senate Bill S3721A

Relates to service credit of certain members of the New York state and local employees' retirement system who obtained credit for service with the Niagara Frontier Transit Metro System, Inc.

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Bill Status


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

  • 12 / Feb / 2013
    • REFERRED TO CIVIL SERVICE AND PENSIONS
  • 18 / Mar / 2013
    • 1ST REPORT CAL.220
  • 19 / Mar / 2013
    • 2ND REPORT CAL.
  • 20 / Mar / 2013
    • ADVANCED TO THIRD READING
  • 17 / Jun / 2013
    • PASSED SENATE
  • 17 / Jun / 2013
    • DELIVERED TO ASSEMBLY
  • 17 / Jun / 2013
    • REFERRED TO GOVERNMENTAL EMPLOYEES
  • 08 / Jan / 2014
    • DIED IN ASSEMBLY
  • 08 / Jan / 2014
    • RETURNED TO SENATE
  • 08 / Jan / 2014
    • REFERRED TO CIVIL SERVICE AND PENSIONS
  • 17 / Jan / 2014
    • AMEND AND RECOMMIT TO CIVIL SERVICE AND PENSIONS
  • 17 / Jan / 2014
    • PRINT NUMBER 3721A
  • 27 / Jan / 2014
    • 1ST REPORT CAL.66
  • 28 / Jan / 2014
    • 2ND REPORT CAL.
  • 03 / Feb / 2014
    • ADVANCED TO THIRD READING
  • 11 / Jun / 2014
    • SUBSTITUTED BY A8486

Summary

Relates to service credit of certain members of the New York state and local employees' retirement system who obtained credit for service with the Niagara Frontier Transit Metro System, Inc.; provides that any retirement or death benefit payable or paid by such retirement system shall be reduced by the amount of the non-forfeitable benefit payable or paid for such service under the Amalgamated Transit Union Local 1342 - Niagara Frontier Transit Metro System Pension Fund.

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Bill Details

See Assembly Version of this Bill:
A8486
Versions:
S3721
S3721A
Legislative Cycle:
2013-2014
Law Section:
Retirement

Votes

10
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10
Aye
0
Nay
0
aye with reservations
0
absent
0
excused
0
abstained
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Sponsor Memo

BILL NUMBER:S3721A

TITLE OF BILL: An act in relation to service credit of certain
members of the New York state and local employees' retirement system
who obtained credit for service with the Niagara Frontier Transit
Metro System, Inc.

PURPOSE: To ensure that the proper pension amount is paid by the New
York state and local retirement system to certain members and retirees
of the system.

SUMMARY OF PROVISIONS: Section 1 of the bill adds a provision that
clarifies the payment of pension benefits to any member or retiree of
the New York state and local employees' retirement system who obtained
credit for certain service with the Niagara Frontier Metro System and
who also has a non-forfeitable benefit for such service under another
pension.

Section 2 of the bill is the effective date.

JUSTIFICATION: At the present time, the pension benefit amount for
some members of the New York state and local employees' retirement
system (the "State Retirement System") is under review due to a
non-forfeitable benefit that these individuals have under another
pension. Specifically, some members and retirees of the State
Retirement System, who obtained credit for service after March 31,
1974 with the Niagara Frontier Metro System, also have a
non-forfeitable benefit for such service under the Amalgamated Transit
Union Local 1342 - Niagara Frontier Transit Metro System Pension Fund
(the "Amalgamated Transit Union Pension").

The non-forfeitable nature of the Amalgamated Transit Union Pension
benefit has complicated the potential eligibility and calculation of
the pension benefit that these members and retirees of the State
Retirement System rightly deserve. Although the affected individuals
completed and filed the appropriate paperwork at the required time (in
some cases, many years ago), this complication still persists today.
By clarifying that the service provided by these individuals remains
eligible for service with the State Retirement System, this
legislation will provide the security these individuals need and
deserve) to plan their post-retirement lives. Further, this
legislation protects the integrity of the State Retirement System by
ensuring that members and retirees have been paid, and will continue
to be paid, the correct pension benefit amounts.

LEGISLATIVE HISTORY: New legislation.

FISCAL IMPLICATIONS: State revenues will increase to the extent that
overpayments made by the State Retirement System in prior veers are
recouped.

EFFECTIVE DATE: This act shall take effect immediately.

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

                                 3721--A

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            February 12, 2013
                               ___________

Introduced  by Sens. MAZIARZ, KENNEDY -- read twice and ordered printed,
  and when printed to be committed to the Committee on Civil Service and
  Pensions -- recommitted to the Committee on Civil Service and Pensions
  in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN ACT in relation to service credit of  certain members of the New York
  state  and  local employees' retirement system who obtained credit for
  service with the Niagara Frontier Transit Metro System, Inc.

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

  Section  1.  Notwithstanding the provisions of chapter 670 of the laws
of 1996 or any other provision of law to the  contrary,  any  member  or
retiree of the New York state and local employees' retirement system who
obtained  credit for service after March 31, 1974 with the Niagara Fron-
tier Transit Metro System, Inc., and who retains a non-forfeitable bene-
fit for such service under the Amalgamated Transit Union Local  1342  --
Niagara Frontier Transit Metro System Pension Fund shall remain eligible
for such service with the New York state and local employees' retirement
system;  provided, however, that any retirement or death benefit payable
or paid by such retirement system shall be reduced by the amount of  the
non-forfeitable benefit payable or paid for such service under the Amal-
gamated  Transit  Union  Local  1342  --  Niagara Frontier Transit Metro
System Pension Fund. For any person  currently  receiving  a  retirement
allowance,  such reduction shall be retroactive to the effective date of
retirement.
  S 2. This act shall take effect immediately and the  addition,  amend-
ment and/or repeal of any rule or regulation necessary for the implemen-
tation of this act on its effective date are hereby authorized.
  FISCAL NOTE.-- Pursuant to Legislate Law, Section 50:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD07702-05-4

S. 3721--A                          2

  This bill would reduce the retirement or death benefit payable or paid
by  the  New York State and Local Employees' Retirement System (NYSLERS)
to any member or retiree who obtained credit for service after March 31,
1974 with the Niagara Frontier Transit Metro System who retains  a  non-
forfeitable  benefit  with  the  Niagara  Metro  Pension  Fund  for such
service. The reduction in the benefit from NYSLERS will be based on  the
amount  of the non-forfeitable benefit payable or paid for such service,
for which the affected  individuals  will  receive  benefits  from  both
retirement  plans. For current retirees, such reduction will be retroac-
tive to the date of retirement.
  If this bill is enacted, there will be no cost to the State or partic-
ipating employers in the NYSLERS.
  Summary of relevant resources:
  The membership data used in  measuring  the  impact  of  the  proposed
change  was  the same as that used in the March 31, 2013 actuarial valu-
ation.  Distributions and other statistics can  be  found  in  the  2013
Report  of  the  Actuary  and  the  2013  Comprehensive Annual Financial
Report.
  The Market Assets and GASB Disclosures are found in the March 31, 2013
New York State and Local  Retirement  System  Financial  Statements  and
Supplementary Information.
  The  actuarial assumptions and methods used are described in the 2010,
2011, 2012 and 2013  Annual  Report  to  the  Comptroller  on  Actuarial
Assumptions,  and  the  Codes  Rules and Regulations of the State of New
York: Audit and Control.
  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 January 14, 2014 and intended for use only during
the 2014 Legislative Session, is Fiscal Note No.  2014-56,  prepared  by
the  Actuary  for  the  New  York  State and Local Employees' Retirement
System.

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