NY A10241

Allows New York City correction and sanitation members in 20-Year and 22-Year retirement plans to borrow up to 75% of their accumulated member contributions from their pension accounts

Repeals existing provisions in the Retirement and Social Security Law that previously prohibited these loan options for uniformed correction/sanitation revised plan members

Requires loan repayment through payroll deductions at a minimum of 5% of earnable compensation, with interest rates 2% higher than the regular interest credited to the member's account

Increases employer contributions by an estimated $8.5 million in fiscal year 2027, decreasing gradually to $1.7 million annually by fiscal year 2038 and beyond

Creates $61 million in present value of increased employer contributions and $43.6 million in unfunded accrued liability, impacting approximately 13,360 active members with an average salary of $120,600