Provides for the payment of retirement benefits to members of the New York state employees retirement system who reentered service after retiring before January 1, 1980, pursuant to chapter 666 of the laws of 1990.
STATE OF NEW YORK
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6422
2023-2024 Regular Sessions
IN ASSEMBLY
April 6, 2023
___________
Introduced by M. of A. BRABENEC -- read once and referred to the Commit-
tee on Governmental Employees
AN ACT to provide for the payment of retirement benefits to certain
members of the New York state employees' retirement system who reen-
tered public service pursuant to chapter 666 of the laws of 1990
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Notwithstanding the provisions of chapter 666 of the laws
2 of 1990, as amended, or any other provision of law to the contrary, a
3 member the New York state employees' retirement system who was entitled
4 to elect to be deemed retroactively to have transferred his or her
5 membership in the New York state police and fire retirement system from
6 which he or she retired to such other retirement system in which he or
7 she would otherwise have been entitled to membership and who has paid in
8 full the necessary pro rata contributions, plus interest as determined
9 by the actuary pursuant to chapter 666 of the laws of 1990, as amended,
10 shall be entitled to receive a retirement allowance computed on the
11 basis of the total service credit to which such retiree was entitled at
12 the time of his or her earlier retirement and the total service credit
13 earned in the retirement system to which he or she transferred provided
14 such member retired from such previous public employment before January
15 1, 1980.
16 § 2. This act shall take effect immediately.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
This bill would allow members who retired under a special 20 or
25-year retirement plan from the New York State and Local Police and
Fire Retirement System (PFRS) before January 1, 1980 and returned to
work in the New York State and Local Employees' Retirement System (ERS)
to transfer their PFRS service credit into the ERS and receive a pension
based on the combined service as long as the necessary contributions
plus interest were made as set forth under Chapter 666 of the Laws of
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD05347-04-3
A. 6422 2
1990. Currently, these pensions are actuarially reduced for the pension
payments received while retired from the PFRS and actively working in
the ERS.
The number of retirees who could be affected by this legislation
cannot be readily determined. To benefit from the provisions of this
legislation, an eligible retiree must file a written request to the New
York State Comptroller within one year of the effective date of the act.
If this bill is enacted during the 2023 legislative session, pursuant
to Section 25 of the Retirement and Social Security Law, those costs
arising in the ERS would be borne solely by the State of New York. The
cost for the one retiree known to benefit from this legislation is
approximately $58,300. This estimate assumes that payment will be made
on March 1, 2024. Similar costs for other impacted individuals can be
expected and will be calculated and billed to the State of New York when
application is made.
Summary of relevant resources:
Membership data as of March 31, 2022 was used in measuring the impact
of the proposed change, the same data used in the April 1, 2022 actuari-
al valuation. Distributions and other statistics can be found in the
2022 Report of the Actuary and the 2022 Annual Comprehensive Financial
Report.
The actuarial assumptions and methods used are described in the 2020,
2021, and 2022 Annual Report to the Comptroller on Actuarial Assump-
tions, and the Codes, Rules and Regulations of the State of New York:
Audit and Control.
The Market Assets and GASB Disclosures are found in the March 31, 2022
New York State and Local Retirement System Financial Statements and
Supplementary Information.
I am a member of the American Academy of Actuaries and meet the Quali-
fication Standards to render the actuarial opinion contained herein.
This fiscal note does not constitute a legal opinion on the viability
of the proposed change nor is it intended to serve as a substitute for
the professional judgment of an attorney.
This estimate, dated March 31, 2023, and intended for use only during
the 2023 Legislative Session, is Fiscal Note No. 2023-65, prepared by
the Actuary for the New York State and Local Retirement System.
