Senate Bill S9130

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9130
 
                             I N  S E N A T E
 
                             February 5, 2026
                                ___________
 
 Introduced  by  Sen. JACKSON -- 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
   the  restoration  of  20  year service retirement for certain New York
   city corrections officers and sanitation workers

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. Subdivision 17 of section 501 of the retirement and social
 security law, as separately amended by section 1 of part SS  of  chapter
 55 and chapter 692 of the laws of 2025, is amended to read as follows:
   17.  "Normal  retirement  age"  shall  be  age  sixty-two, for general
 members, the age at which a member completes  or  would  have  completed
 twenty-two  years  of  service,  for  police/fire members, New York city
 uniformed correction/sanitation revised plan  members  and  investigator
 revised  plan members[,]; except that for police/fire members of the New
 York city police pension fund, normal retirement age shall be the age at
 which a member  completes  or  would  have  completed  twenty  years  of
 service, and the age at which a member completes twenty years of service
 for  police/fire  members  who  are  members  of  the New York city fire
 department pension fund; AND EXCEPT THAT FOR  NEW  YORK  CITY  UNIFORMED
 CORRECTION/SANITATION  REVISED PLAN MEMBERS, NORMAL RETIREMENT AGE SHALL
 BE THE AGE AT WHICH A MEMBER COMPLETES OR WOULD  HAVE  COMPLETED  TWENTY
 YEARS OF SERVICE.
   § 2. Subdivision d of section 503 of the retirement and social securi-
 ty  law, as separately amended by section 2 of part SS of chapter 55 and
 chapter 692 of the laws of 2025, is amended to read as follows:
   d. The normal service retirement benefit  specified  in  section  five
 hundred  five  of this article shall be paid to police/fire members, New
 York city  uniformed  correction/sanitation  revised  plan  members  and
 investigator  revised plan members without regard to age upon retirement
 after twenty-two years of service[,]; except  that  the  normal  service
 retirement  benefit specified in section five hundred five of this arti-
 cle shall be paid to police/fire members of the  New  York  city  police
 pension  fund,  after  twenty  years of service; provided, however, that
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD09760-04-6
 S. 9130                             2
 
 such normal service retirement benefit for police/fire members  who  are
 members  of the New York city fire department pension fund shall be paid
 to such members of the New York city fire department pension fund  with-
 out  regard  to  age  upon retirement after twenty years of service; AND
 EXCEPT THAT THE NORMAL SERVICE RETIREMENT BENEFIT SPECIFIED  IN  SECTION
 FIVE  HUNDRED  FIVE  OF  THIS  ARTICLE  SHALL  BE  PAID TO NEW YORK CITY
 UNIFORMED CORRECTION/SANITATION REVISED PLAN MEMBERS AFTER TWENTY  YEARS
 OF  SERVICE. Early service retirement shall be permitted upon retirement
 after twenty years of credited service or attainment of  age  sixty-two,
 provided,  however, that New York city police/fire revised plan members,
 New York city uniformed correction/sanitation revised plan  members  and
 investigator  revised  plan  members shall not be eligible to retire for
 service prior to the attainment of twenty years of credited service.
   § 3. Section 505 of the retirement and social security law is  amended
 by adding a new subdivision e to read as follows:
   E. NOTWITHSTANDING ANYTHING TO THE CONTRARY IN ANY OTHER LAW, NEW YORK
 CITY  UNIFORMED  CORRECTION/SANITATION  REVISED  PLAN  MEMBERS  SHALL BE
 ELIGIBLE FOR A NORMAL SERVICE RETIREMENT BENEFIT IN  LIEU  OF  AN  EARLY
 SERVICE  RETIREMENT  BENEFIT  UPON  COMPLETING  TWENTY  YEARS OF SERVICE
 PURSUANT TO SUBDIVISION D OF SECTION FIVE HUNDRED THREE OF THIS ARTICLE.
   § 4. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
 SUMMARY: This proposed legislation would reduce  the  Normal  Retirement
 Age  for  NYCERS  Tier  3  members of the Uniformed Sanitation Force and
 Uniformed Correction Force 22-Year Plans (i.e., Revised Plan members) to
 be the age at which a member completes or would  have  completed  twenty
 years of service.
 
