NY
STRS
New York State Teachers’ Retirement System
Compilation
of Laws
As amended through December 31, 2015
PREFACE
The New York State Teachers’ Retirement System annually publishes a compilation of the principal
statutory laws governing the System. The compilation is published for the benefit of teachers, administra­
tors, attorneys and others who may have a need to refer to the laws governing the System. This publica­
tion contains the laws in effect as of December 31, 2015.
The System
The New York State Teachers’ Retirement System was established pursuant to Chapter 503 of the
Laws of 1920. The provisions of Chapter 503 were subsequently recodified by Chapter 820 of the Laws
of 1947 as Article 11 of the Education Law.
The System provides retirement and death benefits to the primary and secondary public school teach­
ers of New York State, excluding those in New York City. The System is a defined benefit plan. The ben­
efits provided by the System are calculated pursuant to formulas contained in the laws governing the
System and are generally not tied to the contributions made by or on behalf of members. System benefits
are funded through returns on System investments, contributions by participating employers and member
contributions.
Article 11 of the Education Law is the basic law of the System. Among other things, it provides for the
Retirement Board, which is the governing body of the System. The members of the Retirement Board are
the trustees of the System’s assets. The principal statutory authority for the investment of System funds
by the Retirement Board is contained in section 508 of the Education Law and section 177 of the Retire­
ment and Social Security Law. The Retirement Board, upon the recommendation of the System’s actuary,
determines the amounts required to be contributed by participating employers.
Benefits Provided by the System
Article 11 of the Education Law (“Tier 1”) contains the provisions governing the benefits provided to
teachers with a membership date prior to July 1, 1973. The benefits provided to System teachers with a
membership date between July 1, 1973 and July 26, 1976 are governed by the provisions of Article 11 of
the Education Law as modified by the provisions of Article 11 of the Retirement and Social Security Law
(“Tier 2”). The benefits provided to teachers with a membership date after July 27, 1976 are governed by
Article 15 of the Retirement and Social Security Law (“Tier 4”).1 The benefits provided to teachers with a
membership date on or after January 1, 2010 are also governed by Article 15 of the Retirement and Social
Security Law (“Tier 5”) but as modified by Chapter 504 of the Laws of 2009. The benefits provided to
teachers with a membership date on or after April 1, 2012 are also governed by Article 15 of the Retire­
ment and Social Security Law (“Tier 6”) but as modified by Chapter 18 of the Laws of 2012.
For ease of reference, the principal provisions generally governing benefits provided under each of the
four tiers discussed above are identified in the table below:
Service Credit
Service Retirement
Early Retirement Reductions
Disability Retirement
Final Average Salary
Options
Death Benefit
Member Contributions
Tier 1
Ed L 509
Ed L 535
Ed L 535
Ed L 511
Ed L 501(11)
Ed L 513
Ed L 512(b)(5)
N/A
Tier 2
RSSL 446
Ed L 535
Ed L 535 2
Ed L 511
RSSL 443
Ed L 513 3
RSSL 448
N/A
Tier 3
RSSL 513
RSSL 504
RSSL 504
RSSL 506
RSSL 512
RSSL 514
RSSL 508
RSSL 517
Tiers 4 through 6
RSSL 609
RSSL 604
RSSL 603(i)
RSSL 605
RSSL 608
RSSL 610
RSSL 606
RSSL 613
As a result of the Court of Appeals decision in Public Employees Federation v. Cuomo, 62 NY2d 450 (1983) interpreting
Article V, Section 7 of the New York Constitution, teachers with a membership date between July 27, 1976 and August
31, 1983 may elect to retire under Article 14 of the Retirement and Social Security Law (“Tier 3”) rather than under Article
15. However, it is almost always to the advantage of these teachers to retire under Article 15 rather than Article 14.
2
As modified by RSSL 442.
3
As modified by RSSL 447.
1
i
PREFACE (Cont’d)
Because a member’s date of membership is critical to a member’s benefit entitlements, section 645 of
the Retirement and Social Security Law allows a member to establish as his/her date of membership in
the System the beginning date of a previous terminated membership in any public employee retirement
system of the State.
As a result of the enactment of section 532-a of the Education Law in 2000, retirees who are (a) retired
for service for at least 5 years and age 62 or older, (b) retired for service for at least 10 years and are age
55 or older, or (c) retired for disability for at least 5 years without regard to age are eligible to receive
annual cost-of-living adjustments. COLAs are payable beginning September 30th of each year or as soon
thereafter as a retiree becomes eligible. They are based on the first $18,000 of the retiree’s maximum
retirement benefit, including any supplementation and prior adjustments. COLAs are payable only during
the retiree’s lifetime; however, if the retiree’s spouse is the beneficiary of a survivor annuity option pay­
able over the life of the spouse, the spouse will receive one-half of the COLAs to which the retiree would
have been entitled, had the retiree not died.
Pursuant to section 524 of the Education Law, System benefits, when paid, are exempt from New York
State income and municipal tax. Benefits may not be subject to garnishment, execution or other form of
legal process and may not be assigned.
Recent Benefits Legislation
The following recent legislation may be of general interest:
• Tier V—Chapter 504 of the Laws of 2009 created a new membership tier (Tier 5) for members with a
date of membership on and after January 1, 2010. Key features include:
r 3.5% member contributions are required throughout active membership.
r Prior service costs are 3.5% per year, plus 5% interest compounded annually from the date of service.
r 10 years of credited service is required to vest.
r Pension factors:
V 1 2/3% per year if credited service is less than 25 years at retirement
V 2% per year for 25 or more years of credited service at retirement
V 1 1⁄2% for each additional year over 30 years
r No benefit reduction if retirement occurs on or after age 57 with 30 or more years of service.
r Benefit reductions are based on age for those who retire before age 62 with fewer than 30 years of service.
r Overtime payments are capped at $15,000 annually for the purposes of computing a retirement benefit.
• Tier VI—Chapter 18 of the Laws of 2012 created a new membership tier (Tier 6) for members with a
date of membership on or after April 1, 2012. Key features include:
r 3.5% member contributions are required regardless of salary prior to April 1, 2013; thereafter con­
tribution rate in a given school year is based upon regular compensation earned in the school year
two years previously, as follows:
V Wages of $45,000 or less . . . . . . . . . . . 3%
V More than $45,000 to $55,000 . . . . . . . 3.5%
V More than $55,000 to $75,000 . . . . . . . 4.5%
V More than $75,000 to $100,000 . . . . . . . 5.75%
V More than $100,000 to $179,000 . . . . . . 6%
r Increases the retirement age to 63 in order to retire with an unreduced benefit.
r Mandates a 5-year final average salary (FAS) calculation using regular compensation for determin­
ing retirement benefits.
r Excludes from the FAS calculation wages exceeding the average of the previous four years by more
than 10%.
r Caps salary allowable in a FAS calculation at the New York State governor’s salary and limits pen­
sionable salaries to regular compensation from only two employers during a school year.
r Changes the pension multiplier for years of service.
ii
PREFACE (Cont’d)
r
r
r
Requires 10 years of service credit to vest.
Requires a 6% contribution to purchase military and prior service.
Allows non-unionized employees earning $75,000 or more hired after June 30, 2013 the option of
joining the SUNY ORP (a defined contribution plan). For these employees, employers will contribute
8% of salary to the SUNY ORP. Employees will contribute at the same sliding-scale rates noted in
the first bullet.
• Annual Meeting Dates—Chapter 436 of the Laws of 2013 provides for NYSTRS’ Annual Delegates
Meeting to be held in either the month of October or November. Previously, the meeting was required to
be held in the month of November.
• Stable Contribution Option for Certain NYSTRS Employers—Chapter 57 of the Laws of 2013, Part
BB, amends portions of the Education Law that affect contributions made by certain NYSTRS participat­
ing employers. This law provides NYSTRS with the opportunity to offer a seven-year stable contribution
option to BOCES and public school districts that are participating employers.
• Paragraph 2 Death Benefit—Chapter 520 of the Laws of 2013 amends the Retirement and Social
Security Law to clarify the maximum salary which may be used to calculate the ordinary death benefit of
members of the public retirement systems of the state.
• Interest Rate For Certain Benefits—Chapter 479 of the Laws of 2015 amends the Education Law
and the Retirement and Social Security Law to authorize the use of the average annual rate on the 10-year
United States Treasury obligations for calculating the de minimis lump sum benefit and the loan default
calculations.
Information on current and recent legislation affecting System benefits is available on the System’s
website at www.nystrs.org or by contacting the System’s Legal Department.
Other Laws
As noted at the outset, this book represents a compilation of the principal statutory laws governing the
System. It is not intended to encompass all laws which might affect the System.
Rules and Regulations
The System has promulgated rules and regulations implementing various provisions of law applicable
to the System. They may be found in 21 New York Codes, Rules and Regulations Parts 5000 and follow­
ing. A copy is also available on the Library page on the System’s Web site at www.nystrs.org.
Further Information
The System’s Legal Department is available to answer any questions about the laws governing the
System. Staff can be reached at (518) 447-4778 or (800) 348-7298, Ext. 6200.
iii
Article 11 of the Education Law
(Tier 1)
SECTION
501.
502.
503.
504.
505.
505-a.
506.
507.
508.
508-a.
509.
510.
511.
511-a.
512.
512-a.
512-b.
513.
515.
516.
517.
518.
518-a.
519.
520.
521.
522.
523.
524.
525.
527.
528.
529.
530.
531.
532.
532-a.
533.
535.
536.
537.
538.
539.
PAGE
Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Retirement system . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Membership of system . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Retirement board; members; terms of office; vacancies . . . . . . . . . . . . .
Election of the active teacher members of the board . . . . . . . . . . . . . . .
Election of retired teacher member of board . . . . . . . . . . . . . . . . . . . . .
Board meetings; oaths of office; quorum; expenses . . . . . . . . . . . . . . . .
Officers of board; custody of funds . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Investment of funds; interest; accounts; reports. . . . . . . . . . . . . . . . . . .
New York State teachers’ retirement system MWBE asset management
and financial institution strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Statements of teachers service; determination of service creditable;
service certificates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Superannuation retirement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Disability retirement. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Special service retirement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Withdrawal and death benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Deferred retirement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Loans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Optional allowances . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Funds enumerated . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Annuity savings fund; contributions and payments. . . . . . . . . . . . . . . . .
Annuity reserve fund; pension accumulation fund . . . . . . . . . . . . . . . . .
Pension reserve fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Supplemental retirement allowance fund . . . . . . . . . . . . . . . . . . . . . . . .
Expense fund . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Duties of employer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Collection of contributions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Transfer of contributions between retirement systems . . . . . . . . . . . . . .
State supervision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Exemption from taxation and execution . . . . . . . . . . . . . . . . . . . . . . . . .
Protection against fraud . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Special annuity payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Pensions-providing-for-increased-take-home-pay . . . . . . . . . . . . . . . . .
Pensions providing for increased take home pay for certain teachers . . .
Pensions-providing-for-increased-take-home-pay-for-teachers . . . . . . .
Abandonment of unclaimed contributions or other benefits;
transfer to the pension accumulation fund . . . . . . . . . . . . . . . . . . . . .
Supplemental retirement allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Cost-of-living adjustment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Non-contributory retirement plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Career retirement plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Deductions from benefits of certain retired members . . . . . . . . . . . . . . .
Lump sum payment of de minimis service retirement benefit . . . . . . . . .
Excess benefit plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Certain actions by retiring members . . . . . . . . . . . . . . . . . . . . . . . . . . .
iv
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1
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10
10
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14
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18
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18
21
21
25
26
29
31
32
33
33
35
37
37
37
37
38
43
45
45
46
46
46
47
48
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49
50
54
55
56
58
59
59
59
TABLE OF CONTENTS (Cont’d)
Article 11 of the Retirement and Social Security Law
(Tier 2)
SECTION
440.
441.
442.
443.
444.
445.
446.
447.
448.
448-a.
450.
451.
PAGE
Application . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Eligibility for retirement . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Minimum age for retirement . . . . . . . . . . . . . . . . . . . . . . . . . .
Final average salary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Maximum retirement benefits. . . . . . . . . . . . . . . . . . . . . . . . .
Service retirement benefit . . . . . . . . . . . . . . . . . . . . . . . . . . .
Credit for service. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Options . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Death benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Death benefit for vested members who die prior to retirement
Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Duration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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61
62
63
64
65
66
68
71
71
75
75
75
Article 14 of the Retirement and Social Security Law
(Tier 3)
SECTION
500.
501.
502.
503.
504.
504-c.
505.
506.
507.
508.
508-a.
509.
510.
511.
512.
513.
514.
515.
516.
517.
517-a.
517-b.
518.
519.
520.
PAGE
Application . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Eligibility for service retirement benefits; minimum service requirements
Eligibility for normal and early service retirement benefits;
age and service requirements. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Service retirement benefits; general members . . . . . . . . . . . . . . . . . . . .
Supplemental retirement allowance . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Service retirement benefits; police/fire members, New York city
uniformed correction/sanitation revised plan members and
investigator revised plan members . . . . . . . . . . . . . . . . . . . . . . . . . . .
Ordinary disability benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Accidental disability benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Death benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Death benefit for vested members who die prior to retirement . . . . . . . .
Accidental death benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Escalation of benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Coordination with social security benefits . . . . . . . . . . . . . . . . . . . . . . .
Final average salary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Credit for service. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Options . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Optional retirement program . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Vesting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Member contributions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Termination of membership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Loans to members of a teachers retirement system . . . . . . . . . . . . . . . .
Election of coverage under article . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Effect of other laws . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Duration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
v
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76
78
80
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81
82
83
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83
83
84
87
90
90
91
92
93
94
96
97
97
98
100
101
102
103
103
TABLE OF CONTENTS (Cont’d)
Article 15 of the Retirement and Social Security Law
(Tiers 4, 5 and 6)
SECTION
600.
601.
602.
603.
604.
605.
606.
606-a.
607.
608.
609.
610.
611.
612.
613.
613-a.
614.
615.
617.
PAGE
Application . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Eligibility for service retirement benefits; minimum service requirements
Eligibility for service retirement benefits; age and service requirements .
Service retirement benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Disability retirement. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Death benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Death benefit for vested members who die prior to retirement . . . . . . . .
Accidental death benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Final average salary. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Credit for service. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Options . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Optional retirement program . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Vesting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Member contributions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Loans to members of a teachers retirement system . . . . . . . . . . . . . . . .
Effect of other laws . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Duration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Recalculation of benefits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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104
107
108
108
110
111
115
117
118
118
120
122
124
124
124
127
129
130
130
Article 15-A of the Retirement and Social Security Law
(Benefit Limitations; Federal Internal Revenue Code)
SECTION
620.
PAGE
Benefit limitations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 130
Article 15-B of the Retirement and Social Security Law
(Compensation Limitations; Federal Internal Revenue Code)
SECTION
630.
PAGE
Compensation limitations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 131
Article 15-D of the Retirement and Social Security Law
(Benefits for Certain Members Who Re-Enter Public Service)
SECTION
645.
PAGE
Benefits for certain members who re-enter public service . . . . . . . . . . . . . . . . . . . . 133
Article 18 of the Retirement and Social Security Law
(Provisions Generally Applicable to Public Retirement Systems)
SECTION
800.
801.
802.
803.
804.
PAGE
Definitions. . . . . . . . . . . . . . . . . . . . .
Transfer rights . . . . . . . . . . . . . . . . . .
Credit for previously credited service.
Retroactive membership . . . . . . . . . .
Promulgation of rules and regulations
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134
134
135
135
137
TABLE OF CONTENTS (Cont’d)
SECTION
805.
806.
807.
PAGE
Records . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138
Exclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138
Alternate means of authentication . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138
Article 19 of the Retirement and Social Security Law
(Benefit Enhancements)
SECTION
900.
901.
902.
PAGE
Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138
Election of benefit enhancements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138
Benefit enhancements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 139
Article 20 of the Retirement and Social Security Law
(Credit for Military Service Rendered During
Periods of Military Conflict)
SECTION
1000.
PAGE
Military Service Credit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 140
Article 24 of the Retirement and Social Security Law
(Benefit Enhancements)
SECTION
1310.
1311.
1312.
1313.
1314.
PAGE
Definitions. . . . . . . . . . . . . . . . . . .
Election of benefit enhancements .
Benefit enhancements . . . . . . . . . .
Additional member contributions . .
Election not collectively bargained.
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142
142
142
142
142
Miscellaneous Provisions of Laws Affecting
New York State Teachers’ Retirement System
SECTION
1012(c)
PAGE
Civil Practice Law & Rules
Notice to comptroller of the state of New York where public retirement
benefits are in issue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143
390
392
2510
2554
2854
3109
Education Law
Definitions. . . . . . . . . . . . . . . . . . . . . . . . . . . .
Rates of Contribution . . . . . . . . . . . . . . . . . . .
Abolition of office or position. . . . . . . . . . . . . .
Powers and duties of board of education . . . . .
Charter schools and retirement benefits . . . . .
Reduction of salaries for purchase of annuities
150
Civil Service Law
Suspension of pension and annuity during public employment . . . . . . . . . . . . . . . . . 145
101-a
296
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143
143
143
144
144
144
Executive Law
Legislative notification of the proposed adoption, amendment,
suspension or repeal of agency rules . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 145
Compulsory Retirement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146
vii
TABLE OF CONTENTS (Cont’d)
SECTION
50
243-d
244-a
PAGE
Legislative Law
Fiscal note in retirement bills . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146
Military Law
Non-contributory retirement service credit for members of the New York
state and local retirement systems or the New York state teachers’
retirement system called to active military duty on or after
September eleventh, two thousand one . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146
Credit to members of public retirement systems for military service
performed during war. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 147
2
25
43
79
150-155
176-179-a
185-186
210-217
423-c
430-432
470-473
480
530
Retirement & Social Security Law
Qualifying World Trade Center Condition . . . . . . . . . . . . . . . . . . .
Appropriations in retirement bills . . . . . . . . . . . . . . . . . . . . . . . . .
Transfer of members between systems . . . . . . . . . . . . . . . . . . . .
Cafeteria plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reporting and Disclosure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Investments of Public Pension Funds . . . . . . . . . . . . . . . . . . . . .
Public Pension Fund Group Life Insurance. . . . . . . . . . . . . . . . . .
Re-employment in Public Service of Retired Public Employees . .
MWBE asset management and financial institution strategy . . . . .
Payment for Benefit Improvements . . . . . . . . . . . . . . . . . . . . . . .
Negotiation of Retirement Benefits . . . . . . . . . . . . . . . . . . . . . . .
Extension of Temporary Benefits and Supplementation Programs
Elimination of Mandatory Retirement . . . . . . . . . . . . . . . . . . . . . .
7
The Constitution of the State of New York
Membership in retirement systems; benefits not to be diminished nor impaired . . . . 172
68
4
1-4
6
3-4
1
2
3
1
1
1
1
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Unconsolidated Laws
Retroactive Retirement Coverage for New Employees (1973) . . . . . . . . . . . . . . .
Limitations on Post July 1, 1973 Membership Rights (1973) . . . . . . . . . . . . . . . .
Membership Rights of CETA Employees (1975) . . . . . . . . . . . . . . . . . . . . . . . . .
Retirement Rights of Employees Subject to Lay-Off (1976). . . . . . . . . . . . . . . . .
New York State Teachers’ Retirement Board and Its Investment Authority (1976)
Retirement Credit for Union Officers on Leave of Absence (1984) . . . . . . . . . . . .
Preservation of Constitutional and Contractual Authority of Retirement Board
to Determine Employer Contributions (1990). . . . . . . . . . . . . . . . . . . . . . . . . .
Additional Pension Benefits for an Extended Second Public Employment
after Retirement from a Plan Allowing Retirement after 20 or 25 Years
Regardless of Age (1990) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Prior Service Credit for Certain Members of the New York State
Teachers’ Retirement System (1991) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Providing a Lump Sum Payment in Lieu of Future Payments to Service Retirees
of the New York State Teachers’ Retirement System Receiving Less Than
One Thousand Dollars Per Annum (1997) . . . . . . . . . . . . . . . . . . . . . . . . . . . .
The Granting of Retirement System Death Benefits (1999) . . . . . . . . . . . . . . . . .
Credit for Certain Service as a Teacher Within the New York City
Public Schools (2002). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Health Insurance Benefits and Contributions of Retired Employees
of School Districts and Certain Boards (Made Permanent 2010) . . . . . . . . . . .
viii
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147
148
148
151
152
154
161
162
167
168
169
170
171
172
173
173
174
175
175
. . . 176
. . . 176
. . . 177
. . . 178
. . . 178
. . . 178
. . . 179
Ed. L. § 501
Article 11 of the Education Law
(Tier 1)
§ 501. Definitions. The following words and phrases used in this article shall have the following
meanings unless a different meaning is plainly required by the context: 1. “Retirement system” shall mean
the New York state teachers retirement system provided for in section five hundred two of this article.
2. “Retirement board” shall mean the retirement board provided by section five hundred four of this article.
3. “Employer” shall mean the state of New York, the city, the village, school district board or trustee,
or other agency of and within the state by which a teacher is paid.
4. “Teacher” shall mean any regular teacher, special teacher, including any school librarian or physical train­
ing teacher, principal, vice-principal, supervisor, supervisory principal, director, superintendent, city superin­
tendent, assistant city superintendent, district superintendent and other member of the teaching or professional
staff of any class, public school, vocational school, truant reformatory school or parental school, and of any
or all classes of schools within the state of New York, including schools on the Indian reservation, conducted
under the order and superintendence of and wholly or partly at the expense of the New York state education
department or of a duly elected board of education, board of school directors or board of trustees of the state
or of any city or school district thereof, provided that no person shall be deemed a teacher within the meaning
of this article who is not so employed for full time outside vacation periods. The word, “teacher,” shall also
include any person employed in the state education department who at the time he entered such employ­
ment, or within one year prior thereto, was a teacher within the foregoing definition, or who was engaged in
such department in the performance of duties pertaining to instructional services prior to September first,
nineteen hundred eighty-six or who provides instructional services at the New York state school for the blind
or the New York state school for the deaf, but shall not include a person who is a teacher within the foregoing
definition, and who elects to become a member of the New York state employees retirement system pursuant
to paragraph five of subdivision c of section forty of the retirement and social security law upon his entry, on
or after April first, nineteen hundred fifty, into his employment as such a teacher in the state-operated institu­
tion or community college under the jurisdiction of the board of trustees of the state university, or who is a
teacher within the foregoing definition, and who elects to become a member of the New York city employees
retirement system, upon his entry, on or after April first, nineteen hundred fifty-six, into his employment as
such a teacher in a community college operated by the city of New York, or who is a teacher within the forego­
ing definition, and who elects the optional retirement program established either by article eight-b or by article
three, part V of this chapter. In all cases of doubt, the retirement board shall determine whether any person is
a teacher as defined in this article. [Subdivision (4) amended L. 1950, ch. 392 in effect April 5, 1950; corrected
L. 1956, ch. 159; amended L. 1956, ch. 455 in effect April 1, 1956; L. 1964, ch. 337 in effect July 1, 1964; L.
1968, ch. 1076 in effect July 1, 1968; L. 1986, ch. 713 in effect September 1, 1986.]
5. “Present teacher” shall mean any teacher who was a teacher on or before the first day of August,
nineteen hundred twenty-one, whose membership in the retirement system created by this article has
been continuous and
a. who became a member of the retirement system created by this act on or before the first day of May,
nineteen hundred twenty-four, provided that any such teacher becoming a member after the establish­
ment of the system pay to the system on entrance the amount he would have contributed had be become
a member as of the date of establishment; or
b. who was a member of a local district pension system on or before the first day of August, nineteen
hundred twenty-one, who continued thereafter to be a member until he, with the membership of such
local district pension system, became a member of the retirement system created by this article.
6. “New entrant” shall mean any teacher who is a member of the retirement system except a present
teacher.
7. “Contributor” shall mean any member of the retirement system who has an account in the annuity
savings fund as provided by this article.
8. “Beneficiary” shall mean any person in receipt of a retirement allowance or other benefit as provided
by this article.
9. “Regular interest” a. For the purpose of crediting interest to individual accounts in the annuity sav­
ings fund, regular interest shall mean interest at five per centum per annum, compounded annually. [Para­
graph a amended L. 1997, ch. 553 in effect September 10, 1997.]
1
Ed. L. § 501
b. For the purpose of the actuarial valuations specified in subdivision two of section five hundred sev­
enteen of this article, regular interest shall mean the valuation rate of interest recommended by the sys­
tem’s actuary and approved by the retirement board from time to time. [Par. b. amended L. 1981, ch. 377
in effect July 1, 1981.]
c. Notwithstanding any other provision of this article, the annuity values, option factors and reserves to be
used to determine the amount of any benefit payable under the provisions of this article, except the benefit
payable under paragraph three of subdivision b of section five hundred twelve of this article, provided that the
right to the initial payment of the benefit accrues during the period that this subdivision is in effect, shall be
based upon an assumed interest rate of four per centum per annum compounded annually. In the case of any
person retiring on or after January first, nineteen hundred eighty-six, the assumed interest rate shall be such
rate as recommended by the system’s actuary and approved by the retirement board from time to time not to
exceed seven per centum per annum compounded annually, provided, however, that the authority to use a
rate in excess of four per centum per annum compounded annually shall only become effective if the courts
have already finally determined, as to all members, beneficiaries and retirees of the retirement system, the
proper application of the decision of the United States supreme court in the case of Arizona Governing Com­
mittee for Tax Deferred Annuities and Deferred Compensation Plans v. Norris, 103 S.Ct. 3492 (1983). The
exercise of this authority with respect to any class of annuitants, shall be an authority which is vested exclu­
sively in the retirement board and nothing herein shall be construed as requiring a retroactive application of
this authority at the time when such authority becomes available to the retirement board as set forth above.
[Sub. 9 amended L. 1948, ch. 135; L. 1969, ch. 965 in effect July 1, 1969; Par. c added L. 1970, ch. 141 in
effect July 1, 1970; as amended L. 1971, ch. 622 in effect July 1, 1971; L. 1972, ch. 345 in effect July 1, 1972;
L. 1973, ch. 1046 in effect July 31, 1973; Par. c amended L. 1985, ch. 883 in effect January 1, 1986.]
10. “Accumulated contributions” shall mean the sum of all the amounts deducted from the compensa­
tion of a contributor, and credited to his individual account in the annuity savings fund together with regu­
lar interest thereon. The interest on any contributions made after July first, nineteen hundred fifty-seven
and prior to the date of receipt of them by the board shall be added to the accumulated contributions of
the member in accordance with regulations of the retirement board. [Subdivision (10) amended by L.
1957, ch. 603 in effect July 1, 1957.]
11. a. “Final average salary” shall mean the average annual compensation earnable as a teacher during
the five years of service immediately preceding his date of retirement, or it shall mean the average annual
compensation earnable as a teacher during any five consecutive years of state service, said five years to
be selected by the applicant prior to date of retirement. In the case of a member with a membership date
prior to the seventeenth day of June, nineteen hundred seventy-one, a contribution by an employer on
behalf of such member to a defined contribution plan qualified under subsection a of section four hundred
one of the Internal Revenue Code of nineteen hundred eighty-six, as amended and maintained by such
employer may be treated as compensation for the purposes of this paragraph, provided such contribution
would otherwise have been treated as compensation, had it been paid directly to the member at the time
the contribution was made. [Subdivision 11 amended L. 2005, ch. 472 in effect on and after June 30, 2005.]
b. Notwithstanding anything to the contrary in this article, commencing July first, nineteen hundred sixtynine, “Final Average Salary” shall mean the average regular compensation earned as a teacher during the
three years of actual service immediately preceding his date of retirement, or any other three years of con­
secutive service upon application of the member, exclusive of any lump sum payments for sick leave,
annual leave or any other form of termination pay; provided, however, if the compensation earned in any
twelve months exceeds that of the previous twelve months by more than twenty percentum, the amount in
excess of twenty percentum shall be excluded in the computation of final average salary. In the case of
persons who last became members on or after July first, nineteen hundred seventy-three, the provisions of
this paragraph b shall apply only to those retiring from service prior to July first, nineteen hundred seventyfour.* [As amended L. 1952, ch. 223 in effect July 1, 1952; L. 1969, ch. 536 in effect July 1, 1969; L. 1971,
ch. 621 in effect July 1, 1971; L. 1972, ch. 345 in effect July 1, 1972; L. 1973, ch. 1046 in effect July 31,
1973.]* extended to July 1, 1976 by Sec. 480 Ret. & Soc. Sec. Law added L. 1974, ch. 510 in effect May 23,
1974; to July 1, 1977, L. 1976, ch. 491 in effect July 1, 1976; to July 1, 1978, L. 1977, ch. 347 in effect June
28, 1977; to July 1, 1979, L. 1978, ch. 464 in effect June 30, 1978; to July 1, 1981, L. 1979, ch. 321 in effect
June 29, 1979; to July 1, 1983, L. 1981, ch. 381 in effect June 30, 1981; to July 1, 1985, L. 1983, ch. 413 in
effect June 30, 1983; to July 1, 1987, L. 1985, ch. 284 in effect June 30, 1985; to July 1, 1989, L. 1987, ch.
2
Ed. L. § 502
203 in effect June 30, 1987; to July 1, 1991, L. 1989, ch. 236 in effect July 1, 1989; to July 1, 1993, L. 1991,
ch. 196 in effect June 28, 1991; to July 1, 1995, L. 1993, ch. 122 in effect June 21, 1993.
12. “Annuity” shall mean the annual payments for life derived from contributions made by contributor
as provided in this article. All annuities shall be paid in equal monthly installments.
13. “Pension” shall mean the annual payments for life derived from payments made by an employer as
provided in this article. All pensions shall be paid in equal monthly installments.
14. “Retirement allowance” shall mean the pension plus the annuity.
15. “Annuity reserve” shall mean the present value of all payments to be made on account of any annu­
ity, or benefit in lieu of any annuity, computed upon the basis of such mortality tables as shall be adopted
by the retirement board with regular interest.
16. “Pension reserve” shall mean the present value of all payments to be made on account of any pen­
sion, or benefit in lieu of any pension, computed upon the basis of such mortality tables as shall be
adopted by the retirement board with regular interest.
17. “Retirement fund” shall mean the state teachers retirement fund for public school teachers of the
state of New York as created by chapter one hundred forty of the laws of nineteen hundred ten, chapter
four hundred forty-nine of the laws of nineteen hundred eleven, chapter forty-four of the laws of nineteen
hundred fourteen, chapter one hundred three of the laws of nineteen hundred nineteen and chapter one
hundred sixty-one of the laws of nineteen hundred twenty-three.
18. “Local district pension system” shall mean any teachers retirement system or other arrangement
for the payment of pensions or annuities to teachers exclusive of the retirement fund, created in any city
or school district of this state prior to the first day of August, nineteen hundred twenty-one.
19. “Service” shall mean actual teaching or supervision by the teacher during regular school hours of the
day, and shall mean governmental service in the State of New York in another capacity where the teacher
was a member of the New York state employees retirement system, and where such service was credited
to the teacher in the said New York state employees retirement system. Leave of absence with pay granted
by the employer may be considered service under regulations prescribed by the retirement board. In all
such leaves of absence the salary actually received shall be deemed to be the earnable compensation of
such teacher within the meaning of this article, provided, however, that in the case of a member who dies
at any time during the period from July first, nineteen hundred sixty-four through June thirtieth, nineteen
hundred seventy-four,* who is entitled to a death benefit in accordance with paragraph two of subdivision
b of section five hundred twelve and who was on a leave of absence with pay in the last twelve months of
service, then the compensation earnable by such member during the last twelve months of service while a
member shall be the amount of salary such member would have earned had such member not been on such
leave of absence. [As amended L. 1963, ch. 912 in effect April 30, 1963; L. 1964, ch. 563 in effect July 1,
1964; L. 1966, ch. 513 in effect July 1, 1966; L. 1968, ch. 145 in effect July 1, 1968; L. 1970, ch. 857 in effect
July 1, 1970; L. 1971, ch. 622 in effect July 1, 1971; L. 1972, ch. 345 in effect July 1, 1972; L. 1973, ch. 1046
in effect July 31, 1973.]* extended to July 1, 1976 by Sec. 480 Ret. & Soc. Sec. Law added L. 1974, ch. 510
in effect May 23, 1974; to July 1, 1977, L. 1976, ch. 491 in effect July 1, 1976; to July 1, 1978, L. 1977, ch.
347 in effect June 28, 1977; to July 1, 1979, L. 1978, ch. 464 in effect June 30, 1978; to July 1, 1981, L.
1979, ch. 321 in effect June 29, 1979; to July 1, 1983, L. 1981, ch. 381 in effect June 30, 1981; to July 1,
1985, L. 1983, ch. 413 in effect June 30, 1983; to July 1, 1987, L. 1985, ch. 284 in effect June 30, 1985; to
July 1, 1989, L. 1987, ch. 203 in effect June 30, 1987; to July 1, 1991, L. 1989, ch. 236 in effect July 1, 1989;
to July 1, 1993, L. 1991, ch. 196 in effect June 28, 1991; to July 1, 1995, L. 1993, ch. 122 in effect June 21,
1993. [Subdivision 20 repealed L. 1997, ch. 553 in effect September 10, 1997.]
§ 502. Retirement system. 1. The “New York state teachers retirement system” is hereby continued.
2. Such retirement system shall have the powers and privileges of a corporation, and under its corpo­
rate name, or in the name of its nominees, all of its business shall be transacted, all funds invested, all
warrants for money drawn and payments made, and all cash and securities and other property shall be
held. [Subdivision (2) amended L. 1979, ch. 523 in effect July 1, 1979.]
3. In accordance with paragraph two of subsection a of section four hundred one of the Internal Rev­
enue Code, it shall be impossible at any time prior to the satisfaction of the retirement system’s liabilities
to its members and their beneficiaries under law, for any part of the assets of the retirement system, or
income thereon, to be (within any taxable year or thereafter) used for, or diverted to, purposes other than
3
Ed. L. § 503
for the exclusive benefit of the members of the retirement system or their beneficiaries. [L. 1997, ch. 370
in effect August 5, 1997.]
§ 503. Membership of system. 1. The membership of the retirement system shall consist of the following:
a. All teachers who were teachers on or before the first day of August, nineteen hundred twenty-one,
who shall file with the retirement board applications for membership, except those specifically excluded
under subdivision four of this section.
b. All teachers who were not teachers on or before the first day of August, nineteen hundred twentyone, except those specifically excluded under subdivision four of this section.
2. The retirement board may, in its discretion, deny the right to become members to any class of teach­
ers whose compensation is only partly paid by the employer or who are serving on a temporary or any
other than a per annum basis, and it may also, in its discretion, make optional with members in any such
class their individual entrance into membership.
3. The membership of any person in the retirement system shall cease when seven years have elapsed
since the member has performed service as a teacher which was credited with the system except as
provided in section five hundred twelve-a of this article, or upon the withdrawal by a contributor of his
accumulated contributions as provided in this article, or upon retirement on a pension, or at death,
except that the membership of a teacher, who has not withdrawn his contributions shall not be cancelled
if he (a) has not had sufficient service to be eligible for disability retirement, and proves to the satisfaction
of the retirement board that absence from service was caused by personal illness constituting disability
or (b) is eligible to receive a retirement allowance from the system for other than disability. [Subdivision
(3) amended L. 1961, ch. 765 in effect July 1, 1961; L. 1977, ch. 381 in effect July 6, 1977; L. 1984, ch.
486 in effect July 1, 1984; L. 1986, ch. 788 in effect July 1, 1986.]
4. Teachers who are members or who become members of a local district pension system maintained
under the laws of the state from appropriations or contributions made wholly or partly by an employer shall
be excluded from membership in this retirement system. [Subdivision (4) amended L. 1964, ch. 337 in effect
July 1, 1964; L. 1968, ch. 1076 in effect July 1, 1968; amended L. 2002, ch. 351 in effect June 30, 2002.]
5. A retired teacher receiving a retirement allowance for other than disability may return to active public ser­
vice. Any such retired teacher returning to active service shall immediately notify the retirement board of his
intention. Except as otherwise provided in sections two hundred eleven and two hundred twelve of the retire­
ment and social security law and section one hundred fifty of the civil service law, his retirement allowance shall
be suspended during the time he is in active service. If such teacher has not elected an optional benefit, the
payments of his annuity so suspended shall be held in the annuity reserve fund at regular interest, and upon the
resumption of his retirement allowance after again leaving the active service such accumulated amounts shall
be applied to increase the annuity otherwise payable to him or in the event of his death while in active service
such accumulated amounts shall be paid to his estate or to such person as last designated as the beneficiary
of his accumulated contributions. If such teacher has elected an optional benefit and dies while in active service,
the optional benefit in respect of his annuity shall be payable as if no annuity payments had been suspended,
but the optional benefit in respect of his pension shall not be payable in excess of the proportion that the cost
of such optional pension, when measured by the difference between his pension without optional modification
and the optional pension, is currently covered by the amount of the annuity payments suspended while he is in
active service, which difference shall be paid during the period of his active service from the annuity reserve fund
to the fund from which his pension was payable. If, however, such full cost of the optional pension is greater than
the suspended annuity payments, the teacher may elect upon returning to active service to pay the amount of
such difference directly to the retirement system to be credited to the fund from which his pension was payable,
and subject to such payments monthly in advance, or at such other intervals as may be agreed upon with the
retirement board, the optional benefit in respect of the pension shall be payable in the event the teacher dies
while in active service, as if no pension payments had been suspended. If the suspended annuity payments are
greater than such full cost of the optional pension, the amount of such difference shall be held at regular interest
in the annuity reserve fund, and upon the resumption of his retirement allowance after again leaving active ser­
vice such accumulated amounts shall be applied to increase the annuity otherwise payable to him, or in the
event of his death while in active service such accumulated amounts shall be paid to his estate or to the benefi­
ciary nominated under the option. [Subdivision (5) amended by L. 1948, ch. 60; L. 1949, ch. 58; L. 1950, ch. 45;
L. 1952, ch. 25; L. 1953, ch. 12; L. 1954, ch. 24; L. 1955, ch. 22; L. 1956, ch. 26; L. 1957, ch. 56; L. 1958, ch.
4
Ed. L. § 503
110; L. 1959, ch. 21; L. 1960, ch. 13; made permanent L. 1961, ch. 138; L. 1966, ch. 137 in effect Sept. 1, 1966;
amended L. 1972, ch. 507 in effect July 1, 1972.]
6. Credit for service in war after World War I, which shall mean military service during the period commenc­
ing the first day of July, nineteen hundred forty, and terminating the thirtieth day of June, nineteen hundred
forty-seven, or during the period commencing the twenty-seventh day of June, nineteen hundred fifty, and
terminating the thirty-first day of January, nineteen hundred fifty-five, or during both such periods, as a mem­
ber of the armed forces of the United States, of any person who has been honorably discharged or released
under honorable circumstances from such service, or service by one who was employed by the War Shipping
Administration or Office of Defense Transportation or their agents as a merchant seaman documented by the
United States Coast Guard or Department of Commerce, or as a civil servant employed by the United States
Army Transport Service (later redesignated as the United States Army Transportation Corps, Water Division)
or the Naval Transportation Service; and who served satisfactorily as a crew member during the period of
armed conflict, December seventh, nineteen hundred forty-one, to August fifteenth, nineteen hundred fortyfive, aboard merchant vessels in oceangoing, i.e., foreign, intercoastal, or coastwide service as such terms
are defined under federal law (46 USCA 10301 & 10501) and further to include “near foreign” voyages between
the United States and Canada, Mexico, or the West Indies via ocean routes, or public vessels in oceangoing
service or foreign waters and who has received a Certificate of Release or Discharge from Active Duty and a
discharge certificate, or an Honorable Service Certificate/Report of Casualty, from the Department of Defense
or who served as a United States civilian employed by the American Field Service and served overseas under
United States armies and United States Army groups in World War II during the period of armed conflict,
December seventh, nineteen hundred forty-one through May eighth, nineteen hundred forty-five, and who
was discharged or released therefrom under honorable conditions, or who served as a United States civilian
flight crew and aviation ground support employee of Pan American World Airways or one of its subsidiaries or
its affiliates and served overseas as a result of Pan American’s contract with Air Transport Command or Naval
Air Transport Service during the period of armed conflict, December fourteenth, nineteen hundred forty-one
through August fourteenth, nineteen hundred forty-five, and who was discharged or released therefrom under
honorable conditions, and who was a teacher in the public schools of this state at the time of his entrance into
the armed forces of the United States, provided no compensation was received under the provisions of sec­
tion two hundred forty-two of the military law, and who returned to public school teaching following discharge
or completion of advanced education provided under servicemens readjustment act of nineteen hundred
forty-four, or who following such discharge or release entered into a service which would qualify him pursuant
to section forty-three of the retirement and social security law to transfer his membership in the New York
state teachers’ retirement system, shall be provided as follows, any provisions of section two hundred fortythree of the military law to the contrary notwithstanding. [Amended L. 1991, ch. 467 in effect July 19, 1991,
ch. 685 in effect August 2, 1991; L. 1995, ch. 616 in effect August 8, 1995.]
a. Service in war after World War I as defined in this subdivision shall be deemed to be service for all
purposes of the retirement fund, provided claim for such service shall be filed by the member with the
retirement board within two years following his return to active teaching service or the entry of the mem­
ber into a service which would qualify him pursuant to section fifty-nine of the civil service law to transfer
his membership to the New York city employees retirement system or to the New York state employees
retirement system or the fifteenth day of April, nineteen hundred sixty-seven, whichever is later. [Par. (a)
amended L. 1966, ch. 315 in effect May 10, 1966.]
b. For the purposes of computing final average salary, compensation during any period of service in
war after world war I shall be deemed to have been at the member’s rate of compensation in effect imme­
diately prior to such period, or based on additional increments due him if he had continued teaching.
c. Contributions paid by any member under the provisions of section two hundred forty-three of the
military law shall be refunded directly to the member and the corresponding contribution paid by the dis­
trict shall also be returned directly to the district.
d. On the retirement of a member with credit for service in war after World War I as defined in this sub­
division, there shall be transferred from the pension accumulation fund to the annuity reserve fund a sum
equivalent to the contributions the member would have made to the annuity savings fund had he contrib­
uted during his period of service in war after World War I at the rate in effect immediately prior to such
period, or on additional increments due him if he had continued teaching, with interest to the date of
retirement, which amounts shall be used to provide an annuity for him.
5
Ed. L. § 503
e. In addition to the contributions required of employers to the retirement system as otherwise provided, there
shall be paid an additional contribution to the pension accumulation fund to cover the cost of the additional
benefits covered by this subdivision. The additional contributions shall be collected by increasing the regular
contributions of the employers in the same proportion as the liabilities of the pension accumulation fund are
increased by the adoption of this subdivision. [Subdivision (6) added L. 1947, ch. 866; amended by L. 1949, ch.
622 in effect April 18, 1949; L. 1954, ch. 121 in effect Mar. 15, 1954; L. 1955, ch. 234 in effect April 2, 1955.]
7. A teacher, who was a member of the New York state teachers retirement system but who withdrew
his accumulated contributions immediately prior to his entry into or during his service in the armed forces
of the United States in war after World War I, who has been honorably discharged or released from ser­
vice, provided no compensation was received under the provisions of section two hundred forty-two of
the military law, and who returned to public school teaching in the state of New York following such dis­
charge or release, or following completion of advanced education provided under servicemen’s readjust­
ment act of nineteen hundred forty-four, any provisions of section two hundred forty-three of the military
law to the contrary notwithstanding, will be entitled to credit for service in war after World War I, cost free,
provided, however, that such credit will not be allowed until he claims and pays for all prior teaching ser­
vice credited to him at the time of his termination of membership in the New York state teachers retire­
ment system, and provided further that claim for such service in war after World War I shall be filed by the
member with the retirement board before the first day of July, nineteen hundred sixty-eight. [Subdivision
(7) added L. 1966, ch. 41 in effect Mar. 15, 1966; amended ch. 40, L. 1967 in effect Mar. 7, 1967.]
8. A teacher who had been granted credit for service in war after World War I as provided in this section
and whose membership in the New York state teachers retirement system subsequently ceased by reason
of withdrawal of his accumulated contributions will, upon rejoining the New York state teachers retirement
system, be entitled to the same credit for service in war after World War I, cost free, that he was credited
with upon termination of his membership in the New York state teachers retirement system, provided,
however, that such credit will not be allowed until he claims and pays for all prior teaching service cred­
ited to him at the time of his termination of membership in the New York state teachers retirement system.
[Subdivision (7) added L. 1963, ch. 876 in effect April 26, 1963; renumbered L. 1966, ch. 41.]
9. Credit for emergency service on or after October first, nineteen hundred sixty-one, shall mean active
duty (other than for training) in the armed forces of the United States as defined in title ten of the United
States code on or after October first, nineteen hundred sixty-one and terminating on June thirtieth, nine­
teen hundred sixty-three or on the date that no reserve component unit originally ordered into the active
service of the United States from the state on or after October first, nineteen hundred sixty-one remains
on such active service, whichever sooner occurs, of any person who:
a. was a teacher in the public schools of this state at the time of his entrance into such armed forces,
b. was a member of the New York state teachers retirement system and an employee of the state or of
an employer at the time he entered such armed forces,
c. has been honorably discharged or released under honorable circumstances from such service, and
d. returned to public school teaching within one year following discharge or release, or completion of
advanced education provided by the United States for education of Korean conflict veterans, or who follow­
ing such discharge or release entered into a service which would qualify him, pursuant to section forty-three
of the retirement and social security law, to transfer his membership in the New York state teachers retire­
ment system. Such service shall not include any periods during which compensation was received by the
member for accrued vacation and overtime credit or under the provisions of section two hundred forty-two
of the military law or section six of chapter six hundred eight of the laws of nineteen hundred fifty-two.
Emergency service on or after October first, nineteen hundred sixty-one, shall for the purposes of this
article be deemed credit for service in war after World War I. [Sub. (7) added by L. 1962, ch. 801, in effect
April 24, 1962; renumbered L. 1963, ch. 876; renumbered L. 1966, ch. 41.]
10. Credit for certain World War II service. a. In addition to credit for military service pursuant to section two
hundred forty-three of the military law and subdivisions six through nine of this section, a member employed
as a full-time teacher by an employer as defined in subdivision three of section five hundred one of the educa­
tion law and who joined the retirement system prior to July first, nineteen hundred seventy-three, may obtain
credit for military service not in excess of three years and not otherwise creditable under section two hundred
forty-three of the military law and subdivisions six through nine of this section, rendered on active duty in the
armed forces of the United States during the period commencing July first, nineteen hundred forty, and
6
Ed. L. § 503
terminating December thirty-first, nineteen hundred forty-six, or on service by one who was employed by the
War Shipping Administration or Office of Defense Transportation or their agents as a merchant seaman docu­
mented by the United States Coast Guard or Department of Commerce, or as a civil servant employed by the
United States Army Transport service (later redesignated as the United States Army Transportation Corps,
Water Division) or the Naval Transportation Service; and who served satisfactorily as a crew member during the
period of armed conflict, December seventh, nineteen hundred forty-one, to August fifteenth, nineteen hundred
forty-five, aboard merchant vessels in oceangoing, i.e., foreign, intercoastal, or coastwide service as such
terms are defined under federal law (46 USCA 10301 & 10501) and further to include “near foreign” voyages
between the United States and Canada, Mexico, or the West Indies via ocean routes, or public vessels in
oceangoing service or foreign waters and who has received a Certificate of Release or Discharge from Active
Duty and a discharge certificate, or an Honorable Service Certificate/Report of Casualty, from the Department
of Defense or on service by one who served as a United States civilian employed by the American Field Service
and served overseas under United States armies and United States army groups in World War II during the
period of armed conflict, December seventh, nineteen hundred forty-one through May eighth, nineteen hun­
dred forty-five, and who was discharged or released therefrom under honorable conditions, or on service by
one who served as a United States civilian flight crew and aviation ground support employee of Pan American
World Airways or one of its subsidiaries or its affiliates and served overseas as a result of Pan American’s con­
tract with air transport command or Naval Air Transport service during the period of armed conflict, December
fourteenth, nineteen hundred forty-one through August fourteenth, nineteen hundred forty-five, and who was
discharged or released therefrom under honorable conditions by a person who was a resident of New York
state at the time of entry into such service and at the time of being discharged therefrom under honorable cir­
cumstances, and who makes the payments required in accordance with the provisions of this subdivision.
However, no military service shall be creditable under this subdivision in the case of a member who is
receiving a military pension (other than for disability) for military service in the armed forces of the United
States. [Amended L. 1991, ch. 685 in effect August 2, 1991; L. 1995, ch. 616 in effect August 8, 1995.]
b. To obtain such credit a member shall: (1) deposit in the annuity savings fund a sum equal to the
product of his required contribution rate at time of entry into full-time New York state teaching service,
his annual full-time rate of compensation at that time, and the period of military service being claimed,
with regular interest and (2) deposit in the pension accumulation fund a sum equal to the product of the
employer’s contribution rate exclusive of the rate for supplemental pensions at the time of the member’s
entry into such teaching service, his annual full-time rate of compensation at that time, and the period of
military service being claimed, with regular interest. Such deposit must be made on or before October
fourteenth, nineteen hundred seventy-seven, provided, however, such member may elect to deposit such
amount over a period of time no greater than the period for which credit is being claimed, in which case
such payments must commence no later than October fourteenth, nineteen hundred seventy-seven. If the
full amount of such payments is not paid to the retirement system at the time of retirement, the amount
of service credited shall be proportional to the total amount of the payments made. [Par. (b) of subdivision
10 amended L. 1977, ch. 821 in effect Aug. 5, 1977.]
c. The credit for military service hereunder shall not be used to increase a service retirement benefit if,
at the time of retirement, such member (1) is retiring from service with less than ten years of full-time
service credit or (2) is retiring with less than three years of member service rendered subsequent to the
date that he last became a member of this system. Upon retirement, as specified in (1) or (2), there shall
be refunded to such member the amount of such deposit plus accrued interest exclusive of the amount
deposited to the pension accumulation fund attributable to death and disability benefits.
d. (1) In the case of members who have transferred into this system from another public retirement sys­
tem within the state of New York, their rate of contribution shall be computed as though they had been a
member of this system from the date of membership in the retirement system from which they transferred.
(2) Any other provision of law to the contrary notwithstanding, the rate of contribution to be used in
calculating contributions to the annuity savings fund pursuant to this subdivision shall be at the rate of
four per centum of earnable compensation for members whose date of membership is on or before June
thirtieth nineteen hundred forty-eight and at the rate of five per centum of earnable compensation for
members whose date of membership is on or after July first, nineteen hundred forty-eight.
e. In no event shall credit be granted pursuant to this subdivision if credit is granted for the same
period of time pursuant to other provisions of law.
7
Ed. L. § 503
f. No application for credit pursuant to the provisions of this subdivision shall be honored if made on or after
April fifteenth, nineteen hundred seventy-seven. [Sub. 10 added L. 1976, ch. 512 in effect July 20, 1976.]
10-a. Credit for certain World War II service. a. In addition to credit for military service pursuant to
section two hundred forty-three of the military law and subdivisions six through nine of this section, a
member who joined the retirement system prior to July first, nineteen hundred seventy-three, and who
was not eligible for credit for military service under subdivision ten of this section as a result of being on
a leave of absence without pay between July twentieth, nineteen hundred seventy-six and October fif­
teenth, nineteen hundred seventy-seven or on leave of absence with less than full pay between July
twentieth, nineteen hundred seventy-six and October fifteenth, nineteen hundred seventy-seven, may
obtain credit for military service not in excess of three years and not otherwise creditable under section
two hundred forty-three of the military law and subdivisions six through nine of this section, rendered on
active duty in the armed forces of the United States during the period commencing July first, nineteen
hundred forty, and terminating December thirty-first, nineteen hundred forty-six, or on service by one
who was employed by the War Shipping Administration or Office of Defense Transportation or their
agents as a merchant seaman documented by the United States Coast Guard or Department of Com­
merce, or as a civil servant employed by the United States Army Transport service (later redesignated as
the United States Army Transportation Corps, Water Division) or the Naval Transportation Service; and
who served satisfactorily as a crew member during the period of armed conflict, December seventh,
nineteen hundred forty-one, to August fifteenth, nineteen hundred forty-five, aboard merchant vessels in
oceangoing, i.e., foreign, intercoastal, or coastwide service as such terms are defined under federal law
(46 USCA 10301 & 10501) and further to include “near foreign” voyages between the United States and
Canada, Mexico, or the West Indies via ocean routes, or public vessels in ocean-going service or foreign
waters and who has received a Certificate of Release or Discharge from Active Duty and a discharge
certificate, or an Honorable Service Certificate/Report of Casualty, from the Department of Defense, or
on service by one who served as a United States civilian employed by the American Field Service and
served overseas under United States armies and United States army groups in World War II during the
period of armed conflict, December seventh, nineteen hundred forty-one through May eighth, nineteen
hundred forty-five, and who was discharged or released therefrom under honorable conditions, or on
service by one who served as a United States civilian flight crew and aviation ground support employee
of Pan American World Airways or one of its subsidiaries or its affiliates and served overseas as a result
of Pan American’s contract with Air Transport Command or Naval Air Transport Service during the period
of armed conflict, December fourteenth, nineteen hundred forty-one through August fourteenth, nine­
teen hundred forty-five, and who was discharged or released therefrom under honorable conditions by
a person who was a resident of New York state at the time of entry into such service and at the time of
being discharged therefrom under honorable circumstances, and who makes the payments required in
accordance with the provisions of this subdivision.
However, no military service shall be creditable under this subdivision in the case of a member who is
receiving a military pension (other than for disability) for military service in the armed forces of the United
States. [Amended L. 1991, ch. 685 in effect August 2, 1991; L. 1995, ch. 616 in effect August 8, 1995.]
b. To obtain such credit a member shall: (1) deposit in the annuity savings fund a sum equal to the
product of his required contribution rate at time of entry into full-time New York state teaching service,
his annual full-time rate of compensation at that time, and the period of military service being claimed,
with regular interest, and (2) deposit in the pension accumulation fund a sum equal to the product of the
employer’s contribution rate exclusive of the rate for supplemental pensions at the time of the member’s
entry into such teaching service, his annual full-time rate of compensation at that time, and the period of
military service being claimed, with regular interest. Such deposit must be made on or before October
fourteenth, nineteen hundred eighty, provided, however, such member may elect to deposit such amount
over a period of time no greater than the period for which credit is being claimed, in which case such
payments must commence no later than October fourteenth, nineteen hundred eighty. If the full amount
of such payments is not paid to the retirement system at the time of retirement, the amount of service
credited shall be proportional to the total amount of the payments made.
c. The credit for military service hereunder shall not be used to increase a service retirement benefit if,
at the time of retirement, such member (1) is retiring from service with less than ten years of full-time
service credit or (2) is retiring with less than three years of member service rendered subsequent to the
8
Ed. L. § 503
date that he last became a member of this system. Upon retirement, as specified in (1) or (2), there shall
be refunded to such member the amount of such deposit plus accrued interest exclusive of the amount
deposited to the pension accumulation fund attributable to death and disability benefits.
d. (1) In the case of members who have transferred into this system from another public retirement sys­
tem within the state of New York, their rate of contribution shall be computed as though they had been a
member of this system from the date of membership in the retirement system from which they transferred.
(2) Any other provision of law to the contrary notwithstanding, the rate of contribution to be used in
calculating contributions to the annuity savings fund pursuant to this subdivision shall be at the rate of
four per centum of earnable compensation for members whose date of membership is on or before June
thirtieth, nineteen hundred forty-eight and at the rate of five per centum of earnable compensation for
members whose date of membership is on or after July first, nineteen hundred forty-eight.
e. In no event shall credit be granted pursuant to this subdivision if credit is granted for the same
period of time pursuant to other provisions of law.
f. No application for credit pursuant to the provisions of this subdivision shall be honored if made on or
after October fifteenth, nineteen hundred eighty. [Sub. 10-a added L. 1980, ch. 864 in effect July 1, 1980.]
11. a. If a retired member, receiving a retirement allowance for other than disability, returns to active
public service, except as otherwise provided in sections two hundred eleven or two hundred twelve of the
retirement and social security law, and is eligible for membership in the retirement system, he thereupon
shall become a member and his retirement allowance shall be suspended in the same manner as provided
in subdivision five of section five hundred three of this article. In such event, he shall contribute to the
retirement system as if he were a new member. Upon his subsequent retirement after at least two years
of service he shall:
(1) Be credited with all member service earned by him since he last became a member of the retirement
system, and
(2) Receive a retirement allowance which shall consist of: (a) An annuity as provided in subdivision five
of section five hundred three of this article plus an annuity which is the actuarial equivalent of any contri­
butions made by him since he last became a member, and (b) The pension which he was receiving imme­
diately prior to his last restoration to membership as provided in subdivision five of section five hundred
three of this article, plus a pension based upon the member service credit earned by him since he last
became a member. Such latter pension shall be computed as if he were a new member when he rejoined
the system pursuant to the provisions of this subdivision.
b. Where such member shall have earned at least five years of member service credit after restoration
to active service, the total service credit to which he was entitled at the time of his earlier retirement may,
at his option, again be credited to him and upon his subsequent retirement he shall be credited in addition
for purposes of computation of the pension portion of the retirement allowance with all member service
earned by him subsequent to his last restoration to membership. Such total service credit to which he
was entitled at the time of his earlier retirement shall be so credited only in the event that such member
returns to the retirement system with regular interest the actuarial equivalent of the amount of the pension
he received, or in the event that such amount is not so repaid the actuarial equivalent thereof shall be
deducted from his subsequent retirement allowance.
c. Notwithstanding the foregoing provisions of this subdivision, a retired member who is receiving a
retirement allowance for other than physical disability, and who returns to active public service, may elect
not to be restored to membership in the retirement system until he has rendered one year of service fol­
lowing his return to public service. In such event his retirement allowance shall be suspended during such
year of service in the same manner as provided in subdivision five of section five hundred three of this
article. Upon restoration to membership following completion of such year of service, his service in such
year shall be deemed to be service while a member for purposes of subdivision b of section five hundred
twelve of this article. He may purchase member service credit for such year, which shall be deemed
earned member service credit.
d. Notwithstanding any other provision of this article, a retired member who rejoins the system under the
provisions of paragraphs a or c of this subdivision shall only be entitled to a death benefit according to the
provisions of paragraph two of subdivision b of section five hundred twelve of this article and of no other
subdivision thereof and for the purposes of said paragraph two of subdivision b of section five hundred
twelve the credited service as a teacher shall be service as a teacher credited since last joining the system.
9
Ed. L. § 504/505
[Subdivision 10 added L. 1972, ch. 507 in effect July 1, 1972; renumbered Sub. 11, L. 1976, ch. 512 in effect
July 20, 1976; *See also subdivision 2 of Sec. 519 of R. & S.S.L.]
§ 504. Retirement board; members; terms of office; vacancies. 1. The general administration
and responsibility for the proper operation of the retirement system and for making effective the provi­
sions of this article shall continue to be vested in a retirement board. The retirement board shall from time
to time establish rules and regulations for the administration and transaction of its business and for the
control of the funds created herein and shall perform such other functions as are required for the execu­
tion of the provisions of this article.
2. The retirement board shall consist of ten members as follows:
a. One member, who is not an employee of the state, who shall be or shall have been an executive
officer of a bank authorized to do business in this state, elected by the board of regents of The University
of the State of New York to serve for a term of three years.
b. Two members who are not employees of the state, each of whom shall be or shall have been a
trustee or member of the board of education of a school district in this state, and at least one of whom
shall be or shall have been an executive officer of an insurance company, elected by the board of regents
of The University of the State of New York to serve for a term of three years, from a list of five or more
persons having broad experience and ability in the fields of finance and investment to be presented to the
regents by the board of directors of the New York State School Boards Association, Inc.
c. Two administrative officers of the New York state school system, appointed by the commissioner of
education, each to serve for a term of three years. Members of the present state teachers retirement fund
board shall be deemed to be administrative officers of the New York state school system within the mean­
ing of this provision.
d. The comptroller of the state of New York or one member appointed by him who shall serve until his
successor is appointed.
e. Three members elected from among the members of the retirement system, each to serve for a term
of three years.
f. One member, who must be a retired teacher, who shall be elected in accordance with the provisions
of section five hundred five-a of this article to serve for a term of three years. [Paragraph f amended L.
1993, ch. 404 in effect July 21, 1993.]
3. A vacancy occurring during the term of a member elected by the board of regents or appointed by
the commissioner of education shall be filled for the unexpired term by the election or appointment of a
successor in the same manner as his predecessor. A vacancy occurring during a term in the case of a
member elected from among the active members of the retirement system shall be filled, until the next
annual convention of delegates, by the commissioner of education and shall be filled for the unexpired
term by the delegates at the next annual convention in addition to the regular election. A vacancy occur­
ring during the term of a retired teacher member shall be filled in accordance with the provisions of sec­
tion five hundred five-a of this article. [Sub. (2) amended L. 1965, ch. 235 in effect July 1, 1965; L. 1976,
ch. 120 in effect April 13, 1976. Sub. (2) amended and par. f. added L. 1984, ch. 873 in effect August 5,
1984; amended L. 1993, ch. 404 in effect July 21, 1993.]
§ 505. Election of the active teacher members of the board. 1. An annual convention of the
members of the retirement system shall be held within the state of New York during the month of October
or November, at an hour and place set by the retirement board on or before May first of each year, for the
purpose of electing members of the retirement board. [Subdivision 1 amended L. 2013, ch. 436 in effect
Oct. 23, 2013.]
2. Said convention shall be composed of delegates selected as hereinafter provided from each territory
constituting the jurisdiction of, unless otherwise provided for herein, a district superintendent, of a village
or a city superintendent, or from a school district within a supervisory district and having at least seventyfive members of the retirement system, or from the department, or from a unit of the state university,
which territory, school district, department or unit shall constitute a territorial unit of representation in the
assembly of delegates. Each territorial unit shall be entitled to be represented in such convention by one
delegate for each two hundred members of the retirement system employed on a per annum basis in said
unit. The total entitlement to delegates for each territorial unit shall be the number of such members
10
Ed. L. § 505-a
divided by two hundred, rounded off to the nearest whole number; provided, that each unit shall be
entitled to at least one delegate.
3. Delegates from each territorial unit shall be elected, for a two-year term to commence on August first
of the year of election, by the vote of a plurality of the members of the retirement system within such ter­
ritorial unit voting by secret ballot. If there is more than one delegate entitled to be elected to represent
a territorial unit, the voters shall be instructed to cast a vote for sufficient persons in the number needed
to represent the territorial unit and those candidates receiving the most votes shall be declared elected.
4. The election of delegates shall be held in odd numbered years, no earlier than March first and no
later than June first, in accordance with rules adopted by the chief administrative officer of each territorial
unit or his designee. The chief administrative officer of each territorial unit or his designee shall, no later
than July first, file with the retirement system a certificate of election containing the names and addresses
of the delegates elected to the annual convention and such other information as may be required by the
retirement board and shall furnish the delegates elected with a copy of said certificate of their election.
The certificate of election shall be in a form prescribed by the retirement board.
5. An alternative shall be elected, in the same manner as prescribed for delegates, for each delegate
to serve if the delegate is absent or unable to serve.
6. Each delegate and alternate must be a member of the retirement system and employed as a teacher
in the territorial unit which he or she represents. A person may be elected to only one position, and each
delegate shall be entitled to only one vote.
7. If both a delegate position and its corresponding alternate position become vacant, a special elec­
tion shall be held, no later than October first, in the same manner as the regular election to fill the remain­
ing portion of the term, and the chief administrative officer or his designee shall no later than October
sixth file with the retirement system a certificate of election and shall furnish the delegate so elected with
a copy of said certificate of election.
8. Said convention shall be called by a member of the retirement board designated by said board, and
shall organize the election of a chairman and a secretary. A majority of all delegates entitled to seats in
said convention shall constitute a quorum for the transaction of business.
9. Members of the retirement board shall be elected by a majority of those present and voting at the
convention held pursuant to this section for a term commencing on the first day of February following the
election. In order to be eligible to be elected to the retirement board pursuant to this section, a person
must be a member of the retirement system.
10. The provisions of this section shall be deemed mandatory and not directory. [As amended L. 1965,
ch. 1060 in effect July 21, 1965; L. 1966, ch. 134 in effect April 5, 1966; L. 1967, ch. 204 in effect April 10,
1967; L. 1969, ch. 671 in effect May 21, 1969; L. 1971, ch. 84 in effect July 1, 1971; L. 1972, ch. 242 in effect
July 1, 1972; L. 1974, ch. 113 in effect July 1, 1974; L. 1979, ch. 115 in effect May 21, 1979; L. 1982, ch.
895 in effect Jan. 1, 1983; L. 1991, ch. 38 in effect April 6, 1991; L. 1997, ch. 623 in effect Jan. 1, 1998.]
§ 505-a. Election of retired teacher member of board. 1. Election of retired teacher member. An
election shall be held during the month of October, nineteen hundred ninety-three, and thereafter during
the month of October immediately preceding the expiration of a term in office as prescribed in this sec­
tion, for the purpose of electing the retired teacher member of the retirement board from among the
retired members of the retirement system. All retired members of the retirement system who are retired
as of October first in the year in which such election is held shall be eligible to vote. Such election shall
be by secret ballot held in accordance with the provisions of this section and such rules and regulations
as may be adopted by the retirement board. A retired teacher member elected to the retirement board
pursuant to the provisions of this section shall serve for a term of three years commencing on the first
day of January next following said election.
2. Nominations. Nominations of candidates for the position of retired teacher member of the retirement
board shall be by petition on forms provided pursuant to this subdivision. The retirement board shall pre­
pare printed forms for nominating petitions for candidates for the office of retired teacher member of the
retirement board. Such forms shall be available to retired members of the retirement system not later than
July first of a year in which an election is to be held. Each candidate’s petition shall be signed by not less
than one hundred retired members of the retirement system and shall be filled with the retirement board
not later than August fifteenth in such year. Each such petition shall contain the position and term of
11
Ed. L. § 505-a
office, together with the name and address of the candidate, and shall also contain the name and address
of the candidate, and shall also contain the name and address of the retired member of the retirement
system who shall be the alternate candidate in the event of a vacancy caused by the death, disability,
disqualifications or withdrawal of the candidate occurring prior to the election. Each petition shall be
accompanied by a notarized written acceptance of the nomination by the candidate named in the petition
and by a notarized written statement of the retired member named as alternative candidate that, in the
event of the death, disability, disqualification or withdrawal of the candidate prior to the election or in the
event of the death, disability, disqualification or resignation of the candidate from the position of retired
teacher member of the retirement board following election, he or she will accept the nomination or serve
on the retirement board in such a contingency. The retirement board shall implement one mailing for each
qualified candidate that so requests and makes payment therefor prior to the time of mailing by bank or
certified check. The board shall establish procedures to merge mailings for more than one qualified can­
didate in order to reduce postage costs and for administrative convenience if each affected candidate
approves. Nothing in this subdivision or in this section shall be construed to impair existing law preserv­
ing the confidentiality of the home addresses of retirees of the retirement system.
3. Election procedures. Such election shall be in the form of a mail referendum with appropriate provi­
sions, such as the use of double envelopes, made to insure that the identity of the individual retired mem­
bers will not be disclosed as their marked ballots are submitted and counted. The retirement board shall
prepare and mail a ballot and instructions for voting to each eligible retired member by first class mail not
earlier than October first and not later than October fifteenth. The names of candidates and alternate can­
didates listed on the ballot shall be in the order in which the petitions are filed with the retirement board.
The ballots shall be such that they may be machine counted. Such ballots shall be returned to the address
within the state of New York designated by the retirement board and shall be postmarked not later than
October thirty-first. Notwithstanding the foregoing, the retirement board may by resolution establish an
alternative procedure for the conduct of an election pursuant to this section by electronic, telephonic or
other means which provide comparable security and convenience for voting by retired teacher members.
4. Board of elections. At the time of filing a petition or not later than September fifteenth, each candidate
shall appoint two active or retired members of the retirement system to a board of elections. Such board
of elections shall consist of such appointees of the candidates and one member of the retirement system
named by the president of the retirement board, who shall act as its chairman. Members of the board of
elections shall not themselves be candidates or alternate candidates. Such board of elections shall super­
vise the election. Such board of elections shall meet at the location within the state designated by the
retirement board at one o’clock in the afternoon on the second Monday in November to certify the election
of the candidate receiving the largest number of valid votes cast. The retired member so elected shall be
notified of such election by the chairman of the board of elections within five days of such certification.
The ballots shall be kept in the custody of the retirement board for at least ninety days after such certifica­
tion. Members of the board of elections shall be reimbursed by the retirement board for reasonable
expenses actually incurred, in accordance with rules and regulations adopted by the retirement board.
5. Special election. In the event that no candidate can be certified as having won the election as a result
of a tie vote, then the board of elections shall order a special election with the ballot containing only the
names of candidates with a tie vote. Such special election shall be conducted in the same general manner
as the regular election. Ballots shall be mailed during the month of November as soon as reasonably practi­
cal after the tie vote has been determined and shall be returned to a location within the state designated by
the retirement board, postmarked no later than the fourteenth day of December. The board of elections shall
meet at the location within the state designated by the retirement board on a mutually selected date prior
to January first to certify the election of the candidate receiving the largest number of valid votes cast.
6. Suspension of election. In the event that only one candidate is nominated, then no election shall be held
and such candidate shall be deemed to be elected effective at the same time as if an election had been held.
7. Vacancies. A vacancy occurring during the term of a retired teacher member of the retirement board
shall be filled by the retired member who was the alternate candidate at the time such retired teacher
member was last elected to the board. In the event that such alternate candidate has died, become dis­
qualified, or is unwilling or unable to serve or in the event that the alternative candidate dies, is disquali­
fied, becomes disabled, or resigns after entering upon the position of retired teacher member of the
retirement board, then the vacancy shall be filled by the concurrent appointment of a successor from
12
Ed. L. § 506/507
among the retired members of the system by the members of the retirement board who were elected from
among the active members of the retirement system. Such alternate candidate or such appointee, as
applicable, shall serve out the unexpired term of the retired teacher member.
8. Certain expenses of alternate candidate. The retired member who was the alternate candidate at the
time a retired teacher member was last elected to the position of the retired teacher member of the retire­
ment board shall be entitled to be reimbursed from the expense fund for actual and necessary expenses
incurred in connection with attendance at the annual meeting and stated meetings of the retirement board
pursuant to subdivision one of section five hundred six of this article. [Section 505-a added L. 1993, ch.
404 in effect July 21, 1993; amended L. 1998, ch. 205 in effect July 7, 1998.]
§ 506. Board meetings; oaths of office; quorum; expenses. 1. The retirement board shall meet
annually at Albany on a business day in the month of January to be fixed by the board and shall have
stated meetings at the same place at least once in each three months as determined by the regulations
of the board. [As amended L. 1974, ch. 192 in effect April 16, 1974.]
2. Each member of the retirement board shall, within ten days after his appointment or election, take
the constitutional oath of office and cause the same to be filed in the office of the department of state.
3. A majority of the members of the retirement board shall constitute a quorum for the transaction of
any business.
4. The members of the retirement board shall serve without compensation, but they shall be reim­
bursed from the expense fund for all actual necessary expenses and for any loss of salary or wages they
may suffer through serving on the retirement board.
5. Notwithstanding any other provision of law, the affirmative vote of a majority of the board and the
concurrence of one member of the board elected from among the active members of the retirement sys­
tem shall be required to adopt, amend or repeal any rule or regulation relating to member benefits. [Sub.
5 added L. 1971, ch. 1053 in effect July 2, 1971; amended L. 2002, ch. 481 in effect August 20, 2002.]
6. Notwithstanding any other provision of law to the contrary, a member of the retirement board who is
elected from among the members of the retirement system shall, upon his request, be granted a leave of
absence without pay by his employer for the period of time he serves as a member of the retirement
board. During the period of said leave of absence, such member of the retirement board shall receive full
credit in the retirement system for the period of such leave of absence. The provisions of this subdivision
shall not be construed as prohibiting an employer at its discretion from granting a leave of absence with
pay. The retirement board is authorized to adopt such rules and regulations as it finds necessary in
administering the provisions of this subdivision. [Sub. 6 added L. 1980, ch. 853 in effect July 1, 1980.]
§ 507. Officers of board; custody of funds. 1. The retirement board shall elect from its member­
ship a president and vice-president, and shall have power to employ a secretary and to secure the ser­
vices of such technical and administrative employees as may be necessary for the transaction of the
business of the retirement system. The compensation of all persons engaged by the retirement board and
all other expenses of the board necessary for the proper operation of the retirement system shall be paid
at such rates and in such amounts as the retirement board shall approve.
2. The retirement board shall appoint a counsel to serve as its legal adviser.*
3. The head of the division of the treasury in the department of taxation and finance shall be the custo­
dian of the funds of the retirement system, except any asset consisting of evidence of a loan to a member
of the retirement system pursuant to section five hundred twelve-b which such asset shall be in the cus­
tody of the retirement board. Disbursements from the funds of the retirement system shall be made by the
custodian or such person as may be authorized by him** only upon warrants signed by a member of the
retirement board, or an official thereof, authorized to do so by resolution of the board duly adopted at a
meeting of the board by a majority of its members. The commissioner of taxation and finance shall autho­
rize a person who in the absence or disability of the head of the division of the treasury in the department
of taxation and finance shall exercise and perform the functions, powers and duties conferred or imposed
on the head of the division of the treasury in the department of taxation and finance as the custodian of
*So in original. Should read “advisor.”
**Words “or such persons as may be authorized by him” were deleted by L. 1964, ch. 512.
13
Ed. L. § 508
the funds of the retirement system, and such person so authorized shall continue to exercise and perform
such functions, powers and duties during any period that the office of the head of the division of the trea­
sury in the department of taxation and finance is vacant. [Amended L. 1956,ch. 212 in effect April 2, 1956;
L. 1964, ch. 384 and ch. 512 in effect April 10, 1964; L. 1971, ch. 460 in effect June 17, 1971.]
4. The custodian shall furnish annually to the retirement board a sworn statement of the amount of the
funds in his custody belonging to the retirement system. [Sub. 2 amended L. 1968, ch. 794 in effect June
16, 1968; Sub. 4 added L. 1964, ch. 512 repealed and Sub. 5 renumbered by L. 1971, ch. 460 in effect
June 17, 1971.]
6. *The retirement board shall appoint a medical board of three physicians who shall hold office at the
pleasure of the retirement board. Such medical board shall meet at regular intervals and shall perform such
duties as are assigned to it by the retirement board, including, but not limited to, a review of applications for
disability retirement and a review of the continued disablement of pensioners retired for disability. The medi­
cal board shall report to the retirement board its recommendation approving or disapproving each disability
retirement application. The medical board may designate other physicians to make such medical examina­
tions of a disability applicant as it may require and shall review the findings of such physicians prior to mak­
ing its own recommendation to the retirement board. [Sub. 6 added L. 1970, ch. 141 in effect July 1, 1970.]
7. a. The system shall save harmless and indemnify all members of the retirement board, officers and
employees of the system from financial loss arising out of any claim, demand, suit or judgment by reason of
alleged negligence or other act by such board member, officer or employee provided that such board mem­
ber, officer or employee at the time of such alleged negligence or act was acting in the discharge of his duties
and within the scope of his employment and that such damages did not result from the willful and wrongful
act or gross negligence of such board member, officer or employee and provided further that such board
member, officer or employee shall, within five days of the time he is served with any summons, complaint,
process, notice, demand or pleading, deliver the original or a copy thereof to the system’s legal advisor.
b. Upon such delivery the system’s legal advisor may assume control of the representation of such
board member, officer or employee. Such board member, officer or employee shall cooperate fully with
the system’s legal advisor’s defense.
c. This section shall not in any way impair, limit or modify the rights and obligations of any insurer under
any policy of insurance.
d. The benefits of this section shall inure only to board members, officers and employees of the system
and shall not enlarge or diminish the rights of any other party. [Sub. 7a added L. 1975, ch. 770 in effect
Aug. 9, 1975.]
8. Notwithstanding the provisions of subdivision seven of this section and in lieu thereof, the retirement
board may, by adoption of a board regulation, provide for the indemnification and defense by the system
of members of the retirement board and employees of the system in accordance with section eighteen of
the public officers law. [Sub. 8 added L. 1981, ch. 277 in effect June 22, 1981.]
§ 508. Investment of funds; interest; accounts; reports. 1. The members of the retirement board
shall be the trustees of the several funds created by this article, and shall determine from time to time what
part of the moneys belonging to the retirement system shall be invested. When such board shall determine
upon the investment of any moneys or upon the conversion or sale of any securities, it shall, by resolution
duly adopted by a majority vote of the members of the board, direct the custodian to so invest the moneys
or convert or sell the securities. Investments shall be made only in securities in which the trustees of a
savings bank may invest the moneys deposited therein as provided by law except that the retirement sys­
tem shall have the authority to own any of its nominee corporations organized pursuant to subdivision
seventeen of this section. It shall be the duty of the custodian to collect the interest thereon as the same
becomes due and payable and also the principal thereof and place the same when so collected to the
credit of the retirement system. [As amended by L. 1979, ch. 523 in effect July 1, 1979.]
2. The retirement board shall annually allow regular interest on the mean amount for the preceding year
in each of the funds created by this article, excepting the expense fund. The amount so allowed shall be
payable to said funds and shall be annually credited thereto by the retirement board. All interest earned
upon the entire amount of the funds belonging to the retirement system shall be used for this purpose,
*Not renumbered by L. 1971.
14
Ed. L. § 508
unless the amount so earned is in excess of the requirements, in which case the excess amount shall be
credited to the pension accumulation fund. Any deficiency in the amount required to cover the interest
requirements of the funds, exclusive of the pension accumulation fund, shall be paid from the pension
accumulation fund. [As amended L. 1962, ch. 491; L. 1997, ch. 553 in effect September 10, 1997.]
3. Except as herein provided, no member nor employee of the retirement board shall have any interest
direct or indirect in the gains or profits of any investment made by the board nor as such directly or indi­
rectly receive any pay or emolument for his services. And no member nor employee of the said board
directly or indirectly, for himself or as an agent or partner of others, nor a corporation of which he is an
officer, stockholder or member, shall borrow any of its funds or deposits or in any manner use the same
except to make such current and necessary payments as are authorized by the board; nor shall any mem­
ber or employee of said board become an endorser or surety or become in any manner an obligor for
moneys loaned by or borrowed of the board. Nothing herein contained shall be construed to prevent a
member or an employee of the retirement board, who is also a member of the retirement system, from
borrowing from his accumulated contributions in the retirement system in accordance with section five
hundred twelve-b of this article. [As amended by L. 1968, ch. 134 in effect July 1, 1968.]
4. The retirement board shall provide for maintenance of an individual account with each member showing
the amount of the member’s contributions and the interest accumulations thereon. It shall report annually to
each member who has furnished the board with a mailing address the accumulated contributions credited to
such account together with the amount of service then credited to the member. It shall collect and keep in
convenient form such data as shall be necessary for the preparation of the required mortality and service
tables, and for the compilation of such other information as shall be required for the actuarial valuation of the
assets and liabilities of the various funds created by this article. Upon the basis of the mortality and service
experience of the members and beneficiaries of the system, the retirement board from time to time shall
adopt the tables to be used for valuation purposes and for determining the amount of annuities to be allowed
on the basis of the contributions of members. [As amended L. 1958, ch. 785 in effect July 1, 1958.]
5. At such time as the retirement board may deem it necessary and at least once each quinquennial
period, the retirement board shall have its actuary prepare a report showing a complete valuation of the pres­
ent and prospective assets and liabilities of the various funds created by this article with the exception of the
expense fund. The actuary shall make an investigation of the mortality and service experience of the mem­
bers of the retirement system and shall report fully upon its conditions as well as estimated future investment
earnings with such recommendations as he shall deem advisable for the information of the retirement board
in the proper operation of the retirement system. [As amended L. 1969, ch. 965 in effect July 1, 1969.]
6. The records of the retirement board shall be open to public inspection.
7. The retirement board shall publish annually a report showing the condition of the various funds cre­
ated by this article, certifying to the accumulated cash and securities of the funds and giving an account
of the operation of the system.
8. The retirement system may use a part of its funds, not exceeding ten per centum of its net assets,
(1) for purchasing or leasing of land within the county of Albany and the construction thereon of a suitable
office building or buildings for the transaction of the business of the retirement system and (2) for pur­
chasing or leasing of land in the cities of Albany, Binghamton, New York, Rochester and Utica and the
construction thereon of a suitable office building or buildings for purposes of lease or sale to the state
and (3) for purchasing or leasing of land in locations approved by the state university trustees and the
construction, acquisition, reconstruction, rehabilitation or improvement of suitable buildings or facilities
thereon for purposes of lease or sale to the state university construction fund, such buildings or facilities
to be used by the state university or by state-operated institutions or statutory or contract colleges under
the jurisdiction of the state university or by the students, faculty and staff of the state university or of any
such state-operated institution or statutory or contract college, and their families.
The retirement system from time to time may lease to any public agency any portion of a building con­
structed for the transaction of its business which may not be required for such purpose, upon such terms
and conditions as shall be deemed to be for the best interest of the retirement system.
Real property of the retirement system acquired or constructed pursuant to this subdivision shall be
exempt from taxation as provided in the real property tax law. [Subdivision (8) added by ch. 619, L. 1955
in effect April 22, 1955; amended L. 1956, ch. 145 in effect March 22, 1956; L. 1962, ch. 467 in effect April
14, 1962; and ch. 251 in effect April 1, 1962; L. 1981, ch. 1054 in effect November 11, 1981.]
15
Ed. L. § 508
The following is ch. 618, L. 1955 in effect April 22, 1955; amended L. 1956, ch. 145 in effect March 22, 1956.
§ 1. The superintendent of public works, with the approval of the director of the budget, is hereby authorized and empowered
to execute and deliver, to the New York state teachers retirement system, for and on behalf and in the name of the people of the
state of New York, for such good and valuable consideration as to him many seem proper and reasonable, a lease for a term not
exceeding thirty-five years of, or a quit-claim deed conveying all the right, title and interest of the people of the state of New
York in and to, any lands not actually used by any state department or agency, under his jurisdiction in the city and county of
Albany, New York, owned by the people of the state of New York, for the purpose of constructing thereon a suitable office build­
ing or buildings in accordance with the provisions of subdivision eight of section five hundred eight of the education law.
§ 2. In the event that the New York state teachers retirement system shall fail to construct an office building on such lands as
may be conveyed by deed, pursuant to subdivision eight of section five hundred eight of the education law, as added by a chapter
of the laws of nineteen hundred fifty-five, within five years from the date of the conveyance authorized by this act, or in the event
that any such building constructed thereon ceases to be used in accordance with the provisions of subdivision eight of section five
hundred eight of the education law, then and in that event such lands shall revert to the people of the state of New York with right
of re-entry thereupon, and such conveyance shall be made subject to such condition; provided, however, that as a condition prec­
edent to the exercise of such right of re-entry the state of New York shall pay to the New York state teachers retirement system an
amount equal to the purchase price of such lands, the cost of grading such lands and the value of any buildings erected thereon.
§ 3. The attorney-general of the state of New York shall pass upon the form and sufficiency and manner of execution of the deed of
conveyance and lease or leases authorized to be given under this act and the same shall not be effective unless so approved by him.
The following is ch. 619, L. 1955 in effect April 22, 1955; amended L. 1956, ch. 145 in effect March 22, 1956.
§ 1. (a) The commissioner of standards and purchase with the approval of the director of the budget, and on behalf of the
state, is hereby authorized to enter into a contract or contracts, in accordance with the provisions of this act, with the New York
state teachers retirement system, providing for the erection by the retirement system and lease by the state of a suitable office
building or buildings and appurtenances for the use of state departments and agencies, on lands owned by the retirement sys­
tem or leased from the state, situated in the city of Albany.
(b) The commissioner of standards and purchase shall arrange for the preparation of drawings, plans and specifications for
any building to be erected as provided in this act, subject to the approval of the director of the budget. The site and design of
the building shall be subject to the approval of the superintendent of public works.
(c) The contract or contracts authorized by this act shall provide for:
(1) The construction of the building to be erected, in accordance with the approved plans and specifications;
(2) leasing of the premises to the state upon completion of the construction for a term not exceeding thirty years at an annual
rental to be agreed upon, and
(3) conveyance by the retirement system of the premises to the state at the expiration of the term of the lease, without addi­
tional charge therefor.
(d) Construction contracts shall be let by the retirement system or its duly authorized agent, to the lowest responsible and
reliable bidder, after public advertisement, and the manner provided in section eight of the public buildings law.
§ 2. The commissioner of standards and purchase and the superintendent of public works are hereby authorized and empow­
ered to act as agents for the retirement system in connection with the construction of any building authorized hereunder and to
otherwise effectuate the purposes of this act.
[Subdivision 9 repealed L. 1997, ch. 553 in effect September 10, 1997.]
10. The retirement system may invest, within the limitations authorized for investments in conventional
mortgages, a part of its funds in first mortgages on real property located anywhere within the boundaries
of the United States and leased to the government of the United States, provided however, that no such
investment shall be made unless the terms of the mortgage shall provide for amortization payments in an
amount sufficient to completely amortize the loan within the period of the lease. [This subdivision added
L. 1965, ch. 510 in effect June 28, 1965; renumbered L. 1969, ch. 248.]
11. The funds of the retirement system may be invested in the purchase of promissory notes or bonds
from the farmers home administration issued in connection with the purchase or improvement of real prop­
erty and which are insured by the farmers home administration. [Added L. 1968, ch. 841 in effect June 22,
1968; renumbered L. 1969, ch. 248.] [Subdivision 12 repealed L. 1997, ch. 553 in effect September 10, 1997.]
13. Where any benefit accruing under the provisions of this article is payable to a minor, incompetent,
or any other person under a legal disability and no guardian of the property, committee or other such legal
representative is duly appointed within six months of the date the benefit accrues to such person, the
retirement board shall be authorized to adopt rules and regulations providing for a savings account to be
established for each such person to which shall be paid the amounts of such benefits due and owing to
such persons. Interest shall be credited to each savings account established pursuant to this subdivision
in the same manner and amount as is credited to the accumulated contributions of members in their
16
Ed. L. § 508
individual accounts in the annuity savings fund pursuant to this article. The funds in such accounts shall
be payable, within a reasonable time after proper notification to the system, to a guardian of the property,
committee or other such legal representative after such person is duly appointed or to the beneficiary
once the legal disability is removed. A payment made pursuant to the provisions of this subdivision shall
release the system from any liability whatsoever. [Sub. 14 added L. 1975, ch. 410 in effect July 8, 1975;
renumbered Sub. 13, L. 1980, ch. 650 in effect June 26, 1980 (also rescinds former Sub. 13 which autho­
rized a Bond Loss Reserve account).]
