S T A T E   O F   N E W   Y O R K
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                                  4879

                       2013-2014 Regular Sessions

                          I N  A S S E M B L Y

                            February 13, 2013
                               ___________

Introduced  by M. of A. ABBATE, STEVENSON -- Multi-Sponsored by -- M. of
  A. COLTON, COOK, HOOPER -- read once and referred to the Committee  on
  Governmental Employees

AN  ACT  to amend the retirement and social security law, in relation to
  eligibility for retirement of members of the New York state and  local
  employees' retirement system

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

  Section 1. Section 442 of the retirement and social  security  law  is
amended by adding a new subdivision c to read as follows:
  C.  NOTWITHSTANDING  ANY  OTHER  PROVISION OF LAW, A MEMBER OF THE NEW
YORK STATE AND LOCAL EMPLOYEES' RETIREMENT  SYSTEM  MAY  RETIRE  WITHOUT
REDUCTION  OF  HIS OR HER RETIREMENT BENEFIT UPON COMPLETION OF AT LEAST
THIRTY-FIVE OR MORE YEARS OF SERVICE REGARDLESS OF AGE.
  S 2. Section 503 of the retirement and social security law is  amended
by adding a new subdivision e to read as follows:
  E.  NOTWITHSTANDING  ANY  OTHER  PROVISION OF LAW, A MEMBER OF THE NEW
YORK STATE AND LOCAL EMPLOYEES' RETIREMENT  SYSTEM  MAY  RETIRE  WITHOUT
REDUCTION  OF  HIS OR HER RETIREMENT BENEFIT UPON COMPLETION OF AT LEAST
THIRTY-FIVE OR MORE YEARS OF SERVICE REGARDLESS OF AGE.
  S 3. Section 603 of the retirement and social security law is  amended
by adding a new subdivision u to read as follows:
  U.  NOTWITHSTANDING  ANY  OTHER  PROVISION OF LAW, A MEMBER OF THE NEW
YORK STATE AND LOCAL EMPLOYEES' RETIREMENT  SYSTEM  MAY  RETIRE  WITHOUT
REDUCTION  OF  HIS OR HER RETIREMENT BENEFIT UPON COMPLETION OF AT LEAST
THIRTY-FIVE OR MORE YEARS OF SERVICE REGARDLESS OF AGE.
  S 4. This act shall take effect immediately and shall be deemed to  be
in full force and effect on and after June 30, 2013.
  FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
  This  bill  would allow Tiers 2, 3, 4, 5 and 6 members of the New York
State and Local Employees' Retirement System to retire without a benefit

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08295-01-3
              

A. 4879                             2

reduction due to early retirement upon the completion of at least  thir-
ty-five (35) years of service, without regard to age.
  If  this  bill is enacted, we anticipate that there would be estimated
one time cost of approximately $87.1 million.  Pursuant to Section 25 of
the Retirement and Social Security Law, this cost would be borne by  the
State  of  New  York  and would require an itemized appropriation by the
State of New York sufficient to pay the cost of the provision.  If  this
cost  is  amortized  over  a 5 year period, the cost for the first year,
including interest, would be approximately $20.0 million.
  In addition to the one  time  cost  above,  there  would  also  be  an
increase  in  the annual contributions of approximately 0.3% and 0.4% of
the annual salaries of the general  plan  members  in  Tiers  5  and  6,
respectively,  for  the  fiscal year ending March 31, 2014.  Pursuant to
Section 25, these additional annual costs would also  be  borne  by  the
state of New York.
  Summary of relevant resources:
  Data:  March  31,  2012  Actuarial Year End File with distributions of
membership and other statistics displayed in  the  2012  Report  of  the
Actuary and 2012 Comprehensive Annual Financial Report.
  Assumptions  and  Methods:  2010,  2011  and 2012 Annual Report to the
Comptroller on Actuarial Assumptions, Codes Rules and Regulations of the
State of New York: Audit and Control.
  Market Assets and GASB Disclosures: March 31, 2012 New York State  and
Local  Retirement System Financial Statements and Supplementary informa-
tion.
  Valuations of Benefit Liabilities and Actuarial Assets: summarized  in
the 2012 Actuarial Valuations report.
  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  December  17,  2012, and intended for use only
during the  2013  Legislative  Session,  is  Fiscal  Note  No.  2013-20,
prepared  by  the  Actuary  for  the New York State and Local Employees'
Retirement System.