S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6387
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                              April 18, 2023
                                ___________
 
 Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
   printed to be committed to the Committee on Civil Service and Pensions
 
 AN  ACT  to amend the retirement and social security law, in relation to
   disability retirement benefits for the presumption  of  post-traumatic
   stress disorder for certain titles

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The retirement and social security law is amended by adding
 a new section 605-g to read as follows:
   § 605-G. DISABILITY RETIREMENT FOR CERTAIN DISPATCHERS. 1.   A  MEMBER
 EMPLOYED  AS  A  COMMUNICATIONS  TECHNICIAN,  COMMUNICATIONS SPECIALIST,
 COMMUNICATIONS OPERATOR, RADIO DISPATCHER, OR  EMERGENCY  DISPATCHER  BY
 ANY  STATE  AGENCY,  DEPARTMENT, OR DIVISION, A COUNTY 911 DISPATCHER, A
 COUNTY 911 DISPATCHER SUPERVISOR, A NEW YORK CITY FIRE ALARM DISPATCHER,
 A NEW YORK CITY SUPERVISING FIRE ALARM DISPATCHER LEVEL  ONE  OR  A  NEW
 YORK  CITY SUPERVISING FIRE ALARM DISPATCHER LEVEL TWO SHALL BE ENTITLED
 TO DISABILITY RETIREMENT ALLOWANCE, IF, AT THE TIME APPLICATION THEREFOR
 IS FILED, SUCH  MEMBER  IS  PHYSICALLY  OR  MENTALLY  INCAPACITATED  FOR
 PERFORMANCE  OF  DUTY  AS  A RESULT OF CONTRACTING POST-TRAUMATIC STRESS
 DISORDER WHILE SO EMPLOYED AND AS A RESULT OF HIS OR HER EMPLOYMENT.
   2. NOTWITHSTANDING ANY PROVISION OF THIS CHAPTER OR  OF  ANY  GENERAL,
 SPECIAL OR LOCAL LAW TO THE CONTRARY, ANY MEMBER WHO IS A COMMUNICATIONS
 TECHNICIAN,  COMMUNICATIONS  SPECIALIST,  COMMUNICATIONS OPERATOR, RADIO
 DISPATCHER, OR EMERGENCY DISPATCHER BY ANY STATE AGENCY, DEPARTMENT,  OR
 DIVISION, A COUNTY 911 DISPATCHER, A COUNTY 911 DISPATCHER SUPERVISOR, A
 NEW  YORK  CITY  FIRE ALARM DISPATCHER, A NEW YORK CITY SUPERVISING FIRE
 ALARM DISPATCHER LEVEL ONE OR A NEW YORK  CITY  SUPERVISING  FIRE  ALARM
 DISPATCHER  LEVEL  TWO WHO IS DIAGNOSED AS SUFFERING FROM POST-TRAUMATIC
 STRESS DISORDER RESULTING IN DISABILITY TO SUCH FIRE  ALARM  DISPATCHER,
 PRESENTLY  EMPLOYED,  AND WHO SHALL HAVE SUSTAINED SUCH DISABILITY WHILE
 SO EMPLOYED, SHALL HAVE SUCH DIAGNOSIS BE PRESUMPTIVE EVIDENCE THAT SUCH
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD01365-02-3
              

