senate Bill S7074A

Makes permanent provisions that permit certain members of public retirement systems to receive partial lump sum distributions upon retirement

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
view actions

actions

  • 27 / Apr / 2012
    • REFERRED TO CIVIL SERVICE AND PENSIONS
  • 14 / May / 2012
    • AMEND AND RECOMMIT TO CIVIL SERVICE AND PENSIONS
  • 14 / May / 2012
    • PRINT NUMBER 7074A
  • 21 / Jun / 2012
    • COMMITTEE DISCHARGED AND COMMITTED TO RULES
  • 21 / Jun / 2012
    • ORDERED TO THIRD READING CAL.1475
  • 21 / Jun / 2012
    • SUBSTITUTED BY A9889A

Summary

Makes permanent provisions of the retirement and social security law that permit certain members of public retirement systems to receive partial lump sum distributions upon retirement.

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Bill Details

See Assembly Version of this Bill:
A9889A
Versions:
S7074
S7074A
Legislative Cycle:
2011-2012
Law Section:
Retirement
Laws Affected:
Amd §2, Chap 735 of 2006

Sponsor Memo

BILL NUMBER:S7074A

TITLE OF BILL:
An act to amend chapter 735 of the laws of 2006, amending the retirement
and social security law relating to permitting certain members of the
New York state and local police and fire retirement system to receive a
partial lump sum distribution upon retirement, in relation to the effec-
tiveness thereof

SUMMARY OF PROVISIONS:
The Partial Lump Sum option that is currently available to certain
members of the New York State and local employees' retirement system as
well to certain members of the New York state and local police and fire
retirement system is set to expire on April 1, 2013. This legislation
shall make permanent the provisions set forth therein.

Section 1 - Shall make permanent the provisions of § 1100, by repealing
the expiration date of April 1, 2013.

JUSTIFICATION:
Under current law, Retirement and Social Security Law Section 1100, has
allowed certain members of the New York state and local employees'
retirement system and members of the New York state and local police and
fire retirement system to elect an optional form of retirement in the
form of a partial lump sum at retirement ("PLOP"). Since its inception,
the PLOP has proven to be a viable option for retiring members with no
adverse effects on the retirement system(s). As already reported by the
New York State Comptroller, the PLOP has been revenue neutral to the
retirement system(s) and is a viable option for retirees wishing to
utilize their retiree benefits in an alternate manner.

FISCAL IMPACT:
See Fiscal note.

EFFECTIVE DATE:
Immediately.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 7074--A

                            I N  S E N A T E

                             April 27, 2012
                               ___________

Introduced  by  Sen.  GOLDEN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Civil Service and Pensions
  -- committee discharged, bill amended, ordered  reprinted  as  amended
  and recommitted to said committee

AN ACT to amend chapter 735 of the laws of 2006, amending the retirement
  and  social security law relating to permitting certain members of the
  New York state and local police and fire retirement system to  receive
  a  partial  lump  sum distribution upon retirement, in relation to the
  effectiveness thereof

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Section 2 of chapter 735 of the laws of 2006, amending the
retirement and  social  security  law  relating  to  permitting  certain
members  of  the  New  York  state  and local police and fire retirement
system to receive a partial lump sum distribution  upon  retirement,  is
amended to read as follows:
  S  2. This act shall take effect April 1, 2008 [and shall expire April
1, 2013 when upon such date the provisions of this act shall  be  deemed
repealed].
  S 2. This act shall take effect immediately.
  FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
  This  bill  will  repeal  the  expiration  date  of April 1, 2013 from
Section 2 of Chapter 735 of the laws of 2006, thereby making the Partial
Lump Sum option permanent for members of the New York  State  and  Local
Police and Fire System.
  If this legislation is enacted during the 2012 legislative session, we
anticipate  that  there will not be costs for the lump sum payments made
on and after April 1, 2013 since the payments are determined on an actu-
arially equivalent basis.
  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.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15334-03-2

S. 7074--A                          2

  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 May 10, 2012, and intended for  use  only  during
the  2012  Legislative  Session, is Fiscal Note No. 2012-149 prepared by
the Actuary for the New York State and Local Police and Fire  Retirement
System.

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