LBD14502-02-2
S. 9119 2
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 3. Paragraph 3 of subdivision a of section 509-a of the retirement
and social security law, as added by chapter 78 of the laws of 2021, is
amended to read as follows:
3. Such member died on or before December thirty-first, two thousand
[twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to such
member's death, as documented on such member's death certificate, or as
certified by a physician, nurse practitioner, or physician's assistant
described in paragraph two of this subdivision who determines with a
reasonable degree of medical certainty that COVID-19 caused or contrib-
uted to the member's death, such member's statutory beneficiary shall
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 4. Paragraph 3 of subdivision a of section 607-i of the retirement
and social security law, as added by chapter 78 of the laws of 2021, is
amended to read as follows:
3. Such member died on or before December thirty-first, two thousand
[twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to such
member's death, as documented on such member's death certificate, or as
certified by a physician, nurse practitioner, or physician's assistant
described in paragraph two of this subdivision who determines with a
reasonable degree of medical certainty that COVID-19 caused or contrib-
uted to the member's death, such member's statutory beneficiary shall
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 5. Subparagraph (C) of paragraph 1 of subdivision h of section 512
of the education law, as added by chapter 78 of the laws of 2021, is
amended to read as follows:
(C) such member died on or before December thirty-first, two thousand
[twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to such
member's death, as documented on such member's death certificate, or as
certified by a physician, nurse practitioner, or physician's assistant
described in subparagraph (B) of this paragraph who determines with a
reasonable degree of medical certainty that COVID-19 caused or contrib-
uted to the member's death, such member's statutory beneficiary shall
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 6. Subparagraph (iii) of paragraph (a) of subdivision 26 of section
2575 of the education law, as added by chapter 78 of the laws of 2021,
is amended to read as follows:
(iii) such member died on or before December thirty-first, two thou-
sand [twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to
such member's death, as documented on such member's death certificate,
or as certified by a physician, nurse practitioner, or physician's
assistant described in subparagraph (ii) of this paragraph who deter-
mines with a reasonable degree of medical certainty that COVID-19 caused
or contributed to the member's death, such member's statutory benefici-
ary shall receive an accidental death benefit, unless such statutory
beneficiary elects to receive an ordinary death benefit.
§ 7. Subparagraph (iii) of paragraph (a) of subdivision 8 of section
1266-h of the public authorities law, as added by chapter 78 of the laws
of 2021, is amended to read as follows:
(iii) Such member died on or before December thirty-first, two thou-
sand [twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to
such member's death, as documented on such member's death certificate,
S. 9119 3
or as certified by a physician, nurse practitioner, or physician's
assistant described in subparagraph (ii) of this paragraph who deter-
mines with a reasonable degree of medical certainty that COVID-19 caused
or contributed to the member's death, such member's statutory benefici-
ary shall receive an accidental death benefit, unless such statutory
beneficiary elects to receive an ordinary death benefit.
