NY State Assembly Bill A5978B

Archive: Last Bill Status - In Assembly Committee

Introduced
In Committee
On Floor Calendar
- Passed Senate
- Passed Assembly
Delivered to Governor
Signed/Vetoed by Governor

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Actions

view actions (6)

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Feb 12, 2020	print number 5978b
Feb 12, 2020	amend and recommit to governmental employees
Jan 08, 2020	referred to governmental employees
Apr 30, 2019	print number 5978a
Apr 30, 2019	amend and recommit to governmental employees
Feb 22, 2019	referred to governmental employees

Bill Amendments

Original

B (Active)

Original

B (Active)

A5978 - Details

Law Section:: General Business Law
Laws Affected:: Amd §§1301, 1304, 1309, 1313, 1310 & 1300, Gen Bus L
Versions Introduced in 2021-2022 Legislative Session:: A3213

A5978 - Summary

Ensures that employees are automatically enrolled into the secure choice savings program and if they do not want to participate in the program, they must opt out.

A5978 - Bill Text download pdf


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

                                  5978

                       2019-2020 Regular Sessions

                          I N  A S S E M B L Y

                            February 22, 2019
                               ___________

Introduced  by  M.  of  A.  RODRIGUEZ  --  read once and referred to the
  Committee on Governmental Employees

AN ACT to amend the general business law,  in  relation  to  the  secure
  choice savings program

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

  Section 1. Section 1301 of the  general  business  law,  as  added  by
section  2  of  part  X of chapter 55 of the laws of 2018, is amended to
read as follows:
  § 1301. Program established. There is hereby established a  retirement
savings  program  in  the  form  of  [a] AN AUTOMATIC ENROLLMENT payroll
deduction IRA, known  as  the  New  York  state  secure  choice  savings
program.  The  general  administration and responsibility for the proper
operation of the program shall be administered  by  the  board  for  the
purpose  of  promoting  greater  retirement  savings  for private-sector
employees in a convenient, low-cost, and portable manner. The board  may
delegate  such  authority  and  responsibility  for  the development and
implementation of the program to the department of taxation and  finance
as the board deems proper.
  §  2.  Subdivision  9  of section 1304 of the general business law, as
added by section 2 of part X of chapter 55  of  the  laws  of  2018,  is
amended to read as follows:
  9.  Evaluate  and  establish  or  authorize the process for enrollment
including the process by which an employee may OPT NOT TO participate in
the program, select a contribution level, select an  investment  option,
and terminate participation in the program.
  §  3.  Subdivisions 3, 4 and 5 of section 1309 of the general business
law, as added by section 2 of part X of chapter 55 of the laws of  2018,
are amended to read as follows:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08082-01-9

A. 5978                             2

  3.  The  employee  informational  materials shall include a disclosure
form.  The disclosure form shall explain, but not be limited to, all  of
the following:
  (a) the benefits and risks associated with making contributions to the
program;
  (b) the process for making contributions to the program;
  (c) how to [cease participation in] OPT OUT OF the program;
  (d)  the  process  by which an employee can participate in the program
with a level of employee contributions other than three percent;
  (e) that they are not required to participate or contribute more  than
three percent;
  (f) the process for withdrawal of retirement savings;
  (g)  the  process  for  selecting  beneficiaries  of  their retirement
savings;
  (h) how to obtain additional information about the program;
  (i) that employees seeking financial advice should  contact  financial
advisors,  that participating employers are not in a position to provide
financial advice, and that participating employers are  not  liable  for
decisions employees make pursuant to this article;
  (j)  information  on  how  to  access any available financial literacy
programs; [and]
  (k) that the program fund is not guaranteed by the state;
  (L) THAT THEY CAN OPT OUT AFTER THEY HAVE BEEN ENROLLED.
  4. The employee informational materials shall also include a form  for
an  employee  to  note  his  or  her  decision [regarding] TO OPT OUT OF
participation in the program or [election] ELECT to participate  with  a
level of employee contributions other than three percent.
  5.  Participating  employers  shall  supply the employee informational
materials to existing employees at least one month prior to the  partic-
ipating employers' facilitation of access to the program.  Participating
employers  shall  supply  the  employee  informational  materials to new
employees at the time of hiring AND NEW EMPLOYEES MAY OPT OUT OF PARTIC-
IPATION IN THE PROGRAM.
  § 4. Subdivision 1 of section 1313 of the  general  business  law,  as
added  by  section  2  of  part  X of chapter 55 of the laws of 2018, is
amended to read as follows:
  1. Participating employers shall not have any liability for an employ-
ee's decision regarding whether to participate in, OR OPT  OUT  OF,  the
program or for the investment decisions of the board or of any enrollee.
  § 5. This act shall take effect immediately.

