Senate Bill S6859A

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  6859--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             November 18, 2019
                                ___________
 
 Introduced  by  Sen. RITCHIE -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules  --  recommitted  to
   the  Committee 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 authorize the village of Clayton to offer an optional twenty
   year retirement plan to a certain  police  officer  employed  by  such
   village
 
   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 to the contrary,
 Joshua David, a member of the New York state and local police  and  fire
 retirement  system  who was employed as a police officer for the village
 of Clayton in 2009, and who through no fault of his own, failed to  file
 a  timely  application to participate in the special twenty year retire-
 ment plan contained in section 384-d of the retirement and social  secu-
 rity  law  resulting in the crediting of his service with the village of
 Clayton in the retirement plan contained in section 375-e of  such  law,
 shall  be  given  full  credit  in the section 384-d special twenty year
 retirement plan for such service upon the election  of  the  village  of
 Clayton  to  assume the additional cost of such service and his election
 to participate in such plan.  The village of Clayton may so elect within
 one year of the effective date of this act, by  filing  with  the  state
 comptroller  a  resolution  of  its local legislative body together with
 certification that such member did not bar himself from participation in
 such retirement plan as a result of his own negligence.
   § 2. Such police officer may elect to be covered by the provisions  of
 section  384-d  of  the retirement and social security law, and shall be
 entitled to the full rights and benefits associated with coverage  under
 such  section  by  filing  a request to that effect with the state comp-
 troller within eighteen months of the effective date of this act.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD13097-05-0

 S. 6859--A                          2
 
   § 3. All employer past service costs associated with  the  implementa-
 tion  of  this  act shall be borne by the village of Clayton, and may be
 amortized over a period of five years.
   § 4. This act shall take effect immediately.
   FISCAL NOTE. -- Pursuant to Legislative Law, Section 50:
   This bill will allow the Village of Clayton to elect to reopen the
   provisions  of Section 384-d of the Retirement and Social Security Law
 for police officer Joshua David.
   If this bill is enacted during the 2020 legislative session and  Offi-
 cer  David  becomes  covered  under  the provisions of Section 384-d, we
 anticipate that there will be an increase of approximately $7,000 in the
 annual contributions of the Village  of  Clayton  for  the  fiscal  year
 ending March 31, 2021. In future years, this cost will vary as the bill-
 ing rate and salary of Officer David change.
   In addition to the annual contributions discussed above, there will be
 an  immediate  past  service  cost of $64,600 which will be borne by the
 Village of Clayton as a one-time payment. This estimate is based on  the
 assumption that payment will be made on February 1, 2021. If the Village
 of  Clayton  elects to amortize this cost over a 5-year period, the cost
 for the first year would be $14,700.
   Summary of relevant resources:
   The membership data in measuring the impact of the proposed change was
 the same as that  used  in  the  March  31,  2019  actuarial  valuation.
 Distributions  and  other  statistics can be found in the 2019 Report of
 the Actuary and the 2019 Comprehensive Annual Financial Report.
   The actuarial assumptions and methods used are described in the  2015,
 2016, 2017, 2018 and 2019 Annual Report to the Comptroller and 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, 2019
 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  November  15,  2019, and intended for use only
 during the 2020 Legislative Session, is Fiscal Note No. 2020-1, prepared
 by the Actuary for the New York State and Local Retirement System.