Assembly Bill A9395

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9395
 
                           I N  A S S E M B L Y
 
                               March 6, 2024
                                ___________
 
 Introduced  by  M.  of A. PHEFFER AMATO -- read once and referred to the
   Committee on Governmental Employees
 
 AN ACT to amend the retirement and social security law, in  relation  to
   establishing  a  twenty-five  year  retirement  plan  for firefighters
   employed by the division of military and naval affairs
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The retirement and social security law is amended by adding
 a new section 89-y to read as follows:
   §  89-Y. TWENTY-FIVE YEAR RETIREMENT PLAN FOR FIREFIGHTERS EMPLOYED BY
 THE DIVISION OF MILITARY AND NAVAL AFFAIRS. A. A MEMBER WHO SERVES AS AN
 AIRPORT FIREFIGHTER APPRENTICE, AIRPORT  FIREFIGHTER  I,  AIRPORT  FIRE-
 FIGHTER  II, AIRPORT FIREFIGHTER III, OR TRAINING AND SAFETY OFFICER AND
 IS EMPLOYED BY THE DIVISION OF  MILITARY  AND  NAVAL  AFFAIRS  SHALL  BE
 ELIGIBLE  TO  RETIRE  PURSUANT  TO  THE PROVISIONS OF THIS SECTION. SUCH
 ELIGIBILITY SHALL BE AN ALTERNATIVE TO THE ELIGIBILITY PROVISIONS AVAIL-
 ABLE UNDER ANY OTHER PLAN OF  THIS  ARTICLE  TO  WHICH  SUCH  MEMBER  IS
 SUBJECT.
   B.  SUCH  MEMBER  SHALL  BE  ENTITLED TO RETIRE UPON THE COMPLETION OF
 TWENTY-FIVE YEARS OF TOTAL CREDITABLE SERVICE BY FILING  AN  APPLICATION
 THEREFOR IN THE MANNER PROVIDED FOR IN SECTION SEVENTY OF THIS ARTICLE.
   C.  UPON  COMPLETION  OF  TWENTY-FIVE  YEARS  OF SUCH SERVICE AND UPON
 RETIREMENT, EACH SUCH MEMBER SHALL RECEIVE  A  PENSION  WHICH,  TOGETHER
 WITH  AN  ANNUITY  WHICH SHALL BE THE ACTUARIAL EQUIVALENT OF HIS OR HER
 ACCUMULATED CONTRIBUTIONS AT THE TIME OF HIS OR HER  RETIREMENT  AND  AN
 ADDITIONAL  PENSION  WHICH  IS THE ACTUARIAL EQUIVALENT OF THE RESERVED-
 FOR-INCREASED-TAKE-HOME-PAY TO WHICH HE OR  SHE  MAY  THEN  BE  ENTITLED
 SHALL  BE  SUFFICIENT  TO PROVIDE HIM OR HER WITH A RETIREMENT ALLOWANCE
 EQUAL TO ONE-HALF OF HIS OR HER FINAL AVERAGE SALARY.
   D. AS USED IN THIS SECTION, "CREDITABLE SERVICE" SHALL INCLUDE ANY AND
 ALL SERVICES PERFORMED AS A FIREFIGHTER APPRENTICE, AIRPORT  FIREFIGHTER
 I,  AIRPORT  FIREFIGHTER  II,  AIRPORT  FIREFIGHTER III, OR TRAINING AND
 SAFETY OFFICER EMPLOYED BY THE DIVISION OF MILITARY AND NAVAL AFFAIRS.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06911-04-4
              

