S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4811
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             February 15, 2023
                                ___________
 
 Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
   printed to be committed to the Committee on Civil Service and Pensions
 
 AN  ACT to amend the general municipal law and the retirement and social
   security law, in relation to increasing the special  accidental  death
   benefit of certain  deceased members

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision c of section 208-f  of  the  general  municipal
 law,  as  separately  amended by   chapters 528 and   782 of the laws of
 2022, is amended to read as follows:
   c. Commencing July first, two thousand [twenty-two]  TWENTY-THREE  the
 special  accidental  death  benefit  paid  to  a 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, chil-
 dren under the age of eighteen, or a student under the  age  of  twenty-
 three,  shall be escalated by adding thereto an additional percentage of
 the salary of the deceased member (as increased pursuant to  subdivision
 b of this section) in accordance with the following schedule:
      calendar year of death
      of the deceased member              per centum
           1977 or prior                  [278.2%] 289.5%
           1978                           [267.1%] 278.2%
           1979                           [256.5%] 267.1%
           1980                           [246.1%] 256.5%
           1981                           [236%] 246.1%
           1982                           [226.2%] 236.0%
           1983                           [216.7%] 226.2%
           1984                           [207.5%] 216.7%
           1985                           [198.5%] 207.5%
           1986                           [189.8%] 198.5%
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06851-01-3
              

 S. 4811                             2
 
           1987                           [181.4%] 189.8%
           1988                           [173.2%] 181.4%
           1989                           [165.2%] 173.2%
           1990                           [157.5%] 165.2%
           1991                           [150.0%] 157.5%
           1992                           [142.7%] 150.0%
           1993                           [135.7%] 142.7%
           1994                           [128.8%] 135.7%
           1995                           [122.1%] 128.8%
           1996                           [115.7%] 122.1%
           1997                           [109.4%] 115.7%
           1998                           [103.3%] 109.4%
           1999                            [97.4%] 103.3%
           2000                            [91.6%] 97.4%
           2001                            [86.0%] 91.6%
           2002                            [80.6%] 86.0%
           2003                            [75.4%] 80.6%
           2004                            [70.2%] 75.4%
           2005                            [65.3%] 70.2%
           2006                            [60.5%] 65.3%
           2007                            [55.8%] 60.5%
           2008                            [51.3%] 55.8%
           2009                            [46.9%] 51.3%
           2010                            [42.6%] 46.9%
           2011                            [38.4%] 42.6%
           2012                            [34.4%] 38.4%
           2013                            [30.5%] 34.4%
           2014                            [26.7%] 30.5%
           2015                            [23.0%] 26.7%
           2016                            [19.4%] 23.0%
           2017                            [15.9%] 19.4%
           2018                            [12.6%] 15.9%
           2019                             [9.3%] 12.6%
           2020                             [6.1%] 9.3%
           2021                             [3.0%] 6.1%
           2022                             [0.0%] 3.0%
           2023                             0.0%
   § 2. Subdivision c of section 361-a of the retirement and social secu-
 rity  law,  as amended by chapter 528 of the laws of 2022, is amended to
 read as follows:
   c. Commencing July first, two thousand [twenty-two]  TWENTY-THREE  the
 special  accidental  death  benefit  paid  to  a 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, shall
 be escalated by adding thereto an additional percentage of the salary of
 the deceased member, as increased pursuant  to  subdivision  b  of  this
 section, in accordance with the following schedule:
      calendar year of death
      of the deceased member              per centum
           1977 or prior                    [278.2%] 289.5%
           1978                             [267.1%] 278.2%
           1979                             [256.5%] 267.1%
           1980                             [246.1%] 256.5%
           1981                             [236%]   246.1%
           1982                             [226.2%] 236.0%
           1983                             [216.7%] 226.2%
 S. 4811                             3
 
