Bill Text: NY S07628 | 2013-2014 | General Assembly | Amended


Bill Title: Extends deadline during which to file as having a World Trade Center condition, and modifies qualifications.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2014-11-21 - SIGNED CHAP.472 [S07628 Detail]

Download: New_York-2013-S07628-Amended.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                        7628--A
                                   I N  S E N A T E
                                     May 21, 2014
                                      ___________
       Introduced  by  Sen.  GOLDEN -- 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 retirement and social security law, in relation to
         injuries or illnesses suffered as a result of participating in rescue,
         recovery and cleanup directly related to attacks at  the  World  Trade
         Center on September 11, 2001
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Paragraph (a) of subdivision 36 of section 2 of the retire-
    2  ment and social security law, as amended by chapter 489 of the  laws  of
    3  2013, is amended to read as follows:
    4    (a)  "Qualifying World Trade Center condition" shall mean a qualifying
    5  condition or impairment of health resulting in disability  to  a  member
    6  who participated in World Trade Center rescue, recovery or cleanup oper-
    7  ations  for  a  qualifying  period,  as  those  terms are defined below,
    8  provided the following conditions have been met:  (i)  such  member,  or
    9  eligible  beneficiary in the case of the member's death, must have filed
   10  a written and sworn statement with the member's retirement system  on  a
   11  form  provided  by  such  system  indicating  the  underlying  dates and
   12  locations of employment not later than September eleventh, two  thousand
   13  [ten,  or  any  later  date  as hereinafter provided in this paragraph;]
   14  FIFTEEN, and (ii) such member has either successfully passed a  physical
   15  examination  for entry into public service, or authorized release of all
   16  relevant medical records, if the member did not undergo a physical exam-
   17  ination for entry into public service; and (iii) there is no evidence of
   18  the qualifying condition or impairment of health that formed  the  basis
   19  for  the  disability  in such physical examination for entry into public
   20  service or in the relevant medical records, prior to September eleventh,
   21  two thousand one EXCEPT FOR SUCH MEMBER, OR ELIGIBLE BENEFICIARY IN  THE
   22  CASE  OF THE MEMBER'S DEATH, OF A LOCAL RETIREMENT SYSTEM OF A CITY WITH
   23  A POPULATION OF ONE MILLION OR MORE THAT IS COVERED BY SECTION 13-551 OF
   24  THE ADMINISTRATIVE  CODE  OF  THE  CITY  OF  NEW  YORK,  OR  BY  SECTION
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD14985-03-4
       S. 7628--A                          2
    1  TWENTY-FIVE  HUNDRED  SEVENTY-FIVE  OF  THE  EDUCATION  LAW AND FOR SUCH
    2  MEMBER WHO SEPARATED FROM SERVICE WITH VESTED RIGHTS, OR ELIGIBLE  BENE-
    3  FICIARY  OF SUCH MEMBER WHO SEPARATED FROM SERVICE WITH VESTED RIGHTS IN
    4  THE  CASE  OF THE MEMBER'S DEATH, OF A LOCAL RETIREMENT SYSTEM OF A CITY
    5  WITH A POPULATION OF ONE MILLION OR MORE WHO  ARE  COVERED  BY  SECTIONS
    6  13-168,  13-252.1  OR 13-353.1 OF THE ADMINISTRATIVE CODE OF THE CITY OF
    7  NEW YORK OR SECTIONS FIVE  HUNDRED  SEVEN-C,  SIX  HUNDRED  FIVE-B,  SIX
    8  HUNDRED FIVE-C, OR SIX HUNDRED SEVEN-B OF THIS CHAPTER. The deadline for
    9  filing  a  written  and  sworn statement required by subparagraph (i) of
   10  this paragraph [is hereby extended to] SHALL BE September eleventh,  two
   11  thousand  fourteen  for such member, or eligible beneficiary in the case
   12  of the member's death, of a local retirement system of  a  city  with  a
   13  population  of  one million or more that is covered by section 13-551 of
   14  the administrative code of the city of New York, or by  section  twenty-
   15  five  hundred  seventy-five of the education law and for such member who
   16  separated from service with vested rights, or  eligible  beneficiary  of
   17  such member who separated from service with vested rights in the case of
   18  the  member's  death,  of  A local retirement [systems] SYSTEM of a city
   19  with a population of one million or more who  are  covered  by  sections
   20  13-168,  13-252.1  [and]  OR  13-353.1 of the administrative code of the
   21  city of New York and sections five hundred seven-c, six hundred  five-b,
   22  six  hundred five-c, [and] OR six hundred seven-b of this chapter. Every
   23  retirement system shall keep a copy of every written and sworn statement
   24  that is presented for filing not  later  than  September  eleventh,  two
   25  thousand  [fourteen]  FIFTEEN,  including  those  that  are rejected for
   26  filing as untimely.
