NY S04700

Revises ordinary disability retirement (ODR) benefits for Tier VI sanitation members to require 10+ years of service and equal the greater of one-third of three-year final average salary or 1.67% of final average salary multiplied by years of credited service.

Revises accidental disability retirement (ADR) benefits for Tier VI sanitation members to equal 75% of three-year final average salary and allows eligibility for statutory presumptions (such as certain heart diseases) that currently apply to Tier IV sanitation members.

Removes annual Tier VI escalation increases from ODR and ADR benefits for sanitation members, instead subjecting these benefits to cost-of-living adjustments under existing law capped at $18,000.

Modifies final average salary calculation for retiring Tier VI sanitation members to use the three consecutive years with highest average wages, excluding termination pay and lump sum payments, with a 10% salary increase cap.

Takes effect 60 days after enactment; estimated to increase employer contributions to the retirement system by $0.5 million in Fiscal Year 2015, growing to $1.7 million by Fiscal Year 2019.