NY Ret & SS L § 23-A (2021)
2021 New York Laws RSS - Retirement and Social Security Article 2 - New York State Employees' Retirement System Title 3 - Funds of the System; Members' Contributions and Employers' Contributions 23-A - Statement of Intent.

§ 23-a. Statement of intent. a. This legislation is intended, by means   of  a  comprehensive  reform program, to strengthen the long-term fiscal   health  of  the  retirement  system,  to  reduce   the   volatility   of   contribution  rates  and  to  provide budget certainty for participating   employers by addressing current structural problems with respect to  the   calculation  and  payment  of employer contributions. There is a need to   address structural problems in the current billing cycles for the  state   and  local governments with respect to their annual contributions to the   retirement system. The state currently pays  its  contributions  on  the   basis  of  estimates,  which  are  subject to adjustment at a later date   (with interest, if applicable) on the basis of  subsequent  calculations   of  the  required  contributions. Local governments must currently adopt   budgets based on estimates of the required contributions, but then  make   payment  of the full amount of the actual contributions that are finally   billed  on  the  basis  of  subsequent  calculations  of  the   required   contributions.  In addition, dramatic fluctuations in the performance of   the  investment  markets  have  produced  unprecedented  volatility   in   employer   contribution   rates.   These  rate  fluctuations  have  been   exacerbated by the lack of a reasonable minimum payment by employers  in   years  where  investment  performance was strong and employer rates were   low. In order to enhance the continuing ability of the retirement system   to provide services and benefits for the more than  nine  hundred  forty   thousand  members and retirees and for their beneficiaries, this section   provides for measures to (1) enhance the long-term fiscal health of  the   retirement  system,  (2)  facilitate the planning and budgeting of state   and participating employer contributions, and (3) ease the volatility of   retirement system employer contribution rates in the future.b. Notwithstanding  the  provisions  of  this  chapter  or  any  other   provision  of  law  to  the  contrary,  the  comptroller  shall have the   authority, in his  or  her  discretion,  to  implement  a  comprehensive   structural  reform  program, which shall consist of all of the following   measures:1. revision of the schedule pertaining to the valuation,  billing  and   payment  of contributions by the state and participating employers under   which the valuation of the assets  and  liabilities  of  the  retirement   system  undertaken  on  the  first day of a fiscal year shall be used to   determine the contribution  rates  to  be  applied  to  the  pensionable   salaries  of  the  state  and participating employers earned during such   fiscal year for the payment of contributions due for the next succeeding   fiscal year; and2. requiring a minimum annual contribution from the  state  and  every   participating  employer  (exclusive  of  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 the state  or  participating  employer  is   permitted  to  pay  on  an  amortized  basis) equal to four and one-half   percent   of   pensionable   salaries.   Effective   immediately    upon   implementation by the comptroller of the comprehensive structural reform   program  set  forth  in  this  section,  and  in  all  subsequent years,   participating  employers  shall   pay   either   the   required   annual   contribution  determined  under  the  revised schedule pertaining to the   valuation, billing and payment of contributions  pursuant  to  paragraph   one  of this subdivision, or the required minimum annual contribution of   four and one-half percent of pensionable salaries, whichever is greater;   and3. notwithstanding any provision of subdivision a of  section  sixteen   of  this  article to the contrary, upon the comptroller's implementation   of the measures set forth in this subdivision, all contributions payable    by the state and participating employers under  the  valuation,  billing   and   payment   schedule   implemented   under  paragraph  one  of  this   subdivision, including the minimum contribution  required  by  paragraph   two  of this subdivision, must be paid in full by the state on or before   March first of  the  then  current  fiscal  year  and  by  participating   employers on the date set forth in subdivision c of section seventeen of   this article.