04-02-08

Nassau County Comptroller Howard Weitzman today asked majority lawmakers, lead by Presiding Officer Diane Yatauro, to support legislation allowing surviving family members of county employees to receive the employee’s termination pay in one lump sum, rather than in the customary three payments over three years. The County ordinance is referred to as the “three-pay” rule and affects payment of employees’ accrued vacation and sick pay in excess of $5,000. Currently, those payments are stretched over three years and can cause hardship for the surviving family members.

“The three-pay rule can pose problems for surviving family members who are in need of immediate financial assistance, but must wait over the three year period for the complete pay out,” said Weitzman. “In addition, the three-pay rule imposes an administrative and emotional burden on families since the former employee’s estate must remain open through the three years so that all the payments can be received.”

Legislative Presiding Officer Diane Yatauro (D-Glen Cove) and legislators Dave Denenberg (D-Merrick), Jeffrey Toback (D-Oceanside), Dave Mejias (D-Farmingdale), Judy Jacobs (D-Woodbury) and Joe Scannell (D-Baldwin) said they will be supporting the “Three-Pay Rule” bill submitted by the Comptroller.

The County’s three-pay rule applies to non-union employees (ordinance), CSEA and Sheriff Officers Association members (ShOA). It does not apply to the three police unions; they receive their termination pay in one lump sum. This proposed change to the County’s three-pay rule would only affect ordinance workers and not the union employees.

“I am also urging the administration to include this change to the three-pay rule in any future collective bargaining agreements, so that the majority of County employees and their families will not have to suffer any undue hardship due to this wait,” said Legislator Denenberg.

“I am very supportive of this proposed amendment to this ordinance, so that we can give surviving families peace of mind and one less thing to worry about, following the death of a loved one,” said Legislator Jeff Toback.

Under the new law, employees who die while employed by the county will be paid in one lump sum for their accrued unused vacation and sick days. Comptroller Weitzman said that over the last three years, approximately 6% of termination payments were made on behalf of deceased former employees. Paying in one lump sum instead of over three years would not change the County’s total obligation for termination pay, but would change the timing of the payment. Therefore any change to the three pay rule would not change the County’s overall fiscal obligations.

Once the total payment is made in the first year, the County would be relieved of the obligation in the following two years. If the three pay rule had been eliminated for payments to estates starting in 2005, the total additional payments the County would have had to made in the year of the employee’s death between 2005 – 2007 to the families of ordinance employees would have been $73,900, for the families of ShOA employees would have been $103,810 and for the families of CSEA employees would have been $518,312.

Weitzman urges Legislators to support change in law that can cause hardship to surviving family members of former County employees