Relates to service retirement benefits for members of the NYC police pension fund

• Democratic2
• Republican1

◆ The sponsor's argument

Why James Skoufis says this is needed

This bill seeks to restore a pension benefit for New York City police officers that was eliminated following the 2009 veto of the Tier 2 extender by Governor Paterson. It aims to provide parity by extending the same pension reforms that have since been granted to other police officers across New York State to those serving in New York City. Currently, members of the New York City Police Pension Fund under Tier 3 and "Modified Tier 3"/Tier 6 are eligible for various service retirement benefits. A standard service retirement becomes payable after 22 years of service. Early service retirement is available after 20 years of service or at age 62 for Tier 3 members, and after 20 years for Modified Tier 3 members. These benefits are calculated at 2.1% of the member's final average salary for each year of service beyond 20 years, capped at 50% of the final average salary. Vested retirement is also available to members with at least five years of uniformed service upon reaching age 55, also calculated at 2.1% of final average salary. The final average salary is based on a three-year average for Tier 3 members hired between July 1, 2009, and March 31, 2012, and a five-year average for Modified Tier 3 members hired after April 1, 2012. However, all of these pension benefits are subject to an automatic reduction equal to 50% of the member's Social Security benefit upon reaching age 62. This "Social Security offset" applies almost exclusive- ly to Tier 3 members. In contrast, officers who retired under Tiers 1 and 2 or due to disability are exempt, as are police officers elsewhere in New York State who were hired under tiers that do not include the offset. This inequity is particularly unjust given that New York City police officers face the same if not greater risks and responsibilities as their counterparts throughout the state. Younger officers should not be penalized with reduced retirement benefits due to factors beyond their control. The Social Security offset not only undermines fairness but also hinders the recruitment and retention of the experienced personnel required to ensure the safety and security of New York City. This bill corrects that imbalance by eliminating the Social Security offset for Tier 3 New York City police officers, ensuring they receive the full pension 'benefits they have earned, just like their peers in other parts of the state.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.