NY Ret & SS L § 504-D (2021)
2021 New York Laws RSS - Retirement and Social Security Article 14 - Coordinated-Escalator Retirement Plan 504-D - Twenty-Year Retirement Program for New York City Correction Members.

§  504-d.  Twenty-year retirement program for New York city correction members. a. Definitions. The following words and phrases as used in this section shall have the following meanings unless a different meaning  is plainly required by the context.   1.  "New  York  city  correction  officer"  shall mean a member of the uniformed force of the New York city department of correction who  holds the  rank  of  correction  officer below the rank of captain; correction captain; assistant deputy warden, also known as warden correction  level I;  deputy  warden  or  deputy  warden-in-command,  also known as warden correction level II; warden  or  deputy  chief,  also  known  as  warden correction  level  III;  or  chief  of  department, also known as warden correction in the correction service of such city.   2. "New York city correction member" shall mean a general  member  (as defined  in  subdivision  twelve  of  section  five  hundred one of this article) who is a New York city correction officer.   3. "Twenty-year retirement program"  shall  mean  all  the  terms  and conditions of this section.   4.  "Starting  date  of the twenty-year retirement program" shall mean the effective date of this section, as such date is  certified  pursuant to section forty-one of the legislative law.   5.  "Participant in the twenty-year retirement program" shall mean any New York city correction member who, under the applicable provisions  of subdivision  b  of this section, is entitled to the rights, benefits and privileges  and  is  subject  to  the  obligations  of  the  twenty-year retirement program, as applicable to him or her.   6.  "Discontinued  member" shall mean a participant in the twenty-year retirement program who, while he or she was a New York  city  correction officer,  discontinued  service  in  the uniformed force of the New York city department of correction and has  a  right  to  a  deferred  vested benefit under subdivision d of this section.   7.  "Administrative  code"  shall  mean the administrative code of the city of New York.   b. Participation in twenty-year retirement program. 1. Each person who becomes a New York city correction member on or after the starting  date of the twenty-year retirement program, who first became or becomes a New York  city  correction member on or after such starting date and who, as such a correction member or otherwise, becomes subject to the provisions of this  article  on  or  after  such  starting  date,  shall  become  a participant  in the twenty-year retirement program on the date he or she becomes a New York city correction  member.  Notwithstanding  any  other provision  of  law  to  the  contrary,  a participant in the twenty-year retirement program shall have the term "credited service" applied to him or her in the same manner as such term would be applied to  a  similarly situated  correction  officer  who is governed by article eleven of this chapter, and who is a participant in  either  the  twenty-year  improved benefit  retirement  program  for  correction officers below the rank of captain established by section four hundred forty-five-a of such article eleven or  the  twenty-year  improved  benefit  retirement  program  for captains  and  above established by section four hundred forty-five-c of such article eleven.   1-a. Notwithstanding any other provision of this  subdivision  or  any other provision of law to the contrary, no member of the uniformed force of  the  New  York  city department of correction who is a New York city uniformed  correction/sanitation  revised  plan  member   shall   be   a participant in the twenty-year retirement program.   2.  Where  any participant in the twenty-year retirement program shall cease to hold the position of New York city correction  officer,  he  or she  shall  cease  to  be  such  a  participant, and shall not be such a  participant during any period in which he  or  she  does  not  hold  the position of New York city correction officer.   3.  Where  any  participant  in  the  twenty-year  retirement  program terminates service as a New York city correction officer and returns  to such service as a New York city correction member at a later date, he or she shall again become such a participant on that date.   c.  Service  retirement  benefits. 1. A participant in the twenty-year retirement program:  (i) who has completed twenty or more years of credited service; and  (ii) who, subject to the provisions of paragraph six of subdivision  e of  this section, has paid, before the effective date of retirement, all additional member  contributions  and  interest  (if  any)  required  by subdivision e of this section; and  (iii)  who  files  with  the retirement system of which he or she is a member an application for service retirement setting forth at what  time he or she desires to be retired; and  (iv)  who shall be a participant in the twenty-year retirement program at the time so specified for his or her retirement; shall be retired pursuant to the provisions of  this  section  affording early service retirement.   