N.Y. Education Law § 537: Lump sum payment of de minimis service retirement benefit

§ 537. Lump sum payment of de minimis service retirement benefit.

Notwithstanding any other law to the contrary, a member of the

retirement system who is entitled to receive a retirement allowance,

other than for disability, pursuant to this article or pursuant to

article eleven or fifteen of the retirement and social security law,

which retirement allowance prior to optional modification is twenty-four

hundred dollars per annum or less, may elect at retirement to receive,

in lieu of such retirement allowance, a lump sum payment which has been

certified by the actuary to be of actuarial equivalent value to such

retirement allowance and approved by the retirement board. Such lump sum

shall be calculated using the interest rate on thirty year United States

treasury bonds as of January first of the calendar year in which the

retirement becomes effective. Upon payment of such lump sum, any and all

obligations of the retirement system to such member shall be totally

discharged. Commencing January first, two thousand four, the interest

rate on ten year United States treasury obligations as of January first

of the calendar year in which the retirement becomes effective shall be

used. Commencing January first, two thousand sixteen, the average annual

interest rate on ten year United States treasury obligations for the

days during the calendar year that precedes the calendar year in which

the retirement becomes effective shall be used.