Loading chat...
NY S07804
Bill
Status
6/19/2012
Primary Sponsor
Martin Golden
Click for details
AI Summary
-
Reduces the actuarial interest rate assumption from 8.0% to 7.0% per annum for calculating employer contributions to five NYC retirement systems (NYCERS, NYCTRS, PPF, FPF, BERS), effective July 1, 2011 through June 30, 2016
-
Replaces the Frozen Initial Liability actuarial cost method with the Entry Age Normal actuarial cost method for determining normal contributions, allowing flexible calculation methodologies (individual member basis, aggregate basis, or combinations thereof)
-
Establishes a 22-year amortization schedule for the initial unfunded accrued liability as of June 30, 2010, with 21 annual payments increasing 3.0% per year, and creates different amortization periods for subsequent unfunded accrued liability adjustments (14-20 years depending on type)
-
Requires payment of interest at the valuation rate on overdue employer contributions beginning fiscal year 2012-2013, and allows employers to pay contributions either in full by January 1 or in 12 equal monthly installments
-
Authorizes direct transfers from retirement system contingent reserve funds to variable supplements funds (correction officers, police officers, police superior officers) when those funds lack sufficient assets to pay legally-required benefits
Legislative Description
Relates to the rate of regular interest used in the actuarial valuation of liabilities for the purpose of calculating contributions to the New York city employees' retirement system, the New York city teachers' retirement system, the police pension fund, subchapter two, the fire department pension fund, subchapter two and the board of education retirement system of such city by public employers and other obligors required to make employer contributions to such retirement systems; establishes the entry age actuarial cost method of determining employer contributions to such retirement systems; makes contributions to such retirement systems by such public employers and such other obligors; credits special interest and additional interest to members of such retirement systems; allows interest on the funds of such retirement systems; relates to employer contributions to the board of education retirement system of such city.
Last Action
RECOMMITTED TO RULES
6/21/2012