§ 448 — Death benefits

§ 448. Death benefits. a. A member of a retirement system who is\nsubject to the provisions of this article, exclusive of those members\nfor whom provision is made pursuant to subdivision b of this section,\nshall, at the time of first becoming a member thereof, make an election,\nwhich shall be irrevocable, for coverage for financial protection in the\nevent of death in service, between the two following benefits:\n 1. A benefit upon the death of a member in service equal to one\nmonth's salary for each full year of service up to a maximum of three\nyears' salary upon the completion of thirty-six full years of service,\nor in the event that a member is eligible to retire without benefit\nreduction pursuant to section four hundred forty-two of this article, a\nbenefit equal to the pension reserve, if any, which would have been\npayable to such member had he entered prior to the effective date of\nthis article and died in service, subject to the benefit limitations set\nforth in section four hundred forty-four of this article, if this\nalternative provides a greater benefit, or;\n 2. A benefit upon the death of a member in service equal to the\nmember's salary upon his or her completion of one year of service, two\nyears' salary upon completion of two years of service, and three years'\nsalary upon completion of three years of service. In the case of a\nmember of a retirement system other than the New York state teachers'\nretirement system, the New York city employees' retirement system, the\nNew York city board of education retirement system, the New York city\nteachers' retirement system, the New York state and local employees'\nretirement system or the New York state and local police and fire\nretirement system, such benefit shall be subject to the following\nlimitations:\n (a) If the member last joined the retirement system prior to\nattainment of age fifty-two, the maximum benefit shall be three years'\nsalary;\n (b) If the member was age fifty-two when he or she last joined the\nretirement system, the maximum benefit shall be two and one-half times\nannual salary;\n (c) If the member was age fifty-three when he or she last joined the\nretirement system, the maximum benefit shall be two years' salary;\n (d) If the member was age fifty-four when he or she last joined the\nretirement system, the maximum benefit shall be one and one-half times\nannual salary;\n (e) If the member was age fifty-five or older but under age sixty-five\nwhen he or she last joined the retirement system, the maximum benefit\nshall be one year's salary; and\n (f) If the member was age sixty-five or older when he or she last\njoined the retirement system, the maximum benefit shall be one thousand\ndollars.\n In the case of a member of a retirement system other than the New York\nstate teachers' retirement system, the New York city employees'\nretirement system, the New York city board of education retirement\nsystem, the New York city teachers' retirement system, the New York\nstate and local employees' retirement system or the New York state and\nlocal police and fire retirement system, commencing upon attainment of\nage sixty-one, the benefit otherwise provided pursuant to this paragraph\nshall be reduced while the member is in service to ninety per centum of\nthe benefit otherwise payable and each year thereafter the benefit\npayable shall be reduced by an amount equal to ten per centum per year\nof the original benefit otherwise payable, but not below ten per centum\nof the original benefit otherwise payable.\n In the case of a member of the New York state teachers' retirement\nsystem, commencing upon attainment of age sixty-two if such member's\ndate of membership is prior to April first, two thousand twelve or\nattainment of age sixty-three if such member's date of membership is on\nor after April first, two thousand twelve, the benefit otherwise\nprovided pursuant to this paragraph shall be reduced while the member is\nin service to ninety-six per centum of the benefit otherwise payable and\neach year thereafter the benefit payable shall be reduced by an amount\nequal to four per centum per year of the original benefit otherwise\npayable, but not below sixty per centum of the original benefit\notherwise payable. In the case of a member of the New York city\nemployees' retirement system, the New York city board of education\nretirement system or the New York city teachers' retirement system,\ncommencing upon attainment of age sixty-one, the benefit otherwise\nprovided pursuant to this paragraph shall be reduced while the member is\nin service to ninety-seven per centum of the benefit otherwise payable\nand each year thereafter the benefit payable shall be reduced by an\namount equal to three per centum per year of the original benefit\notherwise payable, but not below seventy per centum of the original\nbenefit otherwise payable. In the case of any member of the New York\nstate and local employees' retirement system who is permitted to retire\nwithout regard to age or a member of the New York state and local police\nand fire retirement system, commencing upon attainment of age sixty-two\nif such member's date of membership is prior to April first, two\nthousand twelve or attainment of age sixty-three if such member's date\nof membership is on or after April first, two thousand twelve, the\nbenefit otherwise provided pursuant to this paragraph shall be reduced\nwhile the member is in service to ninety-seven per centum of the benefit\notherwise payable, and each year thereafter the benefit payable shall be\nreduced by an amount equal to three per centum per year of the original\nbenefit otherwise payable, but not below seventy per centum of the\noriginal benefit otherwise payable. In the case of any other member of\nthe New York state and local employees' retirement system, commencing\nupon attainment of age sixty-two if such member's date of membership is\nprior to April first, two thousand twelve or attainment of age\nsixty-three if such member's date of membership is on or after April\nfirst, two thousand twelve, the benefit otherwise provided pursuant to\nthis paragraph shall be reduced while the member is in service to\nninety-six per centum of the benefit otherwise payable, and each year\nthereafter the benefit payable shall be reduced by an amount equal to\nfour per centum per year of the original benefit otherwise payable, but\nnot below sixty per centum of the original benefit otherwise payable.