 S. 6387                             2
 
 DISABILITY WAS INCURRED IN THE PERFORMANCE AND DISCHARGE OF DUTY, UNLESS
 THE CONTRARY BE PROVEN BY COMPETENT EVIDENCE.
   3.  THE  ANNUAL  RETIREMENT  ALLOWANCE  PAYABLE  SHALL BE EQUAL TO THE
 THREE-QUARTERS OF HIS OR HER FINAL AVERAGE SALARY.
   § 2. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   SUMMARY OF BILL: This proposed legislation would amend the  Retirement
 and  Social  Security Law (RSSL) to add a new Section 605-g to provide a
 rebuttable statutory presumption to Tier 4 and Tier 6 members of the New
 York City Employees' Retirement  System  (NYCERS)  who  are  Fire  Alarm
 Dispatchers and Supervising Fire Alarm Dispatchers, and who become phys-
 ically  or  mentally  incapacitated for performance of duty due to post-
 traumatic stress disorder (PTSD) and provide a performance of duty disa-
 bility retirement benefit  equivalent  to  75%  of  the  member's  Final
 Average Salary (FAS).
   In  determining  whether  disabling PTSD was caused by employment as a
 Dispatcher, the diagnosis of PTSD would  be  presumptive  evidence  that
 such  disability  was incurred in the performance and discharge of duty,
 unless the contrary is proven by competent evidence.
   Effective Date: Upon enactment.
   IMPACT ON BENEFITS: Currently, an  active  member  of  NYCERS  who  is
 employed  as  a  Fire  Alarm Dispatcher and becomes disabled due to PTSD
 would be eligible for  an  applicable  ordinary  disability  retirement,
 generally a lifetime payment equal to the greatest of 1/3 of FAS, 1/60th
 of  FAS  for each year of service, or the service retirement benefit, if
 eligible.
   Under the proposed legislation, the benefits  for  active  members  of
 NYCERS  working  as  Fire  Alarm  Dispatchers  who  become physically or
 mentally incapacitated for performance of duty  due  to  PTSD  would  be
 revised to equal a retirement allowance of 75% multiplied by FAS.
   FINANCIAL  IMPACT  -  OVERVIEW: There is no data available to estimate
 the number of members who might develop and become disabled by PTSD, and
 potentially benefit from this proposed legislation. Therefore, the esti-
 mated financial impact has been calculated on a per event basis equal to
 the increase in the present value of future employer  contributions  for
 an  average  member who could potentially be diagnosed with PTSD and who
 would benefit from the proposed legislation.
   In determining the increase in the present value for members who could
 benefit from the presumption provided by the  proposed  legislation,  it
 has  been  assumed  that  50% of the members would have retired under an
 Ordinary Disability Retirement (ODR) benefit, and the remaining  50%  of
 members  would have continued working and eventually retired for service
 if the proposed legislation were not passed.
   With respect to an individual member,  the  additional  cost  of  this
 proposed legislation could vary greatly depending on the member's length
 of  service, age, and salary history. In particular, the increase due to
 the proposed legislation would be greater for a member who  is  not  yet
 eligible for an ODR benefit when PTSD is diagnosed.
   FINANCIAL  IMPACT  -  PRESENT VALUES: Based on the census data and the
 actuarial assumptions and methods described  herein,  the  enactment  of
 this  proposed  legislation  would  increase the present value of future
 employer contributions by approximately $460,400, on average,  for  each
 occurrence of performance of duty disability due to PTSD.
   FINANCIAL  IMPACT  -  ANNUAL EMPLOYER CONTRIBUTIONS: Enactment of this
 proposed legislation would increase employer contributions,  where  such
 amount  would  depend on the number of members affected as well as other
 S. 6387                             3
 
 characteristics including the age, years of service, and salary  history
 of the member.
   Based  on  the actuarial assumptions and methods described herein, the
 enactment of this proposed legislation is estimated to  increase  annual
 employer  contributions  by  approximately $54,500, on average, for each
 performance of duty retirement due to PTSD.
   As there is no data currently available  to  estimate  the  number  of
 members who might be diagnosed with disabling PTSD, the financial impact
 would  be  recognized  at  the time of event.   Consequently, changes in
 employer contributions have been estimated assuming that the increase in
 the present value of future employer contributions will be financed over
 a closed 15-year period (14 payments under the One-Year Lag Methodology)
 using level dollar payments.
   With respect to the timing, increases in employer contributions  would
 depend  upon  when  members  would  retire  due  to PTSD but, generally,
 increased employer contributions will first occur the second fiscal year
 following approval of the performance of duty retirement benefit.
   CENSUS DATA: The estimates presented herein are based  on  the  census
 data  used  in the June 30, 2022 actuarial valuation of NYCERS to deter-
 mine the Preliminary Fiscal Year 2024 employer contributions.
   The 186 Fire Alarm Dispatchers and Supervising Fire Alarm  Dispatchers
 who  participate  in  NYCERS  as  of June 30, 2022 had an average age of
 approximately 40.5 years, average service of approximately  12.0  years,
 and an average salary of approximately $81,800.  This group consisted of
 113 Tier 4 active members and 73 Tier 6 active members.
   ACTUARIAL ASSUMPTIONS AND METHODS: The estimates presented herein have
 been  calculated based on the actuarial assumptions and methods used for
 the Preliminary Fiscal Year 2024 employer contributions of NYCERS.
   RISK AND UNCERTAINTY: The costs presented in this Fiscal  Note  depend
 highly  on the realization of the actuarial assumptions used, demograph-
 ics of the impacted population and other  factors  such  as  investment,
 contribution,  and other risks. If actual experience deviates from actu-
 arial assumptions, the actual costs could differ  from  those  presented
 herein.
   Costs  are also dependent on the actuarial methods used, and therefore
 different actuarial methods could produce different results. Quantifying
 these risks is beyond the scope of this Fiscal Note.
   Not measured in this Fiscal Note are the following:
   * The initial additional administrative costs of NYCERS and other  New
 York City agencies to implement the proposed legislation.
   *  The  impact  of  this  proposed legislation on Other Postemployment
 Benefit (OPEB) costs.
   STATEMENT OF ACTUARIAL OPINION: I, Marek  Tyszkiewicz,  am  the  Chief
 Actuary  for,  and  independent of, the New York City Retirement Systems
 and Pension Funds. I am an Associate of the Society of Actuaries  and  a
 Member of the American Academy of Actuaries. I am a member of NYCERS but
 do  not  believe  it impairs my objectivity and I meet the Qualification
 Standards of the American Academy of Actuaries to render  the  actuarial
 opinion  contained  herein.  To  the  best  of my 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 2023-31 dated  April  14,
 2023  was prepared by the Chief Actuary for the New York City Employees'
 Retirement System. This estimate is intended for  use  only  during  the
 2023 Legislative Session.

