Bill Text: NY S09295 | 2023-2024 | General Assembly | Introduced


Bill Title: Authorizes the office of court administration to pay certain judicial compensation to Hon. Joseph J. Maltese for the period of January 1, 2021 to November 7, 2021.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-05-22 - REPORTED AND COMMITTED TO FINANCE [S09295 Detail]

Download: New_York-2023-S09295-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          9295

                    IN SENATE

                                      May 10, 2024
                                       ___________

        Introduced  by Sen. SCARCELLA-SPANTON -- read twice and ordered printed,
          and when printed to be committed to the Committee on Civil Service and
          Pensions

        AN ACT to authorize the Honorable Joseph J. Maltese to  receive  compen-
          sation and service credit

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Under New York state law, justices over the age of 70  must
     2  request  certification  to continue to serve. In September 2020, Justice
     3  Joseph J. Maltese, who was assigned to the  Appellate  Division,  Second
     4  Department  of  the Supreme Court and other justices were denied certif-
     5  ication by the office of court administration based on potential  future
     6  budget  cuts  that  never materialized. As a result, Justice Maltese and
     7  other similarly situated justices were terminated effective  January  1,
     8  2021.    Pursuant  to  chapter 185 of the laws of 2023, judicial compen-
     9  sation was awarded to 15 justices for the period from January  1,  2021,
    10  to  June  14,  2021.  The  legislature allocated monies to the office of
    11  court administration to make those justices whole. Justice Maltese,  who
    12  believed  he  was  included  in that legislation was not compensated for
    13  that period of time as he did not resume service at the Appellate  Divi-
    14  sion,  Second  Department  until November 8, 2021, because he needed the
    15  Governor's redesignation, to return to the Appellate Division, which did
    16  not take effect until November 8, 2021.  Justice  Maltese  rejoined  the
    17  court  with  the  approval  of  the  office  of court administration and
    18  suspended his pension benefits effective on November 8, 2021.
    19    This body is in agreement with the  office  of  court  administration,
    20  that  in  the interest of fairness, and for the purpose of remedying the
    21  injury to Justice Maltese who was, through no fault of his  own,  denied
    22  his  compensation and the opportunity to continue to serve the people of
    23  the state of New York, that Justice Maltese should be made whole, to the
    24  extent possible, in terms of his salary and his pension.
    25    § 2. Notwithstanding any other provision of law, rule, or  regulation,
    26  the  office  of court administration is authorized to pay Justice Joseph
    27  J. Maltese the salary he would have earned from the period of January 1,

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15321-02-4

        S. 9295                             2

     1  2021 to November 7, 2021.   In the event  that  Justice  Maltese  worked
     2  full-  or  part-time during the period of January 1, 2021 to November 7,
     3  2021, outside earnings from such employment shall be deducted  from  the
     4  amount  payable  as judicial compensation, so that his total wages shall
     5  not exceed the amount he would have earned as wages from New York  state
     6  during  that period.  The office of court administration is also author-
     7  ized to pay to the New York state and local employees' retirement system
     8  the amount that would have been deducted and  paid  to  such  retirement
     9  system  for  the  pension  credit accrued by Justice Maltese during such
    10  period. All such payments shall  be  made  out  of  moneys  appropriated
    11  therefor.  The  New York state and local employees' retirement system is
    12  authorized to reinstate Justice Maltese to  the  retirement  system  for
    13  that  period  from  January  1,  2021 to November 7, 2021 and continuing
    14  until the present time nunc pro tunc, and to adjust  his  seniority  and
    15  add  any  additional  credits since returning to the court prospectively
    16  from November 8, 2021.  The  comptroller  is  authorized  to  waive  the
    17  payment  of  interest by Justice Maltese who received his pension during
    18  the period from January 1, 2021 to November 7, 2021, and is now required
    19  to repay it.
    20    § 3. This act shall take effect immediately.
          FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
          This bill would allow Justice Joseph J. Maltese, a member of  the  New
        York  State  and  Local  Employees' Retirement System (NYSLERS), who was
        dismissed from employment as a supreme  court  justice  of  the  Unified
        Court  System  during the period beginning January 1, 2021 and ending on
        November 7, 2021, to obtain service credit for the duration of the peri-
        od of unemployment.   Additionally, Joseph  J.  Maltese  shall  be  paid
        pensionable  earnings for the period of January 1, 2021 through November
        7, 2021, the date of reemployment. To be eligible  for  this  additional
        service  credit,  Joseph  J.  Maltese, who retired and collected pension
        benefits during the period of unemployment, will be  required  to  repay
        those benefits. This bill would not be consistent with the NYSLERS poli-
        cy  of  granting  service  credit  only  when a salary has been paid for
        services performed.
          If this bill is enacted during the  2024  Legislative  Session,  there
        will  be  an  immediate past service cost of approximately $51,900 which
        will be borne by the New York State Office of Court Administration as  a
        one-time  payment.  This  estimate  assumes that payment will be made on
        March 1, 2025.
          This bill will not increase the future annual contributions of the New
        York State Office of Court Administration.
          The costs quoted above are in addition to the  employer  contributions
        required  for  any  increase  in  pensionable  earnings  reported to the
        NYSLERS and are estimated to be $48,000, which will be collected as part
        of the customary billing process.
          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.

        S. 9295                             3

          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.
          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 May 8, 2024, and intended for use only during the
        2024  Legislative  Session, is Fiscal Note No. 2024-175, prepared by the
        Actuary for the New York State and Local Retirement System.
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