Co-Sponsors

Multi-Sponsors

A5978A - Details

Law Section:: General Business Law
Laws Affected:: Amd §§1301, 1304, 1309, 1313, 1310 & 1300, Gen Bus L
Versions Introduced in 2021-2022 Legislative Session:: A3213

A5978A - Summary

Ensures that employees are automatically enrolled into the secure choice savings program and if they do not want to participate in the program, they must opt out.

A5978A - Bill Text download pdf


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

                                 5978--A

                       2019-2020 Regular Sessions

                          I N  A S S E M B L Y

                            February 22, 2019
                               ___________

Introduced  by  M.  of  A.  RODRIGUEZ  --  read once and referred to the
  Committee on Governmental  Employees  --  committee  discharged,  bill
  amended,  ordered reprinted as amended and recommitted to said commit-
  tee

AN ACT to amend the general business law,  in  relation  to  the  secure
  choice savings program

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

  Section 1. Section 1301 of the  general  business  law,  as  added  by
section  2  of  part  X of chapter 55 of the laws of 2018, is amended to
read as follows:
  § 1301. Program established. There is hereby established a  retirement
savings  program  in  the  form  of  [a] AN AUTOMATIC ENROLLMENT payroll
deduction IRA, known  as  the  New  York  state  secure  choice  savings
program.  The  general  administration and responsibility for the proper
operation of the program shall be administered  by  the  board  for  the
purpose  of  promoting  greater  retirement  savings  for private-sector
employees in a convenient, low-cost, and portable manner. The board  may
delegate  such  authority  and  responsibility  for  the development and
implementation of the program to the department of taxation and  finance
as the board deems proper.
  §  2.  Subdivision  9  of section 1304 of the general business law, as
added by section 2 of part X of chapter 55  of  the  laws  of  2018,  is
amended to read as follows:
  9.  Evaluate  and  establish  or  authorize the process for enrollment
including the process by which an employee may OPT NOT TO participate in
the program, select a contribution level, select an  investment  option,
and terminate participation in the program.
  §  3.  Subdivisions 3, 4 and 5 of section 1309 of the general business
law, as added by section 2 of part X of chapter 55 of the laws of  2018,
are amended to read as follows:

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

                                                           LBD08082-03-9

A. 5978--A                          2

  3.  The  employee  informational  materials shall include a disclosure
form.  The disclosure form shall explain, but not be limited to, all  of
the following:
  (a) the benefits and risks associated with making contributions to the
program;
  (b) the process for making contributions to the program;
  (c) how to [cease participation in] OPT OUT OF the program;
  (d)  the  process  by which an employee can participate in the program
with a level of employee contributions other than three percent;
  (e) that they are not required to participate or contribute more  than
three percent;
  (f) the process for withdrawal of retirement savings;
  (g)  the  process  for  selecting  beneficiaries  of  their retirement
savings;
  (h) how to obtain additional information about the program;
  (i) that employees seeking financial advice should  contact  financial
advisors,  that participating employers are not in a position to provide
financial advice, and that participating employers are  not  liable  for
decisions employees make pursuant to this article;
  (j)  information  on  how  to  access any available financial literacy
programs; [and]
  (k) that the program fund is not guaranteed by the state;
  (L) THAT THEY CAN OPT OUT AFTER THEY HAVE BEEN ENROLLED.
  4. The employee informational materials shall also include a form  for
an  employee  to  note  his  or  her  decision [regarding] TO OPT OUT OF
participation in the program or [election] ELECT to participate  with  a
level of employee contributions other than three percent.
  5.  Participating  employers  shall  supply the employee informational
materials to existing employees at least one month prior to the  partic-
ipating employers' facilitation of access to the program.  Participating
employers  shall  supply  the  employee  informational  materials to new
employees at the time of hiring AND NEW EMPLOYEES MAY OPT OUT OF PARTIC-
IPATION IN THE PROGRAM.
  § 4. Subdivision 1 of section 1313 of the  general  business  law,  as
added  by  section  2  of  part  X of chapter 55 of the laws of 2018, is
amended to read as follows:
  1. Participating employers shall not have any liability for an employ-
ee's decision regarding whether to participate in, OR OPT  OUT  OF,  the
program or for the investment decisions of the board or of any enrollee.
  §  5.    Subdivision 1 of section 1310 of the general business law, as
added by section 2 of part X of chapter 55  of  the  laws  of  2018,  is
amended to read as follows:
  1.  [No  employer  shall  be  required  to participate in or otherwise
implement the program.] (A) EACH PARTICIPATING EMPLOYER SHALL  ESTABLISH
A  PAYROLL  DEDUCTION  IRA  TO ALLOW EACH EMPLOYEE TO PARTICIPATE IN THE
PROGRAM AT MOST NINE MONTHS  AFTER  THE  BOARD  OPENS  THE  PROGRAM  FOR
ENROLLMENT.
  (B)  PARTICIPATING EMPLOYERS SHALL AUTOMATICALLY ENROLL IN THE PROGRAM
EACH OF THEIR EMPLOYEES WHO HAS NOT OPTED OUT OF  PARTICIPATION  IN  THE
PROGRAM  USING  THE  FORM  DESCRIBED  IN  THIS ARTICLE AND SHALL PROVIDE
PAYROLL DEDUCTION RETIREMENT SAVINGS ARRANGEMENTS FOR SUCH EMPLOYEES AND
DEPOSIT, ON BEHALF OF SUCH EMPLOYEES,  THESE  FUNDS  INTO  THE  PROGRAM.
SMALL  EMPLOYERS  WITH LESS THAN TEN EMPLOYEES MAY, BUT ARE NOT REQUIRED
TO, OPT INTO THE PROGRAM.

