Allows a change in retirement options for certain retired members of the New York state teachers' retirement system or the New York city teachers' retirement system with the consent of the nominated survivor beneficiary.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A6759C
SPONSOR: Abbate TITLE OF BILL: An act to amend the retirement and social security
law, in relation to permitting certain retired members of the New York
City Teachers' Retirement System to change their retirement options with
the consent of the nominated survivor beneficiary (Part A); and to amend
the education law, in relation to permitting certain retired members of
the New York State Teachers' Retirement System to change their retire-
ment options with the consent of the nominated survivor beneficiary
(Part B)
PURPOSE: Allows a change in the retirement options for retired members
of the New York State Teachers' Retirement System (NYSTRS) or the New
York City Teachers'. Retirement System (NYCTRS) with the consent of the
nominated survivor beneficiary.
SUMMARY OF PROVISIONS: § 1- Amends514 of the Retirement and Social
Security Law by adding a new subdivision e to provide for the option of
post-retirement beneficiary changes with nominated survivors consent for
members of NYCTRS.
§ 2- Amends f 610 of the Retirement and Social Security Law by adding a
new subdivision g to provide for the option of post-retirement benefici-
ary changes with nominated survivors consent for members of NYCTRS.
§ 3- Amends § 539 of the Education Law by adding a new subdivision 8 to
provide for the option of post-retirement beneficiary changes with nomi-
nated survivors consent for members of NYSTRS.
§ 4 - This legislation shall take effect on June 30, 2012, except that
if this act shall take effect after this date it shall be deemed to have
been in full force and effect on or after June 30, 2012.
EXISTING LAW: Under NYC Administrative Code 13-565 (c) - Tier I and
Tier II retired members of NYCTRS are provided this option with consent
of the nominated beneficiary. This bill would expand this option to
retirees in all tiers of. NYCTRS and NYSTRS with the same nominated
beneficiary consent,
JUSTIFICATION: Since divorce has become fairly commonplace - with
nearly 50 percent of all marriages ending in divorce - the concept of an
unchangeable notion of providing a lifelong benefit to the spouse of a
member of a retirement system is no longer suitable. Current law is
punitive in nature for any retiree whose marriages dissolve after
retirement options have been chosen. Requiring that a divorced spouse
continue to pay toward the maintenance of a spouse that may agree to
give up this compensation is an unnecessary drain on resources of the
member of the retirement system.
Much the same way both parties are allowed to agree to legally end their
marriage, these same adults should be given the option to reverse this
retirement decision as their marital situation changes,
For the aforementioned reasons and in light of the fact that this option
already being permitted to certain members of the NYCTRS this option
should be expanded to all members of NYCTRS and NYSTRS.
LEGISLATIVE HISTORY:; A10612 - of 2012
FISCAL IMPLICATIONS: See Fiscal Note.
EFFECTIVE DATE: This legislation shall take effect on June 30, 2013,
except that if this act shall take effect after this date it shall be
deemed. to have been in full force and effect on or after June 30, 2013.
