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Policy/Memo 97r1

Number: Policy Memo 97r1
Date Issued: December 20, 1999
Policy File Ref: A1150
Subject: Sick Leave Deferral

ISSUE:

Determine the status of individuals who chose the five year deferred sick leave calculation benefit, but who do not return to NYSHIP at the expiration of the five year period.

Background:

Many of the people who took the five year deferred sick leave calculation benefit are reaching the five year threshold. Questions have arisen as to sick leave calculation, dependent survivor status and the late enrollment waiting period for those who do not reenroll in NYSHIP at the expiration of the five year period. As the result of discussions with GOER, it was confirmed that persons who chose the five year deferred sick leave calculation benefit would not be grandfathered into the more liberal indefinite sick leave status. In addition, GOER determined that in order for dependent survivor coverage to be extended if an enrollee dies while in the five year deferred status, family coverage must have been in effect at the time of deferral.

Policy:

The following applies to all retirees who were eligible for and took the five year deferral:

  • The sick leave credit will be calculated at the end of five years whether or not the retiree reenrolls in NYSHIP. Upon reaching the five year anniversary, enrollees will receive a letter advising them of the sick leave credit and the components of this Policy Memo. (See the HBA Handbook for all procedures concerning the five year deferred sick leave calculation benefit.)
  • Reenrollment in NYSHIP is not automatic at the end of five years. At the end of five years, the retiree must reenroll in NYSHIP within 30 days or incur a late enrollment waiting period upon application for reenrollment, unless the reason is one of the exceptions outlined in the HBA Handbook.
  • Survivors of retirees who die while in the deferred period must apply for dependent survivor status within 90 days of the death of the enrollee; the enrollee must have had family coverage in effect at the time of deferral. The effective date will be the date of receipt of the application by EBD. There is no extended benefits period for survivors of retirees who deferred enrollment.
  • Upon expiration of the five year period, the retiree must rejoin NYSHIP in order for his or her covered dependents to be eligible for dependent survivor status.