S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7251--A
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 16, 2023
                                ___________
 
 Introduced  by  M.  of A. PHEFFER AMATO -- 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 to amend the retirement and social security law, in  relation  to
   the overtime ceiling for correction officers of the Westchester county
   correction department
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision l of section 601 of the retirement  and  social
 security  law  is  amended  by  adding  a  new  paragraph (e) to read as
 follows:
   (E) NOTWITHSTANDING THE PROVISIONS OF PARAGRAPH (C)  AND  SUBPARAGRAPH
 ONE  OF  PARAGRAPH (D) OF THIS SUBDIVISION, COMMENCING ON JANUARY FIRST,
 TWO THOUSAND TWENTY-FIVE "OVERTIME CEILING" FOR ANY  CORRECTION  OFFICER
 OF  THE  WESTCHESTER  COUNTY CORRECTION DEPARTMENT AS DEFINED IN SECTION
 EIGHTY-NINE-E OF THIS CHAPTER SHALL MEAN THE GREATER OF: (I)  THE  OVER-
 TIME  CEILING  AS DEFINED IN THIS SUBDIVISION; OR (II) THIRTY PERCENT OF
 THE REGULAR COMPENSATION EARNED BY AND PAID TO SUCH MEMBER BY  WESTCHES-
 TER COUNTY FOR SUCH MEMBER'S SERVICE AS A CORRECTION OFFICER.
   § 2. Notwithstanding any provision of law to the contrary, none of the
 provisions of this act shall be subject to the appropriation requirement
 of section 25 of the retirement and social security law.
   §   3.  All  past  service  costs  associated  with  implementing  the
 provisions of this act shall be borne by the county of  Westchester  and
 may be amortized over a period of ten years.
   § 4. This act shall take effect immediately.
   FISCAL NOTE.--Pursuant to Legislative Law, Section 50:
   This bill would change the allowable overtime compensation included in
 the final average salary calculation beginning January 1, 2025 to thirty
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD09747-07-4
              

 A. 7251--A                          2
 
 percent  of a member's annual wages if greater than the limits currently
 defined in Section 601 of the Retirement and  Social  Security  Law  for
 Tier 5 and Tier 6 Westchester County correction officers. Current limits
 were set at $15,000 at the inception of each tier, with the Tier 5 limit
 increasing  3%  annually  and  the Tier 6 limit increasing annually with
 inflation.
   If this bill is enacted during the 2024 Legislative Session, we antic-
 ipate that there will be an increase of approximately  $500,000  in  the
 annual  contributions  of  the County of Westchester for the fiscal year
 ending March 31, 2025. In future years, this cost will vary as the bill-
 ing rates and salary of the affected members change but is  expected  to
 average 0.8% of salary annually.
   In addition to the annual contributions discussed above, there will be
 an immediate past service cost of approximately $3.05 million which will
 be  borne by the County of Westchester as a one-time payment. This esti-
 mate assumes that payment will be made on February 1, 2025. If the Coun-
 ty of Westchester elects to amortize this cost over  a  10-year  period,
 the cost for each year including interest would be $389,000.
   These  estimated  costs  are  based  on 523 affected Tier 5 and Tier 6
 correction officers employed by the County of Westchester,  with  annual
 salary of approximately $51.9 million as of March 31, 2023.
   Summary of relevant resources:
   Membership  data as of March 31, 2023 was used in measuring the impact
 of the proposed change, the same data used in the April 1, 2023 actuari-
 al valuation. Distributions and other statistics can  be  found  in  the
 2023  Report  of the Actuary and the 2023 Annual Comprehensive Financial
 Report.
   The actuarial assumptions and methods used are described in  the  2023
 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, 2023
 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 15, 2024,  and  intended  for  use  only
 during  the  2024  Legislative  Session,  is  Fiscal  Note  No. 2024-19,
 prepared by the Actuary for the New  York  State  and  Local  Retirement
 System.