§ 430 — Current payment for benefit improvements

§ 430. Current payment for benefit improvements. a. Whenever a new\nbenefit or an improvement in any benefit takes effect or is enacted\nafter July first, nineteen hundred seventy-one which will result in an\nincrease in cost for contributions to an actuarially funded public\nretirement system by the state or a municipality thereof, such employer\nshall commence payment for such increased cost from an appropriation\nmade in the budget for the employer's fiscal year in which such benefit\nor improvement becomes effective. No such benefit or improvement shall\nbecome effective until such appropriation has been made and is available\nfor such payment. Within ninety days after notification that such a\nbenefit or improvement has been or is to be made, the head of the\nretirement system affected shall submit to the fiscal officer of the\nemployer, or in the case of the state or the city of New York to the\ndirector of the budget thereof, an estimate of the amount sufficient to\nprovide for the initial actuarial payment to the retirement system of\nall additional obligations created by such benefit or improvement and\nsuch employer shall make payment of such amount to the retirement system\nduring such employer's fiscal year in which such benefit or improvement\nis made effective. In computing the amount to be paid by such employer\nduring the normal valuation process for obligations attributable to the\nfiscal year in which such benefit or improvement became effective,\nappropriate adjustments shall be made for amount already paid pursuant\nto this section.\n b. If payment of the full amount of an obligation required to be paid\nby subdivision a of this section is not made by a participating employer\nin a state retirement system, including the state teachers' retirement\nsystem, by the close of such employer's fiscal year, interest at the\nrate of six per centum per annum shall commence to run against the\nunpaid balance thereof on the first day of the next succeeding fiscal\nyear.\n c. The comptroller or the retirement board of the state teachers'\nretirement system shall have full power and authority to bring suit in\nthe supreme court against any participating employer in a retirement\nsystem headed by such comptroller or such board to recover any sum,\npayment of which is not made as herein required. While any such sum\nshall remain due and unpaid the comptroller may refuse to audit any\nclaim for funds due to such employer from the state.\n