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Date: March 8, 2016

Bulletin Number: 1474

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Subject

Repayment of the Civil Service Employees Association (CSEA), Administration Services Unit (ASU), Institutional Services Unit (ISU), Operational Service Unit (OSU) and the Division of Military and Naval Affairs (DMNA) Bargaining Units 02, 03, 04 and 47 Deficit Reduction Plan (DRP) Reductions

Purpose

To inform agencies of OSC’s automatic processing of the repayment of CSEA Bargaining Units 02, 03, 04 and 47 DRP reductions.

Affected Employees

Employees whose balance of CSEA Bargaining Units 02, 03, 04 and 47 DRP reductions is less than zero (0) in one or more record number.

Background

As Part of the New York State and Civil Service Employees Association (CSEA), Administrative Services Unit (ASU), Institutional Services Unit (ISU), Operational Service Unit (OSU) and the Division of Military and Naval Affairs (DMNA) Deficit Reduction Plan (DRP) created pursuant to Section 7 Part A of Chapter 491 of the Laws of 2011 and the Division of Budget Bulletin B-1193 issued August 19, 2011, the balance of each employee’s actual deficit reduction plan reductions will be repaid to the employee in equal biweekly installments over 39 consecutive pay periods beginning with the final paycheck of fiscal year 2015-2016.

Effective Date(s)

Repayment of the Civil Service Employees Association (CSEA), Administration Services Unit (ASU), Institutional Services Unit (ISU), Operational Service Unit (OSU) and the Division of Military and Naval Affairs (DMNA) Bargaining Units 02, 03, 04 and 47 DRP reductions will begin in the following pay periods:

Cycle/Pay Period/Type

Pay Period Begin Date

Check Date

Administration Extra Lag

02/18/2016

03/23/2016

Administration 25 Lag

02/25/2016

03/23/2016

Administration 26 Current

03/10/2016

03/23/2016

Institution Extra Lag

02/25/2016

03/31/2016

Institution 25 Lag

03/03/2016

03/31/2016

Institution 26 Current

03/17/2016

03/31/2016


Repayment of the Civil Service Employees Association (CSEA), Administration Services Unit (ASU), Institutional Services Unit (ISU), Operational Service Unit (OSU) and the Division of Military and Naval Affairs (DMNA) Bargaining Units 02, 03, 04 and 47 DRP reductions will end in the following pay periods:

Cycle/Pay Period/Type

Pay Period Begin Date

Check Date

Administration Extra Lag

08/03/2017

09/06/2017

Administration 10 Lag

08/10/2017

09/06/2017

Administration 11 Current

08/24/2017

09/06/2017

Institution Extra Lag

08/10/2017

09/14/2017

Institution 11 Lag

08/17/2017

09/14/2017

Institution 12 Current

08/31/2017

09/14/2017


Eligibility Criteria

Employees whose sum of gross earnings YTD for calendar year 2011 and greater for the following earnings codes is less than zero (0) in any record number is eligible for the repayment.

Earnings Code

Description

D4C

12-13 CSEA DRP -1.538%

R9C

12-13 CSEA Retro DRP -1.538%

D5C

12-13 CSEA DRP Oth -1.538%

D6C

12-13 CSEA DRP Repayment


New Earnings Code

OSC has created a new earnings code to process the repayment of the Civil Service Employees Association (CSEA) for Bargaining Units 02, 03, 04 and 47 DRP reductions.

Additional Pay Earnings Code

Description

D7C

Final CSEA DRP Repayment


OSC Actions

OSC will insert a row on the Additional Pay page for each record number in which the sum of the employee’s gross earnings YTD for Earnings Codes D4C, R9C, D5C and D6C for calendar year 2011 and greater is less than zero (0).

The inserted row on the Additional Pay page will be set up as follows:

Earnings Code:

D7C

Effective Date:

Pay Period Begin Date as noted above for the employee’s Pay Cycle/Pay Period Type

Goal Amount:

The sum of gross earnings YTD for Earnings Codes D4C, R9C, D5C and D6C for calendar year 2011 and greater for this record number (entered as a positive amount).

