Bill > S06406

This bill amends the retirement and social security law to provide a new option for beneficiaries of certain deceased members who would have been eligible for service retirement. Specifically, for members in specific job titles who die on or after July 1, 2025, their beneficiaries can elect to receive a lump sum payment. This payment will be the greater of either: (1) the pension reserve that would have been established if the member had retired on the date of their death, or (2) the value of the death benefit and reserve-for-increased-take-home-pay. The bill applies to members such as correction officers, security hospital treatment assistants, and other similar roles in the New York State and Local Employees' Retirement System. According to the fiscal note, this change is estimated to increase annual state contributions by approximately $1.7 million in the first year, with a one-time past service cost of about $16.6 million. The bill is designed to provide more financial flexibility and support for the families of eligible members who die while being service retirement-eligible, offering them a potentially more substantial death benefit option.

Labor and Employment

https://www.nysenate.gov/legislation/bills/2025/S6406