New York 2025-2026 Regular Session

New York Senate Bill S08122

Introduced
5/15/25  
Refer
5/15/25  
Refer
1/7/26  

Caption

Permits New York City correction and sanitation members to borrow from accumulated contributions to their retirement plans.

Summary

S08122 amends New York retirement law and the New York City Administrative Code to expand borrowing rights for certain New York City uniformed correction and sanitation retirement plan members. The bill allows eligible NYC correction and sanitation members to borrow against additional categories of accumulated member contributions, not just the amounts already available under existing law. For NYCERS members in the correction and sanitation 20-year plans, the bill permits loans against accumulated additional member contributions, with interest, and for members in the uniformed sanitation and uniformed correction 22-year plans it permits loans against accumulated basic member contributions, also with interest. The bill also makes conforming changes by repealing or renumbering several provisions in the Retirement and Social Security Law that are tied to the existing loan structure. It updates multiple sections governing retirement systems so that the new borrowing rules fit within the current pension framework. The act takes effect immediately.

Impact

The bill changes the borrowing rules for specified New York City retirement system members by broadening the portion of their pension contributions that may be used as the basis for a loan. It affects provisions in the Retirement and Social Security Law and the New York City Administrative Code, primarily within NYCERS and related retirement plan sections. The fiscal note indicates the change would increase employer contributions, with the cost borne entirely by New York City, and it estimates additional pension-related liabilities and amortization costs over time.

Sentiment

The available voting history suggests the bill was received favorably in committee, with a 6-0 Senate Civil Service and Pensions Committee vote. The bill text and fiscal note frame the measure as a targeted benefit expansion for affected uniformed workers, and there is no recorded committee transcript showing opposition. Overall, the tone of the available materials is supportive and technical rather than contentious.

Contention

The main policy issue is whether to allow correction and sanitation members to borrow against a larger share of their retirement contributions, which can improve short-term liquidity for members but may increase pension system costs and reduce investment earnings. The fiscal note highlights that employer contributions would rise if loans are taken and if balances remain unpaid at retirement, and it notes that lost investment earnings are not fully captured in the estimated costs. Any concern about the bill is therefore likely to center on fiscal impact to New York City and the pension funds, rather than on eligibility or administration.

Companion Bills

NY A10241

Same As Permits New York city correction and sanitation members to borrow from accumulated contributions; repealer

Previously Filed As

NY A10241

Permits New York City correction and sanitation members to borrow from accumulated contributions to their retirement plans.

NY S09130

Restores the 20 year service retirement for certain New York city corrections officers and sanitation workers.

NY A10248

Restores the 20 year service retirement for certain New York city corrections officers and sanitation workers.

NY A05879

Provides that for New York city police/fire members, uniformed correction/sanitation revised plan and investigator revised plan members of the New York city employees' retirement system, the service retirement benefit shall not be reduced by the primary social security retirement benefit commencing at age sixty-two.

NY S07414

Restores the 20 year service retirement for certain New York city sanitation workers.

NY A08026

Restores the 20 year service retirement for certain New York city sanitation workers.

NY S04667

Provides that for New York city uniformed sanitation revised plan members of the New York city employees' retirement system, the service retirement benefit shall not be reduced by the primary social security retirement benefit commencing at age sixty-two.

NY A05843

Provides that for New York city uniformed sanitation revised plan members of the New York city employees' retirement system, the service retirement benefit shall not be reduced by the primary social security retirement benefit commencing at age sixty-two.

NY A08735

Authorizes Breanne M. Smith to receive a refund of certain accumulated contributions paid to the New York state and local employees' retirement system.

NY S08141

Modifies the definition of additional member contributions and basic member contributions for certain New York city employees' retirement system members who are subject to the twenty-five year retirement program for fire protection inspector members under Article 15 of the retirement and social security law, to allow such additional member contributions to be used to offset a deficit of basic member contributions, or to allow an excess of basic member contributions to offset a deficit of additional member contributions.

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