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  6387--B
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                              April 18, 2023
                                ___________
 
 Introduced by Sen. GOUNARDES -- 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 --  committee  discharged,  bill  amended,  ordered  reprinted  as
   amended and recommitted to said committee
 
 AN  ACT  to amend the retirement and social security law, in relation to
   disability retirement benefits for the presumption  of  post-traumatic
   stress disorder for certain titles
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The retirement and social security law is amended by adding
 a new section 605-h to read as follows:
   § 605-H. DISABILITY RETIREMENT FOR CERTAIN DISPATCHERS. 1.   A  MEMBER
 EMPLOYED  AS  A  COMMUNICATIONS  TECHNICIAN,  COMMUNICATIONS SPECIALIST,
 COMMUNICATIONS OPERATOR, RADIO DISPATCHER, OR  EMERGENCY  DISPATCHER  BY
 ANY  STATE  AGENCY,  DEPARTMENT, OR DIVISION, A COUNTY 911 DISPATCHER, A
 COUNTY 911 DISPATCHER SUPERVISOR, A NEW YORK CITY FIRE ALARM DISPATCHER,
 A NEW YORK CITY SUPERVISING FIRE ALARM DISPATCHER LEVEL  ONE  OR  A  NEW
 YORK  CITY SUPERVISING FIRE ALARM DISPATCHER LEVEL TWO SHALL BE ENTITLED
 TO DISABILITY RETIREMENT ALLOWANCE, IF, AT THE TIME APPLICATION THEREFOR
 IS FILED, SUCH  MEMBER  IS  PHYSICALLY  OR  MENTALLY  INCAPACITATED  FOR
 PERFORMANCE  OF  DUTY  AS  A RESULT OF CONTRACTING POST-TRAUMATIC STRESS
 DISORDER WHILE SO EMPLOYED AND AS A RESULT OF THEIR EMPLOYMENT.
   2. NOTWITHSTANDING ANY PROVISION OF THIS CHAPTER OR  OF  ANY  GENERAL,
 SPECIAL OR LOCAL LAW TO THE CONTRARY, ANY MEMBER WHO IS A COMMUNICATIONS
 TECHNICIAN,  COMMUNICATIONS  SPECIALIST,  COMMUNICATIONS OPERATOR, RADIO
 DISPATCHER, OR EMERGENCY DISPATCHER BY ANY STATE AGENCY, DEPARTMENT,  OR
 DIVISION, A COUNTY 911 DISPATCHER, A COUNTY 911 DISPATCHER SUPERVISOR, A
 NEW  YORK  CITY  FIRE ALARM DISPATCHER, A NEW YORK CITY SUPERVISING FIRE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD01365-13-4
              

