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NY S02145

Bill

Status

Introduced

1/11/2013

Primary Sponsor

Martin Golden

Click for details

Origin

Senate

2013-2014 General Assembly

AI Summary

  • Reduces the valuation rate of interest assumption for five New York City retirement systems (NYCERS, NYCTRS, PPF, FPF, BERS) from 8% to 7% per annum, effective July 1, 2011 through June 30, 2016.

  • Replaces the Frozen Initial Liability (FIL) actuarial cost method with the Entry Age Normal (EAN) actuarial cost method for calculating employer contributions to retirement systems beginning fiscal year 2011-2012.

  • Establishes a 22-year amortization schedule for unfunded accrued liabilities as of June 30, 2010, with payments increasing 3% annually, and creates variable amortization periods for future actuarial adjustments based on type (14-20 years).

  • Requires responsible obligors to make retirement system contributions by January 1 or in twelve equal monthly installments, with interest penalties charged at the valuation rate for late payments beginning fiscal year 2012-2013.

  • Allows direct transfers from certain retirement system contingent reserve funds to variable supplements funds for correction officers and police officers when insufficient assets exist 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 retirement systems; the making of contributions to such retirement systems; and the crediting of special interest and additional interest to members of such retirement systems.

Last Action

REFERRED TO CITIES

1/11/2013

Committee Referrals

Cities1/11/2013

Full Bill Text

No bill text available