Bill Text: NY S03033 | 2015-2016 | General Assembly | Introduced
Bill Title: Provides three years of retirement service credit to certain retirement system members discharged from military service due to injuries suffered during certain military conflicts even if they did not serve three years in the military.
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2016-01-06 - REFERRED TO VETERANS, HOMELAND SECURITY AND MILITARY AFFAIRS [S03033 Detail]
Download: New_York-2015-S03033-Introduced.html
S T A T E O F N E W Y O R K
________________________________________________________________________
3033
2015-2016 Regular Sessions
I N S E N A T E
February 2, 2015
___________
Introduced by Sen. ORTT -- read twice and ordered printed, and when
printed to be committed to the Committee on Veterans, Homeland Securi-
ty and Military Affairs
AN ACT to amend the retirement and social security law, in relation to
providing three years of retirement service credit to certain members
of public retirement systems of the state honorably discharged from
the military for medical reasons due to injuries suffered during
certain military conflicts
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
1 Section 1. Section 1000 of the retirement and social security law is
2 amended by adding a new subdivision 2-a to read as follows:
3 2-A. A MEMBER, UPON APPLICATION TO SUCH RETIREMENT SYSTEM, MAY OBTAIN
4 A TOTAL OF THREE YEARS OF SERVICE CREDIT FOR LESS THAN THREE YEARS OF
5 MILITARY DUTY, AS DEFINED IN SECTION TWO HUNDRED FORTY-THREE OF THE
6 MILITARY LAW, IF THE MEMBER WAS HONORABLY DISCHARGED FROM THE MILITARY
7 FOR MEDICAL REASONS DUE TO INJURIES SUFFERED DURING SUCH MILITARY DUTY,
8 IF ALL OR PART OF SUCH SERVICES WAS RENDERED IN THE MILITARY CONFLICTS
9 REFERENCED BELOW, AS FOLLOWS:
10 (A) COMMENCING DECEMBER SEVENTH, NINETEEN HUNDRED FORTY-ONE AND TERMI-
11 NATING DECEMBER THIRTY-FIRST, NINETEEN HUNDRED FORTY-SIX;
12 (B) COMMENCING JUNE TWENTY-SEVENTH, NINETEEN HUNDRED FIFTY AND TERMI-
13 NATING JANUARY THIRTY-FIRST, NINETEEN HUNDRED FIFTY-FIVE;
14 (C) COMMENCING FEBRUARY TWENTY-EIGHTH, NINETEEN HUNDRED SIXTY-ONE AND
15 TERMINATING MAY SEVENTH, NINETEEN HUNDRED SEVENTY-FIVE;
16 (D) HOSTILITIES PARTICIPATED IN BY THE MILITARY FORCES OF THE UNITED
17 STATES IN LEBANON, FROM THE FIRST DAY OF JUNE, NINETEEN HUNDRED EIGHTY-
18 THREE TO THE FIRST DAY OF DECEMBER, NINETEEN HUNDRED EIGHTY-SEVEN, AS
19 ESTABLISHED BY RECEIPT OF THE ARMED FORCES EXPEDITIONARY MEDAL, THE NAVY
20 EXPEDITIONARY MEDAL, OR THE MARINE CORPS EXPEDITIONARY MEDAL;
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01745-02-5
S. 3033 2
1 (E) HOSTILITIES PARTICIPATED IN BY THE MILITARY FORCES OF THE UNITED
2 STATES IN GRENADA, FROM THE TWENTY-THIRD DAY OF OCTOBER, NINETEEN
3 HUNDRED EIGHTY-THREE TO THE TWENTY-FIRST DAY OF NOVEMBER, NINETEEN
4 HUNDRED EIGHTY-THREE, AS ESTABLISHED BY RECEIPT OF THE ARMED FORCES
5 EXPEDITIONARY MEDAL, THE NAVY EXPEDITIONARY MEDAL, OR THE MARINE CORPS
6 EXPEDITIONARY MEDAL;
7 (F) HOSTILITIES PARTICIPATED IN BY THE MILITARY FORCES OF THE UNITED
8 STATES IN PANAMA, FROM THE TWENTIETH DAY OF DECEMBER, NINETEEN HUNDRED
9 EIGHTY-NINE TO THE THIRTY-FIRST DAY OF JANUARY, NINETEEN HUNDRED NINETY,
10 AS ESTABLISHED BY RECEIPT OF THE ARMED FORCES EXPEDITIONARY MEDAL, THE
11 NAVY EXPEDITIONARY MEDAL, OR THE MARINE CORPS EXPEDITIONARY MEDAL; OR
12 (G) HOSTILITIES PARTICIPATED IN BY THE MILITARY FORCES OF THE UNITED
13 STATES, FROM THE SECOND DAY OF AUGUST, NINETEEN HUNDRED NINETY, TO THE
14 END OF SUCH HOSTILITIES IN CASE OF A VETERAN WHO SERVED IN THE THEATER
15 OF OPERATIONS INCLUDING IRAQ, KUWAIT, SAUDI ARABIA, BAHRAIN, QATAR, THE
16 UNITED ARAB EMIRATES, OMAN, THE GULF OF ADEN, THE GULF OF OMAN, THE