Earnings:

If the employee’s Payroll Status is equal to Active, Leave With Pay or Leave of Absence on any record number, the Earnings field is equal to the Goal Amount for this record number divided by 39 and rounded up to the next cent.

If the employee’s Payroll Status is equal to Terminated, Retired or Deceased on all record numbers, the Earnings field is equal to the Goal Amount for this record number.

In each subsequent pay period through the end of the repayment of the Civil Service Employees Association (CSEA) Bargaining Units 02, 03, 04 and 47 DRP reductions, OSC will review the Additional Pay records using Earnings Code D7C for each employee who has not received repayment of all Civil Service Employees Association (CSEA) Bargaining Units 02, 03, 04 and 47 DRP reductions.  If the employee’s Payroll Status is equal to Terminated, Retired or Deceased on all record numbers, OSC will pay the balance of Civil Service Employees Association (CSEA) Bargaining Units 02, 03, 04 and 47 DRP reductions in each record number.

OSC will insert a row on the Additional Pay page for each record number as follows:

Earnings Code:

D7C

Effective Date:

Pay Period End Date for the employee’s Pay Cycle/Pay Period Type for the pay period being processed

Goal Amount:

Carried forward from previous row

Earnings:

The difference between the Goal Amount and Goal Balance.


Agency Actions

Beginning in the pay periods noted above, agencies must not submit any transactions related to the Civil Service Employees Association (CSEA) Bargaining Units 02, 03, 04 and 47 Deficit Reduction Plan including transactions to process a repayment.

Miscellaneous Payment Information

The Civil Service Employees Association (CSEA) Bargaining Units 02, 03, 04 and 47 Deficit Reduction Plan Repayment is pensionable but is not included in the calculation of overtime.

Deduction Information

All general deductions for employees whose Payroll Status is Terminated, Retired or Deceased are automatically cancelled by OSC after three (3) pay periods with the exception of the following:

Code

Description

410

Health Care Spending Account

420

NY Dependent Care Contribution

425

Repay State Loans/Debt

426

Higher Ed Repay State Loan

428

Dependent Care

433

Total Unemployment Ins Owed

500

Medicare Deficiency

501

Social Security Deficiency

502

NYS SS/Medicare Deficiency

GARNSH

Garnishments

HIATRG

Regular After Tax Health

HIATSP

Special After Tax Health Adj

HIBTRG

Regular Before Tax Health

HIBTSP

Special Before Tax Health Adj


Tax Information

These monies are taxable income and are subject to all employment taxes and income taxes.  The monies will be included in the employee’s taxable gross and will be reported on the employee’s Form W-2.

Payroll Register and Employee’s Paycheck/Advice

The Earnings Code D7C and the amount paid will be displayed on the Payroll Register.  The Earnings Description Final CSEA DRP Repayment and the amount paid will appear on the employee’s paycheck stub or direct deposit advice.

Undeliverable Checks

If the agency has made an effort to deliver the check to the employee but the check has been returned and is undeliverable, the agency should forward the check to the NYS Department of Tax and Finance, Division of Treasury, per instructions in Payroll Bulletin No. 908.

Checks issued to eligible employees who are now deceased should be returned with a completed Next of Kin Affidavit (Form AC 934-P), original Death Certificate and a Report of Check Exchange (Form AC 1476-P).  If a Next of Kin Affidavit has been previously submitted for a deceased employee’s payroll check, OSC will accept a photocopy of this form along with a New Report of Check Exchange.

Questions

Questions regarding the Civil Service Employees Association (CSEA) Bargaining Units 02, 03, 04 and 47Deficit Reduction Plan Repayment should be directed to the applicable budget examiner at the Division of the Budget.

Questions regarding payroll processing of the Civil Service Employees Association (CSEA) Bargaining Units 02, 03, 04 and 47Deficit Reduction Plan Repayment should be directed to the Payroll Earnings mailbox.