14. The retirement board is hereby authorized to buy securities under an agreement providing for the
repurchase thereof. The retirement board is also authorized to assign commitments to invest system
funds pursuant to an agreement providing for the subsequent purchase of such investments. The securi­
ties purchased pursuant to this subdivision shall meet the eligibility standards prescribed for such class
of investments. [Sub. 15 added L. 1976, ch. 350 in effect June 15, 1976; renumbered Sub. 14, L. 1980,
ch. 650 in effect June 26, 1980.]
15. During the period ending June thirtieth, nineteen hundred seventy-seven, the retirement board is
authorized, in order to obtain the funds necessary to make investments without the conversion or sale of
securities it holds, to borrow an amount not exceeding the amount to be invested, upon such terms and
conditions as the board, by resolution, shall approve, which terms may include the pledge of any assets of
such system as may be necessary to secure the repayment of the amount borrowed, provided that the total
amount of such borrowing at no time shall exceed five per centum of the system’s assets. [Sub. 16 added
L. 1976, ch. 350 in effect June 15, 1976; renumbered Sub. 15, L. 1980, ch. 650 in effect June 26, 1980.]
16. (a) The retirement system is authorized to photograph, microphotograph, film, record, copy, image or
otherwise reproduce all or any part of its records by any process which accurately reproduces or forms a
durable medium for reproducing any original document or record. Whenever the retirement system shall have
so reproduced such records and whenever such reproductions or media have been placed in conveniently
accessible files and provision has been made for preserving, examining and using the same, the retirement
system may cause the original record which has been so reproduced to be disposed of or destroyed.
(b) Any reproduction or reproduction from any media authorized pursuant to this subdivision shall have the
same force and effect as the originals thereof would have had and shall be deemed to be an original record for
all purposes, including introduction in evidence in all courts or administrative agencies. Duly certified or authen­
ticated copies of such reproductions shall be admitted in evidence equally with the original reproductions.
(c) A duly authorized representative of the retirement system is hereby authorized to certify to the authen­
ticity of any reproduction herein authorized and the retirement system shall make such charges therefor as
may be authorized by law. [Sub. 17, Par. (a) (b) (c) as added L. 1979, ch. 360 in effect June 28, 1979; renum­
bered Sub. 16 L. 1980, ch. 650 in effect June 26, 1980; Amended L. 1995, ch. 346 in effect July 28, 1995.]
17. Any real estate interests acquired by the retirement system pursuant to this section, or pursuant to
any other provision of law, shall be conveyed to it directly by name, or may be taken in the name of a duly
authorized nominee. The retirement system shall have the authority to organize corporations for the pur­
pose of carrying out the intent of this subdivision, and may make loans to said corporations for the pur­
pose of operating, preserving, or otherwise servicing any property being held by said corporations. [Sub.
17 added L. 1979, ch. 523 in effect July 1, 1979.]
18. Notwithstanding any other provision of this section, the retirement board shall have the power to del­
egate to one or more investment managers its authority to invest moneys belonging to the retirement system.
The term “investment managers” as used in this subdivision shall include but not be limited to independent
contractors selected by the retirement board. [Sub. 18 added L. 1982, ch. 779 in effect July 27, 1982.]
19. Whenever a statute requires that a document must be filed or moneys deposited with the system
within a prescribed period of time or by a specified date in order for a member to be eligible for service
credit or a benefit from the system the document shall be deemed filed or the moneys deposited with the
system on the day they are mailed through the United States postal service provided the mailing is by
registered or certified mail or such other equivalent service provided by the United States postal service
as the retirement board may specifically permit by rule or regulation. Notwithstanding the provisions
hereof, no such document shall be deemed filed or moneys deposited with the system on the day of mail­
ing unless actually received by the retirement system as a result of such mailing. [Sub. 19 added L. 1988,
ch. 87 in effect May 23, 1988. Amended L. 1990, ch. 504 in effect July 18, 1990; L. 1992, ch. 245 in effect
June 30, 1992; L. 2003, ch. 248 in effect June 30, 2003.]
17
Ed. L. § 508-a/509
§ 508-a. New York state teachers’ retirement system MWBE asset management and financial
institution strategy. 1. Within the discretion of the retirement board and in accordance with and subject
to its fiduciary duties and obligations as trustees of the teachers’ retirement system and to the members,
retirees and beneficiaries of such system and such other investment limitations as may be prescribed by
this chapter, the retirement board is authorized to establish on* MWBE asset management and financial
institution strategy pursuant to section four hundred twenty-three-c of the retirement and social security
law including reasonable goals for utilization of MWBE asset managers, MWBE financial institutions and
MWBE financial and professional services firms, as such terms are defined in section one hundred sev­
enty-six of the retirement and social security law which strategy shall include, but shall not be limited to,
the following objectives:
a. investing assets of the teachers’ retirement system with MWBE asset managers;
b. subject to best execution, (1) conducting trades of public equity securities with MWBE financial
institutions and (2) conducting trades of fixed-income securities through MWBE financial institutions;
c. allocating investments of assets of the teachers’ retirement system either through (1) direct invest­
ments in the equities and debt securities of MWBEs or (2) indirectly through special programs involving
MWBE asset managers; and
d. awarding contracts for accounting, banking, financial advisory, insurance, legal, research, valuation
and other financial and professional services to MWBE financial institutions and other MWBE profes­
sional services firms.
As used in this section, the terms “MWBE asset manager”, “MWBE financial institutions”, “MWBE”, “fidu­
ciary-controlled entities”, and “best execution” shall have the meanings specified in section one hundred
seventy-six of the retirement and social security law, and shall be certified in a manner consistent with the
provisions of subdivision three of section four hundred twenty-three-c of the retirement and social security law.
2. The retirement board is also authorized to:
a. periodically advertise the existence of such strategy so that MWBE asset managers, MWBE financial
institutions and other MWBE professional service firms are made aware of the opportunities made avail­
able pursuant to such strategy;
b. within sixty days of the end of each fiscal year following the effective date of this section, the retire­
ment board shall report to the governor, legislature and the chief diversity officer of the state of New York
on the participation of MWBE asset managers, MWBE financial institutions and MWBE professional ser­
vice providers in investment and brokerage transactions with or as providers of services for the teachers’
retirement system, including a comparative analysis of such activity relative to such activity with all asset
managers, financial institutions and professional service providers for the relevant period and on the
progress and success of the efforts undertaken during such period to achieve the goals of such strategy.
Each report shall be simultaneously published on the website of the teachers’ retirement system for not
less than sixty days following its release to the governor and the other recipients named above;
c. work with the other fiduciary-controlled entities to create a database of such MWBE entities; and
d. periodically, but not less than annually, hold a conference to promote such strategy in conjunction with
the other fiduciary-controlled entities. [Section 508-a added L. 2010, ch. 171 in effect October 13, 2010.]
§ 509. Statements of teachers service; determination of service creditable; service certifi­
cates. 1. Under such rules and regulations as the retirement board shall adopt, each present teacher shall
file a detailed statement of all service as a teacher and service in a similar capacity in other states rendered
by him prior to the first day of August, nineteen hundred twenty-one, for which he claims credit, and of such
other facts as the retirement board may require for the proper operation of the retirement system.
2. a. Each new entrant shall file a detailed statement of (1) service as a teacher; (2) service in other states,
territories, possessions and commonwealths of the United States, which would constitute service as a teacher
within the meaning of subdivision four of section five hundred one of this article had it been performed within
New York state rendered by him prior to so becoming a member; (3) governmental service in the state of New
York where he was a member of the New York state and local employees’ retirement system, and where such
service was credited to him in the said New York state and local employees’ retirement system; (4) service
with the New York city corrections department prior to nineteen hundred fifty-six which would constitute
*So in original. Should read “an”.
18
Ed. L. § 509
department prior to nineteen hundred fifty-six which would constitute service as a teacher within the meaning
of subdivision four of section five hundred one of this article had it been performed in the employ of a public
school in New York state; (5) such service that would have been creditable in one of the public retirement
systems of the state, as defined in subdivision twenty-three of section five hundred one of the retirement and
social security law, at the time the service was rendered, had the individual been a member of such retirement
system; (6) a statement as to the number of years on account of which he desires to contribute; and (7) such
other facts as the retirement board may require for the proper operation of the system. [Par. a. of Sub. 2
amended L. 1984, ch. 774 in effect August 3, 1984; L. 2000, ch. 552 in effect October 31, 2000.]
b. No credit shall be allowed for service which has been credited in any retirement system if the mem­
ber on or after the effective date of this paragraph withdraws his contributions to such retirement system
and terminates his membership therein during the period in which his membership in such other system
would have been valid and because of such withdrawal or termination transfer of such credit from such
other retirement system cannot be made to the New York state teachers retirement system pursuant to
section five hundred twenty-two of this article. [L. 1963, ch. 912, in effect April 30, 1963.]
c. No prior service claim will be allowed for any service for which the person is receiving a benefit or
will be entitled to receive a benefit at any future time from some other public retirement system, in this
state, in any other state or from the federal government. [L. 1962, ch. 802 in effect April 24, 1962.]
3. The retirement board shall fix and determine by appropriate rules and regulations how much service
in any year is the equivalent of a year of service, but in computing such service or in computing average
compensation, it shall credit no period of more than a month’s duration, during which a member was
absent without pay, nor shall more than one year of service be credited for all service in any calendar year.
4. Subject to the above restrictions and to such other rules and regulations as the retirement board
shall adopt, said board shall verify as soon as practicable the statement of service submitted.
5. After the member has rendered at least two full years of service since he last became a member,
upon verification of the statement of service submitted and receipt of any contribution required to be paid
by the member pursuant to paragraph a of subdivision eight of this section, the retirement board shall
credit the member with the length of such prior service as set forth in (1), (3), (4) and (5) of paragraph a
of subdivision two of this section and the aggregate length of such prior service not to exceed ten years
as set forth in (2) of paragraph a of subdivision two of this section provided that in no case shall the num­
ber of years of credited service outside the state of New York be more than the number of years of cred­
ited service within the state of New York. [Subdivision 5 amended L. 1984, ch. 774 in effect August 3,
1984; amended L. 2000, ch. 552 in effect October 31, 2000.]
6. So long as membership continues, a prior service certificate shall be final and conclusive for retire­
ment purposes as to such service unless thereafter modified by the retirement board upon application
made by the member within one year after the date of issuance or modification of a prior service certifi­
cate or upon the discovery by the retirement board of an error or fraud. When membership ceases, such
certificate shall be void. Should membership be resumed by the teacher, such teacher shall enter the
system as a new entrant, except as provided by subdivisions five and six of section five hundred eleven
of this article. [As amended L. 1973, ch. 284 in effect July 1, 1973.]
7. The total state service credited a member shall consist of the service as a teacher rendered by him
since he last became a member, and any prior service as set forth in (1), (3), (4) and (5) of paragraph a of
subdivision two of this section. The total service credited a member shall consist of the service rendered
by him as a teacher since he last became a member and all credited prior service. [Subdivision 7 amended
L. 1984, ch. 774 in effect August 3, 1984; amended L. 2000, ch. 552 in effect October 31, 2000.]
8. a. Any member of the retirement system who is credited with at least two full years of teaching ser­
vice rendered in the state since he last became a member may claim such uncredited prior service as set
forth in (2), (3), (4) and (5) of paragraph a of subdivision two of this section by paying to the retirement
board four per centum of the salaries earned for the years claimed and such uncredited prior service as
set forth in (1) of paragraph a of subdivision two of this section by paying to the retirement board the
amount he would have been required to contribute at the time such service was rendered, not to exceed
four per centum of the salaries earned for the years claimed. The amount due, if any, for such service shall
be deposited with the retirement board prior to retirement in accordance with the requirements of this
article and the regulations of the retirement board. The retirement board, upon verification of the claim
and payment made, shall credit such member with such service.
19
Ed. L. § 509
Notwithstanding any other provision of this paragraph, any member who last joined the retirement sys­
tem prior to July twenty-seventh, nineteen hundred seventy-six and who did not receive credit with the
retirement system prior to July first, nineteen hundred eighty-eight for prior service, may obtain credit for
prior service pursuant to the provisions of this section or pursuant to the provisions of subdivision b of
section four hundred forty-six of the retirement and social security law, whichever is applicable, without
making the payments required by this paragraph. [Paragraph a. amended L. 1988, ch. 272 in effect July
1, 1988; amended L. 2000, ch. 552 in effect October 31, 2000.]
b. Any member who applies for superannuation retirement and who on joining the system claimed and paid
for all his uncredited service, shall be reclassified as a “present teacher” and shall be credited with all state
teaching service rendered before the first day of August, nineteen hundred twenty-one, provided he was a
teacher on or before the first day of August, nineteen hundred twenty-one, and provided that he is credited
with at least fifteen years of teaching service rendered in the state and has not ceased teaching for a period
in excess of five years in any period of ten consecutive years since the first day of August, nineteen hundred
twenty-one, and provided that his membership has been continuous since first joining the system and that he
would have been entitled to the status of “present teacher” and to the credit for service rendered prior to the
first day of August, nineteen hundred twenty-one, had he applied for membership and claimed such credit at
the time he was given the privilege so to do. Any such member who claimed and paid for service rendered
prior to the first day of August, nineteen hundred twenty-one, shall, upon being reclassified as a “present
teacher”, have the amount so paid applied on the payment for uncredited service rendered on and after the
first day of August, nineteen hundred twenty-one, and the balance if any, shall be refunded to the member.
c. After the member retires, the next ensuing contribution of the employers, collected in the manner
provided in subdivision two of section five hundred twenty-one, shall be increased by the lump sum actu­
arial cost to the employers attributable to such prior service credit as is granted to members who retire
under the provisions of this subdivision, computed on the basis of the mortality tables and interest rate
applicable to members at the time of retirement. The proper funds shall be credited with the amount of
such contributions, and such amount of pension shall be charged to the amount so collected. [Subdivi­
sion (8) inserted by L. 1949, ch. 154 in effect July 1, 1949; Par. a of sub. 8 amended L. 1963, ch. 912 in
effect April 30, 1963; Par. b of sub. 8 amended by L. 1950, ch. 787 in effect July 1, 1950; L. 1952, ch. 817
in effect July 1, 1952, L. 1958, ch. 340 in effect March 24, 1958; L. 1960, ch. 620 in effect April 18, 1960;
L. 1964, ch. 381 in effect April 10, 1964; subdivision 9 added L. 1961, ch. 356 in effect April 6, 1961;
repealed L. 1971, ch. 724 in effect July 1, 1971; sub. 2 par. a; sub. 5; sub. 7; sub. 8 par. a and b amended
L. 1971, ch. 724 in effect July 1, 1971; Par. a of sub. 8 amended L. 1984, ch. 774 in effect August 3, 1984.]
9. No final determination made by the system with respect to benefits provided by the system, or matters
related thereto, shall be subject to review in any court of the state of New York, except as provided in article
seventy-eight of the civil practice law and rules. [Sub. 9 added L. 1982, ch. 896 in effect July 29, 1982.]
10. Notwithstanding any other provision of law to the contrary, any law insofar as and to the extent it
shall establish or affect a benefit provided by the system shall be deemed to have been in full force and
effect on the earlier of the effective date provided for in such law or the thirtieth day of June of the cal­
endar year of enactment by the legislature, unless such law expressly provides that it shall not be subject
to this subdivision. [Subdivision 10 added L. 2005, ch. 497 in effect on and after June 30, 2005.]
11. Notwithstanding any other provision of law to the contrary, a member of the retirement system
subject to this article or article fourteen or fifteen of the retirement and social security law who, subse­
quent to such member’s date of membership in the retirement system, rendered service which was cred­
ited in another public retirement system of the state but thereafter failed to make timely transfer of such
membership to the retirement system prior to the time the membership in such other public retirement
system ceased by reason of: a. insufficient service; b. withdrawal of accumulated contributions; or c.
withdrawal of membership, may obtain credit for such service on the same basis and in the same manner
as if such service had been rendered prior to such member’s date of membership in the retirement sys­
tem. [Subdivision 11 added L. 2006, ch. 675 in effect September 13, 2006.]
12. Notwithstanding any other provision of law, any member eligible to purchase credit for previous
service with a public employer pursuant to this section or to purchase credit for military service pursuant
to article twenty of the retirement and social security law, may elect to purchase any or all of such service
by executing a periodic payroll deduction agreement where and to the extent such elections are permitted
by the retirement system by rule or regulation. Such agreement shall set forth the amount of previous
20
Ed. L. § 510/511
service or military service being purchased, the estimated total cost of such service credit, and the number
of payroll periods in which such periodic payments shall be made. Such agreement shall be irrevocable,
shall not be subject to amendment or modification in any manner, and shall expire only upon completion
of payroll deductions required therein. Notwithstanding the foregoing, any member who has entered into
such a payroll deduction agreement and who terminates employment prior to the completion of the pay­
ments required therein shall be credited with any service as to which such member shall have paid the
contributions required under the terms of the agreement. [Subdivision 12 added L. 2007, ch. 627.]
§ 510. Superannuation retirement. 1. Retirement upon a superannuation allowance shall be made
under the following conditions:
a. A member who has completed twenty-five years of total credited service and who has attained the
age of sixty years or over while in service, or any member who has completed thirty-five years of total
credited service shall be retired, if he files with the retirement board a statement duly attested setting
forth at what time not less than thirty days nor more than ninety days subsequent to the execution and
filing thereof he desires such retirement. [Amended L. 1968, ch. 840 in effect July 1, 1968; L. 1972, ch.
620 in effect July 1, 1972.]
b. Any member who has attained age seventy may be retired at his own request or at the request of his
employer if he or his employer files with the retirement board a statement duly attested setting forth at
what time subsequent to the execution and filing thereof retirement is desired, and if throughout the year
immediately preceding the filing of such statement he shall have been in service as a teacher in this state.
The retirement board shall retire said member as of the date so specified or as of such other time within
thirty days thereafter as the retirement board may find advisable.*
2. Upon superannuation retirement a member shall receive a superannuation retirement allowance
which shall consist of:
a. An annuity which shall be the actuarial equivalent of his accumulated contributions at the time of his
retirement, and
b. A pension of one quarter (1/4) of his final average salary or if his total service is less than twenty-five
years, a pension of one one-hundredth (1/100) of his final average salary multiplied by the number of
years of total service, and
c. A further pension of one one-hundred fortieth (1/140) of his final average salary multiplied by the
number of years of total state service in excess of thirty-five years, and
d. If the member be a present teacher, a further pension of one one-hundred fortieth (1/140) of his final
average salary multiplied by the number of years of total service certified on his prior service certificate, and
e. If the member has contributed pursuant to paragraph c of subdivision three of section five hundred six­
teen, a further pension of one one-hundred twentieth (1/120) of his final average salary for each year of total
service in excess of twenty-five years but not in excess of thirty-five years, nor in excess of the number of
years for which credit is allowed under paragraph d of subdivision three of section five hundred sixteen, and
f. A further pension, of such amount as shall be required to bring the total retirement allowance of
members with twenty-five or more years of state service up to four hundred dollars per annum, and
g. The provision of paragraph (c) of subdivision two of this section shall apply only to members retiring
on and after the date on which paragraph (c) of subdivision two of this section becomes operative. [Par.
(c) added L. 1955, ch. 373 in effect April 15, 1955; extended to July 1, 1965, L. 1959, ch. 42 in effect
March 10, 1959; made permanent L. 1962, ch. 569 in effect April 18, 1962; Age 60 eliminated by L. 1966,
ch. 203 in effect April 8, 1966. Par. (e) added L. 1956, ch. 730 in effect April 18, 1956.]
§ 511. Disability retirement. 1. Retirement on account of disability shall be made under the follow­
ing conditions: A member who has completed at least fifteen years of total state service or a member who
is a present teacher and who has completed twenty years of service, the last ten of which were state
service, may be retired on account of disability either upon the application of his employer or upon his
own application or that of a person acting in his behalf, if the retirement board, after a medical examina­
tion of said member by a physician or physicians designated by said board shall determine upon the
*Superseded by Article 14-A, Ret. & Soc. Sec. Law and Section 296, Executive Law, enacted L. 1984, ch. 296 in
effect Jan. 1, 1985.
21
Ed. L. § 511
basis of a report submitted by said physician or physicians that the said member is physically or mentally
incapacitated for the performance of duty, that he was incapacitated at the time he ceased teaching and
that said member ought to be retired. [As amended L. 1972, ch. 427 in effect July 1, 1972.]
2. On retirement for disability, a member shall receive a superannuation retirement allowance if his
state service is twenty-five or more years and he has attained age sixty or if his total service is thirty-five
or more years; otherwise, he shall receive a disability retirement allowance which shall consist of:
a. An annuity which shall be the actuarial equivalent of his accumulated contributions at the time of his
retirement; and
b. A pension of one-fifth (1/5) of his final average salary, with the exception that in no case shall the
rate of such pension exceed four-fifths (4/5) of the rate of pension to which he might have been entitled
had retirement been deferred until the age of seventy as provided under paragraph b of subdivision one
of section five hundred ten; and
c. If he be a present teacher, a further pension of one one-hundred fortieth (1/140) of his final average
salary multiplied by the number of years of total service certified on his prior service certificate; and
d. If the member has contributed pursuant to paragraph c of subdivision three of section five hundred six­
teen, a pension, in lieu of the pension provided under paragraph b of subdivision two of this section, of ninetenths (9/10) of one one-hundredth (1/100) of his final average salary multiplied by the number of years of total
service not in excess of twenty-five years, but not less than twenty (20) per centum of his final average salary,
plus nine-tenths (9/10) of one one-hundred twentieth (1/120) of his final average salary multiplied by the num­
ber of years of total service in excess of twenty-five years but not in excess of thirty-five years, nor in excess
of the number of years for which credit is allowed under paragraph d of subdivision three of section five hun­
dred sixteen. [Subdivision (2) amended L. 1956, ch. 730 by adding par. (d) in effect April 18, 1956.]
3. On and after July first, nineteen hundred seventy a member who has credit for ten years of full time
state service, including at least two years of such service rendered subsequent to June thirtieth, nineteen
hundred sixty-seven and subsequent to the date upon which he last joined the retirement system and
who is under age fifty-five, and otherwise meets the requirements of subdivision one of this section, may
be retired on account of disability by the filing of an application with the retirement board as required by
subdivision one of this section. Upon such retirement, he shall receive, in lieu of the retirement allowance
specified in subdivision two of this section and the pension for increased-take-home-pay otherwise
authorized in this article, a disability retirement pension consisting of:
a. a pension of one-sixtieth of his final average salary multiplied by the number of his years of credited
state service rendered after June thirtieth, nineteen hundred fifty-nine and
b. a pension of one-seventieth of his final average salary multiplied by the number of his years of cred­
ited state service rendered before July first, nineteen hundred fifty-nine and
c. a pension of one one-hundred twentieth of his final average salary multiplied by the number of his
years of credited out-of-state service.
In no event shall the disability pension be less than one-sixtieth of the member’s final average salary
multiplied by the number of years of total service, not to exceed twenty, which would have been credited
to the member had he remained in service until age sixty; provided, however, that for members who are
credited with service prior to July first, nineteen hundred fifty-nine, the minimum pension as so deter­
mined shall be reduced by one quarter of one per cent of final average salary multiplied by the number of
his years of service prior to July first, nineteen hundred fifty-nine.
On retirement for disability, in addition to the pension hereinabove provided, a member shall receive an
annuity which shall be the actuarial equivalent of his accumulated contributions at the time of his retirement.
On and after July first, nineteen hundred seventy-seven, a member who is age fifty-five or over and
who otherwise meets the requirements of this subdivision, shall receive on retirement for disability the
retirement allowance he would have received had he filed for a service retirement.
On or after October sixteenth, nineteen hundred ninety-two, the disability pension shall in no event be
less than:
a. in the case of a member under age sixty, the greater of (i) one-sixtieth of the member’s final average
salary multiplied by the number of years of total service, which formula is to be used if the pension so
computed exceeds one-third of the member’s final average salary, or (ii) one-sixtieth of the member’s final
average salary multiplied by the number of years of total service, not to exceed twenty, which would have
been credited to the member had he remained in service until age sixty; or
22
Ed. L. § 511
b. in the case of a member age sixty or over, one-sixtieth of the member’s final average salary multi­
plied by the number of years of total service.
Notwithstanding anything to the contrary in this article, any member who shall receive a disability
retirement allowance pursuant to this sub-division shall be required once each year or at such other inter­
val as the retirement board may determine to undergo a medical examination by a physician or physicians
designated by the retirement board. Should any disability beneficiary refuse to submit to a medical
examination, his retirement allowance shall be discontinued until his withdrawal of such refusal, and
should refusal continue for one year all rights in and to his pension shall be forfeited.
In the case of persons who last became members on or after July first, nineteen hundred seventythree, the provisions of this subdivision shall apply only until July first, nineteen hundred seventy-four.
[Sub. 3 inserted by L. 1970, ch. 141 in effect July 1, 1970; as amended L. 1971, ch. 622 in effect July 1,
1971; L. 1972, ch. 427 in effect July 1, 1972; extended L. 1972, ch. 345 in effect July 1, 1972; L. 1973,
ch. 1046 in effect July 31, 1973; L. 1977, ch. 313 in effect July 1, 1977.]* Extended to July 1, 1976 by Sec.
480 Ret. & Soc. Sec. Law added L. 1974, ch. 510 in effect May 23, 1974; to July 1, 1977, L. 1976, ch. 491
in effect July 1, 1976; to July 1, 1978, L. 1977, ch. 347 in effect June 28, 1977; to July 1, 1979, L. 1978,
ch. 464 in effect June 30, 1978; to July 1, 1981, L. 1979, ch. 321 in effect June 28, 1979; to July 1, 1983,
L. 1981, ch. 381 in effect June 30, 1981; to July 1, 1985, L. 1983, ch. 413 in effect June 30, 1983; to July
1, 1987, L. 1985, ch. 284 in effect June 30, 1985; to July 1, 1989, L. 1987, ch. 203 in effect June 30, 1987;
to July 1, 1991, L. 1989, ch. 236 in effect July 1, 1989; to July 1, 1993, L. 1991, ch. 196 in effect June 28,
1991; to July 1, 1995, L. 1993, ch. 122 in effect June 21, 1993.
4. Once each year or at such other interval as the retirement board may determine, following the retire­
ment of a teacher who joined the New York state teachers retirement system on or after July first, nine­
teen hundred sixty-one, on a disability allowance, or once each year during the first five years following
the retirement of the teacher who joined the New York state teachers retirement system prior to July first,
nineteen hundred sixty-one, on a disability allowance the retirement board may, and upon his application
shall, require any disability beneficiary to undergo medical examination by a physician or physicians des­
ignated by the retirement board. Should any disability beneficiary refuse to submit to a medical examina­
tion, his retirement allowance shall be discontinued until his withdrawal of such refusal, and should such
refusal continue for one year, all his rights in and to his pension shall be forfeited. [Subdivision (4)
amended L. 1961, ch. 628 in effect July 1, 1961; L. 1972, ch. 427 in effect July 1, 1972.]
5. Should the physician or physicians designated by the retirement board report and certify to the
retirement board that such disability beneficiary is engaged in or is able to engage in a gainful occupation
paying more than the difference between his retirement allowance and his final average salary, and should
the retirement board concur in such report, then the amount of his pension shall be reduced to an amount
which, when added to the amount earnable by him, together with his annuity shall equal the amount of
his final average salary. Should his earning capacity be later changed, then the amount of his pension
may be further altered; provided, that the new pension shall not exceed the amount of the pension origi­
nally granted nor an amount which when added to the amount earned by the beneficiary, together with
his annuity equals the amount of his final average salary. A beneficiary restored to active service at a sal­
ary less than the final average salary or upon the basis of which he was retired shall not become a mem­
ber of the retirement system while receiving a reduced pension. Notwithstanding any other provisions of
this article, the term “final average salary” as used in this subdivision four*, shall mean either “final aver­
age salary” as defined by subdivision eleven of section five hundred one, or the maximum salary or com­
pensation which the retired member currently would be receiving in the position from which he was last
retired for disability, if he had not been so retired, whichever is greater, provided, however, that if the
position from which he was so retired has been abolished, the retirement board, upon the basis of salary
or compensation currently paid by the retired member’s last employer to persons in similar or comparable
position, shall determine, for the purposes of this subdivision four, the maximum amount of salary or
compensation which such retired member currently would be receiving in such position. [Subdivision (5)
amended by L. 1950, ch. 232 in effect March 28, 1950; L. 1953, ch. 635; L. 1954, ch. 25; L. 1955, ch. 35;
L. 1956, ch. 45; L. 1957, ch. 356; L. 1958, ch. 111; L. 1959, ch. 153; L. 1960, ch. 12; L. 1961, ch. 628; L.
1962, ch. 181 in effect March 20, 1962.]
*Should be 5—not changed when law amended.
23
Ed. L. § 511
6. Should a disability beneficiary be restored to active service at a salary as great as his final average
salary, his retirement allowance shall cease, and he shall again become a member of the retirement sys­
tem, and his annuity reserve shall be transferred from the annuity reserve fund to the annuity savings fund
and credited to his individual account as a part of his accumulated contributions in the latter fund, and
he shall contribute to the said fund thereafter in the same manner and at the same rate as he paid prior
to his disability. His prior service certificate on the basis of which his service was computed at the time
of his retirement shall be renewed and shall again be in full force and effect, and in addition, upon his
subsequent retirement, he shall be credited with all his service as a member subsequent to the period
covered by his prior service certificate.
7. The retirement board shall adopt appropriate rules and regulations providing for the reimbursement
of reasonable expenses actually incurred by a member in attending medical examinations by physicians
designated by the retirement board pursuant to this section. After determining the reasonableness thereof,
the retirement board shall approve payment of such expenses from the expense fund. [Sub. 3, 4, 5 renum­
bered 4, 5, 6 L. 1970, ch. 141 in effect July 1, 1970; Sub. 7 added L. 1972, ch. 427 in effect July 1, 1972.]
8. a. Notwithstanding any other provision of law to the contrary, a member who has applied for disability
retirement pursuant to this section, or, in the case of a member subject to article fifteen of the retirement
and social security law, pursuant to section six hundred five of such law and has validly elected the appli­
cable optional allowance specified in paragraph e of this subdivision and is otherwise eligible to retire for
disability pursuant to the provisions of this section shall be entitled to the benefits of this subdivision in
lieu of any pre-retirement death benefit which otherwise would have been payable, but for the operation
of this subdivision. Such member shall be deemed to have elected the benefits of this subdivision unless
the member shall have indicated in a manner prescribed by the retirement board that the member does not
wish to avail himself of such benefits. [Par. a amended L. 1996, ch. 547 in effect August 8, 1996.]
b. In the event such member dies, and such application for disability retirement has not become effec­
tive and has not been rejected, and it is determined by the retirement board, upon recommendation of the
medical board, that the physical or mental incapacitation specified in such application was directly related
to the cause of the member’s death, such application shall be deemed approved by the retirement board,
effective one day prior to the date of the member’s death. In such event, the optional allowance elected
by such member shall be effective and no pre-retirement death benefit shall be payable.
c. In the event no optional allowance specified in paragraph e of this subdivision was elected by the
member, or it is determined by the retirement board, upon recommendation of the medical board, that the
physical or mental incapacitation specified in such application was not directly related to the cause of the
member’s death, this subdivision shall not apply and the applicable pre-retirement death benefit, if any,
shall be payable.
d. If a member satisfying the provisions of paragraph a of this subdivision is, at the time the member
files an application for disability retirement, eligible to retire for service under this article, the member may
simultaneously apply for service retirement, provided the member indicates the application for disability
retirement is without prejudice to the member’s application for service retirement. Upon retirement for
service, the member’s application for disability retirement shall be deemed cancelled.
e. An eligible optional allowance for the purposes of this subdivision shall only include Option one and
Option four pursuant to section five hundred thirteen of this article in the case of a member who has
applied for disability retirement pursuant to this section, and the alternative option pursuant to subdivi­
sion a-one of section six hundred ten of the retirement and social security law in the case of a member
who has applied for disability retirement pursuant to section six hundred five of such law, provided that
in the case of Option four and the alternative option, the optional allowance elected by the member must
provide only for the payment upon the member’s death of a lump sum and such lump sum must be greater
in amount than the amount of the death benefit, if any, which would have been paid but for the operation
of this subdivision. [Par. e amended L. 1996, ch. 547 in effect August 8, 1996.]
f. The retirement board is authorized to adopt such rules and regulations as it deems necessary to
implement the provisions of this section. [Subdivision 8 added L. 1995, ch. 268 in effect October 24, 1995.]
9. a. Any law to the contrary notwithstanding, a member who satisfies the requirements of paragraph
B of this subdivision and is otherwise eligible (disregarding any service requirement) to retire for disability
pursuant to this section or section five hundred six or six hundred five of the retirement and social secu­
rity law, as applicable, may elect to receive a benefit equal to the death benefit which would have been
24
Ed. L. § 511-a
paid, had such member died on the member’s last day on the payroll in full pay status, pursuant to sec­
tion five hundred twelve of this article or section four hundred forty-eight, five hundred eight or six hun­
dred six of the retirement and social security law, as applicable.
b. To be eligible for the benefit provided in paragraph a of this subdivision, a member must have been
determined by the system to have (i) a terminal illness resulting in a life expectancy of no more than
twelve months, or (ii) a medical condition of a long continued and indefinite duration requiring extraordi­
nary care or treatment regardless of life expectancy.
c. The benefit provided in paragraph a of this subdivision shall be in lieu of any disability benefit to
which the member may otherwise be entitled. A member who is otherwise eligible to retire for disability
must elect the benefit provided in paragraph a of this subdivision no later than the thirtieth day following
the day on which (i) the system notifies the member that the member has been retired for disability, or (ii)
the member is first eligible to commence receiving a disability retirement benefit, whichever is later. Such
election, when made, shall be irrevocable.
d. Except as provided in this paragraph, a member electing the benefit provided in paragraph a of this
subdivision shall for all purposes be deemed to have retired for disability. Notwithstanding the foregoing,
should a member who has elected the benefit provided in paragraph a of this subdivision thereafter be
restored to active service and again become a member of the system,
(i) No death benefit shall be payable pursuant to section five hundred twelve of this article or section
four hundred forty-eight, five hundred eight or six hundred six of the retirement and social security law,
as applicable in the event of the member’s subsequent death, and
(ii) Unless such member shall have rendered five years of credited service since last becoming a mem­
ber of the system, any retirement benefit to which such member may thereafter become entitled shall be
reduced by the actuarial value of the benefit paid pursuant to paragraph a of this subdivision (less the
actuarial value of any applicable post-retirement death benefit which would have been available, but for
this paragraph).
e. The retirement board is authorized to adopt such rules and regulations as it may deem necessary to imple­
ment the provisions of this subdivision. [Subdivision 9 added L. 1998, ch. 616 in effect October 13, 1998.]
§ 511-a. Special service retirement. 1. Retirement upon a special service retirement allowance
shall be made under the following conditions: Any member, by written notice duly acknowledged and filed
with the retirement board before the first day of July, nineteen hundred sixty-seven, or within two years
after he last became a member, whichever is later, may elect to contribute pursuant to this section on the
basis of retirement at an age within five years of the age when he would be eligible for superannuation
retirement as provided under subdivision one of section five hundred ten, but not before age fifty-five.
After such election the rate of deduction from the earnable compensation of the contributor shall be six
and one-half per centum if his normal rate as provided under section five hundred sixteen is four per
centum, and shall be eight per centum if such normal rate is five per centum. Where a member elects to
contribute pursuant to this section, contributions at such higher rate shall be made from the first day of
July, nineteen hundred sixty-seven, or from the first of the month following the expiration of thirty days
subsequent to the filing of his election, whichever is later. If, at that time of retirement, the member’s
accumulated contributions are insufficient to provide an annuity equal to the pension provided under
paragraph b of subdivision four of this section, he shall have the privilege of paying into the retirement
system by a single payment the amount required in addition to his accumulated contributions to provide
an annuity equal to said pension. [As amended by L. 1952, ch. 82 in effect March 4, 1952; L. 1954, ch.
119 in effect March 15, 1954; L. 1955, ch. 525 in effect April 20, 1955; L. 1958, ch. 186 in effect March
14, 1958; L. 1959, ch. 109; extended to July 1, 1961, L. 1961, ch. 135; extended to July 1, 1963, L. 1963,
ch. 75; extended to July 1, 1965, L. 1965, ch. 415; extended to July 1, 1967, L. 1967, ch. 196.]
2. One year or more after the filing thereof, a member may withdraw his election to contribute pursuant
to this section on the basis of special service retirement. Such withdrawal shall be by written notice duly
acknowledged and filed with the retirement board. Such member thereafter shall contribute on the basis
of his rate of normal contribution. Such member, upon application at any time prior to retirement and with
the approval of the retirement board, shall be entitled to a refund of the amount of his contributions and
regular interest thereon, which is in excess of the amount of accumulated contributions which he would
then have to his credit had he been contributing on the basis of his rate of normal contribution.
25
Ed. L. § 512
3. Any member electing to contribute towards a special service retirement allowance under the provi­
sions of this section, who has attained age fifty-five or over while in service shall be eligible to retire at
any time within five years before the date he would be eligible for superannuation retirement as provided
under subdivision one of section five hundred ten, if he files with the retirement board a statement duly
attested setting forth at what time not less than thirty days nor more than ninety days subsequent to the
execution and filing thereof he desires such retirement. [As amended by L. 1953, ch. 635 in effect April
13, 1953; L. 1972, ch. 620 in effect July 1, 1972.]
4. Upon special service retirement, a member shall receive a special service retirement allowance
which shall consist of:
a. An annuity which shall be the actuarial equivalent of his accumulated contributions at the time of his
retirement, and
b. A pension of one quarter (1/4) of his final average salary or if his total service is less than twenty-five
years, a pension of one one-hundredth (1/100) of his final average salary multiplied by the number of
years of total service, and
c. If the member be a present teacher, a further pension of one one-hundred fortieth (1/140) of his final
average salary multiplied by the number of years of total service certified on his prior service certificate, and
d. If the member has contributed pursuant to paragraph c of subdivision three of section five hundred
sixteen, a further pension of one one-hundred twentieth (1/120) of his final average salary multiplied by
the number of years of total service in excess of twenty-five years but not in excess of thirty-five years,
nor in excess of the number of years for which credit is allowed under paragraph d of subdivision three
of section five hundred sixteen. [Section 511-a L. 1948, ch. 717, repealed and reenacted by L. 1950, ch.
788 in effect April 19, 1950; par. (d) added L. 1956, ch. 730 in effect April 18, 1956.]
§ 512. Withdrawal and death benefits. Benefits upon withdrawal and death shall be payable as
follows:
a. A member who withdraws from service or ceases to be a teacher for any cause other than death or
retirement shall be paid on demand the accumulated contributions standing to the credit of his individual
account in the annuity savings fund. A member who has no accumulated contributions credited to his
individual account in the annuity savings fund and who ceases to be a teacher for any cause other than
death or retirement may withdraw from membership in the system by filing a notice of withdrawal with the
system pursuant to rules and regulations adopted by the retirement board.
b. 1. Should a contributor die before retirement, his accumulated contributions shall be paid to his estate
or to such person as he shall have nominated to receive such benefit. In the event such designated benefi­
ciary does not survive him, or if he shall not have so designated a beneficiary, such benefit shall be payable
to the deceased member’s estate or as provided in section one hundred three-a of the decedent estate law.
Such nomination must be by written designation duly executed and filed with the retirement board.
2. In addition to the return of accumulated contributions, a death benefit also shall be payable upon
the death of a member who dies before the effective date of his retirement, and was in service upon which
his membership was based when he died or was on the payroll in such service and paid within a period
of twelve months prior to his death and had not been otherwise gainfully employed since he ceased to be
on such payroll or if, during the period that membership is valid, the retirement board shall determine to
its satisfaction that said member was physically or mentally incapacitated for the performance of duty at
the time he ceased to be on the payroll in such service and that he had been so incapacitated and had
not been otherwise gainfully employed since he ceased to be on such payroll, provided he had credit for
one or more years of service while actually a member. The amount of death benefit shall be computed by
multiplying one twelfth of the compensation earnable by such member during his last twelve months of
service while a member by the number of years, not to exceed twelve, of his total credit for service as a
teacher in this state. Where the member has more than twelve years of credited service as a teacher in
this state and when his death occurs on or after July first, nineteen hundred sixty-one, and before July
first, nineteen hundred seventy-four, there shall be added to such benefit one twenty-fourth of such com­
pensation multiplied by the number of years in excess of twelve, but not to exceed twenty-four such
years, of his total credit for service as a teacher in the state. The death benefit shall be paid to such per­
son as he shall have nominated to receive such benefit. In the event such designated beneficiary does
not survive him, or if he shall not have so designated a beneficiary, such benefit shall be payable to the
26
Ed. L. § 512
deceased member’s estate or as provided in section one hundred three-a of the decedent estate law.
Such nomination must be by written designation duly executed and filed with the retirement board. The
provisions of this paragraph two of subdivision b of this section shall apply only to deaths occurring on
and after July first, nineteen hundred fifty-nine. [Subdivision (b) amended L. 1954, ch. 641; L. 1959, ch.
19; L. 1961, ch. 928 in effect July 1, 1961; L. 1962, ch. 95 in effect July 1, 1962; L. 1963, ch. 791 in effect
April 26, 1963; L. 1963, ch. 840 in effect April 30, 1963; L. 1964, ch. 372 in effect July 1, 1964; L. 1965,
ch. 86 in effect July 1, 1965; L. 1966, ch. 113 in effect July 1, 1966; L. 1967, ch. 162 in effect July 1, 1967;
L. 1968, ch. 539 in effect July 1, 1968; L. 1969, ch. 728 in effect July 1, 1969; L. 1970, ch. 857 in effect
July 1, 1970; L. 1971, ch. 622 in effect July 1, 1971; L. 1972, ch. 345 in effect July 1, 1972; L. 1973, ch.
1046 in effect July 31, 1973; Sub. (a) amended L. 1976, ch. 219 in effect May 26, 1976. Extended by Sec.
480 Ret. & Soc. Sec. Law, refer to Sec. 480 for amendments.]
3. Notwithstanding any other provisions of this article or any rules or regulations adopted thereunder
by the retirement board, the death benefit payable pursuant to paragraph two of this subdivision, in the
case of a member who dies after having become eligible to apply and be retired for special service or
superannuation pursuant to the provisions of this article, shall be increased by the amount, if any, that
the actuarial equivalent of the pension portion of his retirement allowance, computed as if he had been
retired on the day immediately preceding his death, and computed in accordance with the provisions of
subdivision two of section five hundred ten and subdivision four of section five hundred eleven-a of this
article, exceeds the amount of the death benefit otherwise payable pursuant to paragraph two of this
subdivision. The provisions of this paragraph three of subdivision b of this section shall apply only to
deaths occurring after the date on which said paragraph three becomes operative and prior to July first,
nineteen hundred seventy-four.* [Par. (3) added to sub. (b) L. 1963, ch. 750 in effect April 23, 1963;
amended L. 1964, ch. 372 in effect July 1, 1964; L. 1965, ch. 86 in effect July 1, 1965, L. 1966, ch. 113
in effect July 1, 1966; L. 1967, ch. 162 in effect July 1, 1967; L. 1968, ch. 539 and ch. 1083 in effect July
1, 1968; L. 1969, ch. 732 in effect July 1, 1969; L. 1971, ch. 622 in effect July 1, 1971; L. 1972, ch. 345
in effect July 1, 1972; L. 1973, ch. 1046 in effect July 31, 1973. Extended by Sec. 480 Ret. & Soc. Sec.
Law, refer to Sec. 480 for amendments.]
4. Notwithstanding any other provision of this article, the requirement of one or more years of credited
service, as set forth in paragraph two of this subdivision, shall be deemed to have been satisfied by any
member who has credit for three or more months of service rendered since last becoming a member. The
provisions of this paragraph shall apply only to deaths occurring after June thirtieth, nineteen hundred
seventy and before July first, nineteen hundred seventy-five. [Extended by Sec. 480 Ret. & Soc. Sec. Law,
refer to Sec. 480 for amendments.]
5. Notwithstanding any other provision of this article, the death benefit payable pursuant to paragraph
two of this subdivision shall be increased by the excess, if any, of the greater of a or b over the sum of c
and d, where a, b, c, and d are as set forth hereunder:
a. One-twelfth of the member’s compensation multiplied by the number of years, not to exceed thirtysix, of his total credited state service.
b. The lesser of three times the member’s compensation or twenty thousand dollars. [Amended L.
2005, ch. 559 effective on and after October 16, 1992.]
c. The death benefit which, in accordance with the provisions of paragraph two of this subdivision, is
payable in addition to the return of accumulated contributions.
d. The reserve for increased-take-home-pay.
The term “compensation”, as used in this sub-paragraph, shall mean (1) in the case of a member who
has credit for one or more years of service rendered since last becoming a member, the compensation
earned by such member during his last twelve months of service, and (2) in the case of a member who
has credit for less than one year of service rendered since last becoming a member, it shall mean his
annual rate of compensation at the time of his death. The provisions of this paragraph shall apply only to
deaths occurring after June thirtieth, nineteen hundred seventy and before July first, nineteen hundred
seventy-five. The additional death benefits payable hereunder shall be construed as being payable under
paragraph two of this subdivision for the purpose of computing benefits payable under paragraph three
of this subdivision. [Paragraphs 4 and 5 added to Sub. b. L 1970, ch. 141 in effect July 1, 1970; as
amended L. 1971, ch. 622 in effect July 1, 1971; L. 1972, ch. 345 in effect July 1, 1972; L. 1973, ch. 1046
in effect July 31, 1973. Extended by Sec. 480 Ret. & Soc. Sec. Law, refer to Sec. 480 for amendments.]
27
Ed. L. § 512
c. The member or, within ninety days after his death, the person nominated by him to receive any ben­
efit payable on his account, may file with the retirement board a written designation, duly executed, pro­
viding that such benefit shall be paid in the form of an annuity to the person so nominated. Such annuity
shall be determined as the actuarial equivalent of the benefit otherwise payable, on the basis of the inter­
est rate and the mortality tables adopted by the retirement board for use in the calculations of such annui­
ties. Such annuity shall be payable throughout the life of the person so nominated, with no payments at
his death unless the member or, within ninety days after his death, the person nominated by him to
receive his benefit, shall elect to have the actuarial equivalent of such annuity paid in the form of a
reduced annuity payable for life with the provision that if the person nominated should die before the
annuity payments received by him are equal to such actuarial equivalent, the balance thereof shall be
paid in a lump sum to such beneficiary’s estate or to such person as such member or his nominee shall
have designated. Such designation of a beneficiary to receive such benefit may be made or changed at
any time by the person who made it. Such election or change shall be made by written designation duly
executed and filed with the retirement board. Notwithstanding the foregoing provisions, the retirement
board reserves the right to pay any benefit in the form of a lump sum payment if the annuity determined
as the actuarial equivalent of the benefit otherwise payable is less than one-hundred dollars per month.
[Section 512 amended by inserting sub. (c) L. 1950, ch. 230 in effect March 28, 1950; L. 1952, ch. 83 in
effect March 4, 1952; L. 1955, ch. 157 in effect March 25, 1955; L. 1956, ch. 213 in effect April 2, 1956;
L. 1960, ch. 62 in effect Feb. 16, 1960; L. 1989, ch. 172 in effect June 19, 1989.]
d. 1. The retirement board may adopt rules and regulations providing that a trustee of an inter vivos or
testamentary trust shall be eligible to be nominated to receive a lump sum benefit pursuant to subdivision
b of this section.
2. Any proceeds received by a trustee under this section shall not be subject to the debts of the mem­
ber or to transfer or estate taxes to any greater extent than if such proceeds were payable to the benefi­
ciaries named in the trust and not to the estate of the member.
3. A payment made in good faith under this section to either a designated trustee of an inter vivos trust,
a successor trustee of an inter vivos trust who provides a copy of his appointment or a trustee of succes­
sor trustee of a testamentary trust who provides a copy of the letters of trusteeship shall be a complete
discharge to the system to the extent of the payment.
4. If no qualified trustee claims the proceeds within eighteen months after the death of the member, or
if satisfactory evidence is furnished within such period showing that there is or will be no trustee to
receive the proceeds, payment shall be made to the deceased member’s estate. [Subdivision (d) added
L. 1969, ch. 211 in effect April 25, 1969.]
e. Notwithstanding any other provision of law, a member with ten or more years of credited service in
such system who dies before a retirement benefit becomes payable and who is otherwise not entitled to
a death benefit from the retirement system shall be deemed to have died on the last day that he or she
was in service upon which his or her membership was based for purposes of eligibility for the payment of
a death benefit pursuant to the provisions of this section. The death benefit payable in such case shall be
one-half of that which would have been payable had such member died on the last day that service was
rendered. [Subdivision e added L. 1998, ch. 388 in effect on and after January 1, 1997.]
f. Notwithstanding the provisions of any other law to the contrary and solely for the purpose of deter­
mining eligibility for the death benefit payable pursuant to this section, a person subject to this section
shall be considered to have died while in teaching service provided such person was in such service at
the time he or she was ordered to active duty pursuant to Title 10 of the United States Code, with the
armed forces of the United States or to service in the uniformed services pursuant to Chapter 43 of Title
38 of the United States Code and died while on such active duty or service in the uniformed services on
or after June fourteenth, two thousand five. Provided, further, that any such person ordered to active duty
pursuant to Title 10 of the United States Code, with the armed forces of the United States or to service
in the uniformed servicers* pursuant to Chapter 43 of Title 38 of the United States Code who died prior
to rendering the minimum amount of service necessary to be eligible for this benefit shall be considered
to have satisfied the minimum service requirement. [Subdivision f added L. 2005, ch. 105 in effect June
14, 2005; as amended L. 2011, ch. 582 in effect September 23, 2011.]
*So in original. Should read “services”.
28
Ed. L. § 512-a
g. Notwithstanding any other provision of law to the contrary, any member of the retirement system
subject to article fourteen or fifteen of the retirement and social security law who has permanently ceased
teaching shall have the right to elect the return of his or her accumulated contributions and thereby ter­
minate his or her membership in the retirement system without regard to the amount of service to his or
her credit, provided a public employee retirement system in another state has certified in a manner sat­
isfactory to the system that such member is a member of such other retirement system, has at least five
years of retirement credit in such other system, and is eligible, upon the termination of his or her member­
ship in the system, to obtain retirement credit in such other retirement system for the service which has
been credited to his or her membership in the system. Upon refund of such accumulated contributions,
any and all obligations of the retirement system to such member shall be totally discharged. The retire­
ment board is authorized to adopt such rules and regulations as may be necessary to implement this
subdivision. [Subdivision g added L. 2011, ch. 553 in effect September 23, 2011.]
§ 512-a. Deferred retirement. 1. Any member, who discontinues service other than by death or
retirement, and who is credited with at least fifteen years of teaching service rendered in the state, by
written notice duly acknowledged and filed with the retirement board at any time before his membership
would otherwise terminate pursuant to section five hundred three of this article, may elect, in lieu of the
return of his accumulated contributions pursuant to section five hundred twelve of this article, to continue
membership with the privilege of applying for retirement pursuant to this section on or after the date he
would first be eligible for retirement had he remained in service but in no case prior to the date he attains
age sixty. Any member, who discontinues service other than by death or retirement on or after June thir­
tieth, nineteen hundred sixty-five, and who is credited with at least ten years of teaching service rendered
in the state, by written notice duly acknowledged and filed with the retirement board at any time before
his membership would otherwise terminate pursuant to section five hundred three of this article, may
elect, in lieu of the return of his accumulated contributions pursuant to section five hundred twelve of this
article, to continue membership with the privilege of applying for retirement pursuant to this section on
or after the date he would first be eligible for retirement had he remained in service but in no case prior
to the date he attains age fifty-five; provided, that in the case of persons who last became members on
or after July first, nineteen hundred seventy-three, the provisions of this paragraph shall apply only until
July first, nineteen hundred seventy-four.* [Subdivision (1) amended L. 1965, ch. 680 in effect July 1,
1965; L. 1966, ch. 32 in effect Mar. 15, 1966; L. 1967, ch. 229 in effect April 10, 1967; L. 1968, ch. 59 in
effect Mar. 19, 1968; L. 1969, ch. 308 in effect April 27, 1969; L. 1970, ch. 857 in effect July 1, 1970; L.
1971, ch. 622 in effect July 1, 1971; L. 1972, ch. 345 in effect July 1, 1972; L. 1973, ch. 1046 in effect
July 31, 1973. Extended by Sec. 480 Ret. & Soc. Sec. Law, refer to Sec. 480 for amendments.]
2. The retirement allowance for a member who has made the election pursuant to subdivision one of
this section shall consist of (a) an annuity which shall be the actuarial equivalent of such member’s accu­
mulated contributions at the time of retirement and (b) a pension of one one-hundred fortieth (1/140) of
final average salary multiplied by the total number of years of credited service as of the date of discon­
tinuing service.
3. Any member who discontinues service other than by death or retirement on or after June thirtieth,
nineteen hundred seventy and who is credited with at least ten years of full time teaching service ren­
dered in the state, at least two of which were rendered since the date he last joined the retirement system
and subsequent to June thirtieth, nineteen hundred sixty-seven, by written notice duly acknowledged and
filed with the retirement board at any time before his membership would otherwise terminate pursuant to
section five hundred three of this article, may elect, in lieu of the return of his accumulated contributions
pursuant to section five hundred twelve of this article, to continue membership with the privilege of apply­
ing for retirement pursuant to this subdivision on or after the date he attains age fifty-five. The pension
for a member who has made the election pursuant to this subdivision shall be computed in accordance
with the procedures set forth in subdivision four of section five hundred thirty-five of this article, unless
the member has been credited with at least twenty years of full time New York state service, in which
event his pension shall be computed in accordance with subdivisions two and three of the
aforementioned section. In no event, however, shall the pension so computed exceed seventy-five per
*So in original. [Evidently should read “or”.]
29
Ed. L. § 512-a
cent of the member’s final average salary. In addition to the pension provided by this subdivision, the
member shall receive an annuity which shall be the actuarial equivalent of his accumulated contributions
at the time of his retirement. In the case of persons who last became members on or after July first, nine­
teen hundred seventy-three, the provisions of this subdivision shall apply only to those who discontinue
service other than by death or retirement prior to July first, nineteen hundred seventy-four.* [Sub. 3
inserted L. 1970, ch. 141 in effect July 1, 1970; as amended L. 1971, ch. 622 in effect July 1, 1971; L.
1972, ch. 345 in effect July 1, 1972; L. 1973, ch. 902 in effect July 1, 1973; and ch. 1046 in effect July 31,
1973. Extended by Sec. 480 Ret. & Soc. Sec. Law, refer to Sec. 480 for amendments.]
4. Any person who is a member on or after June thirteenth, nineteen hundred ninety-eight and who
discontinues service other than by death or retirement and who is credited with five years or more of fulltime teaching service rendered in the state, at least two of which were rendered since the date he or she
last joined the retirement system, by written notice duly acknowledged and filed with the retirement board
at any time before his or her immediate membership would otherwise terminate pursuant to section five
hundred three of this article, may elect, in lieu of the return of his or her accumulated contributions pursu­
ant to section five hundred twelve of this article, to continue membership with the privilege of applying
for retirement pursuant to this subdivision on or after the date he or she attains age fifty-five. The pension
for a member who has made the election pursuant to this subdivision shall be computed in accordance
with the procedures set forth in paragraph b of subdivision five of section five hundred thirty-five of this
article, unless the member has been credited with at least twenty years of full-time New York state ser­
vice, in which event his or her pension shall be computed in accordance with paragraph a of subdivision
five of the aforementioned section. In no event, however, shall the pension so computed exceed threequarters of the member’s final average salary. In addition to the pension provided by this subdivision, the
member shall receive an annuity which shall be the actuarial equivalent of his or her accumulated contri­
butions at the time of his or her retirement. [Sub. 4 added L. 1976, ch. 513 in effect July 20, 1976.] [Sub.
4 added L. 1976, ch. 513 in effect July 20, 1976; amended L. 1998, ch. 389 in effect July 17, 1998.]
5. Such member, when applying for retirement, may exercise the options pursuant to section five hun­
dred thirteen of this article.
6. Interest on the contributions of such member after his membership otherwise would have been ter­
minated pursuant to section five hundred three of this article shall be credited at the rate fixed for contri­
butions by new entrants at the time of discontinuation of service.
7. If such member should die before the effective date of retirement, his accumulated contributions
shall be paid to his estate or beneficiary in accordance with the provisions of paragraph one of subdivi­
sion b of section five hundred twelve of this article.
8. In the event that such member returns to service, such election shall be considered to be withdrawn
as of the date upon which he returns to service and membership in the retirement system will continue
pursuant to subdivision three of section five hundred three of this article.
9. Any other provision of law to the contrary notwithstanding, any member who fails to file the election
pursuant to subdivisions one or three of this section and whose membership would otherwise cease pur­
suant to subdivision three of section five hundred three of this article, shall be deemed to have filed such
election the day before his membership shall have ceased. [Sec. 512-a added L. 1961, ch. 765 in effect
July 1, 1961; sub. 3, 4, 5, 6 renumbered 4, 5, 6, 7 L. 1970, ch. 141 in effect July 1, 1970; sub. 8 added L.
1973, ch. 902 in effect July 1, 1973; sub. 4, 5, 6, 7, 8, renumbered sub. 5, 6, 7, 8, 9 and new sub. 4 added
L. 1976, ch. 513 in effect July 20, 1976.]
10. Notwithstanding any provision of this section to the contrary, a person who has elected to continue
membership pursuant to the provisions of this section, and who is qualified to transfer pursuant to the
provisions of section five hundred twenty-two of this chapter or section forty-three of the retirement and
social security law, shall be deemed eligible to transfer, pursuant to such sections of law. [Sub. 10 added
L. 1979, ch. 363 in effect June 28, 1979.]
11. Any other provision of law to the contrary notwithstanding, any former member who met all the
eligibility requirements of subdivision one or three of this section, but failed to file the election required
by such subdivisions, as a result of which his membership in the system was terminated because his
service amounted to less than five years in a period of ten consecutive years, shall be deemed to have
filed such election the day before membership ceased, provided such former member files an application
with the system requesting that his membership be reinstated pursuant to this subdivision and deposits
30
Ed. L. § 512-b
the accumulated contributions withdrawn from the system with regular interest; provided however that no
such application shall be valid if (i) the service which would be credited thereunder is credited in any
public retirement system in the United States, or (ii) a benefit is being received from any public retirement
system based upon such credit. [Sub. 11 added L. 1980, ch. 466 in effect June 23, 1980.]
12. Notwithstanding any other provision of this section a person who has elected to continue member­
ship pursuant to the provisions of this section may withdraw from membership in the system in accor­
dance with the provisions of this article. [Sub. 12 added L. of 1989, ch. 215 in effect June 26, 1989.]
§ 512-b. Loans. 1. Any member in active service or on leave of absence who has credit for at least
one year of member service may borrow from his accumulated contributions in the retirement system
once during each six month period an amount of not less than three hundred dollars providing the retire­
ment board shall approve such loan. The total of any such loans shall not exceed seventy-five per centum
of his accumulated contributions. [Par. (1) amended L. 1964, ch. 842 in effect April 23, 1964; L. 1966, ch.
715 in effect July 1, 1966; L. 1974, ch. 510 in effect May 23, 1974; L. 1992, ch. 340 in effect July 1, 1992.]
2. Repayment. An amount so borrowed, together with interest on any unpaid balance thereof, shall be
repaid in equal installments, which shall be made by the borrower directly to the retirement board or, with
the consent of the employer, through regular payroll deduction. The state comptroller is authorized to pro­
vide through regular payroll deduction for such repayment of loans made by employees of the state of New
York.* Such installments shall be in such amount as the retirement board shall approve; however, they shall
be at least (a) two percent of the member’s contract salary,** and (b) sufficient to pay the interest on the
unpaid balances thereof. In the event that a member is on leave of absence without pay or is not regularly
employed by an employer subject to the provisions of this article, any such outstanding loan shall be
repaid in such installments of principal and interest as the retirement board shall determine. In the event
of default the retirement board shall be authorized to collect such payments due from the employer of such
member through payroll deduction and such member shall forfeit all future entitlement to borrow from the
retirement system until the unpaid balance of the loan outstanding at the time of default is fully paid. The
retirement board, at any time, may accept payments on account of any loan in addition to the installments
fixed for repayment thereof. All payments of principal and interest at the minimum rate permitted pursuant
to subdivision three of this section made by the member shall be credited to his accumulated contribu­
tions. Any additional interest paid by the member shall be credited to the pension accumulation fund. [Par.
2 amended L. 1966, ch. 715 in effect July 1, 1966; L. 1970, ch. 457* in effect April 1, 1970; L. 1970, ch.
855,** in effect July 1, 1970; L. 1976, ch. 849 in effect July 1, 1976; L. 1992, ch. 340 in effect July 1, 1992.]
3. Interest. The rate of interest payable upon loans made pursuant to this section shall be set by the
retirement board. The retirement board shall have power, from time to time and at any time, to decrease
such rate to not less than that currently being credited on the member’s accumulated contributions or to
increase the same to not more than six per centum per annum. Any such decrease or increase shall apply,
from the effective date thereof, to unpaid balances of loans outstanding on such date and to new loans
made thereafter.
4. Service Charge. A uniform service charge payable upon loans made pursuant to this section shall be
set by the retirement board in an amount sufficient to cover the cost to the retirement system of admin­
istering the loans. Such charge shall be deducted from the member’s accumulated contributions when
the loan is made or in equal annual installments over the period the loan is outstanding.
5. Insurance. Each loan made pursuant to this section shall be insured against the death of the member
in an amount equal to the amount of the loan outstanding at any given time; with the exception that until
thirty days have elapsed after the making thereof no part of the loans shall be insured. Such insurance
shall be provided by the retirement board through the retirement system. Upon the death of the member
the amount of insurance so payable shall be credited to his accumulated contributions. The premium
payable by the member for such insurance shall be set by the retirement board at a rate of not to exceed
one per centum of the amount loaned.
A premium of one per centum per annum of the amount loaned, prorated to July first next, shall be
deducted from the accumulated contributions of the member when the loan is made. Thereafter, a pre­
mium of one per centum per annum of the present value of the outstanding loan as of July first shall be
deducted from the accumulated contributions of the member each succeeding year until such loan is
repaid or the member is retired.
31
Ed. L. § 513
The retirement board in its discretion on any July first may increase or reduce the premium, modify the
terms or conditions of coverage, or discontinue the insurance of loans. In no event shall this subdivision
impose any obligation upon the retirement board to continue to insure loans of members upon the terms
and conditions herein provided or upon any other terms or conditions. [Subdivision (5) amended by L.
1977, ch. 207 in effect July 1, 1977; L. 1992, ch. 340 in effect July 1, 1992.]
6. Special Funds. The retirement board is authorized to establish such funds as may be necessary to
carry out the provisions of subdivisions four and five of this section.
7. Withdrawals and retirements when loan is outstanding. Whenever a member becomes entitled to the
return of his accumulated contributions because of withdrawal from the system or because of having
become eligible for a death benefit or a retirement allowance or because of an election to withdraw his
accumulated contributions pursuant to subdivision six of section five hundred sixteen of this article the
amount of any loan outstanding on such date shall be construed to have been already returned to such
member and the accumulated contributions to which he shall then be entitled shall be the net amount of
such contributions together with interest thereon standing to his credit in the annuity savings fund on
such date. [Subdivision (7) amended by L. 1987, ch. 481.]
8. Rules and Regulations. The retirement board is authorized to adopt such rules and regulations as it
finds to be necessary in administering the provisions of this section. Anything in this section notwith­
standing, the retirement board is authorized to adopt rules and regulations permitting a loan at any time
prior to retirement to a teacher who is not in active service or on leave of absence, provided such loan
would otherwise be permitted under this section and under applicable provisions of the internal revenue
code relating to loans from pension plans. [Sub. 8 amended L. 1996 ch. 548 in effect August 8, 1996.]
9. The retirement board shall have the power to discharge any evidence of a loan to a member pursuant
to this section upon the satisfaction of the obligation of the member thereunder. [Section 512-b added L.
1963, ch. 882 in effect July 1, 1963; Par. 9 added L. 1964, ch. 384 in effect April 10, 1964.]
§ 513. Optional allowances. 1. With the exception that no election of an optional benefit shall
become effective in case a member dies within thirty days after the filing of an application for a retirement
allowance, until the first payment on account of any benefit becomes normally due, any member, at the
time of his retirement, may elect to receive his benefits in a retirement allowance payable throughout life
or he may on retirement elect to receive the actuarial equivalent at that time of his retirement allowance
in a lesser retirement allowance, payable throughout life with the provision that:
Option 1. If he dies before he has received in payments the present value of his retirement allowance as
it was at the time of his retirement, the balance shall be paid to his legal representatives or to such person
as he shall nominate by written designation duly acknowledged and filed with the retirement board.
Option 2. Upon his death, his retirement allowance shall be continued through the life of and paid to
such person as he shall nominate by written designation duly acknowledged and filed with the retirement
board at the time of his retirement.
Option 3. Upon his death, one-half of his retirement allowance shall be continued throughout the life of
and paid to such person as he shall nominate by written designation duly acknowledged and filed with
the retirement board at the time of his retirement.
Option 4. Some other benefit or benefits shall be paid either to the member or to such person or per­
sons as he shall nominate, provided such other benefit or benefits, together with the lesser retirement
allowance, shall be certified by the actuary to be of equivalent actuarial value to his retirement allowance
and shall be approved by the retirement board.
2. If any retired member who has not elected an optional benefit, or who has elected a benefit under
Option 4 providing for the payment at death of the amount, if any, by which his accumulated contributions
at the time of his retirement exceed the aggregate amount of his annuity payments, dies within thirty days
after the date his retirement becomes effective, notwithstanding any other provisions of this law to the
contrary, benefits shall be paid in accordance with subdivision (b) or (c) of section five hundred twelve,
except that the amount of his accumulated contributions payable under paragraph (1) of said subdivision
(b) shall be reduced by any annuity payments received by him prior to his death and the benefit payable
under paragraph (2) of said subdivision (b) shall be reduced by any pension payments received by him
prior to his death. The amounts payable shall be paid to the beneficiary or beneficiaries entitled thereto
as provided under section five hundred twelve, except that if the member has elected Option 4, as
32
Ed. L. § 514/515/516
provided above, the beneficiary nominated under such Option 4 shall be substituted for any beneficiary
previously nominated and all amounts payable shall be paid to the beneficiary nominated under such
Option 4.
3. In the case of persons who last became members on or after July first, nineteen hundred seventythree, the provisions of subdivision two of this section shall apply only to deaths occurring after the date
on which said subdivision two becomes operative and prior to July first, nineteen hundred seventy-four.*
[Subdivision (2) added by L. 1955, ch. 238 in effect April 2, 1955; extended to July 1, 1965, L. 1970, ch.
125; to July 1, 1970, L. 1965, ch. 941; to July 1, 1971, L. 1970, ch. 921; to July 1, 1972, L. 1971, ch. 622;
to July 1, 1973, L. 1972, ch. 345; L. 1973, ch. 1046 in effect July 31, 1973. Extended by Sec. 480 Ret. &
Soc. Sec. Law, refer to Sec. 480 for amendments.]
4. a. The retirement board may adopt rules and regulations providing that a trustee of an inter vivos or
testamentary trust shall be (1) eligible to be nominated to receive a lump sum benefit under option one
and (2) eligible to be nominated to receive any benefit under option four which the retirement board shall
deem appropriate.
b. Any proceeds received by a trustee under this section shall not be subject to the debts of the mem­
ber or to transfer or estate taxes to any greater extent than if such proceeds were payable to the benefi­
ciaries named in the trust and not to the estate of the member.
c. A payment made in good faith under this section to either a designated trustee of an inter vivos trust,
a successor trustee of an inter vivos trust who provides a copy of his appointment or a trustee or succes­
sor trustee of a testamentary trust who provides a copy of the letters of trusteeship shall be a complete
discharge to the system to the extent of the payment.
d. If no qualified trustee claims the proceeds within eighteen months after the death of the retired
member, or if satisfactory evidence is furnished within such period showing that there is or will be no
trustee to receive the proceeds, payment shall be made to the deceased retired member’s estate. [Sub­
division (4) added L. 1969, ch. 211 in effect April 25, 1969.]
§ 514. Benefits to participants in old retirement fund. (omitted)
§ 515. Funds enumerated. The funds created are:
a. The annuity savings funds.
b. The annuity reserve fund.
c. The pension accumulation fund.
d. The pension reserve fund.
e. The supplemental retirement allowance fund.
f. The expense fund.
[(e) Added L. 1968, ch. 1084 in effect July 1, 1968.]
§ 516. Annuity savings fund; contributions and payments. The annuity savings fund shall be the
fund in which shall be accumulated the deductions made from the compensation of contributors. Contri­
butions to and payments from the annuity savings fund shall be made in the following manner:
1. Each employer shall deduct from the compensation of each contributor on each and every payroll of
such contributor for each and every payroll period subsequent to the date upon which such contributor
became a member an amount equal to four per centum of such contributor’s earnable compensation in
the cases of teachers who last became members on or before the thirtieth day of June, nineteen hundred
forty-eight and five per centum of earnable compensation in the cases of teachers who last became
members on or after the first day of July, nineteen hundred forty-eight except if membership is renewed
upon restoration to active service after retirement for disability, regular interest shall be credited at the
rate allowed to the member at the time his retirement for disability last became effective. But no employer
shall make any deduction for annuity purposes from the compensation of a member who has completed
at least thirty-five years of total service, or who has attained the age of sixty and completed at least
twenty-five years of total state service, if such member elects not to contribute. [Subdivision (1) amended
by L. 1948, ch. 135 in effect March 6, 1948.]
2. In determining the amount earnable by a contributor in a payroll period, the retirement board may
consider the rate of compensation payable to such member on the first day of the payroll period as
33
Ed. L. § 516
continuing throughout such payroll period, and it may omit deductions from compensation for any period
less than a full payroll period if a teacher was not a contributor on the first day of the payroll period, and
to facilitate the making of deductions, it may modify the deduction required of any contributor by such an
amount as shall not exceed one-tenth of one per centum of the compensation upon the basis of which
said deduction is to be made.
3. a. In addition to the deductions from compensation hereinbefore required, any contributor may rede­
posit in the annuity savings fund by a single payment an amount equal to the total amount which he
withdrew therefrom as provided in this article, or he may deposit therein by a single payment an amount
computed to be sufficient, together with the retirement allowance otherwise provided to provide for him
a total retirement allowance of one-half of his final average salary upon superannuation retirement, or any
member or annuitant may deposit therein by a single payment an amount permitted so to be deposited
by the retirement board for the purpose of purchasing additional annuity, provided that no such member
or annuitant shall be permitted to purchase a total additional annuity thereby in excess of one-half his
final average salary; such additional annuity shall afford the usual optional privileges. Such additional
amounts so deposited shall become a part of his accumulated contributions.
b. Notwithstanding anything to the contrary in this article, in addition to the deposits hereinbefore per­
mitted by this subdivision, any contributor to this system, who is actually on the payroll of a school dis­
trict or the state, may, for the purpose of purchasing additional annuity, deposit in the annuity savings
fund once in any school year by a single payment an amount not in excess of four per centum of his
earnable rate of compensation for the school year immediately preceding the date when such payment is
made. Any such amount so deposited shall be credited with regular interest and, on the basis of said rate
of interest, shall become a part of the contributor’s accumulated contributions in all respects including
computation of benefits upon retirement. [Paragraph (b) amended L. 1963, ch. 753 in effect July 1, 1963;
L. 1964, ch. 175 in effect July 1, 1964; L. 1965, ch. 485 in effect July 1, 1965; L. 1966, ch. 269 in effect
July 1, 1966; L. 1967, ch. 190 in effect July 1, 1967; L. 1968, ch. 101 in effect July 1, 1968; L. 1969, ch.
756 in effect July 1, 1969; L. 1970, ch. 857 in effect July 1, 1970; L. 1971, ch. 622 in effect July 1, 1971;
L. 1972, ch. 332 in effect July 1, 1972; extended L. 1972, ch. 345 in effect July 1, 1972; L. 1973, ch. 1046
in effect July 31, 1973; L. 1974, ch. 510 in effect May 23, 1974; amended L. 1977, ch. 972 in effect July
1, 1977; L. 1997, ch. 553 in effect September 10, 1997.]
c. Any member by written notice duly acknowledged and filed with the retirement board before the first
day of July, nineteen hundred sixty-seven or within two years after he last became a member, whichever
is later, may elect to contribute pursuant to this paragraph c of subdivision three of this section in order
to qualify for an increased pension for total service in excess of twenty-five years. After such election the
rate of deduction from earnable compensation shall be increased to two and one-half per centum in the
cases of teachers who last became members on or before the thirtieth day of June, nineteen hundred
forty-eight and by three per centum in the cases of teachers who last became members on or after the
first day of July, nineteen hundred forty-eight and such deductions shall be added to the accumulated
contributions of each member. Where a member elects to contribute pursuant to this paragraph c of sub­
division three of this section, such additional contributions shall be made from the first day of July, nine­
teen hundred fifty-seven, or from the first day of the month following the expiration of thirty days
subsequent to the filing of his election, whichever is later, except that if the member is contributing pursu­
ant to subdivision one of section five hundred eleven-a, such additional contributions pursuant to this
paragraph c of subdivision three of this section shall be made from the first day of July following the
completion of twenty-five years of total service. If such a member, upon the completion of twenty-five
years of total service, wishes to forfeit his right to special service retirement under the provisions of sec­
tion five hundred eleven-a, he may cease making contributions pursuant to subdivision one of such sec­
tion, leave such contributions in the retirement system and commence making contributions pursuant to
this paragraph c of subdivision three of this section in order to receive credit for service rendered after
the completion of twenty-five years of total service. If such a member, upon the completion of twenty-five
years of total service wishes to maintain his right to special service retirement, he shall continue to make
contributions pursuant to subdivision one of section five hundred eleven-a and commence making con­
tributions pursuant to this paragraph c. Contributions made pursuant to this paragraph c shall cease on
the first day of July following the completion of thirty-five years of total service, except that, any member
who has completed more than twenty-five years of service on the first day of July, nineteen hundred
34
Ed. L. § 517
sixty-seven may deposit in a lump sum an amount equivalent to the sum of the contributions he would
have made prior to the first day of July, nineteen hundred sixty-seven, had this paragraph c become
effective as of the date when twenty-five years of service was completed or as of any date thereafter
which the member may elect for the purpose of determining the amount to be so deposited.
d. Members of the retirement system who elect to contribute pursuant to paragraph c of subdivision
three of this section, shall receive credit for each year, not in excess of ten, of service in excess of twentyfive years for which contributions were made pursuant to paragraph c of subdivision three of this section.
[Subdivision (3) amended by adding par. (b) L. 1948, ch. 193 in effect July 1, 1948, and extended by L.
1952, ch. 83; L. 1957, ch. 165; par. (c) and (d) added L. 1956, ch. 730 in effect April 18, 1956; amended
L. 1957, ch. 659 in effect April 18, 1957; amended L. 1958, ch. 173 in effect March 13, 1958; par. (c)
amended L. 1961, ch. 774 in effect April 22, 1961; L. 1962, ch. 746 in effect April 24, 1962; L. 1964, ch.
104 in effect March 16, 1964; L. 1965, ch. 201 in effect May 17, 1965; L. 1967, ch. 430 in effect April 18,
1967.]
4. The accumulated contributions of a contributor returned to him upon his withdrawal or paid to his
estate or designated beneficiary in the event of his death as provided in this article shall be paid from the
annuity savings fund.
5. Upon the retirement of a contributor his accumulated contributions shall be transferred from the
annuity savings fund to the annuity reserve fund.
6. The retirement board may adopt rules and regulations providing for the withdrawal at retirement by
members of the accumulated contributions credited to their individual accounts in the annuity savings
fund. Such rules and regulations shall provide that the application for withdrawal of contributions be filed
no earlier than the date the member files the application for retirement and no later than the day preced­
ing the effective date of retirement. Provided, however, this section has no application to members sub­
ject to article fourteen or article fifteen of the retirement and social security law. [Subdivision 6 added L.
1987, ch. 481 in effect January 1, 1988.]
§ 517. Annuity reserve fund; pension accumulation fund. 1. The annuity reserve fund shall be the
fund from which shall be paid all annuities and all benefits in lieu of annuities.
2. The pension accumulation fund shall be the fund in which shall be accumulated all reserves for the
payment of all benefits with the exception of the annuities provided by the accumulated contributions of
members, and with the exception of supplemental retirement allowances payable in accordance with sec­
tion five hundred thirty-two of this chapter. Contributions to and payments from the pension accumula­
tion fund shall be made as follows:
a. On account of each teacher who is a member of the retirement system there shall be paid annually
into the pension accumulation fund by employers, a certain percentage of the earnable compensation of
each of such members of the retirement system to be known as the “normal contribution” and a further
percentage known as the “deficiency contribution.” The rates per centum of such contributions shall be
fixed on the basis of the liabilities of the retirement system as shown by actuarial valuations.
b. On the basis of regular interest and of such mortality and other tables as shall be adopted by the
retirement board, the actuary engaged by the retirement board to make each valuation required by this
article during the period over which the deficiency contribution is payable, immediately after making such
valuation, shall determine the uniform and constant percentage of the earnable compensation of the
average new entrant, who is a contributor, which if contributed on the basis of the compensation of such
contributor throughout his entire period of active service, would be sufficient to provide for the payment
of a death benefit payable on his account and to provide at the time of his retirement the total amount of
his pension reserve. The rate per centum so determined shall be known as the “normal contribution” rate.
After the deficiency contribution has ceased to be payable, the normal contribution shall be the rate per
centum of the earnable salary of all contributors obtained by deducting from the total liabilities of the
pension fund the amount of the funds in hand to the credit of that fund and dividing the remainder by one
per centum of the present value of the prospective future salaries of all contributors as computed on the
basis of the mortality and service tables adopted by the retirement board and on the basis of regular
interest. The normal rate of contribution shall be determined by the actuary after each valuation and shall
continue in force until a new valuation and certification.
35
Ed. L. § 517
c. The actuary engaged by the retirement board shall compute the rate per centum of the total com­
pensation of all contributors during the preceding school year which is equivalent to four per centum of
the amount of the total pension liability on account of all contributors and beneficiaries not dischargeable
by the aforesaid normal contribution made on account of such contributors during the remainder of their
active service. The contribution derived by deductions at the rate per centum, so determined or at a rate
increased therefrom as hereinafter provided shall be known as the “deficiency contribution.” On the basis
of the actuarial valuation as of the thirtieth day of June, nineteen hundred fifty-seven, the actuary shall
determine the amount of the pension liability which is not dischargeable by the funds in hand and the
present value of the normal and deficiency contributions otherwise payable. Such pension liability shall
be known as the special deficiency. The actuary shall determine the annual payment which is made in
each fiscal year commencing with the year beginning the first day of July, nineteen hundred fifty-eight,
for a period of thirty years will provide for such special deficiency and the per centum of the total com­
pensation of all contributors during the preceding school year which is equivalent to such annual pay­
ment shall be known as the special deficiency contribution rate. Notwithstanding anything to the contrary
in this chapter, the special deficiency contribution rate for use in determining the annual payments to be
made in each fiscal year commencing with the year beginning with the first day of July, nineteen hundred
sixty, shall be increased to liquidate the total unfunded special deficiency adjusted to include the pro­
spective deficit in the annuity reserve fund as shown by the valuation as of the thirtieth day of June,
nineteen hundred fifty-nine in the period originally set, and until the special deficiency so increased has
been liquidated an annual contribution at the increased special deficiency rate but not less than the
annual payment determined on the basis of the valuation as of the thirtieth day of June, nineteen hundred
fifty-nine, shall be made by employers in addition to the regular normal and deficiency contributions.
d. The total amount payable annually by all employers into the pension accumulation fund shall be certi­
fied by the retirement board to the commissioner of education and such amount shall equal the sum of the
rates per centum known as the normal contribution rate and the deficiency contribution rate of the total
compensation earnable by all contributors during the preceding school year, provided that the amount of
each annual deficiency contribution shall be at least three per centum greater than the preceding annual
payment. The aggregate of all such payments by employers shall be sufficient, when combined with the
amounts in the pension accumulation fund, to provide the pensions payable out of the fund during the year
then current, and if not the additional amount so required shall be collected by means of an increased con­
tribution which shall continue in force for the period of one year, anything to the contrary notwithstanding.
e. The deficiency contribution shall be discontinued as soon as the accumulated reserve in the pension
accumulation fund shall equal the present value, as actuarially computed and approved by the retirement
board, of the total liability of such fund less the present value, computed on the basis of the normal con­
tribution rate then in force, of the normal contributions to be received on account of teachers who are at
that time contributors.
f. Any other provision of law to the contrary notwithstanding, beginning with the valuation for the fiscal
year ending June thirtieth, nineteen hundred seventy, the actuarial valuation of the liabilities, required by
subdivision five of section five hundred eight of this article, shall be made on the following basis:
1. On the basis of the valuation rate of interest and of such mortality and other tables as have been
adopted by the retirement board, the actuary shall determine, as of June thirtieth, nineteen hundred sev­
enty, the additional accrued liability which exists as of that date, on account of service rendered prior to
that date, by reason of legislation enacted during the years nineteen hundred sixty-eight, nineteen hun­
dred sixty-nine and nineteen hundred seventy, affecting article eleven of the education law. The actuary
shall then determine a schedule of annual contributions which will amortize such additional accrued lia­
bility and interest thereon over a period of twenty-five years. Such interest shall be at the rate of four and
one-half per cent during the first ten years beginning July first, nineteen hundred seventy and at the rate
of four per cent thereafter, compounded annually. Each contribution after the first shall equal one hundred
four per cent of the preceding contribution. Each year, the actuary shall determine a rate of contribution
which is equivalent to the amount of the contribution next due in accordance with the aforesaid schedule.
However, in no event shall such rate of contribution be less than the rate of contribution determined in
the first year in accordance with the provisions of this subdivision. The amount of the contribution pro­
duced by such rate which is in excess of the amount required according to the aforesaid schedule shall
be added to the contingency reserve. Such contingency reserve shall be maintained in the pension
36
Ed. L. § 518/518-a/519/520
accumulation fund for the purpose of providing for such future strengthening of the retirement system’s
reserve basis as the retirement board, upon the recommendation of its actuary, deems appropriate.
2. On the basis of the valuation rate of interest and of such mortality and other tables as have been
adopted by the retirement board, the actuary shall compute the rate of normal contribution in the following
manner. From the total actuarial liabilities as of each valuation date, there shall be deducted the sum of the
funds in hand and the present value of the remaining contributions still to be paid under the provisions of
sub-paragraph one of this paragraph. The remainder shall be divided by one per cent of the present value
of the prospective future salaries of all members of the system, to obtain the rate of normal contribution.
3. Notwithstanding any other provision of law to the contrary, for contributions determined on the basis
of the June thirtieth, nineteen hundred sixty-eight valuation and subsequent annual valuations, the pay­
ment of employer contributions pursuant to section five hundred nine of this article shall be discontinued
and the lump sum actuarial cost attributable to the purchase of prior service, as authorized therein, shall
be included in the actuarial liabilities used for the determination of the rate of normal contribution.
4. The retirement board is hereby empowered to re-establish employer contribution rates based upon
the annual valuation as of June thirtieth, nineteen hundred sixty-eight. [Par. f added L. 1970, ch. 141 in
effect Apr. 22, 1970.]
g. All pensions with the exception of those payable to new entrants shall be paid from the pension
accumulation fund and benefits provided under section five hundred twelve, subdivision b, paragraph
two and section five hundred fourteen shall be paid from the pension accumulation fund.
h. Upon the retirement of a new entrant, an amount equal to his pension reserve shall be transferred
from the pension accumulation fund to the pension reserve fund.
i. The retirement board from time to time shall transfer from the pension accumulation fund to the annu­
ity reserve fund such amounts as are necessary under this article. [As amended by L. 1954, ch. 641; L.
1956, ch. 730; L. 1959, ch. 141 in effect March 23, 1959; L. 1968, ch. 1084 in effect July 1, 1968; par. f,
g, g of sub. 2 relettered g, h, i L. 1970, ch. 141 in effect April 22, 1970.]
§ 518. Pension reserve fund. The pension reserve fund shall be the fund from which shall be paid
the pensions to new entrants on account of which reserves shall be transferred from the pension accu­
mulation fund. Should any disability pension payable from said fund be canceled, the pension reserve
thereon shall thereupon be transferred from the pension reserve fund to the pension accumulation fund.
Should the pension of a disability beneficiary be reduced as a result of an increase in his earning capacity,
the amount of the annual reduction in his pension shall be paid annually into the pension accumulation
fund during the period of such reduction.
§ 518-a. Supplemental retirement allowance fund. The supplemental retirement allowance fund
shall be the fund from which shall be paid the supplemental retirement allowances provided by section
five hundred thirty-two of this article. [Sec. 518-a added L. 1968, ch. 1084 in effect July 1, 1968.]
§ 519. Expense fund. The expense fund shall be the fund from which the expense of the adminis­
tration of the retirement system shall be paid exclusive of amounts payable as retirement allowances and
as other benefits provided herein. Contributions shall be made to the expense fund as follows:
1. The retirement board shall determine the amount required to defray the expenses allocated to those
functions which directly or indirectly affect the system’s investment operations. This amount so deter­
mined shall be collected from net investment income which shall include but not be limited to interest,
dividends, and realized gains and losses.
2. The retirement board shall determine annually the amount required to defray the remaining esti­
mated expenses in the ensuing fiscal year and shall certify such amount to the commissioner of educa­
tion who shall apportion to each employer a proportionate part thereof as provided under subdivision two
of section five hundred twenty-one. Each employer shall make payment for the amount so apportioned to
him in the same way as he shall make other payments provided for by this article. [Amended L. 1980, ch.
639 in effect July 1, 1980.]
§ 520. Duties of employer. 1. Each employer shall keep such records and from time to time shall
furnish such information as the retirement board in the discharge of its duties may require.
