• What are the benefits? What kind of a plan is this? A health care plan, an investment plan, an insurance plan, or something else?

The PBA Supplemental Fund was created to provide Plan Participants made up of qualified retirees with an annual grant of funds after their qualifying separation from service from the Division of State Police, according to a uniform points system based on the member’s years of service.  The amount that a Qualified Member may receive is determined annually based on fund performance, is subject to change annually, and may result in a distribution of $0 due to fund underperformance in a down economic market. The Board of Trustees and the PBA will make distributions to Plan Participants only when it can ensure the integrity of the Fund.

• Do I still qualify even though I am an inactive retired PBA member?

If you were a full-time member (excluding time as an Associate Member) of a bargaining unit within the PBA, certified by the PBA to be in good standing as defined in the PBA  Constitution, with a date of separation from service on or after April 1, 2007, (this includes ordinary or disability retirement), and 12 months have elapsed since your date of separation, you may be a Qualified Member.  Qualified Members must submit a Supplemental Fund Application to become a Plan Participant. The Supplemental Fund Board of Trustees review all Supplemental Fund Applications and make all qualification determinations.

• Do you plan on sending out a payment in 2024? Approximately, when will the first payment be made?

The Board of Trustees aims to make a distribution payment in 2024. Qualified Members must submit a Supplemental Fund Application to become a Plan Participant. The sooner Supplemental Fund applications are submitted, the sooner a distribution can be made.  For that reason, we strongly encourage Applications to be submitted by December 1, 2024.  A link to the Application is available here.

• Why is the eligibility date after April 1,2007? Why does the fund not apply to those who retired prior to 2007?

The Supplemental Fund is a Trust that is funded by Employee Benefit Fund monies which were contractually negotiated by the PBA and New York State.  Employee Benefit Fund monies were allocated to the Supplemental Fund beginning on April 1, 2007, in the 2007-2011 Collective Bargaining Agreement, and in each subsequent Agreement.  Those monies were held in trust by the PBA and invested over many years.  Those who retired or separated prior to the 2007-2011 CBA are unable to receive contractually negotiated monies in subsequent contracts because the law prohibits it. Since no portion of their careers overlapped with contractual “contributions” to the Supplemental Fund, they cannot receive funds now.  For this reason, it was determined that April 1, 2007, is the lawful benefit date, despite any statements to the contrary by previous leadership.

• I thought we had a Supplemental Plan in place. Is this a different program and what happened to the original Supplemental Benefit plan?

For many years, the monies allocated to the old Supplemental Fund were being invested and protected, but the Fund required additional compliance and structure before Fund administration and distribution could occur.  The new Board of Trustees investigated the shortcomings of the old Supplemental Fund and hired professionals to finalize a fully compliant and operational Fund.  The recently announced Supplemental Fund is a new Trust Fund built from the ground up by a new Board of Trustees.  It is both legally compliant and all systems are in place to administer the Fund and make distributions to qualified retirees for many years to come.

• Why do we have to submit an application? Why isn’t it automatic by the members 5th year anniversary of retirement?

The Board of Trustees determined that it was in the best interest of the Supplemental Fund to have retired members confirm their information, including their address, for purposes of distribution of benefits.  This also helps ensure the integrity of the Fund and to ensure that the funds are going to the proper recipients.  An Application for Participation in the Plan only needs to be completed one time and not on an annual basis.

• Do I have to wait 1 year or 5 years before becoming eligible?

A Qualified Member is eligible to become a Participant in the Plan after 12 months have elapsed since the Qualified Member’s date of separation from service from the Division of State Police.

• How does the point system work and does the fund start for individuals as of 2007 or the Members EOD?

The annual amount available to be distributed to Participants for a Plan Year is allocated to the Plan accounts of eligible Participants based on a uniform points formula. The formula is as follows: (a) each Participant is awarded one point for each year of service up to a maximum of  20 points, and  (b) the annual amount available to be allocated to a Participant’s Plan account is determined by multiplying the annual amount available for distribution to  Participants by a fraction, (i) the numerator of which is the number of points  awarded to the Participant for the Plan Year and (ii) the denominator of which is  the sum of the numerator plus all points awarded to other Participants for the Plan Year.  A year of service means a consecutive 12-month period of employment by the Division of State Police while also being a full-time (and not an associate) member of the PBA.  Multiple periods of service of less than 12 months are not added together in determining years of service. However, full years of service before and after any break in service are added together. A year of service does not include service with any employer other than the Division of State Police or with any union other than the PBA. Years of service prior to April 1, 2007, are not counted.

• Can the payments go directly into Deferred Comp?

No, payments this year will be made by check and mailed to Plan Participants.

• I’m retired from NYSP as an Investigator/Management Confidential, but I am a paying Associate Member of the PBA.  Do I qualify?

Maybe, but your time as an Associate Member, meaning time you were a member of another bargaining unit or time that you were paying associate membership dues to the PBA as a retiree, is not counted towards your years of service for benefit calculations.

If you were a full-time member (excluding time as an associate member) of a bargaining unit within the PBA, certified by the PBA to be in good standing as defined in the PBA  Constitution, with a date of separation from service on or after April 1, 2007, (this includes ordinary or disability retirement), and 12 months have elapsed since your date of separation, you may be a Qualified Member.  Qualified Members must submit a Supplemental Fund Application to become a Plan Participant. The Supplemental Fund Board of Trustees review all Supplemental Fund Applications and make all qualification determinations.

• Is the money taxable?

Yes, any payment of Plan benefits to a Participant is treated as taxable income to the Participant in the Determination Year in which the payment is made.

• Are the members who would have received payments starting on 2020 – who were retired 5 years as of that date – be receiving retroactive payments for the years that the original agreement stated they would receive payments?  Is the Fund benefit retroactive to the date of eligibility?

No, there will not be retroactive distributions made from the Supplemental Fund.

• Is there a cost for signing up?

No, there is no cost to submit a Supplemental Fund Application and there is no cost to Plan Participants.

• I heard that it would apply to Retired Members with a Service Retirement only. Are Disability Retirements included?

Yes, a Qualified Member left employment with the Division of State Police by means of ordinary service retirement or disability retirement.

• How are the payments calculated? What can we expect for a base check?  Will it grow every year as expected to mirror plans like NYPD?

The Supplemental Fund does not mirror the NYC Police Pension Fund, which is a defined benefit plan enacted through legislation.  Rather, the Supplemental Fund Board of Trustees will make an annual determination of available Plan benefits and an allocation of the annual amount available for distribution for Plan Participants. The net investment earnings on the contributions and other assets held in the Trust generally determine the annual amount available to be distributed to Participants as the Plan benefit for the following Plan Year. The annual distribution amount may also be funded by the Plan’s reserve account and/or the principal of the Trust, subject to certain limits, in each case as determined by the Board of Trustees. There are no assurances that Participants will receive a benefit payment under the Plan in or for any Plan Year or for any period of Plan Years, given benefits under the Plan are largely determined based on the market performance of assets held in the Trust.

A summary of the PBA Supplemental Fund Plan is available here.