§ 8. Paragraph (c) of subdivision 1 of section 13-149.1 of the admin-
istrative code of the city of New York, as added by chapter 78 of the
laws of 2021, is amended to read as follows:
(c) Such member died on or before December thirty-first, two thousand
[twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to such
member's death, as documented on such member's death certificate, or as
certified by a physician, nurse practitioner, or physician's assistant
described in paragraph (b) of this subdivision who determines with a
reasonable degree of medical certainty that COVID-19 caused or contrib-
uted to the member's death, such member's statutory beneficiary shall
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 9. Paragraph (c) of subdivision 1 of section 13-244.1 of the admin-
istrative code of the city of New York, as added by chapter 78 of the
laws of 2021, is amended to read as follows:
(c) Such member died on or before December thirty-first, two thousand
[twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to such
member's death, as documented on such member's death certificate, or as
certified by a physician, nurse practitioner, or physician's assistant
described in paragraph (b) of this subdivision who determines with a
reasonable degree of medical certainty that COVID-19 caused or contrib-
uted to the member's death, such member's statutory beneficiary shall
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 10. Paragraph (c) of subdivision 1 of section 13-347.1 of the admin-
istrative code of the city of New York, as added by chapter 78 of the
laws of 2021, is amended to read as follows:
(c) Such member died on or before December thirty-first, two thousand
[twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to such
member's death, as documented on such member's death certificate, or as
certified by a physician, nurse practitioner, or physician's assistant
described in paragraph (b) of this subdivision who determines with a
reasonable degree of medical certainty that COVID-19 caused or contrib-
uted to the member's death, such member's statutory beneficiary shall
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 11. Paragraph (c) of subdivision 1 of section 13-544.1 of the admin-
istrative code of the city of New York, as added by chapter 78 of the
laws of 2021, is amended to read as follows:
(c) Such member died on or before December thirty-first, two thousand
[twenty-two] TWENTY-FOUR, and COVID-19 caused or contributed to such
member's death, as documented on such member's death certificate, or as
certified by a physician, nurse practitioner, or physician's assistant
described in paragraph (b) of this subdivision who determines with a
reasonable degree of medical certainty that COVID-19 caused or contrib-
uted to the member's death, such member's statutory beneficiary shall
receive an accidental death benefit, unless such statutory beneficiary
elects to receive an ordinary death benefit.
§ 12. Section 14 of chapter 78 of the laws of 2021, amending the
retirement and social security law and other laws relating to establish-
S. 9119 4
ing a coronavirus disease 2019 (COVID-19) benefit for public employee
death benefits, is amended to read as follows:
§ 14. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after March 1, 2020; provided
that the provisions of this act shall expire and be deemed repealed on
December 31, [2022] 2024.
§ 13. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after March 1, 2020.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
SUMMARY OF BILL: This proposed legislation, as it relates to the New
York City Retirement Systems and Pension Funds (NYCRS), would amend
Sections of the Retirement and Social Security Law (RSSL), the Adminis-
trative Code of the City of New York (ACCNY), and the Education Law to
extend Accidental Death Benefits, less other statutory benefits paid or
payable, to beneficiaries of certain members of the New York City
Employees' Retirement System (NYCERS), the New York City Teachers'
Retirement System (TRS), the New York City Board of Education Retirement
System (BERS), the New York City Police Pension Fund (POLICE), and the
New York City Fire Pension Fund (FIRE) who physically reported to non-
home work sites on and after March 1, 2020 and died on or before Decem-
ber 31, 2024 due to Coronavirus Disease 2019 (COVID-19) that was
contracted within 45 days of such reporting to work.
This proposed legislation extends certain provisions contained in
Chapter 78 of the Laws of 2021 that was set to expire on December 31,
2022.
Effective Date: Upon enactment, and retroactive to March 1, 2020,
except that the provisions shall expire and be deemed repealed on Decem-
ber 31, 2024.
IMPACT ON BENEFITS PAYABLE: Under the proposed legislation, the bene-
fits payable to beneficiaries of active members of NYCRS who die due to
COVID-19 between January 1, 2023 and December 31, 2024 would be revised
from a lump sum Ordinary Death Benefit generally equal to three times a
member's last salary to a lifetime Accidental Death Benefit equal to 50%
of a member's wages earned during the last year of service plus, if
applicable, the Special Accidental Death Benefit payable under General
Municipal Law section 208-f.
In determining whether Accidental Death Benefits should be awarded, a
deceased member must have a positive lab test for COVID-19 within 45
days of reporting to such work assignment, or have been diagnosed with
such condition, within the same period, from a qualified medical provid-
er, either before or after the member's death. The beneficiary of such
Actuary Fiscal Note 2022-23 for LBDC 14502-01-2 Page 1 deceased member
would also have to show that COVID-19 was the cause or contributing
factor in the member's death, as documented by a death certificate or by
a qualified health care provider.