37
Ed. L. § 521
2. a. Upon the employment of any teacher to whom this article may apply, he shall be informed by his
employer of his duties and obligations in connection with the retirement system as a condition of his
employment. Every teacher accepting employment shall be deemed to consent and agree to any deduc­
tions from his compensation required herein and to all other provisions of this article.
b. Upon the employment of any teacher whose right to membership in the system has been made
optional by the retirement board pursuant to subdivision two of section five hundred three of this article
the employer shall inform such teacher in writing of the right to join the system. Each such teacher shall
acknowledge the receipt of such notice by signing a copy thereof and filing it with such employer. Pro­
vided, however, the failure to inform such teacher shall not in any way be construed to waive the require­
ment that membership for such a teacher commences only when an application for membership is filed
with the system nor shall it be construed to waive any of the eligibility requirements for previous service
credit. [Par. b added L. 1985, ch. 636 in effect January 1, 1986.]
3. Notwithstanding any other law, rule or regulation affecting the salary, pay, compensation, other pre­
requisites or tenure of any teacher to whom this article applies, or shall apply, and notwithstanding that
the minimum salary, pay, compensation or other prerequisites, provided by law for such teacher shall be
reduced thereby, payment less said deductions shall be a full and complete discharge and acquittance of
all claims and demands whatsoever for service rendered by such member during the period covered by
such payment.
4. During September of each year, or at such other times as the retirement board shall approve, each
employer shall certify to the retirement board the names of all teachers to whom this article applies.
5. Each employer shall on the first day of each calendar month or at such less frequent intervals as the
retirement board may approve, notify the retirement board of the employment of new teachers, removals,
withdrawals and changes in salary of members that shall have occurred during the month preceding or
the period covered since the last notification.
§ 521. Collection of contributions. 1. The collection of members contributions shall be as follows:
a. Each employer shall cause to be deducted on each and every payroll of a contributor for each and
every payroll period, the contribution payable by such contributor as provided in this article. Each
employer shall certify to the treasurer of said employer on each and every payroll a statement as voucher
for the amounts so deducted.
b. The treasurer of each employer on receipt from the employer of the voucher for deductions from the
salaries of teachers as provided in this article shall transmit monthly or at such times as the retirement
board shall designate, the amount specified in such voucher to the secretary of the retirement board. The
secretary of the retirement board after making record of all such receipts shall transmit them to the head
of the division of the treasury in the department of taxation and finance for use according to the provi­
sions of this article.
But nothing in this section shall prevent the retirement board from modifying the method of collecting the
contribution of members so that employers may retain the amounts so deducted and have a corresponding
amount deducted from the appropriation for the support of common schools otherwise payable to them.
2. The collection of employers contributions shall be made as follows:
a. Upon the basis of each actuarial determination and appraisal provided herein, the retirement board
shall annually prepare and certify to the commissioner of education a statement of the total amount nec­
essary to be paid by all employers for the ensuing fiscal year to the pension accumulation and expense
funds as provided under subdivision two of section five hundred seventeen and under section five hun­
dred nineteen of this article. Upon the basis of the rate of contribution for supplemental retirement allow­
ances, determined in accordance with section five hundred thirty-two of this article, the retirement board
shall certify to the commissioner of education a statement of the total amount necessary to be paid by all
employers for the ensuing fiscal year to the supplemental retirement allowance fund. Said certification
shall include interest on amounts necessary to repay advances made to the supplemental retirement
allowance fund pursuant to subdivision f of section five hundred thirty-two of this article computed from
the date of such advances at the rate determined in accordance with paragraph f of this subdivision.
[Amended L. 1968, ch. 1084 in effect July 1, 1968; L. 1997, ch. 553 in effect September 10, 1997.]
b. The commissioner of education shall include in the certificate which he files with the state comptrol­
ler showing the amount of state funds apportioned to the school districts within each county for the
38
Ed. L. § 521
support of common schools, a statement showing the amount to be contributed by each employer in
each of such counties as required under this article.
The amount to be contributed by each employer except those who operate local district pension sys­
tems, shall be such percentage of the total compensation or salaries of all teachers in his employ who are
members of the retirement system as the aggregate amount of the normal and deficiency contributions
for the year shall bear to the total compensation or salaries paid by all employers, except those who oper­
ate local district pension systems, to all teachers who are members of the retirement system. [Subdivision
(2), par. (b) amended L. 1963, ch. 871 in effect April 26, 1963.]
c. The comptroller shall issue his warrant to the custodian of such fund directing such custodian to
credit to the pension accumulation fund and expense fund respectively, from the appropriation for the
support of common schools the amounts required to be made as contributions to such funds by the
employers as shown by the certificate of the commissioner of education filed with him as directed in
paragraph b of this subdivision.
d. The comptroller, in issuing his warrant to the custodian for payment to each county treasurer of that
portion of the moneys apportioned for the support of common schools, shall deduct therefrom an amount
equal to the amount required to be contributed by employers of such county, as shown by the certificate
of the commissioner of education of this state filed with the comptroller as required by paragraph b of
this subdivision.
e. In order to meet the financial requirements of this article, employers who obtain funds directly by
taxation are hereby authorized and directed to levy annually such additional taxes as are required to pro­
vide the funds deducted from the amounts apportioned to such employers from the appropriation of the
state for the support of the common schools.
f. Employers whose payments from the moneys apportioned from the state for the support of common
schools are insufficient to pay the amount due and owing the system, or who do not receive such pay­
ments, shall pay the system each year the amount of contributions due and owing from the employer
pursuant to this article within thirty days from the date a bill is mailed by the system. Interest, at a rate
equal to the average yield payable on fifty-two week United States treasury bills on June thirtieth imme­
diately preceding the day the bill is mailed by the system, shall accrue on the outstanding amount due
and owing commencing with the thirty-first day after the bill is mailed.
g. Whenever the system determines the contributions made by an employer are less than the percent­
age of total compensation or salaries of members of the system in the employ of such employer, as
required by this article, such employer shall pay the system such deficiency within thirty days from the
date a bill is mailed by the system. Interest, at a rate equal to the average yield payable on fifty-two week
United States treasury bills on June thirtieth immediately preceding the day before the bill is mailed by
the system, shall accrue on the outstanding amount due and owing commencing with the thirty-first day
after the bill is mailed. [Par. f. and g. of sub. 2 added L. 1984, ch. 538 in effect July 1, 1984.]
h. Notwithstanding any provision of law to the contrary, commencing with the payments made in the
fiscal year beginning July first, nineteen hundred ninety, and each fiscal year thereafter, the employer
contributions due and payable as determined pursuant to the provisions of this article and the employee
contributions due and payable pursuant to this article and articles fourteen and fifteen of the retirement
and social security law, on account of compensation paid in the fiscal year immediately preceding, and
those employer contributions due and payable in each fiscal year pursuant to chapter six hundred sixtyfive of the laws of nineteen hundred eighty-four shall be made to the retirement system and collected in
the manner set forth in this section each fiscal year in three payments, each equal to thirty-three and
one-third percent of the total amount due for such fiscal year. Such payments shall be paid on September
fifteenth, October fifteenth, and November fifteenth of each fiscal year. If a participating employer under­
paid its obligation to the retirement system, such underpayment as determined by the retirement system
shall be deducted from the amounts apportioned to such employer from the appropriation of the state for
the support of the common schools due and payable the next April fifteenth. Employers whose payments
from such appropriation are insufficient to pay the amount due and owing the system, or who do not
receive such payments, shall be billed by the system for such underpayment and shall pay the system the
amount due within thirty days from the date a bill is mailed by the system. The amount of any employer
overpayment of its obligation to the retirement system, as determined by such system shall be a credit to
the employer and shall reduce by an equal amount thereof the initial payment to be made by such
39
Ed. L. § 521
employer to such system on the next succeeding September fifteenth. [Amended L. 1992, ch. 830 in
effect July 1, 1992.]
i. Notwithstanding any provision of law to the contrary, the employer and employee contributions due and
payable in the nineteen hundred eighty-nine—ninety fiscal year on account of compensation paid in the
nineteen hundred eighty-eight—eighty-nine fiscal year which were paid prior to April first, nineteen hundred
ninety shall be deemed (to the extent such amount is sufficient) to have consisted of all the employee con­
tributions due and payable pursuant to this article and articles fourteen and fifteen of the retirement and
social security law in the nineteen hundred eighty-nine—ninety fiscal year and those employer contributions
due and payable in such fiscal year pursuant to chapter six hundred sixty-five of the laws of nineteen hun­
dred eighty-four; and the remaining employer contributions so paid shall be applied evenly to the payments
due and payable on September fifteenth, nineteen hundred ninety, October fifteenth, nineteen hundred
ninety and November fifteenth nineteen hundred ninety and the employer contributions amounting to eight
hundred seventy-three million seven hundred eleven thousand six hundred fifteen dollars ($873,711,615),
due and payable pursuant to the provisions of this section in the nineteen hundred eighty-nine—ninety fis­
cal year on account of compensation paid in nineteen hundred eighty-eight—eighty-nine fiscal year, except
those employer contributions due and payable in such fiscal year pursuant to chapter six hundred sixty-five
of the laws of nineteen hundred eighty-four, shall be deferred and payment shall be made to the retirement
system in fifteen equal annual payments of ninety-eight million five hundred thirty-seven thousand five hun­
dred seven dollars ($98,537,507) on October fifteenth, commencing on October fifteenth, nineteen hundred
ninety. Such payments are calculated at an interest rate of eight percent per annum. Provided, however, the
retirement board is directed to permit the pre-payment of the amounts outstanding under this paragraph.
The retirement board shall: (1) On or before September first, nineteen hundred ninety, in addition to the
amount due for the current fiscal year billing and for the payment of the amortized annual installment, fur­
nish the total amount due and be authorized to accept pre-payment in full of said amount by October fif­
teenth, nineteen hundred ninety. (2) On or before each September first thereafter, in addition to the amount
due for the current fiscal year billing and for the payment of the annual amortized installment, furnish the
total amount still outstanding and be authorized to accept the pre-payment of any portion of the balance
remaining to be paid by October fifteenth of that year.
j. Prior to June first, nineteen hundred ninety, the valuation rate of interest adopted by the retirement
board on April twenty-seventh, nineteen hundred eighty-nine, may be retroactively revised to eight per­
cent by the retirement board, as recommended by the actuary, as if adopted at the April twenty-seventh,
nineteen hundred eighty-nine board meeting, and the employer contribution rate, adopted by the retire­
ment board at the April twenty-seventh, nineteen hundred eighty-nine board meeting, revised by the
retirement board at the July twenty-seventh, nineteen hundred eighty-nine board meeting, may be retro­
actively amended by the retirement board as if adopted at the July twenty-seventh, nineteen hundred
eighty-nine board meeting and applied to contributions paid in the nineteen hundred ninety—ninety-one
fiscal year. Notwithstanding any provision of law to the contrary, the actions of the retirement board pur­
suant to the provisions of this paragraph shall be deemed reasonable, prudent and proper. No member
of the retirement board, officer, or employee of the New York state teachers retirement system shall incur
or suffer any liability whatsoever by reason of any actions pursuant to this paragraph, and such system
shall save harmless and indemnify all members of the retirement board, its officers and employees from
financial loss arising out of any claim, demand, suit, action or judgment as a result of the actions taken
pursuant to this paragraph provided that such person shall, within five days after the date on which he is
served with any summons, complaint, process, notice, demand, claim or pleading, deliver the original or
a true copy thereof to the legal advisor of such system. Upon such delivery, the legal advisor of such
system may assume control of the representation of such person in connection with such claim, demand,
suit, action or proceeding. Such person shall cooperate fully with the legal advisor of the system or any
other person designated to assume such defense in respect of such representation or defense.
k. The retirement board is authorized to adopt procedures and/or to promulgate rules and regulations
as it deems necessary to adjust and reconcile any payments from employers to actual amounts due
whether such payments were received prior or subsequent to the effective date of the chapter of the laws
of nineteen hundred ninety which added this paragraph to this section.
l. The provisions of paragraphs h and i of this subdivision shall constitute a contract and the rights of
the New York state teachers retirement system thereunder shall not be impaired in any way whatsoever.
40
Ed. L. § 521
m. In addition to any other payment or collection procedure provided by this article, if the amounts
credited from the appropriation for the support of common schools are insufficient to fully cover the
amounts to be contributed by the employers, the retirement board is authorized to certify the unpaid
amount to the state comptroller, and the state comptroller shall, to the extent not otherwise prohibited by
law, withhold such amount from any succeeding payment from any other form of state aid provided to the
employer. If any employer fails to pay the amounts required to be contributed pursuant to this section,
the retirement system shall be entitled to reasonable attorney fees and other expenses incurred to collect
such amounts due and owing. Fees shall be determined pursuant to prevailing market rates for the kind
and quality of the services furnished. [Par. h, i, j, k, l and m added L. 1990, ch. 175 in effect May 21, 1990
provided that the provisions of paragraphs h, i, k, l and m shall not be applicable until the Retirement
Board adopts an eight per centum valuation rate of interest in the manner authorized in paragraph j.]
n. Notwithstanding any other provision of law to the contrary, the board of education or trustees of a
school district which is a participating employer, which has elected to make payments of the employer
contributions due and payable to the retirement system pursuant to paragraph i of this subdivision in
amortized annual installments, and which has determined to make pre-payment of the total amount of
such contributions outstanding in accordance with said paragraph i, may adopt a bond resolution autho­
rizing the refinancing of such debt by the issuance of bonds in the amount of such pre-payment without
conducting a vote on a tax to be collected in installments, provided that such refinancing will result in
savings to the school district, as certified by the state comptroller, and provided further that the issuance
of such obligations otherwise complies with the requirements of the local finance law and this chapter.
[Par. n added L. 1996, ch. 482 in effect August 8, 1996.]
3. Stable contribution option for participating educational employers for the two thousand thirteen—
two thousand fourteen plan year. a. In addition to the definitions in section five hundred one of this article,
when used in this subdivision:
(1) “participating educational employer” shall mean a school district or board of cooperative educa­
tional services which elects to pay the stable contribution amount in the manner provided in this
subdivision;
(2) “stable contribution amount” shall mean an amount equal to the stable contribution rate multiplied by
the pensionable salary base (exclusive of payments for group term life insurance, deficiency contributions,
adjustments relating to prior fiscal years’ obligations, obligations pertaining to retirement incentives or any
other obligations that a participating educational employer is permitted to pay on an amortized basis);
(3) “stable contribution rate” shall mean fourteen percent for the two thousand thirteen—two thousand
fourteen plan year and the two thousand fourteen—two thousand fifteen plan year and the rate as adopted
by the retirement board in accordance with paragraph h of this subdivision; and
(4) “deferred employer contribution amount” shall mean an amount adequate to fund the benefits for
active and retired members associated with such participating educational employer had such participat­
ing educational employer not elected the provisions of this subdivision. Such deferred employer contribu­
tion amount shall be calculated for each year of participation in the stable contribution option with
associated interest determined specific to each applicable plan year’s deferred amount.
b. Notwithstanding the provisions of this chapter or any other law to the contrary, the retirement board,
in its discretion, shall have authority to implement the provisions of this subdivision. If the retirement board
elects to implement the provisions of this subdivision, the provisions shall apply to the payment of partici­
pating educational employer contributions in the plan year commencing July first, two thousand thirteen,
for the pension bill paid on September fifteenth, October fifteenth, and November fifteenth of two thou­
sand fourteen, and for the subsequent six plan years. If a participating educational employer does not
elect the stable contribution option in the fiscal year commencing on July first, two thousand thirteen for
the pension bill paid on September fifteenth, October fifteenth, and November fifteenth of two thousand
fourteen, it shall not be eligible to elect the stable contribution option in any succeeding plan year.
c. For each of the seven plan years to which the provisions of this subdivision apply, the retirement
board shall use a stable contribution rate established by the retirement board for participating educa­
tional employers.
d. If the retirement board, in its discretion, decides to adopt a stable contribution option pursuant to
this subdivision, the retirement board shall determine the stable contribution amount in each plan year for
a participating educational employer pursuant to subparagraph two of paragraph a of this subdivision.
41
Ed. L. § 521
Such stable contribution amount shall be in lieu of a participating educational employer’s actuarially
required contribution rate of normal and administrative contributions pursuant to sections five hundred
seventeen and five hundred nineteen of this article for the plan year commencing July first, two thousand
thirteen, and for the next six subsequent plan years.
e. Any participating educational employer which elects to pay the stable contribution amount pursuant
to this subdivision shall pay the amount based on the stable contribution rate for a period of seven years
and such option shall be available to participating educational employers from the two thousand thir­
teen—two thousand fourteen plan year through the two thousand nineteen—two thousand twenty plan
year. In the sixth plan year, the two thousand eighteen—two thousand nineteen plan year, the participat­
ing educational employer shall pay the stable contribution rate and, in addition, commence payment for
deferred employer contributions in accordance with paragraph j of this subdivision. Commencing with the
plan year beginning July first, two thousand twenty, the participating educational employer shall resume
payment of the actuarially required contribution rate of normal and administrative contributions pursuant
to sections five hundred seventeen and five hundred nineteen of this article and, in addition, any payment
for deferred employer contribution amounts in accordance with paragraphs j and k of this subdivision.
f. A participating educational employer paying a stable contribution amount shall remit, commencing
with the July first, two thousand thirteen plan year, an amount determined by the retirement board by
adding the following two amounts together:
(1) the stable contribution amount calculated pursuant to this subdivision; and
(2) payments for group term life insurance, deficiency payments, adjustments relating to prior fiscal
years’ obligations and obligations pertaining to retirement incentives or any other obligations that a par­
ticipating educational employer is permitted to pay on an amortized basis.
g. The stable contribution amount must be paid in full by participating educational employers on the
dates specified in paragraph h of subdivision two of this section.
h. Prior to July first, two thousand fifteen and July first, two thousand seventeen the retirement board
is authorized to evaluate the stable contribution rate used to calculate participating educational employer
stable contribution amounts. Such evaluation shall be based on a projection of assets and liabilities so
as to ensure that contributions by participating educational employers which participate in the stable
contribution option are adequate to ensure that system assets are sufficient to fund benefits for active
and retired members. The retirement board is authorized to increase the stable contribution rate by up to
two percentage points on July first, two thousand fifteen and on July first, two thousand seventeen. The
revised stable contribution rate resulting from the foregoing evaluations and July first, two thousand fif­
teen and July first, two thousand seventeen stable rate increases may not, in combination, exceed eigh­
teen percent. The retirement board is authorized to decrease the stable contribution rate, if warranted,
but in no event shall the stable contribution rate be less than fourteen percent.
i. A participating educational employer may elect to terminate participation in the stable contribution
option and resume payment of the actuarially required contribution of normal and administrative contri­
butions in accordance with sections five hundred seventeen and five hundred nineteen of this article.
Provided, however, that such participating educational employer which elects to terminate participation
shall make a reconciliation contribution to the retirement system, at an amount to be determined by the
retirement board, adequate to fund the benefits for active and retired members associated with such
participating educational employer had such participating educational employer not elected the provi­
sions of this subdivision. Such reconciliation contribution shall be made over a period not to exceed five
years and shall be made in addition to the normal and administrative contributions pursuant to sections
five hundred seventeen and five hundred nineteen of this article for the plan year in which such participat­
ing educational employer chooses to resume payment of the normal and administrative contributions
pursuant to sections five hundred seventeen and five hundred nineteen of this article. For the purposes
of determining the reconciliation contribution amount, the retirement board shall assume interest on the
deferred employer contribution amount at a rate which approximates the monthly average yield on United
States treasury securities at ten-year constant maturity for the twelve-month period preceding August
first of each year plus one percentage point. The interest rate associated with such deferred employer
contribution amount shall be specific to each applicable plan year’s deferred amount.
j. In the sixth plan year, commencing July first, two thousand eighteen, all participating educational
employers having elected the stable contribution option shall continue to contribute the stable
42
Ed. L. § 522
contribution amount to the retirement system and remit to the retirement system the accrued deferred
employer contributions accumulated in the first five plan years. The stable payment of the deferred
employer contribution accrued by the participating educational employer shall be paid to the retirement
system in equal annual installments over a five-year period, with interest on the unpaid portion to be
based on the monthly average yield on United States treasury securities at a ten-year constant maturity
for the twelve-month period preceding August first of each year plus one percentage point. The interest
rate associated with such deferred employer contribution amount shall be specific to the rate as mea­
sured on August first of the applicable plan year to such deferred amount. Payments of the stable install­
ments shall be made in the same manner as other employer contributions as prescribed in this article.
Nothing in this subdivision shall be construed as prohibiting such participating educational employer
from making a reconciliation contribution in accordance with paragraph i of this subdivision.
k. In the eighth plan year, commencing July first, two thousand twenty, all participating educational
employers having elected the stable contribution option shall resume payment of the actuarially required
contribution rate of normal and administrative contributions in accordance with section five hundred sev­
enteen and five hundred nineteen of this article. Additionally, such employer will remit to the retirement
system the accrued deferred employer contributions accumulated during the plan years commencing July
first, two thousand eighteen and July first, two thousand nineteen of the stable contribution option. The
stable payment of the deferred employer contribution accrued by the participating educational employer
shall be paid to the retirement system in equal annual installments over a five-year period with interest on
the unpaid portion to be based on the monthly average yield on United States treasury securities at a tenyear constant maturity for the twelve-month period preceding August first of each year plus one percent­
age point. The interest rate associated with such deferred employer contribution amount shall be specific
to the rate as measured on August first of the applicable plan year to such deferred amount. Payments of
the stable installments shall be made in the same manner as other employer contributions as prescribed
in this article. Nothing in this subdivision shall be construed as prohibiting such participating educational
employer from making a reconciliation contribution in accordance with paragraph i of this subdivision.
l. Notwithstanding the provisions of this subdivision, if the retirement board decides to adopt a stable
contribution option, in accordance with this subdivision, and the funded status of the retirement system
reaches a threshold below eighty percent at the end of any plan year during the seven plan year term of
this option, the option shall cease and participating educational employers who have elected the stable
contribution option shall resume payment of the actuarially required contribution rate of normal and
administrative contributions in accordance with section five hundred seventeen and five hundred nine­
teen of this article. Additionally, such employer will make a reconciliation contribution to the retirement
system, at an amount to be determined by the retirement board, adequate to fund the benefits for active
and retired members associated with such participating educational employer had such participating
educational employer not elected the provisions of this section. The payment of the deferred employer
contribution accrued by the participating educational employer shall be paid to the retirement system in
equal annual installments over a five-year period with interest on the unpaid portion to be based on the
monthly average yield on United States treasury securities at a ten-year constant maturity for the twelve­
month period preceding August first of each year plus one percentage point. The interest rate associated
with such deferred employer contribution amount shall be specific to the rate as measured on August first
of the applicable plan year to such deferred amount. Payments of the stable installments shall be made
in the same manner as other employer contributions as prescribed in this article.
m. The retirement board is authorized to promulgate rules and regulations for implementation of this
subdivision. [Subdivision 3 added L. 2013, ch. 57, Part BB, in effect April 1, 2013.]
§ 522. Transfer of contributions between retirement systems. 1. Any contributor, withdrawing
from the retirement system and at such time giving notice to the retirement board of his intention of
becoming within two years a member of another teachers retirement system which is being operated on
an actuarial basis either under the laws of this state or under the laws of another state, provided the sys­
tem has a provision similar to this provision permitting reciprocal transfer, may, upon depositing within two
years his accumulated contributions in such other retirement system or if the member had no accumulated
contributions credited to his individual account in the retirement system, upon joining such other retire­
ment system within two years, apply to the retirement board for a transfer from the pension accumulation
43
Ed. L. § 522
fund to the corresponding fund of such other retirement system of the amount of his pension reserve as of
the time when he withdrew his contributions from the annuity savings fund or filed a notice of withdrawal
with the system, and the retirement board shall transfer to such other retirement system the amount of
such reserve, provided that if such other retirement system is not under the laws of this state, credit for a
pension benefit of equivalent actuarial value to the amount of reserve transferred shall be given the teacher
in the other retirement system and that the retirement board is satisfied that the retirement system to which
said transfer is made is on a solvent basis. [As amended L. 1957, ch. 159 in effect Mar. 23, 1957; L. 1966,
ch. 280 as of May 3, 1966 effective retro. to Oct. 1, 1964.]
2. Any contributor entering the retirement system after having withdrawn from another retirement sys­
tem and having given notice at the time of withdrawal to the retirement board of such system of his inten­
tion of becoming within one year a member of the retirement system, may deposit in the annuity savings
fund the amount of his accumulated contributions withdrawn from such other retirement system or if the
member had no accumulated contributions credited to his individual account in such other retirement
system, such member shall in lieu of depositing moneys in the annuity savings fund, file a notice of intent
to transfer pursuant to rules and regulations adopted by the retirement board. Within one year of such
deposit or the filing of a notice of intent to transfer as provided by this subdivision, the pension reserve
to his credit in such other retirement system, if such other retirement system is operated upon an actu­
arial basis under the laws of this state, shall be transferred, and if such other system is operated upon an
actuarial basis under the laws of another state, may be transferred to the pension accumulation fund.
Notwithstanding anything to the contrary in this article, such contributor shall be classified in this retire­
ment system as a present teacher or as a new entrant accordingly as he would have been classified had
the service rendered in the other retirement system been rendered while a member of this retirement
system. A person so transferred to this retirement system or who has heretofore transferred to this retire­
ment system shall be deemed to have been a member of this retirement system during the entire period
of membership service credited to him in the system from which he has transferred. Such transferee,
however, shall not receive more than three percent interest on his contributions and accumulated contri­
butions unless he has continuously been a member in either the system from which he has transferred or
in this retirement system since a date prior to the first day of July, nineteen hundred forty-eight. This shall
not be construed to prevent a change in the interest rate to such member if the interest rate payable to
other members of this retirement system is changed. In case he comes from a retirement system not
under the laws of this state, he shall be given a prior service certificate showing a period of service such
that the liability incurred by the retirement system on his account by reason of prior service shall be equal
in amount to the amount of the reserve so transferred, provided that in no case shall such a contributor
who is classified as a new entrant be given less credit in his prior service certificate than he would have
received had no reserve been transferred on his account. In case a contributor transfers between retire­
ment systems under the laws of this state, he shall be credited in the system to which he is transferring
with all service allowed to him in the first system. Such contributor, notwithstanding any other provision
of law, shall on retirement after three years of service in the second retirement system be entitled to a
pension based on a final average salary earned during any five consecutive years of service in either
retirement system or in both retirement systems together, whichever average amount may be the greater,
with the condition that no such contributor shall be entitled on retirement within three years of the date
of his transfer to a greater pension for such service rendered before his transfer than he would have
received had he remained under the pension provisions of the first retirement system. [Subdivision (2)
amended L. 1957, ch. 419 in effect April 12, 1957, L. 1959, ch. 154 in effect March 24, 1959; Sec. 522
amended L. 1976, Ch. 219 in effect May 26, 1976.*]
3. Notwithstanding any other provisions of the law, a former member of the New York city teachers
retirement system who holds membership in the New York state teachers retirement system on the effec­
tive date of this act and who would have been entitled to transfer service credit to such latter retirement
system pursuant to this section had his membership in the former retirement system not terminated, due
to no negligence on the part of the member, may have his transfer rights under this section restored by
depositing, within one year of the effective date of this act, in the former retirement system an amount
*For additional information regarding transfers see Section 43 of the Retirement and Social Security Law, Chapter
457 of the Laws of 1970, and Sec. 29 of Chapter 510 of the Laws of 1974.
44
Ed. L. § 523/524
equal to the contributions withdrawn from such system with regular interest thereon. [Sub. 3 added L.
1977, ch. 974 in effect August 11, 1977; See also subdivision h. of Sec. 43 of Ret. & S.S.L. added by L.
1977, ch. 974 in effect August 11, 1977.]
4. In the case of a member of the New York city teachers’ retirement system with a membership date
prior to July twenty-seventh, nineteen hundred seventy-six and not less than twenty years of credited
service in that system who has transferred his/her membership to the system pursuant to this section or
section forty-three of the retirement and social security law, as applicable and is a member of the system
on or after July first, nineteen hundred ninety-eight, the actuary shall compute the actuarial accrued lia­
bility for the member’s pension under subdivision five of section five hundred thirty-five of this article
immediately following transfer as if such member had always been a member of the system, using the
service credited to such member which was transferred to the system, the member’s salary in connection
with such service and the actuarial assumptions used to compute pension reserves pursuant to subdivi­
sion one of this section. If the sum of the reserve-for-increased-take-home-pay, if any, and the pension
reserve received by the system from the New York city teachers’ retirement system in respect of such
member exceeds such accrued liability as determined by the actuary, such excess shall be allocated as
of the date of the receipt of such reserve-for-increased-take-home-pay to the annuity savings fund for the
benefit of such member and shall be treated as if it had been contributed to such fund by the member,
provided, however, that, in no event, may the amount so allocated to the annuity savings fund as provided
herein exceed the amount of such reserve-for-increased-take-home-pay, if any, actually received from
the New York city teachers’ retirement system. In the case of any member retiring prior to July first, two
thousand one, any accumulated contributions to the credit of such member in the annuity savings fund
as of the member’s date of retirement resulting from a determination of the actuary pursuant to this sub­
division shall be paid to the retiree in a lump sum with interest at the rate of five per centum per annum
from the date of retirement to the date of payment. The retirement board is authorized to promulgate such
rules and regulations as it may deem necessary or appropriate to implement this subdivision. [Subdivision
4 added L. 2002, ch. 667 in effect July 1, 1998.]
5. Notwithstanding any other provision of law to the contrary, except for the purposes of providing the
benefits, if any, of subdivision four of this section, with respect to transfers pursuant to this section which
occur on or after the effective date of this subdivision, no transfer of a pension reserve pursuant to sub­
division one or two of this section shall be required when the member is transferring from a public
employee retirement system of this state to any other public employee retirement system of this state.
For the purpose of giving the transferring member such status and crediting such service in the retirement
system to which the member is transferring as such member was allowed in the retirement system from
which the member has transferred, the transfer shall be deemed complete upon receipt by the transferee
retirement system of (a) a statement from the transferor retirement system of the transferring member’s
date of membership in the transferor retirement system, tier status, service credited to the transferred
membership, and such other information as the transferee retirement system may require to effectuate
the transfer, and (b) such member’s accumulated contributions from the transferor retirement system, if
same had not been previously withdrawn, or notice from the transferor retirement system that such mem­
ber had no accumulated contributions, or notice from the transferor retirement system that such mem­
ber’s accumulated contributions had been withdrawn and the amount thereof and, as applicable, receipt
from such member of such member’s accumulated contributions and interest. [Subdivision 5 added L.
2004, ch. 647 in effect October 26, 2004; amended L. 2009, ch. 41, became a law May 26, 2009 effective
retro. to Oct. 26, 2004.]
§ 523. State supervision. The operation of the retirement system shall be subject to the supervi­
sion of the state department of financial services. [Amended L. 2011, ch. 62, Part A, §104 in effect Octo­
ber 3, 2011.]
§ 524. Exemption from taxation and execution. The right of a teacher to a pension, an annuity, or
a retirement allowance, to the return of contributions, any benefit or right accrued or accruing to any per­
son under the provisions of this article, and the moneys in the various funds created hereunder, are hereby
exempt from any state or municipal tax, and shall not be subject to execution, garnishment, attachment or
any other process whatsoever, and shall be unassignable except as in this article specifically provided.
45
Ed. L. § 525/526/527/528
§ 525. Protection against fraud. 1. Any person who shall knowingly make any false statement, or
shall falsify or permit to be falsified any record or records of this retirement system in any attempt to
defraud such system as a result of such act, shall be guilty of a misdemeanor, and shall be punishable
therefor* under the laws of the state of New York.
2. Any violation of subdivision one of this section that results in a member or beneficiary of the retire­
ment system receiving a benefit or payment in excess of one thousand dollars more than he or she would
have been entitled to shall be a class E felony. Any violation of subdivision one of this section that results
in a member or beneficiary of the retirement system to receive a benefit or payment in excess of three
thousand dollars more than he or she would have been entitled to shall be a class D felony.
3. Should any change or error in records result in any employee or beneficiary receiving from the retire­
ment system more or less than he would have been entitled to receive had the records been correct, then,
on the discovery of any such error, the retirement board shall correct such error, and, as far as practica­
ble, shall adjust the payments in such a manner that the actuarial equivalent of the benefit to which he
was correctly entitled shall be paid. [Subdivision 2 added L. 2008, ch. 640 in effect October 7, 2008.]
§ 526. Merger of local teachers retirement and pension systems with the state system. (omitted)
§ 527. Special annuity payment. Notwithstanding any other provision of law to the contrary the
retirement board shall determine the annuity payable as of the date of retirement to each member of the
system retired prior to the twenty-eighth day of August, nineteen hundred fifty-eight, on the basis of the
mortality tables in force either on the first day of July, nineteen hundred forty or the date such person
joined the system, whichever occurred later, and shall cause any additional amount which would have
been paid from the date of retirement had the annuity been determined on such basis at retirement, to be
paid to any retired member, his designated beneficiary or estate, provided an application is filed with the
retirement board in the manner prescribed by the retirement board and thereafter any such annuity as so
determined shall be paid to each such retired member or his designated beneficiary. [Added L. 1959, ch.
141 in effect March 23, 1959.]
(Section 527 enacted without section heading)
§ 528. Pensions-providing-for-increased-take-home-pay. 1. Notwithstanding any other provi­
sions of law to the contrary.
a. beginning with the payroll period the first day of which is nearest to April first, nineteen hundred
sixty, and ending with the payroll period immediately prior to that the first day of which is nearest to April
first, nineteen hundred seventy, the contribution of each member of the retirement system who is a
teacher within the provisions of subdivision four of section five hundred one of this article in the employ
of the state of New York shall be reduced by five per centum of the compensation paid such member, and
b. beginning with the payroll period the first day of which is nearest to April first, nineteen hundred
sixty-four, and ending with the payroll period immediately prior to that the first day of which is nearest to
April first, nineteen hundred seventy, the contribution of each member of the retirement system who is a
teacher within the provisions of subdivision four of section five hundred one of this article in the employ
of the state of New York shall be reduced by an additional three per centum of the compensation paid
such member, and
c. beginning with the payroll period the first day of which is nearest to April first, nineteen hundred sixtysix, and ending with the payroll period immediately prior to that the first day of which is nearest to April
first, nineteen hundred seventy, the contribution of each member of the retirement system who is a teacher
within the provisions of subdivision four of section five hundred one of this article in the employ of the state
of New York whose rate of contribution is in excess of eight per centum shall be suspended.
Where a member’s rate of contribution is less than the per centum by which his contribution is reduced,
such rate shall be discontinued. A member whose rate of contribution shall be reduced pursuant to the
provisions of this subdivision shall be deemed to have elected to have his rate so reduced unless he files
an election pursuant to the provisions of subdivision two of this section. [Subdivision (1) amended by
adding par. (c) L. 1966, ch. 990 in effect Aug. 3, 1966.]
*So in original. Should read “therefore”.
46
Ed. L. § 529
2. Any member whose rate of contribution is reduced pursuant to the provisions of subdivision one of
this section may by a written notice, duly acknowledged and filed with the retirement board within one
year after such reduction or within one year after he last became a member, whichever is later, elect to
make an additional contribution in addition to other contributions otherwise allowed in this article equal
to the amount of such reduction. One year or more after the filing of such notice a member may withdraw
such election by filing a written notice duly acknowledged and filed with the retirement board.
3. For the period of time as the provisions of this section shall be in effect, contributions for each member
of the system whose rate of contribution is reduced by virtue of the provisions of subdivision one of this
section shall be made to the pension accumulation fund by the state of New York in the same manner and
at the same time as other contributions made by the state as employer of members of the retirement system
at a rate fixed by the actuary which shall be computed to be sufficient to provide pensions-providing-for­
increased-take-home-pay and other benefits which become payable on account of members in the employ
of the state. The actuary engaged by the retirement board shall compute an additional contribution to be
known as the “special deficiency contribution to provide a reserve-for-increased-take-home-pay.” The
amount of the reserve-for-increased-take-home-pay shall be the present value of that per centum of the
member’s compensation by which his contribution is reduced, or would otherwise be reduced if his rate of
contribution equaled or exceeded eight per centum, during the period for which his rate of contribution was
reduced as provided in subdivision one, plus regular and additional interest thereon to the date that pension
and other benefits become payable. [Subdivision (3) amended L. 1965, ch. 817 in effect July 1, 1965.]
4. Upon retirement a member whose rate of contribution shall be reduced pursuant to the provisions
of subdivision one of this section will receive, in addition to the annuity and other pension benefits pro­
vided by this article, a pension which is the actuarial equivalent of the reserve-for-increased-take-home­
pay to which he may be entitled, if any.
5. In addition to the return of accumulated contributions and the death benefit provided by the provi­
sions of section five hundred twelve of this article, upon the death of a member who died before the
effective date of his retirement and was in service upon which his membership was based when he died
or was on the payroll in such service and paid within a period of twelve months prior to his death and had
not been otherwise gainfully employed since he ceased to be on such payroll, and provided further, he
had credit for one or more years of service while actually a member, then the reserve-for-increased-take­
home-pay attributable to such member shall be paid in the same manner and at the same time as the
death benefit is paid by reason of such member’s membership in the retirement system.
6. The reserve-for-increased-take-home-pay shall be a portion of the pension accumulation fund and
upon the retirement of a new entrant an amount equal to the reserve-for-increased-take-home-pay for
such member shall be transferred from the pension accumulation fund to the pension reserve fund.
7. If a person has been a member of the retirement system and contributions have been made by the
state as his employer to provide a reserve-for-increased-take-home-pay and such person has ceased to
be a member of the system and upon rejoining the retirement system claims credit for such period, the
member shall not be required to pay for such years of service as a contribution shall have been made by
the state for pensions-providing-for-increased-take-home-pay pursuant to the provisions of this section.
8. Commencing with the payroll period the first day of which is nearest to April first, nineteen hundred
sixty-one, the provisions of this section shall not apply to any member for any period or periods during
which he ceases or has ceased contributing toward retirement pursuant to subdivision one of section five
hundred sixteen of this article, provided, however, that such member shall receive credit pursuant to this
section for such period or periods for which he contributes or has contributed toward retirement. [Sec.
528 added L. 1960, ch. 337 in effect March 31, 1960; amended L. 1961, ch. 334; L. 1962, ch. 65; L. 1963,
ch. 73; L. 1964, ch. 180 and ch. 186; L. 1965, ch. 22; L. 1966, ch. 22; L. 1967, ch. 158; L. 1968, ch. 612
in effect June 12, 1968 retroactive to Mar. 28, 1968; L. 1969, ch. 758 in effect May 22, 1969. Subdivision
(8) added L. 1961, ch. 334 in effect April 6, 1961.]
§ 529. Pensions providing for increased take home pay for certain teachers. Notwithstanding
any other provisions of law to the contrary, beginning with the payroll period the first day of which is near­
est to April first, nineteen hundred sixty-one and ending with the payroll period immediately prior to that
the first day of which is nearest to April first, nineteen hundred seventy, any member of the retirement
system who is a teacher within the provisions of subdivision four of section five hundred one of this article
47
Ed. L. § 530
in the employ of a community college shall be deemed for the purposes of providing pensions for increased
take home pay to be a teacher within the provisions of section five hundred twenty-eight of this article,
provided that the board of trustees of the community college employing such teacher files with the retire­
ment board a certified copy of the resolution, approved by the local sponsor acting through its local
legislative body or board or other appropriate governing agency, of such board of trustees resolving that
teachers employed in such community college shall be eligible for pensions providing for increased take
home pay. Such resolution shall also specify the per centum of their compensation by which their contri­
butions shall be reduced, which shall be five per centum unless eight per centum is specifically desig­
nated. In the event that such an approved resolution is so filed, the contributions of such teachers so
employed in such community college shall be reduced by either five per centum or eight per centum of
their compensation, as provided in such resolution, in the manner prescribed in section five hundred
twenty-eight of this article beginning with the payroll period the first day of which is nearest to the first
day of the month following the day such certified approved resolution is filed, and thereafter the contribu­
tions for each member of the retirement system employed by such community college whose rate of
contribution is reduced by virtue of the provisions of this section and section five hundred twenty-eight
of this article shall be made to the pension accumulation fund by such community college, the local spon­
sor, the local legislative body or board or other appropriate governing agency in the same manner and at
the same time as other contributions are made by such community college, the local sponsor, the local
legislative body or board or other appropriate governing agency as the employer of members of the retire­
ment system at a rate to be fixed in accordance with the procedure prescribed in section five hundred
twenty-eight of this article, and all applicable provisions of said section five hundred twenty-eight subject
to the applicable per centum of a teacher’s compensation by which his contribution shall be reduced shall
apply to such community college, the local sponsor, the local legislative body or board or other appropri­
ate governing agency and to members of the retirement system employed by such board of trustees.
[Sec. 529 added L. 1961, ch. 726 in effect April 18, 1961; amended L. 1962, ch. 65; L. 1963, ch. 73; L.
1964, ch. 180 and ch. 186; L. 1965, ch. 22; L. 1966, ch. 22; L. 1967, ch. 158; L. 1968, ch. 612 in effect
June 12, 1968 retroactive to Mar. 28, 1968; L. 1969, ch. 758 in effect May 22, 1969.]
§ 530. Pensions-providing-for-increased-take-home-pay-for-teachers. 1. Notwithstanding any
other provision of law to the contrary, a. beginning on the first day of July, nineteen hundred sixty-five,
and ending on the thirtieth day of June, nineteen hundred seventy, the contribution of each member of
the retirement system who is a teacher within the provisions of subdivision four of section five hundred
one of this article who is not in the employ of the state of New York or who is not in the employ of a com­
munity college shall be reduced by five per centum of the compensation paid such member, and
b. beginning on the first day of July, nineteen hundred sixty-seven and ending on the thirtieth day of
June, nineteen hundred seventy, the contribution of each member of the retirement system who is a
teacher within the provisions of subdivision four of section five hundred one of this article who is not in
the employ of the state of New York or who is not in the employ of a community college shall be reduced
by an additional three per centum of the compensation paid such member.
Where a member’s rate of contribution is less than the per centum by which his contribution is reduced,
such rate shall be discontinued. A member whose rate of contribution shall be reduced pursuant to the
provisions of this subdivision shall be deemed to have elected to have his rate so reduced unless he filed
an election pursuant to the provisions of subdivision two of this section. [Subdivision (1) amended L.
1966, ch. 516 in effect July 1, 1966.]
2. Any member whose rate of contribution is reduced pursuant to the provisions of subdivision one of
this section may by a written notice, duly acknowledged and filed with the retirement board within one
year after such reduction or within one year after he last became a member, whichever is later, elect to
make an additional contribution in addition to other contributions otherwise allowed in this article equal
to the amount of such reduction. One year or more after filing of such notice a member may withdraw
such election by filing a written notice duly acknowledged and filed with the retirement board.
3. For the period of time as the provisions of this section shall be in effect, contributions for each member
of the system whose rate of contribution is reduced by virtue of the provisions of subdivision one of this sec­
tion shall be made to the pension accumulation fund by his employer in the same manner and at the same
time as other contributions made by the employer as employer of members of the retirement system at a rate
48
Ed. L. § 531
fixed by the actuary which shall be computed to be sufficient to provide pensions providing-for-increased­
take-home-pay-for-teachers, and other benefits which become payable on account of members not employed
by the state of New York or by a community college. The actuary engaged by the retirement board shall
compute an additional contribution to be known as the “special deficiency contribution to provide a reserve­
for-increased-take-home-pay-for-teachers.” The amount of the reserve-for-increased-take-home-pay-for­
teachers shall be the present value of that per centum of the member’s compensation by which his contribution
is reduced, or would otherwise be reduced if his rate of contribution equaled or exceeded eight per centum,
during the period for which his rate of contribution was reduced as provided in subdivision one, plus regular
and additional interest thereon to the date that pension and other benefits become payable. [Subdivision (3)
amended L. 1965, ch. 817 in effect July 1, 1965; L. 1966, ch. 516 in effect July 1, 1966.]
4. Upon retirement a member whose rate of contributions shall be reduced pursuant to the provisions
of subdivision one of this section will receive, in addition to the annuity and other pension benefits pro­
vided by this article, a pension which is the actuarial equivalent of the reserve-for-increased-take-home­
pay-for-teachers to which he may be entitled, if any.
5. In addition to the return of accumulated contributions and the death benefit provided by the provi­
sions of section five hundred twelve of this article, upon the death of a member who died before the
effective date of his retirement and was in service upon which his membership was based when he died
or was on the payroll in such service and paid within a period of twelve months prior to his death and had
not been otherwise gainfully employed since he ceased to be on such payroll, and provided further, he
had credit for one or more years of service while actually a member, then the reserve-for-increased-take­
home-pay-for-teachers attributable to such member shall be paid in the same manner and at the same
time as the death benefit is paid by reason of such member’s membership in the retirement system.
6. The reserve-for-increased-take-home-pay-for-teachers shall be a portion of the pension accumula­
tion fund and upon the retirement of a new entrant an amount equal to the reserve-for-increased-take­
home-pay-for-teachers for such member shall be transferred from the pension accumulation fund to the
pension reserve fund.
7. If a person has been a member of the retirement system and contributions have been made by his
employer to provide a reserve-for-increased-take-home-pay-for-teachers and such person has ceased to
be a member of the system and upon rejoining the retirement system claims credit for such period, the
member shall not be required to pay for such years of service as a contribution shall have been made by
his employer for pensions providing-for-increased-take-home-pay-for-teachers pursuant to the provi­
sions of this section.
8. The provisions of this section shall not apply to any member for any period or periods during which
he ceases or had ceased contributing toward retirement pursuant to subdivision one of section five hun­
dred sixteen of this article, provided, however, that such member shall receive credit pursuant to this
section for such period or periods for which he contributes or has contributed toward retirement.
9. Each member of the retirement system as defined in subdivision one of this section who is employed
in the city school districts of the cities of Buffalo and Yonkers may have his contribution reduced pursuant
to this section by five percentum of the compensation paid such member during the school year com­
mencing July first, nineteen hundred sixty-four, provided his employer shall adopt and file with the retire­
ment board a resolution to such effect prior to July first, nineteen hundred sixty-four. [Sec. 530 added L.
1964, ch. 299 and ch. 300 in effect April 3, 1964; L. 1968, ch. 612 in effect June 12, 1968 retroactive to
Mar. 28, 1968; L. 1969, ch. 758 in effect May 22, 1969.]
§ 531. Abandonment of unclaimed contributions or other benefits; transfer to the pension accu­
mulation fund. 1. Except as otherwise specifically provided by this article, after at least seven years
have elapsed since the member or contributor withdrew from service or ceased to be a teacher for any
cause other than death or retirement or seven years have elapsed from the date any other person became
entitled to a benefit pursuant to this article, the retirement board may send a statement to such person at
the last known address of the person setting forth the amount of the accumulated contributions or other
benefits standing to the credit of such person and give notice to said person that unless he demands
payment of said amount prior to a date at least one year from the date the notice is given, said amount
will be deemed abandoned and will be transferred by the retirement board to the pension accumulation
fund. [As amended L. 1992, ch. 341 in effect July 1, 1992.]
49
Ed. L. § 532
2. The retirement board shall cause to be published at least once in an appropriate publication of the
New York state department of education, a publication for professional educators or in a periodical of
general circulation, a list setting forth the names of persons who have unclaimed accumulated contribu­
tions or other benefits in the New York state teachers retirement system. [As amended L. 1973, ch. 735
in effect July 1, 1973.]
3. At the expiration of six months from the date of the publication of the notices required by subdivision
two of this section, the accumulated contributions or other benefits of the persons so listed shall be
deemed abandoned and shall be placed in the pension accumulation fund to be used for the purposes of
said fund.
4. Any accumulated contributions or other benefits so deemed abandoned and transferred to the pen­
sion accumulation fund may be claimed by the person entitled to the accumulated contributions or other
benefits, or in the event of his death by his estate or by such person or persons as he shall have nomi­
nated to receive such accumulated contributions, by filing a claim with the retirement board in such form
and in such manner as may be prescribed by the retirement board, seeking the return of such abandoned
accumulated contributions or other benefits without interest, and in the event such claim is properly
made the retirement board shall pay over to the person or persons or estate making such claim the
amount of such accumulated contributions or other benefits without interest. The payment shall be made
from the pension accumulation fund. [Sec. 529 added L. 1961, ch. 110 in effect March 13, 1961; renum­
bered L. 1962, ch. 65; L. 1964, ch. 299; amended L. 1975, ch. 211 in effect June 17, 1975.]
5. Notwithstanding any provision of this section to the contrary and in lieu of any other procedure pro­
vided for in this section, the retirement board is authorized to mandate the distribution of unclaimed
amounts not to exceed one thousand dollars in each case to former members or contributors, or persons
entitled to a benefit from the system, in cases in which at least seven years have elapsed since the mem­
ber or contributor withdrew from service or ceased to be a teacher for any cause other than death or
retirement or at least seven years have elapsed from the date any other person became entitled to a
benefit from the system pursuant to any provision of this chapter or of the retirement and social security
law. [Subdivision 5 added L. 2009, ch. 220 in effect July 14, 2009.]
§ 532. Supplemental retirement allowance. *a. A supplemental retirement allowance shall be paid
to pensioners who have retired from the retirement system prior to the calendar year nineteen hundred
ninety-three. Such supplemental retirement allowance shall be payable on the basis provided for herein,
commencing with a payment for the month of September, nineteen hundred ninety-eight and continuing
through the month of August, two thousand. Said supplemental retirement allowance shall be a percentage
of the retirement allowance otherwise payable, computed without optional modification, but 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. Said percentage, for each calendar year of retirement, is set forth in subdivi­
sion b of this section. Said supplemental retirement allowance shall be computed on the basis of the first
thirteen thousand five hundred dollars of such annual retirement allowance shall be payable commencing
September first, nineteen hundred ninety-eight to all disability pensioners and recipients of an accidental
death benefit, and to other pensioners who have attained age sixty-two or who have been retired for ten or
more years and have attained age fifty-five. [Subdivision a. amended L. 1988, ch. 8 in effect Sept. 1, 1987;
amended L. 1995, ch. 119 in effect July 1, 1995; L. 1998, ch. 390 in effect July 17, 1998.]
**b. 1. In calculating the supplemental retirement allowance in accordance with subdivision a of this
section, the following percentages will be used for each calendar year of retirement, as appropriate:
Calendar year of retirement
1992
1991
1990
1989
Percentage
1.5
1.5
1.5
2.8
*Effective September 1, 1999.
**Effective until September 1, 1999.
50
Ed. L. § 532
Calendar year of retirement
1988
1987
1986
1985
1984
1983
1982
1981
1980
1979
1978
1977
1976
1975
1974
1973
1972
1971
1970
1969
1968
1967
1966
1965
1964
1963
1962
1961
1960
1959
1958
1957
Percentage
3.7
4.5
5.5
6.3
7.4
8.3
10.5
12.5
15.6
19.9
25.4
30.3
37.8
42.5
54.0
73.0
86.0
96.7
105.0
141.8
169.0
195.9
203.7
230.5
254.5
278.6
310.0
330.0
340.0
390.0
427.3
442.3
The supplemental retirement allowance should be rounded off to the nearest dollar. [Subdivision b
amended L. 1995, ch. 119 in effect July 1, 1995; L. 1998, ch 390 in effect July 17, 1998.]
1-a. For those pensioners retired from the retirement system prior to the calendar year nineteen hun­
dred fifty-seven the percentage referred to in this section shall be determined by the ratio of two indexes,
in the following manner. The average of the twelve monthly consumer price indexes of the calendar year
nineteen hundred ninety-five divided by the average of the twelve monthly consumer price indexes of the
calendar year of retirement shall be the ratio of the indexes. Said ratio, minus one, shall be expressed as
a percentage and shall be adjusted to the lower one-tenth of one per centum. Such adjusted percentage
shall be the percentage of the retirement allowance, computed without optional modification, which is
payable as a supplement. Such percentage shall be computed by the actuary and certified to the retire­
ment board which shall, by directive, promulgate a schedule of percentages by year of retirement to be
used for this purpose. The supplemental retirement allowance shall be rounded off to the nearest dollar.
*a. A supplemental retirement allowance shall be paid to pensioners who have retired from the retirement
system prior to the calendar year nineteen hundred ninety-four. Such supplemental retirement allowance
shall be payable on the basis provided for herein, commencing with a payment for the month of September,
nineteen hundred ninety-nine and continuing through the month of August, two thousand. Said supplement
retirement allowance shall be a percentage of the retirement allowance otherwise payable, computed with­
out optional modification, but excluding any annuity derived from voluntary contributions made by
*Effective September 1, 1999.
51
Ed. L. § 532
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. Said percentage, for each
calendar year of retirement, is set forth in subdivision b of this section. Said supplemental retirement allow­
ance shall be computed on the basis of the first fourteen thousand dollars of such annual retirement allow­
ance and shall be payable commencing September first, nineteen hundred ninety-nine to all disability
pensioners and recipients of an accidental death benefit, and to other pensioners who have attained age
sixty-two or who have been retired for ten or more years and have attained age fifty-five. [Subdivision a.
amended L. 1988, ch. 8 in effect Sept. 1, 1987; amended L. 1995, ch. 119 in effect July 1, 1995; L. 1998,
ch. 390 in effect July 17, 1998.]
*b. 1. In calculating the supplemental retirement allowance in accordance with subdivision a of this
section, the following percentages will be used for each calendar year of retirement, as appropriate:
Calendar year of retirement
1993
1992
1991
1990
1989
1988
1987
1986
1985
1984
1983
1982
1981
1980
1979
1978
1977
1976
1975
1974
1973
1972
1971
1970
1969
1968
1967
1966
1965
1964
1963
1962
1961
1960
1959
1958
1957
Percentage
1.5
1.5
1.5
1.5
2.8
3.7
4.5
5.5
6.3
7.4
8.3
10.5
12.5
15.6
19.9
25.4
30.3
37.8
42.5
54.0
73.0
86.0
96.7
105.0
141.8
169.0
195.9
203.7
230.5
254.5
278.6
310.0
330.0
340.0
390.0
427.3
442.3
*Effective until September 1, 1999.
52
Ed. L. § 532
The supplemental retirement allowance shall be rounded off to the nearest dollar. [Subdivision b.
amended L. 1995, ch. 119 in effect July 1, 1995; L. 1998, ch. 390 in effect July 17, 1998.]
1-a. For those pensioners retired from the retirement system prior to the calendar year nineteen hun­
dred fifty-seven the percentage referred to in this section shall be determined by the ratio of two indexes,
in the following manner. The average of the twelve monthly consumer price indexes of the calendar year
nineteen hundred ninety-five divided by the average of the twelve monthly consumer price indexes of the
calendar year of retirement shall be the ratio of the indexes. Said ratio, minus one, shall be expressed as
a percentage and shall be adjusted to the lower one-tenth of one per centum. Such adjusted percentage
shall be the percentage of the retirement allowance, computed without optional modification, which is
payable as a supplement. Such percentage shall be computed by the actuary and certified to the retire­
ment board which shall, by directive, promulgate a schedule of percentages by year of retirement to be
used for this purpose. The supplemental retirement allowance shall be rounded off to the nearest dollar.
c. The benefits herein above provided for shall be in lieu of the benefits presently provided by section
five hundred ten and articles four and six of the retirement and social security law, unless such benefits
are in excess of those provided by this section, in which latter case such benefits shall be paid by the
retirement system pursuant to this section. [Amended L. 1995, ch. 119 in effect July 1, 1995.]
d. Notwithstanding any other provision of law, the widow or widower of a deceased retired teacher,
who had elected one of the options under section five hundred thirteen of this article which provides that
benefits are to be continued for life to the widow or widower after the death of the teacher, shall be
entitled to receive a monthly supplemental retirement allowance pursuant to this subdivision. Such
monthly supplemental retirement allowance shall commence (1) with the payment for the month of Sep­
tember, nineteen hundred seventy-eight, or (2) the month following commencement of widowhood or
widowerhood, whichever is later. The amount of the supplemental retirement allowance provided by this
subdivision shall be one-half of the amount which would have been payable to the retiree as a supple­
mental retirement allowance, had he or she survived. [Sub. d inserted L. 1970, ch. 946 in effect Sept. 1,
1970; amended L. 1978, ch. 343 in effect Sept. 1, 1978; amended L. 1984, ch. 658 in effect September
1, 1984.]
e. *1. Each pensioner of the retirement system who retired before July first, nineteen hundred seventy
shall be paid, commencing with a payment for the month of July two thousand one a basic supplemental
pension, the total of which when added to his yearly retirement allowance computed without optional
modification, but excluding any annuity derived from contributions made by members, pursuant to para­
graphs a and b of subdivision three of section five hundred sixteen, section five hundred twenty-eight,
section five hundred twenty-nine, section five hundred thirty, section five hundred thirty-three and section
five hundred thirty-five of this article, shall equal the lesser of seventeen thousand five hundred dollars or
the sum of five hundred dollars multiplied by the number of years of full-time New York state service not
to exceed thirty-five years with which he was credited at the time of his retirement. [Amended L. 1995, ch.
119 in effect July 1, 1995; L. 1998, ch. 390 in effect July 17, 1998; L. 2001, ch. 580 in effect July 1, 2001.]
2. The benefits provided for pursuant to this subdivision shall be in lieu of the benefits provided by
articles four and six of the retirement and social security law, subdivisions a, b and c of this section, and
subdivision f of section five hundred thirty-two-a of this article, unless such a retired member would be
eligible to receive a greater benefit pursuant to any of such provisions, in which latter case this subdivi­
sion shall not apply. [Sub. e relettered sub. f; new sub. e added L. 1973, ch. 383 in effect May 31, 1973;
amended L. 2001, ch. 580 in effect July 1, 2001.]
f. Contributions shall be made to the supplemental retirement allowance fund by, or on account of,
each employer at a rate computed by the actuary and approved by the retirement board, which shall be
computed to be sufficient to provide the benefits established by this section which are payable during the
period of time that this section shall be in effect. The retirement board may from time to time transfer suf­
ficient monies from the pension accumulation fund to the supplemental retirement allowance fund to
meet the obligations imposed by this section. Such advances shall be restored to the pension accumula­
tion fund pursuant to paragraph a of subdivision two of section five hundred twenty-one of this article.
[Subdivision f. amended L. 1997, ch. 553 in effect September 10, 1997.]
*Effective until September 1, 1999.
53
Ed. L. § 532-a
g. 1. Commencing July first, nineteen hundred eighty-three, an additional supplemental pension shall be
paid to those pensioners who on June thirtieth, nineteen hundred eighty-three were receiving supplemen­
tal benefits computed pursuant to article four of the retirement and social security law or computed pursu­
ant to paragraph one of subdivision e of this section as it read prior to amendment by chapter four hundred
seven of the laws of nineteen hundred seventy-seven. Such additional supplemental pension shall equal
ten percent of the total of the supplemental pension paid to such pensioner pursuant to article four of the
retirement and social security law or paragraph one of subdivision e of this section as it read prior to
amendment by chapter four hundred seven of the laws of nineteen hundred seventy-seven, and the yearly
retirement allowance computed without optional modification, but excluding any annuity derived from
voluntary contributions made by members, pursuant to paragraphs a and b of subdivision three of section
five hundred sixteen, section five hundred twenty-eight, section five hundred twenty-nine, section five
hundred thirty, section five hundred thirty-three and section five hundred thirty-five of this article.
2. The benefits provided pursuant to paragraph one of this subdivision shall be in lieu of the benefits
provided by any other provision of law, unless such a pensioner would be eligible to receive a greater
benefit pursuant to any such other provision, in which latter case this subdivision shall not apply. [Sec.
532 added L. 1968, ch. 1084 in effect July 1, 1968; amended L. 1969, ch. 858 in effect May 22, 1969; L.
1970, ch. 857 in effect July 1, 1970; sub. d relettered e L. 1970, ch. 946 in effect Sept. 1, 1970; amended
L. 1971, ch. 454 in effect June 17, 1971; L. 1972, ch. 283 in effect May 15, 1972; L. 1972, ch. 345 in effect
July 1, 1972; L. 1973, ch. 1046 in effect July 31, 1973; par. 2, sub. b, par. 2, sub. e added, par. 1, sub. e
amended, par. 2, sub. e renumbered par. 3 L. 1974, ch. 426 in effect May 23, 1974; par. 2, sub. e amended
L. 1974, ch. 747 in effect June 7, 1974; sub. a, par. 2, sub. b, par. 1, sub. e amended L. 1977, ch. 407;
sub. a, par. 2, sub. b amended L. 1978, ch. 342 in effect July 1, 1978; sub. a, par. 2, sub. b, par. 1, sub. e
amended L. 1979, ch. 322 in effect June 29, 1979; sub. a, par. 1 and 2, sub. b, par. 1, sub. e amended and
sub. g added L. 1981, ch. 422 in effect July 7, 1981; sub. a, par. 2 of sub. b amended L. 1983, ch. 413 in
effect June 30, 1983; par. 1-a of sub. b added, par. 2 of sub. b amended, par. 1-a of sub. e added, par. 1
of sub. g amended L. 1983, ch. 964 in effect July 1, 1983; sub. a amended; par. 1 and 2 of sub. 2 repealed
and new par. 1, sub. b added; par. 1-a, sub. b and par. 1, sub. e amended L. 1984, ch. 658 in effect Sep­
tember 1, 1984; sub. a, par. 1 and par. 1-a of sub. b, par. 1 of sub. e amended; par. 1-a of sub. e repealed
L. 1988, ch. 8 in effect Sept. 1, 1987.]
§ 532-a. Cost-of-living adjustment. a. A cost-of-living adjustment shall be payable on the basis
provided for in this section to: (i) all pensioners who have attained age sixty-two and have been retired
for five years; (ii) all pensioners who have attained age fifty-five and have been retired for ten years; (iii)
all disability pensioners regardless of age who have been retired for five years; and (iv) all recipients of an
accidental death benefit regardless of age who have been receiving such benefit for five years.
b. Said cost-of-living adjustment shall be a percentage of the annual retirement allowance otherwise
payable, computed without optional modification, excluding any annuity derived from voluntary contribu­
tions 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, but
including any benefit derived from subdivision f of this section and any prior year’s cost-of-living adjust­
ment derived from this section. Said percentage is set forth in subdivision d of this section.
c. Said cost-of-living adjustment shall be computed on a base benefit amount not to exceed eighteen
thousand dollars of the annual retirement allowance defined in subdivision b of this section.
d. The percentage referred to in this section shall be determined annually by reference to the 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, for each applicable calendar year. Said percentage shall equal
fifty percent of the annual inflation, as determined from the increase in the consumer price index in the
one year period ending on the March thirty-first prior to the cost-of-living adjustment effective on the
ensuing September first. Said percentage shall then be rounded up to the next higher one-tenth of one
percent and shall not exceed three percent nor be less than one percent.
e. Said cost-of-living adjustment shall be payable in monthly installments and shall take effect Septem­
ber first of each year commencing with a payment for the month of September, two thousand one, or, if
later, as soon as practicable after the retired member first becomes eligible to receive the benefits pro­
vided pursuant to paragraph a of this section.
54
Ed. L. § 533
f. Commencing September first, two thousand, all retired members who have retired prior to the calen­
dar 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
1968 through 1996
1966 and 1967
1965
1964
1963
1962
1961
Prior to 1961
Percentage
50%
55%
60%
65%
70%
80%
90%
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 elec­
tions under subdivision one of section five hundred eleven-a or paragraph c of subdivision three of sec­
tion five hundred sixteen of this article. Any benefits received pursuant to this subdivision shall be in lieu
of any benefits 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 retire­
ment system pursuant to such provision.
g. Notwithstanding any other provision of law, the surviving spouse of a deceased retired member who
retired under an option which provides that benefits are to be continued for life to the surviving spouse
after the death of the retired member, shall be entitled to receive benefits pursuant to this section. Said
benefits shall be fifty percent of the monthly benefits which the pensioner would be receiving pursuant to
this section if living, and shall commence (i) with a payment for the month of September, two thousand,
or (ii) the month following the death of the deceased retired member, whichever is later.
h. The benefits provided pursuant to this section shall be in lieu of the benefits presently provided by
section five hundred ten or article four or six of the retirement and social security law unless such benefits
are in excess of those provided by this section, in which case such benefits shall be paid by the retire­
ment system pursuant to such provision.
i. The liability created by this section shall be funded through the normal rate of contribution in accor­
dance with subparagraph two of paragraph f of subdivision two of section five hundred seventeen of this
article. [Sec. 532-a added L. 2000, ch. 125 in effect July 11, 2000.]
§ 533. Non-contributory retirement plan. a. Any other provision of law to the contrary notwith­
standing, no further contributions to the retirement system, as provided in sections five hundred eleven-a
or five hundred sixteen of this article, shall be required of any member.
b. Contributions shall be made to the pension accumulation fund, as provided in section five hundred
seventeen of this article, at a rate computed by the actuary and approved by the retirement board, which
shall be computed to be sufficient to provide the benefits established by this section.
c. Nothing contained in this section shall impair the right of any member to make contributions pursu­
ant to sections five hundred eleven-a and five hundred sixteen of this article. Any member may elect to
contribute pursuant to sections five hundred eleven-a and five hundred sixteen of this article, by written
notice duly acknowledged and filed with the retirement board on or before June thirtieth, nineteen hun­
dred sixty-nine or within one year after he last became a member, whichever is later. Where a member
makes an election to contribute, as provided herein, he shall contribute to the retirement system as oth­
erwise provided in this article. One year or more after the filing of the notice of the election to contribute,
the member may withdraw such election and elect not to contribute.
55
Ed. L. § 535
d. 1. On and after July first, nineteen hundred sixty-eight a member shall be eligible for service retire­
ment when he meets the conditions set forth in sections five hundred ten or five hundred eleven-a of this
article, by the filing of a statement with the retirement board as required by subdivision one of section five
hundred ten of this article. For the purposes of this section, all members shall be deemed to have made
the election for special service retirement under section five hundred eleven-a of this article.
2. A member who retires on or after July first, nineteen hundred sixty-eight, under the provisions of this
section, shall receive a service retirement pension which shall be in lieu of the service retirement pension
and the pension-for-increased-take-home-pay otherwise authorized under this article, subject to any
adjustments made pursuant to subdivision g of this section. Such pension, for the period of credited state
service rendered prior to July first, nineteen hundred fifty-nine, and for all credited out-of-state service,
shall be computed as provided in section five hundred ten of this article. Such pension, for the period of
credited state service rendered on and after July first, nineteen hundred fifty-nine shall be one-fiftieth of
final average salary for each year of such service rendered during the first twenty-five years of the mem­
ber’s total service, plus one-sixtieth of final average salary for each year of such service rendered during
that portion of the member’s total service which is in excess of twenty-five years but not in excess of
thirty-five years, plus one-seventieth of final average salary for each year of such service rendered during
that portion of the member’s total state service which is in excess of thirty-five years.
3. In addition to the retirement allowance provided in paragraph two of this subdivision, a member
who has at least twenty years of credited state service and retires during the month of July, nineteen
hundred sixty-eight, shall receive an added pension allowance equal to sixteen percent of the pension
otherwise provided in this article. For persons retiring subsequent to July, nineteen hundred sixty-eight,
the added pension authorized hereunder shall be reduced at the rate of one-sixth of one percent for
each month thereafter.
4. The additional pension provided under this section shall not be included in computing any pension
reserve payable pursuant to the provisions of paragraph three of subdivision b of section five hundred
twelve of this article.
e. In addition to the pension hereinabove provided, a member shall receive an annuity which shall be
the actuarial equivalent of his accumulated contributions at the time of his retirement, in accordance with
section five hundred sixteen of this article.
f. The benefits hereinabove provided shall be payable unless the member would otherwise under the
provisions of this article be entitled to a greater benefit, in which event the greater benefit shall be
payable.
g. If at the time of retirement any portion of the employer’s contribution has been committed by elec­
tion of the member toward purchase of a variable annuity, the retirement board shall deduct from the
member’s pension allowance as otherwise computed under this section, an amount equal to the actuarial
equivalent of the amounts so committed, plus regular and additional interest thereon to the date of retire­
ment. [Sec. 533 added L. 1968, ch. 1083 in effect July 1, 1968; extended to July 1, 1971 by L. 1969, ch.
732 in effect July 1, 1969; to July 1, 1972 by L. 1970, ch. 850 in effect July 1, 1970; to July 1, 1973, by L.
1971, ch. 622 in effect July 1, 1971; to July 1, 1974 by L. 1972, ch. 345 in effect July 1, 1972; as amended
L. 1973, ch. 1046 in effect July 31, 1973; sub. h repealed L. 1974, ch. 510 in effect May 23, 1974.]
§ 535. Career retirement plan. 1. Any other provision of law to the contrary notwithstanding, on or after
July first, nineteen hundred seventy a member may retire pursuant to the provisions of this section when,
a. he has credit for thirty-five or more years of total service, or
b. he has attained age fifty-five or older and has received credit for five or more years of full time New
York state service, at least two of which have been rendered since the date upon which he last joined the
retirement system and since June thirtieth, nineteen hundred sixty-seven, or
c. he has attained age fifty-five or older and has credit for two or more years of full time service in the
period subsequent to June thirtieth, nineteen hundred sixty-seven and has rendered two years of full time
New York state service in the period subsequent to his attainment of age fifty-three and subsequent to
the date upon which he last joined the retirement system by filing with the system a statement duly
attested, setting forth at what time not less than thirty days nor more than ninety days subsequent to the
execution and filing thereof he desires such retirement.
56
Ed. L. § 535
In case of persons who last became members on or after July first, nineteen hundred seventy-three,
the provisions of this section shall apply only to those who retire prior to July first, nineteen hundred
seventy-four. [Amended L. 1999, ch.659 in effect July 17, 1998.]
2. A member who retires pursuant to the provisions of this section and who is credited with at least
twenty years of full time New York state service at the time of his retirement, shall receive a pension con­
sisting of:
a. one and two-tenths per cent of his final average salary multiplied by the number of years of his cred­
ited New York state service rendered prior to July first, nineteen hundred fifty-nine, and
b. two per cent of his final average salary multiplied by the number of years of his credited New York
state service rendered subsequent to June thirtieth, nineteen hundred fifty-nine, and
c. one per cent of his final average salary multiplied by the number of years of out-of-state service to
his credit, excluding, however, any such service credits which would bring his total years of credited ser­
vice above thirty-five years.
3. In addition to the pension allowance provided in subdivision two of this section, a member who is
credited with at least twenty-years of full time New York state service and retires during the month of July,
nineteen hundred seventy, shall receive an added pension allowance equal to twelve per cent of the pen­
sion allowance provided in paragraphs a and b of subdivision two of this section. For persons retiring
subsequent to July, nineteen hundred seventy, the added pension authorized hereunder shall be reduced
at the rate of one-sixth of one per cent for each month thereafter.
4. A member who retires pursuant to the provisions of this section and who is credited with less than
twenty years of full time New York state service at the time of his retirement shall receive a pension which
is computed by multiplying the pension calculated in accordance with subdivision two of this section by
five per cent for each year of credited full time state service, but in no event shall the pension payable
pursuant to this subdivision be less than fifty per cent of the pension computed in accordance with sub­
division two of this section.
5. a. In lieu of the pension provided by subdivisions two and three of this section, a member who retires
pursuant to the provisions of this section on or after July first, nineteen hundred seventy-six and who is
credited with at least twenty years of full-time New York state service at the time of his retirement, shall
receive a pension consisting of:
1. one and eighty one-hundredths percent of his final average salary times the number of years of his
credited New York state service rendered prior to July first, nineteen hundred fifty-nine, and
2. two percent of his final average salary times the number of years of his credited New York state
service rendered subsequent to June thirtieth, nineteen hundred fifty-nine, and
3. one percent of his final average salary times the number of years of out-of-state service to his credit,
excluding, however, any such service credits which would bring his total years of credited service above
thirty-five years.
b. In lieu of the pension provided by subdivision four of this section, a member, who retires pursuant
to the provisions of this section on or after July first, nineteen hundred seventy-six and who is credited
with less than twenty years of full-time New York state service at the time of his retirement, shall receive
a pension which is computed by multiplying the pension calculated in accordance with paragraph a of
this subdivision by five percent for each year of credited full-time New York state service, but in no
event shall the pension payable pursuant to this subdivision be less than fifty percent of the pension
computed in accordance with paragraph a of this subdivision. [Sub. 5 added L. 1976, ch. 513 in effect
July 20, 1976.]
6. In no event shall the pension provided pursuant to the provisions of this section exceed seventy-five
percent of the member’s final average salary.
7. A member who retires pursuant to the provisions of this section shall receive the service retirement
pension provided by this section and such pension shall be in lieu of any other service retirement pension
and the pension for increased-take-home-pay otherwise authorized under this article.
8. In addition to the service retirement pension provided by this section, the member shall receive an
annuity which shall be the actuarial equivalent of his accumulated contributions at the time of his
retirement.
57
Ed. L. § 536
9. Nothing herein shall alter in any manner either the amount of the death benefit specified in paragraph
three of subdivision b of section five hundred twelve of this article or the date upon which a member is
first eligible for the benefit described therein.
10. The benefits provided by this section shall be payable unless the member would otherwise under
the provisions of this article be entitled to a greater benefit, in which event the greater benefit shall be
payable.
11. Anything in this article to the contrary notwithstanding, a person who becomes a member on or
after July first, nineteen hundred seventy, so long as this section is in effect, shall be permitted to estab­
lish his eligibility for retirement under sections five hundred ten, five hundred eleven-a and five hundred
thirty-three of this article, solely for the purpose of entitling his estate or beneficiary to the death benefit
payable under paragraph three of subdivision b of section five hundred twelve of this article.
12. Anything in this article to the contrary notwithstanding, a person who becomes a member on or
after July first, nineteen hundred seventy, so long as this section is in effect, shall not be permitted to
make contributions pursuant to this article, except for purchase of prior service credits or military service
credits.
13. On and after July first, nineteen hundred seventy all members shall be deemed to have made the
elections permitted under subdivision one of section five hundred eleven-a and paragraph c of subdivi­
sion three of section five hundred sixteen of this article, whether or not a formal application for such
benefit was submitted to the retirement board, and on and after July first, nineteen hundred seventy no
contribution shall be required of any member under subdivision one of section five hundred eleven-a, as
well as subdivision one and paragraph c of subdivision three of section five hundred sixteen of this arti­
cle. [Sec. 535 added L. 1970, ch. 141 in effect July 1, 1970; as amended L. 1971, ch. 622 in effect July 1,
1971; L. 1972, ch. 345 in effect July 1, 1972; L. 1972, ch. 620 in effect July 1, 1972; L. 1973, ch. 1046 in
effect July 31, 1973; Sub. 5, 6, 7, 8, 9, 10, 11, 12 renumbered 6, 7, 8, 9, 10, 11, 12, 13 and new sub. 5
added L. 1976, ch. 513 in effect July 20, 1976.]* Extended to July 1, 1976 by Sec. 480 Ret. & Soc. Sec.
Law added L. 1974, ch. 510 in effect May 23, 1974; to July 1, 1977, L. 1976, ch. 491 in effect July 1, 1976;
to July 1, 1978, L. 1977, ch. 347 in effect June 28, 1977; to July 1, 1979, L. 1978, ch. 464 in effect June
30, 1978; to July 1, 1981, L. 1979, ch. 321 in effect June 29, 1979; to July 1, 1983, L. 1981, ch. 381 in
effect June 30, 1981; to July 1, 1985, L. 1983, ch. 413 in effect June 30, 1983; to July 1, 1987, L. 1985,
ch. 284 in effect June 30, 1985; to July 1, 1989, L. 1987, ch. 203 in effect June 30, 1987; to July 1, 1991,
L. 1989, ch. 236 in effect July 1, 1989; to July 1, 1993, L. 1991, ch. 196 in effect June 28, 1991; to July
1, 1995, L. 1993, ch. 122 in effect June 21, 1993; L. 1999, ch. 659 in effect July 17. 1998.]
§ 536. Deductions from benefits of certain retired members. 1. Notwithstanding any other provi­
sion of law, a pensioner who is retired from the retirement system shall have the right, at any time after
such pensioner’s retirement, to execute and file a deduction authorization card with the retirement board
authorizing the deduction from such pensioner’s retirement allowance of membership dues and such
pensioner’s share of the cost for employee organization-sponsored benefit plans and the payment thereof
to a retiree organization of which the pensioner is then a member and which is then affiliated with either
an employee organization certified or recognized as the collective bargaining representative of all employ­
ees in the negotiating unit of which the pensioner was a part prior to his or her retirement or with an
employee organization with which such employee organization is then affiliated. The retirement board
shall thereafter deduct from the retirement allowance of such pensioner the amount of membership dues
and such amounts required to be paid by such pensioner for such authorized employee organizationsponsored benefit plans, and shall transmit the sum so deducted to said retiree organization. Such autho­
rization shall continue in effect until revoked in writing by such pensioner. For purposes of this section,
the term “employee organization-sponsored benefit plans” shall include any and all insurance plans and/
or other benefit plans sponsored by such retiree organization whether provided by (a) a not-for-profit
corporation licensed under article forty-three of the insurance law; (b) any insurance company authorized
to do business in this state; (c) a health maintenance organization issued a certificate of authority pursu­
ant to article forty-four of the public health law; or (d) a self-insurance arrangement, welfare fund or ben­
efit fund. [Sec. 536 added L. 1989, ch. 521 in effect Sept. 1, 1989; amended L. 1993, ch. 165 in effect
June 28, 1993.]
58
Ed. L. § 537/538/539
2. Notwithstanding any other provision of law, a retired member shall have the right, at any time after
his or her retirement, to execute and file a deduction authorization card with the retirement board autho­
rizing the payment of voluntary contributions to the political committee, as defined in subdivision one of
section 14-100 of the election law, of such member’s employee organization, provided such organization
is certified or recognized pursuant to article fourteen of the civil service law as the representative of all
employees in the negotiating unit in which such retired member was then employed. Such authorization
shall continue in effect until revoked in writing by such member. The board shall determine the cost of
administering deductions for voluntary contributions to the political committee and the cost incurred by
the retirement system in administering such contributions shall be paid from the funds of the political
committee. [Subdivision 2 added L., 2003, ch. 556 in effect June 30, 2003.]
§ 537. Lump sum payment of de minimis service retirement benefit. Notwithstanding any other
law to the contrary, a member of the retirement system who is entitled to receive a retirement allowance,
other than for disability, pursuant to this article or pursuant to article eleven or fifteen of the retirement and
social security law, which retirement allowance prior to optional modification is twenty-four hundred dollars
per annum or less, may elect at retirement to receive, in lieu of such retirement allowance, a lump sum pay­
ment which has been certified by the actuary to be of actuarial equivalent value to such retirement allow­
ance and approved by the retirement board. Such lump sum shall be calculated using the interest rate on
thirty year United States treasury bonds as of January first of the calendar year in which the retirement
becomes effective. Upon payment of such lump sum, any and all obligations of the retirement system to
such member shall be totally discharged. Commencing January first, two thousand four, the interest rate on
ten year United States treasury obligations as of January first of the calendar year in which the retirement
becomes effective shall be used. Commencing January first, two thousand sixteen, the average annual
interest rate on ten year United States treasury obligations for the days during the calendar year that
precedes the calendar year in which the retirement becomes effective shall be used. [Sec. 537 added L.
1994, ch. 245 in effect July 6, 1994; separately amended L. 2003, ch. 140 and 167 in effect July 22, 2003;
amended L. 2015, ch. 479, in effect November 20, 2015.]
§ 538. Excess benefit plan. Notwithstanding any other law to the contrary, the retirement board is
authorized in its sole discretion to establish a qualified governmental excess benefit arrangement within
the meaning of, in conformity with and then only to the extent and so long as permitted by subsection m
of section four hundred fifteen of the internal revenue code of 1986, as amended, for the purpose of pro­
viding such retirement benefits as would otherwise have been payable to retirees of the system, but for
the application of the limitations on benefits of subsection b of section four hundred fifteen of the internal
revenue code of 1986, as amended. The retirement board is also authorized to promulgate such rules and
regulations as may be necessary to implement a qualified governmental excess benefit plan as provided
in this section. [Section 538 added L. 1998, ch. 595 in effect September 23, 1998.]
§ 539. Certain actions by retiring members. 1. Notwithstanding any law to the contrary, this sec­
tion shall apply to any member of the system who is otherwise eligible to retire pursuant to the provisions
of this article or pursuant to article fourteen or fifteen of the retirement and social security law.
2. Subject to the limitations in subdivisions three and four of this section, a member shall be retired for
service or with a deferred retirement allowance, as requested by the member, upon or on a date after the
filing of a retirement application with the retirement system.
3. A member shall not file for service retirement or for a deferred retirement allowance any earlier than
ninety days prior to the date on which the member desires to be retired.
4. A member shall not be retired under any provision of law until the member has ceased to be paid on
the payroll of an employer participating in the retirement system. In the case of a member who has the
right to retire for disability under article fourteen of the retirement and social security law, disability retire­
ment shall not commence any earlier than the date on which primary social security disability benefits
commence.
59
Ed. L. § 539
5. A member may retroactively withdraw his or her retirement for service or with a deferred retirement
allowance by filing a revocation of retirement no later than fourteen days following the date upon which
the member was retired. The retirement system shall have no obligation to make any payment on account
of any service retirement or deferred retirement allowance during said period.
6. An option selection duly filed by the member with the retirement system shall become effective upon
retirement. Notwithstanding the foregoing, a member who has been retired for service or with a deferred
retirement allowance may file an option selection or change or withdrawal of an option selection previ­
ously filed no later than thirty days following the date on which the member has retired; a member who
has been retired for disability may file an option selection or a change or withdrawal of an option selection
previously filed no later than (i) thirty days following the date on which such member’s application for dis­
ability retirement was approved by the retirement board or (ii) thirty days following the date on which the
member was retired for disability, whichever is later.
7. A member subject to the provisions of this article who has accumulated contributions credited to the
member’s individual account in the annuity savings fund may elect to withdraw such contributions pursu­
ant to subdivision six of section five hundred sixteen of this article within the period provided in subdivi­
sion six of this section for the selection, change or withdrawal of an option selection. [Section 539 added
L. 2002, ch. 695 in effect June 30, 2002.]
60
R. & S.S. § 440
Article 11 of the Retirement and Social Security Law
(Tier 2)
LIMITATIONS APPLICABLE TO NEW ENTRANTS
Section 440.
441.
442.
443.
444.
445.
445-a.
445-b.
445-c.
445-d.
445-d.
445-e.
445-e.
445-f.
445-f.
445-f.
445-g.
445-h.
445-i.
446.
447.
448.
448-a.
450.
451.
Application.
Eligibility for retirement.
Minimum age for retirement.
Final average salary.
Maximum retirement benefits.
Service retirement benefit.
Optional twenty-year improved benefit retirement program for New York city
correction members below the rank of captain. (omitted)
Optional twenty-year improved benefit retirement program for New York city
sanitation members. (omitted)
Optional twenty-year improved benefit retirement program for New York city correction
members of the rank of captain or above. (omitted)
Optional age fifty-five improved benefit retirement program for certain New York city
members. (omitted)
Optional twenty-year/age fifty improved benefit retirement program for Triborough bridge
and tunnel members. (omitted)
Optional twenty-five year improved benefit retirement program for dispatcher members.
(omitted)
Optional twenty-five year improved benefit retirement program for EMT members.
(omitted)
Optional twenty-five year improved benefit retirement program for deputy sheriff
members. (omitted)
Optional twenty-five year/age fifty improved benefit retirement program for senior
automotive service workers, auto body workers, auto mechanics, marine maintenance
mechanics and oil burner specialists. (omitted)
Optional twenty-five year improved benefit retirement program for special officer,
parking control specialist, school safety agent, campus peace officer, and New York city
taxi and limousine inspector members. (omitted)
Optional twenty-five year/age fifty improved benefit retirement program for automotive
members. (omitted)
Optional twenty-five year improved benefit retirement program for police communications
members. (omitted)
Optional age fifty-five retirement program for New York city teachers and certain other
members. (omitted)
Credit for service.
Options.
Death benefits.
Death benefit for vested members who die prior to retirement.
Definitions.
Duration.
§ 440. Application. a. Notwithstanding any other provision of law, but subject to the provisions of
subdivisions c and d of this section, the provisions and limitations of this article shall apply, as may be
appropriate, to all members who join or rejoin a public retirement system of the state or of a municipality
thereof, and to all employees who would be eligible to join such a retirement system but in lieu thereof
elected an optional retirement program to which their employers are thereby required to contribute, on or
after July first, nineteen hundred seventy-three, but prior to July first, nineteen hundred seventy-six. In
61
R. & S.S. § 441
the event that there is a conflict between the provisions of this article and the provisions of any other law
or code, the provisions of this article shall govern.
b. The provisions of this article shall not be construed to extend coverage to an employee not other­
wise eligible for membership in a retirement system or to provide an increase in benefits to a member of
a retirement system other than as provided by section four hundred forty-five-d or section four hundred
forty-five-f or section four hundred forty-five-h or section four hundred forty-eight of this article. [Amended
L. 1995, ch. 472 in effect August 2, 1995; L. 2001, ch. 559 in effect December 12, 2001; L. 2001, ch. 560
in effect December 12, 2001; L. 2003, ch. 682 in effect October 21, 2003.]
c. Notwithstanding any other provision of law, the provisions and limitations of this article shall apply,
as may be appropriate, to all police officers and firefighters who last joined a public retirement system of
the state or a municipality thereof, on or after July first, nineteen hundred seventy-six, but prior to July
first, two thousand nine, and all employees subject to the provisions of article twenty-two of this chapter;
provided, however, that in the case of a conflict between the provisions of this article and article twentytwo of this chapter, the provisions of article twenty-two shall be controlling. [Sub. c amended L. 1989, ch.
234 in effect July 1, 1989; L. 1991, ch. 197 in effect June 28, 1991; L. 1993, ch. 125 in effect June 21,
1993; L. 1995, ch. 125 in effect July 5, 1995; L. 1997, ch. 152 in effect June 30,1997; L. 1999, ch. 144 in
effect June 30, 1999; L. 2001, ch. 45 in effect May 23, 2001; amended L. 2007, ch. 63 in effect June 4,
2007; amended L. 2009, ch. 504 in effect January 9, 2010.]
d. Notwithstanding the provisions of subdivision a of this section, members who were employed by the
New York city board of education and assigned during the first fifteen days of the school term to a posi­
tion which is expected to be vacant for that term and who were employed in one of the three school years
immediately prior to July first, nineteen hundred seventy-three in a position which did not entitle them to
apply for membership in a public retirement system and who first joined the New York city teachers retire­
ment system subsequent to June thirtieth, nineteen hundred seventy-three but prior to June thirtieth,
nineteen hundred seventy-six shall have all the rights, benefits and privileges applicable to employees
who were members of such system on June thirtieth, nineteen hundred seventy-three provided they make
written application, duly executed and filed with the New York city teachers retirement board prior to July
first, nineteen hundred eighty-nine. [As amended L. 1973, ch. 1046 in effect July 31, 1973; L. 1974, ch.