 S. 6387--B                          2
 
 ALARM DISPATCHER LEVEL ONE OR A NEW YORK  CITY  SUPERVISING  FIRE  ALARM
 DISPATCHER  LEVEL  TWO WHO IS DIAGNOSED AS SUFFERING FROM POST-TRAUMATIC
 STRESS DISORDER RESULTING IN DISABILITY TO SUCH FIRE  ALARM  DISPATCHER,
 PRESENTLY  EMPLOYED,  AND WHO SHALL HAVE SUSTAINED SUCH DISABILITY WHILE
 SO EMPLOYED, SHALL HAVE SUCH DIAGNOSIS BE PRESUMPTIVE EVIDENCE THAT SUCH
 DISABILITY WAS INCURRED IN THE PERFORMANCE AND DISCHARGE OF DUTY, UNLESS
 THE CONTRARY BE PROVEN BY COMPETENT EVIDENCE.
   3. THE ANNUAL RETIREMENT ALLOWANCE  PAYABLE  SHALL  BE  EQUAL  TO  THE
 THREE-QUARTERS  OF THEIR FINAL AVERAGE SALARY, SUBJECT TO THE PROVISIONS
 OF SECTION SIXTY-FOUR OF THIS CHAPTER FOR MEMBERS OF THE NEW YORK  STATE
 AND LOCAL EMPLOYEES' RETIREMENT SYSTEM OR SECTION 13-176 OF THE ADMINIS-
 TRATIVE  CODE  OF THE CITY OF NEW  YORK FOR MEMBERS OF THE NEW YORK CITY
 EMPLOYEES' RETIREMENT SYSTEM.
   § 2. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   SUMMARY: This proposed legislation would provide a rebuttable statuto-
 ry presumption to Fire Alarm Dispatchers, whose disability results  from
 post-traumatic  stress disorder (PTSD) and provide a performance of duty
 disability retirement benefit equivalent to 75% of  the  member's  Final
 Average  Salary  (FAS) offset by an explicit Workers' Compensation bene-
 fit.
        ILLUSTRATION - INCREASE (DECREASE) IN EMPLOYER CONTRIBUTIONS
          by Fiscal Year for the first 25 years ($ in Thousands)
           Year                One Incident        One Incident
                                                   Per Year
           2025                56                  56
           2026                56                  114
           2027                56                  174
           2028                56                  236
           2029                56                  299
           2030                56                  365
           2031                56                  432
           2032                56                  501
           2033                56                  573
           2034                56                  646
           2035                56                  722
           2036                56                  800
           2037                56                  881
           2038                56                  964
           2039                0                   992
           2040                0                   1,022
           2041                0                   1,053
           2042                0                   1,084
           2043                0                   1,117
           2044                0                   1,151
           2045                0                   1,185
           2046                0                   1,221
           2047                0                   1,257
           2048                0                   1,295
           2049                0                   1,334
 Employer contribution impact beyond Fiscal Year 2049 is not shown.
   The potential increases in employer contributions will be allocated to
 New York City.
           EXPECTED INCREASE (DECREASE) IN ACTUARIAL LIABILITIES
                   as of June 30, 2023 ($ in Thousands)
 S. 6387--B                          3
 
           Present Value (PV)                 Per Disability
           PV of Benefits:                    443
           PV of Employee Contributions:      (33)
           PV of Employer Contributions:      477
           Unfunded Accrued Liabilities:      477
 
                AMORTIZATION OF UNFUNDED ACCRUED LIABILITY
 
           Recognized as Ongoing Gain/Loss         Per Disability
           Number of Payments:                     14
           Amortization Payment:                   56 K
 
   CENSUS DATA: The number of members who will benefit in the future from
 this fiscal note is unknown. The estimates presented herein are based on
 preliminary  census  data collected as of June 30, 2023. The census data
 for the potentially impacted population  used  to  develop  the  average
 costs is summarized below.
 