\nUpon retirement from any retirement system, the benefit in force shall\nbe reduced by fifty per centum; upon completion of the first year of\nretirement, the benefit in force at the time of retirement shall be\nreduced by an additional twenty-five per centum, and upon commencement\nof the third year of retirement, the benefit shall be ten per centum of\nthe benefit in force at age sixty, if any, or at the time of retirement\nif retirement preceded such age; provided, however, the benefit in\nretirement shall not be reduced below ten per centum of the benefit in\nforce at age sixty, if any, or at the time of retirement if retirement\npreceded such age. Notwithstanding any other provision of this paragraph\nto the contrary, the benefit for a retiree from the New York state and\nlocal employees' retirement system, the New York state teachers'\nretirement system, the New York city employees' retirement system, the\nNew York city board of education retirement system or the New York city\nteachers' retirement system shall not be reduced below ten per centum of\nthe benefit in force at the time of retirement.\n 3. If a member dies in service without having made the election\nspecified in this subdivision within ninety days after first becoming a\nmember, or within the period prescribed by the retirement system of\nwhich he is a member if such period is less than ninety days, he shall\nbe deemed to have made the election specified in paragraph two.\n 4. Notwithstanding any other provision of this article, any member of\nthe New York state teachers' retirement system who joined on or after\nJuly first, nineteen hundred seventy-three and before July first,\nnineteen hundred seventy-four may change the election set forth in this\nsubdivision by filing a new election on or before June thirtieth,\nnineteen hundred eighty-nine. The election filed pursuant to this\nparagraph shall be irrevocable.\n 5. Notwithstanding any provision of this article, a member of a\nretirement system subject to the provisions of this article who last\njoined such system on or after January first, two thousand one who is\nnot covered by the death benefit calculation provided in subdivision b\nof this section shall, upon a qualifying death, be covered by the death\nbenefit calculation provided pursuant to paragraph two of this\nsubdivision and shall not be entitled to elect between the death benefit\ncalculations provided in paragraphs one and two of this subdivision. Any\nindividual who last joined such system before January first, two\nthousand one who is not covered by the death benefit calculation\nprovided in subdivision b of this section shall be covered, upon a\nqualifying death, by the death benefit calculation provided by paragraph\ntwo of this subdivision unless such individual had timely elected death\nbenefit coverage under the calculation provided by paragraph one of this\nsubdivision and, upon such death, it is determined that the benefit, as\ncalculated under such paragraph one would be greater than as calculated\nunder such paragraph two, in which case the benefit calculated under\nsuch paragraph one shall be payable.\n b. A member of a retirement system subject to the provisions of this\narticle who is a police officer, firefighter, correction officer or\nsanitation worker and is in a plan which permits immediate retirement\nupon completion of a specified period of service without regard to age\nor who is subject to the provisions of subdivision b of section four\nhundred forty-five of this article, shall upon completion of ninety days\nof service be covered for financial protection in the event of death in\nservice pursuant to this subdivision.\n 1. Such death benefit shall be equal to three times the member's\nsalary raised to the next highest multiple of one thousand dollars, but\nin no event shall it exceed three times the maximum salary specified in\nsection one hundred thirty of the civil service law or, in the case of a\nmember of a retirement system other than the New York city employees'\nretirement system, the New York city police pension fund, subchapter two\nor the New York city fire department pension fund, subchapter two, the\nspecific limitations specified for age of entrance into service\ncontained in subparagraphs (b), (c), (d), (e) and (f) of paragraph two\nof subdivision a of this section.\n 2. Provided further, notwithstanding any other provision of this\narticle to the contrary, where the member is a police officer or\nfirefighter and would have been entitled to a service retirement benefit\nat the time of his or her death and where his or her death occurs on or\nafter July first, two thousand, the beneficiary or beneficiaries\nnominated for the purposes of this subdivision may elect to receive, in\na lump sum, an amount payable which shall be equal to the pension\nreserve that would have been established had the member retired on the\ndate of his or her death, or the value of the death benefit and the\nreserve-for-increased-take-home-pay, if any, whichever is greater,\nprovided further that for the purpose of determining entitlement to the\nbenefit provided by this subdivision, and notwithstanding subdivision j\nof section three hundred forty-one of this chapter, where the member is\nan officer or member of the state police the total number of days of\nunused sick leave and accumulated vacation credit accrued by the member\nat the time of his or her death shall be considered in meeting the total\ncreditable service required to qualify for a service retirement benefit\nprovided without regard to age where his or her death occurs on or after\nJuly second, two thousand nine. Provided further that where such police\nofficer or firefighter dies on or after July first, two thousand, after\nhaving retired from service, but before a first payment of a retirement\nallowance, such person shall be deemed to have been in service at the\ntime of his or her death for the purposes of this subdivision only, and\nprovided further that the pension reserve established pursuant to this\nparagraph for a person who dies after retiring from service, but before\nfirst payment of a retirement allowance, shall be determined as of the\ndate of retirement and any pension payments payable for the period of\ntime prior to the retiree's death shall be deducted from any benefits\npayable pursuant to this subdivision.