510 in effect May 23, 1974; sub. (a) amended L. 1976, ch. 890 in effect July 1, 1976; sub. (c) added L.
1981, ch. 665 in effect July 21, 1981; sub. (c) amended L. 1983, ch. 411 in effect June 30, 1983; L. 1985,
ch. 281 in effect June 30, 1985; L. 1987, ch. 205 in effect June 30, 1987; sub. (a) amended, sub. (d) added
L. 1988, ch. 523 in effect Aug. 1, 1988.]
d-1. Notwithstanding the provisions of subdivision a of this section, members who were employed by the
New York city board of education as regular substitute teachers when assigned as such and members who
were employed by the New York city board of education and assigned during the school year to a position
which was expected to be vacant for that school year, such members having been employed for a period
of not less than twenty school days during such school year in a position which did not entitle them to apply
for membership in a public retirement system and who first joined the New York city teachers’ retirement
system or the New York state teachers’ retirement system prior to June thirtieth, nineteen hundred seventysix shall have all the rights, benefits and privileges to which they would have been entitled had their current
membership begun on the date their original service commenced, provided they make written application,
duly executed and filed with the retirement system in which they are members on or before June thirtieth,
two thousand three. [Subdivision d-1 added L. 2002, ch. 106 in effect June 30, 2002.]
e. Notwithstanding any other provision of law to the contrary, the provisions and limitations of this article
shall apply, as may be appropriate, to all investigator members of the New York city employees’ retirement
system who last joined such retirement system on or after July first, nineteen hundred seventy-six, and prior
to the effective date of the chapter of the laws of two thousand twelve which amended this subdivision.
[Subdivision e added L. 1997, ch. 285 in effect July 29, 1997; amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 441. Eligibility for retirement. a. No member of a retirement system who is subject to the provi­
sions of this article shall be eligible to retire until he has rendered a minimum of five years of credited ser­
vice after July first, nineteen hundred seventy-three; provided, however, that this limitation shall not apply
to the case of a member otherwise eligible to retire for disability. A member who attains the mandatory
retirement age of the plan of which he is a member without having the requisite period of service required
62
R. & S.S. § 442
as a condition of eligibility for retirement, shall be separated from service upon attainment of such manda­
tory retirement age; provided, however, that this requirement shall not preclude a member from being con­
tinued in service beyond such mandatory retirement age pursuant to other appropriate provisions of law.*
b. Notwithstanding the provisions of subdivision a of this section, a retired member, receiving a retire­
ment allowance for other than physical disability; (i) who returns to active public service and joins or
rejoins a public retirement system on or after July first, nineteen hundred seventy-three; and (ii) who
thereafter separates from service prior to the completion of two years of credited service, shall, upon
such separation, be entitled to receive a retirement allowance which shall consist of an annuity which is
the actuarial equivalent of his accumulated contributions, and the pension, including pension-providing­
for-increased-take-home-pay, which he was receiving prior to his last restoration to membership.
[Amended L. 2003, ch. 136 in effect July 22, 2003.]
c. Notwithstanding the provisions of subdivision a of this section, a member of a retirement system
who is subject to the provisions of this article shall be eligible to retire without having rendered a mini­
mum of five years of credited service after July first, nineteen hundred seventy-three, if such member has
rendered a minimum of five years of continuous service, in the employ of the participating employer from
which he retires, immediately prior to retirement. For the purpose of this subdivision, the term “service”
shall mean credited service rendered after July first, nineteen hundred seventy-three, and prior service
rendered immediately before entry into a retirement system. [As amended L. 1973, ch. 1046 in effect July
31, 1973; pars. b and c added L. 1974, ch. 510 in effect May 23, 1974.]
d. Notwithstanding the provisions of subdivision a of this section, a member of a retirement system
who is subject to the provisions of this article shall be eligible to retire without having rendered a mini­
mum of five years of credited service after July first, nineteen hundred seventy-three if such member has
rendered a minimum of three years of continuous service after July first, nineteen hundred seventy-three
and had rendered at least twenty years of credited service prior to January first, nineteen hundred fiftyfive. [Subdivision d added L. 1984, ch. 777 in effect August 3, 1984.]
§ 442. Minimum age for retirement. a. The minimum retirement age for any member of a retire­
ment system who is subject to the provisions of this article, other than a member permitted to retire upon
completion of twenty or twenty-five years of service pursuant to section four hundred forty-five of this
article, or a member who is eligible to retire pursuant to subdivision c of section four hundred forty-five-d
of this article or subdivision c of section four hundred forty-five-i of this article, and exclusive of retire­
ment for disability, shall be sixty-two; however, such a member may retire prior to attainment of age sixtytwo in which event the amount of his retirement benefit otherwise computed without optional modification
from funds based on other than his own contributions and exclusive of his pension-for-increased-take­
home-pay, shall be reduced in accordance with the following schedule:
1. For each of the first twenty-four full months that retirement predates age sixty-two, one-half of one
percentum per month; and
2. For each full month that retirement predates age sixty, one-quarter of one percentum per month, but
in no event shall retirement be permitted prior to attainment of age fifty-five. [Amended L. 2008, ch. 19 in
effect February 27, 2008.]
b. Notwithstanding the provisions of subdivision a of this section:
1. A member who is a peace officer employed by the unified court system or a member of a teacher’s
retirement system or a member of the New York state and local employees’ retirement system may retire
without reduction of his retirement benefit upon his attainment of at least fifty-five years of age and
completion of thirty or more years of service; and
2. A member of a plan having a mandatory retirement age on July first, nineteen hundred seventy-three,
earlier than age sixty-two may retire without reduction of his retirement benefit upon attainment of the
mandatory retirement age;* however, if such a member retires prior to attainment of the mandatory retire­
ment age, the amount of his retirement benefit otherwise computed without optional modification from
funds based on other than his own contributions and exclusive of his pension-for-increased-take-home­
pay, shall be reduced by one-half of one percentum per month for each full month by which his retirement
*Superseded by Article 14-A, Ret. & Soc. Sec. Law and Section 296, Executive Law enacted L. 1984, ch. 296 in effect
Jan. 1, 1985.
63
R. & S.S. § 443
predates such mandatory retirement age. [As amended L. 1973, ch. 1046 in effect July 31, 1973; par. 2
added L. 1974, ch. 510 in effect May 23, 1974; par. 1 of sub. b amended L. 1988, ch. 662 in effect Sept. 1,
1988; par. 1 of sub. b amended L. 1996, ch. 306 in effect July 11, 1996.]
3. Notwithstanding paragraph a of this subdivision or any other law to the contrary a participating
employer may elect to provide its employees who are members of the optional twenty year retirement
plan for police and firefighters eligibility to retire at age fifty-five without reduction and then such employ­
ees may elect to join under section three hundred seventy-five-i or three hundred seventy-five-j of this
chapter, if either plan is provided by the employer, and retire without reduction of their retirement benefits
upon attaining the age of fifty-five. [Paragraph 3 added L. 2003, ch. 674 in effect October 15, 2003.]
4. A demand in collective bargaining negotiations for the additional benefit provided by paragraph
three of this subdivision shall not be subject to the provisions of paragraph (b) or (c) of subdivision four
of section two hundred nine of the civil service law, nor shall such demand be subject to any provision for
interest arbitration contained in any local law, resolution or ordinance adopted by any governmental entity
pursuant to subdivision one of section two hundred twelve of the civil service law. [Paragraph 4 added L.
2003, ch. 674 in effect October 15, 2003.]
§ 443. Final average salary. a. The salary base used for the computation of benefits upon retire­
ment, hereinafter called in this article final average salary, applicable to all members of the retirement
systems who are subject to the provisions of this article, shall be the average salary earned by such a
member during any three consecutive years which provide the highest average salary, exclusive of any
form of termination pay (which shall include any compensation in anticipation of retirement), or any lump
sum payment for deferred compensation, sick leave, or accumulated vacation credit, or any other pay­
ment for time not worked (other than compensation received while on sick leave or authorized leave of
absence); provided, however, if the salary or wages earned during any year included in the period used
to determine final average salary exceeds that of the average of the previous two years by more than
twenty percentum, the amount in excess of twenty percentum shall be excluded from the computation of
final average salary. Where the period used to determine final average salary is the period which immedi­
ately precedes the date of retirement, any month or months (not in excess of twelve) which would other­
wise be included in computing final average salary but during which the member was on authorized leave
of absence at partial pay or without pay shall be excluded from the computation of final average salary
and the month or an equal number of months immediately preceding such period shall be substituted in
lieu thereof. [As amended L. 1974, ch. 510 in effect May 23, 1974.]
b. Notwithstanding the provisions of subdivision a of this section, with respect to the members of the
New York state employees’ retirement system, the New York state and local police and fire retirement
system and the New York city teachers’ retirement system, the final average salary, shall be equal to onethird of the highest total salary earned during any continuous period of employment for which the member
was credited with three years of service credit, exclusive of any form of termination pay (which shall
include any compensation in anticipation of retirement), any lump sum payment for deferred compensa­
tion, sick leave, or accumulated vacation credit, or any other payment for time not worked (other than
compensation received while on sick leave or authorized leave of absence); provided, however, if the
salary earned during any year of credited service included in the period used to determine final average
salary exceeds the average of the salaries of the previous two years of credited service by more than
twenty per centum, the amount in excess of twenty per centum shall be excluded from the computation
of final average salary. [Sub. b added L. 1986, ch. 397 in effect July 21, 1986; amended by L. 2010, ch.
286 in effect immediately and deemed to have been in full force and effect on and after July 1, 1973.]
c. Notwithstanding the provisions of subdivisions a and b of this section, with respect to policemen
and firemen as defined in section four hundred fifty of this chapter, the final average salary of an employee
who has been a member of a retirement system for less than one year shall be the projected one year
salary, with the calculation based upon a twelve month projection of the sums earned in the portion of the
year worked. If a member has been employed for more than one year but less than two years, then the
member’s final average salary shall be the average of the first year and projected second year earnings
based upon the calculation above, and if more than two years, but less than three years, then one-third
the total of the first two years of employment plus the projected third year’s earnings, calculated as indi­
cated above. [Subdivision c added L. 1987, ch. 784 in effect August 7, 1987.]
64
R. & S.S. § 444
d. Notwithstanding the provisions of subdivisions a and b of this section, the final average salary of an
employee who has been a member of the New York city employees’ retirement system or the New York
city teachers’ retirement system for less than one year shall be the projected one year salary, with the
calculation based upon a twelve month projection of the sums earned in the portion of the year worked.
If a member has been employed for more than one year but less than two years, then the member’s final
average salary shall be the average of the first year and projected second year earnings based upon the
calculation above, and if more than two years, but less than three years, then one-third the total of the
first two years of employment plus the projected third year’s earnings, calculated as indicated above.
[Subdivision d added L. 1990, ch. 663 in effect July 22, 1990; amended by L. 2010, ch. 286 in effect
immediately and deemed to have been in full force and effect on and after July 1, 1973.]
e. Subject to the provisions of subdivision d of this section, and notwithstanding the provisions of sub­
division a of this section, with respect to members of the New York city employees retirement system and
the New York city board of education retirement system who are subject to the provisions of this article,
the final average salary shall be determined pursuant to the provisions of paragraph twelve of subdivision
e of section 13-638.4 of the administrative code of the city of New York. [Subdivision e added L. 1992,
ch. 749 in effect July 31, 1992.]
[Subdivision f omitted.]
f-1. A demand in collective negotiations for the additional pension benefit provided by subdivision f of
this section shall not be subject to the provisions of paragraph (b) or (c) of subdivision four of section two
hundred nine of the civil service law, nor shall such demand be subject to any provision for interest arbi­
tration contained in any local law, resolution or ordinance adopted by any governmental entity pursuant
to subdivision one of section two hundred twelve of the civil service law. [Amended L. 2000, ch. 109 in
effect November 30, 1999.]
g. Nothwithstanding the provisions of subdivisions a and c of this section, the benefits for the first twenty
years or less of service of members of the New York city police pension fund, subchapter two, who are
subject to the provisions of this article, and members of the fire department pension fund, subchapter two,
who are subject to the provisions of this article, shall be determined by using a salary base equal to the
salary earned by such member during the one-year period immediately prior to retirement or separation
from service due to vesting, exclusive of any form of termination pay (which shall include any compensation
in anticipation of retirement), or any lump sum payment for deferred compensation, sick leave, or accumu­
lated vacation credit, or any other payment for time not worked (other than compensation received while on
sick leave or authorized leave of absence); provided, however, if the salary or wages earned during the oneyear period immediately prior to retirement or separation from service due to vesting exceeds that of the
previous one-year period by more than twenty per centum, the amount in excess of twenty per centum shall
be excluded from the computation of final average salary. In determining final average salary, any month or
months (not in excess of three) which would otherwise be included in computing final average salary but
during which the member was on authorized leave of absence without pay shall be excluded from the com­
putation of final average salary and the month or an equal number of months immediately preceding such
period shall be substituted in lieu thereof. [Amended L. 2000, ch. 372 in effect July 1, 2000.]
[h. Repealed]
§ 444. Maximum retirement benefits. a. Except as provided in subdivision c of section four hundred
forty-five-a of this article, subdivision c of section four hundred forty-five-b of this article, subdivision c of
section four hundred forty-five-c of this article, subdivision c of section four hundred forty-five-d of this
article as added by chapter four hundred seventy-two of the laws of nineteen hundred ninety-five, subdivi­
sion c of section four hundred forty-five-e of this article, subdivision c of section four hundred forty-five-f of
this article and subdivision c of section four hundred forty-five-h of this article, the maximum retirement
benefit computed without optional modification provided to a member of a retirement system who is subject
to the provisions of this article, other than a police officer, a firefighter, an investigator member of the New
York city employees’ retirement system, a member of the uniformed personnel in institutions under the juris­
diction of the New York city department of correction who receives a performance of duty disability retire­
ment allowance, a member of the uniformed personnel in institutions under the jurisdiction of the department
of corrections and community supervision or a security hospital treatment assistant, as those terms are
defined in subdivision i of section eighty-nine of this chapter, who receives a performance of duty disability
65
R. & S.S. § 445
retirement allowance, a member of a teachers’ retirement system, New York city employees’ retirement sys­
tem, New York city board of education retirement system or a member of the New York state and local
employees’ retirement system or a member of the New York city employees’ retirement system or New York
city board of education retirement system employed as a special officer, parking control specialist, school
safety agent, campus peace officer, taxi and limousine inspector or a police communications member and
who receives a performance of duty disability pension, from funds other than those based on a member’s
own or increased-take-home-pay contributions, shall, before any reduction for early retirement, be sixty per
centum of the first fifteen thousand three hundred dollars of final average salary, and fifty per centum of final
average salary in excess of fifteen thousand three hundred dollars, and forty per centum of final average sal­
ary in excess of twenty-seven thousand three hundred dollars, provided, however, that the benefits provided
by subdivision c of section four hundred forty-five-d of this article as added by chapter four hundred sev­
enty-two of the laws of nineteen hundred ninety-five based upon the additional member contributions
required by subdivision d of such section four hundred forty-five-d shall be subject to the maximum retire­
ment benefit computations set forth in this section. The maximum retirement benefit computed without
optional modification payable to a police officer, an investigator member of the New York city employees’
retirement system or a firefighter shall equal that payable upon completion of thirty years of service, except
that the maximum service retirement benefit computed without optional modification shall equal that payable
upon completion of thirty-two years of service. [As amended L. 1973, ch. 1046 in effect July 31, 1973; L.
1976, ch. 890 in effect July 1, 1976; L. 1990, ch. 936 in effect Dec. 19, 1990; amended L. 1992, ch. 547 in
effect July 24, 1992; amended L. 1993, ch. 631 in effect August 4, 1993; L. 1995, ch. 96 in effect June 28,
1995; L. 1995, ch. 472 in effect August 2, 1995; L. 1996, ch. 370 in effect July 30, 1996; L. 1996, ch. 666 in
effect September 25, 1996; L. 1996, ch. 722 in effect January 28, 1997; L. 1997, ch. 622 in effect Sept. 17,
1997; L. 1998, ch. 489 in effect July 29, 1998; L. 1998, ch. 587 in effect Aug. 5, 1998; L. 2000, ch. 574 in
effect December 8, 2000; L. 2000, ch. 576 in effect December 8, 2000; L. 2000, ch. 577 in effect December
8, 2000; L. 2001, ch. 559 in effect Dec. 12, 2001; L. 2001, ch. 560 in effect December 12, 2001; L. 2001, ch.
582 in effect December 19, 2001; L. 2003, ch. 682 in effect October 21, 2003; amended L. 2007, ch. 625 in
effect August 28, 2007; as amended L. 2011, ch. 62, part C, subpart B, in effect March 31, 2011.]
[Subdivisions b, c and d are omitted.]
§ 445. Service retirement benefit. a. No member of a retirement system who is subject to the provisions
of this article shall retire without regard to age, exclusive of retirement for disability, unless he is a policeman,
an investigator member of the New York city employees’ retirement system, fireman, correction officer, a quali­
fying member as defined in section eighty-nine-t, as added by chapter six hundred fifty-seven of the laws of
nineteen hundred ninety-eight, of this chapter, sanitation man, a special officer (including persons employed by
the city of New York in the title urban park ranger or associate urban park ranger), school safety agent, campus
peace officer or a taxi and limousine commission inspector member of the New York city employees’ retirement
system or the New York city board of education retirement system, a dispatcher member of the New York city
employees’ retirement system, a police communications member of the New York city employees’ retirement
system, an EMT member of the New York city employees’ retirement system, a deputy sheriff member of the
New York city employees’ retirement system, a correction officer of the Westchester county correction depart­
ment as defined in section eighty-nine-e of this chapter or employed in Suffolk county as a peace officer, as
defined in section eighty-nine-s, as added by chapter five hundred eighty-eight of the laws of nineteen hundred
ninety-seven, of this chapter, employed in Suffolk county as a correction officer, as defined in section eighty­
nine-f of this chapter, or employed in Nassau county as a correction officer, uniformed correction division per­
sonnel, sheriff, undersheriff or deputy sheriff, as defined in section eighty-nine-g of this chapter, or employed
in Nassau county as an ambulance medical technician, an ambulance medical technician/supervisor or a
member who performs ambulance medical technician related services, as defined in section eighty-nine-s, as
amended by chapter five hundred seventy-eight of the laws of nineteen hundred ninety-eight, of this chapter,
or employed in Nassau county as a peace officer, as defined in section eighty-nine-s, as added by chapter five
hundred ninety-five of the laws of nineteen hundred ninety-seven, of this chapter, or employed in Albany county
as a sheriff, undersheriff, deputy sheriff, correction officer or identification officer, as defined in section eighty­
nine-h of this chapter or is employed in St. Lawrence county as a sheriff, undersheriff, deputy sheriff or correc­
tion officer, as defined in section eighty-nine-i of this chapter or is employed in Orleans county as a sheriff,
undersheriff, deputy sheriff or correction officer, as defined in section eighty-nine-l of this chapter or is employed
66
R. & S.S. § 445
in Jefferson county as a sheriff, undersheriff, deputy sheriff or correction officer, as defined in section eighty­
nine-j of this chapter or is employed in Onondaga county as a deputy sheriff-jail division competitively appointed
or as a correction officer, as defined in section eighty-nine-k of this chapter or is employed in a county which
makes an election under subdivision j of section eighty-nine-p of this chapter as a sheriff, undersheriff, deputy
sheriff or correction officer as defined in such section eighty-nine-p or is employed in Broome County as a
sheriff, undersheriff, deputy sheriff or correction officer, as defined in section eighty-nine-m of this chapter or
is a Monroe county deputy sheriff-court security, or deputy sheriff-jailor as defined in section eighty-nine-n, as
added by chapter five hundred ninety-seven of the laws of nineteen hundred ninety-one, of this chapter or is
employed in Greene county as a sheriff, undersheriff, deputy sheriff or correction officer, as defined in section
eighty-nine-o of this chapter or is a traffic officer with the town of Elmira as defined in section eighty-nine-q of
this chapter or is employed by Suffolk county as a park police officer, as defined in section eighty-nine-r of this
chapter or is a peace officer employed by a county probation department as defined in section eighty-nine-t,
as added by chapter six hundred three of the laws of nineteen hundred ninety-eight, of this chapter or is
employed in Rockland county as a deputy sheriff-civil as defined in section eighty-nine-v of this chapter as
added by chapter four hundred forty-one of the laws of two thousand one, or is employed in Rockland county
as a superior correction officer as defined in section eighty-nine-v of this chapter as added by chapter five
hundred fifty-six of the laws of two thousand one or is a paramedic employed by the police department in the
town of Tonawanda and retires under the provisions of section eighty-nine-v of this chapter, as added by chap­
ter four hundred seventy-two of the laws of two thousand one, or is a county fire marshal, supervising fire
marshal, fire marshal, assistant fire marshal, assistant chief fire marshal or chief fire marshal employed by the
county of Nassau as defined in section eighty-nine-w of this chapter and is in a plan which permits immediate
retirement upon completion of a specified period of service without regard to age. Except as provided in sub­
division c of section four hundred forty-five-a of this article, subdivision c of section four hundred forty-five-b
of this article, subdivision c of section four hundred forty-five-c of this article, subdivision c of section four
hundred forty-five-d of this article, subdivision c of section four hundred forty-five-e of this article, subdivision
c of section four hundred forty-five-f of this article and subdivision c of section four hundred forty-five-h of this
article, a member in such a plan and such an occupation, other than a policeman or investigator member of the
New York city employees’ retirement system or a fireman, shall not be permitted to retire prior to the comple­
tion of twenty-five years of credited service; provided, however, if such a member in such an occupation is in
a plan which permits retirement upon completion of twenty years of service regardless of age, he may retire
upon completion of twenty years of credited service and prior to the completion of twenty-five years of service,
but in such event the benefit provided from funds other than those based on such a member’s own contribu­
tions shall not exceed two per centum of final average salary per each year of credited service. [Sub. a amended
L. 1973, ch. 1046 in effect July 31, 1973; L. 1974, ch. 510 in effect May 23, 1974; L. 1988, ch. 520 in effect Aug.
1, 1988, ch. 591 in effect Sept. 1, 1988, ch. 653 in effect Jan. 1, 1991, ch. 771 in effect Dec. 26, 1988; L. 1989,
ch. 283 in effect July 7, 1989, ch. 389 in effect Jan. 1, 1991, ch. 648 in effect Dec. 31, 1991; L. 1990, ch. 433
in effect July 10, 1990, ch. 646 in effect July 18, 1990, ch. 936 in effect Dec. 19, 1990; L. 1991, ch. 597 in effect
July 23, 1991; L. 1992, ch. 547 in effect July 24, 1992; L. 1993, ch. 631 in effect August 4, 1993; L. 1993, ch.
647 in effect August 4, 1993; L. 1994, ch. 725 in effect August 2, 1994; L. 1995, ch. 158 in effect July 19, 1995;
L. 1995, ch. 472 in effect August 2, 1995; L. 1996, ch. 370 in effect July 30, 1996; L. 1996, ch. 605 in effect
September 4, 1996; L. 1997, ch. 285 in effect July 29, 1997; L. 1997, ch. 588 in effect January 1, 1998; L. 1997,
ch. 591 in effect January 1, 1998; L. 1997, ch. 595 in effect January 1, 1998; L. 1998, ch. 578 in effect August
5, 1998; L. 1998, ch. 603 in effect September 29, 1998; L. 1998, ch. 657 in effect December 23, 1998; L. 2000,
ch. 576 in effect December 8, 2000; L. 5000, ch. 577 in effect December. 8, 2000; L. 2001, ch. 559 in effect
December 12, 2001; L. 2001, ch. 582 in effect December 19, 2001; L. 2002, ch. 622 in effect October 2, 2002;
L. 2003, ch. 320 in effect August 5, 2003; L. 2003, ch. 682 in effect October 21, 2003; amended L. 2007, ch.
295 in effect January 1, 2008.]
b. No member in a retirement plan which, prior to the effective date of this article, permitted all mem­
bers to retire upon the attainment of age fifty and completion of twenty years of service shall be permitted
to retire without benefit reduction prior to the attainment of age fifty-five and completion of twenty-five
years of service. In the event that such a member retires prior to the attainment of age fifty-five or com­
pletion of twenty-five years of service, the benefit provided from funds other than those based on such a
member’s own contributions shall not exceed two percentum of final average salary per each year of
credited service. [As amended L. 1973, ch. 1046 in effect July 31, 1973.]
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R. & S.S. § 445-a/445-b/445-c/445-d/445-e/445-f/445-g/445-h/445-i/446
c. A person who is a member of an optional twenty year retirement plan for police officers and firefight­
ers in jurisdictions which have elected to provide such plan and such jurisdiction further elects to permit
retirement at age fifty-five without reduction may then elect to join under section three hundred seventy­
five-i or three hundred seventy-five-j of this chapter, if either plan is provided by the employer, and may
retire without reduction of his or her retirement benefit upon attaining the age of fifty-five. [Subdivision c
added L. 2003, ch. 674 in effect October 15, 2003.]
§ 445-a. Optional twenty-year improved benefit retirement program for New York city correc­
tion members below the rank of captain. (omitted)
§ 445-b. Optional twenty-year improved benefit retirement program for New York city sanitation
members. (omitted)
§ 445-c. Optional twenty-year improved benefit retirement program for New York city correc­
tion members of the rank of captain or above. (omitted)
§ 445-d. Optional age fifty-five improved benefit retirement program for certain New York city
members. (omitted)
§ 445-d. Optional twenty-year/age fifty improved benefit retirement program for Triborough
bridge and tunnel members. (omitted)
§ 445-e. Optional twenty-five year improved benefit retirement program for dispatcher mem­
bers. (omitted)
§ 445-e.
(omitted)
Optional twenty-five year improved benefit retirement program for EMT members.
§ 445-f. Optional twenty-five year improved benefit retirement program for deputy sheriff mem­
bers. (omitted)
§ 445-f. Optional twenty-five year/age fifty improved benefit retirement program for senior
automotive service workers, auto body workers, auto mechanics, marine maintenance mechanics
and oil burner specialists. (omitted)
§ 445-f. Optional twenty-five year improved benefit retirement program for special officer, park­
ing control specialist, school safety agent, campus peace officer, and New York city taxi and lim­
ousine inspector members. (omitted)
§ 445-g. Optional twenty-five year/age fifty improved benefit retirement program for automo­
tive members. (omitted)
§ 445-h. Optional twenty-five year improved benefit retirement program for police communica­
tions members. (omitted)
§ 445-i. Optional age fifty-five retirement program for New York city teachers and certain other
members. (omitted)
§ 446. Credit for service. a. Part-time service.
1. A member of a retirement system who is subject to the provisions of this article who works less than
full time, which for the purposes of this article shall mean less than thirty hours a week in the case of a
member who has a specified work-week, shall receive retirement credit for such service in accordance
with the following provisions:
68
R. & S.S. § 446
(a) A member employed on an hourly basis who works for five hundred or more hours a year and who
is on the payroll for a minimum of five months in the year shall receive credit on a pro-rated basis, but in
no event shall less than six hours constitute a full day’s retirement credit;
(b) A member employed on a per diem basis who works at least sixty days in a year and who is on the
payroll for a minimum of five months in the year shall receive retirement credit on a day-for-day basis, but
in no event shall less than six hours constitute a full day’s retirement credit;
(c) If the annual salary of a member paid on a basis other than per diem or per hour would be less than
the product of the state’s minimum wage during such period and two thousand hours, the presumption shall
be that such a member is a part-time employee and any retirement credit granted shall be prorated; pro­
vided, however, such a member shall not receive greater credit than a member working on a per diem basis.
2. Except for retirement credit for military service as specified in subdivision d of this section, a member
shall not receive retirement credit for any day that he is not on the payroll of the state, a political subdivision
thereof, or a participating employer. Notwithstanding any other provisions of this section, with respect to
members of the New York state employees retirement system, teachers as defined in section one hundred
thirty-six of the civil service law, employed full time for the school year, shall be deemed on the payroll of
the state, for twelve months in crediting retirement service credit for service rendered. For the purposes of
this paragraph the comptroller shall define school year by regulation. [Par. 2 of sub. a amended L. 1986, ch.
616 in effect July 26, 1986; amended L. 1990, ch. 778 in effect July 25, 1990 retroactive to May 31, 1973.]
3. The membership of any member who is subject to the provisions of this subdivision a, or to the provisions
of any rule or regulation promulgated and approved in accordance with the provisions of subdivision f of this
section, shall be continued and shall not be terminated for so long as such member is actually in service.
b. Previous service.
A member of a retirement system who is subject to the provisions of this article shall be eligible to obtain
retirement credit for previous service if retirement credit had previously been granted for such service or if
such service would have been creditable in one of the public retirement systems of the state, as defined in
subdivision twenty-three of section five hundred one of this chapter, at the time such service was rendered,
if the individual had been a member of such retirement system and the member had rendered a minimum
of two years of credited service after July first, nineteen hundred seventy-three; provided, however, retire­
ment credit may be granted for service which predates the date of entry into the retirement system if such
service is otherwise creditable and was rendered by an employee during which employment he was ineli­
gible to join a public retirement system. [Subdivision b amended L. 2000, ch. 552 in effect Oct. 31, 2000.]
b-1. Employer pick-up of contributions in respect of previous service or military service. Notwithstand­
ing any other provision of law, any member of the New York city teachers’ retirement system, the New York
state teachers’ retirement system, the New York city employees’ retirement system, the New York city
board of education retirement system, the New York state and local employees’ retirement system, the
New York state and local police and fire retirement system or the New York city fire department pension
fund eligible to purchase credit for previous service with a public employer pursuant to subdivision b of
this section or to purchase credit for military service pursuant to article twenty of this chapter, may elect
to purchase any or all of such service by executing a periodic payroll deduction agreement where and to
the extent such elections are permitted by the member’s retirement system by rule or regulation. Such
agreement shall set forth the amount of previous service or military service being purchased, the estimated
total cost of such service credit, and the number of payroll periods in which such periodic payments shall
be made. Such agreement shall be irrevocable, shall not be subject to amendment or modification in any
manner, and shall expire only upon completion of payroll deductions specified therein. Notwithstanding
the foregoing, any member who has entered into such a payroll deduction agreement and who terminates
employment prior to completion of the payments required therein shall be credited with any service as to
which such member shall have paid the contributions required under the terms of such agreement. [Sub­
division b-1 added L. 2004, ch. 691 in effect November 3, 2004; amended L. 2007, ch. 627.]
c. Creditable service.
A member of a retirement system who is subject to the provisions of this article shall not be eligible to
obtain retirement credit for service with a public employer other than the state of New York, a political
subdivision thereof, a public benefit corporation, or a participating employer; provided, however, military
service with the federal government may be credited pursuant to section two hundred forty-three of the
military law up to a maximum of four years; and further provided that retirement credit may be granted for
69
R. & S.S. § 446
service with an agency located within the state of New York currently specified in the law as providing
retirement credit for service. [Sub. c relettered d. L. 1980, ch. 465 in effect June 23, 1980.]
d. To facilitate administration of the provisions of this section the administrative head or the trustees
of a retirement system, as may be appropriate, may make interpretations of the provisions of this section
which are consistent with the intent of this section but such interpretations shall not take effect unless
publicly promulgated. [Amended L. 1992, ch. 55 in effect April 1, 1993.]
[e. Repealed]
f. Notwithstanding any other provision of law, any member of the New York state and local employees’
retirement system who is subject to the provisions of this article and who is employed by a school district, a
board of cooperative educational services, a vocational education and extension board, an institution for the
instruction of the deaf and of the blind as enumerated in section four thousand two hundred one of the educa­
tion law, or a school district as enumerated in section one of chapter five hundred sixty-six of the laws of
nineteen hundred sixty-seven as amended to date, shall have their service credit for service rendered on or
after January first, nineteen hundred ninety determined by dividing the number of days worked in a school
year by one hundred eighty. For the purpose of this section a school year will begin on July first and end the
following June thirtieth. No more than one year of service may be credited during any such fiscal year. Credit
for service rendered before January first, nineteen hundred ninety shall be determined in the same manner if
a person eligible for such benefit shall file the appropriate application with the state comptroller on or before
August second, nineteen hundred ninety-six and, within five years of filing such application, make payment
for all costs necessary to finance the receipt of such service credit. [Sub. f added L. 1989, ch. 730 in effect
July 24, 1989; L. 1995, ch. 405 in effect August 2, 1995; amended L. 1996, ch. 210 in effect June 25, 1996.]
g. Notwithstanding the provisions of subdivision c of this section, a member of a retirement system
who is subject to the provisions of this article shall be eligible to obtain retirement credit for previous
service if retirement credit has previously been granted for such service rendered prior to January first,
nineteen hundred fifty-five and if such member has rendered a minimum of three years of credited service
after July first, nineteen hundred seventy-three. [As amended L. 1973, chs. 1046, 1047 in effect July 31,
1973; L. 1974, ch. 510; par. 3, sub. a added L. 1974, ch. 510; sub. d also amended L. 1974, ch. 426 in
effect May 23, 1974; sub. b repealed and sub. c, d, e and f relettered sub. b, c, d and e L. 1980, ch. 465
in effect June 23, 1980; sub. g added L. 1984, ch. 777 in effect August 3, 1984.]
h. The provisions of paragraph one of subdivision a of this section shall not apply to members of the
New York City employees retirement system or the New York City board of education retirement system
who are subject to the provisions of this article. The crediting of service for such members of such retire­
ment systems shall be governed by the applicable provisions of subdivision c of section 13-638.4 of the
administrative code of the city of New York, and the other applicable provisions of such code and of the
rules and regulations of such board of education retirement system. [Subdivision h added L. 1992, ch.
749 in effect July 31, 1992.]
i. Except for retirement credit for military service as specified in subdivision c of this section, a member
shall not receive retirement credit for any day that he is not on the payroll of the state, a political subdivision
thereof, or a participating employer. Notwithstanding any other provision of this section to the contrary, with
respect to members of the New York state and local employees’ retirement system, a member who is employed
by a community college as defined in section six thousand three hundred one of the education law or who is
employed by any unit of the state university of New York as defined in section three hundred fifty of the educa­
tion law, and who is in the classified service as that term is defined in section forty of the civil service law, and
who is employed for the full academic year, full academic year shall mean the fall and spring semesters during
which academic courses are offered, shall be deemed to be on the payroll of such community college or state
university for twelve months in crediting retirement service credit for service rendered. [Subdivision i added L.
1993, ch. 310 in effect July 21, 1993; amended L. 2002, ch. 486 in effect June 30, 2002.]
j. Except for retirement credit for military service as specified in subdivision c of this section, a member
shall not receive retirement credit for any day that he is not on the payroll of the state, a political subdivi­
sion thereof, or a participating employer. Notwithstanding any other provision of this section to the con­
trary, a member of the New York state and local employees’ retirement system who is employed by a
community college as defined in section six thousand three hundred one of the education law or who is
employed by any unit of the state university of New York as defined in section three hundred fifty of the
education law, and who is in the unclassified service of the civil service as defined in subdivisions (h) and
70
R. & S.S. § 447/448
(i) of section thirty-five of the civil service law, and who is employed for the full academic year, full aca­
demic year shall mean the fall and spring semesters during which academic courses are offered, shall be
deemed to be on the payroll of such community college or state university for twelve months in crediting
retirement service credit for service rendered. [Subdivision i added L. 1993, ch. 311 in effect July 21,
1993; amended and relettered L. 2002, ch. 486 in effect June 30, 2002.]
§ 447. Options. a. A member of a retirement system who is subject to the provisions of this article
shall at the time of retirement have two additional options available to him which shall be the actuarial
equivalent of his retirement allowance without optional modification:
(1) A “five-year certain option” under which payment is made to the pensioner for life but is guaranteed
for a minimum of five years following retirement; and
(2) A “ten-year certain option” under which payment is made to the pensioner for life but is guaranteed
for a minimum of ten years following retirement.
b. No retirement system shall make available to any member subject to the provisions of this article an
option which provides for payment to a beneficiary or to an estate of the balance of the present value of
the reserve attributable to employer contributions established at the time of retirement upon the death of
the member in retirement.
c. Notwithstanding any other provision of this article, an option selection previously filed by a member
or retired member subject to the provisions of this section may be changed no later than thirty days fol­
lowing the date of payability of his or her retirement allowance. A retired member who has been retired
for disability may change an option selection previously filed no later than (1) thirty days following the
date on which such member’s application for disability retirement was approved by the retirement board
or (2) thirty days following the date on which such retiree was retired for disability, whichever is later.
[Subdivision c added L. 2004, ch. 446 in effect September 14, 2004.]
§ 448. Death benefits. a. A member of a retirement system who is subject to the provisions of this
article, exclusive of those members for whom provision is made pursuant to subdivision b of this section,
shall, at the time of first becoming a member thereof, make an election, which shall be irrevocable, for
coverage for financial protection in the event of death in service, between the two following benefits:
1. A benefit upon the death of a member in service equal to one month’s salary for each full year of service
up to a maximum of three years salary upon the completion of thirty-six full years of service, or in the event
that a member is eligible to retire without benefit reduction, pursuant to section four hundred forty-two of this
article, a benefit equal to the pension reserve, if any, which would have been payable to such member had
he entered prior to the effective date of this article and died in service, subject to the benefit limitations set
forth in section four hundred forty-four of this article, if this alternative provides a greater benefit, or;
2. A benefit upon the death of a member in service equal to the member’s salary upon his or her com­
pletion of one year of service, two years’ salary upon completion of two years of service, and three years’
salary upon completion of three years of service. In the case of a member of a retirement system other
than the New York state teachers’ retirement system, the New York city employees’ retirement system,
the New York city board of education retirement system, the New York city teachers’ retirement system,
the New York state and local employees’ retirement system or the New York state and local police and
fire retirement system, such benefit shall be subject to the following limitations:
(a) If the member last joined the retirement system prior to attainment of age fifty-two, the maximum
benefit shall be three years’ salary;
(b) If the member was age fifty-two when he or she last joined the retirement system, the maximum
benefit shall be two and one-half times annual salary;
(c) If the member was age fifty-three when he or she last joined the retirement system, the maximum
benefit shall be two years’ salary;
(d) If the member was age fifty-four when he or she last joined the retirement system, the maximum
benefit shall be one and one-half times annual salary;
(e) If the member was age fifty-five or older but under age sixty-five when he or she last joined the
retirement system, the maximum benefit shall be one year’s salary; and
(f) If the member was age sixty-five or older when he or she last joined the retirement system, the maxi­
mum benefit shall be one thousand dollars.
71
R. & S.S. § 448
In the case of a member of a retirement system other than the New York state teachers’ retirement
system, the New York city employees’ retirement system, the New York city board of education retirement
system, the New York city teachers’ retirement system, the New York state and local employees’ retire­
ment system or the New York state and local police and fire retirement system, commencing upon attain­
ment of age sixty-one, the benefit otherwise provided pursuant to this paragraph shall be reduced while
the member is in service to ninety per centum of the benefit otherwise payable and each year thereafter
the benefit payable shall be reduced by an amount equal to ten per centum per year of the original benefit
otherwise payable, but not below ten per centum of the original benefit otherwise payable.
In the case of a member of the New York state teachers’ retirement system, commencing upon attain­
ment of age sixty-one, the benefit otherwise provided pursuant to this paragraph shall be reduced while
the member is in service to ninety-six per centum of the benefit otherwise payable and each year there­
after the benefit payable shall be reduced by an amount equal to four per centum per year of the original
benefit otherwise payable, but not below sixty per centum of the original benefit otherwise payable. In the
case of a member of the New York city employees’ retirement system, the New York city board of educa­
tion retirement system or the New York city teachers’ retirement system, commencing upon attainment of
age sixty-one, the benefit otherwise provided pursuant to this paragraph shall be reduced while the mem­
ber is in service to ninety-five per centum of the benefit otherwise payable and each year thereafter the
benefit payable shall be reduced by an amount equal to five per centum per year of the original benefit
otherwise payable, but not below fifty per centum of the original benefit otherwise payable. In the case
of any member of the New York state and local employees’ retirement system who is permitted to retire
without regard to age or a member of the New York state and local police and fire retirement system,
commencing upon attainment of age sixty-one, the benefit otherwise provided pursuant to this paragraph
shall be reduced while the member is in service to ninety-seven per centum of the benefit otherwise pay­
able, and each year thereafter the benefit payable shall be reduced by an amount equal to three per cen­
tum per year of the original benefit otherwise payable, but not below seventy per centum of the original
benefit otherwise payable. In the case of any other member of the New York state and local employees’
retirement system, commencing upon attainment of age sixty-one, the benefit otherwise provided pursu­
ant to this paragraph shall be reduced while the member is in service to ninety-six per centum of the
benefit otherwise payable, and each year thereafter the benefit payable shall be reduced by an amount
equal to four per centum per year of the original benefit otherwise payable, but not below sixty per cen­
tum of the original benefit otherwise payable. Upon retirement from any retirement system, the benefit in
force shall be reduced by fifty per centum; upon completion of the first year of retirement, the benefit in
force at the time of retirement shall be reduced by an additional twenty-five per centum, and upon com­
mencement of the third year of retirement, the benefit shall be ten per centum of the benefit in force at
age sixty, if any, or at the time of retirement if retirement preceded such age; provided, however, the
benefit in retirement shall not be reduced below ten per centum of the benefit in force at age sixty, if any,
or at the time of retirement if retirement preceded such age. Notwithstanding any other provision of this
paragraph to the contrary, the benefit for a retiree from the New York state and local employees’ retire­
ment system shall not be reduced below ten per centum of the benefit in force at the time of retirement.
[Paragraph 2 amended L. 1997, ch. 601. “This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after October 16, 1992; provided, however, that:
(a) this act shall not apply to the payment of (i) any disability retirement for disability which became
effective prior to October 16, 1992; or (ii) any death benefit based upon a member’s death which occurred
prior to October 16, 1992, and
(b) nothing contained herein shall be deemed to affect the application, qualification, expiration or
repeal of any provision of law amended by any section of this act and such provisions shall be applied or
qualified or shall expire or be deemed repealed in the same manner, to the same extent and on the same
date as the case may be as otherwise by law; amended L. 2005, ch. 559 in effect on and after October 16,
1992; further amended by L. 2010, ch. 513 in effect September 17, 2010 and deemed to have been in full
force and effect on and after October 16, 1992. See Chapter effective date.”]
3. If a member dies in service without having made the election specified in this subdivision within
ninety days after first becoming a member, or within the period prescribed by the retirement system of
which he is a member if such period is less than ninety days, he shall be deemed to have made the elec­
tion specified in paragraph two.
72
R. & S.S. § 448
4. Notwithstanding any other provision of this article, any member of the New York state teachers
retirement system who joined on or after July first, nineteen hundred seventy-three and before July first,
nineteen hundred seventy-four may change the election set forth in this subdivision by filing a new elec­
tion on or before June thirtieth, nineteen hundred eighty-nine. The election filed pursuant to this para­
graph shall be irrevocable.
5. Notwithstanding any provision of this article, a member of a retirement system subject to the provi­
sions of this article who last joined such system on or after January first, two thousand one who is not
covered by the death benefit calculation provided in subdivision b of this section shall, upon a qualifying
death, be covered by the death benefit calculation provided pursuant to paragraph two of this subdivision
and shall not be entitled to elect between the death benefit calculations provided in paragraphs one and
two of this subdivision. Any individual who last joined such system before January first, two thousand one
who is not covered by the death benefit calculation provided in subdivision b of this section shall be cov­
ered, upon a qualifying death, by the death benefit calculation provided by paragraph two of this subdivi­
sion unless such individual had timely elected death benefit coverage under the calculation provided by
paragraph one of this subdivision, and upon such death, it is determined that the benefit, as calculated
under such paragraph one would be greater than as calculated under such paragraph two, in which case
the benefit calculated under such paragraph one shall be payable. [Paragraph 5 of subdivision a added
L. 2000, ch. 554 in effect October 31, 2000.]
b. A member of a retirement system subject to the provisions of this article who is a police officer, fire­
fighter, correction officer or sanitation worker and is in a plan which permits immediate retirement upon
completion of a specified period of service without regard to age or who is subject to the provisions of
subdivision b of section four hundred forty-five of this article, shall upon completion of ninety days of
service be covered for financial protection in the event of death in service pursuant to this subdivision.
1. Such death benefit shall be equal to three times the member’s salary raised to the next highest mul­
tiple of one thousand dollars, but in no event shall it exceed three times the maximum salary specified in
section one hundred thirty of the civil service law or, in the case of a member of a retirement system other
than the New York city employees’ retirement system, the New York city police pension fund, subchapter
two or the New York city fire department pension fund, subchapter two, the specific limitations specified
for age of entrance into service contained in subparagraphs (b), (c), (d), (e) and (f) of paragraph two of
subdivision a of this section.
2. Provided further, notwithstanding any other provision of this article to the contrary, where the mem­
ber is a police officer or firefighter and would have been entitled to a service retirement benefit at the time
of his or her death and where his or her death occurs on or after July first, two thousand, the beneficiary
or beneficiaries nominated for the purposes of this subdivision may elect to receive, in a lump sum, an
amount payable which shall be equal to the pension reserve that would have been established had the
member retired on the date of his or her death, or the value of the death benefit and the reserve-for­
increased-take-home-pay, if any, whichever is greater, provided further that for the purpose of determin­
ing entitlement to the benefit provided by this subdivision, and notwithstanding subdivision j of section
three hundred forty-one of this chapter, where the member is an officer or member of the state police the
total number of days of unused sick leave and accumulated vacation credit accrued by the member at the
time of his or her death shall be considered in meeting the total creditable service required to qualify for
a service retirement benefit provided without regard to age where his or her death occurs on or after July
second, two thousand nine. Provided further that where such police officer or firefighter dies on or after
July first, two thousand, after having retired from service, but before a first payment of a retirement allow­
ance, such person shall be deemed to have been in service at the time of his or her death for the purposes
of this subdivision only, and provided further that the pension reserve established pursuant to this para­
graph for a person who dies after retiring from service, but before first payment of a retirement allowance,
shall be determined as of the date of retirement and any pension payments payable for the period of time
prior to the retiree’s death shall be deducted from any benefits payable pursuant to this subdivision.
[Subdivision b amended L. 1997, ch. 601. “This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after October 16, 1992; provided, however, that:
(a) this act shall not apply to the payment of (i) any disability retirement benefit based upon a member’s
retirement for disability which became effective prior to October 16, 1992; or (ii) any death benefit based
upon a member’s death which occurred prior to October 16, 1992, and
73
R. & S.S. § 448
(b) nothing contained herein shall be deemed to affect the application, qualification, expiration or
repeal of any provision of law amended by any section of this act and such provisions shall be applied or
qualified or shall expire or be deemed repealed in the same manner, to the same extent and on the same
date as the case may be as otherwise provided by law.” [Amended L. 2000, ch. 551 in effect October 31,
2000; L. 2002, ch. 666 in effect December 3, 2002; L. 2010, ch. 525 in effect September 17, 2010 and
deemed to be in full force and effect on and after July 2, 2009.]
c. For the purpose of this section, salary shall be the regular compensation earned during the mem­
ber’s last twelve months of service in full pay status as a member or, if he or she had not completed
twelve months of service prior to the date of death, but was subject to the provisions of subdivision b of
this section, the compensation he or she would have earned had he or she worked for the twelve months
prior to such date; provided, however, for the purpose of this section salary shall exclude any form of
termination pay (which shall include any compensation in anticipation of retirement), or any lump sum
payment for deferred compensation sick leave, or accumulated vacation credit or any other payment for
time not worked (other than compensation received while on sick leave or authorized leave of absence)
and in no event shall it exceed the maximum salary specified in section one hundred thirty of the civil
service law, as added by part B of chapter ten of the laws of two thousand eight, or the maximum salary
specified in section one hundred thirty of the civil service law, as hereafter amended, whichever is greater.
[Subdivision (c) amended L. 2013, ch. 520 in effect Dec. 18, 2013.]
d. The benefits provided pursuant to this section are in lieu of all other benefits provided by this or any
other state or local law exclusive of a benefit provided under the workmen’s compensation law, the civil
service law or group life insurance; provided, however, a beneficiary of a member eligible for a benefit as
the result of a service connected accident, may elect to receive such other benefit in lieu of the benefit
provided pursuant to this section.
e. For the purposes of this section:
1. A member who dies while off the payroll shall be considered to be in service provided he or she (a) was
on the payroll in such service and paid within a period of twelve months prior to his or her death, or was on
the payroll in the service upon which membership is based at the time he or she was ordered to active duty
pursuant to Title 10 of the United States Code, with the armed forces of the United States or to service in the
uniformed services pursuant to Chapter 43 of Title 38 of the United States Code and died while on such
active duty or service in the uniformed services on or after June fourteenth, two thousand five, (b) had not
been otherwise gainfully employed since he or she ceased to be on such payroll and (c) had credit for one
or more years of continuous service since he or she last entered or reentered the service of his or her
employer; notwithstanding any other provision of law to the contrary, a member of the New York city employ­
ees’ retirement system or the board of education retirement system of the city of New York shall be deemed
to have died on the payroll for the purposes of this section in the event that death occurs while such member
is on an authorized leave of absence without pay for medical reasons which has continuously been in effect
since the member was last paid on the payroll in such service, provided, however, that such member was on
the payroll in such service and paid within the four-year period prior to his or her death; and
2. The benefit payable shall be in addition to any payment made on account of a member’s accumu­
lated contributions.
3. Provided, further, that any such member ordered to active duty pursuant to Title 10 of the United
States Code, with the armed forces of the United States or to service in the uniformed services pursuant
to Chapter 43 of Title 38 of the United States Code who died prior to rendering the minimum amount of
service necessary to be eligible for this benefit shall be considered to have satisfied the minimum service
requirement. [As amended L. 1973, chs. 1046, 1047 in effect July 31, 1973; L. 1974, ch. 510; par. 3, sub.
a and sub. e added L. 1974, ch. 510 in effect May 23, 1974; par. 4 of sub. a added L. 1988, ch. 451 in
effect Aug. 1, 1988; L. 2001, ch. 290 in effect September 5, 2001; subsection 3 added L. 2005, ch. 105
in effect June 14, 2005; L. 2011, ch. 582 in effect September 23, 2011.]
f. Notwithstanding the provisions of any other law to the contrary and solely for the purpose of deter­
mining eligibility for the death benefit payable pursuant to this section, a person subject to this section
shall be considered to have died while in teaching service provided such person was in such service at
the time he or she was ordered to active duty pursuant to Title 10 of the United States Code, with the
armed forces of the United States or to service in the uniformed services pursuant to Chapter 43 of Title
38 of the United States Code and died while on such active duty or service in the uniformed services on
74
R. & S.S. § 448-a/449/450/451
or after June fourteenth, two thousand five. Provided, further, that any such person ordered to active duty
pursuant to Title 10 of the United States Code, with the armed forces of the United States or to service
in the uniformed services pursuant to Chapter 43 of Title 38 of the United States Code who died prior to
rendering the minimum amount of service necessary to be eligible for this benefit shall be considered to
have satisfied the minimum service requirements. [Added L. 2005, ch. 105 in effect June 14, 2005; as
amended L. 2011, ch. 582 in effect September 23, 2011.]
g. A member, or on the death of such member, the person nominated by him or her to receive his or her
death benefit, may provide, by written designation, duly executed and filed with the comptroller, that such
death benefit and the reserve-for-increased-take-home-pay shall be paid in the form of an annuity. Such
designation shall be filed prior to or within ninety days after the death of the member. The amount of such
annuity shall be determined as the actuarial equivalent of such death benefit and reserve on the basis of
the age of such beneficiary at the time of the member’s death. For the purposes of this subdivision, the
mortality and interest rates used in determining this annuity shall be the rates in effect on the date of the
death of such member. [Added L. 2006, ch. 652 in effect September 13, 2006.]
§ 448-a. Death benefit for vested members who die prior to retirement.
a. A death benefit plus the reserve-for-increased-take-home-pay, if any, shall be payable upon the
death of a member of a retirement system who:
1. Died before the effective date of retirement while a member of such retirement system;
2. Had at least ten years of credited service at the time of death; and
3. Died at a time and in a manner which did not result in the eligibility of the member’s estate or any
beneficiary to receive any death benefits from such retirement system on account of such death.
b. Benefits provided under this section shall be payable to the member’s estate or the beneficiary or
beneficiaries nominated by the member on a designation of beneficiary form filed with the administrative
head of such retirement system.
c. The amount of the benefit payable pursuant to this section shall be equal to one-half of the amount
of the ordinary death benefit which would have been payable had the member’s death occurred on the
last day of service upon which membership was based. [Section 448-a amended L. 1998, ch. 388 in effect
on and after January 1, 1997.]
§ 449. Repealed L. 1992, ch. 504 in effect April 1, 1993.
§ 450. Definitions. For the purpose of this article: (1) the term “correction officer” shall mean members
of the New York state and local employees’ retirement system who are in a plan limited to uniformed person­
nel in institutions under the jurisdiction of the department of corrections and community supervision or mem­
bers of such system who are also in titles defined in subdivision i of section eighty-nine of this chapter and
correction members of the New York city employees’ retirement system; (2) the term “police officer or fire­
fighter” shall mean members of the New York state and local police and fire retirement system, the New York
city police pension fund, New York city fire department pension fund, and housing police members and transit
police members of the New York city employees’ retirement system; (2-a) for purposes of this act “active
service” shall mean service while being paid on the payroll of the state or a participating employer of members
of the New York state and local police and fire retirement system; (3) the term “sanitation man” shall mean
sanitation members of the New York city employees’ retirement system; and (4) the term “investigator mem­
ber” shall mean members who are police officers as defined in paragraph (g) of subdivision thirty-four of sec­
tion 1.20 of the criminal procedure law. [Sec. 450 re-numbered Sec. 451 and new Sec. 450 added L. 1973, ch.
1046 in effect July 31, 1973; amended L. 1974, ch. 510 in effect May 23, 1974; L. 1989, ch. 578 in effect July
19, 1989; L. 1997, ch. 285 in effect July 28, 1997; L. 1998, ch. 489 in effect July 29, 1998; L. 1999, ch. 640 in
effect November 30, 1999; as amended L. 2011, ch. 62, part C, subpart B, in effect March 31, 2011.]
§ 451. Duration. Notwithstanding any other provision of this chapter or of any other law, effective
July first, nineteen hundred seventy-six, all benefits provided by an actuarially funded public retirement
system of the state of New York or any municipality thereof shall continue with respect to members to which
article fourteen is applicable only until December thirty-first, nineteen hundred seventy-six. [Article 11
enacted L. 1973, ch. 382 in effect May 31, 1973; Sec. 451 amended L. 1976, ch. 890 in effect July 1, 1976.]
75
R. & S.S. § 500
Article 14 of the Retirement and Social Security Law
(Tier 3)
COORDINATED-ESCALATOR RETIREMENT PLAN
500.
501.
502.
503.
504.
504-a.
504-b.
504-c.
504-d.
505.
506.
507.
507-a.
507-b.
507-c.
507-d.
507-e.
507-f.
507-g.
507-h.
507-i
508.
508-a.
509.
510.
511.
512.
513.
514.
515.
516.
517.
517-a.
517-b.
517-c.
518.
519.
520.
Application.
Definitions.
Eligibility for service retirement benefits; minimum service requirements.
Eligibility for normal and early service retirement benefits; age and service requirements.
Service retirement benefits; general members.
Twenty-year retirement program for New York city correction members below the rank
of captain. (omitted)
Twenty-year retirement program for New York city correction members of the rank of captain
or above. (omitted)
Supplemental retirement allowance.
Twenty-year retirement program for New York city correction members. (omitted)
Service retirement benefits; police/fire members, New York city uniformed correction/sanitation
revised plan members and investigator revised plan members.
Ordinary disability benefits.
Accidental disability benefits.
Disability retirement (correction officers). (omitted)
Performance of duty disability retirement. (omitted)
Performance of duty disability retirement; New York city department of correction. (omitted)
Disability benefits. (omitted)
Uniformed court officers; certain disabilities. (omitted)
Accidental disability retirement; Westchester county district attorney investigators. (omitted)
Payment of both pensions for accident and other benefits prohibited; Westchester county
district attorney investigators. (omitted)
Retirement for disability incurred in performance of duty; Westchester county district attorney
investigators. (omitted)
Disability benefits; Westchester county district attorney investigators. (omitted)
Death benefits.
Death benefit for vested members who die prior to retirement.
Accidental death benefits.
Escalation of benefits.
Coordination with social security benefits.
Final average salary.
Credit for service.
Options.
Optional retirement program.
Vesting.
Member contributions.
Termination of membership.
Loans to members of a teachers retirement system.
Loans to members of certain retirement systems. (omitted)
Election of coverage under article.
Effect of other laws.
Duration.
§ 500. Application. a. Notwithstanding any other provision of law, except as otherwise provided in sub­
divisions c and f of this section, the provisions of this article shall apply to all members who join or rejoin a
public retirement system of the state on or after July first, nineteen hundred seventy-six and to all employees
who would have been eligible to join or rejoin such a retirement system on or after such date but in lieu thereof
76
R. & S.S. § 500
elected an optional retirement program to which their employers are thereby required to contribute. In the
event that there is a conflict between the provisions of this article and the provisions of any other law or code,
the provisions of this article shall govern. [Amended L. 1988, ch. 522 in effect Aug. 1, 1988.]
b. Notwithstanding any other provision of this article to the contrary, persons who on or after July first,
nineteen hundred seventy-six:
1. Enter the employment of a public employer which participates for such employees in the New York
city employees retirement system, the New York city teachers retirement system, the New York city police
pension fund, article or shall be eligible or ineligible for membership in such retirement system or pension
fund in the manner provided for by the relevant provisions of the New York city administrative code and
other relevant laws and rules and regulations.
2. Enter the employment of a public employer which participates for such employees in the New York
state teachers retirement system shall be required to become members or shall be eligible or ineligible
for membership in such retirement system in the manner provided for by the relevant provisions of the
New York state education law.
3. Enter the employment of a public employer which participates for such employees in the New York
state policemen’s and firemen’s retirement system shall be required to become members or shall be eli­
gible or ineligible for membership in such retirement system in the manner provided for by the relevant
provisions of this chapter.
4. Enter the employment of a public employer which participates for such employees in the New York
state employees retirement system in positions in which they shall work full time shall be required to
become members. Provided, however, persons in the employ of such employers after such date in posi­
tions in which they work less than full time shall be permitted to become members of the New York state
employees retirement system by filing an application therefore in the manner provided for by section forty
of this chapter. [Amended L. 1977, ch. 42, in effect April 1, 1977.]
c. If the comptroller certifies that the contribution rate under this article for any participating employer
who is participating on the effective date hereof would be at least one percent higher than the rate which
would be applicable to such employer for an employee who is subject to article eleven of this chapter and
who was hired prior to July first, nineteen hundred seventy-six, the provisions of this article shall not apply
with respect to such participating employer, provided, however that members who first join the New York
state and local police and fire retirement system on or after January first, two thousand ten shall not be
subject to the provisions of this article. In such event, the provisions of article eleven and article twentytwo of this chapter shall continue to be applicable to such participating employer and its employees, as
provided in section four hundred fifty-one of this chapter. If, as a result of actuarial experience, such
employer’s contribution rate should increase to the extent that it is not at least one percent lower than the
contribution rate under this article, then, upon certification of such fact by the comptroller, the provisions
of this subdivision shall no longer apply with respect to the employees of such employer who thereafter
first join or rejoin a public retirement system. [Amended L. 2009, ch. 504 in effect January 9, 2010.]
d. The provisions of this article shall not be construed to extend coverage to an employee who would
not have been, if employed in the same capacity on June thirtieth, nineteen hundred seventy-six, eligible
for membership in the retirement system involved, or to provide an increase in benefits to a member of a
retirement system other than as provided by sections five hundred six, five hundred seven, five hundred
eight and five hundred nine of this article.
e. Notwithstanding any other provision of law, any person who is not required to become a member of
a public retirement system of the state by subdivision b of this section but who became a member on or
after July first, nineteen hundred seventy-six may terminate such membership by filing a written notice of
termination with the head of the retirement system of which he is a member on or before July first, nine­
teen hundred seventy-seven. [Added L. 1977, ch. 42 in effect April 1, 1977.]
f. Notwithstanding the provisions of subdivision a of this section, members who were employed by the
New York city board of education and assigned during the first fifteen days of the school term to a posi­
tion which is expected to be vacant for that term and who were employed in one of the three school years
immediately prior to July first, nineteen hundred seventy-six in a position which did not entitle them to
apply for membership in a public retirement system who first joined the New York city teachers retirement
system subsequent to June thirtieth, nineteen hundred seventy-six shall have all the rights, benefits and
privileges applicable to employees who were members of such system on June thirtieth, nineteen
77
R. & S.S. § 501
hundred seventy-six provided they make written application, duly executed and filed with the New York
city teachers retirement board prior to July first, nineteen hundred eighty-nine. [Added L. 1988, ch. 522
in effect Aug. 1, 1988.]
g. Notwithstanding the provisions of subdivision a of this section, members who were employed by the
New York city board of education as regular substitute teachers when assigned as such and members
who were employed by the New York city board of education and assigned during the school year to a
position which was expected to be vacant for that school year, such members having been employed for
a period of not less than twenty school days during such school year in a position which did not entitle
them to apply for membership in a public retirement system who first joined the New York city teachers’
retirement system or the New York state teachers’ retirement system subsequent to June thirtieth, nine­
teen hundred seventy-six shall have all the rights, benefits and privileges to which they would have been
entitled had their current membership begun on the date their original service commenced, provided they
make written application, duly executed and filed with the retirement system in which they are members
on or before June thirtieth, two thousand three. Any member of a teachers’ retirement system who is
entitled by reason of this chapter to have all the rights, benefits and privileges of a member of such sys­
tem as of a date prior to July first, nineteen hundred seventy-six shall not be entitled to a refund of any
contributions made to such system prior to the effective date of this subdivision pursuant to this article
or article fifteen of this chapter. [Subdivision g added L. 2002, ch. 106 in effect June 30, 2002.]
§ 501. Definitions. The following words and phrases as used in this article shall have the following
meanings unless a different meaning is plainly required by the context.
1. “Active service” shall mean service while being paid on the payroll of a participating employer.
2. “Cost-of-living index” shall mean the consumer price index (all items—United States city averages)
published by the United States bureau of labor statistics.
3. “Credited service” shall mean all service which has been credited to a member pursuant to section
five hundred thirteen or which was credited to such member in a public retirement system of the state
before such member became subject to this article and which is allowable as previous service pursuant
to section five hundred thirteen.
4. “Creditable service” is service which qualifies to be counted as credited service pursuant to section
five hundred thirteen.
5. “Early retirement age” shall mean age fifty-five, for general members, and the age on which a mem­
ber completes or would have completed twenty years of service, for police/fire members, New York city
uniformed correction/sanitation revised plan members and investigator revised plan members. [Amended
L. 2012, ch. 18 in effect April 1, 2012.]
6. “Elective member” shall mean a member who is not subject to the provisions of this article on a
mandatory basis.
7. “Eligible beneficiary” for the purposes of section five hundred nine of this article shall mean the fol­
lowing persons or classes of persons in the order set forth: (a) a surviving spouse who has not renounced
survivorship rights in a separation agreement, until remarriage, (b) surviving children until age twenty-five,
(c) dependent parents, determined under regulations promulgated by the comptroller, (d) any other per­
son who qualified as a dependent on the final federal income tax return of the member or the return filed
in the year immediately preceding the year of death, until such person reaches twenty-one years of age
and (e) with respect to members of the New York city employees’ retirement system (other than a New
York city uniformed correction/sanitation revised plan member or an investigator revised plan member)
and the board of education retirement system of the city of New York, a person whom the member shall
have nominated in the form of a written designation, duly acknowledged and filed with the head of the
retirement system for the purpose of section five hundred eight of this article. In the event that a class of
eligible beneficiaries consists of more than one person, benefits shall be divided equally among the per­
sons in such class. For the purposes of section five hundred eight of this article the term “eligible benefi­
ciary” shall mean such person as the member shall have nominated to receive the benefits provided in
this article. To be effective, such a nomination must be in the form of a written designation, duly acknowl­
edged and filed with the head of the retirement system for this specific purpose. In the event such des­
ignated beneficiary does not survive him, or if he shall not have so designated a beneficiary, such benefits
shall be payable to the deceased member’s estate or as provided in section one thousand three hundred
78
R. & S.S. § 501
ten of the surrogate’s court procedure act. [Amended L. 1977, ch. 816 in effect Aug. 5, 1977, L. 2000, ch.
408 in effect August 30, 2000; amended L. 2012, ch.18 in effect April 1, 2012.]
8. “Excess contributions” shall mean any contributions (and interest thereon) made by a member prior
to becoming subject to this article which, if not withdrawn, would have been used to purchase an addi­
tional annuity at retirement had the member continued in the plan of which he was a member before
becoming subject to this article.
9. “Federal social security program” shall mean the federal old age and survivor’s assistance program
under the federal social security act.
10. “Federal social security primary insurance amount” shall mean the primary insurance amount as
defined in section 215 (a) (1) (A) of the federal social security act.
11. “Federal social security benefit computation period” shall mean a member’s benefit computation
years as determined pursuant to section 215(b) of the federal social security act.
12. “General member” shall mean a member subject to the provisions of this article who is not a police/
fire member, a New York city uniformed correction/sanitation revised plan member and investigator
revised plan member. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
13. “Head of the retirement system” shall mean the comptroller, with respect to the state employees
retirement system and the state policemen’s and firemen’s retirement system, and the retirement board
of the other public retirement systems of the state.
14. “In service” shall mean any period during which a member is on the payroll of a public employer, in
the service upon which membership is based, and any period during which the member was not on the
payroll if he or she: (a) was on the payroll and paid within the previous twelve months, (b) had not been
gainfully employed since ceasing to be on such payroll, (c) had credit for at least one year of continuous
service since last entering or reentering the service of the public employer and (d) was not eligible for or
receiving a service retirement or disability benefit.
15. “Mandatory retirement age” shall mean age seventy, for general members, and age sixty-two, for
police/fire members.*
16. “Member” shall mean any person included in the membership of a public retirement system of this
state as provided in section five hundred of this article. [Amended L. 1977, ch. 42 in effect April 1, 1977.]
17. “Normal retirement age” shall be age sixty-two, for general members, and the age at which a mem­
ber completes or would have completed twenty-two years of service, for police/fire members, New York
city uniformed correction/sanitation revised plan members or an investigator revised plan members.
[Amended L. 2012, ch. 18 in effect April 1, 2012.]
18. “Participating employer” shall mean a public employer who is participating in a public retirement
system of the state.
19. “Primary social security retirement benefit” shall mean the benefit payable to a covered employee,
at age sixty-two or later, under the federal social security program, exclusive of any family benefits, cal­
culated as provided in subdivision c of section five hundred eleven.
20. “Primary social security disability benefit” shall mean the benefit payable to a disabled covered
employee under the federal social security program, exclusive of any family benefits, calculated as pro­
vided in subdivision c of section five hundred eleven.
21. “Police/fire member” shall mean a member subject to the provisions of this article who, if employed
in the same capacity on June thirtieth nineteen hundred seventy-six, would have been eligible for mem­
bership in the New York state policemen’s and firemen’s retirement system, the New York city police pen­
sion fund or the New York city fire department pension fund, or for participation in the uniformed transit
police force plan or housing police force plan in the New York city employees retirement system.
22. “Public employer” shall mean an employer who is eligible to participate in a public retirement sys­
tem of the state.
23. “Public retirement system of the state” shall mean the New York state employees retirement system, New
York state policemen’s and firemen’s retirement system, New York state teachers retirement system, New York
city employees retirement system, New York city teachers retirement system, New York city police pension fund,
New York city fire department pension fund and the New York city board of education retirement system.
*Superseded by Article 14-A, Ret. & Soc. Sec. Law and Section 296, Executive Law enacted L. 1984, ch. 296 in effect
Jan. 1, 1985.
79
R. & S.S. § 502
24. “Wages” shall mean regular compensation earned by and paid to a member by a public employer,
except that for members who first join the state and local employees’ retirement system on or after January
first, two thousand ten, overtime compensation paid in any year in excess of the overtime ceiling, as defined
by this subdivision, shall not be included in the definition of wages. “Overtime compensation” shall mean,
for purposes of this section, compensation paid under any law or policy under which employees are paid at
a rate greater than their standard rate for additional hours worked beyond those required, including compen­
sation paid under section one hundred thirty-four of the civil service law and section ninety of the general
municipal law. The “overtime ceiling” shall mean fifteen thousand dollars per annum on January first, two
thousand ten, and shall be increased by three percent each year thereafter, provided, however, that for mem­
bers who first become members of the New York state and local employees’ retirement system on or after
April first, two thousand twelve, “overtime ceiling” shall mean fifteen thousand dollars per annum on April
first, two thousand twelve, and shall be increased each year thereafter by a percentage to be determined
annually by reference to the 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, for each applicable calendar year.
Said percentage shall equal the annual inflation as determined from the increase in the consumer price index
in the one year period ending on the December thirty-first prior to the cost-of-living adjustment effective on
the ensuing April first. For the purpose of calculation a member’s primary federal social security retirement
or disability benefit, wages shall, in any calendar year, be limited to the portion of the member’s wages which
would be subject to tax under section three thousand one hundred twenty-one of the internal revenue code
of nineteen hundred fifty-four, or any predecessor or successor provision relating thereto, if such member
was employed by a private employer. For members who first become members of the New York state and
local employees’ retirement system on or after the effective date of the chapter of the laws of two thousand
twelve which amended this subdivision, the following items shall not be included in the definition of wages:
(a) wages in excess of the annual salary paid to the governor pursuant to section three of article four of the
state constitution, (b) lump sum payments for deferred compensation, sick leave, accumulated vacation or
other credits for time not worked, (c) any form of termination pay, (d) any additional compensation paid in
anticipation of retirement, and (e) in the case of employees who receive wages from three or more employers
in a twelve month period, the wages paid by the third and each successive employer. [Amended L. 2009, ch.
504 in effect January 1, 2010; amended L. 2012, ch. 18 in effect April 1, 2012.]
25. “New York city uniformed correction/sanitation revised plan member” shall mean a member who
becomes subject to the provisions of this article on or after April first, two thousand twelve, and who is a
member of either the uniformed force of the New York city department of correction or the uniformed
force of the New York city department of sanitation.
26. “New York city police/fire revised plan member” shall mean a police/fire member who becomes
subject to the provisions of this article on or after April first, two thousand twelve, and who is a member
of either the New York city police pension fund or the New York city fire department pension fund.
27. “Investigator revised plan member” shall mean an investigator member of the New York city employ­
ees’ retirement system who is a police officer as defined in paragraph (g) of subdivision thirty-four of sec­
tion 1.20 of the criminal procedure law, and who becomes subject to the provisions of this article on or after
April first, two thousand twelve. [Subdivisions 25, 26 and 27 added L. 2012, ch. 18 in effect April 1, 2012.]
§ 502. Eligibility for service retirement benefits; minimum service requirements. a. A member
who first joins a public retirement system of this state on or after June thirtieth, nineteen hundred sev­
enty-six shall not be eligible for service retirement benefits hereunder until such member has rendered a
minimum of five years of creditable service after July first, nineteen hundred seventy-three, except that a
member who first joins the New York state and local employees’ retirement system on or after January
first, two thousand ten shall not be eligible for service retirement benefits pursuant to this article until
such member has rendered a minimum of ten years of credited service.
b. A member who previously was a member of a public retirement system of this state shall not be eligible
for service retirement benefits hereunder until such member has rendered a minimum of five years of service
which is creditable pursuant to section five hundred thirteen of this article. A member who first joins the New
York state and local employees’ retirement system on or after January first, two thousand ten shall not be
eligible for service retirement benefits pursuant to this article until such member has rendered a minimum of
ten years of credited service. [Subdivisions a and b amended L. 2009, ch. 504 in effect January 1, 2010.]
80
R. & S.S. § 503
c. An elective member who is not vested in the plan from which he or she transferred shall not be eli­
gible for service retirement or vested benefits hereunder until such member has rendered a minimum
period of service equal to the additional service which such member would have been required to accrue
under such former plan in order to obtain a vested benefit.
d. Notwithstanding any other provision of this section, a pensioner receiving a service retirement benefit:
(i) who returns to active public service and joins or rejoins a public retirement system on or after July first,
nineteen hundred seventy-six, and (ii) who thereafter separates from service before becoming eligible for a
retirement benefit hereunder, shall, upon such separation, be entitled to receive the service retirement ben­
efit which he or she was receiving prior to his or her last restoration to membership. Provided, however, if
such pensioner was not subject to this article at the time he or she last retired, he or she shall, upon separa­
tion, be entitled to receive a retirement allowance which shall consist of an annuity which is the actuarial
equivalent of his or her accumulated contributions, if any, and the pension, including pension-providing-for­
increased-take-home-pay, which he or she was receiving prior to his last restoration to membership.
e. Notwithstanding any other provision of this section, if a member attains mandatory retirement age,
the minimum service requirements specified in this section shall be five years.
f. Upon the first day of the month after the attainment of mandatory retirement age, a member shall be
separated from service whether or not eligible for service retirement hereunder; provided however, that this
requirement shall not preclude a member from being continued in service beyond such mandatory retire­
ment age pursuant to other applicable provisions of law. [Amended L. 1998, ch. 389 in effect July 17, 1998.]
§ 503. Eligibility for normal and early service retirement benefits; age and service require­
ments. a. The normal service retirement benefit specified in section five hundred four of this article shall
be payable to general members, other than elective members, who have met the minimum service require­
ments upon retirement and attainment of age sixty-two, provided, however, a general member who is a
peace officer employed by the unified court system or a member of a teachers’ retirement system may
retire without reduction of his or her retirement benefit upon attainment of at least fifty-five years of age
and completion of thirty or more years of service. For members who become members of the New York
state and local employees’ retirement system on or after April first, two thousand twelve, the normal ser­
vice retirement benefits specified in section five hundred four of this article shall be payable to general
members, other than elective members, who have met the minimum service requirements upon retirement
and attainment of age sixty-three. [Sub. a amended L. 1985, ch. 873 in effect August 2, 1985; L. 1988,
ch. 662 in effect Sept. 1, 1988; amended L. 2012, ch. 18 in effect April 1, 2012.]
b. The normal service retirement benefit specified in section five hundred four shall be payable to
elective-general members who have met the minimum service requirements upon retirement and attain­
ment of whichever of the following ages is applicable:
(i) if the member was within ten years of the normal retirement age for the plan from which such member
transferred at the time of transfer, the normal retirement age for such plan with respect to such member.
(ii) if the member was not within ten years of the normal retirement age of the plan from which such
member transferred, at an age equal to the normal retirement age for such plan with respect to such
member plus one year for each year such member was more than ten years from such normal retirement
age at the time of transfer, provided that normal retirement age shall in no event be greater than five years
more than the normal retirement age of the plan from which the member transferred or age sixty.
c. A general member shall be eligible for early service retirement at age fifty-five with five years of cred­
ited service. A general member in the uniformed correction force of the New York city department of cor­
rection, who is not eligible for early service retirement pursuant to subdivision c of section five hundred
four-a of this article or subdivision c of section five hundred four-b of this article or subdivision c of section
five hundred four-d of this article, or a general member in the uniformed personnel in institutions under the
jurisdiction of the department of corrections and community supervision, as defined in subdivision i of
section eighty-nine of this chapter or serving in institutions who is also in a title defined in such subdivision
and who has made an election pursuant to the provisions of article seventeen of this chapter, shall also be
eligible for early service retirement after twenty-five years of credited service, provided, however, that the
provisions of this subdivision and subdivision a of this section shall not apply to a New York city uniformed
correction/sanitation revised plan member or an investigator revised plan member. [Amended L. 1981, ch.
1017; L. 1982, ch. 726 in effect July 27, 1982; L. 1984, ch. 666 in effect Sept. 1, 1984; L. 1989, ch. 578 in
81
R. & S.S. § 504
effect July 19, 1989; L. 1990, ch. 936 in effect Dec. 19, 1990; L. 1993, ch. 631 in effect August 4, 1993; L.
1999, ch. 659 in effect July 17, 1998; L. 2004, ch. 622 in effect October 19, 2004; as amended L. 2011, ch.
62, part C, subpart B, in effect March 31, 2011; amended L. 2012, ch. 18 in effect April 1, 2012.]
d. The normal service retirement benefit specified in section five hundred five of this article shall be
paid to police/fire members, New York city uniformed correction/sanitation revised plan members and
investigator revised plan members without regard to age upon retirement after twenty-two years of ser­
vice. Early service retirement shall be permitted upon retirement after twenty years of credited service or
attainment of age sixty-two, provided, however, that New York city police/fire revised plan members, New
York city uniformed correction/sanitation revised plan members and investigator revised plan members
shall not be eligible to retire for service prior to the attainment of twenty years of credited service.
[Amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 504. Service retirement benefits; general members. a. The service retirement benefit for gen­
eral members at normal retirement age with twenty or more years of credited service shall be a pension
equal to one-fiftieth of final average salary times years of credited service, not in excess of thirty years,
less fifty percent of the primary social security retirement benefit as provided in section five hundred
eleven of this article. The service retirement benefit for general members at normal retirement age with
twenty or more years of service who first become members of the New York state and local employees’
retirement system on or after April first, two thousand twelve at normal retirement age shall be a pension
equal to the sum of thirty-five per centum and one-fiftieth of final average salary for each year of service
in excess of twenty, but not in the excess of thirty, times final average salary times years of credited ser­
vice. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
b. The service retirement benefit for general members at normal retirement age with less than twenty years of
credited service shall be a pension equal to one-sixtieth of final average salary times years of credited service,
less fifty percent of the primary social security retirement benefit as provided in section five hundred eleven.
c. The early service retirement benefit for general members, except for general members whose early
retirement benefit is specified in subdivision d of this section, shall be the service retirement benefit specified
in subdivision a or b of this section, as the case may be, without social security offset, reduced by one-fif­
teenth for each of the first two years by which early retirement precedes age sixty-two, plus a further reduc­
tion of: (1) one-thirtieth; or (2) one-twentieth for members who first join the New York state and local
employees’ retirement system on or after January first, two thousand ten, for each year by which early retire­
ment precedes age sixty, provided however, that for members who first become members of the New York
state and local employees’ retirement system on or after the effective date of the chapter of the laws of two
thousand twelve which amended this subdivision, the early service retirement benefit for general members,
except for general members whose early retirement benefit is specified in subdivision d of this section, shall
be the service retirement benefit specified in subdivision a or b of this section, as the case may be, without
social security offset, reduced by six and one-half per centum for each year by which early retirement pre­
cedes age sixty-three. At age sixty-two, the benefit shall be reduced by fifty percent of the primary social
security retirement benefit, as provided in section five hundred eleven of this article. [Subdivision c amended
L. 2009, ch. 504 in effect January 1, 2010; amended L. 2012, ch. 18 in effect April 1, 2012.]
d. The early service retirement benefit for general members in the uniformed correction force of the New
York city department of correction, who are not entitled to an early service retirement benefit pursuant to sub­
division c of section five hundred four-a of this article or subdivision c of section five hundred four-b of this
article or subdivision c of section five hundred four-d of this article, or for general members in the uniformed
personnel in institutions under the jurisdiction of the department of corrections and community supervision,
as defined in subdivision i of section eighty-nine of this chapter, shall be a pension equal to one-fiftieth of final
average salary times years of credited service at the completion of twenty-five years of service, but not in
excess of fifty percent of final average salary, provided, however, that the provisions of this section shall not
apply to a New York city uniformed correction/sanitation revised plan member. [Added L. 1981, ch. 1017;
amended L. 1982, ch. 726 in effect July 27, 1982; L. 1984, ch. 666 in effect Sept. 1, 1984; L. 1987, ch. 845 in
effect Aug. 10, 1987; L. 1989, ch. 174 in effect June 19, 1989; L. 1990, ch. 936 in effect Dec. 19, 1990; L.
1993, ch. 631 in effect August 4, 1993; L. 2004, ch. 622 in effect October 19, 2004; as amended L. 2011, ch.
62, part C, subpart B, in effect March 31, 2011; amended L. 2012, ch. 18 in effect April 1, 2012.]
[Subdivision e intentionally omitted.]
82
R. & S.S. § 504-a/504-b/504-c/504-d/505/506
§ 504-a. Twenty-year retirement program for New York city correction members below the rank
of captain. (omitted)
§ 504-b. Twenty-year retirement program for New York city correction members of the rank of
captain or above. (omitted)
§ 504-c. Supplemental retirement allowance. Individuals who are receiving benefits from the New
York State and Local Employees’ Retirement System pursuant to this article and who will not be eligible
for escalation pursuant to section five hundred ten of this article shall be entitled to supplemental retire­
ment benefits provided in section seventy-eight of this chapter if they meet all of the eligibility require­
ments provided in section seventy-eight of this chapter. [L. 1995, ch. 119 in effect July 1, 1995.]
§ 504-d. Twenty-year retirement program for New York city correction members. (omitted)
§ 505. Service retirement benefits; police/fire members, New York city uniformed correction/sanita­
tion revised plan members and investigator revised plan members. a. The normal service retirement
benefit for police/fire members, New York city uniformed correction/sanitation revised plan members and
investigator revised plan members at normal retirement age shall be a pension equal to fifty percent of final
average salary, less fifty percent of the primary social security retirement benefit commencing at age sixty-two,
as provided in section five hundred eleven of this article. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
b. The early service retirement benefit for police/fire members, New York city uniformed correction/
sanitation revised plan members and investigator revised plan members shall be a pension equal to two
and one tenths percent of final average salary times years of credited service at the completion of twenty
years of service or upon attainment of age sixty-two, increased by one-third of one percent of final aver­
age salary for each month of service in excess of twenty years, but not in excess of fifty percent of final
average salary, less fifty percent of the primary social security retirement benefit commencing at age
sixty-two as provided in section five hundred eleven of this article, provided, however, that New York city
police/fire revised plan members, New York city uniformed correction/sanitation revised plan members
and investigator revised plan members shall not be eligible to retire for service prior to the attainment of
twenty years of credited service. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
c. A police/fire member, a New York city uniformed correction/sanitation revised plan member or an inves­
tigator revised plan member who retires with twenty-two years of credited service or less may become eligible
for annual escalation of the service retirement benefit if he elects to have the payment of his benefit com­
mence on the date he would have completed twenty-two years and one month or more of service. In such
event, the service retirement benefit shall equal two percent of final average salary for each year of credited
service, less fifty percent of the primary social security retirement benefit commencing at age sixty-two as
provided in section five hundred eleven of this article. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 506. Ordinary disability benefits. a. A member in active service who is not eligible for a normal
retirement benefit shall, upon completing five years or more of service, be eligible for the ordinary disability
benefit described in subdivision b of this section if such member has been determined to be eligible for
primary social security disability benefits; provided, however, that no member of the New York state teach­
ers’ retirement system, the New York city employees’ retirement system, the New York city board of educa­
tion retirement system, the New York city teachers’ retirement system or the New York state and local
employees’ retirement system who is otherwise eligible for ordinary disability benefits pursuant to this sec­
tion shall be deemed to be ineligible for such benefits because such member is eligible for a normal service
retirement benefit. [Subdivision a amended L. 1997, ch. 601. “This act shall take effect immediately and shall
be deemed to have been in full force and effect on and after October 16, 1992; provided, however, that:
(a) this act shall not apply to the payment of (i) any disability retirement benefit based upon a member’s
retirement for disability which became effective prior to October 16, 1992; or (ii) any death benefit based
upon a member’s death which occurred prior to October 16, 1992, and
(b) nothing contained herein shall be deemed to affect the application, qualification, expiration or
repeal of any provision of law amended by any section of this act and such provisions shall be applied or
qualified or shall expire or be deemed repealed in the same manner, to the same extent and on the same
83
R. & S.S. § 507
date as the case may be as otherwise provided by law”; amended L. 2005, ch. 559 in effect October 16,
1992; further amended by L. 2010, ch. 513 in effect September 17, 2010 and deemed to have been in full
force and effect on and after October 16, 1992. See Chapter effective date.]
b. The ordinary disability benefit hereunder shall be a pension equal to the greater of (i) thirty-three and
one-third percent of final average salary, or (ii) two percent of final average salary times years of credited
service not in excess of the maximum years of service for computing service retirement, such benefit in
each case to be reduced by fifty percent of the primary social security disability benefit as provided in
section five hundred eleven and one hundred percent of any workmen’s compensation benefits payable.
c. For the purpose of applying the five year service eligibility requirements in subdivision a of this section,
service shall mean all credited service rendered since a member last joined a public retirement system.
Provided however, if the member had been in active public service prior to joining the system involved, all
continuous public service immediately prior to the date of membership shall be counted toward the fiveyear service requirement. For the purpose of this subdivision, continuous public service shall mean service
during a period in which an employee was not off the payroll of a public employer for more than thirty days.
d. The provisions of subdivision d, e, f and g of section five hundred seven of this chapter shall apply
to disability benefits under this section.
§ 507. Accidental disability benefits. a. A member in active service, or a vested member incapaci­
tated as the result of a qualifying World Trade Center condition as defined in section two of this chapter,
who is not eligible for a normal service retirement benefit shall be eligible for the accidental disability
benefit described in subdivision c of this section if such member has been determined to be eligible for
primary social security disability benefits and was disabled as the natural and proximate result of an acci­
dent sustained in such active service and not caused by such member’s own willful negligence; provided,
however, that no member of the New York state teachers’ retirement system, the New York city employ­
ees’ retirement system, the New York city board of education retirement system, the New York city teach­
ers’ retirement system or the New York state and local employees’ retirement system who is otherwise
eligible for accidental disability benefits pursuant to this section shall be deemed to be ineligible for such
benefits because such member is eligible for a normal service retirement benefit. [Subdivision a amended
L. 1997, ch. 601. “This act shall take effect immediately and shall be deemed to have been in full force
and effect on and after October 16, 1992; provided, however, that:
(a) this act shall not apply to the payment of (i) any disability retirement benefit based upon a member’s
retirement for disability which became effective prior to October 16, 1992; or (ii) any death benefit based
upon a member’s death which occurred prior to October 16, 1992, and
(b) nothing contained herein shall be deemed to affect the application, qualification, expiration or
repeal of any provision of law amended by any section of this act and such provisions shall be applied or
qualified or shall expire or be deemed repealed in the same manner, to the same extent and on the same
date as the case may be as otherwise provided by law.”; amended L. 2005, ch. 559 in effect October 16,
1992; amended by L. 2008, ch. 489 in effect August 5, 2008 retro to September 11, 2001; further amended
by L. 2010, ch. 513 in effect September 17, 2010 and deemed to have been in full force and effect on and
after October 16, 1992. See Chapter effective date.]
b. A police/fire member in active service, a New York city uniformed correction/sanitation revised plan
member in active service or an investigator revised plan member in active service, or a vested member inca­
pacitated as the result of a qualifying World Trade Center condition as defined in section two of this chapter,
who is not eligible for a normal service retirement benefit shall be eligible for the accidental disability benefit
either as provided in subdivision a of this section or if such member is physically or mentally incapacitated
for performance of duty as the natural and proximate result of an accident sustained in such active service
and not caused by such member’s own willful negligence. [Subdivision b as amended by L. 2008, ch. 489 in
effect August 5, 2008 retro to September 11, 2001; amended L. 2012, ch. 18 in effect April 1, 2012.]
c. In the case of a member of a retirement system other than the New York state and local employees’
retirement system, the New York state teachers’ retirement system, the New York city employees’ retirement
system, the New York city board of education retirement system or the New York city teachers’ retirement
system, or in the case of a member of the New York city employees’ retirement system who is a New York city
uniformed correction/sanitation revised plan member or an investigator revised plan member, the accidental
disability benefit hereunder shall be a pension equal to two percent of final average salary times years of
84
R. & S.S. § 507
credited service which such member would have attained if employment had continued until such member’s
full escalation date, not in excess of the maximum years of service creditable for the normal service retirement
benefit, less (i) fifty percent of the primary social security disability benefit, if any, as provided in section five
hundred eleven of this article, and (ii) one hundred percent of any workers’ compensation benefits payable.
