Section 384-d of the retirement and social security law is
2 amended by adding a new subdivision z to read as follows:
3 z. Notwithstanding any other provision of this section, service as a
4 state fire administrator, deputy state fire administrator or fire
5 protection specialist I, II or III employed by the state office of fire
6 prevention and control shall be included for the purposes of computing
7 police or fire service for retirement pursuant to this section.
8 § 4. The costs attributable to this act shall be borne by the state of
9 New York.
10 § 5. Notwithstanding any other provision of law, any employee trans-
11 ferring service pursuant to the provisions of this act shall not lose
12 credit for any service as a result of such transfer.
13 § 6. This act shall take effect immediately.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
This bill would allow certain employees in the State Office of Fire
Prevention and Control to transfer to the New York State and Local
Police and Fire Retirement System and to be covered by the provisions of
Section 384-d, the twenty (20) year half pay retirement plan.
If this bill is enacted, we anticipate that there will be an increase
of approximately $570,000 in the annual contributions of the State of
New York for the fiscal year ending March 31, 2014.
In addition to the annual contributions discussed above, there will be
an immediate past service cost of approximately $4.67 million which
would be borne by the State of New York as a one time payment, assuming
a payment date of March 1, 2014.
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 members who would be Tier 6 members of the New York State and
Local Police and Fire Retirement System rather than Tier 6 members of
the New York State and Local Employees' Retirement System.
These estimated costs are based on one hundred (100) affected State
Office of Fire Prevention and Control employees, with a total estimated
salary of approximately $6.8 million for the fiscal year ending March
31, 2012.
Summary of relevant resources:
Data: March 31, 2012 Actuarial Year End File with distributions of
membership and other statistics displayed in the 2012 Report of the
Actuary and 2012 Comprehensive Annual Financial Report.
Assumptions and Methods: 2010, 2011 and 2012 Annual Report to the
Comptroller on Actuarial Assumptions, Codes Rules and Regulations of the
State of New York: Audit and Control.
Market Assets and GASB Disclosures: March 31, 2012 New York State and
Local Retirement System Financial Statements and Supplementary Informa-
tion.
Valuations of Benefit Liabilities and Actuarial Assets: summarized in
the 2012 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 December 18, 2012 and intended for use only
during the 2013 Legislative Session, is Fiscal Note No. 2013-23,
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.
