AI-assisted research summary: The system must finalize certain retirement benefits within six months, and late finalization can trigger interest or fees.
(a) The system shall finalize a retirant's pension benefit within six calendar months following the month of the retirant's retirement. For pension benefits finalized after the sixth calendar month following the month of the retirant's retirement, an interest payment amounting to four and one-half per cent per annum shall be paid to the retirant. Interest shall be calculated on the difference between the amount the retirant is entitled to receive from the retirant's retirement date up to the day the payment is made and the amount the retirant was paid, including any refund of member contributions. Beginning January 1, 2004, or the first day of the seventh calendar month following the month of retirement, whichever is later, interest payments calculated as simple interest shall be prorated up to the date payment is made; provided that any pension adjustment made after the retirant's pension has once been finalized shall not be subject to any interest payment. The system shall finalize ordinary and service-connected disability retirements within six calendar months following the month that the member's retirement is approved by the board or the actual retirement date specified by the member, whichever is later. (b) Any department or agency of the State or counties that fails to comply with the system's request for information shall be subject to a monthly fee for each request as follows: (1) For requests for unused sick leave balances and lump sum vacation payments not reported within ninety days of an employee's retirement; and (2) For requests for payroll or personnel information not reported within thirty days of receipt of request. Beginning January 1, 2004, the system shall assess $10 for each month or fraction thereof that the department or agency fails to provide the system with the requested information for each retiree. All assessments collected shall be deposited to the pension accumulation fund. [L 2003, c 134, §1; am L 2006, c 169, §10]