In the case of a member of the New York state and local employees’ retirement system, the New York
state teachers’ retirement system, the New York city employees’ retirement system (other than a New York
city uniformed correction/sanitation revised plan member or an investigator revised plan member), the
New York city board of education retirement system or the New York city teachers’ retirement system, the
accidental disability benefit hereunder shall be a pension equal to sixty percent of final average salary, less
(i) fifty percent of the primary social security disability benefit, if any, as provided in section five hundred
eleven of this article, and (ii) one hundred percent of any workers’ compensation benefits payable. In the
event a disability retiree from any retirement system is not eligible for the primary social security disability
benefit and continues to be eligible for disability benefits hereunder, such disability benefit shall be reduced
by one-half of such retiree’s primary social security retirement benefit, commencing at age sixty-two, in
the same manner as provided for service retirement benefits under section five hundred eleven of this
article. [Subdivision c amended L. 1997, ch. 601. “This act shall take effect immediately and shall be
deemed to have been in full force and effect on and after October 16, 1992; provided, however, that:
(a) this act shall not apply to the payment of (i) any disability retirement benefit based upon a member’s
retirement for disability which became effective prior to October 16, 1992; or (ii) any death benefit based
upon a member’s death which occurred prior to October 16, 1992, and
(b) nothing contained herein shall be deemed to affect the application, qualification, expiration or repeal of any
provision of law amended by any section of this act and such provisions shall be applied or qualified or shall
expire or be deemed repealed in the same manner, to the same extent and on the same date as the case may be
as otherwise provided by law”; amended L. 2005, ch. 559 in effect October 16, 1992; further amended by L.
2010, ch. 513 in effect September 17, 2010 and deemed to have been in full force and effect on and after Octo­
ber 16, 1992. See Chapter effective date; amended L. 2012, ch. 18 in effect April 1, 2012.]
d. If a member shall cease to be eligible for primary social security benefits before attaining age sixtyfive, or, if receipt of social security benefits is not a condition for disability benefits hereunder, shall
engage* in such employment or business activity as would render such member ineligible for social secu­
rity disability benefits (had he or she otherwise been eligible), benefits hereunder shall cease. Provided,
however, if such member is otherwise eligible, the state civil service department or appropriate municipal
commission shall place the name of such person, as a preferred eligible, on the appropriate eligible lists
prepared by it for positions for which such person is stated to be qualified in a salary grade not exceeding
that from which such person retired. In such event, disability benefits shall be continued for such member
until such member first shall be offered a position in public service at such salary grade.
e. A member shall not be eligible to apply for disability benefits under section five hundred six or this section
unless such member shall, at the time of application, sign a waiver prepared by the retirement system and
approved by the administrative head of such system pursuant to which such member agrees to waive the ben­
efits of any statutory presumption relating to the cause of disability or eligibility for disability benefits, and a
determination of eligibility for benefits hereunder shall be made without regard to any such statutory provision.
f. If disability benefits hereunder are conditioned u *Listed in Ch. 890 L. 1976 as “engate”. pon eligibil­
ity for receipt of primary social security disability benefits, benefits hereunder shall commence at the time
that primary social security disability benefits commence. If disability benefits hereunder are not condi­
tioned upon eligibility for receipt of primary social security disability benefits, benefits hereunder shall
commence as of the date of disability retirement. [Sub. f of Sec. 507 repealed and sub. g relettered to be
sub. f L. 1977, ch. 816 in effect August 5, 1977.]
g. 1. (a) Notwithstanding any provisions of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if any condition or impairment of health is caused
by a qualifying World Trade Center condition as defined in section two of this chapter, it shall be pre­
sumptive evidence that it was incurred in the performance and discharge of duty and the natural and
proximate result of an accident not caused by such member’s own willful negligence, unless the contrary
be proved by competent evidence.
*Listed in Ch. 890 L. 1976 as “engate”.
85
R. & S.S. § 507
(b) The comptroller or applicable retirement system board of trustees are hereby authorized to promulgate
rules and regulations for their respective retirement systems to implement the provisions of this paragraph.
2. (a)(1) Notwithstanding the provisions of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if a member who participated in World Trade
Center rescue, recovery or cleanup operations, as defined in section two of this chapter, and subse­
quently retired on a service retirement, an ordinary disability retirement or a performance of duty disability
retirement and subsequent to such retirement is determined by the comptroller or applicable retirement
system board of trustees to have a qualifying World Trade Center condition, as defined in section two of
this chapter, upon such determination by the comptroller it shall be presumed that such disability was
incurred in the performance and discharge of duty as the natural and proximate result of an accident not
caused by such member’s own willful negligence, and that the member would have been physically or
mentally incapacitated for the performance and discharge of duty of the position from which he or she
retired had the condition been known and fully developed at the time of the member’s retirement, unless
the contrary is proven by competent evidence.
(b) The comptroller or applicable retirement system board of trustees shall consider a reclassification of the
member’s retirement as an accidental disability retirement effective as of the date of such reclassification.
(c) Such member’s retirement option shall not be changed as a result of such reclassification.
(d) The member’s former employer at the time of the member’s retirement shall have an opportunity to
be heard on the member’s application for reclassification by the comptroller or applicable retirement sys­
tem board of trustees according to procedures developed by the comptroller or applicable retirement
system board of trustees.
(e) The comptroller or applicable retirement system board of trustees is hereby authorized to promul­
gate rules and regulations for their respective retirement systems to implement the provisions of this
paragraph. [Sub. f of Sec. 507 repealed and sub. g relettered to be f L. 1977, ch. 816 in effect August 5,
1977; subdivision g added L. 2005, ch. 104 in effect on and after September 11, 2005; amended L. 2005,
ch. 93 in effect on and after September 11, 2001; subdivision g amended by L. 2008, ch. 489 in effect
August 5, 2008 retro to September 11, 2001.]
h. Notwithstanding any other provision of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if a retiree who: (1) has met the criteria of subdivi­
sion g of this section and retired on a service or disability retirement, or would have met the criteria if not
already retired on an accidental disability; and (2) has not been retired for more than twenty-five years;
and (3) dies from a qualifying World Trade Center condition, as defined in section two of this chapter, as
determined by the applicable head of the retirement system or applicable medical board, then unless the
contrary be proven by competent evidence, such retiree shall be deemed to have died as a natural and
proximate result of an accident sustained in the performance of duty and not as a result of willful negli­
gence on his or her part. Such retiree’s eligible beneficiary, as set forth in section five hundred one of this
article, shall be entitled to an accidental death benefit as provided by section five hundred nine of this
article, however, for the purposes of determining the salary base upon which the accidental death benefit
is calculated, the retiree shall be deemed to have died on the date of his or her retirement. Upon the
retiree’s death, the eligible beneficiary shall make a written application to the head of the retirement sys­
tem within the time for filing an application for an accidental death benefit as set forth in section five
hundred nine of this article requesting conversion of such retiree’s service or disability retirement benefit
to an accidental death benefit. At the time of such conversion, the eligible beneficiary shall relinquish all
rights to the prospective benefits payable under the service or disability retirement benefit, including any
post-retirement death benefits, since the retiree’s death. If the eligible beneficiary is not the only benefi­
ciary receiving or entitled to receive a benefit under the service or disability retirement benefit (including,
but not limited to, post-retirement death benefits or benefits paid or payable pursuant to the retiree’s
option selection), the accidental death benefit payments to the eligible beneficiary will be reduced by any
amounts paid or payable to any other beneficiary. [Subdivision h added L. 2005, ch. 445 in effect on and
after September 11, 2001; amended L. 2007, ch. 5 in effect on or after September 11, 2001; amended by
L. 2008, ch. 489 in effect August 5, 2008 retro to September 11, 2001.]
i. Notwithstanding any other provision of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if a member who: (1) has met the criteria of sub­
division g of this section; and (2) dies in active service from a qualifying World Trade Center condition, as
86
R. & S.S. § 507-a/507-b/507-c/507-d/507-e/507-f/507-g/507-h/507-i/508
defined in section two of this chapter, as determined by the applicable head of the retirement system or
applicable medical board to have been caused by such member’s participation in the World Trade Center
rescue, recovery or cleanup operations, as defined in section two of this chapter, then unless the contrary
be proven by competent evidence, such member shall be deemed to have died as a natural and proximate
result of an accident sustained in the performance of duty and not as a result of willful negligence on his
or her part. Such member’s eligible beneficiary, as set forth in section five hundred one of this article, shall
be entitled to an accidental death benefit provided he or she makes written application to the head of the
retirement system within the time for filing an application for an accidental death benefit as set forth in
section five hundred nine of this article. [Subdivision i added L. 2007, ch. 5 in effect on or after September
11, 2001; amended by L. 2008, ch. 489 in effect August 5, 2008 retro to September 11, 2001.]
§ 507-a. Disability retirement (correction officers). (omitted)
§ 507-b. Performance of duty disability retirement. (omitted)
§ 507-c.
(omitted)
Performance of duty disability retirement; New York city department of correction.
§ 507-d. Disability benefits. (omitted)
§ 507-e. Uniformed court officers; certain disabilities. (omitted)
§ 507-f.
(omitted)
Accidental disability retirement; Westchester county district attorney investigators.
§ 507-g. Payment of both pensions for accident and other benefits prohibited; Westchester
county district attorney investigators. (omitted)
§ 507-h. Retirement for disability incurred in performance of duty; Westchester county district
attorney investigators. (omitted)
§ 507-i Disability benefits; Westchester county district attorney investigators. (omitted)
§ 508. Death benefits. a. A member of a retirement system who is subject to the provisions of this
article, exclusive of those members for whom provision is made pursuant to subdivision b of this section,
shall, at the time of first becoming a member thereof, make an election, which shall be irrevocable, for
coverage for financial protection in the event of death in service, between the two following benefits:
1. A benefit upon the death of a member in service equal to one month’s salary for each full year of
service up to a maximum of three years salary upon the completion of thirty-six full years of service, or in
the event that a member is eligible to retire without benefit reduction pursuant to section five hundred
three of this article, a benefit equal to the pension reserve, if any, which would have been payable to such
member had he entered prior to the effective date of this article and died in service; or
2. A benefit upon the death of a member in service equal to the member’s salary upon his or her comple­
tion of one year of service, two years’ salary upon completion of two years of service, and three years’ salary
upon completion of three years of service. In the case of a member of a retirement system other than the
New York state teachers’ retirement system, the New York city employees’ retirement system, the New York
city board of education retirement system, the New York city teachers’ retirement system, or the New York
state and local employees’ retirement system, such benefit shall be subject to the following limitations:
(a) If the member last joined the retirement system prior to attainment of age fifty-two, the maximum
benefit shall be three years’ salary;
(b) If the member was age fifty-two when he or she last joined the retirement system, the maximum
benefit shall be two and one-half times annual salary;
(c) If the member was age fifty-three when he or she last joined the retirement system, the maximum
benefit shall be two years’ salary;
87
R. & S.S. § 508
(d) If the member was age fifty-four when he or she last joined the retirement system, the maximum
benefit shall be one and one-half times annual salary;
(e) If the member was age fifty-five or older but under age sixty-five when he or she last joined the
retirement system, the maximum benefit shall be one year’s salary; and
(f) If the member was age sixty-five or older when he or she last joined the retirement system, the maxi­
mum benefit shall be one thousand dollars.
In the case of a member of a retirement system other than the New York state teachers’ retirement system,
the New York city employees’ retirement system, the New York city board of education retirement system, the
New York city teachers’ retirement system, or the New York state and local employees’ retirement system,
commencing upon attainment of age sixty-one, the benefit otherwise provided pursuant to this paragraph shall
be reduced while the member is in service to ninety per centum of the benefit otherwise payable and each year
thereafter the benefit payable shall be reduced by an amount equal to ten per centum per year of the original
benefit otherwise payable, but not below ten per centum of the original benefit otherwise payable.
Notwithstanding any other provision of this paragraph, in the case of a member of the New York state
teachers’ retirement system, commencing upon attainment of age sixty-one, the benefit otherwise provided
pursuant to this paragraph shall be reduced while the member is in service to ninety-six per centum of the
benefit otherwise payable, and each year thereafter the benefit payable shall be reduced by an amount
equal to four per centum per year of the original benefit otherwise payable, but not below sixty per centum
of the original benefit otherwise payable. In the case of a member of the New York city employees’ retire­
ment system, the New York city board of education retirement system or the New York city teachers’ retire­
ment system, commencing upon attainment of age sixty-one, the benefit otherwise provided pursuant to
this paragraph shall be reduced while the member is in service to ninety-five per centum of the benefit
otherwise payable and each year thereafter the benefit payable shall be reduced by an amount equal to five
per centum per year of the original benefit otherwise payable, but not below fifty per centum of the original
benefit otherwise payable. In the case of any member of the New York state and local employees’ retirement
system who is permitted to retire without regard to age, commencing upon attainment of age sixty-one, the
benefit otherwise provided pursuant to this paragraph shall be reduced while the member is in service to
ninety-seven per centum of the benefit otherwise payable, and each year thereafter the benefit payable
shall be reduced by an amount equal to three per centum per year of the original benefit otherwise payable,
but not below seventy per centum of the original benefit otherwise payable. In the case of any other mem­
ber of the New York state and local employees’ retirement system, commencing upon attainment of age
sixty-one, the benefit otherwise provided pursuant to this paragraph shall be reduced while the member is
in service to ninety-six per centum of the benefit otherwise payable, and each year thereafter the benefit
payable shall be reduced by an amount equal to four per centum per year of the original benefit otherwise
payable, but not below sixty per centum of the original benefit otherwise payable. Upon retirement from any
retirement system, the benefit in force shall be reduced by fifty per centum; upon completion of the first
year of retirement, the benefit in force at the time of retirement shall be reduced by an additional twenty-five
per centum, and upon commencement of the third year of retirement, the benefit shall be ten per centum of
the benefit in force at age sixty, if any, or at the time of retirement if retirement preceded such age; provided,
however, the benefit in retirement shall not be reduced below ten per centum of the benefit in force at age
sixty, if any, or at the time of retirement if retirement preceded such age. Notwithstanding any other provi­
sion of this paragraph to the contrary, the benefit for a retiree from the New York state and local employees’
retirement system shall not be reduced below ten per centum of the benefit in force at the time of retire­
ment. [Paragraph 2 amended L. 1997, ch. 601. “This act shall take effect immediately and shall be deemed
to have been in full force and effect on and after October 16, 1992; provided, however, that:
(a) this act shall not apply to the payment of (i) any disability retirement benefit based upon a member’s
retirement for disability which became effective prior to October 16, 1992; or (ii) any death benefit based
upon a member’s death which occurred prior to October 16, 1992, and
(b) nothing contained herein shall be deemed to affect the application, qualification, expiration or
repeal of any provision of law amended by any section of this act and such provisions shall be applied or
qualified or shall expire or be deemed repealed in the same manner, to the same extent and on the same
date as the case may be as otherwise provided by law”; amended L. 2005, ch. 559 in effect October 16,
1992; further amended by L. 2010, ch. 513 in effect September 17, 2010 and deemed to have been in full
force and effect on and after October 16, 1992. See Chapter effective date.]
88
R. & S.S. § 508
3. If a member dies in service without having made the election specified in this subdivision within
ninety days after first becoming a member, or within the period prescribed by the retirement system of
which he is a member if such period is less than ninety days, he shall be deemed to have made the elec­
tion specified in paragraph two.
4. Notwithstanding any provision of this article, a member of a retirement system subject to the provi­
sions of this article who last joined such system on or after January first, two thousand one who is not
covered by the death benefit calculation provided in subdivision b of this section shall, upon a qualifying
death, be covered by the death benefit calculation provided pursuant to paragraph two of this subdivision
and shall not be entitled to elect between the death benefit calculations provided in paragraphs one and
two of this subdivision. Any individual who last joined such system before January first, two thousand one
who is not covered by the death benefits calculation provided in subdivision b of this section shall be
covered, upon a qualifying death, by the death benefit calculation provided by paragraph two of this sub­
division unless such individual had timely elected death benefit coverage under the calculation provided
by paragraph one of this subdivision and, upon such death, it is determined that the benefit, as calculated
under such paragraph one would be greater than as calculated under such paragraph two, in which case
the benefit calculated under such paragraph one shall be payable. [Paragraph 4 of subdivision a added
L. 2000, ch. 554 in effect October 31, 2000.]
b. A member of a retirement system subject to the provisions of this article who is a policeman, fireman,
correction officer, investigator revised plan member or sanitation man and is in a plan which permits imme­
diate retirement upon completion of a specified period of service without regard to age or who is subject to
the provisions of section five hundred four or five hundred five of this article, shall upon completion of ninety
days of service be covered for financial protection in the event of death in service pursuant to this subdivi­
sion. Such death benefit shall be equal to three times the member’s salary raised to the next highest mul­
tiple of one thousand dollars, but in no event shall it exceed three times the maximum salary specified in
section one hundred thirty of the civil service law or, in the case of a member of a retirement system other
than the New York city employees’ retirement system, or in the case of a member of the New York city
employees’ retirement system who is a New York city uniformed correction/sanitation revised plan member
or an investigator revised plan member, the specific limitations specified for age of entrance into service
contained in subparagraphs (b), (c), (d), (e) and (f) of paragraph two of subdivision a of this section. [Subdivi­
sion b amended L. 1997, ch. 601 in effect Sept. 17, 1997; amended L. 2012, ch. 18 in effect April 1, 2012.]
c. For the purpose of this section, salary shall be the regular compensation earned during the mem­
ber’s last twelve months of service in full pay status as a member or, if he or she had not completed
twelve months of service prior to the date of death, but was subject to the provisions of subdivision b of
this section, the compensation he or she would have earned had he or she worked for the twelve months
prior to such date; provided, however, for the purpose of this section salary shall exclude any form of
termination pay (which shall include any compensation in anticipation of retirement), or any lump sum
payment for deferred compensation sick leave, or accumulated vacation credit or any other payment for
time not worked (other than compensation received while on sick leave or authorized leave of absence)
and in no event shall it exceed the maximum salary specified in section one hundred thirty of the civil
service law, as added by part B of chapter ten of the laws of two thousand eight, or the maximum salary
specified in section one hundred thirty of the civil service law, as hereafter amended, whichever is greater.
[Subdivision (c) amended L. 2013, ch. 520 in effect Dec. 18, 2013.]
d. The benefits provided pursuant to this section are in lieu of all other benefits provided by this or any
other state or local law exclusive of a benefit provided under the workmen’s compensation law, the civil
service law or group life insurance; provided, however, a beneficiary of a member eligible for a benefit as
the result of a service connected accident, may elect to receive such other benefit in lieu of the benefit
provided pursuant to this section.
e. For the purposes of this section:
1. A member who dies while off the payroll shall be considered to be in service provided he or she (a) was
on the payroll in such service and paid within a period of twelve months prior to his or her death, or was on
the payroll in the service upon which membership is based at the time he or she was ordered to active duty
pursuant to Title 10 of the United States Code, with the armed forces of the United States or to service in the
uniformed services pursuant to Chapter 43 of Title 38 of the United States Code and died while on such active
duty or service in the uniformed services on or after June fourteenth, two thousand five, (b) had not been
89
R. & S.S. § 508-a/509
otherwise gainfully employed since he or she ceased to be on such payroll and (c) had credit for one or more
years of continuous service since he or she last entered or reentered the service of his or her employer; and
2. The benefit payable shall be in addition to any payment made on account of a member’s accumu­
lated contributions.
3. Provided, further, that any such member ordered to active duty pursuant to Title 10 of the United States
Code, with the armed forces of the United States or to service in the uniformed services pursuant to Chapter
43 of Title 38 of the United States Code who died prior to rendering the minimum amount of service necessary
to be eligible for this benefit shall be considered to have satisfied the minimum service requirement. [Original
section 508 repealed and a new section 508 added L. 1986, ch. 617 in effect July 26, 1986; subsection 3
added L. 2005, ch. 105 in effect June 14, 2005; as amended L. 2011, ch. 582 in effect September 23, 2011.]
f. With respect to a member of the New York state and local employees’ retirement system who was
covered by paragraph two of subdivision a of the former section five hundred eight of this chapter, as
added by chapter eight hundred ninety of the laws of nineteen hundred seventy-six, prior to its repeal
pursuant to chapter six hundred seventeen of the laws of nineteen hundred eighty-six and who is entitled
under the state constitution to have benefits calculated under such provision as it read prior to such
nineteen hundred eighty-six amendment, the lump sum death benefit shall be determined pursuant to
subdivision a of this section. With respect to a member of the New York state and local employees’ retire­
ment system who was covered by subdivision b of the former section five hundred eight of this chapter,
as added by chapter eight hundred ninety of the laws of nineteen hundred seventy-six, prior to its repeal
pursuant to chapter six hundred seventeen of the laws of nineteen hundred eighty-six and who is entitled
under the state constitution to have benefits calculated under such provision as it read prior to such
nineteen hundred eighty-six amendment, the lump sum death benefit shall be determined pursuant to
subdivision a of this section. [Added by L. 2010, ch. 513 in effect September 17, 2010 and deemed to
have been in full force and effect on and after October 16, 1992. See Chapter effective date.]
§ 508-a. Death benefit for vested members who die prior to retirement.
a. A death benefit plus the reserve-for-increased-take-home-pay, if any, shall be payable upon the
death of a member of a retirement system who:
1. Died before the effective date of retirement while a member of such retirement system;
2. Had at least ten years of credited service at the time of death; and
3. Died at a time and in a manner which did not result in the eligibility of the member’s estate or any
beneficiary to receive any death benefits from such retirement system on account of such death.
b. Benefits provided under this section shall be payable to the member’s estate or the beneficiary or
beneficiaries nominated by the member on a designation of beneficiary form filed with the administrative
head of such retirement system.
c. The amount of the benefit payable pursuant to this section shall be equal to one-half of the amount
of the ordinary death benefit which would have been payable had the member’s death occurred on the
last day of service upon which membership was based. [Section 508-a added L. 1998, ch. 388 in effect
on and after January 1, 1997.]
§ 509. Accidental death benefits. a. The eligible beneficiary of a member in service, or a vested
member that dies as a result of a qualifying World Trade Center condition as defined in section two of this
chapter, shall be entitled to an accidental death benefit in the form of a pension equal to fifty percent of
such member’s final average salary if, upon application filed within two years after the death of the mem­
ber, the head of the retirement system determines that such member:
1. Died before the effective date of retirement, as the natural and proximate result of an accident sus­
tained in the performance of duty in the service upon which membership was based, and
2. Did not cause such accident by his or her own willful negligence.
Notwithstanding the provisions of section two hundred forty-two, two hundred forty-three or two hun­
dred forty-four of the military law or the provisions of any other law to the contrary and solely for the pur­
pose of determining eligibility for an accidental death benefit, a member shall be considered to have died
as the natural and proximate result of an accident sustained in the performance of duty provided such
member was on the payroll in the service upon which membership is based at the time he or she was
ordered to active duty pursuant to Title 10 of the United States Code, with the armed forces of the United
90
R. & S.S. § 510
States or to service in the uniformed services pursuant to Chapter 43 of Title 38 of the United States Code
and died while on such active duty or service in the uniformed services on or after June fourteenth, two
thousand five. [Amended L. 2005, ch. 105 in effect June 14, 2005; Amended L. 2008, ch. 489 in effect
August 5, 2008, retro to Sept. 11, 2001; as amended L. 2011, ch. 582 in effect September 23, 2011.]
b. If an eligible beneficiary receiving the accidental death benefit hereunder becomes ineligible to con­
tinue to receive such benefit, the benefit shall be continued for all other members of the eligible class of
beneficiaries and, if none, to each successive class, if any, during their eligibility therefore.
c. If the aggregate benefits under the provisions of this section have not exceeded the amount of the
ordinary lump sum death benefit because of the absence of eligible beneficiaries or because those ben­
eficiaries formerly eligible are no longer eligible for payments pursuant to section five hundred one, then
the difference between the amounts, if any, paid under this section and the amount of the ordinary lump
sum death benefit shall be paid to:
1. The last eligible beneficiary or beneficiaries, if surviving, who were receiving pension payments here­
under or, if none
2. The distributees of the member, if there were no eligible beneficiaries at the member’s death, or the
persons who would be distributees of the member had he died interstate on the date that the last eligible
beneficiary died or became ineligible.
§ 510. Escalation of benefits. a. Service retirement, disability and survivor benefits shall be sub­
ject to annual escalation as provided in this section.
b. The term “full escalation date” shall mean:
1. The first day of the month following the date on which a member attains age sixty-five, with respect
to service retirement benefits for general members and their beneficiaries.
2. The first day of the month following the date on which a member completes or would have completed
twenty-five years of credited service, with respect to service retirement benefits for police/fire members and
their beneficiaries, New York city uniformed correction/sanitation revised plan members and their beneficiaries
or investigator revised plan members and their beneficiaries. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
3. The first day of the month following the date on which a disability retiree first becomes eligible for a
disability benefit, with respect to members eligible for ordinary or accidental disability benefits and their
beneficiaries.
4. The first day of the month following the date on which a beneficiary first eligible for a death benefit
becomes eligible for such benefit*, with respect to ordinary and accidental death benefits which are paid
other than as a lump sum.
c. If the payment of benefits commences on the full escalation date, the benefit shall be increased annu­
ally at an escalation rate equal to the lesser of three percent or the increase in the cost-of-living index as
provided in subdivision d hereof. In the event of a decrease in the cost-of-living index, the annual benefit
shall be decreased by the lesser of three percent or the amount of the decrease in the cost-of-living index,
as provided in subdivision d, provided that the benefit, in any event, shall not be reduced below the benefit
payable at the initial commencement date. For each month that the benefit commencement date precedes
the full escalation date, the escalation rate shall be reduced by one-thirty-sixth, and there shall be no
escalation where benefits commence more than three years prior to the full escalation date.
d. Cost-of-living index changes shall be computed on a cumulative basis so that any increases or
decreases not reflected in an adjustment to the benefit level shall be carried forward and applied in sub­
sequent years. Benefits shall be escalated commencing with the payment due for the month of April,
based on the cost-of-living index as of December thirty-first of the preceding year. If the initial benefit
commencement date is May first or later, the initial escalation adjustment for the following April shall be
reduced by one-twelfth for benefits commencing on May first, plus a further reduction of one-twelfth for
each month the initial benefit commences thereafter.
e. If a member elects to defer the service retirement benefit, after separation from service, for the pur­
pose of becoming eligible for annual escalation, the benefit so deferred shall be escalated at the full
escalation rate until the deferred payment date, and thereafter shall be subject to annual escalation as
provided in this section.
*Listed in Ch. 890 L. of 1976 as “dbfenefit”.
91
R. & S.S. § 511
f. Notwithstanding any other provision of this article, the escalation of any service retirement, disability
or death benefit payable in the form of a pension with respect to an elective member shall not result in
any increase in the initial benefit payable until such elective member completes or would have completed
(had such member continued in service) ten years of creditable service after the date of election of cover­
age under this article.
g. Notwithstanding any other provision of this article, the annual escalation provided in this section
shall not apply to the performance of duty disability retirement provided for in section five hundred sevenb of this article. [Subdivision g added L. 1996, ch. 722 in effect January 28, 1997.]
h. Notwithstanding any other provision of this article, the annual escalation provided in this section
shall not apply to the performance of duty retirement provided for in section five hundred seven-c of this
article. [Subdivision h added L. 1997 in effect September 17, 1997.]
§ 511. Coordination with social security benefits. a. A member’s service retirement or disability
benefit shall be reduced by fifty percent of the primary social security retirement or disability benefit, as
the case may be, commencing at (i) age sixty-two, with respect to service retirement benefits which com­
mence at or before such age, or disability benefits paid to a disability retiree who is not eligible for or
receiving primary social security disability benefits, or (ii) on the date on which such member first becomes
eligible to receive primary social security disability benefits, with respect to disability benefits paid to a
disability retiree who is eligible for primary social security disability benefits, or (iii) on the date such
member separates from service, if later than age sixty-two.
b. A member’s primary social security retirement or disability benefit shall mean the social security
benefit computed as of the time of separation from service on benefit levels then in effect. In no event
shall a benefit payable under this article be reduced as a result of any increase in social security benefits
which occurs after the day on which such member last separated from service. Provided, however, in
determining the applicable date pursuant to the preceding sentence, any period of service immediately
prior to such separation which was not allowable as credited service pursuant to section five hundred
thirteen shall be disregarded.
c. 1. A member’s primary social security retirement or disability benefit, for offset purposes, shall be
the member’s federal social security primary insurance amount, calculated as hereinafter provided. In
determining a member’s primary insurance amount, only wages for service with a public employer shall
be included during years of such service, and zero earnings shall be used for all other years in the mem­
ber’s federal social security benefit computation period. Provided, however, that a member’s primary
insurance amount shall in no event exceed the amount determined pursuant to paragraph two.
2. A member’s primary insurance amount shall be determined under this paragraph if a lower amount
would thereby result. In determining a member’s primary insurance amount hereunder, only wages for
service with a public employer shall be included during years of such service. The member’s highest
annual wage earned during any calendar year of the final five calendar years of service with a public
employer shall be used for all years of the member’s federal social security benefit computation period,
if any, falling after such member’s separation from such service up to age sixty-two if separation occurs
before age sixty-two. Such highest annual wage shall be used for the final calendar year of service and,
reduced by five percent per year for each year preceding such final calendar year of service, shall be used
for all years of the applicable social security benefit computation period which precede the final calendar
year of such member’s service with a public employer. The primary insurance amount, as determined
above, shall be then reduced by a fraction, the numerator of which shall be the total years and parts
thereof (measured in months) of service with a public employer, and the denominator of which shall be
the total number of years in the member’s social security benefit computation period.
d. The member’s primary social security disability benefit, for offset purposes, shall equal the mem­
ber’s primary insurance amount. The member’s primary social security retirement benefit, for offset pur­
poses, shall equal the member’s primary insurance amount.
(i) reduced by five-ninths of one percent for each month, or part thereof, that separation from service
upon retirement (or the date benefits commence, if later) precedes attainment of age sixty-five, provided
that such reduction, in no event, shall exceed twenty percent, or
(ii) increased by one-twelfth of one percent for each month that separation from service upon retire­
ment exceeds attainment of age sixty-five.
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e. Except as otherwise provided herein, a member’s primary insurance amount shall be determined as
provided in the federal social security act, and the rules and regulations promulgated thereunder.
f. This section shall not apply to general members in the uniformed correction force of the New York
city department of correction or to uniformed personnel in institutions under the jurisdiction of the depart­
ment of corrections and community supervision and security hospital treatment assistants, as those
terms are defined in subdivision i of section eighty-nine of this chapter, provided, however, that the provi­
sions of this section shall apply to a New York city uniformed correction/sanitation revised plan member.
[Subdivision f added L. 1987, ch. 845 in effect August 10, 1987; as amended L. 1989, ch. 174 in effect
June 19, 1989; L. 1996, ch. 667 in effect September 25, 1996; as amended L. 2011, ch. 62, part C, sub­
part B, in effect March 31, 2011; amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 512. Final average salary. a. A member’s final average salary shall be the average wages earned
by such a member during any three consecutive years which provide the highest average wage; provided,
however, if the wages earned during any year included in the period used to determine final average sal­
ary exceeds that of the average of the previous two years by more than ten percent, the amount in excess
of ten percent shall be excluded from the computation of final average salary. Notwithstanding the pre­
ceding provisions of this subdivision to the contrary, for a member who first becomes a member of the
New York state and local employees’ retirement system on or after April first, two thousand twelve, or for
a New York city police/fire revised plan member, a New York city uniformed correction/sanitation revised
plan member or an investigator revised plan member, a member’s final average salary shall be the aver­
age wages earned by such a member during any five consecutive years which provide the highest aver­
age wage; provided, however, if the wages earned during any year included in the period used to determine
final average salary exceeds that of the average of the previous four years by more than ten percent, the
amount in excess of ten percent shall be excluded from the computation of final average salary. In deter­
mining final average salary pursuant to any provision of this subdivision, where the period used to deter­
mine final average salary is the period which immediately precedes the date of retirement, any month or
months (not in excess of twelve) which would otherwise be included in computing final average salary but
during which the member was on authorized leave of absence at partial pay or without pay shall be
excluded from the computation of final average salary and the month or an equal number of months
immediately preceding such period shall be substituted in lieu thereof.
b. Notwithstanding the provisions of subdivision a of this section, with respect to members of the New
York state employees’ retirement system who first become members of the New York state and local
employees’ retirement system before April first, two thousand twelve, the New York state and local police
and fire retirement system and the New York city teachers’ retirement system, a member’s final average
salary shall be equal to one-third of the highest total wages earned during any continuous period of
employment for which the member was credited with three years of service credit; provided, however, if
the wages earned during any year of credited service included the period used to determine final average
salary exceeds the average of the wages of the previous two years of credited service by more than ten
percent, the amount in excess of ten percent shall be excluded from the computation of final average
salary. For members who first become a member of the New York state and local employees’ retirement
system on or after April first, two thousand twelve, with respect to members of the New York state and
local employees’ retirement system, a member’s final average salary shall be equal to one-fifth of the
highest total wages earned during any continuous period of employment for which the member was cred­
ited with five years of service credit; provided, however, if the wages earned during any year of credited
service included the period used to determine final average salary exceeds the average of the wages of
the previous four years of credited service by more than ten percent, the amount in excess of ten percent
shall be excluded from the computation of final average salary. [Sub. b. added L. 1986, ch. 379 in effect
July 21, 1986; amended L. 2010, ch. 286 in effect immediately and deemed to have been in full force and
effect on and after July 27, 1976; amended L. 2012, ch. 18 in effect April 1, 2012.]
c. Notwithstanding the provisions of subdivisions a and b of this section, the final average salary of an
employee who has been a member of the New York city employees retirement system (other than a New
York city correction/sanitation revised plan member or an investigator revised plan member) or the New
York city teachers’ retirement system for less than one year shall be the projected one year salary, with
the calculation based upon a twelve month projection of the sums earned in the portion of the year
93
R. & S.S. § 513
worked. If a member has been employed for more than one year but less than two years, then the mem­
ber’s final average salary shall be the average of the first year and projected second year earnings based
upon the calculation above, and if more than two years, but less than three years, then one-third the total
of the first two years of employment plus the projected third year’s earnings, calculated as indicated
above. [Subdivision c added L. 1990, ch. 663 in effect July 22, 1990; amended L. 2010, ch. 286 in effect
immediately and deemed to have been in full force and effect on and after July 27, 1976; amended L.
2012, ch. 18 in effect April 1, 2012.]
d. Subject to the provisions of subdivision c of this section, and notwithstanding the provisions of sub­
division a of this section, with respect to members of the New York city employees retirement system
(other than a New York city correction/sanitation revised plan member or an investigator revised plan
member) and the New York city board of education retirement system who are subject to the provisions of
this article, a member’s final average salary shall be determined pursuant to the provisions of paragraph
thirteen of subdivision e of section 13-638.4 of the administrative code of the city of New York. [Subdivi­
sion d added L. 1992, ch. 749 in effect July 31, 1992; amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 513. Credit for service. a. Part-time service.
1. A member who works less than full time, which for the purposes of this article shall mean less than thirty
hours a week, shall receive retirement credit for such service in accordance with the following provisions:
(i) A member employed on an hourly basis who works for five hundred or more hours a year and who
is on the payroll for a minimum of five months in the year shall receive credit on a prorated basis, but in
no event shall less than six hours constitute a full day’s retirement credit;
(ii) A member employed on a per diem basis who works at least sixty days in a year and who is on the
payroll for a minimum of five months in the year shall receive retirement credit on a day-for-day basis, but
in no event shall less than six hours constitute a full day’s retirement credit;
(iii) If the annual salary of a member paid on a basis other than per diem or per hour would be less than
the product of the state’s minimum wage during such period and two thousand hours, the presumption shall
be that such a member is a part-time employee and any retirement credit granted shall be prorated; pro­
vided, however, such a member shall not receive greater credit than a member working on a per diem basis.
2. Except for retirement credit for military service as specified in subdivision c of this section, a member
shall not receive retirement credit for any day that he is not on the payroll of the state, a political subdivision
thereof, or a participating employer. Notwithstanding any other provisions of this section, with respect to
members of the New York state employees retirement system, teachers as defined in section one hundred
thirty-six of the civil service law, employed full time for the school year, shall be deemed on the payroll of the
state, for twelve months in crediting retirement service credit for service rendered. For the purposes of this
paragraph the comptroller shall define school year by regulation. [Par. 2 of sub. a. amended L. 1986, ch. 616
in effect July 26, 1986; amended L. 1990, ch. 778 in effect July 25, 1990 retroactive to January 1, 1977.]
2-a. Except for retirement credit for military service as specified in subdivision c of this section, a mem­
ber shall not receive retirement credit for any day that he is not on the payroll of the state, a political
subdivision thereof, or a participating employer. Notwithstanding any other provision of this section to the
contrary, with respect to members of the New York state and local employees’ retirement system, a mem­
ber who is employed by a community college as defined in section six thousand three hundred one of the
education law, and who is in the classified service as that term is defined in section forty of the civil ser­
vice law, and who is employed for the full academic year, full academic year shall mean the fall and spring
semesters during which academic courses are offered, shall be deemed to be on the payroll of such com­
munity college for twelve months in crediting retirement service credit for service rendered. [Paragraph
2-a added L. 1993, ch. 310 in effect July 21, 1993.]
2-a. Except for retirement credit for military service as specified in subdivision c of this section, a mem­
ber shall not receive retirement credit for any day that he is not on the payroll of the state, a political
subdivision thereof, or a participating employer. Notwithstanding any other provision of this section to the
contrary, a member of the New York state and local employees’ retirement system who is employed by a
community college as defined in section six thousand three hundred one of the education law, and who
is in the unclassified service of the civil service as defined in subdivision (i) of section thirty-five of the
civil service law, and who is employed for the full academic year, full academic year shall mean the fall
and spring semesters during which academic courses are offered, shall be deemed to be on the payroll
94
R. & S.S. § 513
of such community college for twelve months in crediting retirement service credit for service rendered.
[Paragraph 2-a added L. 1993, ch. 311 in effect July 21, 1993.]
3. The membership of any member who is subject to the provisions of this subdivision a, or to the pro­
visions of any rule or regulation promulgated and approved in accordance with the provisions of subdivi­
sion e of this section, shall be continued* and shall not be terminated for so long as such member is
actually in service during the period this article is in effect.
4. Notwithstanding any other provision of law, for the purposes of retirement service credit, retirement
contribution and final average salary of members of the New York state and local employees’ retirement
system, a member who has been granted service credit for a period of time for which he or she received
compensation or wages shall not lose such credit by virtue of the fact that the employer has subsequently
been reimbursed by a workers’ compensation carrier with respect to all or a portion of the compensation
or wages paid for such period. [Paragraph 4 added L. 1995, ch. 680 in effect August 9, 1995.]
[Paragraph 5 as added by L. 1998, ch. 300 has been omitted.]
b. Previous service. A member shall be eligible to obtain retirement credit hereunder for previous ser­
vice with a public employer if retirement credit had previously been granted for such service or if such
service which would have been creditable in one of the public retirement systems of the state, as defined
in subdivision twenty-three of section five hundred one of this article, at the time such service was ren­
dered, if the individual had been a member of such retirement system and the member has rendered a
minimum of two years of credited service after July first, nineteen hundred seventy-six or after last rejoin­
ing a public retirement system, if later; provided, however, retirement credit may be granted for service
which predates the date of entry into the retirement system if such service is otherwise creditable and
was rendered by an employee of a public employer during which employment he was ineligible to join a
public retirement system provided that such public employer was participating in a public retirement sys­
tem of the state at the time of such employment, or is so participating at the time that credit for such
previous service is being sought. [Subdivision b amended L. 2000, ch. 552 in effect October 31, 2000.]
b-1. Employer pick-up of contributions in respect of previous service or military service. Notwithstand­
ing any other provision of law, any member eligible to purchase credit for previous service with a public
employer pursuant to subdivision b of this section or to purchase credit for military service pursuant to
article twenty of this chapter, may elect to purchase any or all of such service by executing a periodic
payroll deduction agreement where and to the extent such elections are permitted by the retirement sys­
tem by rule or regulation. Such agreement shall set forth the amount of previous service or military service
being purchased, the estimated total cost of such service credit, and the number of payroll periods in
which such periodic payments shall be made. Such agreement shall be irrevocable, shall not be subject
to amendment or modification in any manner, and shall expire only upon completion of payroll deductions
required therein. Notwithstanding the foregoing, any member who has entered into such a payroll deduc­
tion agreement and who terminates employment prior to the completion of the payments required therein
shall be credited with any service as to which such member shall have paid the contributions required
under the terms of the agreement. [Subdivision b-1 added L. 2007, ch. 627.]
c. Creditable service. 1. A member shall not be eligible to obtain credit for service with a public
employer other than the state of New York, a political subdivision thereof, a public benefit corporation, or
a participating employer; provided, however, military service with the federal government may be credited
pursuant to section two hundred forty-three of the military law up to a maximum of four years; and further
provided that retirement credit may be granted for service with an agency located within the state of New
York currently specified in law as providing retirement credit for service.
2. A police/fire member shall be eligible to obtain credit for service with a public employer described
in paragraph one only if such service, if rendered prior to July first, nineteen hundred seventy-six by a
police/fire member who was subject to article eleven of this chapter, would have been eligible for credit
in the police/fire retirement system or plan involved.
d. To facilitate administration of the provisions of this section the head of a retirement system may
make interpretations of the provisions of this section which are consistent with the intent of this section,
but such interpretations shall not take effect unless publicly promulgated. [Amended L. 1992, ch. 55 in
effect April 1, 1992.]
*Listed in Ch. 890 L. of 1976 the phrase “shall be continued” repeated twice; removed once.
95
R. & S.S. § 514
f. Notwithstanding any other provision of law, any member of the New York state and local employees’
retirement system who is subject to the provisions of this article and who is employed by a school district, a
board of cooperative educational services, a vocational education and extension board, an institution for the
instruction of the deaf and of the blind as enumerated in section four thousand two hundred one of the educa­
tion law, or a school district as enumerated in section one of chapter five hundred sixty-six of the laws of
nineteen hundred sixty-seven as amended to date, shall have their service credit for service rendered on or
after January first, nineteen hundred ninety determined by dividing the number of days worked in a school
year by one hundred eighty. For the purpose of this section a school year will begin on July first and end the
following June thirtieth. No more than one year of service may be credited during any such fiscal year. Credit
for service rendered before January first, nineteen hundred ninety shall be determined in the same manner if
a person eligible for such benefit shall file the appropriate application with the state comptroller on or before
August second, nineteen hundred ninety-six and, within five years of filing such application, make payment
for all costs necessary to finance the receipt of such service credit. [Subdivision f added L. 1989, ch. 730 in
effect July 24, 1989; L. 1995, ch. 405 in effect August 2, 1995; L. 1996, ch. 210 in effect June 25, 1996.]
g. The provisions of paragraph one of subdivision a of this section shall not apply to members of the
New York city employees retirement system or the New York city board of education retirement system
who are subject to the provisions of this article. The crediting of service for such members of such retire­
ment systems shall be governed by the applicable provisions of subdivision c of section 13-638.4 of the
administrative code of the city of New York, and the other applicable provisions of such code and of the
rules and regulations of such board of education retirement system. [Subdivision g added L. 1992, ch.
749 in effect July 31, 1992.]
[Subdivision h as added by L. 2005, ch. 477 in effect August 9, 2005; amended L. 2012, ch. 18 in effect
April 1, 2012 has been omitted.]
§ 514. Options. a. A member, or if he or she is an incompetent, the member’s spouse or the com­
mittee of such member’s property, may elect to receive the actuarial equivalent of the retirement allow­
ance at the time of retirement, in the form of a smaller retirement allowance payable to such member for
life and one of the following optional settlements:
Option one. Upon the member’s death, a retirement allowance in an amount equal to that paid to the
member shall be paid for life to the beneficiary so designated.
Option two. Upon the member’s death, a retirement allowance of ninety percent or less (measured in
increments of not less than ten percent) of the amount paid to such member shall be paid for life to the
beneficiary so designated.
Option three. A five-year certain option under which payment is made to the member for life but is
guaranteed for a minimum of five years following retirement.
Option four. A ten-year certain option under which payment is made to the member for life but is guar­
anteed for a minimum of ten years following retirement.
Option five. Upon the member’s death, a retirement allowance in an amount equal to fifty percent or
one hundred percent of that paid to the member shall be paid for life to such person as he shall nominate
by written designation duly acknowledged and filed with the retirement system at the time of retirement.
Upon the death, prior to the death of the member, of said person so nominated, the member shall begin
receiving, in lieu of the allowance then payable, an allowance equal in amount to that which would have
been payable if no optional modification of the retirement allowance were in effect. [Subdivision a amended
L. 1992, ch. 592 in effect November 21, 1992.]
a-1. A member of the New York state and local employees’ retirement system or the New York state
and local police and fire retirement system who retires pursuant to the provisions of this article, may
elect, in lieu of the options set forth in subdivision a of this section, the following optional settlement:
Alternative option. The actuarial equivalent of the member’s retirement allowance at the time of retire­
ment, in the form of a smaller retirement allowance payable to such members for life and some other
benefit or benefits paid either to the member or to such person or persons as he shall nominate, provided
such other benefit or benefits, together with such smaller allowance, shall be certified by the actuary of
such retirement system to be of equivalent actuarial value to his retirement allowance and shall be
approved by the head of such retirement system and provided further that nothing herein shall require
such retirement system to pay a benefit in violation of paragraph nine of subsection a of section four
96
R. & S.S. § 515/516
hundred one of the internal revenue code of 1986, as amended, 26 U.S.C. S 401 (A) (9). [Subdivision a-1
added L. 1996, ch. 106 in effect May 28, 1996; amended L. 2010, ch. 498 in effect September 17, 2010.]
b. Upon attainment of early retirement age or age sixty-two, if earlier, a member who has not termi­
nated employment or who is not receiving service retirement, disability or vested benefits may elect a
survivor annuity under option one or option two to be payable on such member’s death during the period
commencing with attainment of early retirement age or age sixty-two, if earlier, and ending upon (i) the
attainment of normal retirement age or (ii) the date upon which service retirement or deferred vested ben­
efits commence, if earlier or later than normal retirement age. In the event of an election hereunder, the
benefits payable to the member or the member’s survivor shall be actuarially reduced to reflect the cost
of the survivor annuity elected. Such survivor annuity shall be paid in lieu of any other death benefit avail­
able, unless such death benefit is greater than such survivor annuity, in which event the applicable death
benefit shall be paid in lieu of the survivor benefit hereunder.
c. No option hereunder shall be permitted whereby the member would receive less than fifty percent of
the pension reserve during such member’s life expectancy. Provided, however, the preceding sentence
shall not apply if the surviving beneficiary is the member’s spouse.
d. Notwithstanding any other provision of this article, an option selection previously filed by a member
or retired member subject to the provisions of this section may be changed no later than thirty days fol­
lowing the date of payability of his or her retirement allowance. A retired member who has been retired
for disability may change an option selection previously filed no later than (1) thirty days following the
date on which such member’s application for disability retirement was approved by the retirement board
or (2) thirty days following the date on which such retiree was retired for disability, whichever is later.
[Subdivision d added L. 2004, ch. 446 in effect September 14, 2004.]
d. Notwithstanding any other provision of this article, an option selection previously filed by a member
or retired member of the New York city teachers’ retirement system or the New York city board of educa­
tion retirement system subject to the provisions of this section may be changed no later than thirty days
following the date of payability of his or her retirement allowance. A retired member who has been retired
for disability may change an option selection previously filed no later than (1) thirty days following the
date on which such member’s application for disability retirement was approved by the retirement board
or (2) thirty days following the date on which such retiree was retired for disability, whichever date is later.
[Subdivision d added L. 2004, ch. 651 in effect October 26, 2004.]
§ 515. Optional retirement program. a. Any optional retirement program authorized by state law
which, on the day before the effective date of this article, would be available to an eligible employee sub­
ject to the provisions of article eleven in lieu of joining a public retirement system of the state, will con­
tinue to be available to eligible employees subject to this article during the period this article is in effect.
c. Nothing herein contained shall be construed as permitting an employee who previously elected cover­
age under an optional retirement program to elect coverage under a public retirement system of the state.
[Paragraph b repealed L. 1992, ch. 504 in effect April 1, 1993.]
§ 516. Vesting. a. A member who has five or more years of credited service or ten or more years of
credited service for members who first join the New York state and local employees’ retirement system
on or after January first, two thousand ten upon termination of employment shall be entitled to a deferred
vested benefit as provided herein. [Subdivision a amended L. 1998, ch. 389 in effect July 17, 1998;
amended L. 2009, ch. 504 in effect January 1, 2010.]
b. The deferred vested benefit of general members, except for general members in the uniformed correc­
tion force of the New York city department of correction or uniformed personnel in institutions under the
jurisdiction of the department of corrections and community supervision as defined in subdivision i of sec­
tion eighty-nine of this chapter, with twenty or more years of credited service shall be a pension commenc­
ing at normal retirement age equal to one-fiftieth of final average salary times years of credited service, not
in excess of thirty years, less fifty percent of the primary social security retirement benefit, as provided in
section five hundred eleven of this article. The deferred vested benefit of general members, except for gen­
eral members in the uniformed correction force of the New York city department of correction or uniformed
personnel in institutions under the jurisdiction of the department of corrections and community supervision
as defined in subdivision i of section eighty-nine of this chapter, with less than twenty years of credited
97
R. & S.S. § 517
service shall be a pension commencing at normal retirement age equal to one-sixtieth of final average sal­
ary times years of credited service, less fifty percent of the primary social security retirement benefit, as
provided in section five hundred eleven of this article. Such deferred vested benefit may be paid in the form
of an early service retirement benefit, or may be postponed until after normal retirement age, in which event
the benefit will be subject to reduction or escalation as provided in subdivision c of section five hundred
four of this article. [Subdivision b amended L. 1987, ch. 845 in effect Aug. 10, 1987; L. 1989, ch. 174 in
effect June 19, 1989; as amended L. 2011, ch. 62, part C, subpart B, in effect March 31, 2011.]
c. The deferred vested benefit of police/fire members, New York city police/fire revised plan members,
New York city uniformed correction/sanitation revised plan members or investigator revised plan mem­
bers shall be a pension commencing at early retirement age equal to two and one-tenths percent of final
average salary times years of credited service, less fifty percent of the primary social security retirement
benefit commencing at age sixty-two, as provided in section five hundred eleven of this article. A police/
fire member, a New York city police/fire revised plan member, a New York city uniformed correction/sani­
tation revised plan member or investigator revised plan member may elect to receive his vested benefit
commencing at early retirement age or age fifty-five. If the vested benefit commences before early retire­
ment age, the benefit shall be reduced by one-fifteenth for each year, if any, that the member’s early
retirement age is in excess of age sixty, and by one-thirtieth for each additional year by which the vested
benefit prior to early retirement age. If such vested benefit is deferred until after such member’s normal
retirement age, the benefit shall be computed and subject to annual escalation in the same manner as
provided for any early retirement benefit pursuant to subdivision c of section five hundred five of this
article. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
d. The deferred vested benefit of general members in the uniformed correction force of the New York
city department of correction, who are not entitled to a deferred vested benefit under subdivision d of sec­
tion five hundred four-a of this article or under subdivision d of section five hundred four-b of this article
or under subdivision d of section five hundred four-d of this article, or of general members in the uniformed
personnel in institutions under the jurisdiction of the department of corrections and community supervi­
sion, as defined in subdivision i of section eighty-nine of this chapter, with twenty or more years of credited
service shall be a pension commencing at normal retirement age equal to one-fiftieth of final average sal­
ary times years of credited service, not in excess of thirty years, or for members who first become mem­
bers of the New York state and local employees’ retirement system on or after April first, two thousand
twelve, a pension equal to the sum of thirty-five per centum and one-fiftieth of final average salary for each
year of service in excess of twenty, but not in excess of thirty, times final average salary times years of
credited service. The deferred vested benefit of general members in the uniformed correction force of the
New York city department of correction, who are not entitled to a deferred vested benefit under subdivision
d of section five hundred four-a of this article or under subdivision d of section five hundred four-b of this
article or under subdivision d of section five hundred four-d of this article, or of general members in the
uniformed personnel in institutions under jurisdiction of the department of corrections and community
supervision, as defined in subdivision i of section eighty-nine of this chapter, with less than twenty years
of credited service shall be a pension commencing at normal retirement age equal to one-sixtieth of final
average salary times years of credited service. Such deferred vested benefit may be paid in the form of an
early service retirement benefit, or may be postponed until after normal retirement age, in which event the
benefit will be subject to reduction or escalation as provided in subdivision c of section five hundred four
of this article. [Subdivision d added L. 1987, ch. 845 in effect Aug. 10, 1987; as amended L. 1989, ch. 174
in effect June 19, 1989; as amended L. 1990, ch. 936 in effect Dec. 19, 1990; L. 1993, ch. 631 in effect
August 4, 1993; L. 2004, ch. 622 in effect October 19, 2004; as amended L. 2011, ch. 62, part C, subpart
B, in effect March 31, 2011; as amended L. 2012, ch. 18 in effect April 1, 2012.]
e. In no event shall the vested retirement allowance payable without optional modification be less than
the actuarial equivalent of the total which results from the member’s contributions accumulated with
interest at five percent per annum compounded annually to the date of retirement. [Added L. 2012, ch. 18
in effect April 1, 2012.]
§ 517. Member contributions. a. Members shall contribute three percent of annual wages to the
retirement system in which they have membership, provided that such contributions shall not be required
for more than thirty years, for general members, or twenty-five years, for police/fire members, except that
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R. & S.S. § 517
beginning April first, two thousand thirteen for members who first become members of the New York state
and local employees’ retirement system on or after April first, two thousand twelve, the rate at which each
such member shall contribute in any current plan year (April first to March thirty-first) shall be determined
by reference to the wages of such member in the second plan year (April first to March thirty-first) preced­
ing such current plan year as follows:
1. members with wages of forty-five thousand dollars per annum or less shall contribute three per cen­
tum of annual wages;
2. members with wages greater than forty-five thousand per annum, but not more than fifty-five thou­
sand per annum shall contribute three and one-half per centum of annual wages;
3. members with wages greater than fifty-five thousand per annum, but not more than seventy-five
thousand per annum shall contribute four and one-half per centum of annual wages;
4. members with wages greater than seventy-five thousand per annum but not more than one hundred
thousand per annum shall contribute five and three-quarters per centum of annual wages; and
5. members with wages greater than one hundred thousand per annum shall contribute six per centum
of annual wages.
Notwithstanding the foregoing, during each of the first three plan years (April first to March thirty-first)
in which such member has established membership in the New York state and local employees’ retire­
ment system, such member shall contribute a percentage of annual wages in accordance with the pre­
ceding schedule based upon a projection of annual wages provided by the employer.
The head of each retirement system shall promulgate such regulations as may be necessary and
appropriate with respect to the deduction of such contribution from members wages and for the mainte­
nance of any special fund or funds with respect to amounts so contributed. [Amended L. 2012, ch. 18 in
effect April 1, 2012.]
b. In the event of termination of employment, other than as a result of transfer to another public
employer, a member who is not vested or entitled to any other benefit under this article may withdraw his
accumulated contributions pursuant to regulations promulgated by the head of the retirement system
involved. In the event membership in a public retirement system shall terminate, other than as a result of
transfer to another public employer, any contributions remaining to the credit of the member shall be
refunded as specified by the rules or regulations of the system involved. For the purpose of such with­
drawal or refund, such contributions, commencing on the date of this act or the date such member first
makes contributions hereunder, whichever is later, together with the balances on such date from any
contributions theretofore made, shall be credited with interest at the rate of five percent per annum.
c. Upon withdrawal of contributions by a member pursuant to subdivision b, membership in the public
retirement system involved shall cease. A former member who thereafter returns to public service shall
not receive any credit for previous service to which such withdrawn or refunded contributions applied
unless such member applies therefore and repays the amounts so withdrawn or refunded, together with
interest through the date of repayment at the rate of five percent per annum. Notwithstanding any other
provision of law to the contrary, a member may, upon separation from service of the state or a participat­
ing employer, withdraw his or her member contributions pursuant to the applicable provision of law until
such date as such individual has accrued ten years of credited service in such system. However, the
withdrawal of contributions pursuant to this section by an individual who has accrued at least five years
of creditable service shall terminate his or her membership and all rights in such retirement system in the
same manner as withdrawal of contributions would terminate the membership of an individual who has
not attained, vested status. Nothing in this section shall be construed as permitting an individual who has
accrued at least ten years of credit in a retirement system to withdraw member contributions. [Amended
L. 1998, ch. 389 in effect July 17, 1998.]
d. Notwithstanding any other provision of this article, a member shall be entitled to withdraw any
excess contributions within six months of becoming subject to this article. Thereafter, such contributions,
and interest thereon, may only be withdrawn upon separation from service. Upon retirement, such excess
contributions, and any interest thereon, may be withdrawn in a single lump sum, or at the election of the
member may be paid as an annuity under an option authorized pursuant to section five hundred fourteen
of this article.
e. Notwithstanding any other provision of law, except as provided in section five hundred seventeen-b
of this article, except as provided in section seventeen-c of this article, a member shall not be permitted
99
R. & S.S. § 517-a
to borrow any portion of the contributions which are subject to this section. [Amended L. 1990, ch. 919
in effect July 30, 1990; L. 1990, ch. 920 in effect July 30, 1990.]
f. 1. Notwithstanding any other provision of law, each participating employer shall pick up the member
contributions required on and after the effective date of this subdivision to be made under this section by
its employees, or required to be made for the purchase of credit for previous service or military service
by its employees pursuant to an irrevocable payroll deduction agreement under subdivision b-1 of sec­
tion five hundred thirteen of this article, and shall do so by reducing the salary of each of its employees
to which this section, or subdivision b-1 of section five hundred thirteen of this article, is applicable by
that amount which each such employee is required to contribute under this section, or subdivision b-1 of
section five hundred thirteen of this article. The contributions so picked up shall be paid by each partici­
pating employer in lieu of the member contributions to be paid by its employees under this section, or
subdivision b-1 of section five hundred thirteen of this article, and shall be treated as employer contribu­
tions in determining income tax treatment under section 414(h) of the Internal Revenue Code. [Paragraph
1 subdivision f amended L. 2007, ch. 627.]
2. Each participating employer of any employee (subject to this article) who, in lieu of joining a public
retirement system of the state, elected an optional retirement program to which their employers are thereby
required to contribute shall pick up the employee contributions thereto which would otherwise be manda­
tory under the provisions of state law and shall do so by reducing the salary of such employee by the
amount of employee contributions to such optional retirement program which would otherwise be manda­
tory under the provisions of state law. The contributions so picked up shall be paid by each participating
employer in lieu of the member contributions to be paid by its employees and shall be treated as employer
contributions in determining income tax treatment under section 414(h) of the internal revenue code.
[Amended L. 1990., ch. 746 (This act shall take effect 45 days after it shall have become law; provided how­
ever, that in no event shall this act take effect for employees belonging to an optional retirement program to
which their employer contributes earlier than 45 days after the internal revenue service issues a ruling cover­
ing such employees that the employee contributions picked up under this act are not includable in the gross
income of the employee until distributed or made available to the employee.) in effect July 22, 1990.]
3. With the exception of federal income tax treatment, the employee contributions picked up or paid
pursuant to this subdivision shall for all other purposes, including computation of retirement benefits and
contributions by employers and employees, be deemed employee salary. Nothing contained in this sub­
division shall be construed as superseding the provisions of section four hundred thirty-one of this chap­
ter or any similar provision of law which limits the salary base for computing retirement benefits payable
by a public retirement system.
4. The provisions of this subdivision f shall not apply to a police/fire member or a member of the New
York city employees retirement system who is a member of the uniformed correction force or of the uni­
formed force of the department of sanitation, as defined in subdivisions thirty-nine and sixty-two of sec­
tion 13-101 of the administrative code of the city of New York. [Subdivision f added L. 1988, ch. 782;
amended L. 1988, ch. 783 in effect Jan. 1, 1989 (provided however, that in no event shall this act take
effect earlier than the beginning of the first full calendar year quarter following 45 days after the internal
revenue service approves the plan made effective July 1, 1989.)]
g. Interest shall accrue from the date of death until the date of payment on accumulated member con­
tributions refunded pursuant to this section upon the death of a member, where no death benefit is pay­
able on account of such death. Interest shall accrue at the rate provided in subdivision one of section
three-a of the general municipal law. [Subdivision g added L. 1991, ch. 453 in effect July 19, 1991.]
§ 517-a. Termination of membership. With respect to the New York state employees retirement
system and the New York state and local police and fire retirement system, membership in the retirement
system shall cease upon the occurrence of any one of the following conditions:
1. When seven years have elapsed since a member has performed active service provided, however,
that no part of such seven year period shall run during such time as a member, with at least five years of
member service credit, shall serve as an officer or employee of the federal government or the United
Nations or other international organizations of which the United States of America is a member.
2. When a member shall die.
3. When a member shall retire.
100
R. & S.S. § 517-b
4. When a member, who is not vested, withdraws accumulated contributions in accordance with the
provisions of section five hundred seventeen of this article. If such person subsequently rejoins the retire­
ment system within five years from the date he discontinued service with the state or a participating
employer, such person shall be entitled to every retirement right, benefit and privilege which would have
been available to him had he reentered membership on the date of such discontinuance from service.
[Added L. 1986, ch. 774 in effect Aug. 2, 1986; amended L. 2010, ch. 498 in effect September 17, 2010.]
§ 517-b. Loans to members of a teachers retirement system. a. A member of a teachers retire­
ment system in active service who has credit for at least one year of member service may borrow, no
more than once during each twelve-month period, an amount not exceeding seventy-five percent of the
total contributions made pursuant to section five hundred seventeen of this article (including interest
credited at the rate set forth in subdivision c of section five hundred seventeen compounded annually)
and not less than one thousand dollars.
b. An amount so borrowed, together with interest on any unpaid balance thereof, shall be repaid in equal
installments which shall be made by the borrower directly to the retirement board or through regular pay­
roll deduction. Such installments shall be in such amount as the retirement board shall approve; however,
they shall be at least (i) two percent of the member’s contract salary, and (ii) sufficient to repay the amount
borrowed, together with interest on unpaid balances thereof within a period not in excess of five years. In
the event of default such retirement board shall be authorized to collect such payments due from the
employer of such member through payroll deduction and such member shall forfeit all future entitlement
to borrow from the retirement system until the unpaid balance of the loan outstanding at the time of default
is fully paid. Such retirement board, at any time, may accept payments on account of any loan in addition
to the installments fixed for repayment thereof. All payments of principal and interest, at the lower of the
rates set forth in either subdivision c of section five hundred seventeen of this article or subdivision c of
this section, made by the member shall be credited to his or her account as principal or interest. Any addi­
tional interest paid by the member shall be credited to the appropriate fund of the retirement system.
c. The rate of interest payable upon loans made pursuant to this section shall: (i) for members of the
New York state teachers retirement system, be one percent less than regular interest pursuant to para­
graph (b) of subdivision nine of section five hundred one of the education law, however in no event shall
the rate be less than the rate set forth in subdivision c of section five hundred seventeen of this article;
(ii) for members of the New York city teachers retirement system, be one percent less than the regular
interest rate established pursuant to paragraph (d) of subdivision twenty-two of section 13-501 of the
administrative code of the city of New York for such system, however in no event shall the rate be less
than the rate set forth in subdivision c of section five hundred seventeen of this article. Whenever there
is a change in the interest rate it shall be applicable to loans made or renegotiated after the date of such
change in the interest rate.
d. A service charge payable upon loans made pursuant to this section shall be set by the retirement
board in an amount sufficient to cover the cost to the retirement system of administering the loans. Such
charge shall be paid to the retirement system when the loan is made or in equal installments over the
period the loan is outstanding. The amount of the service charge shall be credited to the fund from which
administrative expenses are paid.
e. Each loan made pursuant to this section shall be insured against the death of the member in an
amount equal to the amount of the loan outstanding at any given time; with the exception that until thirty
days have elapsed after the making thereof, no part of the loans shall be insured. Such insurance shall
be provided by the retirement board through the retirement system. Upon the death of the member, the
amount of insurance so payable shall be credited to his or her account. The premium payable by the
member for such insurance shall be set by the retirement board at a rate not to exceed one percent of the
amount loaned.
Such premium shall be prorated to July first next and shall be paid to the retirement system in equal
installments over the period of the loan. Thereafter, a premium not to exceed one percent per annum of
the present value of the outstanding loan as of July first shall be paid in the same manner each succeed­
ing year until such loan is repaid or the member is retired.
The retirement board shall, at least annually, review such premium rate, and may, in its discretion, increase
or reduce the premium, modify the terms or conditions of coverage, or discontinue the insurance of loans.
101
R. & S.S. § 517-c/518
In no event shall this subdivision impose any obligation upon the retirement board to continue to insure
loans of members upon the terms and conditions herein provided or upon any other terms or conditions.
f. Such a retirement board is authorized to establish special funds as may be necessary to carry out
the provisions of subdivisions d and e of this section.
g. Whenever a member of such a retirement system, for whom a loan is outstanding, becomes entitled
to the return of his or her contributions because of withdrawal from such system or because of death, the
amount of any loan outstanding on such date including accrued interest as provided in subdivision c of
this section shall be construed to already have been returned to such member and the refund of contribu­
tions to which he shall then be entitled shall be the net amount of such contributions together with inter­
est thereon pursuant to subdivision c of section five hundred seventeen of this article.
h. Notwithstanding the provisions of section five hundred sixteen of this article, whenever a member of
such a retirement system, for whom a loan is outstanding, retires, the retirement allowance payable with­
out optional modification shall be reduced by a life annuity which is actuarially equivalent to the amount
of the outstanding loan (all outstanding loans shall continue to accrue interest charges until retirement),
such life annuity being calculated utilizing the interest rate on thirty-year United States treasury bonds as
of January first of the calendar year of the effective date of retirement and the mortality tables for options
available under section five hundred fourteen of this article. Notwithstanding the preceding sentence, in
the case of the New York state teachers’ retirement system, commencing January first, two thousand four,
the interest rate on ten year United States treasury obligations as of January first of the calendar year of
the effective date of retirement shall be used. Notwithstanding the preceding sentence, in the case of the
New York state teachers’ retirement system, commencing January first, two thousand sixteen, the average
annual interest rate on ten year United States treasury obligations for the days during the calendar year
that precedes the calendar year in which the retirement becomes effective shall be used. [Amended L.
2003, ch. 140 in effect January 1, 2004; amended L. 2015, ch. 479, in effect November 20, 2015.]
i. Such a retirement board is authorized to adopt such rules and regulations as it finds to be necessary
in administering the provisions of this section. Anything in this section notwithstanding, the retirement
board of the New York state teachers’ retirement system is authorized to adopt rules and regulations per­
mitting a loan at any time prior to retirement to a member who is not in active service, provided such loan
would otherwise be permitted under this section and under applicable provisions of the internal revenue
code relating to loans from pension plans. [Sub. i amended L. 1996, ch. 548 in effect August 8, 1996.]
j. Such a retirement board shall discharge any evidence of a loan to member pursuant to this subdivi­
sion upon the satisfaction of the obligation of the member thereunder.
k. The retirement system shall have no right to bring suit in any court against any member to enforce
the amount due under this section and the retirement system’s sole remedy upon death, retirement or
withdrawal shall be to offset the amount outstanding including interest from the member’s account or
other benefits payable to or on behalf of the member as provided in this section. [Section 517-b added
L. 1990, ch. 919 in effect July 30, 1990 (provided however, that the provisions authorizing a member to
borrow shall take effect July 1, 1991.)]
§ 517-c. Loans to members of certain retirement systems. (omitted)
§ 518. Election of coverage under article. a. Except as provided in subdivision c. hereof, a mem­
ber of a public retirement system of the state on June thirtieth, nineteen hundred seventy-six who is not
subject to the provisions of article eleven of this chapter may elect to become subject to this article by
submitting such election on or before June first, nineteen hundred seventy-eight. An election hereunder
shall be made in the form and manner prescribed in rules and regulations promulgated by the head of the
retirement system to which such member belongs at the time of election. Such election shall be irrevo­
cable thirty days after it is received by the system involved. Provided, however, that an election may not
be made by any employee who is not employed by a participating employer, or who is employed by a
participating employer described in subdivision c of section five hundred of this article. [Amended L.
1977, ch. 347 in effect June 28, 1977.]
b. Contributions made by a member prior to an election pursuant to subdivision a of this section,
together with any interest thereon through the date of election, shall thereafter become subject to the
provisions of section five hundred seventeen of this article.
102
R. & S.S. § 519/520
c. On and after the date on which this act shall take effect, no member of a public retirement system
of the state shall elect to become subject to this article. [Subdivision c. of Sec. 518 added L. 1977, ch.
347, in effect June 28, 1977.]
§ 519. Effect of other laws. 1. Any other provision of this chapter, of the state education law, of the
administrative code of the city of New York, or rules and regulations thereunder, relating to the reemploy­
ment of retired members, transfer of members and reserves between systems and procedural matters shall
apply to members covered under this article during the duration thereof unless inconsistent herewith.
2. Notwithstanding any other provision of law:
(i) If a person who last became a member of a public retirement system of the state before July first,
nineteen hundred seventy-three retires, such person shall, upon re-entry to membership in a public retire­
ment system of the state, be subject to all retirement rights, privileges and obligations which would per­
tain to such person had he reentered membership in such retirement system on June thirtieth, nineteen
hundred seventy-three.
(ii) If a person who last became a member of a public retirement system of the state after June thirtieth,
nineteen hundred seventy-three but prior to July first, nineteen hundred seventy-six retires such person
shall, upon re-entry to membership in a public retirement system of the state, but subject to all retirement
rights, privileges and obligations which would pertain to such person had he reentered membership in
such retirement system on June thirtieth, nineteen hundred seventy-six.
(iii) The provisions of this article shall not be construed to repeal, amend or modify any provisions of
law or rules or regulations in effect on June thirtieth, nineteen hundred seventy-six issued thereunder
which govern the reemployment of retired persons by public employers.
(iv) Notwithstanding any other provision of law, any member of a public retirement system who retired
after having last entered such system prior to July first, nineteen hundred seventy-three, and thereafter
re-entered service and joined or rejoined a pubic retirement system prior to April first, nineteen hundred
seventy-seven, shall be entitled to all the rights, benefits and privileges and subject to all the obligations
set forth in any law or laws relating to public retirement systems to which he would have been subject or
entitled had he re-entered membership in such retirement system on June thirtieth, nineteen hundred
seventy-three.
(v) Notwithstanding any other provision of law, any member of a public retirement system who retired
after having last entered such system after June thirtieth, nineteen hundred seventy-three and prior to
July first, nineteen hundred seventy-six and thereafter re-entered service and joined or rejoined a public
retirement system prior to April first, nineteen hundred seventy-seven, shall be entitled to all the rights,
benefits and privileges and subject to all the obligations set forth in any law or laws relating to public
retirement systems to which he would have been subject or entitled had he re-entered membership in
such retirement system on June thirtieth, nineteen hundred seventy-six. [Subdivision 2 of Sec. 519 added
L. 1977, ch. 42 in effect April 1, 1977; par. (iv) and (v) added L. 1979, ch. 499 in effect July 5, 1979.]
§ 520. Duration. Notwithstanding any other provision of this chapter or of any other law, effective
January first, nineteen hundred seventy-seven, all benefits provided by a public retirement system of the
state shall continue with respect to members to which this article is applicable only until June thirtieth,
nineteen hundred eighty-three. [Art. 14 enacted L. 1976, ch. 890 effective Jan. 1, 1977; sub. (b), sec. 500
and subs. 16 and 24, sec. 501 amended L. 1976, ch. 891, in effect Jan. 1, 1977; Sec. 520 amended L.
1977, ch. 347 in effect June 28, 1977; extended until June 30, 1981 by L. 1979, ch. 321 in effect June 29,
1979; extended until June 30, 1982 by L. 1981, ch. 381 in effect June 30, 1981; extended until June 30,
1983 by L. 1982, ch. 463 in effect June 30, 1982.]
103
R. & S.S. § 600
Article 15 of the Retirement and Social Security Law
(Tiers 4, 5 and 6)
COORDINATED RETIREMENT PLAN
600.
601.
602.
603.
604.
604-a.
604-b.
604-c.
604-c.
604-c.
604-d.
604-e.
604-e.
604-f.
604-g.
604-h.
604-i.
605.
605-a.
605-b.
605-c.
606.
606-a.
607.
607-a.
607-b.
607-c.
607-d.
608.
609.
610.
611.
612.
613.
613-a.
613-b.
614.
615.
616.
617.
Application.
Definitions.
Eligibility for service retirement benefits; minimum service requirements.
Eligibility for service retirement benefits; age and service requirements.
Service retirement benefits.
Twenty-year retirement program for New York city sanitation members. (omitted)
Twenty-five-year and age fifty-five with optional twenty-year retirement program for certain
employees of the New York city transit authority. (omitted)
Supplemental retirement allowance. (omitted)
Optional twenty-five-year early retirement program for certain New York city members. (omitted)
Twenty-year/age fifty retirement program for Triborough bridge and tunnel members. (omitted)
Age fifty-seven retirement program for certain New York city members. (omitted)
Optional twenty-five year improved benefit retirement program for dispatcher members. (omitted)
Optional twenty-five year improved benefit retirement program for EMT members (omitted)
Twenty-five year retirement program for deputy sheriff members. (omitted)
Twenty-five year/age fifty retirement program for automotive members. (omitted)
Twenty-five year retirement program for police communications members. (omitted)
Age fifty-five retirement program for New York city teachers and certain other members. (omitted)
Disability retirement.
Accidental disability retirement for uniformed court officers employed in the Unified Court
system. (omitted)
Accidental disability retirement for New York city uniformed sanitation members. (omitted)
Accidental disability retirement for deputy sheriffs employed by the city of New York. (omitted)
Death benefits.
Death benefit for vested members who die prior to retirement.
Accidental death benefits.
Performance of duty disability retirement. (omitted)
Performance of duty disability retirement. (omitted)
Performance of duty disability. (omitted)
Disability benefits. (omitted)
Final average salary.
Credit for service.
Options.
Optional retirement program.
Vesting.
Member contributions.
Loans to members of a teachers retirement system.
Loans to members of certain retirement systems. (omitted)
Effect of other laws.
Duration.
Transfer of membership (New York City only). (omitted)
Recalculation of benefits.
§ 600. Application. a. Notwithstanding any other provision of law, the provisions of this article shall
apply to all members who join or rejoin a public retirement system of the state on or after July first, nine­
teen hundred seventy-six and to all employees who would have been eligible to join or rejoin such a
retirement system on or after such date but in lieu thereof elected an optional retirement program to
which their employers are thereby required to contribute, except the following:
104
R. & S.S. § 600
1. Members of the New York state and local police and fire retirement system;
2. (a) Members in the uniformed personnel in institutions under the jurisdiction of the department of
corrections and community supervision of New York state, other than certain persons as defined in this
section or the New York city department of correction.
(b) For purposes of this paragraph, certain persons means either:
(i) a person who is appointed to the title of superintendent, who has had at least seven years of service
credited toward the retirement plan established pursuant to this article while employed by the department
of corrections and community supervision and who elects the retirement plan established pursuant to this
article within ninety days of his or her appointment. Such election shall be in writing, shall be duly exe­
cuted and filed with the comptroller and shall be irrevocable as long as such person is in the title of
superintendent; or
(ii) a person who serves in the title of superintendent as of April first, two thousand six, who has had at
least seven years of service credited toward the retirement plan established pursuant to this article while
employed by the department of corrections and community supervision and who elects the retirement
plan established pursuant to this article on or before September thirtieth, two thousand six. Such election
shall be in writing, shall be duly executed and filed with the comptroller and shall be irrevocable as long
as such person is in the title of superintendent.
(c) Any person in the title of superintendent who is eligible to make an election as described in this
section but who does not make such election, shall remain a member of the retirement plan that persons
appointed to the title of superintendent join who do not meet the above criteria. [Added L. 1983, ch. 414;
amended L. 1996, ch. 370 in effect July 30, 1996; amended L. 2006, ch. 421 in effect July 26, 2006;
amended L. 2011, ch. 62, part C, subpart B, in effect March 31, 2011.]
3. Members of the New York city police pension fund or the New York city fire department pension fund;
4. Members qualified for participation in the uniformed transit police force plan or housing police force
plan in the New York city employees’ retirement system;
5. Investigator members of the New York city employees’ retirement system; and
6. Members of the uniformed force of the New York city department of sanitation who join or rejoin a
public retirement system of the state on or after April first, two thousand twelve. [Paragraph 6 added L.
2012, ch. 18 in effect April 1, 2012.]
In the event that there is a conflict between the provisions of this article and the provisions of any other
law or code, the provisions of this article shall govern. [Sub. a amended L. 1996, ch. 370 in effect June
30, 1996; amended L. 2012, ch. 18 in effect April 1, 2012.]
b. Notwithstanding any other provision of this article to the contrary, persons who on or after July first,
nineteen hundred seventy-six:
1. Enter the employment of a public employer which participates for such employees in the New York
city employees retirement system, the New York city teachers retirement system and the New York city
board of education retirement system shall be required to become members or shall be eligible or ineligible
for membership in such retirement system or pension fund in the manner provided for by the relevant pro­
visions of the New York city administrative code and other relevant laws and rules and regulations except
that, notwithstanding any other provision of law, members who were employed by the New York city board
of education and assigned during the first fifteen days of the school term to a position which is expected
to be vacant for the term and who were employed in one of the three school years immediately prior to July
first, nineteen hundred seventy-six in a position which did not entitle them to apply for membership in a
public retirement system and who first joined the New York city teachers’ retirement system subsequent
to June thirtieth, nineteen hundred seventy-six shall have all the rights, benefits and privileges applicable
to employees who were members of such system on June thirtieth, nineteen hundred seventy-six provided
they make written application, duly executed and filed with the New York city teachers retirement board
prior to July first, nineteen hundred eighty-nine; [Amended L. 1988, ch. 522 in effect Aug. 1, 1988.]
1-a. Enter the employment of a public employer which participates for such employees in the New York
city employees’ retirement system, the New York city teachers’ retirement system and the New York city
board of education retirement system shall be required to become members or shall be eligible or ineli­
gible for membership in such retirement system or pension fund in the manner provided for by the rele­
vant provisions of the New York city administrative code and other relevant laws and rules and regulations
except that, notwithstanding any other provision of law, members who were employed by the New York
105
R. & S.S. § 600
city board of education as regular substitute teachers when assigned as such and members who were
employed by the New York city board of education and assigned during the school year to a position
which was expected to be vacant for the school year, such members having been employed for a period
of not less than twenty school days during such school year in a position which did not entitle them to
apply for membership in a public retirement system and who first joined the New York city teachers’
retirement system or the New York state teachers’ retirement system subsequent to June thirtieth, nine­
teen hundred seventy-six shall have all the rights, benefits and privileges to which they would have been
entitled had their current membership begun on the date their original service commenced, provided they
make written application, duly executed and filed with the retirement system in which they are members
on or before June thirtieth, two thousand three. Any member of a teachers’ retirement system who is
entitled by reason of this paragraph to have all the rights, benefits and privileges of a member of such
system as of a date prior to July first, nineteen hundred seventy-six shall not be entitled to a refund of
any contributions made to such system prior to the effective date of this paragraph pursuant to this
article or article fourteen of this chapter; [Subdivision 1-a added L. 2002, ch. 106 in effect June 30, 2002.]
2. Enter the employment of a public employer which participates for such employees in the New York
state teachers retirement system shall be required to become members or shall be eligible or ineligible
for membership in such retirement system in the manner provided for by the relevant provisions of the
New York state education law;
3. Enter the employment of a public employer which participates for such employees in the New York
state employees retirement system in positions in which they shall work full time shall be required to
become members;
(a) Provided, however, persons in the employ of such employers after such date in positions in which they
work less than full time shall be permitted to become members of the New York state employees retirement
system by filing an application therefor in the manner provided for by section forty of this chapter;
(b) Provided further that an employee of a county extension service association or Cornell university
appointed for the first time on or after August first, nineteen hundred seventy-seven who holds a federal
cooperative appointment with the United States department of agriculture as designated by the director
of the New York state cooperative extension service and who is eligible for participation in the federal
retirement system shall be excluded from membership in the state employees retirement system; and
(c) Provided further that any employee of a county extension service association and any employee of
Cornell university appointed for the first time on or after July first, nineteen hundred seventy-six but on
or before July thirty-first, nineteen hundred seventy-seven, who holds a state cooperative appointment
as designated by the director of the New York state cooperative extension service may elect to receive a
federal cooperative appointment in the manner provided for by the relevant federal laws, rules and regu­
lations and to participate in the federal retirement system and discontinue his participation in the state
retirement system by filing a written notice of termination on or before December thirty-first, nineteen
hundred eighty-three with the comptroller. Any employee who is a member of the state employees retire­
ment system at the time he or she elects coverage in the federal retirement program shall be deemed to
be a person who discontinues service on the effective date of such election, for the purpose of determin­
ing his or her eligibility for rights and benefits in such state system; provided, however, that if he or she
does not withdraw accumulated contributions, (i) continued service with the county extension service
association or Cornell university while under the federal retirement program shall be deemed to be mem­
ber service in the New York state employees retirement system for the purpose of determining eligibility
for any vested retirement allowance, retirement allowance or ordinary death benefit under such system
dependent upon a specified period of total service or upon attainment of a specified age while in service
or upon death while in service; and (ii) the amount of any such benefit to which the person or his or her
estate or person designated by him or her may become entitled under either such system shall be com­
puted only on the basis of service otherwise creditable to him or her therein and his or her compensation
during such service. Electing employees and their beneficiaries shall not be entitled to any right or benefit
under the New York state employees retirement system other than a vested retirement allowance, retire­
ment allowance or ordinary death benefit to the extent expressly provided for in this chapter.
c. The provisions of this article shall not be construed to extend coverage to an employee who would
not have been, if employed in the same capacity on June thirtieth, nineteen hundred seventy-six, eligible
for membership in the retirement system involved.
106
R. & S.S. § 601
§ 601. Definitions. The following words and phrases as used in this article shall have the following
meanings unless a different meaning is plainly required by the context:
a. “Active service” shall mean service while being paid on the payroll of a participating employer pro­
vided, however, a leave of absence with pay may be deemed active service pursuant to rules and regula­
tions adopted by a public retirement system of the state.
b. “Credited service” shall mean all service which has been credited to a member pursuant to section
six hundred nine of this article.
c. “Creditable service” is service which qualifies to be counted as credited service pursuant to section
six hundred nine of this article.
d. “Eligible beneficiary” for the purposes of section six hundred seven of this article shall mean the
following persons or classes of persons in the order set forth:
1. A surviving spouse who has not renounced survivorship rights in a separation agreement, until remarriage;
2. Surviving children until age twenty-five;
3. Dependent parents, determined under regulations promulgated by the head of the retirement system;
4. Any other person who qualified as a dependent on the final federal income tax return of the member
or the return filed in the year immediately preceding the year of death, until such person reaches twentyone years of age. In the event that a class of eligible beneficiaries consists of more than one person,
benefits shall be divided equally among the persons in such class; and
5. With respect to members of the New York city employees’ retirement system or the board of educa­
tion employees’ retirement system of the city of New York only, a person or persons whom the member
shall have nominated in the form of a written designation, duly acknowledged and filed with the head of
the retirement system for the purpose of section six hundred six of this article. [Subdivision d amended
L. 2000, ch. 408 in effect August 30, 2001.]
e. “Member” shall mean a member subject to the provisions of this article.
f. “Head of the retirement system” shall mean the comptroller, with respect to the state employees
retirement system and the retirement board of the other public retirement systems of the state.
g. “Mandatory retirement age” shall mean age seventy.*
h. “Normal retirement age” shall mean age sixty-two.
i. “Participating employer” shall mean a public employer who is participating in a public retirement
system of the state.
j. “Public employer” shall mean an employer who is eligible to participate in a public retirement system
of the state.
k. “Public retirement system of the state” shall mean the New York state employees retirement system,
New York state teachers retirement system, New York city employees retirement system (except with respect
to members qualified for participation in the uniformed transit police force plan or housing police force plan),
New York city teachers retirement system and the New York city board of education retirement system.
l. “Wages” shall mean regular compensation earned by and paid to a member by a public employer, except
that for members who first join the New York state and local employees’ retirement system or the New York
state teachers’ retirement system on or after January first, two thousand ten, overtime compensation paid in
any year in excess of the overtime ceiling, as defined by this subdivision, shall not be included in the definition
of wages. “Overtime compensation” shall mean, for purposes of this section, compensation paid under any
law or policy under which employees are paid at a rate greater than their standard rate for additional hours
worked beyond those required, including compensation paid under section one hundred thirty-four of the civil
service law and section ninety of the general municipal law. The “overtime ceiling” shall mean fifteen thousand
dollars per annum on January first, two thousand ten, and shall be increased by three per cent each year
thereafter, provided, however, that for members who first become members of a public retirement system of
the state on or after April first, two thousand twelve, “overtime ceiling” shall mean fifteen thousand dollars per
annum on April first, two thousand twelve, and shall be increased each year thereafter by a percentage to be
determined annually by reference to the 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, for each applicable calen­
dar year. Said percentage shall equal the annual inflation as determined from the increase in the consumer
*Superseded by Article 14-A, Ret. & Soc. Sec. Law and Section 296, Executive Law enacted L. 1984, ch. 296 in effect
Jan. 1, 1985.