A. 5978--A                          3

  § 6. Subdivisions 4 and 8 of section 1300 of the general business law,
as added by section 2 of part X of chapter 55 of the laws of  2018,  are
amended and a new subdivision 10-a is added to read as follows:
  4.  "Employer"  shall  mean  a person or entity engaged in a business,
industry, profession, trade, or other  enterprise  in  New  York  state,
whether  for  profit or not for profit, that (I) HAS AT ALL TIMES DURING
THE PREVIOUS CALENDAR YEAR EMPLOYED AT LEAST TEN EMPLOYEES IN THE STATE,
(II) HAS BEEN IN BUSINESS AT LEAST TWO YEARS, AND (III) has not  offered
a qualified retirement plan, including, but not limited to, a plan qual-
ified  under  sections 401(a), 401(k), 403(a), 403(b), 408(k), 408(p) or
457(b) of the Internal Revenue Code of 1986 in the preceding two years.
  8. "Participating employer" shall mean an employer OR  SMALL  EMPLOYER
that  [elects to facilitate] FACILITATES access to the program's payroll
deduction IRA as provided for by this article for its employees who  are
enrollees in the program.
  10-A.  "SMALL  EMPLOYER"  SHALL  MEAN  A PERSON OR ENTITY ENGAGED IN A
BUSINESS, INDUSTRY, PROFESSION, TRADE, OR OTHER ENTERPRISE IN  NEW  YORK
STATE, WHETHER FOR PROFIT OR NOT FOR PROFIT, THAT (I) EMPLOYED LESS THAN
TEN  EMPLOYEES  AT  ANY  ONE  TIME  IN THE STATE THROUGHOUT THE PREVIOUS
CALENDAR YEAR, OR (II) HAS BEEN IN BUSINESS LESS THAN TWO YEARS, OR BOTH
PARAGRAPHS (I) AND (II), BUT THAT NOTIFIES THE COMPTROLLER  THAT  IT  IS
INTERESTED IN BEING A PARTICIPATING EMPLOYER.
  § 7. This act shall take effect immediately.

Co-Sponsors

Multi-Sponsors

A5978B (ACTIVE) - Details

Law Section:: General Business Law
Laws Affected:: Amd §§1301, 1304, 1309, 1313, 1310 & 1300, Gen Bus L
Versions Introduced in 2021-2022 Legislative Session:: A3213

A5978B (ACTIVE) - Summary

Ensures that employees are automatically enrolled into the secure choice savings program and if they do not want to participate in the program, they must opt out.

