S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6499
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              April 12, 2023
                                ___________
 
 Introduced  by  M.  of A. PHEFFER AMATO -- read once and referred to the
   Committee on Governmental Employees
 
 AN ACT to amend the general municipal law, in relation to special  acci-
   dental death benefits for widows or widowers of certain deputy sheriff
   members of the New York city sheriff's department

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision a of section 208-f  of  the  general  municipal
 law,  as  amended  by chapter 457 of the laws of 2017, the opening para-
 graph as amended by chapter 782 of the laws of 2022, is amended to  read
 as follows:
   a.  Notwithstanding any other provision of law, the special accidental
 death benefit provided by this section shall be paid  to  the  widow  or
 widower or the deceased member's children under the age of eighteen, or,
 if  a student under the age of twenty-three, if the widow or widower has
 died, or to the deceased member's parents if the member  has  no  widow,
 widower,  children under the age of eighteen, or a student under the age
 of twenty-three, of: (i) a deceased member of a  pension  or  retirement
 system of a police department or paid fire department of a city, town or
 village;  (ii)  a deceased paid member of the police force of the police
 department of the New York city transit authority; (iii) a deceased paid
 member of the police force of the police department of the New York city
 housing  authority;  (iv)  a  deceased  paid  member  of  the  uniformed
 correction  force  of  the New York city department of correction; (v) a
 deceased paid uniformed member of a county sheriff's department (outside
 the city of New York); (vi) a deceased employee of the city of New  York
 or  the  New York city health and hospitals corporation in a title whose
 duties are those of an emergency medical technician or advanced emergen-
 cy medical technician (as those terms are defined in section three thou-
 sand one of the public health law), or in a title whose  duties  require
 the  supervision  of  employees  whose  duties are those of an emergency
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10218-02-3
              

 A. 6499                             2
 
 medical technician or advanced emergency medical  technician  (as  those
 terms  are  defined  in  section three thousand one of the public health
 law); (vii) a deceased paid bridge and tunnel member  of  the  New  York
 city employees' retirement system; [or] (viii) a deceased paid member of
 the  uniformed  force  of the New York city department of sanitation; OR
 (IX) A DECEASED PAID DEPUTY SHERIFF MEMBER OF THE NEW  YORK  CITY  SHER-
 IFF'S  DEPARTMENT,  providing  the  widow  or  widower  is ineligible to
 receive benefits pursuant to section three hundred  sixty-one-a  of  the
 retirement  and  social security law as amended by chapter seven hundred
 thirty-three of the laws of nineteen hundred  ninety  and  the  deceased
 member:
   1.  Died  before  the  effective date of his or her retirement, as the
 natural and proximate result of an accident sustained in the performance
 of duty in the service upon which his membership was based, and
   2. Did not cause such accident by his or her own  willful  negligence,
 and
   3.  At  the  time  of  such  accident  was actually a member of: (i) a
 pension or retirement system of a police department or paid fire depart-
 ment of a city, town or village; (ii) a  pension  or  retirement  system
 covering  the police force of the police department of the New York city
 transit authority; (iii) a pension or  retirement  system  covering  the
 police  force  of  the  police  department  of the New York city housing
 authority; (iv) a pension or retirement system  covering  the  uniformed
 correction  force  of  the New York city department of correction; (v) a
 pension or retirement system covering  uniformed  members  of  a  county
 sheriff's  department  (outside the city of New York); (vi) a pension or
 retirement system covering employees of the city of New York, or the New
 York city health and hospitals corporation in a title whose  duties  are
 those  of  an emergency medical technician or advanced emergency medical
 technician (as those terms are defined in section three thousand one  of
 the  public  health  law), or in a title whose duties require the super-
 vision of employees whose duties are those of an emergency medical tech-
 nician or advanced emergency medical  technician  (as  those  terms  are
 defined in section three thousand one of the public health law); (vii) a
 pension  or retirement system covering paid bridge and tunnel members of
 the New York city employees' retirement system; [or] (viii) a pension or
 retirement system covering paid members of the uniformed  force  of  the
 New  York city department of sanitation; OR (IX) A PENSION OR RETIREMENT
 SYSTEM COVERING PAID DEPUTY SHERIFF MEMBERS OF THE NEW YORK  CITY  SHER-
 IFF'S DEPARTMENT.
   § 2. Notwithstanding any provision of law to the contrary, none of the
 provisions of this act shall be subject to the appropriation requirement
 of section 25 of the retirement and social security law.
   § 3. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   SUMMARY  OF  BILL: This proposed legislation would amend Section 208-f
 of the General Municipal Law (GML) to provide Special  Accidental  Death
 Benefits  (SADB)  to  eligible  beneficiaries of members of the New York
 City Employees' Retirement System (NYCERS) who are employed  in  certain
 Deputy  Sheriff  titles  and die as a natural and proximate result of an
 accident sustained in the performance of duty.
   Effective Date: Upon enactment.
   IMPACT ON BENEFITS: Currently, certain beneficiaries of  Deputy  Sher-
 iffs  who die as a natural and proximate result of an accident sustained
 in the performance of duty are eligible to receive an  Accidental  Death
 Benefit equal to 50% of Final Salary. Such benefit is subject to a Cost-
 A. 6499                             3
 