   27    S 2. Notwithstanding any other provision of law to the contrary,  none
   28  of  the  provisions  of  this  act shall be subject to section 25 of the
   29  retirement and social security law.
   30    S 3. This act shall take effect immediately.
         FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
         PROVISIONS OF PROPOSED LEGISLATION: With respect to the New York  City
       Retirement  Systems  ("NYCRS"),  the  proposed  legislation  would amend
       Retirement and Social Security Law ("RSSL") Section  2,  to  extend  the
       deadline  for  filing  a  registration  of participation under the World
       Trade Center ("WTC") Disability Law to certain members who  participated
       in the Rescue, Recovery or Cleanup operations related to the World Trade
       Center attack on September 11, 2001.
         The   NYCRS  include:  New  York  City  Employees'  Retirement  System
       ("NYCERS"), New York City Teachers' Retirement  System  ("NYCTRS"),  New
       York  City  Board of Education Retirement System ("BERS"), New York City
       Police Pension Fund ("POLICE") and New York Fire Department Pension Fund
       ("FIRE").
         The WTC Disability Law was enacted under Chapter 104 of  the  Laws  of
       2005,  and was amended by Chapter 93 of the Laws of 2005, Chapter 102 of
       the Laws of 2006, Chapter 444 of the Laws of 2006, Chapter  445  of  the
       Laws  of 2006, Chapter 5 of the Laws of 2007, Chapter 214 of the Laws of
       2007, Chapter 495 of the Laws of 2007, Chapter 489 of the Laws of  2008,
       Chapter 361 of the Laws of 2010 and Chapter 489 of 2013.
         The  Effective  Date of this proposed legislation would be the date of
       enactment.
         DEADLINES FOR FILING A REGISTRATION OF  PARTICIPATION  UNDER  EXISTING
       WTC-RELATED  PROVISIONS: Under current law, as a result of the enactment
       of Chapter 489 of 2013, the deadline for  filing  a  written  and  sworn
       statement  with  the  member's retirement system to register for partic-
       ipation under the WTC Disability Law is September 11, 2014  for  certain
       S. 7628--A                          3
       groups  ("Chapter  489/13 Covered Groups"). These Chapter 489/13 Covered
       Groups are as follows:
         * Active, vested and retired members in NYCTRS in Tiers I and II
         * Active, vested and retired members in BERS in Tiers I and II
         * Vested members in NYCERS in Tiers I and II
         * Vested members in POLICE in Tiers I and II
         * Vested members in FIRE in Tiers I and II
         * Vested Uniformed Corrections members in NYCERS in Tier III
         * Vested Uniformed Sanitation members in NYCERS in Tier IV
         * Vested Deputy Sheriff members in NYCERS in Tier IV and Tier VI
         * Vested EMT members in NYCERS in Tier IV and Tier VI
         Similarly,  the deadline for filing a written and sworn statement with
       the member's retirement system to register for participation  under  the
       WTC  Disability law is September 11, 2010 for all groups not included in
       the Chapter 489/13 Covered Groups (the "Original Covered Groups").
