S T A T E O F N E W Y O R K
________________________________________________________________________
9994
I N A S S E M B L Y
April 29, 2022
___________
Introduced by M. of A. ABBATE -- read once and referred to the Committee
on Governmental Employees
AN ACT to amend the retirement and social security law, the education
law and the administrative code of the city of New York, in relation
to providing cost-of-living adjustments
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision f of section 78-a of the retirement and social
security law, as added by chapter 125 of the laws of 2000, is amended to
read as follows:
f. Commencing September first, two thousand, all retired members who
have retired prior to the calendar year nineteen hundred ninety-seven
and who meet the eligibility criteria set forth in subdivision a of this
section shall be paid an adjusted benefit in monthly installments on the
basis provided for in this subdivision. Said adjusted benefit shall be
equal to a percentage of the change in consumer price index (all urban
consumers, CPI-U, U.S. city average, all items, 1982-84=100), published
by the United States bureau of labor statistics, measured from the year
of retirement through calendar year nineteen hundred ninety-seven
according to the following schedule:
Year of retirement Percentage
1968 through 1996 50%
1966 and 1967 55%
1965 60%
1964 65%
1963 70%
1962 80%
1961 90%
prior to 1961 100%
Said adjusted benefit shall be computed on a base benefit amount not to
exceed eighteen thousand dollars of the retirement allowance otherwise
payable, computed without optional modification. Any benefit received
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10513-09-2
A. 9994 2
pursuant to this subdivision shall be in lieu of any benefit received
pursuant to section seventy-eight of this title.
COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-TWO, ALL RETIRED
MEMBERS WHO HAVE RETIRED PRIOR TO THE CALENDAR YEAR NINETEEN HUNDRED
NINETY-SEVEN AND WHO MEET THE ELIGIBILITY CRITERIA SET FORTH IN SUBDIVI-
SION A OF THIS SECTION SHALL BE PAID AN ADJUSTED BENEFIT IN MONTHLY
INSTALLMENTS ON THE BASIS PROVIDED FOR IN THIS SUBDIVISION. SAID
ADJUSTED BENEFIT SHALL BE EQUAL TO A PERCENTAGE OF THE CHANGE IN CONSUM-
ER PRICE INDEX (ALL URBAN CONSUMERS, CPI-U, U.S. CITY AVERAGE, ALL
ITEMS, 1982-84=100), PUBLISHED BY THE UNITED STATES BUREAU OF LABOR
STATISTICS, MEASURED FROM THE YEAR OF RETIREMENT THROUGH CALENDAR YEAR
NINETEEN HUNDRED NINETY-SEVEN ACCORDING TO THE FOLLOWING SCHEDULE:
YEAR OF RETIREMENT PERCENTAGE
1973 THROUGH 1996 50%
1971 AND 1972 55%
1970 60%
1969 65%
1968 70%
1967 80%
1966 90%
PRIOR TO 1966 100%
SAID ADJUSTED BENEFIT COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-
TWO, SHALL BE COMPUTED ON THE BASE BENEFIT AMOUNT OF THE RETIREMENT
ALLOWANCE OTHERWISE PAYABLE, COMPUTED WITHOUT OPTIONAL MODIFICATION, SET
FORTH HEREIN ABOVE. ANY BENEFIT RECEIVED PURSUANT TO THIS SUBDIVISION
SHALL BE IN LIEU OF ANY BENEFIT RECEIVED PURSUANT TO SECTION SEVENTY-
EIGHT OF THIS TITLE.
§ 2. Subdivision f of section 378-a of the retirement and social secu-
rity law, as added by chapter 125 of the laws of 2000, is amended to
read as follows:
f. Commencing September first, two thousand, all retired members who
have retired prior to the calendar year nineteen hundred ninety-seven
and who meet the eligibility criteria set forth in subdivision a of this
section shall be paid an adjusted benefit in monthly installments on the
basis provided for in this subdivision. Said adjusted benefit shall be
equal to a percentage of the change in consumer price index (all urban
consumers, CPI-U, U.S. city average, all items, 1982-84=100), published
by the United States bureau of labor statistics, measured from the year
of retirement through calendar year nineteen hundred ninety-seven
according to the following schedule:
Year of retirement Percentage
1968 through 1996 50%
1966 and 1967 55%
1965 60%
1964 65%
1963 70%
1962 80%
1961 90%
prior to 1961 100%
Said adjusted benefit shall be computed on a base benefit amount not to
exceed eighteen thousand dollars of the retirement allowance otherwise
payable, computed without optional modification. Any benefit received
pursuant to this subdivision shall be in lieu of any benefit received
pursuant to section three hundred seventy-eight of this title.
