2023 New York Laws › PBA - Public Authorities › Article 5 - Public Utility Authorities › Title 9 - New York City Transit Authority › 1210-A - Flexible Benefits Program.

§  1210-a. 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. "Authority" shall mean (1) the New York city transit authority, (2)
  the Manhattan and Bronx surface transit operating authority, or (3)  the
  Staten Island rapid transit operating authority.
c.  "Employee"  shall  mean  any  officer  or  employee  of any of the
  entities set forth in  paragraph  c  of  this  subdivision  who  is  not
  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.
d.  "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  an
  employee benefits program administered by the authority.
e. "Program administrator" shall mean that agent, as determined by the
  authority,  responsible  for  the  maintenance  and  management  of  the
  flexible benefits program as  authorized  in  subdivision  two  of  this
  section.
2.  The  authority is authorized to establish and implement a flexible
  benefits program for its employees  who  are  not  eligible  to  receive
  benefits  from  the  New York city employee benefits program, consistent
  with applicable provisions of the code. It  may  enter  into  agreements
  with  persons  or  entities  to  act  as  program  administrators of the
  flexible benefits  program.  It  shall  establish  regulations  for  the
  appropriate administration of such flexible benefits program.
3.  At  the  request  of  an employee, the chief fiscal officer of the
  authority, or the officer responsible  for  the  administration  of  the
  authority'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 authority 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 authority 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
  authority  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.