         DEADLINES FOR FILING A REGISTRATION OF  PARTICIPATION  UNDER  PROPOSED
       LEGISLATION:  With  respect to the NYCRS, the proposed legislation would
       extend the deadline for filing a registration of participation under the
       WTC Disability Law for the Original Covered Groups  from  September  11,
       2010  to  September  11, 2015. The deadline for filing a registration of
       participation under the  WTC  Disability  Law  for  the  Chapter  489/13
       Covered Groups would remain unchanged at September 11, 2014.
         ADDITIONAL  EMPLOYER COSTS: The cost of the proposed legislation would
       depend on the number of additional members who file the  required  form,
       meet  the  requirements  and then ultimately benefit from one of the WTC
       Disability Laws.
         As the Actuary believes that most members who would  be  eligible  for
       the  benefits  provided  under the WTC Disability Law have already filed
       the required form to register for  participation,  only  a  few  members
       likely  would  benefit from the proposed legislation and, therefore, the
       increase in employer costs likely would be de minimis.
         ADDITIONAL EMPLOYER CONTRIBUTIONS: In general, the increase in employ-
       er contributions will be comparable to the increase in employer costs.
         ACTUARIAL ASSUMPTIONS AND METHODS: The additional employer  costs  and
       contributions  have  been  determined based on the actuarial assumptions
       and methods used in June 30, 2013 (Lag) actuarial valuations of  NYCERS,
       NYCTRS, BERS, POLICE and FIRE.
         ECONOMIC  VALUES OF BENEFITS: The actuarial assumptions used to deter-
       mine the financial impact of the proposed legislation discussed in  this
       Fiscal  Note  are those appropriate for budgetary models and determining
       annual employer contributions to the NYCRS.
         However, the  economic  assumptions  that  are  used  for  determining
       employer  contributions do not develop risk-adjusted, economic values of
       benefits.  Such risk-adjusted, economic values of benefits would  likely
       differ significantly from those developed by the budgetary models.
         STATEMENT  OF ACTUARIAL OPINION: I, Robert C. North, Jr., am the Chief
       Actuary for the New York City Retirement Systems. I am a Fellow  of  the
       Society  of Actuaries and a Member of the American Academy of Actuaries.
       I meet the Qualification Standards of the American Academy of  Actuaries
       to render the actuarial opinion contained herein.
         FISCAL  NOTE  IDENTIFICATION:  This  estimate is intended for use only
       during the 2014 Legislative Session. It is Fiscal  Note  2014-18,  dated
       April  30,  2014,  prepared  by  the Chief Actuary for the New York City
       Employees' Retirement System, the New  York  City  Teachers'  Retirement
       System,  the New York City Board of Education Retirement System, the New
       S. 7628--A                          4
       York City Police Pension Fund and the New York Fire  Department  Pension
       Fund.
         FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
         This  bill  would amend chapter 93 of the Laws of 2005 and chapter 445
       of the Laws of 2006, which provided members of public retirement systems
       who contract any form of disease or disability related  to  exposure  to
       any  elements  in  connection  with  the  World  Trade Center tragedy of
       September 11, 2001 to be presumptive evidence that such  disability,  or
       death  as  a result of such disability was the result of an accident and
       was sustained in the performance of duty.
         Insofar as this bill would affect the New York State and Local Employ-
       ees' Retirement and the New York State and Local Police and Fire Retire-
       ment System, this bill would  extend  the  deadline  for  filing  notice
       regarding  the  eligibility for benefits for certain members who partic-
       ipated in the World Trade Center rescue, recovery or  cleanup  operation
       to September 11, 2015.
