Senate Bill S9276

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9276
 
                             I N  S E N A T E
 
                             February 23, 2026
                                ___________
 
 Introduced by Sen. SEPULVEDA -- 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
   death benefits for the beneficiaries of certain members of the retire-
   ment system
 
   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 63-j to read as follows:
   §  63-J. DEATH BENEFITS FOR STATE-PAID JUDGES AND JUSTICES. A. AS USED
 IN THIS SECTION, THE TERM "JUDGE OR JUSTICE"  SHALL  MEAN  A  STATE-PAID
 JUDGE  OR  JUSTICE OF THE UNIFIED COURT SYSTEM INCLUDING A RETIRED JUDGE
 OF THE COURT OF APPEALS OR RETIRED JUSTICE OF THE SUPREME COURT  WHO  IS
 SERVING  AS  A JUSTICE OF THE SUPREME COURT PURSUANT TO CERTIFICATION BY
 THE ADMINISTRATIVE BOARD OF THE COURTS IN ACCORDANCE  WITH  SECTION  ONE
 HUNDRED FOURTEEN OR ONE HUNDRED FIFTEEN OF THE JUDICIARY LAW, OR A HOUS-
 ING JUDGE OF THE CIVIL COURT OF THE CITY OF NEW YORK.
   B. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, WHERE A JUDGE
 OR  JUSTICE  WOULD HAVE BEEN ENTITLED TO A SERVICE RETIREMENT BENEFIT AT
 THE TIME OF SUCH JUDGE OR JUSTICE'S DEATH AND WHERE SUCH DEATH OCCURS ON
 OR AFTER THE EFFECTIVE DATE OF THIS SECTION, THE BENEFICIARY OR  BENEFI-
 CIARIES  MAY  ELECT  TO  RECEIVE, IN A LUMP SUM, AN AMOUNT PAYABLE WHICH
 SHALL BE EQUAL TO THE PENSION RESERVE THAT WOULD HAVE  BEEN  ESTABLISHED
 HAD  THE MEMBER RETIRED ON THE DATE OF SUCH JUDGE OR JUSTICE'S DEATH, OR
 THE VALUE OF THE DEATH BENEFIT AND THE  RESERVE-FOR-INCREASED-TAKE-HOME-
 PAY, IF ANY, WHICHEVER IS GREATER.
   § 2. The retirement and social security law is amended by adding a new
 section 508-d to read as follows:
   §  508-D.  DEATH  BENEFITS  FOR STATE-PAID JUDGES AND JUSTICES. A.  AS
 USED IN THIS SECTION, THE TERM "JUDGE OR JUSTICE" SHALL  MEAN  A  STATE-
 PAID  JUDGE  OR  JUSTICE OF THE UNIFIED COURT SYSTEM INCLUDING A RETIRED
 JUDGE OF THE COURT OF APPEALS OR RETIRED JUSTICE OF  THE  SUPREME  COURT
 WHO  IS  SERVING  AS  A JUSTICE OF THE SUPREME COURT PURSUANT TO CERTIF-
 ICATION BY THE ADMINISTRATIVE BOARD OF THE  COURTS  IN  ACCORDANCE  WITH
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD02220-04-6
 S. 9276                             2

