NY S06434

Creates a Deferred Retirement Option Plan (DROP) for New York City correction officers, providing a lump sum payment upon retirement equal to the variable supplement payments they would have received had they retired at their earliest eligibility date or January 1, 2025, whichever is later

Increases employer contributions to NYCERS starting at $10.3 million in fiscal year 2026, rising to $11.4 million by 2033, then decreasing to approximately $4.5 million annually through 2050

Generates an unfunded accrued liability of $45.2 million to be amortized over 9 payments of $7.2 million each

Applies only to service retirements and does not cover deaths or disability retirements, even if occurring after earliest service retirement eligibility

Impacts approximately 5,716 active correction officers with an average age of 43.4 years, average service of 12.7 years, and average salary of $133,900