           1984                             [207.5%] 216.7%
           1985                             [198.5%] 207.5%
           1986                             [189.8%] 198.5%
           1987                             [181.4%] 189.8%
           1988                             [173.2%] 181.4%
           1989                             [165.2%] 173.2%
           1990                             [157.5%] 165.2%
           1991                             [150.0%] 157.5%
           1992                             [142.7%] 150.0%
           1993                             [135.7%] 142.7%
           1994                             [128.8%] 135.7%
           1995                             [122.1%] 128.8%
           1996                             [115.7%] 122.1%
           1997                             [109.4%] 115.7%
           1998                             [103.3%] 109.4%
           1999                              [97.4%] 103.3%
           2000                              [91.6%] 97.4%
           2001                              [86.0%] 91.6%
           2002                              [80.6%] 86.0%
           2003                              [75.4%] 80.6%
           2004                              [70.2%] 75.4%
           2005                              [65.3%] 70.2%
           2006                              [60.5%] 65.3%
           2007                              [55.8%] 60.5%
           2008                              [51.3%] 55.8%
           2009                              [46.9%] 51.3%
           2010                              [42.6%] 46.9%
           2011                              [38.4%] 42.6%
           2012                              [34.4%] 38.4%
           2013                              [30.5%] 34.4%
           2014                              [26.7%] 30.5%
           2015                              [23.0%] 26.7%
           2016                              [19.4%] 23.0%
           2017                              [15.9%] 19.4%
           2018                              [12.6%] 15.9%
           2019                               [9.3%] 12.6%
           2020                               [6.1%] 9.3%
           2021                               [3.0%] 6.1%
           2022                               [0.0%] 3.0%
           2023                               0.0%
   § 3. This act shall take effect July 1, 2023.

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  4811--A
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             February 15, 2023
                                ___________
 
 Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
   printed to be committed to the Committee on Civil Service and Pensions
   --  committee  discharged,  bill amended, ordered reprinted as amended
   and recommitted to said committee
 
 AN ACT to amend the general municipal law and the retirement and  social
   security  law,  in relation to increasing the special accidental death
   benefit of certain  deceased members
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subdivision  c  of section 208-f of the general municipal
 law, as separately amended by   chapters 528 and   782 of  the  laws  of
 2022, is amended to read as follows:
   c.  Commencing  July first, two thousand [twenty-two] TWENTY-THREE the
 special accidental death benefit paid to  a  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, chil-
 dren  under  the  age of eighteen, or a student under the age of twenty-
 three, shall be escalated by adding thereto an additional percentage  of
 the  salary of the deceased member (as increased pursuant to subdivision
 b of this section) in accordance with the following schedule:
      calendar year of death
      of the deceased member              per centum
           1977 or prior                  [278.2%] 289.5%
           1978                           [267.1%] 278.2%
           1979                           [256.5%] 267.1%
           1980                           [246.1%] 256.5%
           1981                           [236%] 246.1%
           1982                           [226.2%] 236.0%
           1983                           [216.7%] 226.2%
           1984                           [207.5%] 216.7%
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06851-03-3
              

