Senate Bill S2052

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2052
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             January 22, 2019
                                ___________
 
 Introduced  by Sen. GALLIVAN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Civil Service and Pensions
 
 AN ACT to amend the retirement and social security law, in  relation  to
   providing   equal  retirement  benefits  for  persons  who  have  been
   appointed to the title of correction lieutenant,  correction  captain,
   deputy assistant superintendent or superintendent in the department of
   corrections and community supervision
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Clause (ii) of subparagraph (b) of paragraph 2 of  subdivi-
 sion  a  of  section  600  of the retirement and social security law, as
 amended by section 149 of subpart B of part C of chapter 62 of the  laws
 of 2011, is amended and two new clauses (iii) and (iv) are added to read
 as follows:
   (ii)  a  person  who serves in the title of superintendent as of April
 first, two thousand six, who has had at least  seven  years  of  service
 credited toward the retirement plan established pursuant to this article
 while  employed  by  the  department of corrections and community super-
 vision and who elects the retirement plan established pursuant  to  this
 article  on  or  before  September  thirtieth,  two  thousand  six. Such
 election shall be in writing, shall be duly executed and filed with  the
 comptroller  and  shall  be irrevocable as long as such person is in the
 title of superintendent[.]; OR
   (III) A PERSON WHO IS APPOINTED TO THE TITLE OF CORRECTION LIEUTENANT,
 CORRECTION CAPTAIN, DEPUTY ASSISTANT SUPERINTENDENT OR SUPERINTENDENT IN
 INSTITUTIONS UNDER THE JURISDICTION OF THE DEPARTMENT OF CORRECTIONS AND
 COMMUNITY SUPERVISION AND WHO ELECTS  THE  RETIREMENT  PLAN  ESTABLISHED
 PURSUANT  TO  THIS ARTICLE WITHIN NINETY DAYS OF HIS OR HER APPOINTMENT.
 SUCH ELECTION SHALL BE IN WRITING, SHALL BE DULY EXECUTED AND FILED WITH
 THE COMPTROLLER AND SHALL BE IRREVOCABLE AS LONG AS SUCH  PERSON  IS  IN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD07052-02-9
              

 S. 2052                             2
 
 THE TITLE OF CORRECTION LIEUTENANT, CORRECTION CAPTAIN, DEPUTY ASSISTANT
 SUPERINTENDENT OR SUPERINTENDENT; OR
   (IV)  A  PERSON  WHO  SERVES  IN  THE  TITLE OF CORRECTION LIEUTENANT,
 CORRECTION CAPTAIN, DEPUTY ASSISTANT SUPERINTENDENT OR SUPERINTENDENT ON
 THE EFFECTIVE DATE OF THIS CLAUSE AND WHO  ELECTS  THE  RETIREMENT  PLAN
 ESTABLISHED PURSUANT TO THIS ARTICLE WITHIN NINETY DAYS OF THE EFFECTIVE
 DATE  OF  THIS  CLAUSE. SUCH ELECTION SHALL BE IN WRITING, SHALL BE DULY
 EXECUTED AND FILED WITH THE COMPTROLLER AND SHALL BE IRREVOCABLE AS LONG
 AS SUCH PERSON IS IN THE  TITLE  OF  CORRECTION  LIEUTENANT,  CORRECTION
 CAPTAIN, DEPUTY ASSISTANT SUPERINTENDENT OR SUPERINTENDENT.
   § 2. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   This  bill would allow certain Tier 3, 5 and 6 correction lieutenants,
 correction captains, deputy assistant  superintendents  and  superinten-
 dents under the jurisdiction of the department of corrections and commu-
 nity  supervision  of New York State to become eligible to receive bene-
 fits under the provisions of Article 15 of  the  Retirement  and  Social
 Security  Law  instead  of  the special plan giving 50% of final average
 salary at 25 years of service. Affected members would have 90 days  from
 the  later  of  the  effective date of this bill and their date of being
 appointed to one of the aforementioned titles to file for this  benefit.
 Such elections shall be irrevocable.
   If  this  bill  is  enacted during the 2019 legislative session, there
 will be an immediate past service cost for members  currently  in  these
 titles of approximately $52.2 million, which would be borne by the State
 of New York as a one-time payment. This estimate is based on the assump-
 tion that payment will be made on March 1, 2019.
   In addition to this cost, there would also be future costs for members
 who  are appointed to these titles and become eligible for this improved
 benefit in the future. These costs would depend  on  the  age,  service,
 salary  and tier of the affected members, and would be paid by the State
 of New York as one-time payments as they occur.
   Summary of relevant resources:
   The membership data used in  measuring  the  impact  of  the  proposed
 change  was  the same as that used in the March 31, 2018 actuarial valu-
 ation.  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 January 17,  2019,  and  intended  for  use  only
 during  the  2019  Legislative  Session,  is  Fiscal  Note  No. 2019-36,
 prepared by the Actuary for the New  York  State  and  Local  Retirement
 System.