FINANCIAL IMPACT - OVERVIEW: There is very limited data available to
estimate the number of members who might die due to COVID-19 and poten-
tially benefit from this proposed legislation. Therefore, the estimated
financial impact has been calculated on a per event basis equal to the
increase in the Present Value of Future Benefits (PVFB) for an average
member who dies from COVID-19 and would benefit from the proposed legis-
lation.
With respect to an individual member, the additional cost of this
proposed legislation could vary greatly depending on the member's length
of service, age, and salary history.
S. 9119 5
FINANCIAL IMPACT - PRESENT VALUES: Based on the census data and the
actuarial assumptions and methods described herein, the enactment of
this proposed legislation would result in an increase in PVFB. A break-
down of the PVFB by NYCRS on average for each occurrence of death is
shown in the table below.
Estimated Additional Present Value of Future Benefits due to COVID-19
Death
NYCERS TRS BERS
Age < 40 $ 543,100 $ 338,100 $ 264,700
40<=Age<60 422,700 318,400 183,900
Age >= 60 229,400 202,200 112,100
All Ages $ 421,200 $ 312,700 $ 180,200
POLICE FIRE All Systems
Age < 40 $ 1,947,200 $ 2,018,800 $ 750,700
40<=Age<60 2,292,300 2,305,900 549,400
Age >= 60 1,670,500 1,613,700 217,800
All Ages $ 2,078,600 $ 2,158,300 $ 569,600
FINANCIAL IMPACT - ANNUAL EMPLOYER CONTRIBUTIONS: Enactment of this
proposed legislation would increase employer contributions, where such
amount would depend on the number of members affected as well as other
characteristics including the age, years of service, and salary history
of the member.
As there is very limited data currently available to estimate the
number of members who might die from COVID-19, the financial impact
would be recognized at the time of event. Consequently, changes in
employer contributions have been estimated assuming that the increase in
the PVFB will be financed over the same time period used for actuarial
losses in accordance with Section 13-638.2(k-2) of the ACCNY. Using this
approach, the additional PVFB would be amortized over a closed 15-year
period (14 payments under the One-Year Lag Methodology) using level
dollar payments.
Based on the Actuary's actuarial assumptions and methods described
herein, the enactment of this proposed legislation is estimated to
increase first-year annual employer contributions on average for each
death benefit due to COVID-19 as shown in the table below.
Estimated Additional First-Year Annual Employer Contributions due to
COVID-19 Death
NYCERS TRS BERS
Age < 40 $ 64,200 $ 40,000 $ 31,300
40<=Age<60 50,000 37,700 21,800
Age >= 60 27,100 23,900 13,300
All Ages $ 49,800 $ 37,000 $ 21,300
New York $ 62,400 $ 37,300 $ 20,700
City
Non-City $ 34,300 $ 29,200 $ 41,800
Obligors
POLICE FIRE All Systems
Age < 40 $ 230,300 $ 238,800 $ 88,800
40<=Age<60 271,100 272,700 65,000
Age >= 60 197,600 190,900 25,800
S. 9119 6
All Ages $ 245,900 $ 255,300 $ 67,400
New York $ 245,900 $ 255,300 $ 77,400
City
Non-City N/A N/A $ 34,100
Obligors
With respect to the timing, increases in employer contributions would
depend upon when members die due to COVID-19 but, generally, increased
employer contributions will first occur the second fiscal year following
approval of the performance of duty death benefit.
CENSUS DATA: The estimates presented herein are based on the census
data used in the Preliminary June 30, 2021 (Lag) actuarial valuations of
NYCRS to determine the Preliminary Fiscal Year 2023 employer contrib-
utions.