 S. 4811--A                          2
 
           1985                           [198.5%] 207.5%
           1986                           [189.8%] 198.5%
           1987                           [181.4%] 189.8%
           1988                           [173.2%] 181.4%
           1989                           [165.2%] 173.2%
           1990                           [157.5%] 165.2%
           1991                           [150.0%] 157.5%
           1992                           [142.7%] 150.0%
           1993                           [135.7%] 142.7%
           1994                           [128.8%] 135.7%
           1995                           [122.1%] 128.8%
           1996                           [115.7%] 122.1%
           1997                           [109.4%] 115.7%
           1998                           [103.3%] 109.4%
           1999                            [97.4%] 103.3%
           2000                            [91.6%] 97.4%
           2001                            [86.0%] 91.6%
           2002                            [80.6%] 86.0%
           2003                            [75.4%] 80.6%
           2004                            [70.2%] 75.4%
           2005                            [65.3%] 70.2%
           2006                            [60.5%] 65.3%
           2007                            [55.8%] 60.5%
           2008                            [51.3%] 55.8%
           2009                            [46.9%] 51.3%
           2010                            [42.6%] 46.9%
           2011                            [38.4%] 42.6%
           2012                            [34.4%] 38.4%
           2013                            [30.5%] 34.4%
           2014                            [26.7%] 30.5%
           2015                            [23.0%] 26.7%
           2016                            [19.4%] 23.0%
           2017                            [15.9%] 19.4%
           2018                            [12.6%] 15.9%
           2019                             [9.3%] 12.6%
           2020                             [6.1%] 9.3%
           2021                             [3.0%] 6.1%
           2022                             [0.0%] 3.0%
           2023                             0.0%
   § 2. Subdivision c of section 361-a of the retirement and social secu-
 rity  law,  as amended by chapter 528 of the laws of 2022, is amended to
 read as follows:
   c. Commencing July first, two thousand [twenty-two]  TWENTY-THREE  the
 special  accidental  death  benefit  paid  to  a 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, shall
 be escalated by adding thereto an additional percentage of the salary of
 the deceased member, as increased pursuant  to  subdivision  b  of  this
 section, in accordance with the following schedule:
      calendar year of death
      of the deceased member              per centum
           1977 or prior                    [278.2%] 289.5%
           1978                             [267.1%] 278.2%
           1979                             [256.5%] 267.1%
           1980                             [246.1%] 256.5%
           1981                             [236%]   246.1%
 S. 4811--A                          3
 
           1982                             [226.2%] 236.0%
           1983                             [216.7%] 226.2%
           1984                             [207.5%] 216.7%
           1985                             [198.5%] 207.5%
           1986                             [189.8%] 198.5%
           1987                             [181.4%] 189.8%
           1988                             [173.2%] 181.4%
           1989                             [165.2%] 173.2%
           1990                             [157.5%] 165.2%
           1991                             [150.0%] 157.5%
           1992                             [142.7%] 150.0%
           1993                             [135.7%] 142.7%
           1994                             [128.8%] 135.7%
           1995                             [122.1%] 128.8%
           1996                             [115.7%] 122.1%
           1997                             [109.4%] 115.7%
           1998                             [103.3%] 109.4%
           1999                              [97.4%] 103.3%
           2000                              [91.6%] 97.4%
           2001                              [86.0%] 91.6%
           2002                              [80.6%] 86.0%
           2003                              [75.4%] 80.6%
           2004                              [70.2%] 75.4%
           2005                              [65.3%] 70.2%
           2006                              [60.5%] 65.3%
           2007                              [55.8%] 60.5%
           2008                              [51.3%] 55.8%
           2009                              [46.9%] 51.3%
           2010                              [42.6%] 46.9%
           2011                              [38.4%] 42.6%
           2012                              [34.4%] 38.4%
           2013                              [30.5%] 34.4%
           2014                              [26.7%] 30.5%
           2015                              [23.0%] 26.7%
           2016                              [19.4%] 23.0%
           2017                              [15.9%] 19.4%
           2018                              [12.6%] 15.9%
           2019                               [9.3%] 12.6%
           2020                               [6.1%] 9.3%
           2021                               [3.0%] 6.1%
           2022                               [0.0%] 3.0%
           2023                               0.0%
   § 3. This act shall take effect July 1, 2023.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   SUMMARY OF BILL: This proposed legislation would amend General Munici-
 pal  Law  (GML)  Section 208-f(c) to increase certain Special Accidental
 Death Benefits (SADB) for Eligible Beneficiaries of  former  members  of
 certain  New  York City Retirement Systems and Pension Funds (NYCRS) and
 died as a natural and proximate result of an accident sustained  in  the
 performance of duty.
   Effective Date: July 1, 2023.
   BACKGROUND: Under the GML, the basic SADB is defined as:
   The  salary  of  the  deceased member at date of death (or, in certain
 instances, a greater salary based on a  higher  rank  or  other  status)
 (Final Salary), less the following payments to an Eligible Beneficiary:
 S. 4811--A                          4

