Relates to the disability benefits of members of the New York police and fire pension funds

Section two of this bill amends sections 13-357(a) and 13-357(b) of the Administrative Code of New York City, subdivision (a) as amended by the Laws of 1986, to include disability pensioners who have retired pursuant to Section 506 and Section 507 of the Retirement and Social Security Law.

Section three of this bill adds subdivisions (e) and (f) to Section 506 of the Retirement and Social Security Law. Subdivisions (e) and (f) respectively allow New York City fire and police pension fund members to be eligible for ordinary disability retirement benefits pursuant to sections 13-216, 13-251, 13-252, 13-254, 13-316 or 13-357 of the New York City Administrative Code, as applicable to the retiring member. A member who retires under any of these Administrative Code provisions shall receive an annuity equal to his or her accumulated contributions, a pension equal to the reserve-for-increased-take-home-pay for him or her, and a pension equal to one-fortieth of his or her final average salary multiplied by the number of years of city-service credited to him or her but not less than half of his or her Final Average Salary ("FAS") if his or her credited years are ten or more, or one-third of his or her FAS if his or her credited years are less than ten.

Section four of this bill adds subdivisions (j) and (k) to Section 507 of the Retirement and Social Security Law. Subdivisions (j) and (k) respectively allow New York City fire and police pension fund members to be eligible for accidental disability retirement pursuant to sections 13-215, 13-252, 13-254, 13-316, 13-353- 13-354, or 13-357 of the New York City Administrative Code. These new subdivisions provide that a retiree shall receive an annuity equal to his or her accumulated contributions, a pension equal to the reserve-for-increased-take-home- pay for him or her, and a pension equal to 75 percent of his or her FAS.

Section five of this bill adds subdivision (i) to Section 510 of the Retirement and Social Security Law. Subdivision (i) provides that annual escalation shall not apply to the ordinary or accidental disability

retirement benefits for those who retire pursuant to Sections 506 and 507 of the Retirement and Social Security Law. Instead, their benefits shall be adjusted for cost-of-living pursuant to Section 13-696 of the New York City Administrative Code.

Section six of this bill amends Section 511(f) of the Retirement and Social Security Law to provide that this section shall not apply to New York City police and fire pension members who are subject to Article 14 of the Retirement and Social Security Law.

Section seven of this bill adds subdivisions (e) and (f) to Section 512 of the Retirement and Social Security Law. Subdivisions (e) and (f) respectively provide that New York City fire and police pension members FAS shall mean the salary earned the year prior to retirement, unless that salary is 20 percent more than the year prior to that, in which case that excess 20 percent is excluded from the FAS computation. Authorized leaves of absence shall be excluded from the FAS computation as well.

Section eight of this bill reletters paragraph (b) of Section 13-353.1(1) of the New York City Administrative Code to (c) and adds a new paragraph (b). New paragraph (b) states that in order to be eligible for the World Trade Center presumption provided by paragraph (a) of this subdivision, a member must have passed a physical exam for entry into public service that failed to disclose evidence of the qualifying condi- tion that is the basis for the disability, or have authorized for the release of medical records if he or she did not have a physical exam for entry into public service and there is no evidence in those records that the qualifying condition that serves as the basis for the disability existed before September 11, 2001.

Section nine of this bill amends section 207-k of the General Municipal Law to extend the current presumption for diseases of the heart and strokes to medical officers employed by the New York City fire depart- ment.

Section ten of this bill amends section 207-kk of the General Municipal Law to extend the current presumption for certain cancers to medical officers employed by the New York City fire department.

Section eleven of this bill amends section 207-p of the General Munici- pal Law to extend the current presumption for HIV to medical officers employed by the New York City fire department.

Section twelve of this bill amends section 207-q of the General Munici- pal Law to extend the current presumption for lung diseases to medical officers employed by the New York City fire department.

Section thirteen of this bill provides that this act shall take effect on the sixtieth day after it shall become a law; provided, however, that amendments to sections 207-k, 207-kk and 207-q of the general municipal law made by sections nine, ten and twelve of this act shall not affect

the expiration of such sections, as provided in section 480 of the retirement and social security law.