Counts NYCERS TRS BERS
Age < 40 50,381 45,938 5,022
40<=Age<60 102,522 63,424 15,465
Age >= 60 32,829 13,849 7,069
All Ages 185,732 123,211 27,556
POLICE FIRE All Systems
Age < 40 21,379 4,951 127,671
40<=Age<60 13,463 5,594 200,468
Age >= 60 164 248 54,159
All Ages 35,006 10,793 382,298
Average Age NYCERS TRS BERS
Age < 40 33.3 33.0 33.5
40<=Age<60 49.9 48.6 50.6
Age >= 60 64.2 64.4 64.8
All Ages 47.9 44.6 51.1
POLICE FIRE All Systems
Age < 40 32.2 33.3 33.0
40<=Age<60 45.6 47.2 49.2
Age >= 60 61.9 61.9 64.3
All Ages 37.5 41.2 45.9
Average NYCERS TRS BERS
Service
Age < 40 5.0 6.2 3.9
40<=Age<60 13.4 15.5 9.3
Age >= 60 19.8 20.1 13.7
All Ages 12.2 12.5 9.4
POLICE FIRE All Systems
Age < 40 7.1 7.0 5.8
40<=Age<60 18.1 20.2 14.2
Age >= 60 32.1 34.5 19.2
All ages 11.4 14.5 12.1
Average NYCERS TRS BERS
Salary
Age < 40 $ 73,300 $ 82,400 $ 58,800
40<=Age<60 85,800 101,200 55,300
S. 9119 7
Age >= 60 85,400 91,600 47,300
All Ages $ 82,300 $ 93,100 $ 53,900
POLICE FIRE All Systems
Age < 40 $ 106,000 $ 107,100 $ 82,800
40<=Age<60 146,200 148,500 94,100
Age >= 60 170,700 164,100 82,600
All Ages $ 121,800 $ 129,800 $ 88,700
ACTUARIAL ASSUMPTIONS AND METHODS: The changes in the PVFB and annual
employer contributions presented herein have been calculated based on
the actuarial assumptions and methods in effect for the June 30, 2021
(Lag) actuarial valuations used to determine the Preliminary Fiscal Year
2023 employer contributions of NYCRS.
RISK AND UNCERTAINTY: The costs presented in this Fiscal Note depend
highly on the realization of the actuarial assumptions used, as well as
certain demographic characteristics of NYCRS and other exogenous factors
such as investment, contribution, and other risks. If actual experience
deviates from actuarial assumptions, the actual costs could differ from
those presented herein. Costs are also dependent on the actuarial meth-
ods used, and therefore different actuarial methods could produce
different results. Quantifying these risks is beyond the scope of this
Fiscal Note.
Not measured in this Fiscal Note are the following:
o The initial, additional administrative costs to implement the
proposed legislation. o The impact of this proposed legislation on
Other Postemployment Benefit (OPEB) costs.
STATEMENT OF ACTUARIAL OPINION: I, Michael J. Samet, am the Interim
Chief Actuary for, and independent of, the New York City Retirement
Systems and Pension Funds. I am a Fellow of the Society of Actuaries and
a Member of the American Academy of Actuaries. I meet the Qualification
Standards of the American Academy of Actuaries to render the actuarial
opinion contained herein. To the best of my knowledge, the results
contained herein have been prepared in accordance with generally
accepted actuarial principles and procedures and with the Actuarial
Standards of Practice issued by the Actuarial Standards Board.
FISCAL NOTE IDENTIFICATION: This Fiscal Note 2022-23 dated April 18,
2022 was prepared by the Interim Chief Actuary for the five New York
City Retirement Systems and Pension Funds. This estimate is intended for
use only during the 2022 Legislative Session.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
This bill would allow a beneficiary of any member of a public retire-
ment system to be paid an accidental death benefit, as if the member
died in the performance and discharge of duty, provided that the member
a) physically reported for work on or after March 1, 2020,
b) contracted COVID-19 within 45 days from such work date, and
c) died from such disease on or before December 31, 2024.