     *  Any  NYCRS  death  benefit  as adjusted by any Supplementation or
 Cost-of-Living Adjustment (COLA),
     * Any Social Security death benefit, and
     * Any Workers' Compensation benefit.
   The  GML also provides that the SADB is subject to escalation based on
 the calendar year in which the former member died.
   The SADB is paid to the deceased member's surviving spouse, if  alive.
 If  the  spouse  is  no  longer  alive, the SADB is paid to the deceased
 member's children until age eighteen or  until  age  twenty-three  if  a
 student.  If  neither  a spouse nor a dependent child is alive, the SADB
 may be paid to the member's parents or  certain  other  individuals,  if
 eligible.
   IMPACT  ON  BENEFITS:  The  SADB  has been increased on a year-by-year
 basis.   Under the proposed legislation, an  additional  3.0%  of  Final
 Salary would be applied to the SADB paid effective July 1, 2023.
   With  respect  to the NYCRS, the proposed legislation would impact the
 SADB payable to certain survivors of members of the:
     * New York City Employees' Retirement System (NYCERS),
     * New York City Police Pension Fund (POLICE), or
     * New York City Fire Pension Fund (FIRE),
   and who were employed by one of the  following  employers  in  certain
 positions:
     * New York City Police Department - Uniformed Position,
     * New York City Fire Department - Uniformed Position,
     * New York City Department of Sanitation - Uniformed Position,
     * New York City Housing Authority - Uniformed Position,
     * New York City Transit Authority - Uniformed Position,
     * New York City Department of Correction - Uniformed Position,
     * New York City - Uniformed Position as Emergency Medical Technician
 (EMT),
     *  New  York City Health and Hospitals Corporation - Uniformed Posi-
 tion as EMT, or
     * Triborough Bridge and Tunnel Authority - Bridge and  Tunnel  Posi-
 tion.
   FINANCIAL IMPACT - PRESENT VALUES: Based on the Eligible Beneficiaries
 of  deceased NYCRS members who would be impacted by this proposed legis-
 lation and the actuarial assumptions and methods described  herein,  the
 enactment  of this proposed legislation would increase the Present Value
 of Future Benefits (PVFB) by approximately $63.5 million.
   FINANCIAL IMPACT - ANNUAL EMPLOYER CONTRIBUTIONS: The  costs  of  this
 proposed legislation have already been accounted for and will not result
 in a further increase in employer contributions. There will, however, be
 a  decrease in employer contributions if the proposed legislation is not
 enacted.
   This would result in a decrease in NYCRS annual employer contributions
 of approximately $7.5 million each year.
   The decrease in expected pension payments due to this legislation  not
 passing  would  be  treated  as an actuarial gain. These actuarial gains
 would be amortized over a 15-year period (14 payments under the One-Year
 Lag Methodology) using level dollar payments.
   CENSUS DATA: The estimates presented herein are based upon the  census
 data for such Eligible Beneficiaries provided by NYCRS.
 
                                               Annual Accidental Death
 Retirement System      Number of Deceased    Benefit Prior to Proposed
                        Members with Eligible   July 1, 2023 Increase
 S. 4811--A                          5
 
                        Survivors                ($ Millions)

 NYCERS                      79                    $ 8.0
 POLICE                     564                     71.1
 FIRE                       676                     91.8
   Total                  1,319                   $170.9
 
   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,
 POLICE, and FIRE.
   Based  on  the historical practice of providing 3.0% COLAs on the SADB
 each year, and the likelihood that COLAs will continue to be granted  in
 the  future,  the Actuary assumes that the SADB benefit will continue to
 increase 3.0% per year in the future  when  determining  NYCRS  employer
 contributions.
   For  the  purposes of this Fiscal Note, it is assumed that the changes
 if this proposed legislation fails to pass would be  reflected  for  the
 first  time in the June 30, 2022 actuarial valuations of NYCERS, POLICE,
 and FIRE used to determine employer contributions for Fiscal Year 2024.
   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 2023-11 dated March 14,
 2023 was prepared by the Chief Actuary for the New York City  Employees'
 Retirement  System,  the New York City Police Pension Fund, and New York
 City Fire Pension Fund. This estimate is intended for  use  only  during
 the 2023 Legislative Session.