A5978B (ACTIVE) - Bill Text download pdf


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

                                 5978--B

                       2019-2020 Regular Sessions

                          I N  A S S E M B L Y

                            February 22, 2019
                               ___________

Introduced by M. of A. RODRIGUEZ, MONTESANO, FAHY, PEOPLES-STOKES, WOER-
  NER, WEPRIN, BARRON, BLAKE, ORTIZ, GOTTFRIED, PALMESANO, SANTABARBARA,
  RAMOS, PICHARDO, JOYNER, MOSLEY, ARROYO -- Multi-Sponsored by -- M. of
  A.  GALEF  --  read once and referred to the Committee on Governmental
  Employees -- committee discharged, bill amended, ordered reprinted  as
  amended  and  recommitted  to  said  committee  --  recommitted to the
  Committee on Governmental Employees in accordance with  Assembly  Rule
  3,  sec. 2 -- committee discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to amend the general business law,  in  relation  to  the  secure
  choice savings program

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

  Section 1. Section 1301 of the  general  business  law,  as  added  by
section  2  of  part  X of chapter 55 of the laws of 2018, is amended to
read as follows:
  § 1301. Program established. There is hereby established a  retirement
savings  program  in  the  form  of  [a] AN AUTOMATIC ENROLLMENT payroll
deduction IRA, known  as  the  New  York  state  secure  choice  savings
program.  The  general  administration and responsibility for the proper
operation of the program shall be administered  by  the  board  for  the
purpose  of  promoting  greater  retirement  savings  for private-sector
employees in a convenient, low-cost, and portable manner. The board  may
delegate  such  authority  and  responsibility  for  the development and
implementation of the program to the department of taxation and  finance
as the board deems proper.
  § 2. Subdivisions 7 and 9 of section 1304 of the general business law,
as  added  by section 2 of part X of chapter 55 of the laws of 2018, are
amended to read as follows:
  7. Evaluate and establish or authorize the process for:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08082-07-0

A. 5978--B                          2

  (a) an enrollee to contribute a portion of his or  her  wages  to  the
program via payroll deduction; and
  (b)  the  [voluntary]  enrollment  of  participating  employers in the
program.
  9. Evaluate and establish or  authorize  the  process  for  enrollment
including the process by which an employee may OPT NOT TO participate in
the  program,  select a contribution level, select an investment option,
and terminate participation in the program.
  § 3. Subdivisions 3, 4 and 5 of section 1309 of the  general  business
law,  as added by section 2 of part X of chapter 55 of the laws of 2018,
are amended to read as follows:
  3. The employee informational materials  shall  include  a  disclosure
form.   The disclosure form shall explain, but not be limited to, all of
the following:
  (a) the benefits and risks associated with making contributions to the
program;
  (b) the process for making contributions to the program;
  (c) how to [cease participation in] OPT OUT OF the program;
  (d) the process by which an employee can participate  in  the  program
with a level of employee contributions other than three percent;
  (e)  that they are not required to participate or contribute more than
three percent;
  (f) the process for withdrawal of retirement savings;
  (g) the  process  for  selecting  beneficiaries  of  their  retirement
savings;
  (h) how to obtain additional information about the program;
  (i)  that  employees seeking financial advice should contact financial
advisors, that participating employers are not in a position to  provide
financial  advice,  and  that participating employers are not liable for
decisions employees make pursuant to this article;
  (j) information on how to  access  any  available  financial  literacy
programs; [and]
  (k) that the program fund is not guaranteed by the state; AND
  (L) THAT THEY CAN OPT OUT AFTER THEY HAVE BEEN ENROLLED.
  4.  The employee informational materials shall also include a form for
an employee to note his or  her  decision  [regarding]  TO  OPT  OUT  OF
participation  in  the program or [election] ELECT to participate with a
level of employee contributions other than three percent.
  5. Participating employers shall  supply  the  employee  informational
materials  to existing employees at least one month prior to the partic-
ipating employers' facilitation of access to the program.  Participating
employers shall supply  the  employee  informational  materials  to  new
employees at the time of hiring AND NEW EMPLOYEES MAY OPT OUT OF PARTIC-
IPATION IN THE PROGRAM.
  §  4.  Subdivision  1  of section 1313 of the general business law, as
added by section 2 of part X of chapter 55  of  the  laws  of  2018,  is
amended to read as follows:
  1. Participating employers shall not have any liability for an employ-
ee's  decision  regarding  whether to participate in, OR OPT OUT OF, the
program or for the investment decisions of the board or of any enrollee.
  § 5. Subdivisions 1, 4 and 5 of section 1310 of the  general  business
law,  as added by section 2 of part X of chapter 55 of the laws of 2018,
are amended to read as follows:
  1. [No employer shall be  required  to  participate  in  or  otherwise
implement  the  program.]  (A)  EACH PARTICIPATING EMPLOYER SHALL HAVE A
PAYROLL DEPOSIT RETIREMENT SAVINGS ARRANGEMENT TO ALLOW EACH EMPLOYEE TO