          EXPECTED INCREASE (DECREASE) IN EMPLOYER CONTRIBUTIONS
           by Fiscal Year for the first 25 years ($ in Millions)
                     Year      NYCERS
 
                     2027         6.6
                     2028         7.0
                     2029         7.4
                     2030         7.8
                     2031         8.2
                     2032         8.6
                     2033         8.9
                     2034         9.3
                     2035         9.6
                     2036         9.9
                     2037        10.1
                     2038        10.4
                     2039        10.6
                     2040        10.8
                     2041        11.1
                     2042         8.3
                     2043         8.6
                     2044         8.9
                     2045         9.2
                     2046         9.4
                     2047         9.7
                     2048        10.1
                     2049        10.4
                     2050        10.7
 S. 9130                             3
 
                     2051        11.1
 
  Projected contributions include future new hires that may be impacted.
 For Fiscal Year 2052 and beyond, the expected increase in normal cost as
 a level percent of pay for impacted new entrants is approximately 0.32%.
 
 The  entire  increase in employer contributions will be allocated to New
 York City.
 
 PRESENT VALUE  OF  BENEFITS:  The  Present  Value  of  Benefits  is  the
 discounted  expected  value  of  benefits paid to current members if all
 assumptions are met, including future service accrual and pay increases.
 Future new hires are not included in this present value.
 
          INITIAL INCREASE (DECREASE) IN ACTUARIAL PRESENT VALUES
                    as of June 30, 2025 ($ in Millions)
 
              Present Value (PV)                 NYCERS
 
              (1) PV of Employer Contributions:  53.4
              (2) PV of Employee Contributions:  (3.5)
              Total PV of Benefits (1) + (2):    49.9
 
 UNFUNDED ACCRUED LIABILITY (UAL): Actuarial Accrued Liabilities are  the
 portion  of  the  Present  Value  of Benefits allocated to past service.
 Changes in UAL were amortized over the expected remaining working  life-
 time of those impacted using level dollar payments.

                AMORTIZATION OF UNFUNDED ACCRUED LIABILITY
 
                                                 NYCERS
              Increase (Decrease) in UAL:        27.6 M
              Number of Payments:                15
              Amortization Payment:              3.1 M
 
 CENSUS  DATA:  The  estimates  presented herein are based on preliminary
 census data collected as of June 30,  2025.  The  census  data  for  the
 impacted population is summarized below.
 
                                                 NYCERS
              Active Members
              - Number Count:                    8,609
              - Average Age:                     40.3
              - Average Service:                 7.7
              - Average Salary:                  109,200
 
 IMPACT  ON  MEMBER  BENEFITS:  Currently,  NYCERS  Tier 3 Sanitation and
 Correction Revised Plan members in 22-Year  Plans  who  retire  with  at
 least 20 years of service are eligible to receive an annual benefit that
 is  equal  to 42% of Final Average Salary (FAS), increasing to a maximum
 benefit of 50% of FAS after 22 years of service.
 Under the proposed legislation, NYCERS Tier 3 Sanitation and  Correction
 Revised  Plan members in 22-Year Plans who retire with at least 20 years
 of service would be eligible to receive an annual benefit that is  equal
 to 50% of FAS.
 S. 9130                             4
 
 ASSUMPTIONS AND METHODS: The estimates presented herein have been calcu-
 lated based on the Revised 2021 Actuarial Assumptions and Methods of the
 impacted retirement systems. In addition:
   *  Retirement rates were adjusted to reflect the earlier payability of
 the service retirement benefit associated with the proposed legislation.
   * New entrants were assumed to replace exiting members so  that  total
 payroll increases by 3% each year for impacted groups. New entrant demo-
 graphics were developed based on data for recent new hires and actuarial
 judgement.
 RISK  AND  UNCERTAINTY:  The  costs presented in this Fiscal Note depend
 highly on the actuarial assumptions, methods,  and  models  used,  demo-
 graphics  of  the impacted population, and other factors such as invest-
 ment, contribution, and other risks. If actual experience deviates  from
 actuarial   assumptions,  the  actual  costs  could  differ  from  those
 presented herein. Quantifying these risks is beyond the  scope  of  this
 Fiscal Note.
 This Fiscal Note is intended to measure pension-related impacts and does
 not  include  other  potential  costs  (e.g.,  administrative  and Other
 Postemployment Benefits). This Fiscal Note does not reflect any  chapter
 laws that may have been enacted during the current legislative session.
 STATEMENT OF ACTUARIAL OPINION: Marek Tyszkiewicz and Gregory Zelikovsky
 are  members  of  the  Society  of Actuaries and the American Academy of
 Actuaries. We are members of NYCERS, but do not believe it  impairs  our
 objectivity,  and  we  meet  the Qualification Standards of the American
 Academy of Actuaries to render the actuarial opinion  contained  herein.
 To  the  best  of  our 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 2026-02 dated  January  21,
 2026  was prepared by the Chief Actuary for the New York City Retirement
 Systems and Pension Funds and is intended for use only during  the  2026
 Legislative Session.