In addition to the first two criteria state above, Chapter 78 of the
Laws of 2021 currently requires a member to have died from COVID-19 on
or before December 31, 2022.
A positive test result, death certificate citing COVID-19, or certif-
ication by certain medical personnel is sufficient to establish
contraction and death from COVID-19.
The accidental death benefit would be based on the member's plan
coverage. This bill also would create benefits payable under the Public
Authorities Law.
S. 9119 8
Insofar as this bill would affect the New York State and Local Employ-
ees' Retirement System (ERS) and the New York State and Local Police and
Fire Retirement System (PFRS), qualifying COVID-19 deaths which current-
ly are considered ordinary deaths will be treated as accidental deaths.
The cost of the proposed benefit will depend upon the applicant's age,
service, salary, plan, and benefit type otherwise payable.
Service Retirement Eligible: Yes No
PFRS Benefit Increase/Cost: 10 times salary 15 times salary
ERS Benefit Increase/Cost: 4.5 times salary 4.5 times salary
The number of members and retirees who could be affected by this legis-
lation cannot be readily determined. However, all ERS and PFRS members
will be covered and eligible for these benefits, including new hires
through the expiration of the coverage provided under this legislation.
All costs incurred in the PFRS will be shared by the State of New York
and all the participating employers in the PFRS. All costs incurred in
the ERS will be shared by the State of New York and all the participat-
ing employers in the ERS.
In addition to these per person costs, there would be annual increases
in administrative and legal costs to implement the provisions of this
legislation.
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
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 February 10, 2022, and intended for use only
during the 2022 Legislative Session, is Fiscal Note No. 2022-73,
prepared by the Actuary for the New York State and Local Retirement
System.
FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
This bill would extend the provisions of the COVID-19 enhanced death
benefit provided under Chapter 78 of the Laws of 2021 until December 31,
2024 on account of eligible active members of the New York State Teach-
ers' Retirement System (NYSTRS) who die due to contracting COVID-19. The
current expiration date is December 31, 2022. Chapter 78 of the Laws of
2021 provides a member's statutory beneficiary with the accidental death
benefit, consisting of a lifetime annuity of 50% of the member's most
recent year's salary. Under current law the death benefit on account of
an active member who dies in service not due to COVID-19 with three or
more years of active service is a lump-sum benefit equal to three times
S. 9119 9
the member's most recent year's salary. An active member must have
reported to work on or after March 1, 2020, and contracted COVID-19
within 45 days of reporting to work, and then died either due to COVID-
19, or had COVID-19 as a contributing factor in the member's death.
The overall cost of this bill cannot be readily determined as the
ultimate number of COVID-19 deaths cannot be determined at this time. It
is estimated that it will provide on average an additional cost per
affected member of 3 to 4 times salary. The average cost per individual
member impacted in terms of the additional present value of liability,
is estimated as follows:
Member age 30: $230,000
Member age 40: $310,000
Member age 50: $320,000
The actual cost per member would be dependent on the member and bene-
ficiary's age, tier, years of service, and salary. The costs above are
determined based on averages, so the actual cost for a member could be
higher or lower.
Member data is from the System's most recent actuarial valuation
files, consisting of data provided by the employers to the Retirement
System. Data distributions and statistics can be found in the System's
Annual Report. System assets are as reported in the System's financial
statements and can also be found in the System's Annual Report. Actuari-
al assumptions and methods are provided in the System's Actuarial Valu-
ation Report and the 2021 Actuarial Assumptions Report.
The source of this estimate is Fiscal Note 2022-15 dated March 30,
2022 prepared by the Office of the Actuary of the New York State Teach-
ers' Retirement System and is intended for use only during the 2022
Legislative Session. I, Richard A. Young, am the Chief Actuary for the
New York State Teachers' Retirement System. I am a member of the Ameri-
can Academy of Actuaries and I meet the Qualification Standards of the
American Academy of Actuaries to render the actuarial opinion contained
herein.
