S T A T E O F N E W Y O R K
________________________________________________________________________
8797
2009-2010 Regular Sessions
I N A S S E M B L Y
June 9, 2009
___________
Introduced by M. of A. McENENY -- read once and referred to the Commit-
tee on Governmental Employees
AN ACT to amend the education law, in relation to retirement service
credit for certain World War II service
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 10-a of section 503 of the education law, as
added by chapter 864 of the laws of 1980 and paragraph a as amended by
chapter 616 of the laws of 1995, is amended to read as follows:
10-a. Credit for certain World War II service. a. In addition to cred-
it for military service pursuant to section two hundred forty-three of
the military law and subdivisions six through nine of this section, a
RETIRED member who joined the retirement system prior to July first,
nineteen hundred seventy-three, and who was not [eligible for credit for
military service under subdivision ten of this section as a result of
being on a leave of absence without pay between July twentieth, nineteen
hundred seventy-six and October fifteenth, nineteen hundred seventy-sev-
en or on leave of absence with less than full pay between July twenti-
eth, nineteen hundred seventy-six and October fifteenth, nineteen
hundred seventy-seven] A RESIDENT OF THE STATE OF NEW YORK AT THE TIME
OF ENTRY INTO AND DISCHARGE FROM SUCH MILITARY SERVICE, may obtain cred-
it for military service not in excess of three years and not otherwise
creditable under section two hundred forty-three of the military law and
subdivisions six through nine of this section, rendered on active duty
in the armed forces of the United States during the period commencing
July first, nineteen hundred forty, and terminating December thirty-
first, nineteen hundred forty-six, or on service by one who was employed
by the War Shipping Administration or Office of Defense Transportation
or their agents as a merchant seaman documented by the United States
Coast Guard or Department of Commerce, or as a civil servant employed by
the United States Army Transport Service (later redesignated as the
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01076-02-9
A. 8797 2
United States Army Transportation Corps, Water Division) or the Naval
Transportation Service; and who served satisfactorily as a crew member
during the period of armed conflict, December seventh, nineteen hundred
forty-one, to August fifteenth, nineteen hundred forty-five, aboard
merchant vessels in oceangoing, i.e., foreign, intercoastal, or coast-
wise service as such terms are defined under federal law (46 USCA 10301
& 10501) and further to include "near foreign" voyages between the
United States and Canada, Mexico, or the West Indies via ocean routes,
or public vessels in oceangoing service or foreign waters and who has
received a Certificate of Release or Discharge from Active Duty and a
discharge certificate, or an Honorable Service Certificate/Report of
Casualty, from the Department of Defense, or on service by one who
served as a United States civilian employed by the American Field
Service and served overseas under United States Armies and United States
Army Groups in world war II during the period of armed conflict, Decem-
ber seventh, nineteen hundred forty-one through May eighth, nineteen
hundred forty-five, and who was discharged or released therefrom under
honorable conditions, or on service by one who served as a United States
civilian Flight Crew and Aviation Ground Support Employee of Pan Ameri-
can World Airways or one of its subsidiaries or its affiliates and
served overseas as a result of Pan American's contract with Air Trans-
port Command or Naval Air Transport Service during the period of armed
conflict, December fourteenth, nineteen hundred forty-one through August
fourteenth, nineteen hundred forty-five, and who was discharged or
released therefrom under honorable conditions [by a person who was a
resident of New York state at the time of entry into such service and at
the time of being] PROVIDED HE OR SHE WAS discharged therefrom under
honorable circumstances[, and who makes the payments required in accord-
ance with the provisions of this subdivision].
However, no military service shall be creditable under this subdivi-
sion in the case of a RETIRED member who is receiving a military pension
(other than for disability) for military service in the armed forces of
the United States.
b. [To obtain such credit a member shall: (1) deposit in the annuity
savings fund a sum equal to the product of his required contribution
rate at time of entry into full-time New York state teaching service,
his annual full-time rate of compensation at that time, and the period
of military service being claimed, with regular interest, and (2) depos-
it in the pension accumulation fund a sum equal to the product of the
employer's contribution rate exclusive of the rate for supplemental
pensions at the time of the member's entry into such teaching service,
his annual full-time rate of compensation at that time, and the period
of military service being claimed, with regular interest. Such deposit
must be made on or before October fourteenth, nineteen hundred eighty,
provided, however, such member may elect to deposit such amount over a
period of time no greater than the period for which credit is being
claimed, in which case such payments must commence no later than October
fourteenth, nineteen hundred eighty. If the full amount of such payments
is not paid to the retirement system at the time of retirement, the
amount of service credited shall be proportional to the total amount of
the payments made.
c. The credit for military service hereunder shall not be used to
increase a service retirement benefit if, at the time of retirement,
such member (1) is retiring from service with less than ten years of
full-time service credit or (2) is retiring with less than three years
of member service rendered subsequent to the date that he last became a
A. 8797 3
member of this system. Upon retirement, as specified in (1) or (2),
there shall be refunded to such member the amount of such deposit plus
accrued interest exclusive of the amount deposited to the pension accu-
mulation fund attributable to death and disability benefits.
d. (1) In the case of members who have transferred into this system
from another public retirement system within the state of New York,
their rate of contribution shall be computed as though they had been a
member of this system from the date of membership in the retirement
system from which they transferred.
(2) Any other provision of law to the contrary notwithstanding, the
rate of contribution to be used in calculating contributions to the
annuity savings fund pursuant to this subdivision shall be at the rate
of four per centum of earnable compensation for members whose date of
membership is on or before June thirtieth, nineteen hundred forty-eight
and at the rate of five per centum of earnable compensation for members
whose date of membership is on or after July first, nineteen hundred
forty-eight.
e.] In no event shall credit be granted pursuant to this subdivision
if credit is granted for the same period of time pursuant to other
provisions of law.
[f. No application for credit pursuant to the provisions of this
subdivision shall be honored if made on or after October fifteenth,
nineteen hundred eighty.]
S 2. This act shall take effect August 1, 2009; provided, that any
benefit increases are to be provided prospectively from the date of
application for credit.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
This bill would permit retired members who last joined the New York
State Teachers' Retirement System prior to July 1, 1973 and were not
eligible for credit under subdivision ten of section five hundred three
of the Education Law as a result of not being a resident of New York
State at the time of entry into, and discharge from, military service,
to obtain retirement credit for a maximum of three years of military
service rendered during the period July 1, 1940 through December 31,
1946. This increase in benefit is to be provided prospectively from the
date of application.
The annual cost to the employers of members of the New York State
Teachers' Retirement System is estimated to be $699,000 or .005% of
payroll if this bill is enacted.
The source of this estimate is Fiscal Note 2009-72 dated June 2, 2009
prepared by the Actuary of the New York State Teachers' Retirement
System and is intended for use only during the 2009 Legislative Session.