         If  this  bill  is  enacted,  it would lead to more disabilities being
       classified as "in performance of duty" or "accidental". For the disabil-
       ities so classified due to this bill, the cost would depend on the  age,
       service,  salary  and plan of the affected member or retiree, as well as
       whether such person would have otherwise been eligible for, or has  been
       receiving  an ordinary disability, a performance of duty disability or a
       service retirement. For those who contract such disease prior to retire-
       ment, it is estimated that there could be per person one-time  costs  of
       as  much  as  four (4) times salary. For those who contract such disease
       subsequent to a service retirement, it is estimated that there would  be
       an  average per person cost of approximately 150% of final average sala-
       ry. For those who contract such disease subsequent to an ordinary  disa-
       bility  retirement,  it  is estimated that there would be an average per
       person cost of approximately four (4) times final average salary.
         This bill would also lead to more deaths being  classified  as  "acci-
       dental".  For  each death classified as accidental due to this bill, the
       cost would depend on the age, service, salary and plan of  the  affected
       individual,  as  well as whether such person was an active member or has
       been receiving an ordinary disability, a performance of duty disability,
       an accidental disability or a service retirement. It is  estimated  that
       the cost for each ERS and PFRS individual affected would average approx-
       imately  three  (3) times final average salary and seven (7) times final
       average salary, respectively.
         ERS Costs: Pursuant to Section 25 of the Retirement and Social Securi-
       ty Law, the increased cost to the New York State  and  Local  Employees'
       Retirement  System  would be borne entirely by the State of New York and
       would require an itemized appropriation sufficient to pay  the  cost  of
       the  provision.  A  precise cost can't be determined at this time. Every
       year a cost will be determined (and billed to the state) based on  those
       benefiting from this provision.
         PFRS  Costs:  These costs would be shared by the State of New York and
       the participating employers in the PFRS.
         Summary of relevant resources:
         The membership data used in  measuring  the  impact  of  the  proposed
       change  was  the same as that used in the March 31, 2013 actuarial valu-
       ation.  Distributions and other statistics can  be  found  in  the  2013
       Report  of  the  Actuary  and  the  2013  Comprehensive Annual Financial
       Report.
         The actuarial assumptions and methods used are described in the  2010,
       2011,  2012  and  2013  Annual  Report  to  the Comptroller on Actuarial
       S. 7628--A                          5
       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, 2013
       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.
         This estimate, dated June 4, 2014, and intended for  use  only  during
       the  2014  Legislative Session, is Fiscal Note No. 2014-148, prepared by
       the Actuary for the New York State and Local Employees'  Retirement  and
       the New York State and Local Police and Fire Retirement System.
         FISCAL NOTE.-- Pursuant to Legislative Law, Section 50:
         This  bill  would  amend Subdivision 36 of Section 2 of the Retirement
       and Social Security Law to extend the deadline to September 11, 2015 for
       filing notice of having participated in the World Trade  Center  rescue,
       recover  or cleanup operations during the qualifying period. Members who
       become disabled or die as a result of a "qualifying World  Trade  Center
       condition" are assumed to have become disabled or died as a result of an
       accidental or on-the-job disability or death.
         The  annual  cost  to  the  employers of members of the New York State
       Teachers' Retirement System is estimated to be negligible if  this  bill
       is enacted.
         Employee  data  is  from  the System's most recent actuarial valuation
       files, consisting of data provided by the employers  to  the  Retirement
       System.  Data  distributions and statistics can be found in the System's
       Comprehensive Annual Financial  Report  (CAFR).  System  assets  are  as
       reported  in the System's financial statements, and can also be found in
       the CAFR. Actuarial assumptions and methods are provided in the System's
       Actuarial Valuation Report.
         The source of this estimate is Fiscal Note 2014-35 dated June 9,  2014
       prepared  by  the  Actuary  of  the  New York State Teachers' Retirement
       System and is intended for use only during the 2014 Legislative Session.
       I, Richard A. Young, am the Actuary for the  New  York  State  Teachers'
       Retirement  System.  I  am a member of the American Academy of Actuaries
       and I meet the Qualification Standards of the American Academy of  Actu-
       aries to render the actuarial opinion contained herein.
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