 of-Living  Adjustment  (COLA)  starting  after  five  years, pursuant to
 Administrative Code of the City of New York (ACCNY) Section 13-696.
   Under  the  proposed legislation, beneficiaries of Deputy Sheriffs who
 die as a natural and proximate result of an accident  sustained  in  the
 performance  of  duty would receive an Accidental Death Benefit equal to
 100% of Final Salary, offset by any social security and workers' compen-
 sation benefits paid. For purposes of this Fiscal Note,  and  consistent
 with  the  assumptions  and methods described herein, it is assumed that
 the past four decades' practice of providing 3.0% COLAs on the SADB each
 year will be continued in the future.
   For purposes of this Fiscal Note, it is assumed that  SADB  under  the
 proposed  legislation  would  only be provided to members who die in the
 performance of duty after the Effective Date.
   FINANCIAL IMPACT - PRESENT VALUES: There is insufficient  data  avail-
 able  to  estimate  the  number  of members who may die as a natural and
 proximate result of an accident sustained in the  performance  of  duty.
 Therefore,  the  estimated financial impact has been calculated on a per
 event basis equal to the increase in the Present Value of  Future  Bene-
 fits  (PVFB) for an average member who could potentially be eligible for
 SADB provided by this proposed legislation.
   Based on the census data and the  actuarial  assumptions  and  methods
 described  herein,  the  enactment  of  this  proposed legislation would
 increase the PVFB by approximately $1.1 million, on  average,  for  each
 eligible Deputy Sheriff who dies as a natural and proximate result of an
 accident sustained in the performance of duty.
   FINANCIAL  IMPACT  -  ANNUAL EMPLOYER CONTRIBUTIONS: Enactment of this
 proposed legislation would increase employer contributions,  where  such
 amount  would  depend on the number of members affected as well as other
 characteristics including the age, years of service, and salary  history
 of each member.
   Based  on  the actuarial assumptions and methods described herein, the
 enactment of this proposed legislation is estimated to  increase  annual
 employer  contributions  by approximately $135,000, on average, for each
 eligible Deputy Sheriff who dies as a natural and proximate result of an
 accident sustained in the performance of duty.
   As there is insufficient data  currently  available  to  estimate  the
 number  of eligible members who might die and be eligible for SADB under
 the proposed legislation, the financial impact would  be  recognized  at
 the  time of event. Consequently, changes in employer contributions have
 been estimated assuming that the increase in the PVFB would be amortized
 over a closed 15-year period (14 payments under the One-Year Lag Method-
 ology) using level dollar payments.
   With respect to the timing, increases in employer contributions  would
 depend  upon when members would die as a natural and proximate result of
 an accident  sustained  in  the  performance  of  duty  but,  generally,
 increased employer contributions will first occur the second fiscal year
 following approval of the Accidental Death Benefit.
   CENSUS  DATA:  The  estimates presented herein are based on the census
 data used in the June 30, 2022 actuarial valuation of NYCERS  to  deter-
 mine the Preliminary Fiscal Year 2024 employer contributions.
   The  146 NYCERS Deputy Sheriffs as of June 30, 2022 had an average age
 of approximately 42.0  years,  average  service  of  approximately  11.6
 years, and an average salary of approximately $85,700.
   ACTUARIAL ASSUMPTIONS AND METHODS: The estimates presented herein have
 been  calculated based on the actuarial assumptions and methods used for
 the Preliminary Fiscal Year 2024 employer contributions of NYCERS.
 A. 6499                             4
 
   RISK AND UNCERTAINTY: The costs presented in this Fiscal  Note  depend
 highly  on the realization of the actuarial assumptions used, demograph-
 ics of the impacted population and other  factors  such  as  investment,
 contribution,  and other risks. If actual experience deviates from actu-
 arial  assumptions,  the  actual costs could differ from those presented
 herein.
   Costs are also dependent on the actuarial methods used, and  therefore
 different actuarial methods could produce different results. Quantifying
 these risks is beyond the scope of this Fiscal Note.
   Not measured in this Fiscal Note are the following:
   *  The  initial  additional  administrative  costs  to  implement  the
 proposed legislation.
   STATEMENT OF ACTUARIAL OPINION: I, Marek  Tyszkiewicz,  am  the  Chief
 Actuary  for,  and  independent of, the New York City Retirement Systems
 and Pension Funds. I am an Associate of the Society of Actuaries  and  a
 Member of the American Academy of Actuaries. I am a member of NYCERS but
 do  not  believe  it impairs my objectivity and I meet the Qualification
 Standards of the American Academy of Actuaries to render  the  actuarial
 opinion  contained  herein.  To  the  best  of my knowledge, the results
 contained  herein  have  been  prepared  in  accordance  with  generally
 accepted  actuarial  principles  and  procedures  and with the Actuarial
 Standards of Practice issued by the Actuarial Standards Board.
   FISCAL NOTE IDENTIFICATION: This Fiscal Note 2023-20  dated  April  3,
 2023  was prepared by the Chief Actuary for the New York City Employees'
 Retirement System. This estimate is intended for  use  only  during  the
 2023 Legislative Session.