NY S07843

Establishes a 25-year retirement program for New York City water supply police officers in the NYC Employees' Retirement System, allowing retirement after 25 years of service with a benefit equal to 50% of final average salary plus 2% for each additional year up to 30 years

Requires participating members to contribute an additional 6% of compensation on top of regular pension contributions until the later of one year after the program's effective date or completion of 30 years of credited service

Current Tier 4 and Tier 6 water supply police members have 180 days from the effective date to elect participation; new hires are automatically enrolled in the Tier 6 program unless over age 30 at employment

Provides employer pick-up of additional member contributions for federal income tax purposes under Internal Revenue Code Section 414(h), treating them as employer contributions

Estimated to increase NYC employer contributions by approximately $1.1 million in the first year, decreasing to eventual savings of approximately $0.6 million annually by fiscal year 2050 as the actuarial value of required member contributions exceeds expected benefits for many participants