\n c. For the purpose of this section, salary shall be the regular\ncompensation earned during the member's last twelve months of service in\nfull pay status as a member or, if he or she had not completed twelve\nmonths of service prior to the date of death, but was subject to the\nprovisions of subdivision b of this section, the compensation he or she\nwould have earned had he or she worked for the twelve months prior to\nsuch date; provided, however, for the purpose of this section salary\nshall exclude any form of termination pay (which shall include any\ncompensation in anticipation of retirement), or any lump sum payment for\ndeferred compensation sick leave, or accumulated vacation credit or any\nother payment for time not worked (other than compensation received\nwhile on sick leave or authorized leave of absence) and in no event\nshall it exceed the maximum salary specified in section one hundred\nthirty of the civil service law, as added by part B of chapter ten of\nthe laws of two thousand eight, or the maximum salary specified in\nsection one hundred thirty of the civil service law, as hereafter\namended, whichever is greater.\n d. The benefits provided pursuant to this section are in lieu of all\nother benefits provided by this or any other state or local law\nexclusive of a benefit provided under the workmen's compensation law,\nthe civil service law or group life insurance; provided, however, a\nbeneficiary of a member eligible for a benefit as the result of a\nservice connected accident, may elect to receive such other benefit in\nlieu of the benefit provided pursuant to this section.\n e. For the purposes of this section:\n 1. A member who dies while off the payroll shall be considered to be\nin service provided he or she (a) was on the payroll in such service and\npaid within a period of twelve months prior to his or her death, or was\non the payroll in the service upon which membership is based at the time\nhe or she was ordered to active duty pursuant to Title 10 of the United\nStates Code, with the armed forces of the United States or to service in\nthe uniformed services pursuant to Chapter 43 of Title 38 of the United\nStates Code and died while on such active duty or service in the\nuniformed services on or after June fourteenth, two thousand five, (b)\nhad not been otherwise gainfully employed since he or she ceased to be\non such payroll and (c) had credit for one or more years of continuous\nservice since he or she last entered or reentered the service of his or\nher employer; notwithstanding any other provision of law to the\ncontrary, a member of the New York city employees' retirement system or\nthe board of education retirement system of the city of New York shall\nbe deemed to have died on the payroll for the purposes of this section\nin the event that death occurs while such member is on an authorized\nleave of absence without pay for medical reasons which has continuously\nbeen in effect since the member was last paid on the payroll in such\nservice, provided, however, that such member was on the payroll in such\nservice and paid within the four-year period prior to his or her death;\nand\n 2. The benefit payable shall be in addition to any payment made on\naccount of a member's accumulated contributions.\n 3. Provided, further, that any such member ordered to active duty\npursuant to Title 10 of the United States Code, with the armed forces of\nthe United States or to service in the uniformed services pursuant to\nChapter 43 of Title 38 of the United States Code who died prior to\nrendering the minimum amount of service necessary to be eligible for\nthis benefit shall be considered to have satisfied the minimum service\nrequirement.\n f. Notwithstanding the provisions of any other law to the contrary and\nsolely for the purpose of determining eligibility for the death benefit\npayable pursuant to this section, a person subject to this section shall\nbe considered to have died while in teaching service provided such\nperson was in such service at the time he or she was ordered to active\nduty pursuant to Title 10 of the United States Code, with the armed\nforces of the United States or to service in the uniformed services\npursuant to Chapter 43 of Title 38 of the United States Code and died\nwhile on such active duty or service in the uniformed services on or\nafter June fourteenth, two thousand five. Provided, further, that any\nsuch person ordered to active duty pursuant to Title 10 of the United\nStates Code, with the armed forces of the United States or to service in\nthe uniformed services pursuant to Chapter 43 of Title 38 of the United\nStates Code who died prior to rendering the minimum amount of service\nnecessary to be eligible for this benefit shall be considered to have\nsatisfied the minimum service requirements.\n g. A member, or on the death of such member, the person nominated by\nhim or her to receive his or her death benefit, may provide, by written\ndesignation, duly executed and filed with the comptroller, that such\ndeath benefit and the reserve-for-increased-take-home-pay shall be paid\nin the form of an annuity. Such designation shall be filed prior to or\nwithin ninety days after the death of the member. The amount of such\nannuity shall be determined as the actuarial equivalent of such death\nbenefit and reserve on the basis of the age of such beneficiary at the\ntime of the member's death. For the purposes of this subdivision, the\nmortality and interest rates used in determining this annuity shall be\nthe rates in effect on the date of the death of such member.\n