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.