A. 9994 3
COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-TWO, ALL RETIRED
MEMBERS WHO HAVE RETIRED PRIOR TO THE CALENDAR YEAR NINETEEN HUNDRED
NINETY-SEVEN AND WHO MEET THE ELIGIBILITY CRITERIA SET FORTH IN SUBDIVI-
SION A OF THIS SECTION SHALL BE PAID AN ADJUSTED BENEFIT IN MONTHLY
INSTALLMENTS ON THE BASIS PROVIDED FOR IN THIS SUBDIVISION. SAID
ADJUSTED BENEFIT SHALL BE EQUAL TO A PERCENTAGE OF THE CHANGE IN CONSUM-
ER PRICE INDEX (ALL URBAN CONSUMERS, CPI-U, U.S. CITY AVERAGE, ALL
ITEMS, 1982-84=100), PUBLISHED BY THE UNITED STATES BUREAU OF LABOR
STATISTICS, MEASURED FROM THE YEAR OF RETIREMENT THROUGH CALENDAR YEAR
NINETEEN HUNDRED NINETY-SEVEN ACCORDING TO THE FOLLOWING SCHEDULE:
YEAR OF RETIREMENT PERCENTAGE
1973 THROUGH 1996 50%
1971 AND 1972 55%
1970 60%
1969 65%
1968 70%
1967 80%
1966 90%
PRIOR TO 1966 100%
SAID ADJUSTED BENEFIT COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-
TWO, SHALL BE COMPUTED ON THE BASE BENEFIT AMOUNT OF THE RETIREMENT
ALLOWANCE OTHERWISE PAYABLE, COMPUTED WITHOUT OPTIONAL MODIFICATION, SET
FORTH HEREIN ABOVE. ANY BENEFIT RECEIVED PURSUANT TO THIS SUBDIVISION
SHALL BE IN LIEU OF ANY BENEFIT RECEIVED PURSUANT TO SECTION THREE
HUNDRED SEVENTY-EIGHT OF THIS TITLE.
§ 3. Subdivision f of section 532-a of the education law, as added by
chapter 125 of the laws of 2000, is amended to read as follows:
f. Commencing September first, two thousand, all retired members who
have retired prior to the calendar year nineteen hundred ninety-seven
and who meet the eligibility criteria set forth in subdivision a of this
section shall be paid an adjusted benefit in monthly installments on the
basis provided for in this subdivision. Said adjusted benefit shall be
equal to a percentage of the change in consumer price index (all urban
consumers, CPI-U, U.S. city average, all items, 1982-84=100), published
by the United States bureau of labor statistics, measured from the year
of retirement through calendar year nineteen hundred ninety-seven
according to the following schedule:
Year of retirement Percentage
1968 through 1996 50%
1966 and 1967 55%
1965 60%
1964 65%
1963 70%
1962 80%
1961 90%
prior to 1961 100%
Said adjusted benefit shall be computed on a base benefit amount not to
exceed eighteen thousand dollars of the retirement allowance otherwise
payable, computed without optional modification excluding any annuity
derived from voluntary contributions made by members, except those made
pursuant to elections under subdivision one of section five hundred
eleven-a or paragraph c of subdivision three of section five hundred
sixteen of this article. Any benefits received pursuant to this subdivi-
sion shall be in lieu of any benefits received pursuant to section five
hundred thirty-two of this article, unless such benefits are in excess
A. 9994 4
of those provided by this section, in which case such benefits shall be
paid by the retirement system pursuant to such provision.
COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-TWO, ALL RETIRED
MEMBERS WHO HAVE RETIRED PRIOR TO THE CALENDAR YEAR NINETEEN HUNDRED
NINETY-SEVEN AND WHO MEET THE ELIGIBILITY CRITERIA SET FORTH IN SUBDIVI-
SION A OF THIS SECTION SHALL BE PAID AN ADJUSTED BENEFIT IN MONTHLY
INSTALLMENTS ON THE BASIS PROVIDED FOR IN THIS SUBDIVISION. SAID
ADJUSTED BENEFIT SHALL BE EQUAL TO A PERCENTAGE OF THE CHANGE IN CONSUM-
ER PRICE INDEX (ALL URBAN CONSUMERS, CPI-U, U.S. CITY AVERAGE, ALL
ITEMS, 1982-84=100), PUBLISHED BY THE UNITED STATES BUREAU OF LABOR
STATISTICS, MEASURED FROM THE YEAR OF RETIREMENT THROUGH CALENDAR YEAR
NINETEEN HUNDRED NINETY-SEVEN ACCORDING TO THE FOLLOWING SCHEDULE:
YEAR OF RETIREMENT PERCENTAGE
1973 THROUGH 1996 50%
1971 AND 1972 55%
1970 60%
1969 65%
1968 70%
1967 80%
1966 90%
PRIOR TO 1966 100%
SAID ADJUSTED BENEFIT, COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-
TWO, SHALL BE COMPUTED ON A BASE BENEFIT AMOUNT NOT TO EXCEED EIGHTEEN
THOUSAND DOLLARS OF THE RETIREMENT ALLOWANCE OTHERWISE PAYABLE, COMPUTED
WITHOUT OPTIONAL MODIFICATION, SET FORTH HEREIN ABOVE. ANY BENEFIT
RECEIVED PURSUANT TO THIS SUBDIVISION SHALL BE IN LIEU OF ANY BENEFIT
RECEIVED PURSUANT TO SECTION FIVE HUNDRED THIRTY-TWO OF THIS ARTICLE,
UNLESS SUCH BENEFITS ARE IN EXCESS OF THOSE PROVIDED BY THIS SECTION, IN
WHICH CASE SUCH BENEFITS SHALL BE PAID BY THE RETIREMENT SYSTEM PURSUANT
TO SUCH PROVISION.
