Senate Bill S5329A

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5329--A
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                              March 21, 2017
                                ___________
 
 Introduced  by  Sens.  TEDISCO,  AKSHAR,  AVELLA, RITCHIE, SEWARD -- (at
   request of the New York State Teachers'  Retirement  System)  --  read
   twice  and  ordered  printed,  and when printed to be committed to the
   Committee on Civil Service and Pensions -- recommitted to the  Commit-
   tee  on  Civil  Service and Pensions in accordance with Senate Rule 6,
   sec. 8 -- committee discharged, bill  amended,  ordered  reprinted  as
   amended and recommitted to said committee
 
 AN ACT to amend the education law, in relation to the minimum retirement
   allowance  for  members  of  the  New  York state teachers' retirement
   system who retired prior to July 1, 1980
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph 1 of subdivision e of section 532 of the educa-
 tion law, as amended by chapter 580 of  the laws of 2001, is amended  to
 read as follows:
   1.  Each  pensioner  of  the retirement system who retired before July
 first, nineteen hundred [seventy] EIGHTY shall be paid, commencing  with
 a  payment  for  the  month  of July two thousand [one] EIGHTEEN a basic
 supplemental pension, the total of which when added to his OR HER yearly
 retirement allowance computed without optional modification, but exclud-
 ing any annuity derived from contributions made by members  pursuant  to
 paragraphs a and b of subdivision three of section five hundred sixteen,
 section  five  hundred  twenty-eight,  section five hundred twenty-nine,
 section five hundred  thirty,  section  five  hundred  thirty-three  and
 section five hundred thirty-five of this article, shall equal the lesser
 of [seventeen thousand five hundred] NINETEEN THOUSAND TWO HUNDRED FIFTY
 dollars  or  the  sum  of  five  hundred FIFTY dollars multiplied by the
 number of years of full-time New York state service not to exceed  thir-
 ty-five  years  with  which he OR SHE was credited at the time of his OR
 HER retirement.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10538-02-8
              

 S. 5329--A                          2
 
   § 2. This act shall take effect June 30, 2018, except that if this act
 shall have become a law after June 30, 2018, this act shall take  effect
 immediately and shall be deemed to have been in full force and effect on
 and after June 30, 2018.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   This  bill  would  extend the minimum retirement benefit provision for
 retirees of the New York State Teachers' Retirement System contained  in
 Section  532(e)  of the Education Law to members who retired before July
 1, 1980. Currently only members who retired  before  July  1,  1970  are
 eligible.  Additionally the minimum annual benefit would be increased to
 $550 for each year of credited full-time New York State service,  up  to
 35  years,  for  a  maximum benefit of $19,250. The benefit is currently
 $500 for each year up to 35, for  a  maximum  benefit  of  $17,500.  The
 increased  benefit  would  commence with a payment for the month of July
 2018.
   The annual cost to the employers of members  of  the  New  York  State
 Teachers' Retirement System for this benefit is estimated to be $448,000
 or .003% of payroll if this bill is enacted.
   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  2018-1  dated  October  6,
 2017  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.