 SECTION  ONE  HUNDRED  FOURTEEN  OR ONE HUNDRED FIFTEEN OF THE JUDICIARY
 LAW, OR A HOUSING JUDGE OF THE CIVIL COURT OF THE CITY OF NEW YORK.
   B. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, WHERE A JUDGE
 OR  JUSTICE  WOULD HAVE BEEN ENTITLED TO A SERVICE RETIREMENT BENEFIT AT
 THE TIME OF SUCH JUDGE OR JUSTICE'S DEATH AND WHERE SUCH DEATH OCCURS ON
 OR AFTER THE EFFECTIVE DATE OF THIS SECTION, THE BENEFICIARY OR  BENEFI-
 CIARIES  MAY  ELECT  TO  RECEIVE, IN A LUMP SUM, AN AMOUNT PAYABLE WHICH
 SHALL BE EQUAL TO THE PENSION RESERVE THAT WOULD HAVE  BEEN  ESTABLISHED
 HAD  THE MEMBER RETIRED ON THE DATE OF SUCH JUDGE OR JUSTICE'S DEATH, OR
 THE VALUE OF THE DEATH BENEFIT AND THE  RESERVE-FOR-INCREASED-TAKE-HOME-
 PAY, IF ANY, WHICHEVER IS GREATER.
   § 3. The retirement and social security law is amended by adding a new
 section 606-d to read as follows:
   §  606-D.  DEATH  BENEFITS  FOR STATE-PAID JUDGES AND JUSTICES. A.  AS
 USED IN THIS SECTION, THE TERM "JUDGE OR JUSTICE" SHALL  MEAN  A  STATE-
 PAID  JUDGE  OR  JUSTICE OF THE UNIFIED COURT SYSTEM INCLUDING A RETIRED
 JUDGE OF THE COURT OF APPEALS OR RETIRED JUSTICE OF  THE  SUPREME  COURT
 WHO  IS  SERVING  AS  A JUSTICE OF THE SUPREME COURT PURSUANT TO CERTIF-
 ICATION BY THE ADMINISTRATIVE BOARD OF THE  COURTS  IN  ACCORDANCE  WITH
 SECTION  ONE  HUNDRED  FOURTEEN  OR ONE HUNDRED FIFTEEN OF THE JUDICIARY
 LAW, OR A HOUSING JUDGE OF THE CIVIL COURT OF THE CITY OF NEW YORK.
   B. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, WHERE A JUDGE
 OR JUSTICE WOULD HAVE BEEN ENTITLED TO A SERVICE RETIREMENT  BENEFIT  AT
 THE TIME OF SUCH JUDGE OR JUSTICE'S DEATH AND WHERE SUCH DEATH OCCURS ON
 OR  AFTER THE EFFECTIVE DATE OF THIS SECTION, THE BENEFICIARY OR BENEFI-
 CIARIES MAY ELECT TO RECEIVE, IN A LUMP SUM,  AN  AMOUNT  PAYABLE  WHICH
 SHALL  BE  EQUAL TO THE PENSION RESERVE THAT WOULD HAVE BEEN ESTABLISHED
 HAD THE MEMBER RETIRED ON THE DATE OF SUCH JUDGE OR JUSTICE'S DEATH,  OR
 THE  VALUE OF THE DEATH BENEFIT AND THE RESERVE-FOR-INCREASED-TAKE-HOME-
 PAY, IF ANY, WHICHEVER IS GREATER.
   §  4.  All  past  service  costs  associated  with  implementing   the
 provisions  of  this act shall be borne by the state of New York and may
 be amortized over a period of ten years.
   § 5. Notwithstanding any other 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.
   § 6. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   This bill would modify the in-service  death  benefit  for  retirement
 eligible  members  of the New York State and Local Employees' Retirement
 System (NYSLERS) who are employed as state-paid judges  or  justices  of
 the Unified Court System. The in-service death benefit will be the value
 of  the  pension  reserve  as if the member had retired on their date of
 death.
   We estimate that the state of New  York's  annual  contributions  will
 increase  $310,000  beginning  FYE  2027. Annual costs will vary but are
 expected to average 0.1% of salary.
   In addition, there will be an immediate past  service  cost  of  $4.17
 million  borne by the state of New York as a one-time payment. This cost
 assumes that payment will be made on March 1, 2027. If the state of  New
 York  elects to amortize this cost over 10 years, the cost for each year
 will be $532,000.
   These estimated costs are based on 1,261 affected members employed  by
 the  state of New York, with annual salary of approximately $260 million
 as of March 31, 2025.
   Summary of relevant resources:
 S. 9276                             3
 
   Membership data as of March 31, 2025 was used to measure the impact of
 the bill, the same data used in the Actuarial Valuations dated April  1,
 2025. Distributions and other statistics can be found in the 2025 Report
 of  the  Actuary and the 2025 Annual Comprehensive Financial Report. The
 actuarial  assumptions and methods used are described in the 2025 Annual
 Report to the Comptroller on Actuarial Assumptions, and the Codes, Rules
 and Regulations of the State of New York: Audit and  Control.  The  fair
 value  of assets and GASB disclosures can be found in the 2025 Financial
 Statements and Supplementary Information.
   Assumptions, demographics, and  other  considerations  may  have  been
 modified  to  better reflect specific provisions of any proposed benefit
 change(s).
   This fiscal note does not constitute a legal opinion on the  viability
 of the bill, nor is it intended to serve as a substitute for the profes-
 sional judgment of an attorney.
   This  estimate,  dated  February  23,  2026, and intended for use only
 during the 2026 Legislative Session, is Fiscal Note Number 2026-125.  As
 Chief  Actuary  of  the  New  York  State  and  Local  Retirement System
 (NYSLRS), I, Aaron Schottin Young, hereby  certify  that  this  analysis
 complies  with applicable Actuarial Standards of Practice as well as the
 Code of Professional Conduct and Qualification Standards  for  Actuaries
 Issuing Statements of Actuarial Opinion of the American Academy of Actu-
 aries,  of  which  I  am  a  member.  I am a member of NYSLRS but do not
 believe it impairs my objectivity.