Bill Text: NY A09612 | 2019-2020 | General Assembly | Introduced

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Bill Title: Grants retroactive retirement membership in the New York state teachers' retirement system to Eileen Saumell.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2020-07-16 - held for consideration in governmental employees [A09612 Detail]

Download: New_York-2019-A09612-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          9612

                   IN ASSEMBLY

                                    January 27, 2020
                                       ___________

        Introduced  by  M.  of  A.  GARBARINO  --  read once and referred to the
          Committee on Governmental Employees

        AN ACT granting retroactive retirement membership in the New York  state
          teachers' retirement system to Eileen Saumell

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

     1    Section 1. Notwithstanding any other provision of law, Eileen  Saumell
     2  who  is  currently  working  at  the  West Babylon school district and a
     3  member of the New  York  state  teachers'  retirement  system,  who  was
     4  employed  as  a  full-time  employee  of the Nassau County Demonstration
     5  Project, a non-participating employer  of  the  New  York  state  public
     6  retirement systems, with a start date of August 8, 1994 until August 27,
     7  2004,  and  at that time a member of the United Jewish Appeal-Federation
     8  of Jewish Philanthropies of New York, Inc. Retirement  Plan,  could  not
     9  become  a  member of one of the New York state public retirement systems
    10  on August 8, 1994, shall be granted service credit in the New York state
    11  teachers' retirement system for her employment with  the  Nassau  County
    12  Demonstration  Project for the period of August 8, 1994 until August 27,
    13  2004, provided that an application is filed  with  the  New  York  state
    14  teachers'  retirement  system within one year from the effective date of
    15  this act.
    16    § 2. No contributions made to the United Jewish  Appeal-Federation  of
    17  Jewish  Philanthropies  of  New  York,  Inc.  Retirement  Plan by Eileen
    18  Saumell shall be returned or refunded to her pursuant to this act.
    19    § 3. All past service costs associated with the implementation of this
    20  act shall be borne by Nassau County.
    21    § 4. This act shall take effect immediately.
          FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
          This bill would allow Eileen Saumell, an active member of the New York
        State Teachers' Retirement System with Tier 4 status, to receive service
        credit for the period August 8, 1994 until August 27, 2004 while she was
        employed with the Nassau County Demonstration Project, a non-participat-
        ing employer of the New York State public retirement systems. During Ms.
        Saumell's employment with the Nassau County Demonstration  Project,  she

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10501-03-0
        A. 9612                             2

        was  a  member  of the United Jewish Appeal-Federation of Jewish Philan-
        thropies of New York, Inc. Retirement Plan and could not become a member
        of one of the New York State public  retirement  systems.  Contributions
        made  to the United Jewish Appeal-Federation of Jewish Philanthropies of
        New York, Inc. Retirement Plan by Ms. Saumell shall not be  returned  or
        refunded  to  her pursuant to this bill. Ms. Saumell must file a written
        request with the head of the New York State Teachers' Retirement  System
        within one year of the effective date of this bill.
          The cost of this benefit is equal to the increase in the present value
        of  liabilities,  which  is estimated to be $364,000. This cost would be
        borne by the county of Nassau. Granting service credit under  this  bill
        for employment with an organization that may potentially be considered a
        non-governmental  or  private  employer  could  jeopardize  the System's
        governmental plan status and its exemption from ERISA which could result
        in the loss of qualified status.  Loss of qualified  status  would  mean
        the  loss  of  tax  benefits. This result would substantially impair the
        System's value to our approximately four hundred and thirty-three  thou-
        sand  members.  In  addition,  precluding a return or refund of contrib-
        utions under her prior plan may create a conflict  under  the  terms  of
        that plan.
          Member  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 2020-7  dated  January  21,
        2020  prepared by the Actuary of the New York State Teachers' Retirement
        System and is intended for use only during the 2020 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.