                               NYCERS
           Active Members
           - Number Count:     187
           - Average Age:      41.0
           - Average Service:  12.2
           - Average Salary:   82,900
 
   IMPACT  ON  MEMBER BENEFITS: Currently, an active member of NYCERS who
 is employed as a Fire Alarm Dispatcher and becomes disabled due to PTSD,
 is eligible for an ordinary disability retirement, generally a  lifetime
 payment  of  1/60th of Final Average Salary (FAS) times service not less
 than 1/3 of FAS.
   Under the proposed legislation, the  performance  of  duty  disability
 benefit would be equal to:
   * 75% of Final Average Salary (FAS), where
   *  FAS  is defined as 3-Year FAS for Tier 4 and 5-Year FAS for Tier 6,
 with
   * an explicit Workers' Compensation offset.
   ASSUMPTIONS AND METHODS: The  estimates  presented  herein  have  been
 calculated  based  on the Revised 2021 Actuarial Assumptions and Methods
 of NYCERS.
   The number of additional members and eligible retirees who will  bene-
 fit  in  the future from this fiscal note is unknown and included as per
 incident disability costs. The cost of this proposed  legislation  could
 vary  greatly  depending on the number of future members who benefit and
 on their length of service, age, and salary history.
   The estimated per incident financial impact for disabled  members  has
 been  calculated  assuming  50%  would retire under the current ordinary
 disability benefit, and 50%  would  continue  working  if  the  proposed
 legislation were not passed.
   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.
 S. 6387--B                          4
 
   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 2024-48 dated May 3, 2024
 was prepared by the Chief Actuary  for  the  New  York  City  Retirement
 Systems and Pension Funds. This estimate is intended for use only during
 the 2024 Legislative Session.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   This  bill  would grant improved disability eligibility to any Tier 3,
 4, 5 or 6 member of the New York State and Local  Employees'  Retirement
 System (NYSLERS) employed in the title of
   1. Communication technician, specialist, or operator,
   2. Radio dispatcher or Emergency dispatcher, or
   3. County 911 dispatcher or supervisor.
   For any member so employed who is diagnosed with post-traumatic stress
 disorder, resulting in disability, such diagnosis shall be considered as
 presumptive evidence that the disability was incurred in the performance
 of  the  member's  duties,  unless  the  contrary be proven by competent
 evidence. The annual accidental disability  benefit  for  these  members
 would be 75% of final average salary (FAS), minus workers' compensation.
 Current disability benefits vary by employer.
   Insofar  as  this bill affects the New York State and Local Employees'
 Retirement System (NYSLERS), pursuant to Section 25  of  the  Retirement
 and  Social Security Law, the increased costs would be borne entirely by
 the State of New York and would require an itemized appropriation suffi-
 cient to pay the cost of the provision. If this bill were enacted during
 the 2024 Legislative Session, the increase in the present value of bene-
 fits would be approximately $1.4 billion.
   In the NYSLERS, this benefit improvement will be funded by (1) billing
 a past service cost to cover retrospective  benefit  increases  and  (2)
 increasing the billing rates charged annually to cover prospective bene-
 fit increases, as follows:
   (1)  To  fund  retrospective  costs,  the  State  of  New York will be
 required to pay $445 million as of March 1, 2025.
   (2) To fund prospective costs, the annual contribution required of the
 State of New York and local participating  employers  will  increase  by
 2.0%  of  affected  member  salary,  or approximately $42 million to the
 State of New York and 49.5 million to the local participating employers,
 beginning in fiscal year ending March 31, 2025.  This  PERMANENT  ANNUAL
 COST  will vary in subsequent billing cycles with changes in the billing
 rate and salary of the affected members.
   Further, this proposal will require many of  the  3,000  participating
 employers  to  modify  their  reporting  to  the NYSLERS to identify the
 affected members. As a result, we anticipate  additional  administrative
 costs to implement the provisions of this legislation.
   The  exact  number  of  current  members as well as future members who
 could be affected by this legislation cannot be readily determined.
 S. 6387--B                          5
 
   Summary of relevant resources:
   Membership  data as of March 31, 2023 was used in measuring the impact
 of the proposed change, the same data used in the April 1, 2023 actuari-
 al valuation.  Distributions and other statistics can be  found  in  the
 2023  Report  of the Actuary and the 2023 Annual Comprehensive Financial
 Report.
   The actuarial assumptions and methods used are described in  the  2023
 Annual  Report  to  the  Comptroller  on  Actuarial Assumptions, 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, 2023
 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 May 15, 2024, and intended for  use  only  during
 the  2024  Legislative Session, is Fiscal Note No. 2024-183, prepared by
 the Actuary for the New York State and Local Retirement System.