 A. 9395                             2
 
   E. CREDIT FOR SERVICE AS A PAID FIREFIGHTER OR OFFICER OF  ANY  ORGAN-
 IZED  FIRE  DEPARTMENT SHALL ALSO BE DEEMED TO BE CREDITABLE SERVICE AND
 SHALL BE INCLUDED IN COMPUTING YEARS OF  TOTAL  SERVICE  FOR  RETIREMENT
 PURSUANT TO THIS SECTION.
   F.  A  MEMBER CONTRIBUTING ON THE BASIS OF THIS SECTION AT THE TIME OF
 RETIREMENT, MAY RETIRE AFTER THE  COMPLETION  OF  TWENTY-FIVE  YEARS  OF
 TOTAL  CREDITABLE SERVICE. APPLICATION THEREFOR MAY BE FILED IN A MANNER
 SIMILAR TO THAT PROVIDED  IN  SECTION  SEVENTY  OF  THIS  ARTICLE.  UPON
 COMPLETION  OF  TWENTY-FIVE  YEARS  OF SUCH SERVICE AND UPON RETIREMENT,
 EACH SUCH MEMBER SHALL RECEIVE A PENSION WHICH, TOGETHER WITH AN ANNUITY
 WHICH SHALL BE THE  ACTUARIAL  EQUIVALENT  OF  HIS  OR  HER  ACCUMULATED
 CONTRIBUTIONS  AT  THE  TIME  OF HIS OR HER RETIREMENT AND AN ADDITIONAL
 PENSION WHICH  IS  THE  ACTUARIAL  EQUIVALENT  OF  THE  RESERVED-FOR-IN-
 CREASED-TAKE-HOME-PAY  TO  WHICH HE OR SHE MAY THEN BE ENTITLED SHALL BE
 SUFFICIENT TO PROVIDE HIM OR HER WITH A RETIREMENT  ALLOWANCE  EQUAL  TO
 ONE-HALF  OF HIS OR HER FINAL AVERAGE SALARY; FOR SERVICE BEYOND TWENTY-
 FIVE YEARS AND FOR NON-FIREFIGHTER SERVICE THE BENEFIT IS  INCREASED  BY
 ONE-SIXTIETH OF FINAL AVERAGE SALARY FOR EACH YEAR OF ADDITIONAL SERVICE
 CREDIT.
   G.  IN  COMPUTING  THE  TWENTY-FIVE YEARS OF TOTAL SERVICE OF A MEMBER
 PURSUANT TO THIS SECTION FULL CREDIT SHALL BE GIVEN AND  FULL  ALLOWANCE
 SHALL  BE MADE FOR SERVICE OF SUCH MEMBER IN TIME OF WAR AFTER WORLD WAR
 I AS DEFINED IN SECTION TWO OF THIS ARTICLE, PROVIDED SUCH MEMBER AT THE
 TIME OF HIS OR HER ENTRANCE INTO THE ARMED FORCES WAS IN THE SERVICE  OF
 THE STATE.
   H. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO PREVENT A MEMBER, WHO
 DOES NOT RETIRE PURSUANT TO THE PROVISIONS OF THIS SECTION, FROM UTILIZ-
 ING  SERVICE  WHICH  IS CREDITABLE SERVICE PURSUANT TO THE PROVISIONS OF
 THIS SECTION FOR SERVICE CREDIT PURSUANT TO THE PROVISIONS OF ANY  OTHER
 PLAN OF THIS ARTICLE TO WHICH SUCH MEMBER IS SUBJECT.
   I. THE PROVISIONS OF THIS SECTION SHALL BE CONTROLLING NOTWITHSTANDING
 ANY OTHER PROVISION IN THIS ARTICLE TO THE CONTRARY.
   J. ANY MEMBER WHO, ON OR BEFORE THE EFFECTIVE DATE OF THIS SECTION, IS
 A FIREFIGHTER APPRENTICE, AIRPORT FIREFIGHTER I, AIRPORT FIREFIGHTER II,
 AIRPORT  FIREFIGHTER III, OR TRAINING AND SAFETY OFFICER EMPLOYED BY THE
 DIVISION OF MILITARY AND NAVAL AFFAIRS MAY, BY FILING AN ELECTION WITHIN
 ONE YEAR AFTER THE EFFECTIVE DATE OF THIS SECTION, ELECT TO  BE  SUBJECT
 TO  THE  PROVISIONS  OF THIS SECTION. SUCH ELECTION SHALL BE IN WRITING,
 SHALL BE DULY EXECUTED AND FILED WITH THE COMPTROLLER AND SHALL BE IRRE-
 VOCABLE.
   § 2. Subdivision a of section 445 of the retirement and social securi-
 ty law, as amended by chapter 714 of the laws of  2023,  is  amended  to
 read as follows:
   a.  No  member of a retirement system who is subject to the provisions
 of this article shall retire without regard to age, exclusive of retire-
 ment for disability, unless he or she is a police officer,  an  investi-
 gator  member  of  the New York city employees' retirement system, fire-
 fighter, correction officer, a qualifying member as defined  in  section
 eighty-nine-t,  as  added by chapter six hundred fifty-seven of the laws
 of nineteen hundred ninety-eight, of this chapter, sanitation worker,  a
 special  officer  (including persons employed by the city of New York in
 the title urban park ranger or  associate  urban  park  ranger),  school
 safety  agent,  campus  peace officer or a taxi and limousine commission
 inspector member of the New York city employees'  retirement  system  or
 the  New  York  city  board of education retirement system, a dispatcher
 member of the New York  city  employees'  retirement  system,  a  police
 A. 9395                             3
 
