Bill S5681-2013

Relates to the right of Ontario county to opt out of certain provisions of the retirement system

Relates to the right of Ontario county to opt out of certain provisions of the retirement system relating to unused sick leave.

Details

Actions

  • Jan 8, 2014: REFERRED TO LOCAL GOVERNMENT
  • Jun 4, 2013: REFERRED TO LOCAL GOVERNMENT

Memo

BILL NUMBER:S5681

TITLE OF BILL: An act relating to the right of Ontario county to opt out of certain provisions of the retirement system

PURPOSE OR GENERAL IDEA OF BILL: This bill allows Ontario County to opt-out of providing an optional retirement benefit that currently none of its employees are eligible to receive, resulting in savings for the County.

SUMMARY OF SPECIFIC PROVISIONS: Section 1: Allows the County of Ontario, by resolution of its Board of Supervisors, to opt-out of providing service credit for accrued sick leave for employees hired on or after the effective date of this act.

Section 2: Provides the effective date.

JUSTIFICATION: By adopting Resolution 369 of 1970, the Ontario County Board of Supervisors elected to offer service credit in the New York State and Local Employees Retirement for accrued and unused sick leave pursuant to Subdivision J of Section 41 of the Retirement and Social Security Law. However, in 1977 the County ended the accrual of sick leave from that time forward. Currently, there are no employees in Ontario County that have accrued sick leave, or that have the ability to accrue sick leave going forward. Adopting Resolution 369 of 1970 and subsequently eliminating sick leave accruals has put the County in a situation in which it is paying for a retirement benefit that none of its employees have the ability to receive.

On May 31, 2013, the Ontario County Board of Supervisors adopted Resolution NO. 325-2013 requesting that legislation be enacted by the New York State Legislature to conclude Ontario County's coverage under Retirement and Social Security Law Section 41(j). This legislation allows Ontario County to opt-out of Section 41(j). This would provide savings to the County, without affecting pension benefits for its employees, by ending its obligation to pay for a benefit it no longer offers.

PRIOR LEGISLATIVE HISTORY: New bill.

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: This bill will result in a 0.2 percent decrease in the annual contribution rate of Ontario County for new employees for the fiscal year ending March 31, 2014.

EFFECTIVE DATE: This act shall take effect immediately.


Text

STATE OF NEW YORK ________________________________________________________________________ 5681 2013-2014 Regular Sessions IN SENATE June 4, 2013 ___________
Introduced by Sen. NOZZOLIO -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government AN ACT relating to the right of Ontario county to opt out of certain provisions of the retirement system 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 contra- ry, the county of Ontario, a participating employer in the New York state and local employees' retirement system, which previously elected to offer service credit for unused sick leave, established pursuant to subdivision j of section 41 of the retirement and social security law, to members of the New York state and local employees' retirement system employed by such county, is hereby authorized to continue to offer service credit for unused sick leave to any employee who was hired by the county before the effective date of this act. All such employees shall be entitled to the full rights and benefits associated with cover- age under subdivision j of section 41 of the retirement and social secu- rity law. The county of Ontario is hereby authorized, by resolution of its governing body, to exclude from the provisions of subdivision j of section 41 of the retirement and social security law, all employees hired by the county on or after the effective date of this act. S 2. This act shall take effect immediately. FISCAL NOTE. -- Pursuant to Legislative Law, Section 50: This bill will allow the county of Ontario to exclude all employees hired by the county on or after the effective date of this act, from the provisions of subdivision j of section 41 of the retirement and social security law. If this legislation is enacted during the 2013 Legislative Session, we anticipate that there will be a decrease in the annual contribution rate of Ontario County for new employees of 0.2% of salary for the fiscal year ending March 31, 2014.

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Discuss!

blog comments powered by Disqus