S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7426--A
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                May 3, 2019
                                ___________
 
 Introduced  by M. of A. RA -- read once and referred to the Committee on
   Governmental Employees -- recommitted to the Committee on Governmental
   Employees in accordance with Assembly Rule  3,  sec.  2  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee

 AN  ACT  in  relation  to  authorizing  the son of Barry M. Dennis to be
   designated the beneficiary of his retirement benefits
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Notwithstanding any other provision of law to the contrary,
 Gregory  Dennis,  who  had been named as the survivor beneficiary of his
 father Barry M.  Dennis, a former employee of the Nassau County district
 attorney's office, on June 7, 2017 by Bruce  M.  Dennis  acting  in  his
 capacity  as  power  of  attorney for his brother Barry and who had been
 confirmed as the beneficiary in a letter from the  New  York  state  and
 local employees' retirement system dated June 19, 2017 and who was later
 informed  in a letter dated July 14, 2017 which was received by Bruce M.
 Dennis on July 19, 2017 that as a result  of  a  statutory  gifts  rider
 pursuant  to section 5-1514 of the general obligations law not adjoining
 the statutory short form power of attorney that the  paper  work  naming
 Gregory  Dennis  as  the beneficiary was not properly submitted and as a
 result the only option that was legally available to Barry M. Dennis was
 "Option 0" wherein no beneficiary is selected and  the  pension  benefit
 cease  upon  the death of the member, shall be deemed the beneficiary of
 the retirement benefits of Barry M. Dennis as if such required statutory
 gifts rider had been present, and shall  receive  the  option  that  was
 selected  on the option election form that was rejected due to the unac-
 ceptable power of attorney, if on or before six months after the  effec-
 tive  date  of this act, Bruce M. Dennis shall submit a request therefor
 to the state comptroller.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02363-06-0
              

 A. 7426--A                          2
 
   § 2. Any amounts paid by the  New  York  state  and  local  employees'
 retirement  system  to  Barry  M. Dennis, his estate or to his benefici-
 aries, which exceed those amounts that would have been payable  if  such
 required  statutory  gift rider had been present, will be deducted on an
 actuarially equivalent basis over the expected future lifetime of Grego-
 ry Dennis from the benefits payable to him pursuant to this act.
   § 3. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   Barry  M.  Dennis  was retired under an option 0, affording no contin-
 uance upon his death, following a failure of his agent  to  provide  the
 necessary and requested documentation to properly execute an election of
 a  Joint  Survivor  100%, under which payments would continue to his son
 Gregory Dennis upon his death. This bill would deem Gregory  Dennis  the
 beneficiary  of  a  Joint  Survivor  100%  continuance, upon the written
 request of the member's agent Bruce M. Dennis. Any overpayments  by  the
 New York State and Local Employees' Retirement System (ERS) on behalf of
 Barry  M.  Dennis  will  offset the future benefit payable via actuarial
 reduction.
   If this bill is enacted during the  2020  legislative  session,  there
 will  be  an immediate past service cost of approximately $833,000. This
 cost would be shared by the State of  New  York  and  the  participating
 employers in the ERS.
   Summary of relevant resources:
   The  membership  data  used  in  measuring  the impact of the proposed
 change was the same as that used in the March 31, 2019  actuarial  valu-
 ation.    Distributions  and  other  statistics can be found in the 2019
 Report of the  Actuary  and  the  2019  Comprehensive  Annual  Financial
 Report.
   The  actuarial assumptions and methods used are described in the 2015,
 2016, 2017, 2018, and 2019 Annual Report to the Comptroller on Actuarial
 Assumptions, and the Codes, Rules, and Regulations of the State  of  New
 York: Audit and Control.
   The Market Assets and GASB Disclosures are found in the March 31, 2019
 New  York  State  and  Local  Retirement System Financial Statements and
 Supplementary Information.
   I am a member of the American Academy of Actuaries and meet the Quali-
 fication Standards to render the actuarial opinion contained herein.
   This fiscal note does not constitute a legal opinion on the  viability
 of  the  proposed change nor is it intended to serve as a substitute for
 the professional judgment of an attorney.
   This estimate, dated January 2, 2020, and intended for use only during
 the 2020 Legislative Session, is Fiscal Note No.  2020-21,  prepared  by
 the Actuary for the New York State and Local Retirement System.