17 PERSIAN GULF, THE RED SEA, AND THE AIRSPACE ABOVE THESE LOCATIONS.
18 HOWEVER, NOTHING PROVIDED HEREIN SHALL AUTHORIZE OR PERMIT THE CREDITING
19 OF SERVICE WHERE NOT PERMITTED PURSUANT TO SECTION 415(N) OF THE INTER-
20 NAL REVENUE CODE OR ANY REGULATIONS PROMULGATED THEREUNDER.
21 S 2. Notwithstanding any other provision of law to the contrary, none
22 of the provisions of this act shall be subject to section 25 of the
23 retirement and social security law.
24 S 3. This act shall take effect immediately and shall be deemed to
25 have been in full force and effect on and after December 21, 1998.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
This bill would amend Chapter 548 of the Laws of 2000 to allow members
and retirees of public retirement systems in New York State with less
than three (3) years of military duty, who were discharged from the
military for medical reasons due to injuries suffered during such mili-
tary duty, to purchase three (3) years of service credit for military
duty. The additional service credit granted pursuant to this legis-
lation, when added to credit granted for military service pursuant to
any other provision of law shall not exceed a total of three (3) years.
Members must have at least five (5) year of credited service. Tier 1-5
members would be required to make a payment of three percent of their
most recent compensation per year of additional service credit granted
by this bill. Tier 6 members would be required to make a payment of six
percent of their most recent compensation per year of additional service
credit. Retirees must have retired on or after December 21, 1998. The
recalculated annual allowance would be retroactive to the date of
retirement. In addition, none of the provisions of this bill will be
subject to Section 25 of the retirement and social security law.
If this bill is enacted, insofar as this proposal affects the New York
State and Local Employees' Retirement System (ERS), it is estimated that
the past service cost will average approximately 12% (9% for Tier 6) of
an affected members' compensation for each year of additional service
credit that is purchased. For members who retired on or after December
21, 1998 there would be additional costs for payments which will be paid
retroactive to their date of retirement.
Insofar as this proposal affects the New York State and Local Police
and Fire Retirement System (PFRS), it is estimated that the past service
cost will average approximately 17% (14% for Tier 6) of an affected
members' compensation for each year of additional service that is
purchased. For members who retired on or after December 21, 1998 there
S. 3033 3
would be additional costs for payments which will be paid retroactive to
their date of retirement.
The exact number of retirees, current members as well as future
members who could be affected by this legislation cannot be readily
determined. In all likelihood, very few members would be affected.
These cost would be shared by the State of New York and the partic-
ipating employers in the ERS and 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, 2014 actuarial valu-
ation. Distributions and other statistics can be found in the 2014
Report of the Actuary and the 2014 Comprehensive Annual Financial
Report.
The actuarial assumptions and methods used are described in the 2010,
2011, 2012, 2013 and 2014 Annual Report to the Comptroller on Actuarial
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, 2014
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 January 7, 2015 and intended for use only during
the 2015 Legislative Session, is Fiscal Note No. 2015-20, prepared by
the Actuary for the New York State and Local Employees' Retirement
System and the New York State and Local Police and Fire Retirement
System.
