S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7014--A
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               April 3, 2019
                                ___________
 
 Introduced by M. of A. JACOBSON -- read once and referred to the Commit-
   tee  on  Governmental Employees -- committee discharged, bill amended,
   ordered reprinted as amended and recommitted to said committee
 
 AN ACT to authorize the city of Newburgh, in the county  of  Orange,  to
   offer an optional twenty year retirement plan to police officer Samuel
   Kenan Jr.
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Samuel Kenan Jr.,  a  police  officer  who  was  previously
 employed  from  May  28,  1996  through  October  6, 2001 by the city of
 Newburgh, in the county of Orange, a participating employer in  the  New
 York  state  and  local  police  and  fire retirement system, and who is
 currently employed by the city of Peekskill, for reasons not  ascribable
 to his own negligence failed to make a timely application to participate
 in  the  optional  twenty  year  retirement plan established pursuant to
 section 384-d of the retirement and social security law  while  employed
 by  the  city of Newburgh. Notwithstanding any other provision of law to
 the contrary, upon the city of Newburgh  filing  with  the  state  comp-
 troller, within one year of the effective date of this act, a resolution
 of the city council together with certification that such police officer
 did  not  bar  himself  from  participation in such retirement plan as a
 result of his own negligence, such police officer may elect to be grant-
 ed full credit in the special twenty year plan for such service rendered
 with the city of Newburgh by filing a request to that  effect  with  the
 state  comptroller  within eighteen months of the effective date of this
 act.
   § 2. All employer past service costs associated with implementing  the
 provisions of this act shall be borne by the city of Newburgh and may be
 amortized over a ten year period.
   § 3. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:

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

                                                            LBD09548-03-9

 A. 7014--A                          2
 
   This bill will grant Samuel Kenan Jr., a Tier 2 member of the New York
 State  and  Local  Police and Fire Retirement System, additional service
 creditable under the provisions of section 384-d of the  Retirement  and
 Social  Security  Law, for time worked as a police officer with the City
 of Newburgh between May 1996 and October 2001. Such service is currently
 creditable  only in the age 55 retirement plan of section 375-i. Officer
 Kenan is currently employed by the City of Peekskill and  covered  under
 384-d.
   If this bill is enacted, there will be no change in anticipated future
 annual  costs as the member continues to be covered by 384-d. There will
 be an immediate past service costs of $178,000 to be borne by  the  City
 of  Newburgh  as a one-time payment. This cost assumes a payment date of
 February 1, 2020. If the City of Newburgh elects to amortize  this  cost
 over a 10 year period, the cost for the first year would be $23,700.
   Summary of relevant resources:
   The  membership  data  used  in  measuring  the impact of the proposed
 change was the same as used in the March 31, 2018  actuarial  valuation.
 Distributions  and  other  statistics can be found in the 2018 Report of
 the Actuary and the 2018 Comprehensive Annual Financial Report.
   The actuarial assumptions and methods used are described in the  2015,
 2016,  2017  and  2018  Annual  Report  to  the Comptroller on Actuarial
 Assumptions, and the Codes, Rules and Regulations of the  State  of  New
 York: Audit and Control.
   The Market Assets and GASB Disclosures are found in the March 31, 2018
 New  York  State  and  Local  Retirement System Financial Statements and
 Supplementary Information.
   I am a member of the American Academy of Actuaries and meet the Quali-
 fication Standards to render the actuarial opinion contained herein.
   This fiscal note does not constitute a legal opinion on the  viability
 of  the  proposed change nor is it intended to serve as a substitute for
 the professional judgment of an attorney.
   This estimate, dated February 15, 2019,  and  intended  for  use  only
 during  the  2019  Legislative  Session,  is  Fiscal  Note  No. 2019-75,
 prepared by the Actuary for the New  York  State  and  Local  Retirement
 System.