2. (i) Notwithstanding any other provision of law to the contrary, and subject  to  the  provisions  of  paragraph six of subdivision e of this section, the early service retirement benefit for  participants  in  the twenty-year  retirement  program who retire pursuant to paragraph one of this subdivision shall be a pension consisting of:  (A) an amount, on account of twenty years of credited  service,  equal to one-half of his or her final average salary; plus  (B)  an  amount  for  each  additional  year  of  credited service, or fraction thereof, beyond such twenty years of credited service equal  to one-sixtieth  of  the  final  average  salary  for such credited service during the period from  the  completion  of  twenty  years  of  credited service to the date of retirement.  (ii)  The  maximum  pension  computed  without  optional  modification payable pursuant to subparagraph (i) of this paragraph shall equal  that payable upon completion of thirty years of service.   d. Vesting. 1. A participant in the twenty-year retirement program:  (i)  who  discontinues  service in the uniformed force of the New York city department of correction while  he  or  she  is  a  New  York  city correction officer, other than by death or retirement; and  (ii)  who,  prior to such discontinuance, completed five but less than twenty years of credited service; and  (iii) who, subject to the provisions of paragraph seven of subdivision e  of  this  section,  has  paid,  prior  to  such  discontinuance,  all additional  member  contributions  and  interest  (if  any)  required by subdivision e of this section; and  (iv) who does not withdraw in whole or in part his or her  accumulated member  contributions pursuant to section five hundred seventeen of this article unless such participant thereafter returns to public service and repays the amounts so withdrawn, together  with  interest,  pursuant  to such section five hundred seventeen; shall  be  entitled  to receive a deferred vested benefit as provided in this subdivision.   2. (i) Upon such discontinuance under the conditions and in compliance with the provisions of paragraph one of this subdivision, such  deferred vested benefit shall vest automatically.  (ii)  Such vested benefit shall become payable on the earliest date on which such discontinued member could have retired for  service  if  such discontinuance had not occurred.    3.  Subject  to  the provisions of paragraph seven of subdivision e of this section, such deferred vested benefit shall be a pension consisting of an amount equal to two and  one-half  percent  of  such  discontinued member's  final  average  salary,  multiplied  by the number of years of credited service on the date of such discontinuance.   e.  Additional  member  contributions.  1.  In  addition to the member contributions  required  by  section  five  hundred  seventeen  of  this article,  each  participant  in the twenty-year retirement program shall contribute to the retirement system of which  he  or  she  is  a  member (subject  to  the  applicable  provisions  of  section  13-125.1  of the administrative code) an additional  four  and  sixty-one  one-hundredths percent of his or her compensation earned from all service as a New York city correction member.   2.   A   participant  in  the  twenty-year  retirement  program  shall contribute additional member contributions only  until  he  or  she  has twenty years of credited service.   3.  Commencing  with  the  first full payroll period after each person becomes a participant in the twenty-year retirement program,  additional member  contributions  at  the  rate  specified in paragraph one of this subdivision shall be deducted (subject to the applicable  provisions  of section  13-125.1  of  the administrative code) from the compensation of such participant on each and every payroll of such participant for  each and every payroll period.   4.  (i)  Subject  to  the  provisions  of  subparagraph  (ii)  of this paragraph,  where  any  additional  member  contributions  required   by paragraph  one  of  this  subdivision  are not paid by deductions from a participant's  compensation  pursuant  to  paragraph   three   of   this subdivision:  (A)  that  participant shall be charged with a contribution deficiency consisting of such unpaid amounts, together with interest thereon at the rate of five percent per annum, compounded annually; and  (B) such interest on each amount  of  undeducted  contributions  shall accrue  from  the  end of the payroll period for which such amount would have been deducted from compensation if he or she had been a participant at the beginning of that payroll period, until such amount  is  paid  to the retirement system.  (ii)  Except  as  provided in subparagraph (iii) of this paragraph, no interest shall be due on any such unpaid additional member contributions which are not attributable to the period prior to the first full payroll period referred to in paragraph three of this subdivision.  (iii) Should any person  who,  pursuant  to  paragraph  nine  of  this subdivision,  has withdrawn any additional member contributions (and any interest paid thereon) again become a  participant  in  the  twenty-year retirement  program pursuant to paragraph three of subdivision b of this section, an appropriate amount shall be included in  such  participant's contribution   deficiency  (including  interest  thereon  as  calculated pursuant to subparagraph (i) of this paragraph) as  if  such  additional contributions had never been made.   5.  The head of a retirement system which includes participants in the twenty-year retirement program in its membership  may,  consistent  with the  provisions  of  this  subdivision,  promulgate  regulations for the payment of  such  additional  member  contributions,  and  any  interest thereon,   by   such  participants  (including  the  deduction  of  such contributions,  and  any  interest  thereon,  from   the   participants' compensation).   