Section 1. On and after the effective  date  of  this  act,  a  public

     2  employer shall be prohibited from diminishing the health insurance bene-

    3  fits provided to retirees and their dependents or the contributions such

    4  employer  makes  for  such  health insurance coverage below the level of

     5  such benefits or contributions made on behalf of such retirees and their

    6  dependents by such employer as of the effective date of this act.    For

    7  the purpose of this act, "public employer" shall mean the following: (i)

    8  the  state; (ii) a county, city, town or village; (iii) any governmental

    9  entity operating a college or university; (iv) a public  improvement  or

   10  special  district  including  police  or  fire  districts;  (v) a public

   11  authority, commission or public benefit corporation; or (vi)  any  other

   12  public  corporation, agency, instrumentality or unit of government which

   13  exercises governmental power under the laws of this  state.    The  term

   14  public  employer shall not include any school district, board of cooper-

   15  ative educational services, vocational education and extension board  or

   16  school district as enumerated in section 1 of chapter 566 of the laws of

   17  1977, as amended.

   18    S  2.  Nothing  contained  in this act shall supersede or diminish the

   19  terms of a collective bargaining agreement.

   20    S 3. Notwithstanding the provisions of section one of this act to  the

   21  contrary,  a  public  employer  shall be prohibited from diminishing the

   22  health insurance benefits provided to  retirees  who  retire  after  the

   23  effective  date  of  this act from positions not subject to a collective

   24  bargaining agreement and their dependents,  or  the  contributions  such

   25  employer  makes  for  such health insurance coverage, below the level of

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                             [ ] is old law to be omitted.

                                                                  LBD02918-01-3

       S. 3627                             2

    1  such benefits or contributions made on behalf  of  active  employees  in

    2  such positions as of the retiree's date of retirement.

    3    S  4.  Nothing  contained  in this act shall require a public employer

    4  which does not provide health insurance benefits to retirees  and  their

    5  dependents as of the effective date of this act to offer such benefits.

    6    S  5.  This  act shall take effect on the thirtieth day after it shall

    7  have become a law.

                                                *****************************                                  
                                                        

BILL NUMBER: S3627 MEMO: / Same as A902

TITLE OF BILL:  An act to prohibit public employers from diminishing the health insurance benefits and

 contributions of certain retired public employees.

PURPOSE:  This bill would prohibit state and local governments from diminishing the health insurance

 benefits of retirees below the level of benefits that are in place 30 days after this act shall become law.

SUMMARY OF PROVISIONS:

Section 1: Prohibits the State and local governments from diminishing the health insurance benefits of retirees 

and their dependents, as well as the employer contribution toward such health insurance, below the level of 

benefits in place 30 days after this act shall take effect.  This bill does not apply to school districts and 

BOCES because they have been recently covered under the current law.

Section 2: Grants precedence to collective bargaining agreements.

Section 3: Provides for future retirees from positions not subject to a collective bargaining agreement.

Section 4: Ensures that a public employer which does not now offer health insurance benefits to retirees

 is not required to do so under this bill.

EXISTING LAW:  Chapter 729 of the laws of 1994, as amended by Chapter 22 of the Laws of 2007 and 

the laws of 2009, prohibits school districts and BOCES from diminishing retiree health insurance benefits, 

unless there is a parallel diminution affecting active employees. Article XI of the Civil Service Law provides

 that retires from the State and participating agencies in the New York State Health Insurance Plan (NYSHIP) 

shall receive the same health insurance benefits as negotiated with active employees. There is no existing law 

protecting health insurance benefits of retirees from local governments.

JUSTIFICATION:  Given the increasing costs of health care, health insurance coverage is of tremendous 

importance to retirees and their dependents.  Although there have been a number of attempts to protect retiree 

health coverage, there is no consistent standard for all retirees.  Education retirees are now protected by a law.

 Some workers have retired under union contracts with stronger protections. Many retirees, however, have

 no protection. This bill creates a uniform standard of protection which applies to all retirees and their

 dependents, unless covered by a more favorable union contract.

PRIOR LEGISLATIVE HISTORY:  2012: S.4371 - Referred to Civil Service and Pensions / A.2007 -

 Referred to Ways and Means 2011: S.4371 – Referred to Civil Service and Pensions / A.2007 - Referred 

to Governmental Employees

FISCAL IMPLICATIONS:  None. This bill merely requires the State to continue the level of benefits 

which it is now providing.

EFFECTIVE DATE:  30 days after enactment.

 ******************************************

 Memorandums of Support S3627 / A902

have been received from the following as of April 17, 2013.

New York State Professional Fire Fighters Association

PCNY (Police Conference of New York)

Affiliated Police Associations (53 PBA's & over 10,000 members)

NYS Fraternal Order of Police Empire State Lodge

Police Emerald Society of Westchester

Pelham Manor Police Assoc.

Police Columbia Assoc. of Westchester County

The International Police Assoc. (Westchester Region 3)

PBA City of White Plains

Retired Members Assoc., Inc., FDNY

New Rochelle Uniformed Fire Fighters Local 994

Yonkers Fire Fighters Local 628