NY Educ L § 501 (2021)
2021 New York Laws EDN - Education Title 1 - General Provisions Article 11 - State Teachers' Retirement System for Public School Teachers 501 - Definitions.

§ 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 training teacher,  principal,   vice-principal,    supervisor,    supervisory    principal,    director,   superintendent,  city  superintendent,  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   employment, 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 a state-operated   institution 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  foregoing  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.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 anda. 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 establishment  of  the   system  pay  to  the  system  on  entrance  the  amount  he  would  have   contributed had he 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 savings fund, regular interest shall   mean interest at five per centum per annum, compounded annually.b.  For  the  purpose  of  the  actuarial  valuations   specified   in   subdivision  two  of  section  five  hundred  seventeen of this article,   regular interest shall mean the valuation rate of  interest  recommended   by  the  system's actuary and approved by the retirement board from time   to time.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 Committee 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 exclusively 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.10.  "Accumulated contributions" shall mean the sum of all the amounts   deducted from the compensation of a contributor,  and  credited  to  his   individual  account  in  the  annuity savings fund together with regular   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.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.b.   Notwithstanding   anything  to  the  contrary  in  this  article,   commencing July  first,  nineteen  hundred  sixty-nine,  "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 consecutive 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 seventy-four.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 annuity, 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 pension, 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.