107
R. & S.S. § 602/603
price index in the one year period ending on the December thirty-first prior to the cost-of-living adjustment
effective on the ensuing April first. For members who first join a public retirement system of the state on or
after April first, two thousand twelve, the following items shall not be included in the definition of wages: 1.
wages in excess of the annual salary paid to the governor pursuant to section three of article four of the state
constitution, 2. lump sum payments for deferred compensation, sick leave, accumulated vacation or other
credits for time not worked, 3. any form of termination pay, 4. any additional compensation paid in anticipation
of retirement, and 5. in the case of employees who receive wages from three or more employers in a twelve
month period, the wages paid by the third and each additional employer. [Subdivision l amended L. 2009, ch.
504 in effect January 1, 2010; amended L. 2012, ch. 18 in effect April 1, 2012; amended L. 2015, ch. 510, in
effect November 20, 2015.]
m. “New York city revised plan member” shall mean a member of the New York city employees’ retire­
ment system, the New York city teachers’ retirement system or the board of education retirement system
of the city of New York who becomes subject to the provisions of this article on or after April first, two
thousand twelve. [Added L. 2012, ch. 18 in effect April 1, 2012.]
§ 602. Eligibility for service retirement benefits; minimum service requirements. a. Except as
provided in subdivision b-1 of this section, a member who first joins a public retirement system of this
state on or after July first, nineteen hundred seventy-six shall not be eligible for service retirement ben­
efits hereunder until such member has rendered a minimum of five years of credited service, except that
a member who first joins the New York state and local employees’ retirement system or the New York
state teachers’ retirement system on or after January first, two thousand ten shall not be eligible for ser­
vice retirement benefits pursuant to this article until such member has rendered a minimum of ten years
of credited service. [Subdivision a separately amended L. 2009, ch. 504 in effect January 1, 2010.]
b. Except as provided in subdivision b-1 of this section, a member who previously was a member of a
public retirement system of this state shall not be eligible for service retirement benefits hereunder until such
member has rendered a minimum of five years of service which is credited pursuant to section six hundred
nine of this article. A member who first joins the New York state and local employees’ retirement system or
the New York state teachers’ retirement system on or after January first, two thousand ten shall not be eli­
gible for service retirement benefits pursuant to this article until such member has rendered a minimum of
ten years of credited service. [Subdivision b separately amended L. 2009, ch. 504 in effect January 1, 2010.]
[Subdivision b-1 omitted.]
c. Notwithstanding any other provision of this section, if a member attains mandatory retirement age,*
the minimum service requirements specified in this section shall be five years.
d. Upon the first day of the month after the attainment of mandatory retirement age,* a member shall
be separated from service whether or not eligible for service retirement hereunder; provided, however,
that this requirement shall not preclude a member from being continued in service beyond such manda­
tory retirement age pursuant to other applicable provisions of law and provided further, however, that this
requirement shall not preclude a school district from permitting a teacher to continue in service to the end
of the school year should a teacher attain age seventy within the period September first through June
thirtieth of such school year. [Amended L. 1998, ch. 389 in effect July 17, 1998.]
§ 603. Eligibility for service retirement benefits; age and service requirements. **a. The service
retirement benefit specified in section six hundred four of this article shall be payable to members who have
met the minimum service requirements upon retirement and attainment of age sixty-two, other than mem­
bers who are eligible for early service retirement pursuant to subdivision c of section six hundred four-b of
this article, subdivision c of section six hundred four-c of this article, subdivision d of section six hundred
four-d of this article, subdivision c of section six hundred four-e of this article, subdivision c of section six
hundred four-f of this article, subdivision c of section six hundred four-g of this article, subdivision c of
*Superseded by Article 14-A, Ret. & Soc. Sec. Law and Section 296, Executive Law enacted L. 1984, ch. 296 in effect
Jan. 1, 1985.
**Effective until ch. 682/2003 expires, which is only so long as, pursuant to federal law, contributions picked up under
this section are not includable as gross income of a member for federal income purposes until distributed or made
available to the member.
108
R. & S.S. § 603
section six hundred four-h of this article or subdivision c of section six hundred four-i of this article, pro­
vided, however, a member of a teachers’ retirement system or the New York state and local employees’
retirement system who first joins such system before January first, two thousand ten or a member who is a
uniformed court officer or peace officer employed by the unified court system who first becomes a member
of the New York state and local employees’ retirement system before April first, two thousand twelve may
retire without reduction of his or her retirement benefit upon attainment of at least fifty-five years of age and
completion of thirty or more years of service, provided, however, that a uniformed court officer or peace
officer employed by the unified court system who first becomes a member of the New York state and local
employees’ retirement system on or after January first, two thousand ten and retires without reduction of
his or her retirement benefit upon attainment of at least fifty-five years of age and completion of thirty or
more years of service pursuant to this section shall be required to make the member contributions required
by subdivision f of section six hundred thirteen of this article for all years of credited and creditable service,
provided further that the the* preceding provisions of this subdivision shall not apply to a New York city
revised plan member. [Amended L. 2008, ch. 19 in effect February 27, 2008; amended L. 2009, ch. 504 in
effect January 1, 2010; amended L. 2012, ch. 18 in effect April 1, 2012.]
**a. The service retirement benefit specified in section six hundred four of this article shall be payable
to members who have met the minimum service requirements upon retirement and attainment of age
sixty-two, other than members who are eligible for early service retirement pursuant to subdivision c of
section six hundred four-b of this article, subdivision c of section six hundred four-c of this article, sub­
division d of section six hundred four-d of this article, subdivision c of section six hundred four-e of this
article, subdivision c of section six hundred four-f of this article, subdivision c of section six hundred
four-g of this article, subdivision c of section six hundred four-h of this article or subdivision c of section
six hundred four-i of this article provided, however, a member who is a peace officer employed by the
unified court system or a member of a teachers’ retirement system or the New York state and local
employees’ retirement system may retire without reduction of his or her retirement benefit upon attain­
ment of at least fifty-five years of age and completion of thirty or more years of service.
a-1.For members who first become a member of a public retirement system of the state on or after April
first, two thousand twelve, the service retirement benefit specified in section six hundred four of this
article shall be payable to members who have met the minimum service requirements upon retirement
and have attained age sixty-three. [Added L. 2012, ch. 18 in effect April 1, 2012.]
[Subdivisions b through h omitted.]
i. 1. A member of a teachers’ retirement system or the New York state and local employees’ retirement
system who has met the minimum service requirements but who has less than thirty years of credited service
or a member who first joins the New York state and local employees’ retirement system or the New York state
teachers’ retirement system on or after January first, two thousand ten may retire prior to normal retirement
age, but no earlier than attainment of age fifty-five, in which event, unless such person is a member of the
New York city teachers’ retirement system who is otherwise eligible for early service retirement pursuant to
subdivision c of section six hundred four-i of this article, the amount of his or her retirement benefit otherwise
computed without optional modification shall be reduced in accordance with the following schedule:
(i) for each of the first twenty-four full months that retirement predates age sixty-two, one-half of one
per centum per month; provided, however, that for members who first join the New York state and local
employees’ retirement system or the New York state teachers’ retirement system on or after January first,
two thousand ten, such amounts shall be equal to one-fifteenth per year; and
(ii) for each full month that retirement predates age sixty, one-quarter of one per centum per month;
provided, however, that for members who first join the New York state and local employees’ retirement
system or the New York state teachers’ retirement system on or after January first, two thousand ten,
such amounts shall be equal to one-twentieth per year, but in no event shall retirement be permitted prior
to attainment of age fifty-five.
2. A member of the New York city employees’ retirement system or the board of education retirement
system of the city of New York who has met the minimum service requirement, but who is not (a) a participant
in the twenty-five-year early retirement program, as defined in paragraph ten of subdivision a of section six
*So in original. Should read “the preceding”.
**Effective when ch. 682/2003 expires.
109
R. & S.S. § 604
hundred four-c of this article (as added by chapter ninety-six of the laws of nineteen hundred ninety-five), or
(b) a participant in the age fifty-seven retirement program, as defined in paragraph three of subdivision b of
section six hundred four-d of this article, or (c) a New York city transit authority member, as defined in para­
graph one of subdivision a of section six hundred four-b of this article, may retire prior to normal retirement
age, but no earlier than attainment of age fifty-five, in which event, unless such person is a member of the
board of education retirement system of such city who is otherwise eligible for early service retirement pur­
suant to subdivision c of section six hundred four-i of this article, the amount of his or her retirement benefit
computed without optional modification shall be reduced in accordance with the following schedule:
(i) for each of the first twenty-four full months that retirement predates age sixty-two, one-half of one
per centum per month; and
(ii) for each full month that retirement predates age sixty, one-quarter of one per centum per month, but
in no event shall retirement be permitted prior to attainment of age fifty-five.
3. A member of a public retirement system of the state who has met the minimum service requirement,
but who is not a New York city transit authority member, as defined in paragraph one of subdivision a of
section six hundred four-b of this article, may retire prior to normal retirement age, but no earlier than
attainment of age fifty-five, in which event, the amount of his or her retirement benefit computed without
optional modification shall be reduced by six and one-half per centum for each year by which early retire­
ment precedes age sixty-three.
[Subdivision i added L. 1990, ch. 881 in effect July 25, 1990; L. 1994, ch. 537 in effect Sept. 24, 1994;
amended L. 2000, ch. 553 in effect October 31, 2000; amended L. 2008, ch. 19 in effect February 27, 2008;
amended L. 2009, ch. 504 in effect January 1, 2010; paragraph 3 added L. 2012, ch. 18 in effect April 1, 2012.]
[Subdivisions j through s omitted.]
t. Members who join the New York state teachers’ retirement system on or after January first, two thou­
sand ten, shall be eligible to retire without reduction of his or her retirement benefit upon attainment of at
least fifty-seven years of age and completion of thirty or more years of service. Members who retire pur­
suant to the provisions of this subdivision shall be required to make the member contributions required
by subdivision g of section six hundred thirteen of this article for all years of credited and creditable
service. The provisions of this subdivision shall not apply to members who first become a member of the
New York state teachers’ retirement system on or after April first, two thousand twelve. [Subdivision t
added L. 2009, ch. 504 in effect January 1, 2010; amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 604. Service retirement benefits. a. The service retirement benefit at normal retirement age for
a member with less than twenty years of credited service, or less than twenty-five years credited service
for a member who joins the New York state teachers’ retirement system on or after January first, two
thousand ten, shall be a retirement allowance equal to one-sixtieth of final average salary times years of
credited service. Normal retirement age for members who first become members of a public retirement
system of the state on or after April first, two thousand twelve shall be age sixty-three. [Amended L. 2012,
ch. 18 in effect April 1, 2012.]
b. The service retirement benefit at normal retirement age for a member with twenty years or more of cred­
ited service, or with twenty-five or more years credited service for a member who first joins the New York
state teachers’ retirement system on or after January first, two thousand ten, shall be a retirement allowance
equal to one-fiftieth of final average salary times years of credited service not in excess of thirty years.
Credited service in excess of thirty years shall provide an additional retirement allowance equal to
three-two hundredths of the final average salary for each year of credited service in excess of thirty years.
[Subdivision b amended L. 1998, ch. 266 in effect July 10, 1998; L. 2009, ch. 504 in effect January 1, 2010.]
b-1. Notwithstanding any other provision of law to the contrary, the service retirement benefit for mem­
bers with twenty or more years of credit service who first become a member of a public retirement system
of the state on or after April first, two thousand twelve at age sixty-three shall be a pension equal to the
sum of thirty-five per centum and one-fiftieth of final average salary for each year of service in excess of
twenty times final average salary times years of credited service. In no event shall any retirement benefit
payable without optional modification be less than the actuarially equivalent annuitized value of the mem­
ber’s contributions accumulated with interest at five percent per annum compounded annually to the date
of retirement. [Added L. 2012, ch. 18 in effect April 1, 2012.]
[Subdivisions c through s omitted.]
110
R. & S.S. § 604-a/604-b/604-c/604-d/604-e/604-f/604-g/604-h/604-i/605
§ 604-a. Twenty year retirement program for New York city sanitation members. (omitted)
§ 604-b. Twenty-five year and age fifty-five with optional twenty-year retirement program for
certain employees of the New York city transit authority. (omitted)
§ 604-c. *Supplemental retirement allowance. (omitted)
§ 604-c.
(omitted)
Optional twenty-five-year early retirement program for certain New York city members.
§ 604-c.
(omitted)
Twenty-year/age fifty retirement program for Triborough bridge and tunnel members.
§ 604-d. Age fifty-seven retirement program for certain New York city members. (omitted)
§ 604-e.
(omitted)
Optional twenty-five year improved benefit retirement program for dispatcher members.
§ 604-e.
(omitted)
Optional twenty-five year improved benefit retirement program for EMT members.
§ 604-f. Twenty-five year retirement program for deputy sheriff members. (omitted)
§ 604-g. Twenty-five year/age fifty retirement program for automotive members. (omitted)
§ 604-h. Twenty-five year retirement program for police communications members. (omitted)
§ 604-i. Age fifty-five retirement program for New York city teachers and certain other mem­
bers. (omitted)
§ 605. Disability retirement. a. Application for a disability retirement allowance for a member may
be made by:
1. Such member, or
2. The head of the department in which such member is employed.
b. At the time of the filing of an application pursuant to this section, the member must:
1. Have at least ten years of total service credit, and
2. The application must be filed either (a) by a vested member incapacitated as the result of a qualifying World
Trade Center condition as defined in section two of this chapter, at any time, or (b) within three months from the
last date the member was being paid on the payroll or, (c) in the case of a member who was placed on a leave
of absence for medical reasons without pay, either voluntarily or involuntarily, at the time he ceased being paid,
application may be made not later than twelve months after the date the employee receives notice that his
employment status has been terminated. In the case of a member of the New York state teachers’ retirement
system, the application must be filed not later than twelve months after the last date the member was being paid
on the payroll or, where the member was placed on leave of absence for medical reasons without pay, either
voluntarily or involuntarily at the time the member ceased being paid, not later than twelve months after the date
the member receives notice that the member’s employment status has been terminated.
3. Provided, however, if the retirement system determines that such member was physically or mentally inca­
pacitated for performance of gainful employment as the natural and proximate result of an accident not caused
by his own willful negligence sustained in the performance of his duties in active service while actually a member
of the retirement system the requirement that the member should have ten years of credited service shall be
inapplicable. [Par. 2 of sub 2 amended L. 1989, ch. 226 in effect June 26, 1989; L. 1998, ch. 330 in effect July
14, 1998; subdivision b amended by L. 2008, ch. 489 in effect August 5, 2008 retro to September 11, 2001.]
*Made permanent per §615. [L. 2009, ch. 504 in effect January 9, 2010.]
111
R. & S.S. § 605
c. If the retirement system determines that the member is physically or mentally incapacitated for the
performance of gainful employment, and that he was so incapacitated at the time he ceased his perfor­
mance of duties and ought to be retired for disability, he shall be so retired. Each retirement system shall
be entitled to adopt appropriate procedures for making the foregoing determination, including but not
limited to the conducting of medical examinations, if any, for the purpose of determining initial entitle­
ment of an applicant for disability retirement or to continued entitlement to a disability retirement allow­
ance. Such retirement shall be effective as of a date approved by the head of the retirement system.
d. Upon retirement for disability one of the following retirement allowances shall be payable:
1. If in the case of a member of a retirement system other than the New York city employees’ retirement
system, the New York city board of education retirement system or the New York city teachers’ retirement
system, if the member has attained age sixty when such retirement becomes effective, his retirement
allowance shall be equal to that which he would receive in the case of service retirement at normal retire­
ment age based on his credited service but in no event shall such retirement allowance exceed the
amount he would receive pursuant to paragraph two of this subdivision.
2. In the case of a member of a retirement system other than the New York city employees’ retirement
system, the New York city board of education retirement system or the New York city teachers’ retirement
system, if the member has not attained age sixty when such retirement becomes effective, his retirement
allowance shall consist of a retirement allowance which shall equal one-sixtieth of his final average salary
multiplied by the number of years of his credited service, which formula shall be used only if the retire­
ment allowance so computed exceeds one-third of his final average salary. If the retirement allowance so
computed shall amount to one-third or less of the members’ final average salary, his retirement allowance
shall be computed upon the basis of the total service which he would have rendered if he continued in
service until he attained age sixty provided that the resulting retirement allowance computed by resort to
this formula shall not exceed one-third of the member’s final average salary.
3. In the case of a member of the New York city employees’ retirement system, the New York city board
of education retirement system or the New York city teachers’ retirement system, his retirement allow­
ance shall be equal to the greater of:
(i) one-third of his final average salary; or
(ii) one-sixtieth of his final average salary multiplied by the number of years of his credited service;
provided, however, that where such member is otherwise eligible to retire for service, and the retirement
allowance he would receive in the case of service retirement is larger than the retirement allowance he
would otherwise receive under this subparagraph or subparagraph (i) of this paragraph, his disability
retirement allowance pursuant to this paragraph shall be equal to the retirement allowance he would
receive if he had retired for service. [Subdivision d amended L. 1997, ch. 601 in effect Sept. 17, 1997.]
4. Notwithstanding the provisions of this subdivision, the minimum benefit payable to a member of the
New York state and local employees’ retirement system who has been determined to be physically or
mentally incapacitated for performance of gainful employment as the natural and proximate result of an
accident not caused by willful negligence sustained in the performance of duties in active service while
actually a member of the retirement system shall be a pension of one-third of such member’s final aver­
age salary. [Paragraph 4 added L. 2010, ch. 513 in effect September 17, 2010 and deemed to have been
in full force and effect on and after October 16, 1992. See Chapter effective date.]
e. The board of trustees of the New York City employees’ retirement system may, consistent with the
provisions of this section, adopt rules and regulations establishing a procedure for the medical review of
determinations made by such retirement system on applications for disability retirement filed pursuant to
this section. Any medical review procedure adopted pursuant to this subdivision shall be substantially simi­
lar to the medical review procedure provided in section 13-169 of the administrative code of the city of New
York, and shall provide that where a request for medical review is filed on behalf of an applicant for disability
retirement, such request for medical review shall be void and of no effect unless such applicant for disability
retirement, or a person acting on his or her behalf in accordance with such rules and regulations, executes
a waiver providing that he or she waives any and all rights which he or she might otherwise have to seek or
obtain any other disposition of such application for disability retirement by court or administrative proceed­
ings or otherwise. [Subdivision e added L. 1998, ch. 607 in effect September 30, 1998.]
f. If the retirement system determines that such member was physically or mentally incapacitated for
performance of gainful employment as the natural and proximate result of an accident not caused by his
112
R. & S.S. § 605
own willful negligence sustained in the performance of his duties in active service while actually a mem­
ber of the retirement system, and the member is a teacher not within the coverage of section three of the
workers’ compensation law or an employee in group twenty of subdivision one of such section, the retire­
ment allowance shall equal two-thirds of such member’s final average salary. [Subdivision f added L.
2002, ch. 215 in effect July 1, 2003.]
g. Any payments made to a member who the retirement system has determined was physically or men­
tally incapacitated for performance of gainful employment as the natural and proximate result of an acci­
dent not caused by his own willful negligence sustained in the performance of his duties in active service
while actually a member of the retirement system, and who is not eligible to receive workers’ compensa­
tion benefits by operation of group twenty or group twenty-two of section three of the workers’ compen­
sation law, shall be deemed to be a payment made in lieu of a workers’ compensation benefit. [Subdivision
g added L. 2003, ch. 660 in effect October 7, 2003.]
h. 1. (a) Notwithstanding any provisions of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if any condition or impairment of health is caused
by a qualifying World Trade Center condition as defined in section two of this chapter, it shall be pre­
sumptive evidence that it was incurred in the performance and discharge of duty and the natural and
proximate result of an accident not caused by such member’s own willful negligence, unless the contrary
be proved by competent evidence.
(b) The head of each retirement system is hereby authorized to promulgate rules and regulations to
implement the provisions of this paragraph.
2. (a)(1) Notwithstanding the provisions of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if a member who participated in World Trade Center
rescue, recovery or cleanup operations, as defined in section two of this chapter, and subsequently retired
on a service retirement, an ordinary disability retirement or a performance of duty disability retirement or a
state police disability retirement pursuant to section three hundred sixty-three-b of this title and subsequent
to such retirement is determined by the head of the retirement system to have a qualifying World Trade
Center condition, as defined in section two of this chapter, upon such determination by the head of the
retirement system it shall be presumed that such disability was incurred in the performance and discharge
of duty as the natural and proximate result of an accident not caused by such member’s own willful negli­
gence, and that the member would have been physically or mentally incapacitated for the performance and
discharge of duty of the position from which he or she retired had the condition been known and fully devel­
oped at the time of the member’s retirement, unless the contrary is proven by competent evidence.
(2) Notwithstanding the provisions of this chapter or of any general, special or local law, charter, admin­
istrative code or rule or regulation to the contrary, if a member who participated in World Trade Center
rescue, recovery or cleanup operations for a minimum of forty hours, and subsequently retired on a service
retirement, an ordinary disability retirement or a performance of duty disability retirement and subsequent
to such retirement incurred a disability caused by any qualifying condition or impairment of the health
which the applicable board of trustees determines, after a determination of disability by the applicable
medical board, to have been caused by such member’s having participated in World Trade Center rescue,
recovery or cleanup operations for a minimum of forty hours, upon such determination by the applicable
board of trustees, it shall be presumed that such disability was incurred in the performance and discharge
of duty as the natural and proximate result of an accident not caused by such member’s own willful negli­
gence, and that the member would have been physically or mentally incapacitated for the performance
and discharge of duty of the position from which he or she retired had the condition been known and fully
developed at the time of the member’s retirement, unless the contrary is proven by competent evidence.
(3) A member shall be eligible for the presumption provided for under this paragraph notwithstanding
the fact that the member did not participate in World Trade Center rescue, recovery or cleanup operations
for a minimum of forty hours, provided that: (i) the member participated in the rescue, recovery, or cleanup
operations at the World Trade Center site between September eleventh, two thousand one and September
twelfth, two thousand one; (ii) the member sustained a documented physical injury at the World Trade
Center site between September eleventh, two thousand one and September twelfth, two thousand one
that is a qualifying condition or impairment of health resulting in disability to the member that prevented
the member from continuing to participate in World Trade Center rescue, recovery or cleanup operations
for a minimum of forty hours; and (iii) the documented physical injury that resulted in a disability to the
113
R. & S.S. § 605
member that prevented the member from continuing to participate in World Trade Center rescue, recovery
or cleanup operations for a minimum of forty hours is the qualifying condition or impairment of health
which the member seeks to be eligible for the presumption provided for under this paragraph.
(b) The reclassification provided for in subparagraph (a) of this paragraph shall not be granted, unless:
(i) the member files a written and sworn statement with the member’s retirement system on a form
provided by such system indicating the dates and locations of employment within four years following the
effective date of chapter one hundred four of the laws of two thousand five; and
(ii) the member must have successfully passed a physical examination for entry into public service
which failed to disclose evidence of the qualifying condition or impairment of health that formed the basis
for the disability.
(c) The head of the retirement system shall consider a reclassification of the member’s retirement as an
accidental disability retirement effective as of the date of such reclassification.
(d) Such member’s retirement option shall not be changed as a result of such reclassification.
(e) The member’s former employer at the time of the member’s retirement shall have an opportunity to
be heard on the member’s application for reclassification by the head of the retirement system according
to procedures developed by the head of the retirement system.
(f) The head of the retirement system is hereby authorized to promulgate rules and regulations for their
respective retirement systems to implement the provisions of this paragraph. [Subdivision h added L.
2005, ch. 104 in effect on and after September 11, 2001; amended L. 2005, ch. 93 in effect on and after
September 11, 2001; amended by L. 2008, ch. 489 in effect August 5, 2008 retro to September 11, 2001.]
i. Notwithstanding any other provision of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if a retiree who: (1) has met the criteria of subdivi­
sion h of this section and retired on a service or disability retirement, or would have met the criteria if not
already retired on an accidental disability; and (2) has not been retired for more than twenty-five years;
and (3) dies from a qualifying World Trade Center condition, as defined in section two of this chapter, as
determined by the applicable head of the retirement system or applicable medical board, then unless the
contrary be proven by competent evidence, such retiree shall be deemed to have died as a natural and
proximate result of an accident sustained in the performance of duty and not as a result of willful negli­
gence on his or her part. Such retiree’s eligible beneficiary, as set forth in section six hundred one of this
article, shall be entitled to an accidental death benefit as provided by section six hundred seven of this
article, however, for the purposes of determining the salary base upon which the accidental death benefit
is calculated, the retiree shall be deemed to have died on the date of his or her retirement. Upon the
retiree’s death, the eligible beneficiary shall make a written application to the head of the retirement sys­
tem within the time for filing an application for an accidental death benefit as set forth in section six
hundred seven of this article requesting conversion of such retiree’s service or disability retirement ben­
efit to an accidental death benefit. At the time of such conversion, the eligible beneficiary shall relinquish
all rights to the prospective benefits payable under the service or disability retirement benefit, including
any post-retirement death benefits, since the retiree’s death. If the eligible beneficiary is not the only
beneficiary receiving or entitled to receive a benefit under the service or disability retirement benefit
(including, but not limited to, post-retirement death benefits or benefits paid or payable pursuant to the
retiree’s option selection), the accidental death benefit payments to the eligible beneficiary will be reduced
by any amounts paid or payable to any other beneficiary. [Subdivision i added L. 2006, ch. 445 in effect
on and after September 11, 2001; amended L. 2007, ch. 5 in effect on or after September 11, 2001;
amended by L. 2008, ch. 489 in effect August 5, 2008 retro to September 11, 2001.]
j. Notwithstanding any other provision of this chapter or of any general, special or local law, charter,
administrative code or rule or regulation to the contrary, if a member who: (1) has met the criteria of sub­
division h of this section; and (2) dies in active service from a qualifying World Trade Center condition, as
defined in section two of this chapter, as determined by the applicable head of the retirement system or
applicable medical board to have been caused by such member’s participation in the World Trade Center
rescue, recovery or cleanup operations, as defined in section two of this chapter, then unless the contrary
be proven by competent evidence, such member shall be deemed to have died as a natural and proximate
result of an accident sustained in the performance of duty and not as a result of willful negligence on his
or her part. Such member’s eligible beneficiary, as set forth in section six hundred one of this article, shall
be entitled to an accidental death benefit provided he or she makes written application to the head of the
114
R. & S.S. § 605-a/605-b/605-c/606
retirement system within the time for filing an application for an accidental death benefit as set forth in
section six hundred seven of this article. [Subdivision j added L. 2007, ch. 5 in effect on or after September
11, 2001; amended by L. 2008, ch. 489 in effect August 5, 2008 retro to September 11, 2001.]
§ 605-a. Accidental disability retirement for uniformed court officers employed in the Unified
Court system. (omitted)
§ 605-b.
(omitted)
Accidental disability retirement for New York city uniformed sanitation members.
§ 605-c.
(omitted)
Accidental disability retirement for deputy sheriffs employed by the city of New York.
§ 606. Death benefits. a. A member of a retirement system who is subject to the provisions of this
article, exclusive of those members for whom provision is made pursuant to subdivision b of this section,
shall, at the time of first becoming a member thereof, make an election, which shall be irrevocable, for
coverage for financial protection in the event of death in service, between the two following benefits:
1. A benefit upon the death of a member in service equal to one month’s salary for each full year of
service up to a maximum of three years salary upon the completion of thirty-six full years of service, or in
the event that a member is eligible to retire without benefit reduction pursuant to section six hundred
three of this article, a benefit equal to the pension reserve, if any, which would have been payable to such
member had he entered prior to the effective date of this article and died in service; or
2. A benefit upon the death of a member in service equal to the member’s salary upon his or her comple­
tion of one year of service, two years’ salary upon completion of two years of service, and three years’ salary
upon completion of three years of service. In the case of a member of a retirement system other than the
New York state teachers’ retirement system, the New York city employees’ retirement system, the New York
city board of education retirement system, the New York city teachers’ retirement system or the New York
state and local employees’ retirement system, such benefit shall be subject to the following limitations:
(a) If the member last joined the retirement system prior to attainment of age fifty-two, the maximum
benefit shall be three years’ salary;
(b) If the member was age fifty-two when he or she last joined the retirement system, the maximum
benefit shall be two and one-half times annual salary;
(c) If the member was age fifty-three when he or she last joined the retirement system, the maximum
benefit shall be two years’ salary;
(d) If the member was age fifty-four when he or she last joined the retirement system, the maximum
benefit shall be one and one-half times annual salary;
(e) If the member was age fifty-five or older but under age sixty-five when he or she last joined the
retirement system, the maximum benefit shall be one year’s salary; and
(f) If the member was age sixty-five or older when he or she last joined the retirement system, the maxi­
mum benefit shall be one thousand dollars.
In the case of a member of a retirement system other than the New York state teachers’ retirement
system, the New York city employees’ retirement system, the New York city board of education retirement
system, the New York city teachers’ retirement system or the New York state and local employees’ retire­
ment system, commencing upon attainment of age sixty-one, the benefit otherwise provided pursuant to
this paragraph shall be reduced while the member is in service to ninety per centum of the benefit other­
wise payable and each year thereafter the benefit payable shall be reduced by an amount equal to ten per
centum per year of the original benefit otherwise payable, but not below ten per centum of the original
benefit otherwise payable.
In the case of a member of the New York state teachers’ retirement system, commencing upon attain­
ment of age sixty-one, the benefit otherwise provided pursuant to this paragraph shall be reduced while the
member is in service to ninety-six per centum of the benefit otherwise payable, and each year thereafter the
benefit payable shall be reduced by an amount equal to four per centum per year of the original benefit
otherwise payable, but not below sixty per centum of the original benefit otherwise payable. In the case
of a member of the New York city employees’ retirement system, the New York city board of education
115
R. & S.S. § 606
retirement system or the New York city teachers’ retirement system, commencing upon attainment of age
sixty-one, the benefit otherwise provided pursuant to this paragraph shall be reduced while the member is
in service to ninety-five per centum of the benefit otherwise payable and each year thereafter the benefit
payable shall be reduced by an amount equal to five per centum per year of the original benefit otherwise
payable, but not below fifty per centum of the original benefit otherwise payable. In the case of any member
of the New York state and local employees’ retirement system who is permitted to retire without regard to
age, commencing upon attainment of age sixty-one, the benefit otherwise provided pursuant to this para­
graph shall be reduced while the member is in service to ninety-seven per centum of the benefit otherwise
payable, and each year thereafter the benefit payable shall be reduced by an amount equal to three per
centum per year of the original benefit otherwise payable, but not below seventy per centum of the original
benefit otherwise payable. In the case of any other member of the New York state and local employees’
retirement system, commencing upon attainment of age sixty-one, the benefit otherwise provided pursuant
to this paragraph shall be reduced while the member is in service to ninety-six per centum of the benefit
otherwise payable, and each year thereafter the benefit payable shall be reduced by an amount equal to
four per centum per year of the original benefit otherwise payable, but not below sixty per centum of the
original benefit otherwise payable. Upon retirement, from any retirement system, the benefit in force shall
be reduced by fifty per centum; upon completion of the first year of retirement, the benefit in force at the
time of retirement shall be reduced by an additional twenty-five per centum, and upon commencement of
the third year of retirement, the benefit shall be ten per centum of the benefit in force at age sixty, if any, or
at the time of retirement if retirement preceded such age; provided, however, the benefit in retirement shall
not be reduced below ten per centum of the benefit in force at age sixty, if any, or at the time of retirement
if retirement preceded such age. Notwithstanding any other provision of this paragraph to the contrary, the
benefit for a retiree from the New York state and local employees’ retirement system shall not be reduced
below ten per centum of the benefit in force at the time of retirement. [Paragraph 2 amended L. 1997, ch.
601 in effect Sept. 17, 1997; amended L. 2005, ch. 559 in effect October 16, 1992; amended L. 2010, ch.
513 in effect September 17, 2010 and deemed to have been in full force and effect on and after October 16,
1992. See Chapter effective date.]
3. If a member dies in service without having made the election specified in this subdivision within
ninety days after first becoming a member, or within the period prescribed by the retirement system of
which he is a member if such period is less than ninety days, he shall be deemed to have made the elec­
tion specified in paragraph two.
4. Notwithstanding any provision of this article, a member of a retirement system subject to the provisions
of this article who last joined such system on or after January first, two thousand one who is not covered by
the death benefit calculation provided in subdivision b of this section shall, upon a qualifying death, be cov­
ered by the death benefit calculation provided pursuant to paragraph two of this subdivision and shall not be
entitled to elect between the death benefit calculations provided in paragraphs one and two of this subdivi­
sion. Any individual who last joined such system before January first, two thousand one who is not covered
by the death benefit calculation provided in subdivision b of this section shall be covered, upon a qualifying
death, by the death benefit calculation provided by paragraph two of this subdivision unless such individual
had timely elected death benefit coverage under the calculation provided by paragraph one of this subdivi­
sion and, upon such death, it is determined that the benefit, as calculated under such paragraph one would
be greater than as calculated under such paragraph two, in which case the benefit calculated under such
paragraph one shall be payable. [Paragraph 4 added L. 2000, ch. 554 in effect October 31, 2000.]
b. A member of a retirement system subject to the provisions of this article who is a policeman, fire­
man, correction officer or sanitation man and is in a plan which permits immediate retirement upon
completion of a specified period of service without regard to age or who is subject to the provisions of
subdivision b of section four hundred forty-five of this article, shall upon completion of ninety days of
service be covered for financial protection in the event of death in service pursuant to this subdivision.
Such death benefit shall be equal to three times the member’s salary raised to the next highest multiple
of one thousand dollars, but in no event shall it exceed three times the maximum salary specified in sec­
tion one hundred thirty of the civil service law or, in the case of a member of a retirement system other
than the New York city employees’ retirement system, the specific limitations specified for age of entrance
into service contained in subparagraphs (b), (c), (d), (e) and (f) of paragraph two of subdivision a of this
section. [Subdivision b amended L. 1997, ch. 601 in effect Sept. 17, 1997.]
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R. & S.S. § 606-a
c. For the purpose of this section, salary shall be the regular compensation earned during the mem­
ber’s last twelve months of service in full pay status as a member or, if he or she had not completed
twelve months of service prior to the date of death, but was subject to the provisions of subdivision b of
this section, the compensation he or she would have earned had he or she worked for the twelve months
prior to such date; provided, however, for the purpose of this section salary shall exclude any form of
termination pay (which shall include any compensation in anticipation of retirement), or any lump sum
payment for deferred compensation sick leave, or accumulated vacation credit or any other payment for
time not worked (other than compensation received while on sick leave or authorized leave of absence)
and in no event shall it exceed the maximum salary specified in section one hundred thirty of the civil
service law, as added by part B of chapter ten of the laws of two thousand eight, or the maximum salary
specified in section one hundred thirty of the civil service law, as hereafter amended, whichever is greater.
[Subdivision (c) amended L. 2013, ch. 520 in effect Dec. 18, 2013.]
d. The benefits provided pursuant to this section are in lieu of all other benefits provided by this or any
other state or local law exclusive of a benefit provided under the workmen’s compensation law, the civil
service law or group life insurance; provided, however, a beneficiary of a member eligible for a benefit as
the result of a service connected accident, may elect to receive such other benefit in lieu of the benefit
provided pursuant to this section.
e. For the purposes of this section:
1. A member who dies while off the payroll shall be considered to be in service provided he or she (a) was
on the payroll in such service and paid within a period of twelve months prior to his or her death, or was on
the payroll in the service upon which membership is based at the time he or she was ordered to active duty
pursuant to Title 10 of the United States Code, with the armed forces of the United States or to service in the
uniformed services pursuant to Chapter 43 of Title 38 of the United States Code and died while on such
active duty or service in the uniformed services on or after June fourteenth, two thousand five, (b) had not
been otherwise gainfully employed since he or she ceased to be on such payroll and (c) had credit for one
or more years of continuous service since he or she last entered or reentered the service of his or her
employer; notwithstanding any other provision of law to the contrary, a member of the New York city employ­
ees’ retirement system or the board of education retirement system of the city of New York shall be deemed
to have died on the payroll for the purposes of this section in the event that death occurs while such member
is on an authorized leave of absence without pay for medical reasons which has continuously been in effect
since the member was last paid on the payroll in such service, provided, however, that such member was on
the payroll in such service and paid within the four-year period prior to his or her death; and
2. The benefit payable shall be in addition to any payment made on account of a member’s accumu­
lated contributions.
3. Provided, further, that any such member ordered to active duty pursuant to Title 10 of the United
States Code, with the armed forces of the United States or to service in the uniformed services pursuant
to Chapter 43 of Title 38 of the United States Code who died prior to rendering the minimum amount of
service necessary to be eligible for this benefit shall be considered to have satisfied the minimum service
requirement. [Original section 606 repealed and a new section 606 added L. 1986, ch. 617 in effect July
26, 1986; amended L. 2001, ch. 290 in effect September 5, 2001; amended L. 2005, ch. 105 in effect June
14, 2005; as amended L. 2011, ch. 582 in effect September 23, 2011.]
§ 606-a. Death benefit for vested members who die prior to retirement. a. A death benefit plus
the reserve-for-increased-take-home-pay, if any, shall be payable upon the death of a member of a retire­
ment system who:
1. Died before the effective date of retirement while a member of such retirement system;
2. Had a least ten years of credited service at the time of death; and
3. Died at a time and in a manner which did not result in the eligibility of the member’s estate or any
beneficiary to receive any death benefits from such retirement system on account of such death.
b. Benefits provided under this section shall be payable to the member’s estate or the beneficiary or
beneficiaries nominated by the member on a designation of beneficiary form filed with the administrative
head of such retirement system.
c. The amount of the benefit payable pursuant to this section shall be equal to one-half of the amount
of the ordinary death benefit which would have been payable had the member’s death occurred on the
117
R. & S.S. § 607/607-a/607-b/607-c/607-d/608
last day of service upon which membership was based. [Section 606-a added L. 1998, ch. 388 in effect
on and after January 1, 1997.]
§ 607. Accidental death benefits. a. The eligible beneficiary of a member in service, or of a vested
member who dies as a result of a qualifying World Trade Center condition as defined in section two of this
chapter, shall be entitled to an accidental death benefit in the form of a pension equal to fifty percent of
such member’s wages earned during his or her last year of actual service or his or her annual wage rate
if he or she was credited with less than one year of service since last becoming a member, if, upon appli­
cation filed within sixty days after the death of the member, the head of the retirement system determines
that such member died before the effective date of retirement, as the natural and proximate result of an
accident not caused by his or her own willful negligence sustained in the performance of his or her duties
in active service and while actually a member of the retirement system.
Notwithstanding the provisions of section two hundred forty-two, two hundred forty-three or two hundred
forty-four of the military law or the provisions of any other law to the contrary and solely for the purpose of
determining eligibility for an accidental death benefit, a member shall be considered to have died as the
natural and proximate result of an accident sustained in the performance of duty provided such member was
on the payroll in the service upon which membership is based at the time he or she was ordered to active
duty pursuant to Title 10 of the United States Code, with the armed forces of the United States or to service
in the uniformed services pursuant to Chapter 43 of Title 38 of the United States Code and died while on
such active duty or service in the uniformed services on or after June fourteenth, two thousand five.
Provided, however, the head of the retirement system in its sole discretion may accept an application
for an accidental death benefit after the expiration of the sixty day filing period, where, but only where,
an ordinary death benefit has not been previously paid. [Amended L. 2005, ch. 105 in effect June 14,
2005; amended L. 2008, ch.489 in effect August 5, 2008, retro to Sept. 11, 2001; subdivision a amended
L. 2011, ch. 582 in effect September 23, 2011.]
b. If an eligible beneficiary receiving the accidental death benefit hereunder becomes ineligible to con­
tinue to receive such benefit, the benefit shall be continued for all other members of the eligible class of
beneficiaries and, if none, to each successive class, if any, during their eligibility therefore.
c. If the aggregate benefits under the provisions of this section have not exceeded the amount of the
ordinary lump sum death benefit because of the absence of eligible beneficiaries or because those ben­
eficiaries formerly eligible are no longer eligible for payments pursuant to section six hundred one of this
article, then the difference between the amounts, if any, paid under this section and the amount of the
ordinary lump sum death benefit shall be paid to:
1. The last eligible beneficiary or beneficiaries, if surviving, who were receiving pension payments here­
under or, if none,
2. The distributees of the member, if there were no eligible beneficiaries at the member’ s death, or the
persons who would be distributees of the member had he or she died intestate on the date that the last
eligible beneficiary died or became ineligible. [Amended L. 2005, ch. 105 in effect June 14, 2005; amended
L. 2008, ch.489 in effect August 5, 2008, retro to Sept. 11, 2001.]
§ 607-a. Performance of duty disability retirement. (omitted)
§ 607-b. Performance of duty disability retirement. (omitted)
§ 607-c. Performance of duty disability. (omitted)
§ 607-d. Disability benefits. (omitted)
§ 608. Final average salary. a. For members who first become members of a public retirement
system of the state before April first, two thousand twelve, a member’s final average salary shall be the
average wages earned by such a member during any three consecutive years which provide the highest
average wage; provided, however, if the wages earned during any year included in the period used to
determine final average salary exceeds that of the average of the previous two years by more than ten
percent, the amount in excess of ten percent shall be excluded from the computation of final average
118
R. & S.S. § 608
salary. For members who first become members of the New York state and local employees’ retirement
system or the New York state teachers’ retirement system on or after April first, two thousand twelve, a
member’s final average salary shall be the average wages earned by such member during any five con­
secutive years which provide the highest average wage; provided, however, if the wages earned during
any year included in the period used to determine final average salary exceeds that of the average of the
previous four years by more than ten percent, the amount in excess of ten percent shall be excluded from
the computation of final average salary. Where the period used to determine final average salary is the
period which immediately precedes the date of retirement, any month or months (not in excess of twelve)
which would otherwise be included in computing final average salary but during which the member was
on authorized leave of absence at partial pay or without pay shall be excluded from the computation of
final average salary and the month or an equal number of months immediately preceding such period
shall be substituted in lieu thereof. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
b. Notwithstanding the provisions of subdivision a of this section, with respect to members who first
became members of the New York state and local employees’ retirement system and the New York city
teachers’ retirement system before April first, two thousand twelve, a member’s final average salary shall
be equal to one-third of the highest total wages earned by such member during any continuous period of
employment for which the member was credited with three years of service credit; provided, however, if
the wages earned during any year of credited service included in the period used to determine final aver­
age salary exceeds the average of the wages of the previous two years of credited service by more than
ten percent, the amount in excess of ten percent shall be excluded from the computation of final average
salary. With respect to members who first become members of the New York state and local employees’
retirement system and the New York city teachers’ retirement system on or after April first, two thousand
twelve, a member’s final average salary shall be equal to one-fifth of the highest total wages earned by
such member during any continuous period of employment for which the member was credited with five
years of service credit; provided, however, if the wages earned during any year of credited service included
in the period used to determine final average salary exceeds the average of the wages of the previous
four years of credited service by more than ten percent, the amount in excess of ten percent shall be
excluded from the computation of final average salary. [Subdivision b. added L. 1986, ch. 379 in effect
July 21, 1986; amended L. 2010, ch. 286 in effect immediately and deemed to have been in full force and
effect on and after September 1, 1983; amended L. 2012, ch. 18 in effect April 1, 2012.]
c. Notwithstanding the provisions of subdivisions a and b of this section, the final average salary of an
employee who has been a member of the New York city employees retirement system or the New York city
teachers’ retirement system for less than one year shall be the projected one year salary, with the calculation
based upon a twelve month projection of the sums earned in the portion of the year worked. If a member has
been employed for more than one year but less than two years, then the member’s final average salary shall
be the average of the first year and projected second year earnings based upon the calculation above, and
if more than two years, but less than three years, then one-third the total of the first two years of employment
plus the projected third year’s earnings, calculated as indicated above, provided that this subdivision shall
not apply to a New York city revised plan member of the New York city employees’ retirement system or a
New York city revised plan member of the New York city teachers’ retirement system. [Subdivision c added
L. 1990, ch. 663 in effect July 22, 1990; amended L. 2010, ch. 286 in effect immediately and deemed to have
been in full force and effect on and after September 1, 1983; amended L. 2012, ch. 18 in effect April 1, 2012.]
d. Subject to the provisions of subdivision c of this section, and notwithstanding the provisions of sub­
division a of this section, with respect to members of the New York city employees retirement system and
the New York city board of education retirement system who are subject to the provisions of this article,
a member’s final average salary shall be determined pursuant to the provisions of paragraph fourteen of
subdivision e of section 13-638.4 of the administrative code of the city of New York, provided, however,
that the applicable provisions and limitations of the term “wages”, as defined in subdivision l of section
six hundred one of this article, shall apply to such determinations of final average salary. [Subdivision d
added L. 1992, ch. 749 in effect July 31, 1992; amended L. 2012, ch. 18 in effect April 1, 2012.]
e. With respect to a member covered by the provisions of section six hundred five-c of this article, final aver­
age compensation shall be the average wages earned by such a member during any five consecutive years
which provide the highest average wage; provided, however, if the wages earned during any year included in
the period used to determine final average compensation exceeds that of the average of the previous two years
119
R. & S.S. § 609
by more than ten percent, the amount in excess of ten percent shall be excluded from the computation of final
average compensation. [Subdivision e added L. 2003, ch. 516 in effect September 17, 2003.]
§ 609. Credit for service. a. Part-time service.
1. A member who works less than full time, which for the purposes of this section shall mean less than thirty
hours a week, shall receive retirement credit for such service in accordance with the following provisions:
(i) a member employed on an hourly basis who works for five hundred or more hours a year and who is
on the payroll for a minimum of five months in the year shall receive credit on a prorated basis, but in no
event shall less than six hours constitute a full day’s retirement credit;
(ii) a member employed on a per diem basis who works at least sixty days in a year and who is on the
payroll for a minimum of five months in the year shall receive retirement credit on a day-for-day basis, but
in no event shall less than six hours constitute a full day’s retirement credit;
(iii) if the annual salary of a member paid on a basis other than per diem or per hour would be less than
the product of the state’s minimum wage during such period and two thousand hours, the presumption shall
be that such a member is a part-time employee and any retirement credit granted shall be prorated; pro­
vided, however, such a member shall not receive greater credit than a member working on a per diem basis.
2. Except for retirement credit for military service as specified in subdivision c of this section, a member
shall not receive retirement credit for any day that he is not on the payroll of the state, a political subdivision
thereof, or a participating employer. Notwithstanding any other provisions of this section, with respect to
members of the New York state employees retirement system, teachers as defined in section one hundred
thirty-six of the civil service law, employed full time for the school year, shall be deemed on the payroll of the
state, for twelve months in crediting retirement service credit for service rendered. For the purposes of this
paragraph the comptroller shall define school year by regulation. [Par. 2 of sub. a amended L. 1986, ch. 616
in effect July 26, 1986; amended L. 1990, ch. 778 in effect July 25, 1990 retroactive to June 30, 1983.]
2-a. Except for retirement credit for military service as specified in subdivision c of this section, a mem­
ber shall not receive retirement credit for any day that he is not on the payroll of the state, a political
subdivision thereof, or a participating employer. Notwithstanding any other provision of this section to the
contrary, with respect to members of the New York state and local employees’ retirement system, a mem­
ber who is employed by a community college as defined in section six thousand three hundred one of the
education law or who is employed by any unit of the state university of New York as defined in section
three hundred fifty of the education law, and who is in the classified service as that term is defined in
section forty of the civil service law, and who is employed for the full academic year, full academic year
shall mean the fall and spring semesters during which academic courses are offered, shall be deemed to
be on the payroll of such community college or state university for twelve months in crediting retirement
service credit for service rendered. [Paragraph 2-a added L. 1993, ch. 310 in effect July 21, 1993; amended
L. 2002, ch. 486 in effect June 30, 2002.]
2-b. Except for retirement credit for military service as specified in subdivision c of this section, a
member shall not receive retirement credit for any day that he is not on the payroll of the state, a political
subdivision thereof, or a participating employer. Notwithstanding any other provision of this section to the
contrary, a member of the New York state and local employees’ retirement system who is employed by a
community college as defined in section six thousand three hundred one of the education law or who is
employed by any unit of the state university of New York as defined in section three hundred fifty of the
education law, and who is in the unclassified service of the civil service as defined in subdivisions (h) and
(i) of section thirty-five of the civil service law, and who is employed for the full academic year, full aca­
demic year shall mean the fall and spring semesters during which academic courses are offered, shall be
deemed to be on the payroll of such community college or state university for twelve months in crediting
retirement service credit for service rendered. [Paragraph 2-a added L. 1993, ch. 311 in effect July 21,
1993; amended and renumbered L. 2002, ch. 486 in effect June 30, 2002.]
3. Notwithstanding any other provision of law, for the purposes of retirement service credit, retirement
contribution and final average salary of members of the New York state and local employees’ retirement
system, a member who has been granted service credit for a period of time for which he or she received
compensation or wages shall not lose such credit by virtue of the fact that the employer has subsequently
been reimbursed by a workers’ compensation carrier with respect to all or a portion of the compensation
or wages paid for such period. [Paragraph 3 added L. 1995, ch. 680 in effect August 9, 1995.]
120
R. & S.S. § 609
[Subdivision a as added by L. 1998, ch. 300 has been omitted.]
b. Previous service.
1. A member shall be eligible to obtain retirement credit hereunder for previous service with a public
employer if retirement credit had previously been granted for such service or if such service which would
have been creditable in one of the public retirement systems of the state, as defined in subdivision
twenty-three of section five hundred one of this chapter, at the time such service was rendered, if the
individual had been a member of such retirement system and the member has rendered a minimum of two
years of credited service after July first, nineteen hundred seventy-six or after last rejoining a public
retirement system, if later; provided, however, retirement credit may be granted for service which pre­
dates the date of entry into the retirement system if such service is otherwise creditable and the member
satisfied the minimum service requirements set forth in this subdivision and was rendered by an employee
of a public employer during which employment he was ineligible to join a public retirement system pro­
vided that such public employer was participating in a public retirement system of the state at the time
of such employment, or is so participating at the time that such credit for such previous service is being
sought. [Paragraph 1 amended L. 2000, ch. 552 in effect October 31, 2000.]
2. Previous service credit shall not be granted unless such member applies therefore and repays the
amount refunded by a public retirement system of the state for service rendered after July first, nineteen
hundred seventy-six together with interest through the date of repayment at the rate of five percent per
annum compounded annually and three percent of the wages earned for service prior to that date together
with interest from July first, nineteen hundred seventy-six through the date of payment at the rate of five
percent per annum compounded annually and three percent of the wages earned for service which pre­
dates the date of entry into the retirement system together with interest at the rate of five percent per
annum compounded annually from the date of such service until the date of payment. Anything in this
paragraph to the contrary notwithstanding, in order to obtain credit for previous service, members who
first join the New York state teachers’ retirement system on or after January first, two thousand ten shall
pay three and one-half percent of wages earned for service which predates the date of entry into the
retirement system together with interest at the rate of five percent per annum compounded annually from
the date of such service until the date of payment. Anything in this paragraph to the contrary notwith­
standing, in order to obtain credit for previous service, members who first join a public retirement system
of the state on or after April first, two thousand twelve shall pay six percent of wages earned for service
which predates the date of entry into the retirement system together with interest at the rate of five per­
cent per annum compounded annually from the date of such service until the date of payment. [Amended
L. 2009, ch. 504 in effect January 1, 2010; amended L. 2012, ch. 18 in effect April 1, 2012.]
b-1. Employer pick-up of contributions in respect of previous service or military service. Notwithstanding
any other provision of law, any member of the New York city teachers’ retirement system, the New York
state teachers’ retirement system, the New York city employees’ retirement system, the New York city board
of education retirement system, the New York state and local employees’ retirement system, the New York
state and local police and fire retirement system and the New York city fire department pension fund eligible
to purchase credit for previous service with a public employer pursuant to subdivision b of this section or
to purchase credit for military service pursuant to article twenty of this chapter, may elect to purchase any
or all of such service by executing a periodic payroll deduction agreement where and to the extent such
elections are permitted by the member’s retirement system by rule or regulation. Such agreement shall set
forth the amount of previous service or military service being purchased, the estimated total cost of such
service credit, and the number of payroll periods in which such periodic payments shall be made. Such
agreement shall be irrevocable, shall not be subject to amendment or modification in any manner, and shall
expire only upon completion of payroll deductions required therein. Notwithstanding the foregoing, any
member who has entered into such a payroll deduction agreement and who terminates employment prior
to completion of the payments required therein shall be credited with any service as to which such member
shall have paid the contributions required under the terms of such agreement. [Subdivision b-1 added L.
2004, ch. 691 in effect November 3, 2004; subdivision b-1 amended L. 2007, ch. 627.]
c. Creditable service. Other than previous service, a member shall only be eligible to obtain credit for
active service with a participating employer; provided, however, military service with the federal govern­
ment may be credited pursuant to section two hundred forty-three of the military law up to a maximum of
four years.
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R. & S.S. § 610
d. To facilitate administration of the provisions of this section the head of a retirement system may
make interpretations of the provisions of this section which are consistent with the intent of this section,
but such interpretations shall not take effect unless publicly promulgated. [Amended L. 1992, ch. 55 in
effect April 1, 1992.]
f. Notwithstanding any other provision of law, any member of the New York state and local employees’
retirement system who is subject to the provisions of this article and who is employed by a school district,
a board of cooperative educational services, a vocational education and extension board, an institution
for the instruction of the deaf and of the blind as enumerated in section four thousand two hundred one
of the education law, or a school district as enumerated in section one of chapter five hundred sixty-six
of the laws of nineteen hundred sixty-seven as amended to date, shall have their service credit for service
rendered on or after January first, nineteen hundred ninety determined by dividing the number of days
worked in a school year by one hundred eighty. For the purpose of this section a school year will begin
on July first and end the following June thirtieth. No more than one year of service may be credited during
any such fiscal year. Credit for service rendered before January first, nineteen hundred ninety shall be
determined in the same manner if a person eligible for such benefit shall file the appropriate application
with the state comptroller on or before August second, nineteen hundred ninety-six and, within five years
of filing such application, make payment for all costs necessary to finance the receipt of such service
credit. [Subdivision f added L. 1989, ch. 730 in effect July 24, 1989; L. 1995, ch. 405 in effect August 2,
1995; L. 1996, ch. 210 in effect June 25, 1996.]
g. The provisions of paragraph one of subdivision a of this section shall not apply to members of the
New York city employees retirement system or the New York city board of education retirement system
who are subject to the provisions of this article. The crediting of service for such members of such retire­
ment systems shall be governed by the applicable provisions of subdivision c of section 13-638.4 of the
administrative code of the city of New York, and other applicable provisions of such code and of the rules
and regulations of such board of education retirement system. [Subdivision g added L. 1992, ch. 749 in
effect July 31, 1992.]
h. Notwithstanding any other provision of law to the contrary, a New York city revised plan member
shall not receive service credit for any undocumented sick leave that may be credited toward terminal
leave. [Added L. 2012, ch. 18 in effect April 1, 2012.]
§ 610. Options. a. Until the effective date of retirement a member may elect to receive the actuarial
equivalent of the retirement allowance at the time of retirement, in the form of a smaller retirement allow­
ance payable to such member for life and one of the following optional settlements;
Option one. Upon the member’s death, a retirement allowance in an amount equal to that paid to the
member shall be paid for life to such person as he shall nominate by written designation duly acknowl­
edged and filed with the retirement system at the time of retirement.
Option two. Upon the member’s death, a retirement allowance of seventy-five percent or less (mea­
sured in increments of twenty-five percent) of the amount paid to such member shall be paid for life to
such person as he shall nominate by written designation duly acknowledged and filed with the retirement
system at the time of retirement.
Option three. A five-year certain option under which payment is made to the member for life but is guar­
anteed for a minimum of five years following retirement. Such payments shall continue to a person as he
shall nominate by written designation, duly acknowledged and filed with the retirement system, for the
unexpired balance of the five-year guaranteed period. If said beneficiary should predecease him, the com­
muted value of any installments due during the unexpired balance of the five-year guaranteed period shall
be paid in a single sum to a duly designated contingent beneficiary or if none exists to the legal represen­
tative of the member. Should a beneficiary who has commenced receipt of the payments die before the
said guaranteed minimum period, the commuted value of any installments due during the unexpired bal­
ance of the five-year guaranteed period shall be paid in a single sum to a duly designated contingent
beneficiary or if none exists, to the legal representative of said deceased primary beneficiary.
Option four. A ten-year certain option under which payment is made to the member for life but is guar­
anteed for a minimum of ten years following retirement. Such payments shall continue to a person as he
shall nominate by written designation, duly acknowledged and filed with the retirement system, for the
unexpired balance of the ten-year guaranteed period. If said beneficiary should predecease him, the
122
R. & S.S. § 610
commuted value of any installments due during the unexpired balance of the ten-year guaranteed period
shall be paid in a single sum to a duly designated contingent beneficiary or if none exists to the legal
representative of the member. Should a beneficiary who has commenced receipt of the payments die
before the said guaranteed minimum period, the commuted value of any installments due during the
unexpired balance of the ten-year guaranteed period shall be paid in a single sum to a duly designated
contingent beneficiary or if none exists to the legal representative of said deceased primary beneficiary.
Option five. Upon the member’s death, a retirement allowance in an amount equal to fifty percent or
one hundred percent of that paid to the member shall be paid for life to such person as he shall nominate
by written designation duly acknowledged and filed with the retirement system at the time of retirement.
Upon the death, prior to the death of the member, of said person so nominated, the member shall begin
receiving, in lieu of the allowance then payable, an allowance equal in amount to that which would have
been payable if no optional modification of the retirement allowance were in effect. [Subdivision a amended
L. 1992, ch. 592 in effect November 21, 1992.]
a-1. A member of the New York state teachers’ retirement system or the New York state and local
employees’ retirement system who retires pursuant to the provisions of this article, may elect, in lieu of
the options set forth in subdivision a of this section, the following optional settlement:
Alternative option. The actuarial equivalent of the member’s retirement allowance at the time of retire­
ment, in the form of a smaller retirement allowance payable to such member for life and some other ben­
efits or benefits paid either to the member or to such person or persons as he shall nominate, provided
such other benefit or benefits, together with such smaller allowance, shall be certified by the actuary of
such retirement system to be of equivalent actuarial value to his retirement allowance and shall be
approved by the head of such retirement system and provided further that nothing herein shall require
such retirement system to pay a benefit in violation of paragraph nine of subsection a of section four
hundred one of the internal revenue code of 1986, as amended, 26 U.S.C. S401(a)(9). [Subdivision a-1
added L. 1995, ch. 620 in effect August 8, 1995; amended L. 1996, ch. 106 in effect May 28, 1996.]
b. No option hereunder shall be permitted whereby the member would receive less than fifty percent
of the actuarial equivalent of the retirement allowance without optional modification during such mem­
ber’s life expectancy. Provided, however, the preceding sentence shall not apply if the surviving benefi­
ciary is the member’s spouse.
c. The mortality and interest rates used in determining options under this article shall be those in effect
for the public retirement system on the date of retirement.
d. Notwithstanding any other provision of this section, with respect to the New York state employees
retirement system:
1. The comptroller, for reasonable cause, shall have power to extend the time for the election of an
option, for a period or periods which shall expire not later than sixty days immediately after the effective
date of a member’s retirement; and
2. If the member is incompetent, his spouse or the committee of his property, or if he is a conservatee,
his spouse or the conservator of his property, may elect on the member’s behalf a retirement option as
provided for in subdivision a of this section. [Sub. d amended L. 1986, ch. 696 in effect July 30, 1986.]
e. Notwithstanding any other provision of this section, a member of the New York state teachers retire­
ment system at the time of retirement may elect an option until the first payment on account of any ben­
efit becomes normally due. [Subdivision e added L. of 1989, ch. 591 in effect Sept. 1, 1989.]
f. Notwithstanding any other provision of this article, an option selection previously filed by a member
or retired member subject to the provisions of this section may be changed no later than thirty days fol­
lowing the date of payability of his or her retirement allowance. A retired member who has been retired
for disability may change an option selection previously filed no later than (1) thirty days following the
date on which such member’s application for disability retirement was approved by the retirement board
or (2) thirty days following the date on which such retiree was retired for disability, whichever is later.
[Subdivision f added L. 2004, ch. 446 in effect September 14, 2004.]
f. Notwithstanding any other provision of this article, an option selection previously filed by a member
or retired member of the New York city teachers’ retirement system or the New York city board of educa­
tion retirement system subject to the provisions of this section may be changed no later than thirty days
following the date of payability of his or her retirement allowance. A retired member who has been retired
for disability may change an option selection previously filed no later than (1) thirty days following the
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R. & S.S. § 611/612/613
date on which such member’s application for disability retirement was approved by the retirement board
or (2) thirty days following the date on which such retiree was retired for disability, whichever date is later.
[Subdivision f added L. 2004, ch. 651 in effect October 26, 2004.]
§ 611. Optional retirement program. a. Any optional retirement program authorized by state law
which, on the day before the effective date of this article, would be available to an eligible employee sub­
ject to the provisions of article eleven of this chapter in lieu of joining a public retirement system of the
state, will continue to be available to eligible employees subject to this article during the period this
article is in effect.
c. Nothing herein contained shall be construed as permitting an employee who previously elected cov­
erage under an optional retirement program to elect coverage under a public retirement system of the
state. [Paragraph b repealed L. 1992, ch. 504 in effect April 1, 1993.]
§ 612. Vesting. a. Except as provided in subdivision a-1 of this section, a member who has five or
more years of credited service, or ten or more years of credited service for a member who first joined the
New York state and local employees’ retirement system or the New York state teachers’ retirement sys­
tem on or after January first, two thousand ten,upon termination of employment, other than a member
who is entitled to a deferred vested benefit pursuant to any other provision of this article, shall be entitled
to a deferred vested benefit at normal retirement age computed in accordance with the provisions of sec­
tion six hundred four of this article. Except as provided in subdivision a-1 of this section, a member of a
teachers’ retirement system or the New York state and local employees’ retirement system who has five
or more years of credited service, or ten or more years of credited service for a member who first becomes
a member of the New York state and local employees’ retirement system or the New York state teachers’
retirement system on or after January first, two thousand ten, upon termination of employment shall be
entitled to a deferred vested benefit prior to normal retirement age, but no earlier than age fifty-five, com­
puted in accordance with the provisions of subdivision i of section six hundred three of this article as
amended by section eight of part B of chapter five hundred four of the laws of two thousand nine. Any­
thing to the contrary notwithstanding, a member of a public retirement system of the state who first
became a member of such system on or after April first, two thousand twelve must have at least ten years
of credited service in order to qualify for a deferred vested benefit under this section; such member shall
not be entitled to such benefit prior to the member’s attainment of age sixty-three; and such deferred
vested benefit shall be computed pursuant to subdivision b-1 of section six hundred four of this article.
[Separately amended L. 2009, ch. 504 in effect January 1, 2010; amended L. 2012, ch. 18 in effect April
1, 2012.]
[Subdivision a-1 added by L. 2009, ch. 504; amended L. 2012, ch. 18, omitted.]
b. In no event shall the vested retirement allowance payable without optional modification be less than
the actuarial equivalent of the total which results from the member’s contributions accumulated with
interest at five percent per annum compounded annually to the date of retirement.
§ 613. Member contributions. a. 1. Except as provided by paragraph two of this subdivision, mem­
bers shall contribute three percent of annual wages to the retirement system in which they have member­
ship, except that beginning April first, two thousand thirteen for members who first become members of a
public retirement system of the state on or after April first, two thousand twelve, the rate at which each
such member shall contribute in any current plan year (April first to March thirty-first, except for members
of the New York city employees’ retirement system, New York city teachers’ retirement system and New
York city board of education retirement system, plan year shall mean January first through December
thirty-first commencing with the January first next succeeding the effective date of the chapter of the laws
of two thousand fifteen that amended this paragraph) shall be determined by reference to the wages of
such member in the second plan year (April first to March thirty-first, except for members of the New York
city employees’ retirement system, New York city teachers’ retirement system and New York city board of
education retirement system, plan year shall mean January first through December thirty-first commencing
with the January first next succeeding the effective date of the chapter of the laws of two thousand fifteen
that amended this paragraph) preceding such current plan year as follows:
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R. & S.S. § 613
(i) members with wages of forty-five thousand dollars per annum or less shall contribute three per cen­
tum of annual wages;
(ii) members with wages greater than forty-five thousand per annum, but not more than fifty-five thou­
sand per annum shall contribute three and one-half per centum of annual wages;
(iii) members with wages greater than fifty-five thousand per annum, but not more than seventy-five
thousand per annum shall contribute four and one-half per centum of annual wages;
(iv) members with wages greater than seventy-five thousand per annum but not more than one hundred
thousand per annum shall contribute five and three-quarters per centum of annual wages; and
(v) members with wages greater than one hundred thousand per annum shall contribute six per centum
of annual wages.
Notwithstanding the foregoing, during each of the first three plan years (April first to March thirty-first,
except for members of the New York city employees’ retirement system, New York city teachers’ retire­
ment system and New York city board of education retirement system, plan year shall mean January first
through December thirty-first commencing with the January first next succeeding the effective date of the
chapter of the laws of two thousand fifteen that amended this paragraph) in which such member has
established membership in a public retirement system of the state, such member shall contribute a per­
centage of annual wages in accordance with the preceding schedule based upon a projection of annual
wages provided by the employer.
The head of each retirement system shall promulgate such regulations as may be necessary and
appropriate with respect to the deduction of such contribution from members’ wages and for the mainte­
nance of any special fund or funds with respect to amounts so contributed. [Amended L. 2000, ch. 10 in
effect March 4, 2000; amended L. 2012, ch. 18 in effect April 1, 2012; amended L. 2015, ch. 510, in effect
November 20, 2015.]
2. A member of the New York city employees’ retirement system who is eligible to be a participant in
the twenty-five-year and age fifty-five retirement program, as defined by paragraph five of subdivision a
of section six hundred four-b of this article shall contribute two percent of annual wages to such system
effective on the starting date of the elimination of additional member contributions, as defined in an elec­
tion made pursuant to paragraph ten of subdivision e of section six hundred four-b of this article, except
that beginning April first, two thousand thirteen for members who first become members of the New York
city employees’ retirement system on or after April first, two thousand twelve, the rate at which each such
member shall contribute in any current plan year (April first to March thirty-first, provided, however, that
plan year shall mean January first through December thirty-first commencing with the January first next
succeeding the effective date of the chapter of the laws of two thousand fifteen that amended this para­
graph) shall be determined by reference to the wages of such member in the second plan year (April first
to March thirty-first, provided, however, that plan year shall mean January first through December thirtyfirst commencing with the January first next succeeding the effective date of the chapter of the laws of
two thousand fifteen that amended this paragraph) preceding such current plan year as follows:
(i) members with wages of forty-five thousand dollars per annum or less shall contribute three per cen­
tum of annual wages;
(ii) members with wages greater than forty-five thousand per annum, but not more than fifty-five thou­
sand per annum shall contribute three and one-half per centum of annual wages;
(iii) members with wages greater than fifty-five thousand per annum, but not more than seventy-five
thousand per annum shall contribute four and one-half per centum of annual wages;
(iv) members with wages greater than seventy-five thousand per annum but not more than one hundred
thousand per annum shall contribute five and three-quarters per centum of annual wages; and
(v) members with wages greater than one hundred thousand per annum shall contribute six per centum
of annual wages.
Notwithstanding the foregoing, during each of the first three plan years (April first to March thirty-first,
provided, however, that plan year shall mean January first through December thirty-first commencing with
the January first next succeeding the effective date of the chapter of the laws of two thousand fifteen that
amended this paragraph) in which such member has established membership in the New York city employ­
ees’ retirement system, such member shall contribute a percentage of annual wages in accordance with
the preceding schedule based upon a projection of annual wages provided by the employer. [Paragraph
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R. & S.S. § 613
2 added L. 2000, ch. 10 in effect March 4, 2000; amended L. 2012, ch. 18 in effect April 1, 2012; amended
L. 2015, ch. 510, in effect November 20, 2015.]
b. Notwithstanding any other provision of law, except as provided in section six hundred thirteen-a of
this article, except as provided in section six hundred thirteen-b of this article, a member shall not be
permitted to borrow any portion of the contributions which are subject to this section. [Amended L. 1990,
ch. 919 in effect July 30, 1990; L. 1990, ch. 920 in effect July 30, 1990.]
c. Notwithstanding any other provision of law to the contrary, a person whose membership in a public
retirement system has terminated other than as a result of transfer, retirement or death, or a member of a
public retirement system who is not vested and not entitled to any other benefit from such system under
this article, and who no longer is employed by a participating employer of such public retirement system
in a position upon which his or her membership is based, may withdraw his or her member contributions
by filing a written demand for withdrawal of contributions and membership pursuant to rules and regula­
tions promulgated by the public retirement system of which he or she is a member. Upon the death of a
person whose membership previously terminated due to lack of credited service and who did not with­
draw his or her member contributions, or upon the death of a member, provided a death benefit pursuant
to section six hundred seven of this article is not paid, the member contributions of such person shall be
refunded to such person as he or she shall have nominated to receive a death benefit by written designa­
tion duly executed and filed with the public retirement system or, in the absence of such designation, to
his or her estate. For purposes of such refunds, interest shall be credited at the rate of five percent per
annum compounded annually to the date of termination of membership. Provided, however, if a death
benefit is paid pursuant to section six hundred seven of this article, such benefit shall be in lieu of the
refund of such contributions pursuant to this subdivision, however, in no event shall such death benefit
be less than the amount payable pursuant to this subdivision. Notwithstanding the above, or any other
provision of law to the contrary, a member may, upon separation from service of the state or a participat­
ing employers, withdraw his or her member contributions pursuant to the applicable provision of law until
such date as such individual has accrued ten years of credited service in such system. However, the
withdrawal of contributions pursuant to this section by an individual who has accrued at least five years
of creditable service shall terminate his or her membership and all rights in such retirement system in the
same manner as withdrawal of contributions would terminate the membership of an individual who has
not attained vested status. Nothing in this section shall be construed as permitting an individual who has
accrued at least ten years of credit in a retirement system to withdraw member contributions. [Subdivi­
sion c amended L. of 1989, ch. 470 in effect July 1, 1990; L. 1998, ch. 389 in effect July 17, 1998.]
d. 1. Notwithstanding any other provision of law, each participating employer shall pick up the member
contributions required on and after the effective date of this subdivision to be made under this section by
its employees, or required to be made for the purchase of credit for previous service or military service
by its employees pursuant to an irrevocable payroll deduction agreement under subdivision b-1 of sec­
tion six hundred nine of this article, and shall do so by reducing the salary of each of its employees to
which this section, or subdivision b-1 of section six hundred nine of this article, is applicable by that
amount which each such employee is required to contribute under this section, or subdivision b-1 of sec­
tion six hundred nine of this article. The contributions so picked up shall be paid by each participating
employer in lieu of the member contributions to be paid by its employees under this section, or subdivi­
sion b-1 of section six hundred nine of this article, and shall be treated as employer contributions in
determining income tax treatment under section 414(h) of the Internal Revenue Code. [Amended L. 2004,
ch. 691 in effect November 3, 2004; paragraph 1 subdivision d amended L. 2007, ch. 627.]
2. Each participating employer of any employee (subject to this article) who, in lieu of joining a public
retirement system of the state, elected an optional retirement program to which their employers are
thereby required to contribute, shall pick up the employee contributions thereto which would otherwise
be mandatory under the provisions of state law and shall do so by reducing the salary of such employee
by the amount of employee contributions to such optional retirement program which would otherwise be
mandatory under the provisions of state law. The contributions so picked up shall be paid by each partici­
pating employer in lieu of the member contributions to be paid by its employees and shall be treated as
employer contributions in determining income tax treatment under section 414 (h) of the internal revenue
code. [Amended L. 1990, ch. 746 (This act shall take effect 45 days after it shall become law; provided
however, that in no event shall this act take effect for employees belonging to an optional retirement
126
R. & S.S. § 613-a
program to which their employer contributes earlier than 45 days after the internal revenue service issues
a ruling covering such employees that the employee contributions picked up under this act are not includ­
able in the gross income of the employee until distributed or made available to the employee.) in effect
July 22, 1990.]
3. With the exception of federal income tax treatment, the employee contributions picked up or paid
pursuant to paragraph one or two of this subdivision and the additional member contributions picked up
pursuant to paragraph five of this subdivision shall for all other purposes, including computation of retire­
ment benefits and contributions by employers and employees, be deemed employee salary. Nothing
contained in this subdivision shall be construed as superseding the provisions of section four hundred
thirty-one of this chapter or any similar provision of law which limits the salary base for computing retire­
ment benefits payable by a public retirement system. [Amended L. 1995, ch. 96 in effect June 28, 1995.]
[Paragraphs 4 through 11 omitted.]
e. Interest shall accrue from the date of death until the date of payment on accumulated member con­
tributions refunded pursuant to this section upon the death of a member, where no death benefit is pay­
able on account of such death. Interest shall accrue at the rate provided in subdivision one of section
three-a of the general municipal law. [Subdivision e added L. 1991, ch. 453 in effect July 19, 1991.]
[Subdivision f omitted.]
g. Members who first join the New York state teachers’ retirement system on or after January first, two
thousand ten shall contribute three and one-half percent of annual wages to the New York state teachers’
retirement system, except that beginning April first, two thousand thirteen for members who first become
members of the New York state teachers’ retirement system on or after April first, two thousand twelve,
the rate at which each such member shall contribute in any current plan year (July first to June thirtieth)
shall be determined by reference to the wages of such member in the second plan year (July first to June
thirtieth) preceding such current plan year as follows:
1. members with wages of forty-five thousand dollars per annum or less shall contribute three per cen­
tum of annual wages;
2. members with wages greater than forty-five thousand per annum, but not more than fifty-five thou­
sand per annum shall contribute three and one-half per centum of annual wages;
3. members with wages greater than fifty-five thousand per annum, but not more than seventy-five
thousand per annum shall contribute four and one-half per centum of annual wages;
4. members with wages greater than seventy-five thousand per annum but not more than one hundred
thousand per annum shall contribute five and three-quarters per centum of annual wages; and
5. members with wages greater than one hundred thousand per annum shall contribute six per centum
of annual wages.
Notwithstanding the foregoing, during each of the first three plan years (July first to June thirtieth) in
which such member has established membership in the New York state teachers’ retirement system, such
member shall contribute a percentage of annual wages in accordance with the preceding schedule based
upon a projection of annual wages provided by the employer.
The head of the New York state teachers’ retirement system shall promulgate such regulations as may
be necessary and appropriate with respect to the deduction of such contribution from members’ wages
and for the maintenance of any special fund or funds with respect to amounts so contributed. [Added L.
2009, ch. 504 in effect January 1, 2010; amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 613-a. Loans to members of a teachers retirement system. a. A member of a teachers retire­
ment system in active service who has credit for at least one year of member service may borrow, no
more than once during each twelve-month period, an amount not exceeding seventy-five percent of the
total contributions made pursuant to section six hundred thirteen of this article (including interest cred­
ited at the rate set forth in subdivision c of section six hundred thirteen compounded annually) and not
less than one thousand dollars.
b. An amount so borrowed, together with interest on any unpaid balance thereof, shall be repaid in
equal installments which shall be made by the borrower directly to the retirement board or through regular
payroll deduction. Such installments shall be in such amount as the retirement board shall approve; how­
ever, they shall be at least (i) two percent of the member’s contract salary, and (ii) sufficient to repay the
amount borrowed, together with interest on unpaid balances thereof within a period not in excess of five
127
R. & S.S. § 613-a
years. In the event of default such retirement board shall be authorized to collect such payments due from
the employer of such member through payroll deduction and such member shall forfeit all future entitle­
ment to borrow from the retirement system until the unpaid balance of the loan outstanding at the time of
default is fully paid. Such retirement board, at any time, may accept payments on account of any loan in
addition to the installments fixed for repayment thereof. All payments of principal and interest, at the
lower of the rates set forth in either subdivision c of section six hundred thirteen of this article or subdivi­
sion c of this section, made by the member shall be credited to his or her account as principal or interest.
Any additional interest paid by the member shall be credited to the appropriate fund of the retirement
system.
c. The rate of interest payable upon loans made pursuant to this section shall: (i) for members of the
New York state teachers retirement system, be one percent less than regular interest pursuant to para­
graph (b) of subdivision nine of section five hundred one of the education law, however in no event shall
the rate be less than the rate set forth in subdivision c of section six hundred thirteen of this article; (ii)
for members of the New York city teachers retirement system be one percent less than the regular interest
rate established pursuant to paragraph (d) of subdivision twenty-two of section 13-501 of the administra­
tive code of the city of New York for such system, however, in no event shall the rate be less than the rate
set forth in subdivision c of section six hundred thirteen of this article. Whenever there is a change in the
interest rate it shall be applicable to loans made or renegotiated after the date of such change in the inter­
est rate.
d. A service charge payable upon loans made pursuant to this section shall be set by the retirement
board in an amount sufficient to cover the cost to the retirement system of administering the loans. Such
charge shall be paid to the retirement system when the loan is made or in equal installments over the
period the loan is outstanding. The amount of the service charge shall be credited to the fund from which
administrative expenses are paid.
e. Each loan made pursuant to this section shall be insured against the death of the member in an
amount equal to the amount of the loan outstanding at any given time; with the exception that until thirty
days have elapsed after the making thereof, no part of the loans shall be insured. Such insurance shall
be provided by the retirement board through the retirement system. Upon the death of the member, the
amount of insurance so payable shall be credited to his or her account. The premium payable by the
member for such insurance shall be set by the retirement board at a rate not to exceed one percent of the
amount loaned.
Such premium shall be prorated to July first next and shall be paid to the retirement system in equal
installments over the period of the loan. Thereafter, a premium not to exceed one percent per annum of
the present value of the outstanding loan as of July first shall be paid in the same manner each succeed­
ing year until such loan is repaid or the member is retired.
The retirement board shall, at least annually, review such premium rate, and may, in its discretion, increase
or reduce the premium, modify the terms or conditions of coverage, or discontinue the insurance of loans.
In no event shall this subdivision impose any obligation upon the retirement board to continue to insure
loans of members upon the terms and conditions herein provided or upon any other terms or conditions.
f. Such a retirement board is authorized to establish special funds as may be necessary to carry out
the provisions of subdivisions d and e of this section.
g. Whenever a member of such a retirement system, for whom a loan is outstanding, becomes entitled
to the return of his or her contributions because of withdrawal from such system or because of death, the
amount of any loan outstanding on such date including accrued interest as provided in subdivision c of
this section shall be construed to already have been returned to such member and the refund of contribu­
tions to which he shall then be entitled shall be the net amount of such contributions together with inter­
est thereon pursuant to subdivision c of section six hundred thirteen of this article.
h. Notwithstanding the provisions of subdivision b of section six hundred twelve of this article, when­
ever a member of such a retirement system, for whom a loan is outstanding, retires, the retirement allow­
ance payable without optional modification shall be reduced by a life annuity which is actuarially equivalent
to the amount of the outstanding loan (all outstanding loans shall continue to accrue interest charges until
retirement), such life annuity being calculated utilizing the interest rate on thirty-year United States trea­
sury bonds as of January first of the calendar year of the effective date of retirement and the mortality
tables for options available under section six hundred ten of this article. Notwithstanding the preceding
128
R. & S.S. § 613-b/614
sentence, in the case of the New York state teachers’ retirement system, commencing January first, two
thousand four, the interest rate on ten year United States treasury obligations as of January first of the
calendar year of the effective date of retirement shall be used. Notwithstanding the preceding sentence,
in the case of the New York state teachers’ retirement system, commencing January first, two thousand
sixteen, the average annual interest rate on ten year United States treasury obligations for the days dur­
ing the calendar year that precedes the calendar year in which the retirement becomes effective shall be
used. [Amended L. 2003, ch. 140 in effect January 1, 2004; amended L. 2015, ch. 479 in effect November
20, 2015.]
i. Such a retirement board is authorized to adopt such rules and regulations as it finds to be necessary
in administering the provisions of this section. Anything in this section notwithstanding, the retirement
board of the New York state teachers’ retirement system is authorized to adopt rules and regulations
permitting a loan at any time prior to retirement to a member who is not in active service, provided such
loan would otherwise be permitted under this section and under applicable provisions of the internal rev­
enue code relating to loans from pension plans. [Sub. i amended L. 1996, ch. 548 in effect August 8,
1996.]
j. Such a retirement board shall discharge any evidence of a loan to member pursuant to this subdivi­
sion upon the satisfaction of the obligation of the member thereunder.
k. The retirement system shall have no right to bring suit in any court against any member to enforce
the amount due under this section and the retirement system’s sole remedy upon death, retirement or
withdrawal shall be to offset the amount outstanding including interest from the member’s account or
other benefits payable to or on behalf of the member as provided in this section. [Section 613-a added L.
1990 in effect July 30, 1990 (provided however, that the provisions authorizing a member to borrow shall
take effect July 1, 1991.)]
§ 613-b. Loans to members of certain retirement systems. (omitted)
§ 614. Effect of other laws. a. Any other provision of this chapter, of the education law or of the
administrative code of the city of New York, or rules and regulations thereunder, relating to the reemploy­
ment of retired members, transfer of members and reserves between systems and procedural matters
including but not limited to filing requirements, termination of membership, duties of participating employ­
ers, and actuarial assumptions shall apply to members covered under this article during the duration thereof
unless inconsistent herewith, or with rules and regulations adopted for the implementation of this article.
b. Notwithstanding any other provision of law:
(i) If a person who last became a member of a public retirement system of the state before July first,
nineteen hundred seventy-three retires, such person shall, upon reentry to membership in a public retire­
ment system of the state, be subject to all retirement rights, privileges and obligations which would per­
tain to such person had he reentered membership in such retirement system on June thirtieth, nineteen
hundred seventy-three.
(ii) If a person who last became a member of a public retirement system of the state after June thirtieth,
nineteen hundred seventy-three but prior to July first, nineteen hundred seventy-six retires such person
shall, upon reentry to membership in a public retirement system of the state, be subject to all retirement
rights, privileges and obligations which would pertain to such person had he reentered membership in
such retirement system on June thirtieth, nineteen hundred seventy-six.
(iii) The provisions of this article shall not be construed to repeal, amend or modify any provisions of
law or rules or regulations in effect on June thirtieth, nineteen hundred seventy-six issued thereunder
which govern the reemployment of retired persons by public employers.
(iv) Notwithstanding any other provision of law, any member of a public retirement system who retired
after having last entered such system prior to July first, nineteen hundred seventy-three, and thereafter
reentered service and joined or rejoined a public retirement system prior to April first, nineteen hundred
seventy-seven, shall be entitled to all the rights, benefits and privileges and subject to all the obligations
set forth in any law or laws relating to public retirement systems to which he would have been subject or
entitled had he reentered membership in such retirement system on June thirtieth, nineteen hundred
seventy-three.
129
R. & S.S. § 615/616/617/620
(v) Notwithstanding any other provision of law, any member of a public retirement system who retired
after having last entered such system after June thirtieth, nineteen hundred seventy-three and prior to
July first, nineteen hundred seventy-six and thereafter reentered service and joined or rejoined a public
retirement system prior to April first, nineteen hundred seventy-seven, shall be entitled to all the rights,
benefits and privileges and subject to all the obligations set forth in any law or laws relating to public
retirement systems to which he would have been subject or entitled had he reentered membership in such
retirement system on June thirtieth, nineteen hundred seventy-six.
§ 615. Duration. Notwithstanding any other provisions of this chapter or of any other law, the provi­
sions of article fourteen of this chapter shall no longer apply to members to whom this article applies on
the date article fifteen of this chapter becomes effective, provided, however, any member who has retired
pursuant to the provisions of article fourteen of this chapter before the effective date of this article or any
beneficiary of such a member or a beneficiary of a member who dies before the effective date of this
article and who is entitled to a death benefit pursuant to article fourteen of this chapter shall receive such
benefits pursuant to the provisions of article fourteen of this chapter, except as provided pursuant to the
provisions of section six hundred seventeen of this article. [Art. 15 enacted L. 1983, ch. 414 effective
September 1, 1983; extended two additional years, L. 1985, ch. 284 in effect June 30, 1985; L. 1987, ch.
203 in effect June 30, 1987; L. 1989, ch. 236 in effect July 1, 1989; L. 1991, ch. 196 in effect June 28,
1991; L. 1993, ch. 122 in effect June 21, 1993; L. 1995, ch. 138 in effect July 7, 1995; L. 1997, ch. 151 in
effect June 30, 1997; amended L. 1998, ch. 266 in effect July 10, 1998; L. 1999, ch. 138 in effect June
29, 1999; L. 2001, ch. 44 in effect May 23, 2001; L. 2003, ch. 92 in effect July 1, 2003; L. 2005, ch. 35 in
effect May 17, 2005; L. 2007, ch. 63 in effect June 4, 2007; L. 2009, ch. 79 in effect July 1, 2009; L. 2009,
ch.504 in effect January 9, 2010.]
§ 616. Transfer of membership. (omitted)
§ 617. Recalculation of benefits. a. Notwithstanding any other provision of law, any person who
has retired pursuant to the provisions of article fourteen of this chapter on or before August thirty-first,
nineteen hundred eighty-three, whether for service retirement or for ordinary or accidental disability
retirement, may elect to have his or her retirement benefits recalculated pursuant to this article, from such
person’s date of retirement; provided, however, such person was not employed in a position excluded
from the application of this article by paragraphs one through five of subdivision a of section six hundred
of this article. The recalculation of benefits shall be based upon the option selection originally filed for
retirement.
b. To elect the recalculation, such person shall, on or before December thirty-first, nineteen hundred ninetynine, file a request for such recalculation with the appropriate retirement system in the form and manner pre­
scribed by the head of such retirement system. [Section 617 added L. 1998, ch. 266 in effect July 10, 1998.]
Article 15-A of the Retirement and Social Security Law
(Benefit Limitations; Federal Internal Revenue Code)
§ 620. Benefit limitations. 1. Notwithstanding any other law to the contrary, for all members of a
public retirement system to which the state or a municipality contributes who join on or after January first,
nineteen hundred ninety, the benefits payable shall be subject to the limitations set forth in section four
hundred fifteen of the Internal Revenue Code.
