NY Gen Mun L § 23 (2021)
2021 New York Laws GMU - General Municipal Article 2 - General Municipal Finances 23 - Flexible Benefits Program.

§  23. Flexible benefits program. 1. For purposes of this section, the   following terms shall have the following meanings:a. "Code" shall mean  the  United  States  internal  revenue  code  of   nineteen  hundred  eighty-six,  as  amended, and regulations promulgated   thereunder.b. "Commissioner of labor relations" shall mean the officer of a  city   having  a  population  of  one  million  or  more  responsible  for  the   administration of health benefits on behalf of such city and any of  the   entities   set  forth  in  subparagraph  two  of  paragraph  c  of  this   subdivision.c. "Employer" shall mean (1) a city having a population of one million   or more, or (2)  any  one  of  the  following  entities:  (i)  the  city   university  of  New  York,  (ii)  the New York city health and hospitals   corporation, (iii) the New York city transit  authority,  (iv)  the  New   York  city  housing  authority,  (v) the New York city off-track betting   corporation, (vi) the New York city  rehabilitation  mortgage  insurance   corporation,  (vii)  the New York city board of education, or (viii) the   New York city school construction authority.d. "Employee" shall mean any officer or employee of a  city  having  a   population  of one million or more, or any officer or employee of any of   the entities set forth in  subparagraph  two  of  paragraph  c  of  this   subdivision  who are eligible to receive benefits from the New York city   employee benefits program.For purposes of this section, an independent contractor shall  not  be   considered an employee.e.  "Flexible  benefits  program"  shall  mean the program established   pursuant to this section, qualifying as a cafeteria plan as  defined  in   section  one  hundred  twenty-five  of the code or any successor section   thereto providing similar benefits,  and  provided  as  a  part  of  the   employee  benefits  program  administered  by  the commissioner of labor   relations.f. "Program administrator" shall mean that agent, as determined by the   commissioner of labor relations, responsible  for  the  maintenance  and   management of the flexible benefits program as authorized in subdivision   two of this section.2.  Any city having a population of one million or more, acting by the   commissioner of labor relations, subject to the approval of the director   of the budget of such city, is authorized to establish and  implement  a   flexible  benefits  program  for  its employees and the employees of any   employer as defined in subparagraph two of paragraph  c  of  subdivision   one  of this section, consistent with applicable provisions of the code.   The  commissioner  of  labor  relations  is  authorized  to  enter  into   agreements with persons or entities, on behalf of such city or employer,   to  act  as program administrators of the flexible benefits program. The   commissioner  of  labor  relations  shall  promulgate  rules   for   the   appropriate administration of such flexible benefits program.3.  At  the  request  of  an employee, the chief fiscal officer of the   employer, or the officer responsible  for  the  administration  of  such   employer's  payroll,  shall, by payroll deduction, adjust the payment of   the compensation of such employee as provided in a written statement  by   the employee in connection with the establishment and maintenance of the   flexible  benefits  program  as  authorized  by  subdivision two of this   section, and shall transfer the amount so  adjusted  to  the  authorized   program administrator.4.  Moneys  held for employees in any accounts established pursuant to   the flexible benefits program, as authorized in subdivision two of  this   section,  shall  be  held  by the program administrator as agent for the   participating employee, shall be  accounted  for  separately  and  shall    remain  the property of the employer to the extent required by the code.   Notwithstanding any law to the contrary, moneys may be paid out of  such   accounts  without  any  appropriation by law. Any unexpended balances in   such  accounts  at the end of a plan year as that term is defined by the   United States internal revenue service shall be returned to the  control   of the employer to the extent required by the code.5.  To  the  extent  permitted  by  the  code, any salary deduction or   deferral to an employee under the flexible benefits program  established   pursuant  to  this  section  shall be considered part of such employee's   annual compensation for the purpose of computing  pension  contributions   and  retirement  benefits  by any retirement system or plan to which the   employer  contributes  on  behalf  of  said  employee.   However,   this   subdivision  shall in no way be construed to supersede the provisions of   sections four hundred thirty-one, five hundred twelve  and  six  hundred   eight  of  the  retirement  and social security law or any other similar   provision of law which limits the salary base for  computing  retirement   benefits payable by a public retirement system.