A. 5978--B                          3

PARTICIPATE IN THE PROGRAM AT MOST NINE MONTHS AFTER THE BOARD OPENS THE
PROGRAM FOR ENROLLMENT.
  (B)  PARTICIPATING EMPLOYERS SHALL AUTOMATICALLY ENROLL IN THE PROGRAM
EACH OF THEIR EMPLOYEES WHO HAS NOT OPTED OUT OF  PARTICIPATION  IN  THE
PROGRAM  USING  THE  FORM  DESCRIBED  IN  THIS ARTICLE AND SHALL PROVIDE
PAYROLL DEDUCTION RETIREMENT SAVINGS ARRANGEMENTS FOR SUCH EMPLOYEES AND
DEPOSIT, ON BEHALF OF SUCH EMPLOYEES, THESE FUNDS INTO THE PROGRAM.
  4. Following initial implementation of the program  pursuant  to  this
section,  at  least once every year, the program shall designate an open
enrollment period during which employees WHO PREVIOUSLY OPTED OUT OF THE
PROGRAM may enroll in the program.
  5. An employee who [chooses not to participate in]  OPTS  OUT  OF  the
program and who subsequently wants to participate may only enroll during
the  program's  designated open enrollment period or if permitted by the
program at an earlier time.
  § 6. Subdivisions 4 and 8 of section 1300 of the general business law,
as added by section 2 of part X of chapter 55 of the laws of  2018,  are
amended to read as follows:
  4.  "Employer"  shall  mean  a person or entity engaged in a business,
industry, profession, trade, or other  enterprise  in  New  York  state,
whether  for  profit or not for profit, that (I) HAS AT ALL TIMES DURING
THE PREVIOUS CALENDAR YEAR EMPLOYED AT LEAST TEN EMPLOYEES IN THE STATE,
(II) HAS BEEN IN BUSINESS AT LEAST TWO YEARS, AND (III) has not  offered
a qualified retirement plan, including, but not limited to, a plan qual-
ified  under  sections 401(a), 401(k), 403(a), 403(b), 408(k), 408(p) or
457(b) of the Internal Revenue Code of 1986 in the preceding two years.
  8. "Participating employer" shall mean an  employer  that  [elects  to
facilitate] FACILITATES access to the program's payroll deduction IRA as
provided  for by this article for its employees who are enrollees in the
program.
  § 7. This act shall take effect immediately.

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The New York State Senate

assembly Bill A5978B

Sponsored By

Archive: Last Bill Status - In Assembly Committee

Your Voice

Actions

Bill Amendments

A5978 - Details

A5978 - Summary

A5978 - Bill Text download pdf

Co-Sponsors

Multi-Sponsors

A5978A - Details

A5978A - Summary

A5978A - Bill Text download pdf

Co-Sponsors

Multi-Sponsors

A5978B (ACTIVE) - Details

A5978B (ACTIVE) - Summary

A5978B (ACTIVE) - Bill Text download pdf

Comments

assembly Bill A5978B

Share this bill

Sponsored By

RODRIGUEZ

Archive: Last Bill Status - In Assembly Committee

Your Voice

Actions

Bill Amendments

A5978 - Details

A5978 - Summary

A5978 - Bill Text download pdf

Co-Sponsors

Michele Titus

Michael Montesano

Patricia Fahy

Crystal Peoples-Stokes

Carrie Woerner

David Weprin

Charles Barron

Michael Blake

Felix Ortiz

Andrew Raia

Richard Gottfried

Philip Palmesano

Angelo Santabarbara

Philip Ramos

Victor M. Pichardo

Latoya Joyner

Walter T. Mosley

Carmen E. Arroyo

Multi-Sponsors

Sandy Galef

A5978A - Details

A5978A - Summary

A5978A - Bill Text download pdf

Co-Sponsors

Michele Titus

Michael Montesano

Patricia Fahy

Crystal Peoples-Stokes

Carrie Woerner

David Weprin

Charles Barron

Michael Blake

Felix Ortiz

Andrew Raia

Richard Gottfried

Philip Palmesano

Angelo Santabarbara

Philip Ramos

Victor M. Pichardo

Latoya Joyner

Walter T. Mosley

Carmen E. Arroyo

Harvey Epstein

Jeffrion Aubry

Joe DeStefano

John T. McDonald III

Anthony D'Urso

Catalina Cruz

Charles Lavine

Deborah Glick

Jo Anne Simon

Robert C. Carroll

Ellen C. Jaffee

Marcos Crespo

Nathalia Fernandez

Multi-Sponsors

Sandy Galef

A5978B (ACTIVE) - Details

A5978B (ACTIVE) - Summary

A5978B (ACTIVE) - Bill Text download pdf

Comments