Assembly Bill A10720

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10720
 
                           I N  A S S E M B L Y
 
                               May 15, 2018
                                ___________
 
 Introduced by M. of A. GIGLIO -- read once and referred to the Committee
   on Governmental Employees
 
 AN  ACT to authorize the payment of ordinary disability retirement bene-
   fits by the New York state teachers' retirement system to the widow of
   David Waugh
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Notwithstanding any other provision of law to the contrary,
 Shelly Waugh, the widow of David Waugh, an active member of the New York
 state  teachers'  retirement system who died on October 31, 2017 and who
 prior to his death executed a written document attempting  to  authorize
 Shelly Waugh to execute his retirement paperwork with his intent to name
 Shelly  Waugh  as  the  100  percent  survivor of his benefit, is hereby
 granted the legal authority to act on behalf of David Waugh  as  if  she
 had been granted said authority in accordance with section 5-1514 of the
 general obligations law prior to his death.
   Upon  the  granting of said authority to Shelly Waugh pursuant to this
 act, the New York state teachers' retirement system shall be  authorized
 to  accept  the  written statement executed on October 30, 2017 by David
 and Shelly Waugh, confirming his intention to file a retirement applica-
 tion and deeming said statement a properly executed  power  of  attorney
 and  statutory  gift  rider.  Shelly Waugh is then authorized to file an
 application for disability retirement, to be submitted to the retirement
 system within 1 year of the effective date of this act, and such  appli-
 cation  for disability retirement shall sustain the intent of the member
 to select the 100 percent survivor option with the designation of Shelly
 Waugh as the beneficiary of said benefit.    The  application  shall  be
 deemed  to have been effectively filed with the New York state teachers'
 retirement  system  on  October  30,  2017  and  is  furthermore  deemed
 approved.
   All retirement benefits payable pursuant to the provisions of this act
 shall be paid to Shelly Waugh in accordance with the disability applica-
 tion filed with the retirement system and shall be in lieu of any active
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD14119-04-8

 A. 10720                            2
 
 death  benefits  and  refund of employee contributions payable under the
 law.  Benefits are to be payable commencing October 30, 2017.
   §  2.  Any cost generated as a result of this act shall be paid for by
 employers of members of the New York state teachers' retirement system.
   § 3. This act shall take effect immediately.
   Fiscal Note.--Pursuant to Legislative Law, Section 50:
   This bill would allow Shelly Waugh, the widow of David Waugh, who  was
 an  active  Tier  4  member  of  the New York State Teachers' Retirement
 System who died on October 31, 2017, and who prior to his death executed
 a written document on October 30, 2017 attempting  to  authorize  Shelly
 Waugh  to  be  granted  the  legal authority to act on his behalf, to be
 granted such legal authority in accordance with Section  5-1514  of  the
 General  Obligations  Law. Upon the granting of said authority to Shelly
 Waugh, the New York State Teachers' Retirement System shall  be  author-
 ized to accept such written document confirming Mr. Waugh's intention to
 file  a  retirement  application  and  deem  such document as a properly
 executed power of attorney and statutory gift rider.  Mrs.  Waugh  would
 then  be  authorized  to file a disability retirement application on her
 deceased husband's behalf selecting the 100 percent joint  and  survivor
 optional benefit designating herself as the beneficiary. Such disability
 retirement  application  must  be filed by Mrs. Waugh within one year of
 the effective date of this act,  and  shall  be  considered  effectively
 filed  on October 30, 2017 and deemed approved. Benefits are to be paya-
 ble as of October  30,  2017.  The  benefits  payable  pursuant  to  the
 provisions  of this act shall be in lieu of any active death benefit and
 refund of employee contributions payable under the law.
   The cost for this benefit is equal to  the  increase  in  the  present
 value of benefits, which is estimated to be $194,000. This cost is to be
 borne  by  the  employers  of  members  of  the New York State Teachers'
 Retirement System.
   Member data is from  the  System's  most  recent  actuarial  valuation
 files,  consisting  of  data provided by the employers to the Retirement
 System. Data distributions and statistics can be found in  the  System's
 Comprehensive  Annual  Financial  Report  (CAFR).  System  assets are as
 reported in the System's financial statements, and can also be found  in
 the CAFR. Actuarial assumptions and methods are provided in the System's
 Actuarial Valuation Report.
   The  source  of this estimate is Fiscal Note 2018-29 dated May 9, 2018
 prepared by the Actuary of  the  New  York  State  Teachers'  Retirement
 System and is intended for use only during the 2018 Legislative Session.
 I,  Richard  A.  Young,  am the Actuary for the New York State Teachers'
 Retirement System. I am a member of the American  Academy  of  Actuaries
 and  I meet the Qualification Standards of the American Academy of Actu-
 aries to render the actuarial opinion contained herein.