 communications member of the New York city employees' retirement system,
 an EMT member of the New York city employees' retirement system, a depu-
 ty  sheriff  member of the New York city employees' retirement system, a
 correction  officer  of  the Westchester county correction department as
 defined in section eighty-nine-e of this chapter or employed in  Suffolk
 county as a peace officer, as defined in section eighty-nine-s, as added
 by  chapter  five  hundred  eighty-eight of the laws of nineteen hundred
 ninety-seven,  of  this  chapter,  employed  in  Suffolk  county  as   a
 correction officer, as defined in section eighty-nine-f of this chapter,
 or  employed  in  Nassau  county  as  a  correction  officer,  uniformed
 correction division personnel, sheriff, undersheriff or deputy  sheriff,
 as  defined  in  section  eighty-nine-g  of this chapter, or employed in
 Nassau county as an ambulance medical technician, an  ambulance  medical
 technician/supervisor or a member who performs ambulance medical techni-
 cian  related  services, or a police medic, police medic supervisor or a
 member who performs police medic related services, as defined in section
 eighty-nine-s, as amended by chapter five hundred seventy-eight  of  the
 laws  of  nineteen hundred ninety-eight, of this chapter, or employed in
 Nassau county as a peace officer, as defined in  section  eighty-nine-s,
 as  added  by  chapter  five hundred ninety-five of the laws of nineteen
 hundred ninety-seven, of this chapter, or employed in Albany county as a
 sheriff, undersheriff, deputy sheriff, correction officer or identifica-
 tion officer, as defined in section eighty-nine-h of this chapter or  is
 employed in St. Lawrence county as a sheriff, undersheriff, deputy sher-
 iff  or  correction officer, as defined in section eighty-nine-i of this
 chapter or is employed in Orleans county  as  a  sheriff,  undersheriff,
 deputy   sheriff   or   correction   officer,   as  defined  in  section
 eighty-nine-l of this chapter or is employed in Jefferson  county  as  a
 sheriff,  undersheriff, deputy sheriff or correction officer, as defined
 in section eighty-nine-j of this chapter  or  is  employed  in  Onondaga
 county as a deputy sheriff-jail division competitively appointed or as a
 correction  officer, as defined in section eighty-nine-k of this chapter
 or is employed in a county which makes an election under  subdivision  j
 of  section  eighty-nine-p  of  this chapter as a sheriff, undersheriff,
 deputy sheriff or correction officer as defined in such section  eighty-
 nine-p or is employed in Broome County as a sheriff, undersheriff, depu-
 ty sheriff or correction officer, as defined in section eighty-nine-m of
 this  chapter  or  is  a Monroe county deputy sheriff-court security, or
 deputy sheriff-jailor as defined in section eighty-nine-n, as  added  by
 chapter  five hundred ninety-seven of the laws of nineteen hundred nine-
 ty-one, of this chapter or is employed in Greene county  as  a  sheriff,
 undersheriff,  deputy  sheriff  or  correction  officer,  as  defined in
 section eighty-nine-o of this chapter or is a traffic officer  with  the
 town of Elmira as defined in section eighty-nine-q of this chapter or is
 employed  by  Suffolk  county  as  a  park police officer, as defined in
 section eighty-nine-r of this chapter or is a peace officer employed  by
 a  county  probation  department as defined in section eighty-nine-t, as
 added by chapter six hundred three of the laws of nineteen hundred nine-
 ty-eight, of this chapter or is employed in Rockland county as a  deputy
 sheriff-civil  as  defined  in  section eighty-nine-v of this chapter as
 added by chapter four hundred forty-one of the laws of two thousand one,
 or is employed in Rockland county as a superior  correction  officer  as
 defined  in  section  eighty-nine-v  of this chapter as added by chapter
 five hundred fifty-six of the laws of two thousand one or is a paramedic
 employed by the police department in the town of Tonawanda  and  retires
 under  the provisions of section eighty-nine-v of this chapter, as added
 A. 9395                             4
 
