§ 219-H — Administration

New York § 219-H

• Jurisdiction: New York
• Law GMU: General Municipal
• Art. 11-AA: Defined Contribution Service Award Programs For Volunteer Ambulance Workers

Text

§ 219-h. Administration. 1. Service award programs shall be centrally\nadministered by the state comptroller, or the comptroller may enter into\none or more of the following contracts:\n (a) a contract with an administrative service agency or financial\norganization to serve as program administrator and to perform all or any\nportion of the functions required to establish and administer such\nprograms including, but not limited to, preparation of a plan document,\nrecord keeping, reporting, payment of service awards, and having custody\nof program moneys and assets; or\n (b) contracts with one or more financial organizations to invest\nprogram moneys. If the comptroller contracts for the performance of any\nfunction as provided in this subdivision, the comptroller shall be\nliable only for the exercise of due care in the selection of the\nadministrative service agency or financial organization.\n 2. The state comptroller shall promulgate rules and regulations, as\nappropriate, for service award programs. Such rules shall include, but\nnot be limited to, standards for the selection of financial\norganizations, the method and timing of the payment of contributions to\nthe fund made by the sponsoring organization, the reporting on\nindividual participant accounts, matters relating to the preparation of\na plan document and any other matter properly pertaining thereto.\n 3. (a) The state comptroller, or an administrative service agency or\nfinancial organization selected by the comptroller, shall prepare and\nmay amend a single plan document setting forth the obligations of\nsponsors, the rights of the volunteer ambulance workers, and standards\nand procedures for the administration of all service award programs. The\nplan document and any amendments thereto shall be consistent with the\nprovisions of this article, the rules and regulations promulgated by the\ncomptroller and any amendments thereto. If the plan document or any\namendment thereto is prepared by an administrative service agency or\nfinancial organization, it shall not take effect until approved by the\ncomptroller.\n (b) The plan administrator shall cause a summary of the plan document\nto be provided to each participant within six months from the date that\nprogram participation commences. The plan administrator shall also\ncause a summary of any material amendment of the plan document to be\nprovided to each participant within six months of the date the amendment\ntakes effect.\n (c) The plan document and the summary of the plan document shall be\nmade available for public inspection and copying.\n 4. All program assets shall be held in trust for the exclusive purpose\nof providing service awards to participants and their beneficiaries or\nfor the purpose of defraying the reasonable expenses of the operation\nand administration of the program. The trust shall be established and\nmay be amended by the state comptroller. The comptroller may designate\nhim or herself, an administrative service agency or a financial\norganization as trustee, and may substitute trustees. If the service\naward programs and the trust are not tax qualified within the meaning of\nsections 401 and 501 of the Internal Revenue Code of 1954 (68A Stat.\n3.26 U.S.C. 401 and 501), the trust may provide that assets apportioned\nto an individual sponsor may be subject to the claims of general\ncreditors, if any, of the sponsor or may contain such other terms and\nprovisions as are necessary to ensure that participation in a service\naward program does not result in taxable income under any provision of\nthe Internal Revenue Code of 1986, as amended.\n 5. There is hereby established in the custody of the state comptroller\na special fund to be known as the volunteer ambulance service award\nfund. Such fund shall consist of any money of service award programs\nheld by the comptroller. Moneys may be paid from such fund without an\nappropriation by law. All payments from such fund shall be made only in\naccordance with the provisions of this article, the rules and\nregulations promulgated thereto and the plan document.\n 6. The moneys held for the participants of each service award program\nshall be accounted for separately. The administrator shall cause a\nstatement of contributions to be provided to sponsors and a statement of\naccount balances to be provided to participants at least once annually.\n 7. The administrator and every fiduciary of a service award program\nshall be required to act solely in the interest of the program's\nparticipants and beneficiaries. Notwithstanding the provisions of any\ngeneral or special law restricting the power or duty of the state\ncomptroller to invest moneys belonging to a fund which the comptroller\nis authorized to invest, a fiduciary may accept, hold, invest in and\nretain any investment if purchased or retained with the care, skill,\nprudence and diligence under the circumstances then prevailing that a\nprudent person acting in a like capacity and familiar with such matters\nwould use in the conduct of an enterprise of like character and with\nlike aim.\n 8. (a) All contracts or agreements with an administrative service\nagency or financial organization shall be awarded only after receiving\ncompetitive proposals. In addition to other statutory requirements, the\nstate comptroller shall cause to be published in the state register and\nin the official newspaper or newspapers, if any, or otherwise in an\nappropriate newspaper designated for such purposes, at least sixty days\nprior to the date on which the contract or agreement will be awarded and\nshall request proposals within thirty days of publication.\n (b) All contracts and agreements entered into with an administrative\nservice agency or a financial organization shall be in writing, shall\nnot exceed five years in duration, and shall impose no penalties or\nsurrender charges for the transfer of assets or responsibilities on\ntermination of the contract or agreement such contracts and agreements\nshall be available for public inspection and copying.\n