2. Notwithstanding any other law to the contrary, for all members of a public retirement system to
which the state or a municipality contributes who joined prior to January first, nineteen hundred ninety,
the benefits payable shall be subject to the greater of the following limitations as provided in paragraph
ten of subdivision (b) of section four hundred fifteen of the Internal Revenue Code:
a. the limitations set forth in section four hundred fifteen of the Internal Revenue Code, or
b. the accrued benefit of the member without regard to any benefit increases pursuant to a plan
amendment adopted after October fourteenth, nineteen hundred eighty-seven.
3. Notwithstanding the foregoing, any benefit which has been limited by either the dollar or compensa­
tion limitations of section 415 of the Internal Revenue Code shall be increased for cost-of-living
130
R. & S.S. § 630
adjustments of such limitations pursuant to such section and the applicable regulations thereunder, pro­
vided, however, the benefit shall not exceed the benefit otherwise payable but for the limitations of Inter­
nal Revenue Code section 415.
4. Notwithstanding any other law, the limitation year of the New York state teachers retirement system
for the purposes of section 415 of the Internal Revenue Code shall be the period commencing on the first
day of July of each year and ending on the thirtieth day of June next following.
5. Notwithstanding any other law, the limitation year of the New York state and local employees retire­
ment system and the New York state and local police and fire retirement system for the purposes of sec­
tion 415 of the Internal Revenue Code shall be the period commencing on the first day of April of each
year and ending on the thirty-first day of March next following.
6. Notwithstanding any other law, the limitation years of the New York city employees retirement sys­
tem, the New York city teachers retirement system, the New York city board of education retirement sys­
tem, the New York city police pension fund and the New York city fire department pension fund for the
purposes of section 415 of the Internal Revenue Code shall be the period commencing on the first day of
July of each year and ending on the thirtieth day of June next following. [Article 15-A enacted L. 1988,
ch. 768 effective Dec. 26, 1988; amended L. 1992, ch. 525 in effect July 24, 1992.]
Article 15-B of the Retirement and Social Security Law
(Compensation Limitations; Federal Internal Revenue Code)
§ 630. Compensation limitations. 1. In addition to any other applicable limitations on compensa­
tion provided by law, and notwithstanding any other law to the contrary unless otherwise permitted pur­
suant to subdivision four of this section, the amount of compensation of a member of the New York state
and local employees’ retirement system or the New York state and local police and fire retirement system
which may be taken into account under the rules of such system for plan years beginning on or after April
first, nineteen hundred ninety-six shall not exceed the OBRA ’93 annual compensation limit.
2. In addition to any other applicable limitations on compensation provided by law, and notwithstand­
ing any other law to the contrary unless otherwise permitted pursuant to subdivision four of this section,
the amount of compensation of a member of the New York state teachers’ retirement system, New York
city employees’ retirement system, New York city teachers’ retirement system, New York city police pen­
sion fund, New York city fire department pension fund, or New York city board of education retirement
fund which may be taken into account under the law relating to such system for plan years beginning on
or after July first, nineteen hundred ninety-six shall not exceed the OBRA ’93 annual compensation limit.
3. In addition to any other applicable limitations on compensation provided by law, and notwithstand­
ing any other law to the contrary unless otherwise permitted pursuant to subdivision four of this section,
the amount of compensation of a participant in the education department optional retirement program
pursuant to part five of article three of the education law or a participant in the state university optional
retirement program pursuant to article eight-B of the education law or the city university optional retire­
ment program pursuant to article one hundred twenty-five-A of the education law which may be taken
into account under the law relating to such program for plan years beginning on or after January first,
nineteen hundred ninety-six shall not exceed the ’93 OBRA annual compensation limit.
4. Notwithstanding the provisions of subdivisions one, two and three of this section, in the case of an
“eligible member” of the New York state and local employee’s retirement system, New York state and
local police and fire retirement system, New York state teachers’ retirement system, New York city employ­
ees’ retirement system, New York city teachers’ retirement system, New York city police pension fund,
New York city fire department pension fund, New York city board of education retirement fund, education
department optional retirement program, state university optional retirement program, and city university
optional retirement program the OBRA ’93 annual compensation limit shall not apply to the extent the
amount of compensation taken into account would be reduced below the amount which would be allowed
to be taken into account under the law relating to such system or program as in effect on the first day of
July, nineteen hundred ninety-three.
5. For the purposes of subdivision four of this section, an “eligible member” of the New York state and
local employees’ retirement system or New York state and local police and fire retirement system shall be
a member who last joined or rejoined such system prior to April first, nineteen hundred ninety-six; an
131
R. & S.S. § 630
“eligible member” of the New York state teachers’ retirement system, New York city employees’ retire­
ment system, New York city teachers’ retirement system, New York city police pension fund, New York
city fire department pension fund, or New York city board of education retirement fund shall be a member
who last joined or rejoined such system prior to the first day of July, nineteen hundred ninety-six; and an
“eligible member” of the education department optional retirement program, the state university optional
retirement program, or city university optional retirement program shall be a participant who, as appli­
cable, last joined or rejoined or last elected such program prior to the first day of January, nineteen hun­
dred ninety-six.
6. For the purposes of this section and any other reference in law to the limitation under section 401(a)
(17) of the Internal Revenue Code of 1986, the “OBRA ’93 annual compensation limit” shall be the amount
allowed to be taken into account pursuant to section 401(a)(17), as amended pursuant to section 13212
of the Omnibus Budget Reconciliation Act of 1993, P.L. 103-66, 107 Stat. 312, or as hereinafter may be
amended. For plan years beginning on or after January first, nineteen hundred ninety-four, the annual
compensation of each member or participant taken into account under the law applicable to such system
or program shall not exceed one hundred fifty thousand dollars, as adjusted by the Commissioner of
Internal Revenue for increases in the cost of living pursuant to section 401(a)(17) of the Internal Revenue
Code of 1986. The cost-of-living adjustment in effect for a calendar year applies to any period, not
exceeding twelve months, over which compensation is determined (the “compensation period”) begin­
ning in such calendar year. If a determination period consists of fewer than twelve months, the OBRA ’93
annual compensation limit shall be the applicable annual compensation limit multiplied by a fraction, the
numerator of which is the number of months in the determination period, and the denominator of which
is twelve. Further, if compensation for any prior determination period is taken into account in determining,
as applicable, a member’s or participant’s benefits accruing in a current plan year, the compensation for
that prior determination period is subject to the OBRA ’93 annual compensation limit in effect for that
prior determination period. For the purpose of the prior sentence, for determination periods before the
first day of the first plan year beginning on or after the first day of January, nineteen hundred ninety-four,
the OBRA ’93 annual compensation limit is one hundred fifty thousand dollars.
§ 2. Notwithstanding any other law, any change in the rules after the first day of July, 1993 of any of
the New York state and local employees’ retirement system, the New York state and local police and fire
retirement system, the New York state teachers’ retirement system, the New York city employees’ retire­
ment system, the New York city teachers’ retirement system, the New York city police pension fund, the
New York city fire department pension fund, the New York city board of education retirement fund, the
education department optional retirement program, the state university optional retirement program or
city university optional retirement program relating to the amount of compensation which may be taken
into account by such system or program shall not permit such annual compensation to exceed the OBRA
’93 annual compensation limit. [Article 15-B enacted L. 1994, ch. 675 in effect August 2, 1994 provided,
however, section one of this article is effective for the New York state and local employees’ retirement
system and the New York state and local police and fire retirement system on March 31, 1996, for the New
York state teachers’ retirement system, the New York city employees’ retirement system, the New York
city teachers’ retirement system, the New York city police pension fund, the New York city fire department
pension fund, and the New York city board of education retirement system on June 30, 1996, and for the
education department optional retirement program, the state university optional retirement program, and
the city university optional retirement program on December 31, 1995; and provided, further, that section
two of this article is deemed to have been in full force and effect on and after July 1, 1993.]
132
R. & S.S. § 645
Article 15-D of the Retirement and Social Security Law
(Benefits for Certain Members Who Re-Enter Public Service)
§ 645. Benefits for certain members who re-enter public service. 1. As used in this article the term
“public retirement system” shall mean the New York state and local employees’ retirement system, the New
York state teachers’ retirement system, the New York state and local police and fire retirement system, the
New York city employees’ retirement system, the New York city teachers’ retirement system, the New York
city board of education retirement system, the New York city police pension fund, or the New York city fire
department pension fund. [Subdivision 1 amended L. 1999, ch. 646 in effect December 17, 1999.]
2. Notwithstanding any other provision of law, any person other than a retiree of a public retirement
system, who previously was a member of a public retirement system and whose membership in such
public retirement system ceased by reason of (i) insufficient service credit, (ii) withdrawal of accumulated
contributions, or (iii) withdrawal of membership, upon rejoining such public retirement system or another
public retirement system, shall be deemed to have been a member of his or her current retirement system
during the entire period of time commencing with and subsequent to the original date of such previous
ceased membership, provided that such person (a) makes application therefor to the administrative head
of his or her current public retirement system, and (b) repays the amount refunded, if any, at the time such
previous membership ceased, together with interest at the rate of five percent per annum compounded
annually from the date of such refund through the date of repayment. Upon such reinstatement of date of
membership, such member shall be entitled to all the rights, benefits and privileges to which he or she
would have been entitled had his or her current membership begun on such original date of membership
except that, solely for the purposes of granting retirement credit to members of a public retirement sys­
tem other than the New York city teachers’ retirement system for service credited during such previous
ceased membership where such was in a public retirement system other than the member’s current retire­
ment system, such previously credited service shall be deemed to be prior service, not subsequent ser­
vice. Furthermore, any such member whose original date of membership was prior to July first, nineteen
hundred seventy-three shall be entitled to all the rights, benefits and privileges to which he or she would
have been entitled had he or she been in active service on June thirtieth, nineteen hundred seventy-three.
Any contribution made to the public retirement system pursuant to article fourteen or fifteen of this chap­
ter by a member who rejoined his or her current system on or after July twenty-seventh, nineteen hundred
seventy-six shall not be refunded. [Subdivision 2 amended L. 2002, ch. 322 in effect August 6, 2002.]
3. Anything in this section to the contrary notwithstanding, any member or retiree of a public retirement
system who, prior to reinstatement to an original date of membership prior to the twenty-seventh day of
July, nineteen hundred seventy-six, had obtained credit for previous service from such system pursuant
to article fourteen or fifteen of this chapter shall be entitled to have any amounts paid by such member
to such system for the purposes of obtaining such credit refunded to such member with interest at the
rate of five percent per annum from the date of the last payment to such system. [New subdivision 3
added L. 1999, ch. 646 in effect December 17, 1999.]
4. The provisions of this article shall be applicable to a person who is, on the date this article becomes
effective, or who subsequent to such date becomes, a member of a public retirement system. [Article
15-d added L. 1998, ch. 640 in effect December 18, 1998; subdivision 3 renumbered subdivision 4 L.
1999, ch. 646 in effect December 17, 1999.]
133
R. & S.S. § 800/801
Article 18 of the Retirement and Social Security Law
(Provisions Generally Applicable to Public Retirement Systems)
Section 800.
801.
802.
803.
803-a.
804.
805.
806.
807.
Definitions.
Transfer rights.
Credit for previously credited service.
Retroactive membership.
Correction of benefit errors. (omitted)
Promulgation of rules and regulations.
Records.
Exclusion.
Alternate means of authentication.
§ 800. Definitions. The following words and phrases as used in this article shall have the following
meanings unless a different meaning is plainly required by the context.
a. “Public retirement system” shall mean the New York state and local employees’ retirement system,
the New York state and local police and fire retirement system, New York state teachers’ retirement sys­
tem, New York city employees’ retirement system, New York city teachers’ retirement system, New York
city police pension fund, New York city fire department pension fund and the New York city board of
education retirement system.
b. “Employer” or “participating employer” shall mean the state of New york and any other unit of govern­
ment or organization which makes contributions to a public retirement system on behalf of its employees.
Provided however, that the provisions of this article shall not apply to the city of New York until such city
enacts a local law adopting this article in its entirety. Until such date (subject to the provisions of section
eight hundred six of this article), no member of a public retirement system: (i) who is an employee of the city
of New York shall have any rights created by the provisions of this article or (ii) who is not a employee of the
city of New York shall have any rights created by this article resulting from any prior employment by the city
of New York. For the purposes herein: (i) the “city of New York” shall include: (a) every employer other than
a state employer which participates in the New York city employees’ retirement system, New York city
teachers’ retirement system, New York city police pension fund, New York city fire department pension fund
or the New York city board of education retirement system, and (b) a city of New York funded college of the
state university of New York located within such city, the city of New York libraries subject to section thirtytwo of this chapter, and the civilian and uniformed employees described in subdivision sixteen of section
twelve hundred four of the public authorities law; and (ii) a “state employer” shall mean the unified court
system, the senior colleges of the city university of New York and a public benefit corporation, public cor­
poration or subsidiary corporation a majority of the members of which are appointed by the governor, des­
ignated by virtue of their state office or appointed or designated by any combination of the foregoing.
c. “Head of the retirement system” shall mean the state comptroller, with respect to the state and local
employees’ retirement system and the state and local police and fire retirement system, and the retire­
ment board of the other public retirement systems.
§ 801. Transfer rights. a. Except as provided in subdivision b of this section, any member of a
public retirement system who by reason of simultaneous membership in two public retirement systems,
would have been entitled to transfer membership in a public retirement system pursuant to any provision
of law, but failed to make a timely election to do so shall be entitled to transfer membership if written
notice is given to such system no later than January first, nineteen hundred ninety-eight, or within one
year of the enactment of a local law by the city of New York for a member who: (i) is an employee of the
city of New York; or (ii) is not an employee of the city of New York, but has prior employment with such
city without which he or she would be ineligible for the benefit provided by this section. [Paragraph a
amended L. 1997, ch. 418 in effect August 20, 1997.]
b. For a membership occurring prior to April first, nineteen hundred ninety-three pursuant to any provi­
sion of law, a public retirement system shall have the authority to grant relief from a failure to transfer such
membership if the member would have been eligible to transfer such membership to the system granting
relief if he or she had joined the system granting relief on the commencement of employment, provided
134
R. & S.S. § 802/803
that the member had been continuously (as defined in paragraph two of subdivision b of section eight
hundred three of this article) employed in such employment from the commencement of eligible employ­
ment until the member joined the system and the member files written notice with the system no later than
January first, nineteen hundred ninety-eight, or within one year of the enactment of a local law by the city
of New York for a member who: (i) is an employee of the city of New York; or (ii) is not an employee of the
city of New York, but has prior employment with such city without which he or she would be ineligible for
the benefit provided by this section. [Paragraph b amended L. 1997, ch. 418 in effect August 20, 1997.]
c. As a condition for transfer pursuant to subdivisions a and b of this section, the employee must deposit
within one year of the filing of the written notice of intention to transfer as provided in subdivision a or b of
this section, with the public retirement system of which the employee is a member, an amount equal to the
amount withdrawn from the public retirement system of which the employee had been a member with inter­
est thereon as prescribed by the retirement system of which the employee is a member. When such deposit
has been made, a calculation and transfer of the reserve on such employee’s benefit shall be made.
d. Except as expressly provided herein, the applicable rules relating to the transfer of membership,
including the transfer of reserves, shall apply to the transfer of membership permitted hereunder.
e. This section shall not be construed to continue membership in any retirement system.
§ 802. Credit for previously credited service. a. Notwithstanding any ineligibility to obtain credit
by reason of a failure to transfer membership in a public retirement system pursuant to any applicable
law, retirement credit shall be granted for service which predates the date of membership in a public
retirement system after a member has rendered five years of credited service since last joining a public
retirement system if:
(1) such service is otherwise creditable; and
(2) credit for such service had been granted by another public retirement system; and
(3) such service is not currently credited in any other public retirement system or any public retirement
system in another state or of the federal government.
b. Credit shall not be granted under this section unless such member:
(1) files, prior to the effective date of retirement, a written request with the public retirement system
from which credit is sought; and
(2) deposits with such system, prior to the effective date of retirement or as such system may allow,
the amounts required in order to obtain previous service credit under the member’s current membership.
If the full amount of payment is not paid to such system, the amount of service credited shall be propor­
tional to the total amount of the payments made.
c. The public retirement system may permit such member to pay such contributions with interest in
monthly installments equal or less in number to the number of months of previous service credit granted
or as such system may allow. Upon retirement, such member shall not receive credit for any service for
which contributions are not paid as provided herein.
d. The granting of previous service credit pursuant to this section shall not affect the individual’s date
of membership or tier status.
e. This section shall not be construed to diminish, replace or conflict with any other statutory right to
obtain credit for previous service.
§ 803. Retroactive membership. a. A public retirement system shall have the authority to grant
relief from a failure to file an application for membership in that system in connection with service ren­
dered prior to April first, nineteen hundred ninety-three in accordance with the provisions of this section.
If the determination is made by a public retirement system other than the public retirement system of
which he or she is a member, such other system shall notify the member’s current system of its determi­
nation and the retroactive membership resulting from such determination shall be deemed to have been
immediately transferred to the member’s current system. In such event, the member’s current system
shall advise such other system of the additional cost resulting from such relief, which shall thereupon be
billed and collected by such other system and remitted to the member’s current system.
b. Retroactive membership shall be granted to a member of a public retirement system who was enti­
tled to join a public retirement system prior to the date on which the member actually joined such a sys­
tem provided that:
135
R. & S.S. § 803
(1) the member files a written request for retroactive membership in a public retirement system with the
member’s current retirement system within three years of the effective date of this article, or within two
years of the enactment of a local law by the city of New York for a member who: (i) is an employee of the
city of New York; or (ii) is not an employee of the city of New York, but has prior employment with such
city, which without the transfer and crediting provisions of this article would render him or her ineligible
for retroactive membership under the provisions of this section;
(2) membership shall only be granted retroactively back to the date from which the member has served
continuously in a position or positions which would have entitled the member to join a public retirement
system. For the purpose of this paragraph (and subdivision b of section eight hundred one of this article),
a member shall be considered to have served continuously from the earliest date after which he or she
shall have rendered at least twenty days of eligible service during each plan year of such public retirement
system, excluding one break in service of not more than one plan year or not more than two plan years
when such break in service is attributable to the birth of a child of the member or care for such child or
the placement of a child with the member for adoption or foster care, provided that for the limited pur­
poses of this section only, no employment with the city of New York, the board of education of the city of
New York or with any employer which participates in the New York city employees’ retirement system or
the New York city board of education retirement system shall be deemed to be service which would have
entitled the member to join a public retirement system, or shall be deemed to be retirement system eli­
gible service, where the person rendering such service would have been deemed by such retirement
system prior to May thirty-first, nineteen hundred eighty-eight to be ineligible for membership in such
retirement system because he or she was not regularly scheduled to work a sufficient number of hours
per year, or because such employment was being rendered not on a per annum basis, but rather on a per
hour basis, a per diem basis or some other basis; and
(3) the employer who employed such member at the time he or she was first eligible to join a public
retirement system files with the retirement system an affidavit stating that the relief sought is appropriate
because the member did not (i) expressly decline membership in a form filed with the employer; (ii) partici­
pate in a procedure explaining the option to join the system in which a form, booklet or other written mate­
rial is read from, explained or distributed, such form, booklet or written material can be produced and
documentation or a notation to the effect that he or she so participated exists; or (iii) participate in a pro­
cedure that a reasonable person would recognize as an explanation or request requiring a formal decision
by him or her to join a public retirement system. Such affidavit shall also set forth the facts and circum­
stances giving rise to the request for relief, including but not necessarily limited to dates of employment
and the date on which the member was first eligible to join a public retirement system and salary informa­
tion. The employer shall respond to all requests for such affidavits by a public retirement system. A mem­
ber seeking to prove that he or she did not participate in a procedure described in clause (ii) or (iii) hereof
must do so by substantial evidence. An employer shall establish a review process which shall afford a
member an opportunity to appear in person or in writing. If a determination has been made to deny retro­
active membership, the employer shall produce an affidavit including a statement of the grounds on which
such denial was based. Nothing herein is intended to require a public retirement system to conduct a hear­
ing if one is not customarily held by the system to determine pension rights, privileges or benefits.
c. If a member is entitled to relief pursuant to this section, the public retirement system shall determine
the member’s date of membership, which shall be the date on which such member would have become
a member of such retirement system pursuant to subdivision b of this section.
d. Nothing in this section shall be construed to change or modify the requirements for filing an applica­
tion for membership prescribed by the head of the retirement system or by applicable law or to modify the
obligations of employers or any public retirement system with respect to informing employees of their right
to join a public retirement system or with respect to transmitting their application to such a system.
e. (1) The entire cost of retroactive membership granted pursuant to this section shall be paid by the
employer who employed such member at the time he or she was first eligible to join a public retirement
system, subject to the limitations provided in paragraph two of this subdivision.
(2) In the case of an individual who on March thirty-first, nineteen hundred ninety-three was a member
of any public retirement system and who, on such date, was employed by an employer other than the
employer which employed such member at the time he or she was first eligible to join a public retirement
system, costs to such original employer shall not exceed a percentage of the total cost but not greater
136
R. & S.S. § 803-a/804
than one hundred percent of such cost; (a) such percentage to be determined in the case of the New York
state and local employees’ retirement system and the New York state and local police and fire retirement
system by dividing the greater of the amounts calculated under subparagraph (i) or (ii) of this paragraph
by the salary used for calculating costs under paragraph one of this subdivision: (i) the annual compensa­
tion such member would have earned during the salary period used for calculating costs under this sub­
division had such member remained in the original position, as determined by applying annual increases
of seven percent from the time of such original twelve month period to the amount of annual compensa­
tion such member was actually paid by such employer during the first twelve months of employment or
(ii) the amount determined by applying annual increases of seven percent to the amount an individual
employed on a full-time basis at the then applicable state minimum wage would have earned during such
twelve month period; (b) such percentage in the case of the New York State teachers’ retirement system
to be determined by dividing by the member’s annualized salary in the year in which the cost under para­
graph one of this subdivision is determined, by the following: the member’s annualized salary in the plan
year in which the member was first eligible to join a public retirement system increased by seven percent
per year for each year from the plan year in which the member was first eligible to join a public retirement
system to the plan year in which such cost is determined.* [Subdivision e amended L. 1995, ch. 683 in
effect August 9, 1995.]
f. Notwithstanding any other provision of this section to the contrary, this section shall not apply to any
person who received a retroactive membership date pursuant to the provisions of chapter one thousand
forty-four of the laws of nineteen hundred eighty-one, chapter five hundred thirty-nine of the laws of nine­
teen hundred eighty-four, chapter five hundred twenty-two of the laws of nineteen hundred eighty-eight
or chapter five hundred twenty-three of the laws of nineteen hundred eighty-eight.
g. A member receiving a retroactive membership date pursuant to subdivision b of this section shall
pay to his or her current retirement system those payments, with applicable interest thereon, which would
have been made by such member had he or she been a member of such retirement system during the
period of service beginning from the date which is being credited pursuant to such subdivision b. For
members of a retirement system or pension fund maintained by the city of New York, the granting of any
service credit pursuant to this section (1) shall be used only for the purpose of determining the amount of
any benefit and not for the purpose of determining eligibility for a benefit and (2) shall not be deemed or
construed to create any right for the payment of a pension-providing-for-increased-take-home-pay for
such period or to create any liability or responsibility for the funding of such benefit by the city of New
York or any other pension obligor or to create any liability or responsibility for the accumulation of a
reserve-for-increased-take-home-pay.
h. Anything in this section to the contrary notwithstanding, any member of a public retirement system
who, prior to reinstatement to an original date of membership prior to the twenty-seventh day of July,
nineteen hundred seventy-six under section six hundred forty-five of this chapter, is required to pay man­
datory arrears under this section and still has an amount due, shall, upon application to the comptroller
under the provisions of section six hundred forty-five of this chapter for reinstatement under such section
six hundred forty-five, and upon conveying in writing to the comptroller a rescission of their election
under this section, thereafter not be required to pay mandatory arrears under this section provided that
payments previously made for such arrears shall not be refunded to such member. When a member elects
to rescind benefits pursuant to this section and makes application under section six hundred forty-five of
this chapter as permitted under this subdivision, such member’s reinstated rights, benefits and status in
the public retirement system will derive and be defined by such section six hundred forty-five rather than
this section. [Subdivision h added L. 2005, ch. 409 in effect August 2, 2005.]
§ 803-a. Correction of benefit errors. (omitted)
§ 804. Promulgation of rules and regulations. Each public retirement system is authorized to pro­
mulgate rules and regulations to implement the provisions of this article.
*L. 1997, c. 606, § 2, provided: “This act shall take effect immediately [Sept. 17, 1997], and shall apply to costs resulting
from employer affidavits pursuant to paragraph 3 of subdivision b of section 803 of the retirement and social security law.”
137
R. & S.S. § 805/806/807/900/901
§ 805. Records. Nothing in this article shall be construed to affect the authority of a public retire­
ment system to require that evidence of service be based upon records kept in the ordinary course of
business.
§ 806. Exclusion. a. A person who was not a member of a public retirement system as of March
thirty-first, nineteen hundred ninety-three shall be ineligible for the benefits provided by sections eight
hundred one and eight hundred three of this article.
b. This article shall have no application to a retiree or former retiree from a public retirement system.
[Article 18 added L. 1993, ch. 437 in effect October 24, 1993.]
§ 807. Alternate means of authentication. Notwithstanding any other law, rule or regulation, each
public retirement system as defined by subdivision a of section eight hundred of this article is authorized
to promulgate rules and regulations to provide for alternate means of authentication in place of any
requirement that a filing be duly executed and acknowledged and, consistent with the provisions of the
state technology law, to provide for the electronic filing of documents. [Section 807 added L. 2005, ch.
506 in effect August 16, 2005.]
Article 19 of the Retirement and Social Security Law
(Benefit Enhancements)
Section 900. Definitions.
901. Election of benefit enhancements.
902. Benefit enhancements.
§ 900. Definitions. The following words and phrases as used in this article shall have the following
meanings unless a different meaning is plainly required by the context:
a. “Retirement system” shall mean the New York state and local employees’ retirement system and the
New York state teachers’ retirement system.
b. “State employer” shall mean the executive branch of the state, the senate, the assembly and joint
legislative employers.
c. “Participating employer” shall mean an employer, other than a state employer, which participates in
a retirement system.
d. “Eligible employee”, subject to the limitations of section nine hundred two of this article, shall mean
a member of a retirement system who is identified as eligible to receive the benefit enhancements pro­
vided for in this article upon election by a state employer pursuant to section nine hundred one of this
article; “eligible employee” of a participating employer shall mean all employees, subject to the limita­
tions of section nine hundred two of this article. Notwithstanding any other provision of law to the con­
trary, the benefits provided herein shall only apply to an eligible employee who is a member of a retirement
system as defined by subdivision a of this section. [Amended L. 2000, ch. 110 in effect July 10, 2000.]
e. “Active service” shall mean (i) service while being paid on the payroll; (ii) a leave of absence with pay;
(iii) other approved leave without pay; and (iv) any period of time between school terms and any time
between September first, two thousand and October first, two thousand for a teacher or other employee
employed on a school-year basis. [Amended L. 2000, ch. 110 in effect July 10, 2000; amended L. 2002,
ch. 245, in effect June 30, 2002.]
f. “Cessation date” shall mean the beginning date of an eligible employee’s first payroll period com­
mencing on or after October first, two thousand, or the effective date as of which such employee becomes
eligible for the benefits contained in subdivision b of section nine hundred two of this article, or the date
on which the eligible employee attains ten years of membership or, if earlier, ten years of credited service,
whichever is latest. [Amended L. 2000, ch. 110 in effect July 10, 2000.]
§ 901. Election of benefit enhancements. a. A state employer may elect to provide its employees
the benefit enhancements provided for in section nine hundred two of this article.
138
R. & S.S. § 902
1. With respect to members of a retirement system employed in the executive branch (including employ­
ees of an institution for the instruction of the deaf and of the blind as enumerated in section four thousand
two hundred one of the education law), such election shall be made by the governor.
2. With respect to members of a retirement system employed by the senate, such election shall be
made by adoption of a resolution by the senate.
3. With respect to members of a retirement system employed by the assembly, such election shall be
made by adoption of a resolution by the assembly.
4. With respect to members of a retirement system employed by joint legislative employers, such elec­
tion shall be made by adoption, and consistent with rules established by, a concurrent resolution of the
senate and assembly.
b. An election to provide benefit enhancements pursuant to subdivision a of this section may be made
applicable to all employees of a state employer or to all employees who are represented by a specific
collective bargaining organization, recognized or certified pursuant to article fourteen of the civil service
law, and/or to all employees who are not represented for the purposes of collective bargaining subject to
the limitation provided in section nine hundred two of this article.
§ 902. Benefit enhancements. a. 1. An eligible employee (i) with a date of membership in a retire­
ment system prior to July twenty-seventh, nineteen hundred seventy-six and (ii) who was in active service
as of April first, nineteen hundred ninety-nine and continued in active service with a public employer up
to and including (A) October first, two thousand or, if earlier, (B) the eligible employee’s date of retirement
or death, if applicable, (but no earlier than June first, two thousand) shall receive one-twelfth of a year of
additional retirement credit for each year of retirement credit for service rendered as of the date of retire­
ment or death, if applicable, up to a maximum of two years of retirement credit. Anything in the preceding
sentence notwithstanding, a member of the New York state teachers’ retirement system with a date of
membership in such system prior to July twenty-seventh, nineteen hundred seventy-six (other than a
member who has not rendered at least twenty days of credited service in any plan year beginning on or
after July first, nineteen hundred ninety-two) who retires or dies, if applicable, on or after June first, two
thousand shall be entitled to receive the additional retirement credit provided for in such sentence from
such system. [Amended L. 2002, ch. 353 in effect June 1, 2000.]
2. The additional retirement service credit provided for in paragraph one of this subdivision shall not
apply to (i) an employee who retires under a retirement plan which allows all members of such plan, with­
out regard to position, a twenty year service retirement without regard to age or to (ii) an employee who
retires under a retirement plan which allows for twenty-five year service retirement without regard to age
when it has been determined that the criminal law enforcement service creditable for such employee is in
the aggregate more than fifty per centum for duties not as a correction officer. [Amended L. 2000, ch. 109
in effect June 1, 2000.]
3. Notwithstanding any other provision of law, if the service retirement benefit of an eligible employee
is subject to a maximum retirement benefit, the additional benefit authorized by this subdivision shall be
computed by multiplying the final average salary times the number of years of service credit granted by
this subdivision times the benefit fraction of the plan under which the employee retires.
b. 1. An eligible employee (i) with a date of membership in a retirement system on or after July twentyseventh, nineteen hundred seventy-six and before January first, two thousand ten, and (ii) who has ten or
more years of membership or ten or more years of credited service with a retirement system under the
provisions of article fourteen or fifteen this chapter shall not be required to contribute to a retirement system
pursuant to section five hundred seventeen or six hundred thirteen of this chapter as of the cessation date.
[Amended L. 2000, ch. 110 in effect July 11, 2000; amended L. 2009, ch. 504 in effect January 1, 2010.]
2. No contribution made to a retirement system by an eligible employee prior to the eligible employee’s
cessation date shall be refunded, except as otherwise allowable pursuant to article fourteen or fifteen of
this chapter.
3. Nothing in this subdivision shall affect the obligation of an eligible employee to repay any contribu­
tions previously refunded pursuant to article fourteen or fifteen of this chapter with applicable interest
pursuant to section six hundred forty-five of this chapter in the event such person rejoins a retirement
system. Nothing in this subdivision shall affect the obligation of an eligible employee to pay such amounts
as may be required by section five hundred seventeen, six hundred nine or six hundred thirteen of this
139
R. & S.S. § 1000
chapter or by any other provision of law for service rendered prior to such employee’s cessation date or
for service rendered prior to such employee’s date of membership at a time such employee was not a
member of a retirement system.
c. The benefit enhancements provided for in this section shall be made available to all eligible employ­
ees of a participating employer in a retirement system. [Article 19 added L. 2000, ch. 126 in effect July 11,
2000; amended L. 2000, ch. 109 in effect June 1, 2000; amended L. 2000, ch. 110 in effect June 1, 2000.]
Article 20 of the Retirement and Social Security Law
(Credit for Military Service Rendered During Periods of Military Conflict)
§ 1000. Military service credit. Notwithstanding any law to the contrary, a member of a public
retirement system of the state, as defined in subdivision twenty-three of section five hundred one of this
chapter, shall be eligible for credit for military service as hereinafter provided:
1. A member, upon application to such retirement system, may obtain a total not to exceed three years
of service credit for up to three years of military duty, as defined in section two hundred forty-three of the
military law, if the member was honorably discharged from the military and all or part of such military service
was rendered during the following periods: (a) commencing December seventh, nineteen hundred forty-one
and terminating December thirty-first, nineteen hundred forty-six; (b) commencing June twenty-seventh,
nineteen hundred fifty and terminating January thirty-first, nineteen hundred fifty-five; or (c) commencing
February twenty-eighth, nineteen hundred sixty-one and terminating May seventh, nineteen hundred
seventy-five;
2. A member, upon application to such retirement system, may obtain a total not to exceed three years
of service credit for up to three years of military duty, as defined in section two hundred forty-three of the
military law, if honorably discharged therefrom, if all or part of such services was rendered in the military
conflicts referenced below, as follows:
(a) hostilities participated in by the military forces of the United States in Lebanon, from the first day of
June, nineteen hundred eighty-three to the first day of December, nineteen hundred eighty-seven, as
established by receipt of the armed forces expeditionary medal, the navy expeditionary medal, or the
marine corps expeditionary medal;
(b) hostilities participated in by the military forces of the United States in Grenada, from the twentythird day of October, nineteen hundred eighty-three to the twenty-first day of November, nineteen hun­
dred eighty-three, as established by receipt of the armed forces expeditionary medal, the navy expeditionary
medal, or the marine corps expeditionary medal;
(c) hostilities participated in by the military forces of the United States in Panama, from the twentieth
day of December, nineteen hundred eighty-nine to the thirty-first day of January, nineteen hundred ninety,
as established by receipt of the armed forces expeditionary medal, the navy expeditionary medal, the
navy expeditionary medal, or the marine corps expeditionary medal; or
(d) hostilities participated in by the military forces of the United States, from the second day of August,
nineteen hundred ninety, to the end of such hostilities in case of a veteran who served in the theater of
operations including Iraq, Kuwait, Saudi Arabia, Bahrain, Qatar, the United Arab Emirates, Oman, the Gulf
of Aden, the Gulf of Oman, the Persian Gulf, the Red Sea, and the airspace above these locations.
3. A member must have at least five years of credited service (not including service granted hereunder)
to be eligible to receive credit under this section.
4. To obtain such credit, a member shall pay such retirement system, for deposit in the fund used to
accumulate employer contributions, a sum equal to the product of the number of years of military service
being claimed and three percent of such member’s compensation earned during the twelve months of
credited service immediately preceding the date that the member made application for credit pursuant to
this section. If permitted by rule or regulation of the applicable retirement system, the member may pay
such member costs by payroll deduction for a period which shall not exceed the time period of military
service to be credited pursuant to this section. If permitted by rule or regulation of the applicable retire­
ment system, the member may pay such member costs by payroll deduction for a period which shall not
exceed the time period of military service to be credited pursuant to this section. In the event the member
leaves the employer payroll prior to completion of payment, he or she shall forward all remaining required
payments to the appropriate retirement system prior to the effective date of retirement. If the full amount
140
R. & S.S. § 1000
of such member costs is not paid to the appropriate retirement system prior to the member’s retirement,
the amount of service credited shall be proportional to the total amount of the payments made prior to
retirement.
5. In no event shall the credit granted pursuant to this section, when added to credit granted for military
service with any retirement system of this state pursuant to this or any other provision of law, exceed a
total of three years.
6. To be eligible to receive a credit for military service under this section, a member must make applica­
tion for such credit before the effective date of retirement. Notwithstanding the foregoing provisions of
this subdivision, an individual who retired on or after December twenty-first, nineteen hundred ninetyeight and before the effective date of this section may make application for credit pursuant to this section
within one year following the effective date of this section, in which event, the cost to the retiree would
be based on the twelve month period immediately preceding retirement.
7. All costs for service credited to a member pursuant to this section, other than the member costs set
forth in subdivision three of this section, shall be paid by the state and all employers which participate in
the retirement system in which such member is granted credit.
8. A member who has purchased military service credit pursuant to section two hundred forty-four-a of
the military law shall be entitled to a refund of the difference between the amount paid by the member for
such purchase and the amount that would be payable if service has been purchased pursuant to this sec­
tion. [Article 20 added L. 2000, ch. 548 in effect December 21, 1998.]
9. Notwithstanding any other provision of law, in the event of death prior to retirement, amounts paid
by the member for the purchase of military service credit pursuant to this section shall be refunded, with
interest, to the extent the military service purchased with such amounts does not produce a greater death
benefit than would have been payable had the member not purchased such credit.
Notwithstanding any other provision of law, in the event of retirement, amounts paid by the member for
the purchase of military service credit pursuant to this section shall be refunded, with interest, to the
extent the military service purchased with such amounts does not produce a greater retirement allowance
than would have been payable had the member not purchased such credit. [Subdivision 9 added L. 2002,
ch. 547 in effect December 21, 1998.]
10. Anything to the contrary in subdivision four of this section notwithstanding, to obtain such credit,
a member who first joins a public retirement system of the state on or after April first, two thousand
twelve shall pay such retirement system, for deposit in the fund used to accumulate employer contribu­
tions, a sum equal to the product of the number of years of military service being claimed and six percent
of such member’s compensation earned during the twelve months of credited service immediately pre­
ceding the date that the member made application for credit pursuant to this section. [Added L. 2012, ch.
18 in effect April 1, 2012.]
141
R. & S.S. § 1310/1311/1312/1313/1314
Article 24 of the Retirement and Social Security Law
(Benefit Enhancements)
Section 1310.
1311.
1312.
1313.
1314.
Definitions.
Election of benefit enhancements.
Benefit enhancements.
Additional member contributions.
Election not collectively bargained.
§ 1310. Definitions. The following words and phrases as used in this article shall have the following
meanings unless a different meaning is plainly required by the context:
a. “Retirement system” shall mean the New York state and local employees’ retirement system and the
New York state teachers’ retirement system.
b. “Eligible employee”, subject to the limitations of section thirteen hundred twelve of this article, shall
mean a member of a retirement system who first became a member of such system on or after April first,
two thousand twelve who is identified as eligible to receive the benefit enhancements provided for in this
article upon election by the state of New York pursuant to section thirteen hundred eleven of this
article.
§ 1311. Election of benefit enhancements. a. The state of New York may elect to provide employ­
ees who hold a position represented by the recognized collective bargaining units affiliated with the New
York state united teachers employee organization as certified by his or her employer the benefit enhance­
ments provided for in section thirteen hundred twelve of this article.
b. Such election is made by the governor to the retirement system upon receipt of a request by the New
York state united teachers employee organization.
§ 1312. Benefit enhancements. Notwithstanding any other law to the contrary, eligible employees
shall be permitted to retire, without penalty, upon reaching age fifty-seven and completing at least thirty
years of credited service. Employees retiring pursuant to this section shall receive a pension allowance
equal to the sum of thirty-five per centum and one-fiftieth of final average salary for each year of service
in excess of twenty times final average salary times years of credited service.
§ 1313. Additional member contributions. Upon election by the state of New York, the retirement
system shall require additional member contributions to be paid by all eligible employees. The additional
member contributions to be paid by eligible employees shall be of a level so that no additional contribu­
tions shall be paid by the state or participating employers in the retirement system to cover the cost of
such additional benefits. Additional member contributions made pursuant to this section shall be in addi­
tion to member contributions made pursuant to other provisions of this chapter.
§ 1314. Election not collectively bargained. The determination to make an election in accordance
with this article shall not be deemed to be, or to relate to or affect, a term and condition of employment
within the meaning of article fourteen of the civil service law or any local law enacted in furtherance
thereof. [Article 24, added L. 2012, ch. 18 in effect April 1, 2012.]
142
C.P.L.R. § 1012(c)/Ed. L. § 390/392/2510
Miscellaneous Provisions of Laws Affecting
New York State Teachers’ Retirement System
CIVIL PRACTICE LAW AND RULES
§ 1012(c) Notice to comptroller of the state of New York where public retirement benefits are in
issue. Where public retirement benefits, paid, payable, claimed, or sought to be paid by a state retire­
ment system or any other retirement system established for public employees within this state or any
subdivision thereof, or the interpretation of any provisions of law or rules governing any such retirement
system or the operation thereof, are involved in any action to which the comptroller of the state of New
York is not a party, the court shall notify said comptroller, who shall be permitted, in his discretion, to
intervene in such action or to file a brief amicus curiae. [L. 1972, ch. 360 in effect Sept. 1, 1972.]
EDUCATION LAW
§ 390. Definitions.
3. (a) Beginning July first, two thousand thirteen, the term “eligible employees” shall also mean any
person excluded from or not encompassed within a negotiating unit within the meaning of article fourteen
of the civil service law who would otherwise be entitled to receive a benefit under the retirement and
social security law or the education law initially hired on or after July first, two thousand thirteen with
estimated annual wages of seventy-five thousand per annum or greater. Such estimate of annual wages
to determine eligibility for the purposes of this subdivision shall be provided by the employer. For the
purposes of this subdivision, a newly hired state employee whose immediate preceding employment was
with another department, division, or agency of the state shall not be deemed to be an eligible employee.
[Added L. 2012, ch. 18 in effect April 1, 2012.]
§ 392. Rates of Contribution.
2. (c) Notwithstanding any other provision of this section or any other law to the contrary, (1) on and after
April first, two thousand eight for a member who joined the optional retirement program established pursu­
ant to this article before April first, two thousand twelve and who has ten or more years of membership in
such optional retirement program, the state shall contribute one-third of the three percent employee con­
tribution required pursuant to the provisions of this section on behalf of such employee; and (2) on and
after April first, two thousand nine for a member who joined the optional retirement program established
pursuant to this article before April first, two thousand twelve and who has ten or more years of member­
ship in such optional retirement program, the state shall contribute two-thirds of the three percent employee
contribution required pursuant to the provisions of this section on behalf of such employee; and (3) on and
after April first, two thousand ten for a member who joined the optional retirement program established
pursuant to this article before April first, two thousand twelve and who has ten or more years of member­
ship in such optional retirement program, the state shall contribute the three percent employee contribu­
tion required pursuant to the provisions of this section on behalf of such employee. The provisions of this
paragraph shall not apply to any electing employee who becomes a member of the optional retirement
program on or after April first, two thousand twelve. [Amended L. 2012, ch. 18 in effect April 1, 2012.]
§ 2510. Abolition of office or position.
3. (a) If an office or position is abolished or if it is consolidated with another position without creating
a new position, the person filling such position at the time of its abolishment or consolidation shall be
placed upon a preferred eligible list of candidates for appointment to a vacancy that then exists or that
may thereafter occur in an office or position similar to the one which such person filled without reduction
in salary or increment, provided the record of such person has been one of faithful, competent service in
the office or position he has filled. The persons on such preferred list shall be reinstated or appointed to
such vacancies in such corresponding or similar positions in the order of their length of service in the
system at any time within seven years from the date of abolition or consolidation of such office or posi­
tion. Notwithstanding any other provision of law to the contrary, in the event that a member of the New
143
Ed. L. § 2554/2854/3109
York state teachers’ retirement system, who is receiving a disability retirement allowance, shall have such
disability retirement allowance rescinded, such member shall be placed upon such preferred eligible list
as of the effective date of his or her disability retirement.
(b) The persons on such preferred list shall be reinstated, in accordance with the terms of paragraph
(a) of this subdivision, to such substitute positions of five months or more in duration, as may from time
to time occur without losing their preferred status on such list. Declination of such reinstatement shall not
adversely affect the persons’ preferred eligibility status. [Amended L. 1993, ch. 236 in effect July 6, 1993.]
§ 2554. Powers and duties of board of education.
2. To create, abolish, maintain and consolidate such positions, divisions, boards or bureaus as, in its judg­
ment, may be necessary for the proper and efficient administration of its work; to appoint a superintendent of
schools, such associate, assistant, district and other superintendents, examiners, directors, supervisors,
principals, teachers, lecturers, special instructors, medical inspectors, nurses, auditors, attendance officers,
secretaries, clerks, custodians, janitors and other employees and other persons or experts in educational,
social or recreational work or in the business management or direction of its affairs as said board shall deter­
mine necessary for the efficient management of the schools and other educational, social, recreational and
business activities; provided, however, that in the city school districts of the cities of Buffalo, Rochester, and
Syracuse appointment of associate, assistant and district superintendents, and other supervising staff who
are excluded from the right to bargain collectively pursuant to article fourteen of the civil service law shall,
within the amounts budgeted for such positions, be by the superintendent of such city school district; and to
determine their duties except as otherwise provided herein. [Amended L. 2012, ch. 27 in effect April 27, 2012.]
§ 2854. Charter schools and retirement benefits.
1. (b) A charter school shall meet the same health and safety, civil rights, and student assessment
requirements applicable to other public schools, except as otherwise specifically provided in this article.
A charter school shall be exempt from all other state and local laws, rules, regulations or policies govern­
ing public or private schools, boards of education , school districts and political subdivisions, including
those relating to school personnel students, except as specifically provided in the school’s charter or in
this article. Nothing in this subdivision shall affect the requirements of compulsory education of minors
established by part one of article sixty-five of this chapter. [Added L. 1998, ch. 4, in effect December 18,
1998; amended L. 2014, ch. 56 (Part A) in effect April 13, 2015.]
(c) A charter school shall be subject to the financial audits, the audit procedures, and the audit require­
ments set forth in the charter, and shall be subject to audits of the comptroller of the city school district
of the city of New York for charter schools located in New York city, and to the audits of the comptroller
of the state of New York for charter schools located in the rest of the state, at his or her discretion, with
respect to the school’s financial operations. Such procedures and standards shall be consistent with
generally accepted accounting and audit standards. Independent fiscal audits shall be required at least
once annually. [Added L. 1998, ch. 4 in effect December 18, 1998; amended L. 2010, ch. 101 in effect May
28, 2010; amended L. 2014, ch. 56 (Part A) in effect April 1, 2014.]
Other provisions intentionally omitted.
3. (c) The employees of the charter school may be deemed employees of the local school district for
the purpose of providing retirement benefits, including membership in the teachers’ retirement system
and other retirement systems open to employees of public schools. The financial contributions for such
benefits shall be the responsibility of the charter school and the school’s employees. The commissioner,
in consultation with the comptroller, shall develop regulations to implement the provisions of this para­
graph in a manner that allows charter schools to provide retirement benefits to its employees in the same
manner as other public school employees. [L. 1998, ch. 4 in effect December 18, 1998.]
§ 3109. Reduction of salaries for purchase of annuities.
Each board of education, trustee or trustees in any school district, and each board of cooperative edu­
cational services or county vocational education and extension board, in its discretion, may enter into a
written agreement with any employee of such school district or board to reduce the annual salary as
otherwise payable by law of such employee for the purpose of purchasing an annuity or investing in a
custodial account as permitted under section 403(b) of the United States Internal Revenue Code, as
144
C.S. § 150/Ex. L. § 101-a
amended, for such employee. Any such agreement may be terminated at any time upon written notice by
either such employee or such school district or board. Nothing contained in this section shall be con­
strued to diminish or impair any benefits to which such employee or his legal representatives or benefi­
ciaries would be otherwise entitled had such salary reduction agreement not been entered into an
accordance with the provisions of this section. [Added L. 1966, ch. 890 in effect July 29, 1966; amended
L. 1981, ch. 14 in effect March 11, 1981; L. 1983, ch. 463 in effect July 15, 1983.]
CIVIL SERVICE LAW
§ 150. Suspension of pension and annuity during public employment. Except as otherwise pro­
vided by sections one hundred one, two hundred eleven, and two hundred twelve of the retirement and
social security law, section five hundred three of the education law, and except as now provided by any
local law or charter, if any person subsequent to his or her retirement from the civil service of the state or
of any municipal corporation or political subdivision of the state, shall accept any office, position or
employment in the civil service of the state or of any municipal corporation or political subdivision of the
state to which any salary or emolument is attached, except jury duty or the office of inspector of election,
poll clerk or ballot clerk under the election law, or the office of notary public or commissioner of deeds, or
an elective public office, any pension or annuity awarded or allotted to him or her upon retirement, and
payable by the state, by such municipal corporation or political subdivision, or out of any fund established
by or pursuant to law, shall be suspended during such service or employment and while such person is
receiving any salary or emolument therefor except reimbursement for traveling expenses. Notwithstanding
the foregoing, if any person, subsequent to his or her retirement from an elective public office, accepts
appointment, is re-elected or takes a new oath of office to the same elective public office from which he
or she retired, his or her retirement allowance shall be suspended until the date he or she vacates such
elective public office, unless the amount earned for any calendar year for that elective public office does
not exceed the earning limitation provided for retired persons in section two hundred twelve of the retire­
ment and social security law. However, for purposes of this section the age seventy unlimited earnings
provision of section two hundred twelve of the retirement and social security law will not pertain to any
person, subsequent to his or her retirement from an elective public office, if such person accepts appoint­
ment, is re-elected or takes a new oath of office to the same elective public office from which he or she
retired. [Added L. 1958, ch. 790; amended L. 1962, ch. 564; L. 1963, ch. 628; L. 1964, ch. 803 in effect
July 1, 1964; L. 1984, ch. 117 in effect May 15, 1984; amended L. 1995, ch. 211 in effect July 26, 1995.]
EXECUTIVE LAW
§ 101-a. Legislative notification of the proposed adoption, amendment, suspension or repeal of
agency rules.
1. Definitions. As used in this section,
a. “Agency” means any state board, bureau, commission, department, authority, division, or officer
authorized by law to make rules.
b. “Rule” means the whole or part of each agency statement of general applicability or regulation or
code that implements or applies law, or prescribes the procedure or practice requirements of any agency,
including the amendment, suspension or repeal thereof, except such as relates to the organization or
internal management of the agency.
2. Except as provided in subdivision three of this section, at least forty-five days prior to either the
adoption of any rule, or, if a public hearing is required by statute, at least forty-five days prior to the first
public hearing on a proposed rule, the agency proposing to take such action shall send a notification of
such proposed action to the temporary president of the senate and the speaker of the assembly. This
notification shall: (a) refer to the statutory authority under which the action is proposed, (b) give the time
and place of any public hearing that may be scheduled concerning the proposed action, or state the man­
ner in which data, views or arguments may be submitted to the agency concerning the proposed action,
(c) contain a copy of the complete text of the proposed rule, and (d) contain a fiscal statement setting
forth the fiscal consequences of the proposed action on the state and its local governments. [Amended
L. 1987, ch. 610 in effect October 1, 1987.]
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Ex. L. § 296/Leg. L. § 50//M.L. § 243-d
3. If the agency finds that it is necessary for the preservation of the public health, safety or general wel­
fare to dispense with the requirements of subdivision two, the agency may dispense with such requirements
and adopt the rule, as an emergency measure. Within five days of the filing of such emergency measure in
the office of the department of state, the agency taking such action shall send the temporary president of
the senate and the speaker of the assembly a notification containing the information required by subdivision
two of this section; provided, however, such notification shall also: (a) include a brief statement setting forth
the reasons why the agency finds that it is necessary for the preservation of the public health, safety or
general welfare to dispense with the requirements of subdivision two of this section and adopt the rule as
an emergency measure, and (b) provide the date the emergency measure will terminate if the agency does
not intend to adopt such measure as a permanent rule, or indicate that the agency intends to adopt such
measure as a permanent rule, in which case compliance with the notification requirements of this section
shall be deemed satisfied. The effectiveness of any such emergency measure, unless adopted as a perma­
nent rule in the manner prescribed by law, shall not exceed ninety days after the filing of such measure in
the office of the department of state, provided, however, if such emergency measure is readopted prior to
the expiration of such ninety day period such readoption and any subsequent readoptions shall remain in
effect for no longer than sixty days. [Amended L. 1988, ch. 483 in effect December 1, 1988.]
4. The legislature in the joint rules of the senate and assembly may exempt from the requirements of
this section certain rules which have or would have no significant fiscal implications.
5. This section does not relieve any agency from compliance with any statute requiring that its rules be
filed with or approved by designated persons or bodies before they become effective.
6. A proceeding to invalidate any rule on the ground of noncompliance with the procedural require­
ments of this section must be commenced by the temporary president of the senate or the speaker of the
assembly within four months from the effective date of the rule. No rule shall be valid unless adopted in
substantial compliance with this section; provided, however, that the inadvertent failure to give notice as
provided in this section shall not invalidate any rule. [Added L. 1971, ch. 275 in effect Sept. 1, 1971.]
§ 296. Compulsory Retirement.
3-a (f) Nothing contained in this subdivision, in subdivision one of this section or in article fourteen-A of
the retirement and social security law shall be construed to prevent the compulsory retirement of any
employee who has attained seventy years of age and is serving under a contract for unlimited tenure, or a
similar arrangement providing for unlimited tenure, at a nonpublic institution of higher education. For pur­
poses of such subdivisions or article, the term “institution of higher education” means an educational
institution which (i) admits as regular students only persons having a certificate of graduation from a
school providing secondary education, or the recognized equivalent of such a certificate, (ii) is lawfully
authorized to provide a program of education beyond secondary education, and (iii) provides an educa­
tional program for which it awards a bachelor’s degree or provides not less than a two-year program which
is acceptable for full credit toward such a degree.* [Added L. 1984, ch. 296 in effect Jan. 1, 1985. Amended
L. 1990, ch. 483 in effect July 18, 1990; as redesignated by L. 2000, ch. 166 in effect July 18, 2000.]
LEGISLATIVE LAW
§ 50. Fiscal note in retirement bills. A bill which enacts or amends any provision of law relating to
a retirement system or plan of the state of New York or of any of its political subdivisions shall contain a
fiscal note stating the estimated annual cost to the employer affected and the source of such estimate.
[Sec. 50 added L. 1971, ch. 503 in effect June 17, 1971.]
MILITARY LAW
§ 243-d. Non-contributory retirement service credit for members of the New York state and local
retirement systems, the New York City retirement systems or the New York state teachers’ retirement
system called to active military duty on or after September eleventh, two thousand one. Notwithstanding
*See also Article 14-A, Ret. & Soc. Sec. Law, L. 1984, ch. 296 in effect Jan. 1, 1985.
146
M.L. § 244-a /R. & S.S. § 2
any other provision of law, any member of the New York state and local employees’ retirement system,
the New York City retirement systems, the New York state and local police and fire retirement system, or
the New York state teachers’ retirement system who is called to active military duty on or after September
eleventh, two thousand one and prior to January first, two thousand six, who is not receiving his or her
full salary from a participating employer and is otherwise eligible to receive retirement service credit in
such system for such active military duty pursuant to section two hundred forty-two or two hundred fortythree of this article, shall not be required to make member contributions to receive such credit. [Section
243-d added L. 2005, ch. 326 in effect on and after September 11, 2001; amended L. 2014, ch. 427 in
effect September 11, 2001.]
§ 244-a. Credit to members of public retirement systems for military service performed during
war. 1. Notwithstanding any other provision of law, a member of a public retirement system of the state,
as defined in subdivision twenty-three of section five hundred one of the retirement and social security
law, shall be eligible for credit for military service performed during a period of war upon attainment of no
less than ten years of service and may obtain, upon application to such retirement system, a total not to
exceed three years of service credit within three years prior to retirement for up to three years of military
service as a member of the armed forces of the United States if such service was rendered during a
period of war. For purposes of the New York state and local employees’ retirement system and the New
York state and local police and fire retirement system all such service shall be credible in all plans speci­
fied in the retirement and social security law.
2. In order to purchase credit pursuant to this subdivision, the member shall pay into the pension accu­
mulation fund the contribution amount as determined by the comptroller, either in a lump sum or in install­
ments, necessary to pay in full the cost of such previous service. If such payment be made in installments,
the same shall be paid within a period no greater than the number of months of such member service
granted.
3. In no event shall the credit granted pursuant to this section, when added to credit granted for military
service with any retirement system pursuant to this section or any other provision of law, exceed a total
of three years. [Section 244-a added L. 1998, ch. 644 in effect December 21, 1998.]
RETIREMENT AND SOCIAL SECURITY LAW
§ 2. 36. (a) “Qualifying World Trade Center Condition” shall mean a qualifying condition or impairment
of health resulting in disability to a member who participated in World Trade Center rescue, recovery or
cleanup operations for a qualifying period, as those terms are defined below, provided the following con­
ditions have been met: (i) such member, or eligible beneficiary in the case of the member’s death, must
have filed a written and sworn statement with the member’s retirement system on a form provided by
such system indicating the underlying dates and locations of employment not later than September elev­
enth, two thousand fifteen, and (ii) such member has either successfully passed a physical examination
for entry into public service, or authorized release of all relevant medical records, if the member did not
undergo a physical examination for entry into public service; and (iii) there is no evidence of the qualifying
condition or impairment of health that formed the basis for the disability in such physical examination for
entry into public service or in the relevant medical records, prior to September eleventh, two thousand
one except for such member, or eligible beneficiary in the case of the member’s death, of a local retire­
ment system of a city with a population of one million or more that is covered by section 13-551 of the
administrative code of the city of New York, or by section twenty-five hundred seventy-five of the educa­
tion law and for such member who separated from service with vested rights, or eligible beneficiary of
such member who separated from service with vested rights in the case of the member’s death, of a local
retirement system of a city with a population of one million or more who are covered by sections 13-168,
13-252.1 or 13-353.1 of the administrative code of the city of New York or sections five hundred seven-c,
six hundred five-b, six hundred five-c, or six hundred seven-b of this chapter. The deadline for filing a
written and sworn statement required by subparagraph (i) of this paragraph shall be September eleventh,
two thousand fourteen for such member, or eligible beneficiary in the case of the member’s death, of a
local retirement system of a city with a population of one million or more that is covered by section 13-551
of the administrative code of the city of New York, or by section twenty-five hundred seventy-five of the
147
R. & S.S. § 25/43
education law and for such member who separated from service with vested rights, or eligible beneficiary
of such member who separated from service with vested rights in the case of the member’s death, of a
local retirement system of a city with a population of one million or more who are covered by sections
13-168, 13-252.1 or 13-353.1 of the administrative code of the city of New York and sections five hundred
seven-c, six hundred five-b, six hundred five-c, or six hundred seven-b of this chapter. Every retirement
system shall keep a copy of every written and sworn statement that is presented for filing not later than
September eleventh, two thousand fifteen, including those that are rejected for filing as untimely. [Para­
graph a of subdivision 36 of section 2 amended L. 2014, Ch. 472 in effect November 21, 2014.]
§ 25. Appropriations in retirement bills. The state shall make a payment to the retirement system
in an amount equal to the value of the benefits associated with prior service upon the enactment of a bill
which enacts or amends any provision of law relating to a retirement system or plan of the state of New
York or of any of its political subdivisions. The state may amortize such payment over a five year period
at a rate of interest to be determined by the retirement system. Such bill shall contain an itemized appro­
priation from the state’s general fund beginning for the fiscal year in which such amendment becomes
effective and which shall not be used for any other purpose, sufficient to disburse a minimum of the first
of five such amortization payments plus the present value of the benefits provided to employees of the
state or its political subdivisions by the bill for the current fiscal year. The state shall continue to pay for
the cost of the benefits as provided by the bill to the state and its political subdivisions on an ongoing
basis. Such appropriation from the state’s general fund shall only be required when a bill is enacted on a
statewide basis. In addition, such appropriation from the state’s general fund shall not be required when
the benefits provided by a particular bill must be elected by a participating employer, local government,
or school district. [Section 25 added L. 2012, ch. 18 in effect April 1, 2012.]
§ 43. Transfer of members between systems.
a. Notwithstanding any other provision of law providing for transfers, any member of any retirement
system maintained by the state or a municipality thereof, operating on a sound financial basis and subject
to the supervision of the insurance department of this state may transfer his membership pursuant to this
section to the New York state and local employees’ retirement system, the New York city board of educa­
tion employees’ retirement system, the New York state teachers’ retirement system, the New York city
teachers’ retirement system or to the New York city employees’ retirement system. Any member of the
New York state and local employees’ retirement system may transfer his membership to any retirement
system, other than the hospital retirement system, which is operating on a sound basis and is subject to
the supervision of the insurance department of this state. Any such transfer may be effectuated only if the
member has accepted a position in another branch of the state or municipal service which would make it:
1. Impossible for him to continue in the retirement system of which he has been a member, and
2. Possible for him to participate in another such system.
Notwithstanding the foregoing provisions of this subdivision, any employee who would be eligible to
avail himself or herself of the provisions of this section but for being on leave of absence status from a
prior employment while in his or her present employment, shall be permitted to transfer his or her retire­
ment system membership pursuant to the provisions of this section.
Any member of the New York state and local employees’ retirement system, however, who was an
employee of any city agency at the time service with such agency was legislated to be city service may
transfer his membership to the retirement system of such city.
b. In order to effect such a transfer, a member must give notice to the administrative head of the retire­
ment system of which he is a member, prior to his withdrawal therefrom, of his intention to enter such
other retirement system within one year. In the case of a person who has withdrawn from a retirement
system and has been entitled to at least thirty years of total service credit in such system, however, such
notice may be given within three years from the time of such withdrawal. In the case of a person who was
a member of a retirement system, and who while under such status becomes a member of such second
retirement system, who has not withdrawn his contributions to the first such retirement system, any provi­
sions of law notwithstanding, such notice may be given on or before June thirtieth, nineteen hundred
fifty-nine. A person so transferring from one retirement system to another shall be deemed to have been
a member of the system to which he has transferred during the entire period of membership service
148
R. & S.S. § 43
credited to him in the system from which he has transferred. Such transferee, however, shall not receive
more than three percent interest on his contributions and accumulated contributions unless he has con­
tinuously been a member in either system from which or to which he is transferring since a date prior to
July first, nineteen hundred forty-three. This shall not be construed to prevent a change in the interest
rate to such member if the interest rate payable to other members of the system to which he has trans­
ferred is changed. Any member who heretofore transferred from one retirement system to another shall,
commencing with the effective date of this act, be entitled to the same rights, privileges and benefits, and
shall be subject to the same obligations, as a transferee who hereafter transfers. He shall receive no
credit for prior service, except as hereinafter provided. He shall be permitted to deposit in the second
retirement system the total amount of his contributions withdrawn from the first retirement system. Upon
such deposit within one year or within three years, or on or before June thirtieth, nineteen hundred fiftynine, as the case may be, he or the administrative head of the system to which he desires to transfer, shall
request the administrative head of the first retirement system to transfer to the second retirement system
a credit on account of his membership in such system.
c. Upon the request for a transfer of credit, the reserve on such member’s benefits, computed as
though he had not discontinued membership, shall be determined by the actuary of the first system in the
following manner:
1. The total present value of all benefits allowable under the retirement system as the result of contribu­
tions made or to be made by his employer shall be computed.
2. From such total present value there shall be deducted the present value of the future contributions
which would be payable by his employer on such member’s account had he become a member of the
retirement system, subsequent to its establishment, at the age at which he originally entered the service
of his employer. The result so obtained shall be considered as the reserve on his account in the first retire­
ment system.
d. Such reserve shall be transferred from the appropriate fund or funds of the first system to the appro­
priate fund or funds of the second system within one year from the date of the request for a transfer of
credit. Such member, thereupon, shall be given such status and credited with such service in the second
retirement system as he was allowed in the first retirement system. Such contributor, notwithstanding any
other provision of law, shall on retirement after three years of member service in the second retirement
system be entitled to a pension based on salary earned during member service in either retirement sys­
tem, or in both retirement systems together, whichever may produce the greater pension pursuant to the
statutory requirements of the second retirement system. No such contributor, however, shall be entitled
on retirement within three years of the date of his transfer, to a greater or lesser pension for such service
rendered before his transfer than he would have received had he remained under the pension provisions
of the first retirement system.
e. The provisions of former subdivision e of this section, as originally enacted by chapter four hundred
eighty-three of the laws of nineteen hundred forty-five and as codified in such former subdivision e by
chapter eight hundred forty-one of the laws of nineteen hundred forty-seven, shall apply to memberships
transferred prior to July first, nineteen hundred forty-nine. Section one hundred seventeen of this article
shall apply to the provisions of this subdivision insofar as such provisions relate to such memberships.
f. 1. A ”New York city member,” as defined in subdivision twenty of section two hundred forty-three of
the military law, who shall transfer to another retirement system pursuant to this section shall be given
credit, upon such transfer, for the period of military duty to which such member would have been entitled
pursuant to such subdivision twenty if he had remained, until the time of death or retirement, in the
retirement system from which he shall so transfer. The amount of reserves to be transferred under this
section for such credit shall be computed in accordance with this section, shall include pension reserves
for such military duty, and shall be credited by the retirement system to which the member shall transfer
in accordance with the provisions of such system governing credit for service in world war II, and the
city of New York, or the authority, by which such member is employed immediately prior to the transfer,
shall pay to the retirement system the amount of the reserve to be transferred on account of such mili­
tary service.
2. Any retirement system from which a member shall transfer pursuant to this subdivision shall have
the right to require reasonable proof of military service, pay status, and any other information relevant to
eligibility for such transfer of credit for military duty.
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R. & S.S. § 43
3. The provisions of this subdivision f shall apply only to a ”New York city member” who has rendered
service as an officer or employee of the city of New York (or any agency thereof) or public corporation, the
officers or employees of which are eligible for membership in a pension or retirement system maintained by
such city, including performance of such military duty, for at least fifty per centum of the time between his
commencement of such service and the date upon which he has attained or shall attain age fifty-five.
g. Notwithstanding any other provisions of law, a member of the retirement system in the employ of the
state on March thirty-first, nineteen hundred seventy who would have been entitled to transfer service
credit from another retirement system pursuant to this section had he made a timely election may obtain
such credit by depositing in the retirement system an amount equal to the contributions withdrawn from
the system of which he had been a member, with regular interest. Such deposit shall be made on or
before March thirty-first, nineteen hundred seventy-two, provided, however, such member may elect to
deposit such amount over a period of time no greater than the period for which credit is being claimed.
Such payments must commence no later than March thirty-first, nineteen hundred seventy-two. If the full
amount is not paid to the retirement system, the amount of service credited shall be proportional to the
total amount of the payments made.
h. Notwithstanding any other provisions of the law, a former member of the New York state teachers’
retirement system who holds membership in the New York city teachers’ retirement system on the effec­
tive date of this act and who would have been entitled to transfer service credit to such latter retirement
system pursuant to this section had his membership in the former retirement system not terminated, due
to no negligence on the part of the member, may have his transfer rights under this section restored by
depositing, within one year of the effective date of this act, in the former retirement system an amount
equal to the contributions withdrawn from such system with regular interest thereon.
i. Notwithstanding any inconsistent provisions of law, any member of the New York state employees’
retirement system who was transferred to that system from the New York city employees’ retirement system
pursuant to section two of chapter nine hundred sixty-six of the laws of nineteen hundred seventy-six and
who at any time prior to becoming a member of the New York city employees’ retirement system, had been
a member of another retirement system and would have been entitled to transfer service credit from that
other retirement system to the New York city employees’ retirement system pursuant to this section, had he
made a timely election to make such a transfer in the manner set forth in this section, may, not withstanding
the failure to make timely election under this section, transfer the service credit under such other retirement
system to the state employees’ retirement system if on or before March thirty-first, nineteen hundred eightyfive, such member files a written request for such transfer with the state comptroller and with the adminis­
trative head of such other retirement system and if such member deposits in the state employees’ retirement
system an amount equal to any contributions withdrawn from the system of which he had been a member
prior to becoming a member of the New York city employees’ retirement system, with regular interest. Such
deposit shall be made on or before March thirty-first, nineteen hundred eighty-five, provided, however, such
member may elect to deposit such amount over a period of time no greater than the period for which credit
is being claimed. Such payment must commence no later than March thirty-first, nineteen hundred eightyfive. If the full amount is not paid to the retirement system, the amount of service credited shall be propor­
tionate to the total amount of the payments made. Such other retirement system shall compute and transfer
the reserve on such member’s benefits pursuant to the provisions of subdivisions c and d of this section.
j. This subdivision shall apply only to individuals who, subsequent to vesting in a retirement system,
transfer to a second retirement system whose governing laws require a greater number of years of credit
for vesting than those of the first system, and who, upon such transfer, do not have the number of years
of service credit that is ordinarily required to vest in such second retirement system.
1. Upon transfer, the number of years of service credit required for the transferred individual to attain
vested rights in the second retirement system shall be the same as the number of years of service credit
required, under applicable law, for vesting in the first retirement system.
2. In the event that an individual covered by this subdivision makes application to retire from such second
system prior to attaining the amount of service credit that would otherwise be necessary to vest in such
second retirement system, and such individual is otherwise eligible to retire from such second system, the
application shall be granted, and benefits shall be calculated on the basis of the actual amount of service
credit the individual has accrued at the time of retirement. Transferred service credit shall not be creditable
under any plan in the second retirement system that it would not otherwise be creditable under.
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R. & S.S. § 79
k. Notwithstanding any other provision of this section, any member of the New York state and local
employees’ retirement system or the New York City teachers’ retirement system who retired from service
from either the New York city employees’ retirement system or the New York city board of education
retirement system as a member of the career pension plan maintained by such system and who, but for
the fact that he or she retired, would be eligible for transfer and who has not, in fact, received a pension
payment from such system shall be permitted to transfer his or her retirement system membership pursu­
ant to the provisions of this section. In such event, the application for retirement shall be deemed to have
been rescinded and the retirement system from which the service shall be transferred shall transfer the
appropriate reserves as provided by this section, provided, however, that with respect to transfers pursu­
ant to this subdivision which occur on or after the twenty-sixth day of October, two thousand four, except
for the purposes of providing the benefits, if any, of subdivision four of section five hundred twenty-two
of the education law, no determination of a reserve pursuant to subdivision c of this section or transfer
thereof pursuant to the first sentence of subdivision d of this section shall be required in the case of any
transfer pursuant to this subdivision. Notwithstanding the provision of this subdivision or any other provi­
sion of law, an individual who transfers pursuant to this subdivision shall not be required to render any
minimum period of service following transfer in order to be eligible to receive the full benefit provided
hereunder. Notwithstanding the foregoing, a retiree covered by either the career pension plan or the fifty­
five-year-increased-service-fraction plan who has received a pension payment or payments from such
system shall be eligible for the provisions of this subdivision upon payment, to the retirement system from
which the pension payment or payments were made, of an amount equal to such pension payment or
payments. After such payments are received, such person shall be permitted to transfer his or her retire­
ment system membership pursuant to the provisions of this section. [Amended L. 1999, ch. 106 in effect
June 22, 1999; Added L. 1955, ch. 687 in effect July 1, 1956; amended L. 1956, ch. 757 in effect July 1,
1956; L. 1959, ch. 724 in effect April 23, 1959; L. 1965, ch. 471 in effect July 1, 1965; L. 1970, ch. 457 in
effect April 1, 1970; L. 1971, ch. 905 in effect June 25, 1971; L. 1971, ch. 1197 in effect July 6, 1971; L.
1975, ch. 618 in effect Aug. 5, 1975; L. 1977, ch. 974 in effect Aug. 11, 1977; L. 1984, ch. 772 in effect
Aug. 3, 1984; L. 1993, ch. 585 in effect July 28, 1993; L. 1995, ch. 608 in effect Aug. 8, 1995; L. 2001, ch.
558 in effect December 12, 2000; L. 2002, ch. 381 in effect July 14, 1998; L. 2004, ch. 647 in effect Octo­
ber 26, 2004; amended L. 2009, ch. 41, became a law May 26, 2009 effective retro. to Oct. 26, 2004.]
l. Notwithstanding any other provision of law to the contrary, with respect to transfers pursuant to this
section which occur on or after the twenty-sixth day of October, two thousand four, except for the pur­
poses of providing the benefits, if any, of subdivision four of section five hundred twenty-two of the edu­
cation law, no determination of a reserve pursuant to subdivision c of this section or transfer thereof
pursuant to the first sentence of subdivision d of this section shall be required in the case of any transfer
pursuant to this section. For the purpose of giving the transferring member such status and crediting
such service in the second retirement system as such member was allowed in the first retirement system
in those cases to which this subdivision shall apply, the transfer shall be deemed complete upon receipt
by the second retirement system of:
1. a statement from the first retirement system of the transferring member’s date of membership in the
first retirement system, tier status, service credited to such membership being transferred, and such
other information as the second retirement system may require to effectuate the transfer; and
2. such member’s accumulated contributions from the first retirement system, if same had not been
previously withdrawn, or notice from the first retirement system that such member had no accumulated
contributions, or notice from the first retirement system that such member’s accumulated contributions
had been withdrawn and the amount thereof and, as applicable, receipt from such member of such mem­
ber’s accumulated contributions and interest. [Subdivision l added L. 2004, ch. 647 in effect October 26,
2004; amended L. 2009, ch. 41, became a law May 26, 2009 effective retro. to Oct. 26, 2004.]
§ 79. Cafeteria plans. To the extent permitted by section one hundred twenty-five of the internal
revenue code and any regulations adopted pursuant thereto, any salary reduction elected by an employee
who is a participant in either the New York state employees retirement system or the New York state
teachers retirement system under a cafeteria plan or flexible benefit plan shall be considered part of
annual compensation for the purpose of computing employer and employee retirement plan contributions
and for computing retirement benefits. [Sec. 79 added L. 1989, ch. 760 in effect July 25, 1989.]
151
R. & S.S. § 150/151/152/153
Article 3-A
REPORTING AND DISCLOSURE
Section 150.
151.
152.
153.
154.
155.
Short title.
Application.
Definitions.
Summary plan description.
Reporting of member’s benefit rights.
Limitations.
§ 150. Short title. This article shall be known and may be cited as the “New York state public retire­
ment system reporting and disclosure act”.
§ 151. Application. Notwithstanding any inconsistent provision of law, the provisions of this article
shall apply to any public retirement system of the state and to any public employee pension plan admin­
istered by such system.
§ 152. Definitions. The following words and phrases, as used in this article, shall have the following
meanings, unless a different meaning is plainly required by the context:
1. “Beneficiary” shall mean a person who is receiving a benefit from a public retirement system of the
state or who has met all the conditions precedent for the actual receipt of a benefit from a public retire­
ment system of the state, and the monies are due and owing to such person by the public retirement
system of the state. [Subdivision 1 amended L. 1987, ch. 578 in effect Oct. 1, 1987.]
2. “Retired member” shall mean a person who is retired from and who is receiving a retirement allow­
ance from a public retirement system of the state.
3. “Member” shall mean a member of any public retirement system of the state.
4. “Head of the retirement system” shall mean the state comptroller, with respect to the state employ­
ees retirement system and the state policemen’s and firemen’s retirement system, and the retirement
board of the other public retirement systems of the state.
5. “Public employee pension plan” shall mean any plan, fund, or program which was heretofore or is
hereafter established or maintained, in whole or in part, by a public employer of the state, as the term
public employer is defined in article fourteen of the civil service law, and administered by a public retire­
ment system of the state, which provides retirement income to employees or their beneficiaries.
6. “Public retirement system of the state” shall mean the New York state employees retirement system,
New York State policemen’s and firemen’s retirement system, New York state teachers retirement system,
New York city employees retirement system, New York city teachers retirement system, New York city
police pension fund, New York city fire department pension fund and the New York city board of educa­
tion retirement system.
7. “Total accumulated plan benefits” shall mean an interest obtained by a member in that part of a
public employee pension plan which arises from the member’s continued service for a public employer
based on service to date.
8. “Vested pension benefit” shall mean an interest obtained by a member in that part of a public employee
pension plan which arises from the member’s continued service for a public employer and which would not
be forfeited under the terms and provisions of the plan if the member were to terminate employment.
§ 153. Summary plan description. 1. The head of each public retirement system shall prepare and
publish a summary plan description of any public employee pension plan which is administered or main­
tained by such system and of any material modification or change in the terms of such plan. The summary
plan description shall include the information required under subdivision two of this section. The sum­
mary plan description, a summary of any material modifications in the terms of the plan, and any other
changes in the information required under this section shall be furnished to members in the manner and
to the extent provided in subdivision three of this section. The summary plan description and any other
summary descriptions required by this article (including updates of summary plans and information
152
R. & S.S. § 154/155
concerning changes and modifications) shall be written in a manner calculated to be understood by the
average member and shall be sufficiently accurate and comprehensive to reasonably apprise such mem­
bers of their rights and obligations under the plan.
2. The summary plan description shall contain the following information, and shall be updated at regu­
lar intervals to incorporate any changes in such information:
(a) the name and address of the head of the public retirement system which administers such plan;
(b) the plan’s requirements with respect to eligibility for participation or membership and benefits;
(c) the plan’s requirements with respect to vesting of pension benefits;
(d) the circumstances which may result in disqualification, forfeiture, ineligibility, or denial or loss of
benefits;
(e) the procedures to be followed in presenting claims for benefits under the plan and the remedies
available under the plan for the redress of claims for benefits which are denied in whole or in part.
3. The head of each public retirement system shall, in a manner to be determined by the head of such
retirement system, furnish to each member a copy of the summary plan description required by this sec­
tion, including all modifications and changes thereto, within one year of the time the individual is regis­
tered as a member. If there is a material modification or change, the head of the retirement system shall,
in a manner to be determined by the head of such retirement system, furnish a summary description of
such modification or change to each member or beneficiary whose rights or benefits may reasonably be
expected to be affected thereby and to each retired member whose rights or benefits may reasonably be
expected to be affected thereby. Provided, however, that where such modification or change requires
members, retired members, or their beneficiaries to make a selection or file an application by a certain
date, such summary description shall be furnished to the affected members, retired members, or their
beneficiaries not later than sixty days before the final date for making such selection or filing such appli­
cation, unless such notice is impracticable under the terms of such modification or change.
§ 154. Reporting of member’s benefit rights. 1. The head of the retirement system shall furnish
annually to any member of a plan a statement indicating, on the basis of currently available information:
(a) the total accumulated plan benefits or the amount payable;
(b) the extent to which benefits are vested pension benefits;
(c) the contributions made by the member, plus interest, if any; and
(d) the name of the person designated by such member to receive a benefit upon the member’s death.
2. The head of the retirement system shall, in a manner to be determined by the head of such retire­
ment system, furnish to any member or beneficiary who requests the withdrawal of contributions made
by the member, the payment of any benefit from the plan, or, in accordance with the provisions of the
plan, an election as to the form of benefits to be made under the provisions of the plan (including an elec­
tion of options, as the term options is defined in the relevant provisions of this chapter, the education law,
or the administrative code of the city of New York), a written explanation of the effect of such withdrawal,
payment, or election on the plan benefits of the member or beneficiary. Such explanation shall include a
description of the various alternative forms of benefit payments, if any, which the participant may elect,
and, to the extent practicable, shall be furnished to such member or beneficiary at least thirty days prior
to the effective date of such withdrawal, payment, or election. [Par. (d) of sub. 1 of Sec. 154 amended L.
1987, ch. 578 in effect Oct. 1, 1987.]
§ 155. Limitations. Nothing contained in this article requiring reporting and disclosure shall be
construed to create, revive, extend, or otherwise affect the entitlement of a member, retired member, or
a beneficiary to any retirement benefit. [Article 3-A enacted L. 1986, ch. 796 effective October 1, 1987.]
153
R. & S.S. § 176
Article 4-A
INVESTMENTS OF PUBLIC PENSION FUNDS
Section 176.
177.
177-a.
177-c.
177-d.
178.
178-a.
179.
179-a.
Definitions.
Eligible investments
Investment in certain conventional mortgages.
Investment in mortgage pass-through certificates.
Security loan agreements.
Additional limitations on eligible investments.
Custody and nominee registration of stock and securities.
Investments in municipal assistance corporation securities, indemnification.
Construction.
§ 176. Definitions.
1. The term “fund”, as used in this article four-a, shall mean any public retirement system or pension
fund which grants retirement or pension benefits to employees of the city of New York, employees of the
state of New York, employees of any department or agency of the city of New York or the state of New
York, and employees of any municipality or other participating employer participating in the New York
state employees retirement system or the New York state policemen’s and firemen’s retirement system.
2. The term “conventional mortgage”, as used in this article four-a, shall mean (a) any single bond and
mortgage or note and mortgage constituting a first lien upon real estate (including leasehold estates), not
insured by the federal housing administrator or any of his successors in office or guaranteed by the
United States and under the provisions of the national housing act,* as amended or supplemented, (b)
first mortgage bonds issued under an indenture of mortgage and deed of trust, constituting a first lien
upon real estate (including leasehold estates), and issued to a corporate trustee authorized to act as such
in this state and approved by the fund.
3. The term “insured mortgage”, as used in this article four-a, shall mean any single bond and mortgage
or note and mortgage constituting a first lien upon real estate (including leasehold estates), insured by
the federal housing administrator or any of his successors in office and guaranteed by the United States
under the provisions of the national housing act,* as amended or supplemented. [Added L. 1960, ch. 817;
amended L. 1962, ch. 676; L. 1963, ch. 243; L. 1967, ch. 473, effective April 18, 1967.]
4. The term “MWBE asset manager” shall mean an asset manager in any of the following asset classes:
public equity or fixed income securities, hedge funds, fund of hedge funds, private equity (including ven­
ture capital), fund of private equity funds, real estate investment funds, fund of real estate funds, or any
other asset class for which an applicable fiduciary-controlled entity engages external asset managers
that is (a) a MWBE; and (b) a registered investment advisor or exempt from such registration and (c) certi­
fied pursuant to the provisions of subdivision three of section four hundred twenty-three-c of this
chapter.
5. The term “minority group member” shall mean a United States citizen or permanent resident alien
who is and can demonstrate membership in one of the following groups:
(a) Black persons having origins in any of the black African racial groups;
(b) Hispanic persons of Mexican, Puerto Rican, Dominican, Cuban, Central or South American of either
Indian or Hispanic origin, regardless of race;
(c) Native American or Alaskan native persons having origins in any of the original peoples of North
America; or
(d) Asian and Pacific Islander persons having origins in any of the Far East countries, South East Asia,
the Indian subcontinent or the Pacific Islands.
6. The term “MWBE” for the purpose of engaging in business with the fiduciary-controlled entities cov­
ered by this section, means a business enterprise, including without limitation, a sole proprietorship,
partnership, limited partnership, limited liability partnership, limited liability company, corporation or
other similar entity whether domestic or foreign, that is:
*12 U.S.C.A. §1701 et seq.
154
R. & S.S. § 177
(a)(i) at least fifty-one percent owned by (A) one or more minority group members, or (B) one or more
women, in each case, who have significant experience in asset management, brokerage, other financial
services or related professional services such as accounting, valuation or legal services, or (ii) substan­
tially owned and/or operated by women or minority group members who have significant experience in
asset management, brokerage, other financial services or related professional services such as account­
ing, valuation or legal services;
(b) an enterprise in which such minority or women ownership or operation is real, substantial and
continuing;
(c) an enterprise in which such minority or women ownership or operation has and exercises the
authority to control independently the day-to-day business decisions of the enterprise;
(d) an enterprise authorized to do business in this state; and
(e) an enterprise certified by the state comptroller pursuant to section four hundred twenty-three-c of
this chapter.
7. The term “MWBE financial institution” shall mean (a) as it relates to brokerage services, a registered
broker dealer that is an MWBE certified pursuant to the provisions of subdivision three of section four
hundred twenty-three-c of this chapter and (b) as it relates to any other financial services, an MWBE
certified pursuant to the provisions of subdivision three of section four hundred twenty-three-c of this
chapter that provides banking, financial advisory, insurance, financial research, valuation or other finan­
cial services.
8. The term “fiduciary-controlled entities” shall mean the common retirement fund, state teachers
retirement fund, state insurance fund and state deferred compensation plan.
9. The term “best execution” shall refer to the obligation of an entity that purchases or sells publiclytraded securities to ensure the optimal mix of price improvement (getting a better price than is currently
quoted), speed and likelihood of execution. [Subdivisions 4, 5, 6, 7, 8 and 9 added by L. 2010, ch. 171 in
effect October 13, 2010.]
§ 177. Eligible investments.
In addition to the powers contained in any other provision of law, including the provisions of the admin­
istrative code of the city of New York, the trustee or trustees of a fund shall have the power to invest the
moneys thereof in: 1. Such securities in which the trustees of a savings bank may invest the moneys
deposited therein as provided by law, subject, however, to the following limitations:
(a)(i) Except as provided in sections one hundred seventy-eight and three hundred six of the public
housing law, no conventional mortgage may exceed sixty per centum of the appraised value of improved
and unencumbered real property or seventy-five per centum of the appraised value thereof if such real
property is improved by a building or buildings, the major portion of which is used, or in the case of a
building under construction is to be used, for residential, business, manufacturing or agricultural pur­
poses; (ii) the aggregate unpaid principal amount of all conventional mortgages at any time held in a fund
shall not exceed thirty percentum of the assets of such fund; and (iii) not more than five per centum of the
assets of any fund shall be invested in any one conventional mortgage;
(b) the aggregate unpaid principal amount of obligations issued or guaranteed by the international
bank for reconstruction and development at any time held in a fund shall not exceed five per centum of
the assets of such fund;
(c) the aggregate unpaid principal amount of all obligations of the Dominion of Canada, of any province
of the Dominion of Canada, and of any city of the Dominion of Canada at any time held in a fund shall not
exceed five per centum of the assets of such fund;
(d) the aggregate unpaid principal amount of equipment trust certificates at any time held in a fund
shall not exceed five per centum of the assets of such fund; and
(e) not more than two and one-half per centum of the assets of any fund shall be invested in the obliga­
tions of any one railroad or industrial corporation, or any one corporation engaged directly and primarily
in the production, transportation, distribution, or sale of electricity or gas, or the operations of telephone
and telegraph systems or waterworks, or in some combination thereof; and
(f) not more than thirty per centum of the assets of any fund shall be invested in bonds of electric and
gas corporations as defined in subdivision thirteen of section two hundred thirty-five of the banking law,
notwithstanding the provisions of paragraph (h) of such subdivision.
155
R. & S.S. § 177
1-a. Obligations payable in United States funds of the United States, any state of the United States,
District of Columbia or Commonwealth of Puerto Rico, of any department, agency or political subdivision
thereof, or of any corporation, company or other issuer of any kind or description created or existing
under the laws of the United States, any state of the United States, District of Columbia or Common­
wealth of Puerto Rico and obligations payable in United States funds of Canada or any province or city
of Canada, provided
(a) each such obligation at the time of investment shall be rated investment grade by two nationally
recognized rating services or by one nationally recognized rating service in the event only one such ser­
vice rates such obligations; and
(b) the aggregate investment by a fund in the obligations of any one issuer pursuant to this subdivision
(other than the obligations of the United States, or those for which the faith of the United States is
pledged to provide payment of the interest and principal) shall not exceed two per centum of the assets
of such fund or five per centum of the direct liabilities of such issuer. [Subdivision 1-a added L. 1997, ch.