§ 4. Subdivision f of section 13-696 of the administrative code of the
city of New York, as added by chapter 125 of the laws of 2000, is
amended to read as follows:
f. Commencing September first, two thousand, all retired members who
have retired prior to the calendar year nineteen hundred ninety-seven
and who meet the eligibility criteria set forth in subdivision a of this
section shall be paid an adjusted benefit in monthly installments on the
basis provided for in this subdivision. Said adjusted benefit shall be
equal to a percentage of the change in consumer price index (all urban
consumers, CPI-U, U.S. city average, all items, 1982-84=100), published
by the United States bureau of labor statistics, measured from the year
of retirement through calendar year nineteen hundred ninety-seven
according to the following schedule:
Year of retirement Percentage
1968 through 1996 50%
1966 and 1967 55%
1965 60%
1964 65%
1963 70%
1962 80%
1961 90%
prior to 1961 100%
Said adjusted benefit shall be computed on a base benefit amount not to
exceed eighteen thousand dollars of the annual fixed retirement allow-
ance otherwise payable, computed without optional modification. Any
A. 9994 5
benefit received pursuant to this subdivision shall be in lieu of any
benefit received pursuant to chapter three hundred ninety of the laws of
nineteen hundred ninety-eight, and any preceding provision of law
providing for supplementation.
COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-TWO, ALL RETIRED
MEMBERS WHO HAVE RETIRED PRIOR TO THE CALENDAR YEAR NINETEEN HUNDRED
NINETY-SEVEN AND WHO MEET THE ELIGIBILITY CRITERIA SET FORTH IN SUBDIVI-
SION A OF THIS SECTION SHALL BE PAID AN ADJUSTED BENEFIT IN MONTHLY
INSTALLMENTS ON THE BASIS PROVIDED FOR IN THIS SUBDIVISION. SAID
ADJUSTED BENEFIT SHALL BE EQUAL TO A PERCENTAGE OF THE CHANGE IN CONSUM-
ER PRICE INDEX (ALL URBAN CONSUMERS, CPI-U, U.S. CITY AVERAGE, ALL
ITEMS, 1982-84=100), PUBLISHED BY THE UNITED STATES BUREAU OF LABOR
STATISTICS, MEASURED FROM THE YEAR OF RETIREMENT THROUGH CALENDAR YEAR
NINETEEN HUNDRED NINETY-SEVEN ACCORDING TO THE FOLLOWING SCHEDULE:
YEAR OF RETIREMENT PERCENTAGE
1973 THROUGH 1996 50%
1971 AND 1972 55%
1970 60%
1969 65%
1968 70%
1967 80%
1966 90%
PRIOR TO 1966 100%
SAID ADJUSTED BENEFIT, COMMENCING SEPTEMBER FIRST, TWO THOUSAND TWENTY-
TWO, SHALL BE COMPUTED ON THE BASE BENEFIT AMOUNT OF THE RETIREMENT
ALLOWANCE OTHERWISE PAYABLE, COMPUTED WITHOUT OPTIONAL MODIFICATION, SET
FORTH HEREIN ABOVE. ANY BENEFIT RECEIVED PURSUANT TO THIS SUBDIVISION
SHALL BE IN LIEU OF ANY BENEFIT RECEIVED PURSUANT TO SECTION 13-695 OF
THIS ARTICLE.
§ 5. This act shall take effect immediately.
FISCAL NOTE.-- Pursuant to Legislative Law, Section 50:
This bill would provide an increase in the defined benefit cost-of-
living adjustment (COLA) for New York public retirement systems. Start-
ing with a payment in September 2022, additional payments will be made
for those members who retired after 1960 and prior to 1973.
Insofar as this bill affects the New York State and Local Employees'
Retirement System, pursuant to Section 25 of the Retirement and Social
Security Law, the increased costs would be borne entirely by the State
of New York and would require an itemized appropriation sufficient to
pay the cost of the provision. If this bill were enacted, the increase
in the present value of benefits would be approximately $106,000.
Insofar as this bill affects the New York State and Local Police and
Fire Retirement System (PFRS), the increased costs would be shared by
the State of New York and the participating employers in the PFRS. If
this bill were enacted, the increase in the present value of benefits
would be approximately $475,000. The estimated first year cost would be
approximately $9,800 to the State of New York and approximately $38,000
to the participating employers in the PFRS.
Summary of relevant resources:
Membership data as of March 31, 2021 was used in measuring the impact
of the proposed change, the same data used in the April 1, 2021 actuari-
al valuation. Distributions and other statistics can be found in the
2021 Report of the Actuary and the 2021 Comprehensive Annual Financial
Report.
The actuarial assumptions and methods used are described in the 2020
and 2021 Annual Report to the Comptroller on Actuarial Assumptions, and
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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, 2021
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 December 28, 2021, and intended for use only
during the 2022 Legislative Session, is Fiscal Note No. 2022-38,
prepared by the Actuary for the New York State and Local Retirement
System.