Justification

In 2009, Governor Paterson vetoed a Tier 2 extension bill for all New York State Police and Fire pension members. In Veto Memorandum 5, Gover- nor Paterson stated that due to the "recession and fiscal crisis," as well as the Comptroller's announcement that the "New York State Pension Fund lost 26% of its value in the most recent fiscal year," led to his decision not to "ignore the present reality, and simply re-enact the same provisions that have contributed to New York's financial straits, without accompanying reform." This reform, which was Tier V, was approved on December 10, 2009 as Chapter 504 of the Laws of 2009.

Shortly after Governor Paterson issued Veto Memorandum 5, most of the State Police and Fire unions negotiated with management and agreed to a Tier V benefit plan. Members of these unions that were hired on or after July 1, 2009 were provided with the option to change the calculation of their retirement benefits from Article 14 of the Retirement and Social Security Law to Article 22. For those members continue to have their retirement benefits computed pursuant to Article 14 of the Retirement and Social Security Law, this bill would reopen the option that was available when Tier V was enacted. Tier V was not welcomed warmly. There were mixed reports regarding whether Tier V was beneficial to the members. Reopening this option is important because as the years have gone by, members who failed opt into Article 22 for whatever reason, whether it be confusion regarding what the election meant or the differ- ences between Articles 14 and 22, may wish to make such an election.

The Mayor of New York City would not agree to the same Tier V benefits, resulting in no new pension plan agreement covering New York City Police and Fire members. With no new pension plan, New York City Police and Fire members defaulted into the original Article 14 Tier III pension plan. Tier III provides very limited disability benefits, which are only 50% of the member's final average salary, which is reduced by 50% of the primary social security benefit received. Tier II members receive an accidental disability benefit equaling 75% of the member's final average salary with no reduction for primary social security benefits received by the member.

An example in the difference in these benefits is illustrated by the potential accidental disability benefits that would be provided to Police Officer Kenneth Healey. On October 23, 2014, by a man wielding an 18 inch hatchet struck Officer Healey in the head while he was standing on a sidewalk with three other police officers in Jamaica, Queens. As a result of the attack Officer Healy was hospitalized for five days and has underwent two surgeries on his skull. If Officer Healy received an accidental disability pension due to his injuries, the amount of the pension would be approximately $21,000 per year, with a reduction in an amount equaling 50% of any primary social security benefits that he may receive. If Officer Healy was eligible to receive Tier II accidental

disability benefits, he would receive approximately $31,500 per year without any reduction for social security benefits.

Another example of this inequity is illustrated by the potential acci- dental disability benefits that would be paid to Police Officer Rosa Rodriguez. Officer Rodriguez was injured when she and her partner responded to an apartment fire in Coney Island that was set by a teenag- er. She and her partner, Police Officer Dennis Guerra, were overcome by smoke in the burning building. They were both rushed to the hospital in critical condition Officer Guerra died four days later as a result of his injuries. Officer Rodriguez was in a coma for six days and has been released from the hospital with an uncertain future because the doctors have said that she may never fully recover from her injuries. Officer Rodriguez would be entitled to an accidental disability pension of $22,000 per year, with a reduction in an amount equaling 50% of any primary social security benefits that she may receive. If Officer Rodri- guez was eligible to receive Tier II accidental disability benefits, she would receive approximately $31,500 per year without any reduction for social security benefits.

This bill would reverse the inequities inherent in Tier III illustrated by Officer Healy and Officer Rodriguez

This bill would further recognize that the medical officers employed by the New York City Fire Department frequently respond to fires, and thus, should be afforded the same presumptions for medical impairments that can lead to disability or death as firefighters. Dr. Kerry Kelly and Dr. David Prezant were medical officers with the New York City Fire Department on September 11, 2001 when they responded to the need for medical assistance at the World trade Center. This bill would afford them World Trade Center presumption for qualifying conditions should they become disabled or die from a qualifying condition. These medical officers respond to help those who are injured when a fire breaks out They are right there on the front lines, and thus, should be afforded the same presumptions for medical impairments that are currently granted to firefighters.

Legislative history

This is a new bill.

Fiscal implications

See the bill.

Effective date

This act shall take effect on the sixtieth day after it shall become a law; provided, however, that amendments to sections 207-k, 207-kk and 207-q of the general municipal law made by sections nine, ten and twelve of this act shall not affect the expiration of such sections, as provided in section 480 of the retirement and social security law.