6.   Where  a  participant  who  is  otherwise  eligible  for  service retirement pursuant to subdivision c of this section did not,  prior  to the   effective   date  of  retirement,  pay  the  entire  amount  of  a  contribution deficiency chargeable to him or her pursuant  to  paragraph four  of  this  subdivision,  that  participant,  nevertheless, shall be eligible to retire pursuant to subdivision c of this  section  provided, however,  that  the  service  retirement  benefit calculated pursuant to paragraph two of such subdivision c shall be reduced  by  the  actuarial equivalent of the amount of any contribution deficiency pursuant to such paragraph four which such participant did not pay prior to the effective date of his or her retirement.   7. Where a participant who is otherwise eligible for a vested right to a  deferred  benefit  pursuant to subdivision d of this section did not, prior to the date of discontinuance of service, pay the entire amount of a contribution deficiency chargeable to him or her pursuant to paragraph four of this  subdivision,  that  participant,  nevertheless,  shall  be eligible   for  a  vested  right  to  a  deferred  benefit  pursuant  to subdivision d of this  section  provided,  however,  that  the  deferred vested   benefit   calculated   pursuant  to  paragraph  three  of  such subdivision d shall be reduced by the actuarial equivalent of the amount of any contribution deficiency pursuant to  such  paragraph  four  which such  participant  did  not  pay  prior  to his or her discontinuance of service.   8.  Where  a  participant  has  not  paid  in  full  any  contribution deficiency  chargeable  to him or her pursuant to paragraph four of this subdivision, and a benefit, other than a refund of member  contributions pursuant  to section five hundred seventeen of this article, or a refund of additional member contributions pursuant to paragraph  nine  of  this subdivision,  or  a benefit which has been reduced pursuant to paragraph six or seven of this subdivision becomes payable under this  article  to the  participant  or to his or her designated beneficiary or estate, the actuarial equivalent of any such unpaid amount shall  be  deducted  from the benefit otherwise payable.   9.   (i)   All   additional  member  contributions  required  by  this subdivision (and  any  interest  thereon)  which  are  received  by  the retirement  system  of  which  the participant is a member shall be paid into its contingent reserve fund and shall not for any purpose be deemed to be member contributions or  accumulated  contributions  of  a  member under  section five hundred seventeen of this article or otherwise while he or she is a participant in  the  twenty-year  retirement  program  or otherwise,   except   that,   a   surplus   of  such  additional  member contributions that are paid  into  the  retirement  system's  contingent reserve fund may be used for the sole purpose of offsetting a deficit of basic member contributions.  (ii)(A) Should a participant in the twenty-year retirement program who has  rendered  less than fifteen years of credited service cease to hold the position  of  New  York  city  correction  officer  for  any  reason whatsoever,  his or her accumulated additional member contributions made pursuant to this subdivision (together with any interest thereon paid to the retirement system) may be  withdrawn  by  him  or  her  pursuant  to procedures  promulgated  in  regulations  of  the head of the retirement system, together with interest thereon at the rate of five  percent  per annum, compounded annually.  (B)  Upon  the  death  of  a participant in the twenty-year retirement program, there shall be paid to such person as he or she  has  nominated or shall nominate to receive his or her accumulated member contributions by  written  designation  duly  executed  and  filed with the retirement system during the lifetime of such participant, or, to his or her estate if no such person is nominated, his or her accumulated additional member contributions made pursuant to this subdivision (including any  interest  thereon  paid  to the retirement system), together with interest thereon at the rate of five percent per annum, compounded annually.  (iii)  Except  as  otherwise  provided  in  subparagraph  (ii) of this paragraph, no member while he or she is a participant in the twenty-year retirement program or otherwise shall have  a  right  to  withdraw  such additional  member  contributions  or  any  interest  thereon  from  the retirement system.   10. Notwithstanding any other provision of law  to  the  contrary,  no member of the retirement system shall be permitted to borrow any portion of  his  or  her additional member contributions (including any interest paid thereon) which are subject to this subdivision.   f. The escalation of benefits provisions of section five  hundred  ten of this article shall not apply to any benefits received pursuant to the provisions of this section.   g.  Except  as provided in clause (B) of subparagraph (i) of paragraph two of subdivision c of this section, the provisions of subdivision d of section five hundred of this article shall apply to  participants  under this section.   h.  In  the event that the provisions of this section should result in any increase in the contribution rate of the  city  of  New  York,  that increase  shall  not  apply  to any calculation or certification for the purposes of subdivision c of section five hundred of this article.