560 in effect September 10, 1997.]
2. Equity securities, and interest-bearing obligations payable in United States funds which are convert­
ible into equity securities, of any corporation created or existing under the laws of the United States, any
state of the United States, District of Columbia and Commonwealth of Puerto Rico, or any investment
company, as defined by, and which is registered under, an act of Congress of the United States, entitled
the “Investment Company Act of 1940,” approved August twenty-second, nineteen hundred forty, as
amended, subject to the following limitations:
(a) the maximum investment by a fund in such securities shall not exceed (i) in any one year fifteen per
centum of the assets of such fund, or (ii) seventy per centum in the aggregate; provided, further, however,
that more than fifteen per centum of such assets, but not more than twenty per centum thereof, may be
so invested in any one year but only to the extent that the per centum of such investments over all prior
years from the effective date of this act when added the per centum of such investments during that year
does not exceed an average of fifteen per centum of the assets of such fund over all prior years and the
year in which the investment is being made;
(b) not more than two per centum of the assets of any fund shall be invested in the equity securities of
any one corporation and subsidiaries thereof;
(c) not more than five per centum of the total issued and outstanding equity securities of any one cor­
poration shall be owned by any fund; and
(d) notwithstanding any other provision of law, the equity securities acquired hereunder must be regis­
tered on a national securities exchange, as provided in an act of congress of the United States, entitled
the “Securities Exchange Act of 1934,”* approved June sixth, nineteen hundred thirty-four, as amended,
or otherwise registered pursuant to said act and, if such equity securities are so otherwise registered,
price quotations for such equity securities are furnished through a nationwide automated quotations sys­
tem approved by the National Association of Securities Dealers, Inc. [Subdivision 2 amended L. 1991, ch.
603 in effect July 23, 1991; L. 1996, ch. 712 in effect October 18, 1996; L. 1997, ch. 560 in effect Sep­
tember 10, 1997.]
3. Conventional mortgages guaranteed by a state bank or trust company having a net worth in excess
of five hundred million dollars, provided, however, that not more than ten per centum of the assets of any
fund shall be invested in any such mortgage so guaranteed.
4. Bonds and notes of any bank, trust company, savings bank or savings and loan association orga­
nized under the laws of this state having a net worth of at least ten million dollars, which bonds and notes
shall be validly secured at all times to the extent of one hundred and ten per centum of the unpaid prin­
cipal amount of such bonds and notes by mortgages upon real estate insured by the federal housing
administrator or any of his successors in office and guaranteed by the United States under the provisions
of the national housing act**, as amended or supplemented, and to the extent of one hundred and thirtythree and one-third per centum of the unpaid principal amount of such bonds and notes by conventional
mortgages, the valuation of which mortgages shall be based upon the unpaid principal amount thereof
upon the date of the pledge, assignment or transfer thereof to such fund or its trustee or trustees as
*15 U.S.C.A. §78 j et seq.
**12 U.S.C.A. §1701 et seq.
156
R. & S.S. § 177
security for such bonds and notes, such bonds and notes to be amortized in substantially equal annual
or semiannual payments of principal and interest over a period not in excess of twenty-five years, pro­
vided the aggregate unpaid principal amount of bonds and notes secured by conventional mortgages
shall not exceed five per centum of the assets of such fund.
5. The trustee or trustees shall have the power to participate or co-invest in any whole or part interest
in any conventional mortgage or insured mortgage, or in any whole or part interest in any such mortgage,
which mortgage is held for the benefit of the holder or holders of the whole interest or part interests
therein, but no such investment shall be made in any part interest which is junior or subordinate to any
other part interest therein nor if the aggregate amount of all investments by the fund in whole and part
interests in such mortgages when added together will exceed the limitations set forth in the foregoing
subdivisions of this section applicable to investments in such mortgages. [Subdivision 5 amended L.
1997, ch. 560 in effect September 10, 1997.]
6. Real estate only if acquired or used for one or more of the following purposes and in the following
manner:
(a) The land and the building thereon in which it has its principal office.
(b) Such as shall be requisite for its convenient accommodation in the transaction of its business.
(c) Such as shall have been acquired in satisfaction of loans, mortgages, liens, judgments, decrees or
other debts previously owing to such fund in the course of its business.
(d) Such as shall have been acquired in part payment of the consideration on the sale of real property
owned by it, if each such transaction shall have effected a net reduction in the fund’s investment in real
property.
(e) Such real property, other than property to be used primarily for agricultural, horticultural, ranch,
mining, recreational, amusement or club purposes, as may be acquired, as an investment for the produc­
tion of income (including capital appreciation), or as may be acquired to be improved or developed for
such investment purpose pursuant to an existing program therefor*, subject to the following limitations:
(1) the cost of each parcel of real property so acquired under the authority of this subdivision, including
the estimated cost to the fund of the improvement or development thereof, when added to the value of
all other real property then held by it pursuant to this subdivision, shall not exceed ten per cent of its
assets, and (2) the cost of each parcel of real property acquired under the authority of this subdivision,
including the estimated cost to the fund of the improvement or development thereof, shall not exceed two
per cent of the fund’s assets. [Added L. 1960, ch. 817; amended L. 1962, ch. 675; L. 1964, ch. 718; L.
1965, chs. 302 and 405; L. 1966, ch. 200; L. 1968, ch. 412; L. 1969, ch. 976; L. 1970, chs. 766 and 767
effective May 12, 1970; L. 1970, ch. 770, §1, effective July 1, 1970; L. 1972, ch. 910 effective June 8,
1972; L. 1974, ch. 884 effective July 1, 1974; sub. 2 amended L. 1982, ch. 717 in effect July 22, 1982; L.
1983, ch. 569 in effect July 21, 1983; L. 1986, ch. 383 in effect July 21, 1986; L. 1997, ch. 560 in effect
September 10, 1997; amended L. 2011, ch. 554 in effect September 23, 2011.]
(f) Notwithstanding any other provision of this article, for the purposes of this subdivision, an invest­
ment in an entity that invests or proposes to invest, directly or indirectly through one or more other enti­
ties, at least a majority of its assets in (1) any interest in real property of any kind or character as an
investment for the production of income (including capital appreciation), or (2) debt instruments secured
by any interest in real estate may be considered an investment in real estate pursuant to this subdivision
and included in the assets subject to the ten percent limitation of paragraph (e) of this subdivision. [Sub­
division f added L. 2011, ch. 554 in effect September 23, 2011.]
7. The trustees of a fund shall have the power to invest the moneys thereof in limited partnerships, joint
ventures, stock of corporations (including subsidiaries of the fund), group trusts, common trust funds,
collective investment funds, investment companies (as defined by an act of Congress entitled the “Invest­
ment Company Act of 1940”), separate accounts established by a domestic life insurance company in
accordance with section forty-two hundred forty of the insurance law, separate accounts of the kinds
authorized for domestic life insurance companies in accordance with section forty-two hundred forty of
the insurance law established by life insurance companies doing business in this state, real estate invest­
ment trusts (as defined in section 856 of the Internal Revenue Code of 1986) or any other similar invest­
ment entity, whether owned in whole or in part by the fund, provided that (a) such limited partnership,
*So in original. Should read “therefore”.
157
R. & S.S. § 177-a/177-c
joint venture, corporation (including a subsidiary of the fund), group trust, common trust fund, investment
company, separate account, collective investment entity, real estate investment trust or other similar
investment entity has been established or organized primarily for the purpose of investing in securities,
real estate or other investments in which the trustee or trustees of a fund are authorized to invest pursu­
ant to this section; and (b) each investment by a fund pursuant to this subdivision shall be deemed to be
the investment of the fund in such investment entity (rather than in the assets of such investment entity),
except that in calculating the amount of the fund’s investment in assets for purposes of the percentage
limitations, if any set forth in this section, there shall be included all assets held by any such investment
entity in which the fund shall have an investment as of the date of determination, but only to the extent
of the fund’s indirect interest in such assets resulting from its investment in such investment entity. [Sub­
division 7 renumbered sub 9 and new subdivision 7 added L. 1991, ch. 603 in effect July 23, 1991;
amended L. 1992, ch. 118 in effect June 1, 1992; L. 1992, ch. 674 in effect July 31, 1992.]
8. The trustees of a fund shall have the power to invest the moneys thereof in foreign equity securities
provided that (a) any such equity security is registered on a national securities exchange, as provided in
an act of congress of the United States, entitled the “Securities Exchange Act of 1934”, approved June
sixth, nineteen hundred thirty-four, as amended, or otherwise registered pursuant to said act and, if such
equity security is so otherwise registered, price quotations therefor are furnished through a nationwide
automated quotation system approved by the National Association of Securities Dealers, Inc. or is regis­
tered on a foreign exchange organized and regulated pursuant to the laws of the jurisdiction of such
exchange and (b) the corporation has averaged at least one billion dollars in annual sales for the three
consecutive years preceding the year in which the investment is made or has market capitalization of at
least one billion dollars at the time the investment is made. Investments in such foreign equities shall be
included together with a fund’s investments in other equity securities for purposes of the percentage limi­
tations set forth in the foregoing subdivisions of this section, and not more than ten per centum of the
assets of any fund shall be invested in the aggregate in such foreign equities. [Subdivision 8 added L.
1991, ch. 603 in effect July 23, 1991; amended L. 1993, ch. 594 in effect July 28, 1993.]
9. Investments, which do not qualify or are not permitted under any other subdivision of this section,
notwithstanding any other provision of law, provided
(a) the investments by a fund made pursuant to this subdivision shall not at any time exceed twentyfive per centum of the assets of such fund [Paragraph a amended L. 2006, ch. 22 in effect April 7, 2006.];
(b) such investments shall be for the exclusive benefit of the participants and beneficiaries, and the
trustee or trustees of a fund shall make such investments with the care, skill, prudence and diligence
under the circumstances then prevailing that a prudent person acting in a like capacity and familiar with
such matters would use in the conduct of an enterprise of a like character and with like aims; and
(c) such investments shall, to the extent reasonably possible, benefit the overall economic health of the
state of New York, so long and only if such investments satisfy paragraph (b) of this subdivision. [Subdivi­
sion 9 amended L. 1997, ch. 560 in effect September 10, 1997.]
10. In calculating assets of a fund and percentages thereof for the purposes of this section, a fund is
authorized to use a market valuation methodology, provided the valuation methodology is used consis­
tently for all such calculations and is in accordance with recognized accounting methodology. [Subdivi­
sion 10 added L. 1997, ch. 560 in effect September 10, 1997.]
§ 177-a. Investment in certain conventional mortgages. Notwithstanding any provision con­
tained in this chapter or any other general, special or local law or code to the contrary, within the limita­
tions authorized for investment in conventional mortgages, the trustees of the fund may invest a part of
its assets in first mortgages on real property located anywhere within the boundaries of the United States.
[Added L. 1966, ch. 179, Sec. 2, effective April 5, 1966.]
§ 177-c. Investment in mortgage pass-through certificates. Notwithstanding the provisions of
section one hundred seventy-seven, or of section one hundred seventy-eight of this article, the trustees
of any fund may invest in mortgage pass-through certificates. As used in this section, the term “mortgage
pass-through certificates” shall mean certificates evidencing ownership of undivided interests in pools of
mortgage loans secured by first mortgages on real property located in this state improved by one-to-four
family residential dwellings, provided, however, that (i) such mortgage loans are originated on or after
158
R. & S.S. § 177-d /178
January first, nineteen hundred eighty by any bank, trust company, national banking association, savings
bank, federal mutual savings bank, savings and loan association, federal savings and loan association,
credit union, or federal credit union authorized to do business in this state or by any lender approved by
the secretary of housing and urban development for participation in any mortgage insurance program
under the National Housing Act, (ii) such mortgage loans are assigned to a bank, trust company, federal
mutual savings bank or federal savings and loan association as trustee for the benefit of the holders of
such certificates and, (iii) such certificates are rated within the three highest grades by an independent
rating service designated by the banking board. In no event shall the aggregate unpaid principal on con­
ventional mortgages securing mortgage pass-through certificates exceed ten percent of the assets of
such fund nor shall the total unpaid principal on any single pool of conventional mortgages securing
mortgage pass-through certificates exceed one percent of the assets of a fund. Mortgage loans secured
by first mortgages on a condominium unit designed for residential use, together with its common interest,
may be included in pools of mortgage loans provided for above. [Added L. 1980, ch. 672 in effect June
30, 1980 (also amends Sec. 302 of the N.Y.S. Insurance Law to make mortgage pass-through certificates
eligible for mortgage guaranty insurance). Sec. 177-c amended L. 1981, ch. 868 in effect July 31, 1981;
L. 1982, ch. 604 in effect July 22, 1982.]
§ 177-d. Security loan agreements. 1. A fund may enter into security loan agreements with brokerdealers and with New York state or national banks for the purpose of prudently supplementing the income
normally received from investments.
2. The trustees of the funds involved shall monitor the market value of the loaned marketable securities
daily. In no event shall the trustees allow the value of collateral posted to fall below the market value of
the loaned marketable securities.
3. The term “security loan agreement”, as used in this section, shall mean a written contract whereby
a fund (the lender) agrees to lend marketable securities for a period not to exceed one year, subject,
however, to the following limitations:
(a) The lender must retain the right to collect from the borrower all dividends, interest, premiums,
rights, and any other distributions to which the lender would otherwise have been entitled,
(b) The lender may waive the right to vote the securities during the term of the loan,
(c) The lender must retain the right to terminate the contract upon not more than five business days
notice.
(d) The borrower shall provide collateral to the lender in the form of cash, bonds, or performance letters
of credit drawn on a bank with capital, surplus and undivided earnings in excess of one hundred million
dollars, or other interest-bearing notes and obligations of the United States or federal instrumentalities
eligible for investment by a fund,
(e) The security loan agreement shall provide for payment of additional collateral on a daily basis, or at
such time as the value of the loaned marketable securities increases to agreed upon ratios.
4. The term “marketable securities”, as used in this section, shall mean securities that are freely traded
on recognized exchanges or marketplaces. [Sec. 177-d added L. 1981, ch. 867 in effect July 1, 1981.]
§ 178. Additional limitations on eligible investments.
Notwithstanding any other provision of law, including the provisions of the administrative code of the
city of New York, the trustee or trustees of a fund shall not have the power to invest in any insured mort­
gage or conventional mortgage of an unpaid principal amount at the time of investment of less than two
hundred fifty thousand dollars provided, however, that this limitation shall be inapplicable as to those
mortgages pledged, assigned or transferred to the fund as collateral security for the unpaid balance of
the bonds and notes purchased from any bank, trust company, savings bank or savings and loan associa­
tion authorized by subdivision four of section one hundred seventy-seven of this chapter; and provided
further that, with respect to any fund administered for employees of the city of New York, the trustee or
trustees of such a fund shall be authorized to invest in any insured mortgage or conventional mortgage
of an unpaid principal amount at the time of investment of not less than one hundred thousand dollars.
[Added L. 1960, ch. 817; amended L. 1967, ch. 387, effective April 18, 1967; L. 1999, ch. 477 in effect
September 7, 1999.]
159
R. & S.S. § 178-a
§ 178-a. Custody and nominee registration of stock and securities.
1. Notwithstanding any other provision of law, including the provisions of the administrative code of the
city of New York and the education law, the public officer or officers designated by law as the custodian
of a fund are authorized, in accordance with the provisions of this section, to turn over the physical cus­
tody and safekeeping of any stock or other securities, in registered or bearer form, owned by such fund
to (a) any state bank or trust company located in this state, or (b) any national bank located in this state,
or (c) any private banker duly authorized by the superintendent of banks of this state to engage in busi­
ness here. All such private bankers shall, as private bankers, maintain a permanent capital of not less
than one million dollars in this state. Transfers of stocks or securities must receive the prior consent of
the trustees of such fund, under such terms and conditions as they may specify. The custodian of such
fund may direct such bank, trust company or private banker to register and hold any such stock or securi­
ties in its custody, in the name of its nominee. The custodian of such fund may also authorize such bank,
trust company or private banker to deposit, or arrange for the deposit, of such stock or securities in a
clearing corporation (as defined in article eight of the uniform commercial code). In addition, the custo­
dian of such fund may deposit, or authorize such bank, trust company or private banker, to deposit, or
arrange for the deposit of any of such securities the principal and interest of which the United States, or
any department, agency or instrumentality thereof has agreed to pay, or has guaranteed payment, with a
federal reserve bank to be credited to an account as to which the ownership of, and other interests in,
such securities may be transferred by entries on the books of such federal reserve bank without physical
delivery of any securities. The records of such bank, trust company or private banker shall show, at all
times, the ownership of such stock and securities, and they shall, when held in the possession of such
bank, trust company or private banker be, at all times, kept separate from the assets of such bank, trust
company or private banker. When any such stock or securities are so registered in the name of a nominee,
such bank, trust company or private banker shall be absolutely liable for any loss occasioned by the acts
of such nominee with respect to such stock or securities.
2. (a) The custodian of such fund may also authorize such bank, trust company or private banker to
appoint one or more foreign entities as its agent to hold and register foreign securities. Such foreign entity
must be either:
(i) a banking institution or trust company holding securities itself or in a securities depository or clear­
ing agency which acts as a securities depository; or
(ii) a securities depository or clearing agency which acts as a securities depository.
(b) For purposes of the appointment of a foreign entity as agent, the term “banking institution or trust
company” shall mean an entity which is:
(i) regulated by the relevant regulatory authority in that jurisdiction and has shareholders equity of not
less than one hundred million dollars; or
(ii) a branch of, or a majority-owned direct or indirect subsidiary of, a domestic bank, trust company or
private banker eligible to be authorized to have custody of securities under this section.
(c) For purposes of the appointment of a foreign entity as agent, the term “securities depository or
clearing agency which acts as a securities depository” shall mean an entity which:
(i) is regulated by the relevant national regulatory authority in that jurisdiction;
(ii) is operated pursuant to the charter and by-laws of any company or association organized as a secu­
rities depository or clearing agency which operates a system for the central handling of securities or
equivalent book entries; or
(iii) may be used as a securities depository or clearing agency which acts as a securities depository by
an investment company (as defined by an act of congress entitled the “Investment Company Act of 1940”).
(d) Registration of foreign securities may be in the name of any such foreign entity or its nominee, pro­
vided that the books and records of the domestic bank, trust company or private banker which made the
appointment of the foreign entity shall show, at all times, the beneficial ownership of the fund.
(e) A domestic bank, trust company or private banker which has custody of foreign securities of such
fund shall be absolutely liable for any loss with respect to such securities which is occasioned by its acts,
the acts of its agent, the acts of its nominee or its agent’s nominee or the acts of any foreign entity
appointed by it or any such foreign entity’s agent or nominee. [Sec. 178-a added L. 1972, ch. 985, effective
July 8, 1972; amended L. 1991, ch. 669 in effect July 26, 1991; L. 1992, ch. 674 in effect July 31, 1992.]
160
R. & S.S. § 179/179-a/185
§ 179. Investments in municipal assistance corporation securities; indemnification.
1. It is hereby found and declared that securities of the municipal assistance corporation for the city of
New York are reasonable, prudent, proper and legal investments for any fund described in subdivision
one of section one hundred seventy-six of this article or for any board member, officer, employee, trustee
or fiduciary thereof to make on behalf of such fund.
2. Notwithstanding any other provision of law, including the provisions of subdivision one of section
seventeen of the public officers law, no member of the board, officer, employee, fiduciary of any fund
described in subdivision one of section one hundred seventy-six of this article shall incur or suffer any
liability whatsoever to any person beneficially interested in such system by reason of any investment of
the monies thereof in securities of the municipal assistance corporation for the city of New York and each
such system shall save harmless and indemnify all members of the board, officers, employees, trustees,
fiduciaries and investment advisors of any fund described in subdivision one of section one hundred
seventy-six of this article from financial loss arising out of any claim, demand, suit, action or judgment for
alleged negligence, waste or breach of fiduciary duty by reason of any investment of any monies of such
fund in securities of the municipal assistance corporation for the city of New York provided that such
person shall, within five days after the date on which he is served with any summons, complaint, process,
notice, demand, claim or pleading, deliver the original or a true copy thereof to the legal advisor of such
system. Upon such delivery the legal advisor of such system may assume control of the representation
of such person in connection with such claim, demand, suit, action or proceeding. Such person shall
cooperate fully with the legal advisor of the system or any other person designated to assume such
defense in respect of such representation or defense. [Added L. 1975, ch. 868, effective Sept. 9, 1975.]
§ 179-a. Construction.
In the event of any conflict or inconsistency between the provisions of this article four-a and the provi­
sions of any other provision of law as to the percentage of assets of a fund which may be invested in any
one type of investment or in any one particular investment, the provisions of this article shall govern.
Nothing contained in this article shall be construed to affect any lawful investment made prior to the
effective date of this article by the trustee or trustees of a fund, and any such investment may be retained
or disposed of by such trustee or trustees in accordance with any other provision of law. [Added L. 1960,
ch. 817, effective April 25, 1960; Sec. 179 relettered to be Sec. 179-a, L. 1975, ch. 868, effective Sept.
9, 1975.]
Article 4-B
PUBLIC PENSION FUND GROUP LIFE INSURANCE
Section 185. Definitions.
186. Public pension fund group life insurance.
§ 185. Definitions. As used in this article, unless a different meaning clearly appears from the con­
text: a. The term “fund” shall mean any public retirement system or pension fund which grants retirement
or pension benefits to employees of the city of New York, employees of the state of New York, employees
of any department or agency of the city of New York or of the state of New York, employees of any munici­
pality or other participating employer participating in the New York state employees retirement system or
the New York state policemen’s and firemen’s retirement system, and employees of school districts par­
ticipating in the New York state teachers retirement system.
b. The term “ordinary death benefit”:
(1) shall include only the death benefits authorized by:
(a) sections sixty, sixty-a, sixty-b, three hundred sixty, three hundred sixty-a, three hundred sixty-b,
four hundred forty-eight, four hundred forty-eight-a, five hundred eight, five hundred eight-a, six hundred
six and six hundred six-a of the retirement and social security law; [Amended L. 1974, ch. 510; L. 1978,
ch. 339 in effect June 19, 1978; L. 1984, ch. 774 in effect April 17, 1984; L. 1999, ch. 360 in effect July
27, 1999.] and
(b) section five hundred twelve of the education law; and
161
R. & S.S. § 186/210
(c) sections B3-32.0, B20-39.0 and B20-40.0 of the administrative code of the city of New York and
(d) subdivisions a, b and c of section B18-38.0 of such code and subdivisions a, a-1, b, c and f of sec­
tion B19-7.79 of such code; [Amended L. 1982, ch. 332 in effect July 1, 1981.] and
(e) section twenty of the rules and regulations of the board of education retirement system of the city
of New York; and
(f) subdivision four of section B3-36.0 of such code, subdivision two of section B20-41.0 of such code,
subdivision d of section B18-38.0 of such code, subdivisions d, e and f of section B19-7.79 of such code,
section two hundred seven-h of the general municipal law, as added by chapter nine hundred four of the
laws of nineteen hundred sixty-six and amended, section two hundred seven-h of the general municipal
law, as added by chapter nine hundred six of the laws of nineteen hundred sixty-six and section fourteena of the rules and regulations of the board of education retirement system of the city of New York, in any
case where the death to which any of the provisions above mentioned in this subparagraph (f) is appli­
cable occurs before the effective date of retirement designated by the member or by the board of trustees
of the retirement system, as the case may be; [Amended L. 1982, ch. 332 in effect July 1, 1981.] and
(2) Shall include the accelerated death benefit authorized by subdivision nine of section five hundred
eleven of the education law; [Added L. 1999, ch. 360 in effect July 27, 1999.] and
(3) shall not include a death benefit payable as the result of an accident sustained in the performance of duty.
§ 186. Public pension fund group life insurance. The trustee or trustees of a fund are authorized
to take such steps as are necessary to afford any ordinary death benefit provided by such fund in the form
of group life insurance upon a determination that to do so would guarantee a more favorable tax treat­
ment of the benefit to beneficiaries of members on whose behalf such benefit is payable. [Art. 4-B added
L. 1970, ch. 581 in effect May 8, 1970; as amended L. 1971, ch. 28 in effect March 16, 1971; and L. 1971,
ch. 909 in effect June 25, 1971, retro. to May 8, 1970.]
Article 7
RE-EMPLOYMENT IN PUBLIC SERVICE OF RETIRED PUBLIC EMPLOYEES
Section 210.
211.
212.
213.
Definitions.
Employment of retired persons without diminution of retirement allowance.
Employment of retired persons.
Membership in retirement system or service credit not allowed for employment
under this article.
214.
Continuation of employment privilege of certain retired persons.
214-a. Continuation of service as elected official by certain retired persons.
215.
Effective period.
217.
Reporting requirements; school salary transparency and disclosure.
§ 210. Definitions. As used in this article:
a. The term “retired person” means a retired member of a retirement system or pension plan adminis­
tered by the state or any of its political subdivisions who is receiving a retirement allowance for other than
physical disability.
b. The term “retirement allowance” means the total amount payable to a retired person, whether in the
form of pension or annuity, or both, from a retirement system or systems or pension plan or plans admin­
istered by the state or any of its political subdivisions.
c. The term “supplemental retirement payment” means the supplemental pension payment or supple­
mental retirement allowance payable pursuant to article four or article six of this chapter, or section B20­
44.1 or chapter forty-nine, title D, of the administrative code of the city of New York, or any other state or
local law providing for similar supplemental pension payments or supplemental retirement allowances.
d. The term “final salary” means the maximum salary or compensation which the retired person cur­
rently would be receiving in the position from which he was last retired if he had not retired. If such posi­
tion has been abolished, the appropriate authority or officer prescribed in paragraph (a) of subdivision
two of section two hundred eleven of this chapter shall determine, on the basis of the salary or
162
R. & S.S. § 211
compensation currently paid to persons in similar or comparable positions by the employer from whose
service such retired person last retired, the maximum amount of salary or compensation which such
retired person currently would be receiving in such position.
e. The term “public service” means the service of the state or any political division thereof, including a
special district, district corporation, school district, board of cooperative educational services or county
vocational education and extension board, or the service of a public benefit corporation or public author­
ity created by or pursuant to laws of the state of New York, or the service of any agency or organization
which contributes as a participating employer in a retirement system or pension plan administered by the
state or any of its political subdivisions.
f. The term “former employer” means the state or a political subdivision, public corporation, school
district, board of cooperative educational services, county vocational education and extension board, or
an agency or organization which contributes as a participating employer in a retirement system or pen­
sion plan administered by the state or any of its civil divisions, which directly paid the salary or compen­
sation of a retired person at any time during the two years immediately preceding his retirement and who
paid the salary on which the retiree’s retirement allowance is based. [Par. (f) added L. 1967, ch. 568 in
effect July 1, 1967; as amended L. 1973, ch. 812 in effect July 1, 1973; amended L. 1992, ch. 579 in effect
July 24, 1992.]
§ 211. Employment of retired persons without diminution of retirement allowance. 1. Notwith­
standing the provisions of sections one hundred one, two hundred twelve and four hundred one of this
chapter or section five hundred three of the education law, or the provisions of any local law or charter, a
retired person may be employed and earn compensation in a position or positions in the public service,
without any effect on his or her status as retired and without suspension or diminution of his or her retire­
ment allowance subject to one of the following: (a) His or her total compensation in such position or posi­
tions in any calendar year, including compensation earned under other provisions of this article, shall not
exceed the multiple of five hundred dollars next higher than the difference between (1) the sum of his or
her annual retirement allowance computed without optional modification plus annual supplemental retire­
ment payments, if any, and (2) the salary on which his or her retirement allowance is based or his or her
final salary, whichever is greater; or (b) The position in which he or she is employed is not a position in
the service of a former employer.
2. (a) No retired person may be employed in a position in public service pursuant to subdivision one
hereof except upon approval of
(1) the state civil service commission; or
(2) the commissioner of education if such person is to be employed in the unclassified service of a
school district other than the city of New York, a board of cooperative educational services or a county
vocational education and extension board; or
(3) the municipal civil service commission of the city of New York if such person is to be employed in a
position in the service of the city of New York or in the classified service in the board of education of such
city; or
(4) the chancellor of the city school district of the city of New York if such person is to be employed in
the unclassified service under the board of education of the city of New York; or
(5) the board of higher education of the city of New York if such person is to be employed in the clas­
sified or unclassified service under the board of higher education of the city of New York; or
(6) the chancellor of state university if such person is to be employed in the unclassified service of the
state university of New York, or in the professional service at the state colleges of agriculture, home eco­
nomics, veterinary medicine or industrial and labor relations, the state agricultural experiment station at
Geneva or any other institution or agency under the management and control of Cornell university as
representative of the board of trustees of state university of New York, or at the state college of ceramics
under the management and control of Alfred university as representative of the board of trustees of state
university of New York or in the unclassified service of a community college other than those in the city
of New York; or
(7) the chief administrator of the courts if such person is to be employed in a judicial or nonjudicial
position in the unified court system.
163
R. & S.S. § 211
(b) Such approval may be granted only on the written request of the prospective employer of such
retired person, which request shall state detailed reasons therefor related to the standards set forth
herein, and on a finding, on evidence satisfactory to the appropriate officer or authority specified in para­
graph (a) of this subdivision,
(1) that the retired person is duly qualified, competent and physically fit for performance of the duties of
the position in which he or she is to be employed and is properly certified where such certification is required;
(2) that he or she will earn more than one thousand dollars in one year, including compensation earned
in such position under other provisions of this article that there are not readily available for recruitment
persons qualified to perform the duties of such position; and (4)];*
(3) that the prospective employer has prepared a detailed recruitment plan to fill such vacancy on a
permanent basis;
(4) that his or her employment is in the best interests of the government service; and
(5)(i) that there is an urgent need for his or her services in such position as a result of an unplanned,
unpredictable and unexpected vacancy where sufficient time is not available to recruit a qualified individual
and that such hiring shall be deemed as non-permanent rather than a final filling of such position; or
(ii) that the prospective employer has undertaken extensive recruitment efforts to fill such vacancy and
as a result thereof, has determined that there are no available non-retired persons qualified to perform
the duties of such position.
Such approvals may be granted for periods not exceeding two years each, provided that such person
may not return to work in the same or similar position for a period of one year following retirement. The
authority or officer specified in paragraph (a) of this subdivision, upon approving employment of a retired
person under this section, shall certify such approval to the retirement system or pension plan from which
such person is receiving a retirement allowance.
(c) Notwithstanding any provision of this subdivision, designation of a retired person as a judicial hear­
ing officer by the chief administrator of the courts, pursuant to provisions of article twenty-two of the
judiciary law, shall constitute approval under subparagraph seven of paragraph (a) of this subdivision. In
making such a designation, the chief administrator shall not be subject to the provisions of paragraph (b)
of this subdivision, except that the chief administrator shall certify such designation to the retirement
system or pension plan from which the person designated is receiving a retirement allowance.
3. If a retired person employed under this section earns in such employment in any calendar year an
amount in excess of the maximum earnings allowed under subdivision one of this section, his retirement
allowance and supplemental retirement payments shall be suspended until the total amount so sus­
pended equals the amount of such excess.
4. A retired person who returns to public service on or after January first, nineteen hundred seventyfour, as a consultant shall be subject to the limitations applicable to a reemployed retiree as specified in
this section or in any other provision of law.
5. An officer, commission or board specified in paragraph (a) of subdivision two of this section which
has approved the employment of any retired person is hereby authorized to require such retired person
and the department head or other appointing authority under whose jurisdiction such retired person is
employed to furnish at any time information concerning the employment and earnings of such retired
person. It shall be the duty of such retired person and such department head or other appointing authority
to co-operate fully in furnishing such requested information. Such officer, commission or board may
rescind approval granted for the employment of a retired person upon finding that such approval was
obtained by deception or misrepresentation of any material fact, or that such retired person is serving in
a position or engaged in duties substantially different from the position or duties for which his employ­
ment was approved, or that such employment does not otherwise conform with the requirements of this
section, or that such retired person or the department head or other appointing authority under whose
jurisdiction he is employed has failed to co-operate fully in furnishing requested information concerning
the employment and earnings of such retired person.
6. Any request for approval of the employment of a retired person under this section, including the
reasons stated therefor, and the findings and determination on such request shall be a public record open
*When amending, closing bracket with no opening bracket at end of subparagraph (2) needs to be addressed (see L.
2008, ch. 640).
164
R. & S.S. § 212
for inspection in the office of the officer, commission or board making such findings and determination as
specified in paragraph (a) of subdivision two of this section.
7. The provisions of this section shall not be construed to authorize the employment of any person in
any position in the civil service except in compliance with requirements of the civil service law and rules
applicable to such employment.
8. Each officer, commission or board specified in paragraph (a) of subdivision two of this section may
adopt appropriate regulations, procedures and forms for implementation of the provisions of this section.
Such regulations may authorize employment of a retired person, without prior approval, but pending
application for approval under this section, in situations of unforeseen and immediate need. [Par. (1)
amended L. 1967, ch. 568 in effect July 1, 1967; par. (1) and (2) amended L. 1968, ch. 656 in effect July
1, 1968; par. (1) amended L. 1969, ch. 161 in effect March 28, 1969; par. (2) amended L. 1970, ch. 635 in
effect May 8, 1970; sub. 4, 5, 6, 7, renumbered sub. 5, 6, 7, 8 and new sub. 4 added L. 1973, ch. 382 in
effect May 31, 1973; sub. 2, par. (a), subpar. (4) amended L. 1976, ch. 753 in effect July 24, 1976;
amended L. 2008, ch. 640 in effect October 7, 2008; Subpar. (3) and (5) of par. (a) of subd. 2 amended L.
2010, ch. 299 in effect July 30, 2010.]
§ 212. Employment of retired persons. 1. Notwithstanding the provisions of section one hundred
one, two hundred eleven or four hundred one of this chapter or of section five hundred three of the edu­
cation law, or the provisions of any local law or charter, any retired person may continue as retired and,
without loss, suspension or diminution of his or her retirement allowance, earn in a position or positions
in public service in any calendar year an amount not exceeding the amount set forth in the table in sub­
division two of this section provided such retired person employed under this section duly executes and
files with the retirement system from which he or she is receiving a retirement allowance a statement that
he elects to have the provisions of this section apply to him or her. A statement of election executed and
filed pursuant to this section may be withdrawn by a retired person at any time by a statement similarly
executed and filed. However, there shall be no earning limitations under the provisions of this section on
or after the calendar year in which any retired person attains age sixty-five. The retirement board of the
New York state teachers’ retirement system is authorized to adopt rules and regulations which would
allow retired persons receiving a retirement allowance from such system to make such statements of
earnings from a position or positions in public service as such board shall determine necessary to enforce
the provisions of this section in lieu of the foregoing statement of election. [Amended L. 2002, ch. 474 in
effect August 20, 2002; amended L. 2008, ch. 640 in effect October 7, 2008.]
2. The earning limitations for retired persons in positions of public service under this section shall be
in accordance with the following table:
For the year
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005 and 2006
2007 and thereafter
Earnings limitation
$12,500
$13,500
$14,500
$15,500
$17,000
$18,500
$20,000
$25,000
$27,500
$27,500
$30,000
3. Notwithstanding the provisions of subdivisions one and two of this section, the commissioner of
education may determine, pursuant to section two hundred eleven of this article, that such earnings limi­
tations shall not apply to a retired police officer employed by a school district as a school resource officer.
[Amended L. 2013, ch. 55, Part Y, in effect March 28, 2013.]
[As amended L. 1966, ch. 58 in effect July 1, 1966; L. 1967, ch. 573 in effect July 1, 1967; L. 1968, ch.
656 in effect July 1, 1968; L. 1974, ch. 143 in effect July 1, 1974; L. 1975, ch. 621 in effect July 1, 1976;
165
R. & S.S. § 213/214/214-a/214-b/215/216
ch. 621, L. 1975 superseded by L. 1976, ch. 148 in effect May 4, 1976 retro. to Jan. 1, 1976; superseded
by L. 1977, ch. 14 in effect March 15, 1977 retro. to Jan. 1, 1977, and further amended L. 1977, ch. 137
in effect May 13, 1977; L. 1977, ch. 137 repealed and L. 1977, ch. 14 amended by L. 1980, ch. 463 in
effect June 23, 1980; amended L. 1982, ch. 753 in effect July 27, 1982; L. 1983, ch. 323 in effect June
21, 1983; ch. 168 in effect Jan. 1, 1984; amended L. 1984, ch. 570 in effect July 27, 1984; L. 1985, ch.
600 in effect July 28, 1985; L. 1987, ch. 509 in effect July 30, 1987; L. 1988, ch. 460 in effect Aug. 1, 1988;
L. 1989, ch. 265 in effect July 7, 1989; L. 1990, ch, 290 in effect June 25, 1990; L. 1991, ch. 302 in effect
July 15, 1991; L. 1992, ch. 157 in effect June 16, 1992; L. 1993, ch. 94 in effect June 7, 1993; L. 1994,
ch. 250 in effect July 6, 1994; L. 1995, ch. 274 in effect July 26, 1995; L. 1996, ch. 118 in effect June 4,
1996; L. 1996 ch. 729 in effect January 30, 1997; ch. 140 L. 1997 in effect June 25, 1997; L. 1998, ch. 91
in effect June 9, 1998; L. 1999, ch. 89 in effect June 22, 1999; L. 2000, ch. 256 in effect August 16, 2000;
L. 2001, ch. 281 in effect September 5, 2001; L. 2002, ch. 310 in effect August 6, 2002; L. 2004, ch. 4 in
effect February 2, 2004; L. 2006, ch. 74 in effect June 7, 2006.]
§ 213. Membership in retirement system or service credit not allowed for employment under this
article. a. The provisions of any local law or charter notwithstanding, no retired person employed in pub­
lic service pursuant to the provisions of this article shall be required or permitted to become a member of
any retirement system or pension plan administered by the state or any of its political subdivisions.
b. Member service credit may not be purchased or granted in any retirement system or pension plan
administered by the state or any of its political subdivisions for any period of employment in public ser­
vice authorized under the provisions of this article.
§ 214. Continuation of employment privilege of certain retired persons. Notwithstanding any
provision of this article, a retired person employed prior to July first, nineteen hundred sixty-four, under
the provisions of subdivision f of section one hundred one of the retirement and social security law, or
subdivision two of section one hundred fifty of the civil service law, or section one hundred fifty-one of
the civil service law, or section 9.13 of the mental hygiene law, or section five hundred eleven-b of the
education law, or section B20-48.1 of the administrative code of the city of New York, may be similarly
employed during the effective period of this article subject to the same conditions and limitations as were
applicable to his employment under the respective provisions under which he was employed prior to July
first, nineteen hundred sixty-four. [As amended L. 1966, ch. 763 in effect June 28, 1966; amended L.
1973, ch. 195.]
§ 214-a. Continuation of service as elected official by certain retired persons. Notwithstanding
the provisions of this chapter or any other state or local law to the contrary, an elected county, city, town,
or village official may continue in a current term of such elective office at the time of their retirement from
another position of public service. Retention of such elective office, limitation on earnings and/or reduc­
tion or suspension of retirement payments shall be subject to the same terms and conditions for re­
employment in public service imposed pursuant to the provisions of this chapter and/or the provisions of
the civil service law. [Section 214-a added L. 2000, ch. 350 in effect August 23, 2000.]
§ 214-b. Pension rights of certain retired persons who are appointed to the office of New York
city marshal. (omitted)
§ 215. Effective period. The privilege granted by this article to retired persons to continue as such
and earn compensation in positions in public service shall remain in full force and effect until December
thirty-first, nineteen hundred seventy-four. [Art. 7 added L. 1964, ch. 803 in effect July 1, 1964; amended
L. 1965, ch. 48 in effect April 13, 1965; L. 1966, ch. 31; L. 1967, ch. 461; L. 1968, ch. 328 in effect May
21, 1968; L. 1969, ch. 32 in effect March 11, 1969; L. 1970, ch. 413 in effect May 1, 1970; L. 1971, ch.
904 in effect June 25, 1971; L. 1972, ch. 326 in effect May 15, 1972; L. 1973, ch. 383 in effect May 31,
1973. Extended by Sec. 480 Ret. & Soc. Sec. Law, refer to Sec. 480 for amendments.]
§ 216. Constitutional convention delegates and employees. (omitted)
166
R. & S.S. § 217/423-c
§ 217. Reporting requirements; school salary transparency and disclosure. 1. A school district
and a board of cooperative educational services shall report all money earned by a retired person in their
employ that is in excess of the earnings limitation outlined in section two hundred twelve of this article to
the retirement system administered by the state or any of its political subdivisions from whom such
retired person is collecting their retirement allowance.
2. A school district or a board of cooperative educational services employing a retired person who is
eligible to collect or is already collecting a retirement allowance from a retirement system administered
by the state or any of its political subdivisions shall report on an annual basis to the retirement system
paying such retirement allowance to such retired person and to the state comptroller. This report shall
consist of the re-employed retiree’s name, date of birth, place of employment, current position and all
earnings. [Section 217 added L. 2008, ch. 640 in effect January 5, 2009.]
Article 9
COMMON RETIREMENT FUND
§ 423-c. MWBE asset management and financial institution strategy. 1. Within the discretion of
the state comptroller and in accordance with and subject to his or her fiduciary duties and obligations as
trustee of the common retirement fund and to the members, retirees and beneficiaries of such fund and
such other investment limitations as may be prescribed by this chapter, the comptroller is authorized to
establish an MWBE asset management and financial institution strategy including reasonable goals for
utilization of MWBE asset managers, MWBE financial institutions and MWBE financial and professional
service firms, which strategy shall include, but shall not be limited to, the following objectives:
(a) investing assets of the common retirement fund with MWBE asset managers;
(b) subject to best execution: (i) conducting trades of public equity securities with MWBE financial
institutions; and (ii) conducting trades of fixed-income securities through MWBE financial institutions;
(c) allocating investments of assets of the common retirement fund either through: (i) direct invest­
ments in the equities and debt securities of MWBEs; or (ii) indirectly through special programs involving
MWBE asset managers; and
(d) awarding contracts for accounting, banking, financial advisory, insurance, legal, research, valuation
and other financial and professional services to MWBE financial institutions and other MWBE profes­
sional service firms.
2. The comptroller is also authorized to: (a) periodically advertise the existence of the strategy estab­
lished in this section so that MWBE asset managers, MWBE financial institutions and other MWBE pro­
fessional service firms are made aware of the opportunities made available pursuant to such strategy;
(b) within sixty days of the end of each fiscal year following the effective date of this section, the state
comptroller shall report to the governor, legislature and the chief diversity officer of the state of New York
on the participation of MWBE asset managers, MWBE financial institutions and MWBE professional ser­
vice providers in investment and brokerage transactions with or as providers of services for the common
retirement fund, including a comparative analysis of such activity relative to such activity with all asset
managers, financial institutions and professional service providers for the relevant period and on the
progress and success of the efforts undertaken during such period to achieve the goals of such strategy.
Each report shall be simultaneously published on the website of the common retirement fund for not less
than sixty days following its release to the governor and the other recipients named above;
(c) Work with the other fiduciary-controlled entities to create a database of such MWBE entities; and
(d) periodically, but not less than annually, hold a conference to promote such strategy in conjunction
with the other fiduciary-controlled entities.
3. (a) The state comptroller shall establish and adopt a certification process and guidelines for the sole
purpose of identification and reporting on MWBE firms providing asset management, brokerage, or other
financial or professional services as such term is defined in subdivision six of section one hundred sev­
enty-six of this chapter. Such certification shall differentiate and the comptroller shall maintain separate
categories for MWBE asset managers meeting the criteria of subparagraph (i) of paragraph (a) of subdivi­
sion six of section one hundred seventy-six of this chapter and MWBE asset managers meeting the cri­
teria of subparagraph (ii) of paragraph (a) of such subdivision.
167
R. & S.S. § 430/431
(b) Such certification process shall include, but need not be limited to, a request for the following infor­
mation relating to each managing principal, principal, operating principal, chief financial officer, operating
vice-president, vice-president, partner, owner and employee associated with a prospective MWBE entity:
(i) title;
(ii) position;
(iii) ownership percentage;
(iv) ethnicity;
(v) gender; and
(vi) length of service. [Section 423-c added by L. 2010, ch. 171 in effect October 13, 2010.]
Article 10
PAYMENT FOR BENEFIT IMPROVEMENTS
Section 430. Current payment for benefit improvements.
431. Salary base for computing retirement benefits.
432. Definitions.
§ 430. Current payment for benefit improvements. a. Whenever a new benefit or an improvement
in any benefit takes effect or is enacted after July first, nineteen hundred seventy-one which will result in
an increase in cost for contributions to an actuarially funded public retirement system by the state or a
municipality thereof, such employer shall commence payment for such increased cost from an appropria­
tion made in the budget for the employer’s fiscal year in which such benefit or improvement becomes
effective. No such benefit or improvement shall become effective until such appropriation has been made
and is available for such payment. Within ninety days after notification that such a benefit or improvement
has been or is to be made, the head of the retirement system affected shall submit to the fiscal officer of
the employer, or in the case of the state or the city of New York to the director of the budget thereof, an
estimate of the amount sufficient to provide for the initial actuarial payment to the retirement system of all
additional obligations created by such benefit or improvement and such employer shall make payment of
such amount to the retirement system during such employer’s fiscal year in which such benefit or improve­
ment is made effective. In computing the amount to be paid by such employer during the normal valuation
process for obligations attributable to the fiscal year in which such benefit or improvement became effec­
tive, appropriate adjustments shall be made for amount already paid pursuant to this section.
b. If payment of the full amount of an obligation required to be paid by subdivision a of this section is
not made by a participating employer in a state retirement system, including the state teachers retirement
system, by the close of such employer’s fiscal year, interest at the rate of six per centum per annum shall
commence to run against the unpaid balance thereof on the first day of the next succeeding fiscal year.
c. The comptroller or the retirement board of the state teachers retirement system shall have full power
and authority to bring suit in the supreme court against any participating employer in a retirement system
headed by such comptroller or such board to recover any sum, payment of which is not made as herein
required. While any such sum shall remain due and unpaid the comptroller may refuse to audit any claim
for funds due to such employer from the state.
§ 431. Salary base for computing retirement benefits. In any retirement or pension plan to which
the state or municipality thereof contributes, the salary base for the computation of retirement benefits
shall in no event include any of the following earned or received, on or after April first, nineteen hundred
seventy-two:
1. lump sum payments for deferred compensation, sick leave, accumulated vacation or other credits
for time not worked,
2. any form of termination pay,
3. any additional compensation paid in anticipation of retirement, or
4. that portion of the compensation earned during any twelve months included in such salary base
period which exceeds that of the preceding twelve months by more than twenty per centum.
168
R. & S.S. § 432/470/472/473
§ 432. Definitions. The definitions in section two of this chapter shall be applicable to this article.
(See sub. 3 of sec. 201 of Civil Service Law.) [Art. 10 of Ret. & Soc. Sec. Law added L. 1971, ch. 503 in
effect June 17, 1971.]
Article 12
NEGOTIATION OF RETIREMENT BENEFITS
Section 470. Temporary suspension of retirement negotiations.
472. Implementation of agreements.
473. Impasses in coalition negotiations.
§ 470. Temporary suspension of retirement negotiations. Changes negotiated between any pub­
lic employer and public employee, as such terms are defined in section two hundred one of the civil service
law, with respect to any benefit provided by or to be provided by a public retirement system, or payments
to a fund or insurer to provide an income for retirees or payment to retirees or their beneficiaries, shall be
prohibited. [Amended L. 1973, ch. 1046 in effect July 31, 1973; extended to July 1, 1976 and Sept. 1, 1976
respectively by L. 1976, ch. 159 in effect May 14, 1976; further extended L. 1976, ch. 491 in effect July 1,
1976; further extended L. 1977, ch. 84 in effect April 18, 1977; further extended L. 1978, ch. 464 in effect
June 30, 1978; further extended L. 1979, ch. 321 in effect June 29, 1979; further extended L. 1981, ch. 381
in effect June 30, 1981; further extended L. 1983, ch. 413 in effect June 30, 1983; further extended L.
1985, ch. 284 in effect June 30, 1985; further extended L. 1987, ch. 203 in effect June 30, 1987; further
extended L. 1989, ch. 236 in effect July 1, 1989; further extended L. 1991, ch. 196 in effect June 28, 1991;
further extended L. 1993, ch. 122 in effect June 21, 1993; further extended L. 1995, ch. 138 in effect July
7, 1995; further extended L. 1997, ch. 151 in effect June 30, 1997; further extended L. 1999, ch. 138 in
effect June 29, 1999; further extended L. 2001, ch. 44 in effect May 23, 2001; further extended L. 2003,
ch. 92 in effect July 1, 2003; further extended L. 2005, ch. 35 in effect May 17, 2005; L. 2007, ch. 63 in
effect June 4, 2007; L. 2009, ch. 79 in effect July 1, 2009; L. 2009, ch. 504 in effect January 9, 2010.]
§ 472. Implementation of agreements. Any agreements reached pursuant to the coalition negotia­
tions provided for in this article shall be presented to the commission in form for introduction as legisla­
tion no later than November fifteenth prior to the legislative session at which enactment will be sought
and shall be delivered for introduction no later than January fifteenth of such session. The commission
shall cause such proposed legislation to be made public prior to the December first preceding such ses­
sion and shall hold public hearings thereon. The commission shall present to the governor and legislature
its recommendations with the legislation.
§ 473. Impasses in coalition negotiations. (a) In the event of an impasse occurring during the
course of coalition negotiations either the employer coalition or the employee organization coalition may
declare impasse no earlier than September fifteenth or later than October first in any year. Notice of
impasse shall be filed with the public employment relations board created pursuant to article fourteen of
the civil service law.
(b) Forthwith after receipt of the notice of impasse the public employment relations board shall appoint
a fact finding board of not more than three members, each representative of the public, from a list of
qualified persons maintained by the board, which fact finding board shall have, in addition to the powers
delegated to it by the public employment relations board, the power to make public recommendations for
the resolution to the dispute.
(c) If the dispute is not resolved by November fifteenth prior to the legislative session at which imple­
mentation of any changes described by section four hundred seventy-one of this article will be sought,
the fact finding board shall transmit its findings of fact and recommendations to the coalition parties and
to the public employment relations board.
(d) In the event either of the coalition parties to the impasse does not accept the recommendations of the
fact finding board, such coalition party may submit its position with respect to such recommendations of the
fact finding board to the public employment relations board and to the other coalition party to the impasse.
169
R. & S.S. § 480
(e) The pubic employment relations board shall cause such recommendation of the fact finding board
and the positions of the parties to be made public prior to December first and shall hold public hearings
thereon. In addition to the powers vested in the public employment relations board by law, it may require
the assistance of representatives of any public retirement system or any public employer or employee
organization as defined in article fourteen of the civil service law and may request or permit, in its discre­
tion, the testimony of any person or organization whose testimony would assist in the resolution of the
dispute in the public interest.
(f) On or before January fifteenth following such notice of impasse or thirty days following the close of
such hearings whichever first occurs, the public employment relations board shall present its recommen­
dations with respect to the impasse to the governor, the legislature and the parties to the impasse.
(g) The legislature or a duly authorized committee thereof shall forthwith conduct a pubic hearing at
which the parties shall be required to explain their positions with respect to the issues and the recom­
mendations of the fact finding board and the public employment relations board; thereafter, the legisla­
ture shall take such action as it deems to be in the public interest, including the interest of the public
employees involved. [Art. 12 enacted L. 1973, ch. 382 in effect May 31, 1973.]*
Article 13
EXTENSION OF TEMPORARY BENEFITS
AND SUPPLEMENTATION PROGRAMS
§ 480. Extension of temporary benefits and supplementation programs. a. Every temporary right,
privilege or benefit conferred pursuant to the provisions of a general, special or local law (other than pur­
suant to articles fourteen and fifteen of this chapter) for any member of a public retirement system or pen­
sion plan funded by the state or one of its political subdivisions, which is scheduled to expire or terminate
at any time during nineteen hundred seventy-four, nineteen hundred seventy-five, nineteen hundred sev­
enty-six, nineteen hundred seventy-seven, nineteen hundred seventy-eight, nineteen hundred seventynine, nineteen hundred eighty, nineteen hundred eighty-one, nineteen hundred eighty-two, nineteen
hundred eighty-three, nineteen hundred eighty-four, nineteen hundred eighty-five, nineteen hundred
eighty-six, nineteen hundred eighty-seven, nineteen hundred eighty-eight, nineteen hundred eighty-nine,
nineteen hundred ninety, nineteen hundred ninety-one, nineteen hundred ninety-two, nineteen hundred
ninety-three, nineteen hundred ninety-four, nineteen hundred ninety-five, nineteen hundred ninety-six,
nineteen hundred ninety-seven, nineteen hundred ninety-eight, nineteen hundred ninety-nine, two thou­
sand, two thousand one, two thousand two, two thousand three, two thousand four, two thousand five,
two thousand six, two thousand seven, two thousand eight, two thousand nine, two thousand ten or two
thousand eleven, is hereby extended, notwithstanding the provisions of such general, special or local law.
Notwithstanding the foregoing, nothing in this section shall be construed to extend the provisions of article
eighteen of this chapter or to affect any statutory deadlines provided in such article. [Sub. a amended L.
1975, ch. 625 in effect Aug. 5, 1975; L. 1976, ch 491 in effect July 1, 1976; L. 1977, ch. 347 in effect July
1, 1977; L. 1978, ch. 464 in effect June 30, 1978; L. 1979, ch. 321 in effect June 29, 1979; L. 1981, ch. 381
in effect June 30, 1981; L. 1983, ch. 413 in effect June 30, 1983; L. 1985, ch. 284 in effect June 30, 1985;
L. 1987, ch. 203 in effect June 30, 1987; L. 1989, ch. 236 in effect July 1, 1989; L. 1991, ch. 196 in effect
June 28, 1991; L. 1993, ch. 122 in effect June 21, 1993; L. 1995, ch. 138 in effect July 7, 1995; L. 1997 ch.
151 in effect June 30, 1997; L. 1999, ch. 138 in effect June 29, 1999; L. 2001, ch. 44 in effect May 23,
2001; L. 2003, ch. 92 in effect July 1, 2003; L. 2005, ch. 35 in effect May 17, 2005; L. 2007, ch. 63 in effect
June 4, 2007; L. 2009, ch. 79 in effect July 1, 2009; L. 2009, ch. 504 in effect January 9, 2010.]
b. (i) Any program under which an employer in a public retirement system funded by the state or one of
its political subdivisions assumes all or part of the contribution which would otherwise be made by its
employees toward retirement, which expires or terminates during nineteen hundred seventy-four, is hereby
extended, notwithstanding the provisions of any other general, special or local law, except that
commencing with the payroll period the first day of which is nearest to January first, nineteen hundred
*For further information concerning Negotiations see Sec. 31, ch. 510, L. 1974; Sec. 6, ch. 625, L. 1975; Sec. 2, ch.
159, L. 1976; Sec. 10, ch. 491, L. 1976.
170
R. & S.S. § 530
seventy-six, the rate of such contribution assumed by an employer in any of the public retirement systems
funded and maintained by a city, shall be one-half the rate of such contribution assumed by such employer
for the immediately preceding payroll period except as provided in paragraph (ii) of this subdivision.
(ii) Commencing with the first payroll period the first day of which is subsequent to October first, two
thousand, the rate of such contribution assumed by an employer in the New York city police pension fund
and in the New York city fire department pension fund shall be equal to the rate of such contributions
assumed by such employer for the payroll period preceding January first, nineteen hundred seventy-six.
[Sub. b amended L. 1975, ch. 892 in effect Dec. 11, 1975; L. 1976, ch. 491, in effect July 1, 1976; L. 1977,
ch. 347 in effect July 1, 1977; L. 1978, ch. 464 in effect June 30, 1978; L. 1979, ch. 321 in effect June 29,
1979; L. 1981, ch. 381 in effect June 30, 1981; L. 1983, ch. 413 in effect June 30, 1983; L. 1985, ch. 284
in effect June 30, 1985; L. 1987, ch. 203 in effect June 30, 1987; L. 1989, ch. 236 in effect July 1, 1989;
L. 1991, ch. 196 in effect June 28, 1991; L. 1993, ch. 122 in effect June 21, 1993; L. 1995, ch. 138 in
effect July 7, 1995; L. 1997, ch. 151 in effect June 30, 1997; L. 1999, ch. 138 in effect June 29, 1999; L.
2000, ch. 373 in effect October 1, 2000; L. 2001, ch. 44 in effect May 23, 2001; L. 2003, ch. 92 in effect
July 1, 2003; L. 2005, ch. 35 in effect May 17, 2005; L. 2007, ch. 63 in effect June 4, 2007; L. 2009, ch.
79 in effect July 1, 2009; L. 2009, ch.504 in effect January 9, 2010.]
c. All supplemental retirement allowances or supplemental pensions paid to pensioners or beneficiaries of
any retirement system supported in whole or in part by the state or a political subdivision thereof, which are
scheduled to expire at any time during nineteen hundred seventy-five, nineteen hundred seventy-six, nine­
teen hundred seventy-seven, nineteen hundred seventy-eight, nineteen hundred seventy-nine, nineteen hun­
dred eighty, nineteen hundred eighty-one, nineteen hundred eighty-two, nineteen hundred eighty-three,
nineteen hundred eighty-four, nineteen hundred eighty-five, nineteen hundred eighty-six, nineteen hundred
eighty-seven, nineteen hundred eighty-eight, nineteen hundred eighty-nine, nineteen hundred ninety, nine­
teen hundred ninety-one, nineteen hundred ninety-two, nineteen hundred ninety-three, nineteen hundred
ninety-four, nineteen hundred ninety-five, nineteen hundred ninety-six, nineteen hundred ninety-seven, nine­
teen hundred ninety-eight, nineteen hundred ninety-nine, two thousand one, two thousand two, two thou­
sand three, two thousand four, two thousand five, two thousand six, two thousand seven, two thousand
eight, two thousand nine, two thousand ten or two thousand eleven, shall be continued notwithstanding any
other provision of any general, special or local law provided, however, that all such supplemental retirement
allowances or supplemental pensions which are scheduled to expire at any time during two thousand nine
shall be continued notwithstanding any other provisions of any general, special or local law. [Art. 13 added
L. 1974, ch. 510; amended L. 1974, ch. 426 in effect May 23, 1974; L. 1975, ch. 126 in effect May 31, 1975;
extended through June 30, 1976 by L. 1976, ch. 227 in effect May 28, 1976; extended an additional year L.
1976, ch. 491 in effect July 1, 1976; extended an additional year L. 1977, ch. 347 in effect July 1, 1977;
extended an additional year L. 1978, ch. 463 in effect June 30, 1978; extended two additional years L. 1979,
ch. 321 in effect June 29, 1979; extended two additional years L. 1981, ch. 381 in effect June 30, 1981;
extended two additional years, L. 1983, ch. 413 in effect June 30, 1983; extended two additional years, L.
1985, ch. 284 in effect June 30, 1985; extended two additional years, L. 1987, ch. 203 in effect June 30,
1987; extended two additional years L. 1989, ch. 236 in effect July 1, 1989; extended two additional years L.
1991, ch. 196 in effect June 28, 1991; L. 1993, ch. 122 in effect June 21, 1993; L. 1995, ch. 138 in effect July
7, 1995; L. 1997, ch. 151 in effect June 30, 1997; L. 1999, ch. 138 in effect June 29, 1999; L. 2001, ch. 44 in
effect May 23, 2001; L. 2003, ch. 92 in effect July 1, 2003; L. 2005, ch. 35 in effect May 17, 2005; L. 2007,
ch. 63 in effect June 4, 2007; L. 2009, ch. 79 in effect July 1, 2009; L. 2009, ch.504 in effect January 9, 2010.]
Article 14-A of the Retirement and Social Security Law
ELIMINATION OF MANDATORY RETIREMENT
§ 530. Elimination of mandatory retirement. a. Notwithstanding any provision of law, code, rule
or regulation to the contrary and except as provided in subdivisions b and c hereof, no member of a pub­
lic retirement system or pension fund maintained by the state or a municipality thereof, nor any employee
who was eligible to join such a public retirement system but in lieu thereof elected an optional retirement
program to which his or her employer is thereby obligated to contribute, shall be required to retire or
separate from service on the basis of age.
171
C.S.N.Y. § 7/U.L. § 68
b. This article shall not apply to any member of a retirement plan which permits immediate retirement
upon a specified period of service of twenty-five years or less without regard to age, nor shall this article
apply to any employee serving an employer in a position that, if offered to any individual not having been
previously employed by any employer (as “employer” is defined in this chapter) or by an employer in any
of the public retirement systems funded and maintained by a city, would qualify any such individual to
become a member of a retirement plan which permits immediate retirement upon a specified period of
service of twenty-five years or less without regard to age.
c. Nothing contained in this article shall be construed to prohibit mandatory retirement or separation
from service on the basis of age where age is a bona fide occupational qualification reasonably necessary
to the performance of the employee’s public duties.
d. Nothing contained in this article shall be construed to extend the time limitations on payments
authorized by section two hundred seven-a of the general municipal law, as such limitations are set forth
in subdivisions two and four of such section; nor shall anything in this article be deemed to extend the
time limitations on payments authorized by section two hundred seven-c of the general municipal law, as
such limitations are set forth in subdivision five of such section.* [Art. 14-A enacted L. 1984, ch. 296 in
effect January 1, 1985.]
e. Notwithstanding any other provisions of law to the contrary, any person who was employed by the
state of New York or a participating employer and who was previously denied membership in the New
York state and local employees’ retirement system based solely on the mandatory retirement provisions
in effect at the time of commencing employment and who has met all the salary and service credit
requirements for a service retirement benefit provided by the applicable provisions of this chapter shall
be entitled to file for a service retirement benefit, notwithstanding the mandatory retirement provisions in
effect prior to the effective date of this section, and shall be entitled to receive such retirement benefit
commencing the day after his or her public employment ceased. [Sub. e added L. 1988, ch. 524 in effect
Aug. 1, 1988.]
THE CONSTITUTION OF THE STATE OF NEW YORK
Article V
OFFICERS AND CIVIL DEPARTMENTS
§ 7. Membership in retirement systems; benefits not to be diminished nor impaired. After July
first, nineteen hundred forty, membership in any pension or retirement system of the state or of a civil
division thereof shall be a contractual relationship, the benefits of which shall not be diminished or
impaired.
UNCONSOLIDATED LAWS
RETROACTIVE RETIREMENT COVERAGE FOR NEW EMPLOYEES (1973)
§ 68. Retroactive retirement coverage for new employees. a. A person who joins or rejoins a
retirement system of the state or a municipality thereof on or after the effective date of this act shall be
permitted to acquire retirement credit for service rendered between July first, nineteen hundred seventythree and the effective date of this act, if any, in accordance with the appropriate provisions of law, and
shall be deemed to have been a member of such system during the entire period of time for which credit
is so acquired.
b. In the case of persons who became employed by the state or one of its political subdivisions on or
after July first, nineteen hundred seventy-three and prior to the effective date of this act, the period
between July first, nineteen hundred seventy-three and the effective date of this act shall not be included
in calculating any time limits relating to such person’s right to join a retirement system or optional retire­
ment program, or to elect any special retirement benefit provided by such system or program.
*See also Section 296, Executive Law, L. 1984, ch. 296 in effect Jan. 1, 1985.
172
U.L. § 4/1
c. The employer of a person who on or after the effective date of this act elects to join an optional
retirement program shall contribute to the optional retirement program on behalf of such person an
amount equal to the amount that it would have contributed had such person elected such program on the
last date on which he could have elected such program had he not otherwise have been prevented from
doing so by chapter three hundred eighty-three of the laws of nineteen hundred seventy-three.
d. The provisions of this act which extend certain benefits to persons who were denied membership in
a retirement system of the state or a municipality thereof by the provisions of chapter three hundred
eighty-three f the laws of nineteen hundred seventy-three shall not be construed to be enactment of a
new benefit or an improvement in benefits which will result in an increase in costs for the purposes of
section four hundred thirty of the retirement and social security law. [L. 1973, ch. 1046 in effect July 31,
1973. Par. d added L. 1973, ch. 1047 in effect July 31, 1973.]
LIMITATIONS ON POST JULY 1, 1973 MEMBERSHIP RIGHTS (1973)
§ 4. a. Notwithstanding the provisions of any other law, each and every retirement benefit, of whatever
nature, including but not limited to a retirement allowance, pension, annuity, death benefit and disability
allowance, which is authorized by statute and available to a member or members of the New York state
policemen’s and firemen’s retirement system, the New York state teachers’ retirement system, the New
York city employees retirement system, the New York city teachers retirement system, the New York city
police pension fund, the New York city fire department pension fund, and the New York city board of edu­
cation retirement system, or an optional retirement program on whose behalf the state or a political sub­
division thereof, thereby are required to contribute on June thirtieth, nineteen hundred seventy-three shall
not be applicable to any person or persons who first enter or are deemed to enter the membership of such
a retirement system or an optional retirement system after June thirtieth, nineteen hundred seventy-three,
and a person who is not a member of such a retirement system on June thirtieth, nineteen hundred sev­
enty-three shall not be covered by or entitled to any such retirement benefit, it being the intent of the
legislature that every such retirement benefit shall terminate after June thirtieth, nineteen hundred sev­
enty-three with respect to a person who is not a member of such a retirement system on said date.
b. Notwithstanding the provisions of paragraph a hereof all public employees entering service after
June thirtieth, nineteen hundred seventy-three who if they had entered service prior to that date would
have been entitled to become members of a public retirement system referred to in paragraph a hereof
shall be deemed members of such retirement system only for the purposes of article three of the retire­
ment and social security law and section ten of this act.
c. Each and every retirement benefit, of whatever nature, including but not limited to a retirement allow­
ance, pension, annuity, death benefit and disability allowance, which is authorized by statute and avail­
able to a member or members of the New York state policemen’s and firemen’s retirement system, the
New York state teachers retirement system, the New York city employees retirement system, the New
York city teachers retirement system, the New York city police pension fund, the New York city fire depart­
ment pension fund, and the New York city board of education retirement system, on June thirtieth, nine­
teen hundred seventy-three, shall continue to be applicable to a person who is a member of such a
retirement system on June thirtieth, nineteen hundred seventy-three, but only in the form and to the
extent thereof as such benefit existed on June thirtieth, nineteen hundred seventy-three, it being the
intent of the legislature that there shall be no improvement of such benefit or benefits after June thirtieth,
nineteen hundred seventy-three, except that a benefit or benefits of a temporary nature may be extended
or continued by the legislature on a temporary or permanent basis, or may be terminated. [L. 1973, ch.
383 in effect May 31, 1973.]
MEMBERSHIP RIGHTS OF CETA EMPLOYEES (1975)
§ 1. As used in this act the term “transitional public employment service” shall mean that period of
time spent in public service employment in such fields as environmental quality, health care, education,
public safety, crime prevention and control, prison rehabilitation, transportation, recreation, maintenance
of parks, streets and other public facilities, solid waste removal, pollution control, housing and neighbor­
hood improvements, rural development, conservation, beautification, veterans outreach and other fields
173
U.L. § 2/3/4/6
of human betterment and community improvement as part of a program of comprehensive manpower
services authorized, undertaken and financed pursuant to the provisions of the Comprehensive Employ­
ment and Training Act of 1973 (Public Law 93-203; 87 Stat. 839.)*
§ 2. Except as provided in section three of this act, no person employed in transitional public employ­
ment service shall be eligible for membership in a retirement system or pension plan administered by the
state or any of its political subdivisions on and after the effective date of this act.
§ 3. Any person employed in such service who was a member of such system or plan prior to such date
shall continue to receive credit for service rendered as such member. In addition, any person employed in tran­
sitional public employment service who, at the termination of service in such position, renders five years or more
of service in another position for which creditable service is granted under such system or plan, may obtain
credit, not to exceed four years, for such period of transitional public employment service provided that:
(a) such person makes application to the comptroller or administrative head of his retirement system
or plan for credit not later than one year after the completion of such five years of creditable service or,
in the case of any such person who, for reasons not ascribable to his own negligence, failed to make such
application not later than one year after the completion of such five years of creditable service, by March
31, 1999, whichever is later;** and
(b) the comptroller or administrative head of the retirement system or pension plan, for which such
person would have been eligible for membership during the period of his transitional public employment
service but for the exclusion from such membership provided for in section two of this act, makes a deter­
mination that such person is eligible for the service credit provided for in this act and notifies such person
and the employer for whom he worked in such service of his determination together with the amount of
any contributions which the employee or employers shall be required to make, in accordance with the
provisions of paragraph (c) of this section, before such service credit shall be granted; and
(c) upon receipt of such notification, the member and his employer shall make contributions to the
appropriate funds of the system or plan in an amount equal to the amount that would have been contrib­
uted by both the member and his employer, plus regular interest, had such transitional public employment
service been creditable service under such system or plan; and
(d) the deposits provided for in paragraph (c) of this section must be made no later than one year from
the date such person makes application for the service credit provided by this act, provided, however, that
such employer or employee may elect to deposit such amounts as may be necessary over a period of time
no greater than the period for which credit is being claimed. If the full amount of such payments are not
made the amount of service credited shall be proportional to the total amount of the payments made.
In the case of a member of a retirement system or pension plan who has the right to withdraw excess
contributions from his annuity savings account, such member may request the administrative head of his
retirement system to apply such excess contributions toward the payments required pursuant to this sec­
tion. Such request shall be on forms prepared by such officer.
§ 4. The provisions of this act shall be controlling notwithstanding any provision of law to the con­
trary. [Ch. 769 L. 1975 in effect Sept. 1, 1975; subdivision a of section three amended L. 1986, ch. 821 in
effect August 2, 1986.]
RETIREMENT RIGHTS OF EMPLOYEES SUBJECT TO LAY-OFF (1976)
§ 6. Notwithstanding any inconsistent provision of law, until July first, nineteen hundred eighty-six,
any person other than a retiree of a public retirement system of the state, who was a member of a public
retirement system of the state, or any political subdivision thereof, on September first, nineteen hundred
seventy-five, and who, on such date, prior thereto or subsequently thereafter, was separated from his
public employment due to the adverse fiscal circumstances of his public employer, shall upon his return
to public employment be entitled to every retirement right, benefit and privilege which would have been
*29 U.S.C.A. §801 et seq.
**Notwithstanding any other provision of law, all costs attributable to the operation of chapter 769 of the Laws of
1975, as amended by this act, shall be borne by the employer for whom the member rendered transitional public
employment service, as such term is defined in section one of such chapter, except that amount to be paid by the
employee pursuant to such chapter. [Sec. 2 of ch. 821, L. 1986; amended L. 1998, ch. 291 in effect July 14, 1998.]
174
U.L. § 3/4/1
available to him had he reentered employment on the date of this separation. [Sec. 6 of ch. 890, L. 1976
repealed and new Sec. 6 inserted L. 1976, ch. 891 in effect July 1, 1976; amended L. 1980, ch. 862 in
effect July 1, 1980.]
NEW YORK STATE TEACHERS’ RETIREMENT BOARD
AND ITS INVESTMENT AUTHORITY (1976)
§ 3. Notwithstanding any other provision of law, and in addition to its authority to make investments
under any other provision of law, the retirement board of the New York state teachers retirement system
may invest assets of such system in (a) bonds of the state of New York and notes issued in anticipation
of the sale of such bonds up to an aggregate of ten per centum of the assets of the system, excluding
bonds or notes issued to refund outstanding bonds or notes in which it shall have invested, (b) notes of
the state of New York issued in anticipation of the receipt of taxes and revenues without limitation as to
amount, and (c) bonds and notes of the following types up to an aggregate of ten per centum of the
assets of such fund, excluding bonds or notes issued to refund outstanding bonds or notes in which it
shall have invested:
(1) state university construction bonds and notes, health facilities bonds and notes, mental hygiene
improvement bonds and notes, and hospitals and nursing homes project bonds and notes issued by the
New York state housing finance agency;
(2) board of cooperative educational services school facilities bonds and notes, facilities for the New
York state department of health bonds and notes, state university of New York dormitory bonds and
notes, state university of New York dining halls bonds and notes, community colleges of the city univer­
sity of New York bonds and notes, senior colleges of the city university of New York bonds and notes,
senior colleges of the city university of New York bonds and notes, and locally sponsored community
college bonds and notes issued by the dormitory authority;
(3) health facilities bonds and notes and hospital and nursing homes project bonds and notes issued
by the New York state medical care facilities finance agency;
(4) general obligation bonds and notes issued by the New York state environmental facilities
corporation.
§ 4. If any section, part or provision of this act shall be declared unconstitutional or invalid or ineffec­
tive by any court of competent jurisdiction, such declaration shall be limited to the section, part or provi­
sion directly involved in the controversy in which such declaration was made and shall not affect any
other section, part or provision thereof. [Sections of ch. 35 L. 1976 in effect March 12, 1976.]
RETIREMENT INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES (1984) (omitted)
RETIREMENT CREDIT FOR UNION OFFICERS ON LEAVE OF ABSENCE (1984)
§ 1. Notwithstanding any other provisions of law, except in a city having a population of one million
or more, an employer as defined in subdivision three of section five hundred one of the education law may
grant a leave of absence with full salary to a member of the New York state teachers retirement system
who is employed as a full-time teacher as defined in subdivision four of section five hundred one of the
education law from his or her regular position, for the purpose of serving as an elective officer of the local
employee organization certified or recognized pursuant to article fourteen of the civil service law as the
collective negotiating agent of an employee negotiating unit or its statewide affiliate, provided that:
a. the local employee organization or its statewide affiliate requests that a leave of absence be granted
with full salary for such purpose;
b. each such leave, its terms and renewal shall be subject to an agreement pursuant to article fourteen
of the civil service law;
c. such local employee organization or its statewide affiliate shall periodically, as specified by the pub­
lic employer, reimburse the public employer for the salary or wages paid to such employee during such
leave of absence together with the full cost of fringe benefits including retirement credit with the New
York state teachers retirement system; and
175
U.L. § 2/3
d. The salary paid shall be the salary the employee would have earned and received had the employee
remained in service in the position which the employee held as a full time employee at the time the
employee was first elected as an elective officer, prior to the granting of the leave of absence based on
the salary schedule in effect for the negotiating unit during each year of the leave of absence. [L. 1984,
ch. 675 in effect August 1, 1984, as amended L. 2014, ch. 136 in effect July 22, 2014.]
PRESERVATION OF CONSTITUTIONAL AND CONTRACTUAL AUTHORITY
OF RETIREMENT BOARD TO DETERMINE EMPLOYER CONTRIBUTIONS (1990)
§ 2. Nothing contained in this act shall in any way impair or limit the constitutional, statutory or con­
tractual authority of the retirement board to determine the amount of contributions required to fund the
liabilities of the retirement system including any and all actuarial or other assumptions pertaining thereto,
and to collect such contributions. The obligation to pay such contributions as determined by the retire­
ment board shall constitute a contract and the rights of the New York state teachers’ retirement system
thereunder shall not be impaired in any way whatsoever. [L. 1990, ch. 175 in effect May 21, 1990.]
RETIREMENT INCENTIVE AND PHASED RETIREMENT PROGRAM
FOR CERTAIN EMPLOYEES OF THE STATE OF NEW YORK (1990) (omitted)
ADDITIONAL PENSION BENEFITS FOR AN EXTENDED SECOND PUBLIC EMPLOYMENT
AFTER RETIREMENT FROM A PLAN ALLOWING RETIREMENT AFTER 20 OR 25 YEARS
REGARDLESS OF AGE (1990)
§ 3. a. Notwithstanding any other provision of law to the contrary, any service retiree from a public
retirement system who
(1) had retired under a plan which permitted immediate retirement upon completion of a specified
period of service of twenty-five years or less without regard to age who subsequent to his retirement;
(2) had returned to public service and has thereafter been continuously employed in a position or posi­
tions of public service and is so employed as of the effective date of this act;
(3) has been so employed either (i) without suspension or diminution of his retirement allowance pursu­
ant to section 211 or 212 of the retirement and social security law, or (ii) with his pension having been, in
fact, suspended pursuant to section 150 of the civil service law; and
(4) by reason of such position or positions would have otherwise been entitled to become (in the case
of subparagraph (i) of paragraph 3 of this subdivision) or has been (in the case of subparagraph (ii) of
paragraph 3 of this subdivision) a member of another public retirement system, shall be entitled to elect
to be deemed retroactively to have transferred his membership in the system maintaining such plan to
such second retirement system pursuant to section 43 of the retirement and social security law as of the
date immediately prior to the date of his retirement; provided he consents to the suspension of his retire­
ment allowance, if not already suspended; and provided further that upon retirement from such second
system, his retirement allowance shall be reduced by (i) the actuarial equivalent of the retirement allow­
ance received by such retiree prior to his election pursuant to this section, and (ii) the actuarial equivalent
of any member contributions such retiree would have been required to pay, had he become a member of
such other system as of the first date of his eligibility for membership but for the operation of section 213
of the retirement and social security law unless such retiree shall pay in such contributions with regular
interest pursuant to a schedule established by such second system pursuant to regulation.
b. In order to effect such retroactive transfer pursuant to this section, the retiree must give notice to the
administrative head of the retirement system from which he is a retiree within 1 year of the effective date of
this act; upon receipt of such notice, the retirement allowance of the retiree shall be suspended and the
reserve on such retiree’s allowance shall thereafter be computed and transferred to such second retirement
system; such second retirement system shall be entitled to recover from the employer or employers of such
retiree any contributions with interest such employer or employers would have made had the retiree been a
member of such second retirement system during such employment or employments but less such actuarial
reduction, if any, as such other system may provide by regulation to be appropriate to reflect the actuarial
reduction for payment of the retiree’s allowance during such employment or employments.
176
U.L. § 1
c. Notwithstanding any other provision of law, in the event an eligible person elects to exercise the
rights granted pursuant to this section but dies prior to retirement from such second system, the death
benefit to be paid shall be the greater in value of (i) the death benefit payable under the rules of such
second system, or (ii) a survivor benefit, if any, which would have been paid according to the option
selection made by such person at the time of such person’s prior retirement and in the amount which
would have been paid if such person had died immediately prior to the date on which he gave notice of
his election under this section. Notwithstanding the foregoing, if such person designated a different ben­
eficiary for death benefit (i) than for death benefit (ii), then only the death benefit provided in subpara­
graph (i) of this paragraph shall be paid. [L. 1990, ch. 666 in effect July 22, 1990; amended L. 1992, ch.
658 which shall be deemed to have been in full force and effect on and after July 22, 1990; L. 1999, ch.
575 in effect November 1, 1999.]
d. Notwithstanding the provisions of subdivision b of this section or any other provision of law to the
contrary, with respect to transfers pursuant to this section which occur on or after the effective date of
this subdivision, no determination or transfer of the reserve on the benefits allowable to the transferring
member as the result of employer contributions, including the reserve-for-increased-take-home-pay,
shall be required. [Subdivision d added L. 2004, ch. 647 in effect October 26, 2004.]
[*Please note, Chapter 666 of the Laws of 1990 was amended by Chapter 274 of the Laws of 2000.
Chapter 274 added a new section 3-a.]
RETIREMENT INCENTIVE PROGRAM FOR CERTAIN EMPLOYEES
OF THE STATE OF NEW YORK (1990) (omitted)
A RETIREMENT INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES (1991) (omitted)
PRIOR SERVICE CREDIT FOR CERTAIN MEMBERS OF THE
NEW YORK STATE TEACHERS’ RETIREMENT SYSTEM (1991)
§ 1. Notwithstanding the provisions of subdivision b of section 446, subdivision b of section 513, or
paragraph 1 of subdivision b of section 609 of the retirement and social security law, a member of the
New York state teachers’ retirement system on the effective date of this act who last joined the New York
state teachers’ retirement system on or after July 1, 1973, shall be eligible for credit for service as a
teacher as defined in subdivision 4 of section 501 of the education law rendered prior to January 1, 1986,
and prior to the date he last became a member of the New York state teachers’ retirement system in
accordance with the provisions of section 509 of the education law, provided the member is credited with
5 years of service credit at the time such prior service credit is granted and a claim for such service credit
is filed with the system within 7 years of the effective date of this act. Payments for such service must be
made for those subject to article 14 of the retirement and social security law in accordance with section
517 of such law and for those subject to article 15 of such law in accordance with section 613 and para­
graph 2 of subdivision b of section 609 of such law. [L. 1991, ch. 422 in effect July 1, 1991; amended L.
1997, ch. 639 in effect July 1, 1991.]
THE STATE UNIVERSITY OF NEW YORK AND THE CITY UNIVERSITY
OF NEW YORK RETIREMENT INCENTIVE ACT OF 1992 (omitted)
A RETIREMENT INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES (1992) (omitted)
A RETIREMENT INCENTIVE FOR THE CITY OF BUFFALO (1994) (omitted)
A RETIREMENT INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES (1995) (omitted)
A RETIREMENT INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES (1996) (omitted)
177
U.L. § 1/1/1
A RETIREMENT INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES;
AND TO AMEND THE CIVIL SERVICE LAW AND CHAPTER 29 OF THE LAWS OF 1996
AMENDING THE CIVIL SERVICE LAW RELATING TO VOLUNTARY TRANSFER OF
STATE PERSONNEL, IN RELATION THERETO (1997, 1998, 1999 AND 2000) (omitted)
PROVIDING A LUMP SUM PAYMENT IN LIEU OF FUTURE PAYMENTS TO
SERVICE RETIREES OF THE NEW YORK STATE TEACHERS’ RETIREMENT
SYSTEM RECEIVING LESS THAN ONE THOUSAND DOLLARS PER ANNUM (1997)
§ 1. Any law to the contrary notwithstanding, any member of the New York state teachers’ retirement
system who has retired for service and has not elected any optional allowance in lieu of the maximum pos­
sible retirement allowance and whose retirement allowance, together with any then applicable supplemen­
tal retirement allowance, is at the time of election less than one thousand dollars per annum, may elect to
receive, in lieu of any further payments upon such allowance, a lump payment which has been certified by
the actuary of the system to be of actuarial equivalent value to the remaining payments (including any then
applicable supplemental retirement allowance) due such retired member and approved by the retirement
board of the system. Such lump sum shall be calculated using the interest rate on thirty year United States
treasury bonds as of January first of the calendar year in which the payment is made. Upon payment of
such lump sum, any and all obligations of the retirement system to such member shall be totally dis­
charged. Provided, however, such election must be made on a form prescribed by the system and filed
with the system no later than December 31, 1997. [L. 1997, ch. 369 in effect August 5, 1997.]
THE GRANTING OF RETIREMENT SYSTEM DEATH BENEFITS (1999)
§ 1. Notwithstanding any contrary provision of law, the surviving beneficiaries of any member of the
New York state teachers’ retirement system whose qualifying application for disability retirement was
received by such system on or after June 1, 1987 but no later than October 24, 1995, may elect to receive
the difference between the amount of a qualifying survivor benefit which would have been payable, had
such retirement become effective prior to the death of such member, and the amount of any death ben­
efit, if any, paid by such system upon the death of such member.
For the purposes of this section, a “qualifying application for disability retirement” shall be any applica­
tion for disability retirement which was duly executed by a member prior to death and which (1) was filed
with such system prior to the member’s death but did not become effective by reason of the member’s
death, or (2) was received by such system within seven days after such member’s death; a “qualifying
survivor benefit” shall be the Option 1 or the Option 4 pursuant to section 513 of the education law, pro­
vided such optional allowance was duly elected by such member prior to death and provided, in the case
of Option 4, the optional allowance elected by the member provided only for the payment of a lump sum
upon such member’s death; and a “surviving beneficiary” shall be an individual who was the beneficiary
of the qualifying survivor benefit duly designated by the member prior to death, provided such individual
is living on the effective date of this act. [L. 1999, ch. 394 in effect July 27, 1999.]
A TEMPORARY RETIREMENT INCENTIVE FOR CERTAIN
PUBLIC EMPLOYEES; AND TO PROVIDE AN AGE 55/25 TEMPORARY
INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES (2002) (omitted)
CREDIT FOR CERTAIN SERVICE AS A TEACHER WITHIN THE
NEW YORK CITY PUBLIC SCHOOLS (2002)
§ 1. Notwithstanding any other law, a member of the New York state teachers’ retirement system
shall be eligible for retirement credit for teaching service within the city of New York which (i) was ren­
dered prior to the first day of July, nineteen hundred ninety and during which employment the member
was ineligible to join the New York city teachers’ retirement system or the New York city board of educa­
tion retirement system and (ii) otherwise would have been creditable pursuant to subdivision two of sec­
tion five hundred nine of the education law, subdivision b of section four hundred forty-six of the retirement
178
U.L. § 1
and social security law, subdivision b of section five hundred thirteen of the retirement and social security
law, or subdivision b of section six hundred nine of the retirement and social security law, as applicable,
but for the fact that such service was rendered during, and not prior to, such member’s membership in
the New York state teachers’ retirement system, provided (a) such member has rendered at least two
years of service credited with the New York state teachers’ retirement system at the time such service is
credited, and (b), in the case of such member subject to the provisions of article fourteen or fifteen of the
retirement and social security law, the member contributes three percent of the wages earned for such
service together with interest at the rate of five percent per annum compound annually from the date of
such service until payment is made. [L. 2002, ch. 352 in effect June 30, 2002.]
HEALTH INSURANCE BENEFITS AND CONTRIBUTIONS OF RETIRED EMPLOYEES
OF SCHOOL DISTRICTS AND CERTAIN BOARDS (MADE PERMANENT 2010)
§ 1. From on and after June 30, 1994, a school district, board of cooperative educational services,
vocational education and extension board or a school district as enumerated in section 1 of chapter 566
of the laws of 1967, as amended, shall be prohibited from diminishing the health insurance benefits pro­
vided to retirees and their dependents or the contributions such board or district makes for such health
insurance coverage below the level of such benefits or contributions made on behalf of such retirees and
their dependents by such district or board unless a corresponding diminution of benefits or contributions
is effected from the present level during this period by such district or board from the corresponding
group of active employees for such retirees. [Ch. 729 L. of 1994 in effect June 30, 1994; amended L.
2004, ch. 25 in effect April 6, 2004; extended by L. 2005, ch. 16, L. 2006, ch. 27, L. 2007, ch. 22, L. 2008,
ch. 43, L. 2009, ch. 30; amended L. 2009, ch. 504 in effect January 1, 2010.]
A 55/25 RETIREMENT INCENTIVE FOR EDUCATORS REPRESENTED BY NYSUT (2010) (omitted)
A TEMPORARY RETIREMENT INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES AND
AN AGE 55/25 TEMPORARY INCENTIVE FOR CERTAIN PUBLIC EMPLOYEES (2010) (omitted)
179
New York State Teachers’ Retirement System
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