S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9612
 
                           I N  A S S E M B L Y
 
                             January 27, 2020
                                ___________
 
 Introduced  by  M.  of  A.  GARBARINO  --  read once and referred to the
   Committee on Governmental Employees
 
 AN ACT granting retroactive retirement membership in the New York  state
   teachers' retirement system to Eileen Saumell
 
   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, Eileen  Saumell
 who  is  currently  working  at  the  West Babylon school district and a
 member of the New  York  state  teachers'  retirement  system,  who  was
 employed  as  a  full-time  employee  of the Nassau County Demonstration
 Project, a non-participating employer  of  the  New  York  state  public
 retirement systems, with a start date of August 8, 1994 until August 27,
 2004,  and  at that time a member of the United Jewish Appeal-Federation
 of Jewish Philanthropies of New York, Inc. Retirement  Plan,  could  not
 become  a  member of one of the New York state public retirement systems
 on August 8, 1994, shall be granted service credit in the New York state
 teachers' retirement system for her employment with  the  Nassau  County
 Demonstration  Project for the period of August 8, 1994 until August 27,
 2004, provided that an application is filed  with  the  New  York  state
 teachers'  retirement  system within one year from the effective date of
 this act.
   § 2. No contributions made to the United Jewish  Appeal-Federation  of
 Jewish  Philanthropies  of  New  York,  Inc.  Retirement  Plan by Eileen
 Saumell shall be returned or refunded to her pursuant to this act.
   § 3. All past service costs associated with the implementation of this
 act shall be borne by Nassau County.
   § 4. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   This bill would allow Eileen Saumell, an active member of the New York
 State Teachers' Retirement System with Tier 4 status, to receive service
 credit for the period August 8, 1994 until August 27, 2004 while she was
 employed with the Nassau County Demonstration Project, a non-participat-
 ing employer of the New York State public retirement systems. During Ms.
 Saumell's employment with the Nassau County Demonstration  Project,  she
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD10501-03-0

 A. 9612                             2
 
 was  a  member  of the United Jewish Appeal-Federation of Jewish Philan-
 thropies of New York, Inc. Retirement Plan and could not become a member
 of one of the New York State public  retirement  systems.  Contributions
 made  to the United Jewish Appeal-Federation of Jewish Philanthropies of
 New York, Inc. Retirement Plan by Ms. Saumell shall not be  returned  or
 refunded  to  her pursuant to this bill. Ms. Saumell must file a written
 request with the head of the New York State Teachers' Retirement  System
 within one year of the effective date of this bill.
   The cost of this benefit is equal to the increase in the present value
 of  liabilities,  which  is estimated to be $364,000. This cost would be
 borne by the county of Nassau. Granting service credit under  this  bill
 for employment with an organization that may potentially be considered a
 non-governmental  or  private  employer  could  jeopardize  the System's
 governmental plan status and its exemption from ERISA which could result
 in the loss of qualified status.  Loss of qualified  status  would  mean
 the  loss  of  tax  benefits. This result would substantially impair the
 System's value to our approximately four hundred and thirty-three  thou-
 sand  members.  In  addition,  precluding a return or refund of contrib-
 utions under her prior plan may create a conflict  under  the  terms  of
 that plan.
   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 2020-7  dated  January  21,
 2020  prepared by the Actuary of the New York State Teachers' Retirement
 System and is intended for use only during the 2020 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.