Bill Text: NY S05851 | 2019-2020 | General Assembly | Introduced

New York Senate Bill 5851 (Prior Session Legislation)

NOTE: There are more recent revisions of this legislation. Read Latest Draft

Bill Title: Permits NYC correction officers to borrow from accumulated contributions.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-01-08 - REFERRED TO CIVIL SERVICE AND PENSIONS [S05851 Detail]

Download: New_York-2019-S05851-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________

                                          5851

                               2019-2020 Regular Sessions

                    IN SENATE

                                      May 15, 2019
                                       ___________

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

        AN  ACT to amend the administrative code of the city of New York and the
          retirement and social security law, in relation to permitting  certain
          New  York  city  correction  members  to borrow from their accumulated
          member contributions; and to repeal certain provisions of the  retire-
          ment and social security law relating thereto

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

     1    Section 1. Paragraph 8 of  subdivision  d  of  section  445-a  of  the
     2  retirement  and  social security law is REPEALED and paragraphs 9 and 10
     3  are renumbered paragraphs 8 and 9.
     4    § 2. Paragraph 12 of subdivision d of section 445-c of the  retirement
     5  and  social  security  law  is REPEALED and paragraphs 13, 14 and 15 are
     6  renumbered paragraphs 12, 13 and 14.
     7    § 3. Paragraph 9 of subdivision e of section 504-a of  the  retirement
     8  and social security law is REPEALED.
     9    §  4. Paragraph 13 of subdivision e of section 504-b of the retirement
    10  and social security law is REPEALED.
    11    § 5. Subdivision a of section 13-140 of the administrative code of the
    12  city of New York, as amended by chapter 642 of  the  laws  of  1985,  is
    13  amended to read as follows:
    14    a. Any member in city service who shall have been a member continuous-
    15  ly  at  least  three years, may borrow from the contingent reserve fund,
    16  subject to such rules and regulations as may be approved by such  board,
    17  an  amount  not  exceeding the sum of (i) seventy-five per centum of the
    18  amount in his or her account in the annuity savings fund, (ii) all addi-
    19  tional contributions, together  with  interest  thereon,  made  by  such
    20  member  pursuant  to section four hundred forty-five-a of the retirement
    21  and social security law, and (iii) all additional contributions, togeth-
    22  er with interest thereon, made by such member pursuant to  section  four

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD04279-01-9

        S. 5851                             2

     1  hundred  forty-five-c  of  the  retirement and social security law.  The
     2  rate of interest payable on any loan made under this  section  shall  be
     3  two  per  centum  higher than the rate of regular interest creditable to
     4  the  account of the member. The amount so borrowed, together with inter-
     5  est on any unpaid balance thereof shall  be  repaid  to  the  retirement
     6  system  in  equal installments by deduction from the compensation of the
     7  member at the time the compensation is paid, but such installments shall
     8  be at least five per centum of the member's earnable  compensation.  All
     9  payments of principal and interest made by such member shall be credited
    10  to the contingent reserve fund.
    11    §  6.  Paragraph 1 of subdivision b of section 517-c of the retirement
    12  and social security law, as amended by chapter 303 of the laws of  2017,
    13  is amended to read as follows:
    14    1.  A  member  of  the  New York state and local employees' retirement
    15  system, the New York state and local police and fire retirement  system,
    16  the  New  York  city  employees'  retirement system or the New York city
    17  board of education retirement system in active service  who  has  credit
    18  for  at  least  one year of member service may borrow, no more than once
    19  during each twelve month period, an amount  not  exceeding  seventy-five
    20  percent of the total contributions made pursuant to section five hundred
    21  four-a  (including  interest  credited at the rate set forth in subpara-
    22  graph (ii) of paragraph eight of subdivision  e  of  such  section  five
    23  hundred  four-a  compounded  annually),  or  section five hundred four-b
    24  (including interest credited at the rate set forth in subparagraph  (ii)
    25  of paragraph twelve of subdivision e of such section five hundred four-b
    26  compounded  annually)  or section five hundred seventeen of this article
    27  (including interest credited at the rate set forth in subdivision  c  of
    28  such  section  five  hundred seventeen compounded annually) and not less
    29  than one thousand dollars, provided, however,  that  the  provisions  of
    30  this   section   shall   not   apply   to  a  New  York  city  uniformed
    31  correction/sanitation revised plan member  or  an  investigator  revised
    32  plan member.
    33    § 7. This act shall take effect immediately.