S T A T E   O F   N E W   Y O R K
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                                  2826

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            January 21, 2009
                               ___________

Introduced by M. of A. ABBATE -- read once and referred to the Committee
  on Education

AN  ACT  to amend the education law, in relation to the mandated payment
  of unclaimed funds in the amount of one thousand dollars or less

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

  Section 1. Section 531 of the education law is amended by adding a new
subdivision 5 to read as follows:
  5.  NOTWITHSTANDING  ANY PROVISION OF THIS SECTION TO THE CONTRARY AND
IN LIEU OF ANY OTHER PROCEDURE PROVIDED FOR IN THIS SECTION, THE RETIRE-
MENT BOARD IS  AUTHORIZED  TO  MANDATE  THE  DISTRIBUTION  OF  UNCLAIMED
AMOUNTS  NOT  TO  EXCEED  ONE  THOUSAND  DOLLARS  IN EACH CASE TO FORMER
MEMBERS OR CONTRIBUTORS, OR PERSONS  ENTITLED  TO  A  BENEFIT  FROM  THE
SYSTEM,  IN  CASES  IN WHICH AT LEAST SEVEN YEARS HAVE ELAPSED SINCE THE
MEMBER OR CONTRIBUTOR WITHDREW FROM SERVICE OR CEASED TO  BE  A  TEACHER
FOR  ANY  CAUSE  OTHER  THAN DEATH OR RETIREMENT OR AT LEAST SEVEN YEARS
HAVE ELAPSED FROM THE DATE ANY OTHER PERSON BECAME ENTITLED TO A BENEFIT
FROM THE SYSTEM PURSUANT TO ANY PROVISION OF  THIS  CHAPTER  OR  OF  THE
RETIREMENT AND SOCIAL SECURITY LAW.
  S 2. This act shall take effect immediately.
  FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
  This  bill  would  amend Section 531 of the Education Law to authorize
the Retirement Board of the New York State Teachers'  Retirement  System
to  promulgate  rules and regulations allowing for the mandated distrib-
ution of unclaimed funds in the amount of $1,000 or less.
  The annual cost to the employers of members  of  the  New  York  State
Teachers'  Retirement  System is estimated to be negligible if this bill
is enacted.
  The source of this estimate is Fiscal Note 2009-6  dated  October  15,
2008  prepared by the Actuary of the New York State Teachers' Retirement
System and is intended for use only during the 2009 Legislative Session.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06323-01-9