N.Y. Retirement and Social Security Law 16-A – Amortization of amounts outstanding
§ 16-a. Amortization of amounts outstanding. a. On or before September first, nineteen hundred eighty-six, on the basis of the annual actuarial valuation and appraisal procedure provided for in this article, the comptroller shall determine the annual amounts that, had this section not been enacted, would have been required to be paid into the pension accumulation fund and the New York state public employees group life insurance plan, as appropriate, from the general fund of the state for all obligations of the state to the retirement system not discharged prior to such date, for state fiscal years ending March thirty-first, nineteen hundred eighty-five and March thirty-first, nineteen hundred eighty-six and amounts for the state's contribution for the retirement incentive program that would, had this section not been enacted, be due to be paid into the pension accumulation fund during fiscal years ending March thirty-first, nineteen hundred eighty-seven and March thirty-first, nineteen hundred eighty-eight. Such amounts shall include interest, as defined in section sixteen of this article through the last day of February, nineteen hundred eighty-seven. The sum of such amounts shall be called the "amount to be amortized".
Terms Used In N.Y. Retirement and Social Security Law 16-A
- Amortization: Paying off a loan by regular installments.
- Appraisal: A determination of property value.
- Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
b. The amount to be amortized shall be paid into the pension accumulation fund and the New York state public employees group life insurance plan, as appropriate, according to a schedule of equal annual installments during any years remaining in the amortization period. The "amortization period" shall be seventeen years. The first payment shall be made March first, nineteen hundred eighty-seven.
c. The amount of the annual payment to be made in any subsequent fiscal year shall be the amount that would be required to pay in full, in equal annual installments over the remainder of the amortization period, any unpaid balance of the amount to be amortized and interest on such unpaid balance computed at eight percent per annum.
d. On or before October fifteenth of nineteen hundred eighty-six and each succeeding year during the amortization period, the comptroller shall file with the director of the budget an estimate of the amount of the annual payment required to be made pursuant to this section in the state fiscal year beginning the first day of April next succeeding such October fifteenth.
e. An item of appropriation sufficient to provide for such payment shall be included in the next annual budget bill for the support of government presented to the legislature for passage. The amounts so appropriated shall be paid from the general fund of the state upon warrant of the comptroller on March first of each state fiscal year during the amortization period.