Authorizes Frank Smith, a New York city police detective, to receive accidental performance of duty disability retirement benefits for illness suffered as a result of exposure to disease during undercover assignments as a member of the police department of the city of New York.
STATE OF NEW YORK
________________________________________________________________________
7734--A
2023-2024 Regular Sessions
IN ASSEMBLY
June 6, 2023
___________
Introduced by M. of A. REILLY -- read once and referred to the Committee
on Governmental Employees -- recommitted to the Committee on Govern-
mental Employees in accordance with Assembly Rule 3, sec. 2 -- commit-
tee discharged, bill amended, ordered reprinted as amended and recom-
mitted to said committee
AN ACT to authorize Frank R. Smith to receive performance of duty disa-
bility retirement benefits
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Notwithstanding any other provision of law, Frank R. Smith,
2 a retired member of the New York city police department, who joined the
3 New York city employees retirement system on June 30, 1992 and who
4 applied for accidental performance of duty disability retirement bene-
5 fits based upon illnesses suffered as a result of exposure to diseases
6 during the course of undercover duties performed beginning in August
7 2002, and who has had those benefits denied, shall be hereby awarded
8 such benefits retroactively from his August 12, 2009 service retirement.
9 § 2. The benefits and awards provided for under this act shall be paid
10 for, and shared equally by, all public retirement systems, of which
11 Frank R. Smith was a member.
12 § 3. This act shall take effect immediately.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
SUMMARY: This proposed legislation would allow Police officer Frank R.
Smith who retired from the New York City Police Pension Fund (POLICE)
with an Ordinary Disability Retirement to be reclassified as an Accident
Disability Retirement.
EXPECTED INCREASE (DECREASE) IN EMPLOYER CONTRIBUTIONS
by Fiscal Year for the first 25 years ($ in Millions)
Year POLICE
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD08767-04-4
A. 7734--A 2
2025 0
2026 1.4
2027 0
2028 0
2029 0
2030 0
2031 0
2032 0
2033 0
2034 0
2035 0
2036 0
2037 0
2038 0
2039 0
2040 0
2041 0
2042 0
2043 0
2044 0
2045 0
2046 0
2047 0
2048 0
2049 0
The entire increase in employer contributions will be allocated to New
York City.
EXPECTED INCREASE (DECREASE) IN ACTUARIAL LIABILITIES
as of June 30, 2024 ($ in Millions)
Present Value (PV) POLICE
PV of Benefits: 1.2
PV of Employee Contributions: 0
PV of Employer Contributions: 1.2
Unfunded Accrued Liabilities: 1.2
AMORTIZATION OF UNFUNDED ACCRUED LIABILITY
POLICE
Number of Payments: 1
Fiscal Year of Last Payment: 2026
Amortization Payment: 1.4 M
Since Mr. Smith is retired and collecting a pension, and therefore has
no remaining working lifetime, the entire increase in Unfunded Accrued
Liabilities would be recognized immediately.
CENSUS DATA: The estimates presented herein are based on preliminary
census data collected as of June 30, 2023. The census data for the
current impacted population is summarized below.
POLICE
Receiving Members
- Number Count: 1
- Average Age: 53.0
A. 7734--A 3
BACKGROUND: Mr. Smith retired with an Ordinary Disability Retirement
from POLICE on August 12, 2009. He currently receives an annual pension
of $68,150 per year payable under the maximum form of payment (i.e.,
payable to him as long as he is alive).
If the proposed legislation is enacted, Mr. Smith's retirement allow-
ance would be recalculated as an Accident Disability Retirement and his
annual pension would increase to $113,397 per year. This increase would
apply prospectively as well as retroactively, to Mr. Smith's original
date of retirement.
ASSUMPTIONS AND METHODS: The estimates presented herein have been
calculated based on the Revised 2021 Actuarial Assumptions and Methods
of the impacted retirement systems.
For purposes of calculating the fiscal impact of the proposed legis-
lation, it has been assumed that the increase in benefits for periods
prior to June 30, 2024 would not be credited with interest.
RISK AND UNCERTAINTY: The costs presented in this Fiscal Note depend
highly on the actuarial assumptions, methods, and models used, demo-
graphics of the impacted population, and other factors such as invest-
ment, contribution, and other risks. If actual experience deviates from
actuarial assumptions, the actual costs could differ from those
presented herein. Quantifying these risks is beyond the scope of this
Fiscal Note.
This Fiscal Note is intended to measure pension-related impacts and
does not include other potential costs (e.g., administrative and Other
Postemployment Benefits).
STATEMENT OF ACTUARIAL OPINION: Marek Tyszkiewicz and Gregory Zelikov-
sky are members of the Society of Actuaries and the American Academy of
Actuaries. We are members of NYCERS but do not believe it impairs our
objectivity and we meet the Qualification Standards of the American
Academy of Actuaries to render the actuarial opinion contained herein.
To the best of our knowledge, the results contained herein have been
prepared in accordance with generally accepted actuarial principles and
procedures and with the Actuarial Standards of Practice issued by the
Actuarial Standards Board.
FISCAL NOTE IDENTIFICATION: This Fiscal Note 2024-16 dated February
23, 2024 was prepared by the Chief Actuary for the New York City Retire-
ment Systems and Pension Funds. This estimate is intended for use only
during the 2024 Legislative Session.