 by chapter four hundred seventy-two of the laws of two thousand one,  or
 is  a  county  fire  marshal,  supervising  fire  marshal, fire marshal,
 assistant  fire  marshal,  assistant  chief  fire  marshal,  chief  fire
 marshal,  division  supervising  fire  marshal  or  fire marshal trainee
 employed by the county of Nassau as defined in section eighty-nine-w  of
 this  chapter  or is employed in Monroe county as a deputy sheriff-civil
 as defined in section eighty-nine-x of  this  chapter,  employed  as  an
 emergency  medical  technician, critical care technician, advanced emer-
 gency medical technician, paramedic or supervisor of such  titles  in  a
 participating  Suffolk county fire district as defined in section eight-
 y-nine-ss of this chapter, OR IS A FIREFIGHTER APPRENTICE, AIRPORT FIRE-
 FIGHTER I, AIRPORT FIREFIGHTER II, AIRPORT FIREFIGHTER III, OR  TRAINING
 AND  SAFETY  OFFICER  EMPLOYED  BY  THE  DIVISION  OF MILITARY AND NAVAL
 AFFAIRS AS DEFINED IN SECTION EIGHTY-NINE-Y OF THIS CHAPTER and is in  a
 plan  which  permits immediate retirement upon completion of a specified
 period of service without regard to age.  Except as provided in subdivi-
 sion c of section four hundred forty-five-a of this article, subdivision
 c of section four hundred forty-five-b of this article, subdivision c of
 section four hundred forty-five-c of  this  article,  subdivision  c  of
 section  four  hundred  forty-five-d  of  this article, subdivision c of
 section four hundred forty-five-e of  this  article,  subdivision  c  of
 section  four  hundred forty-five-f of this article and subdivision c of
 section four hundred forty-five-h of this article, a member  in  such  a
 plan and such an occupation, other than a police officer or investigator
 member of the New York city employees' retirement system or a firefight-
 er,  shall not be permitted to retire prior to the completion of twenty-
 five years of credited service; provided, however, if such a  member  in
 such an occupation is in a plan which permits retirement upon completion
 of  twenty years of service regardless of age, he or she may retire upon
 completion of  twenty  years  of  credited  service  and  prior  to  the
 completion  of twenty-five years of service, but in such event the bene-
 fit provided from funds other than those based on such  a  member's  own
 contributions  shall  not  exceed two per centum of final average salary
 per each year of credited service.
   § 3. Section 603 of the retirement and social security law is  amended
 by adding a new subdivision w to read as follows:
   W.  THE  SERVICE  RETIREMENT  BENEFIT SPECIFIED IN SECTION SIX HUNDRED
 FOUR OF THIS ARTICLE SHALL BE PAYABLE TO MEMBERS WITH TWENTY-FIVE  YEARS
 OF  CREDITABLE  SERVICE,  WITHOUT REGARD TO AGE, WHO ARE EMPLOYED BY THE
 DIVISION OF MILITARY AND NAVAL  AFFAIRS  AS  A  FIREFIGHTER  APPRENTICE,
 AIRPORT  FIREFIGHTER I, AIRPORT FIREFIGHTER II, AIRPORT FIREFIGHTER III,
 OR TRAINING AND SAFETY OFFICER AS DEFINED IN  SECTION  EIGHTY-NINE-Y  OF
 THIS CHAPTER IF:  (I) SUCH MEMBERS HAVE MET THE MINIMUM SERVICE REQUIRE-
 MENTS  UPON  RETIREMENT; AND (II) IN THE CASE OF A MEMBER SUBJECT TO THE
 PROVISIONS OF ARTICLE FOURTEEN OF THIS CHAPTER,  SUCH  MEMBER  FILES  AN
 ELECTION  THEREFOR  WHICH PROVIDES THAT HE OR SHE WILL BE SUBJECT TO THE
 PROVISIONS OF THIS ARTICLE AND TO NONE OF THE PROVISIONS OF SUCH ARTICLE
 FOURTEEN. SUCH ELECTION, WHICH SHALL BE IRREVOCABLE, SHALL BE  IN  WRIT-
 ING,  DULY  EXECUTED  AND SHALL BE FILED WITH THE COMPTROLLER WITHIN ONE
 YEAR OF THE EFFECTIVE DATE OF THIS SUBDIVISION OR WITHIN ONE YEAR  AFTER
 ENTERING  THE EMPLOYMENT WITH THE DIVISION OF MILITARY AND NAVAL AFFAIRS
 UPON WHICH ELIGIBILITY IS BASED, WHICHEVER COMES LATER. FOR THE PURPOSES
 OF THIS SUBDIVISION, THE TERM "CREDITABLE SERVICE" SHALL HAVE THE  MEAN-
 ING  AS SO DEFINED IN BOTH SECTIONS EIGHTY-NINE-Y AND SIX HUNDRED ONE OF
 THIS CHAPTER.
 A. 9395                             5
 
