Enacts the "building recruitment and incentives for dedicated government employees (BRIDGE) act" which provides a service credit for members who were previously employed by the federal government.
If enacted, the BRIDGE Act will amend the retirement and social security laws by creating a new provision for federal service credit. Eligible state employees can claim up to five years of service credit for federal employment, provided they have been enrolled in a federal defined benefit plan. Current procedures require them to apply for such credits before retirement and they will incur costs based on their previous compensation. The implementation of this bill is expected to strengthen the state's ability to recruit and retain qualified employees in various government roles.
Senate Bill S07716, known as the 'Building Recruitment and Incentives for Dedicated Government Employees (BRIDGE) Act', aims to enhance the New York state workforce by allowing current and future state employees with prior federal service to purchase service credits toward their state pension. This initiative is a response to recent federal workforce reductions, which have released skilled professionals into the job market. By providing a mechanism for these individuals to integrate their federal service into the state pension system, the bill seeks to attract experienced public servants to New York state employment.
Notably, there may be concerns regarding the financial implications for the pension system, as the credits granted will require significant contributions from both the state and local participating employers. The fiscal note suggests that the costs associated with past service could average 21% of the affected members' compensation for each year of credit. Critics may argue against the viability of integrating federal service into the state pension system, which traditionally does not combine federal and state retirement benefits.
Moreover, this legislation’s alignment with existing policies of the New York State and Local Retirement System may be questioned, as it introduces credits that are not typically recognized under current regulations governing credited service. This contrasts with existing policies that focus on employment within the state retirement system, suggesting a potential legal and administrative challenge to its implementation.