   § 4. Section 604 of the retirement and social security law is  amended
 by adding a new subdivision w to read as follows:
   W.  THE  EARLY SERVICE RETIREMENT BENEFIT FOR A MEMBER WHO IS EMPLOYED
 IN THE DIVISION OF MILITARY AND NAVAL AFFAIRS AS A  FIREFIGHTER  APPREN-
 TICE, AIRPORT FIREFIGHTER I, AIRPORT FIREFIGHTER II, AIRPORT FIREFIGHTER
 III,  OR  TRAINING  AND  SAFETY  OFFICER  EMPLOYED AS DEFINED IN SECTION
 EIGHTY-NINE-Y OF THIS CHAPTER SHALL BE A PENSION EQUAL  TO  ONE-FIFTIETH
 OF  FINAL  AVERAGE  SALARY  TIMES  YEARS  OF  CREDITED  SERVICE  AT  THE
 COMPLETION OF TWENTY-FIVE YEARS OF SERVICE AS SUCH DIVISION OF  MILITARY
 AND NAVAL AFFAIRS FIREFIGHTER APPRENTICE, AIRPORT FIREFIGHTER I, AIRPORT
 FIREFIGHTER II, AIRPORT FIREFIGHTER III, OR TRAINING AND SAFETY OFFICER,
 BUT NOT EXCEEDING ONE-HALF OF HIS OR HER FINAL AVERAGE SALARY.
   § 5. This act shall take effect January 1, 2025.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   This bill would permit members of the New York State and Local Employ-
 ees'  Retirement  System  employed by the Division of Military and Naval
 Affairs in certain airport firefighter titles to retire upon  completion
 of  twenty-five  years  of creditable service with a benefit of one-half
 final average salary. Affected members in Tiers 1 or 2 would be  awarded
 additional sixtieths for all service, including non-firefighter service,
 in  excess of twenty-five years. Additionally, for those members covered
 under the provisions of Article 14 of the Retirement and Social Security
 Law, this bill would permit an irrevocable election to forfeit the bene-
 fits of Article 14 in favor of the twenty-five-year plan benefit.   Such
 election must be made within one year of the effective date of this bill
 or  within one year of entering employment with the Division of Military
 and Naval Affairs, whichever comes later.
   If this bill is enacted during the 2024 Legislative Session, we antic-
 ipate that there will be an increase of approximately  $260,000  in  the
 annual contributions of the State of New York for the fiscal year ending
 March  31,  2025. In future years this cost will vary but is expected to
 average 4.2% of salary annually.
   In addition to the annual contributions discussed above, there will be
 an immediate past service cost of approximately $2.14 million which will
 be borne by the State of New York as a one-time payment.  This  estimate
 assumes that payment will be made on March 1, 2025.
   These estimated costs are based on 63 affected members employed by the
 Division  of  Military and Naval Affairs, with annual salary of approxi-
 mately $5.3 million as of March 31, 2023.
   Summary of relevant resources:
   Membership data as of March 31, 2023 was used in measuring the  impact
 of the proposed change, the same data used in the April 1, 2023 actuari-
 al  valuation.  Distributions  and  other statistics can be found in the
 2023 Report of the Actuary and the 2023 Annual  Comprehensive  Financial
 Report.
   The  actuarial  assumptions and methods used are described in the 2023
 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, 2023
 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.
 A. 9395                             6

   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  20,  2024, and intended for use only
 during the  2024  Legislative  Session,  is  Fiscal  Note  No.  2024-84,
 prepared  by  the  Actuary  for  the New York State and Local Retirement
 System.