Section 23-A. Statement of intent

a. This legislation is intended, by means
  of  a  comprehensive  reform program, to strengthen the long-term fiscal
  health  of  the  retirement  system,  to  reduce   the   volatility   of
  contribution  rates  and  to  provide budget certainty for participating
  employers by addressing current structural problems with respect to  the
  calculation  and  payment  of employer contributions. There is a need to
  address structural problems in the current billing cycles for the  state
  and  local governments with respect to their annual contributions to the
  retirement system. The state currently pays  its  contributions  on  the
  basis  of  estimates,  which  are  subject to adjustment at a later date
  (with interest, if applicable) on the basis of  subsequent  calculations
  of  the  required  contributions. Local governments must currently adopt
  budgets based on estimates of the required contributions, but then  make
  payment  of the full amount of the actual contributions that are finally
  billed  on  the  basis  of  subsequent  calculations  of  the   required
  contributions.  In addition, dramatic fluctuations in the performance of
  the  investment  markets  have  produced  unprecedented  volatility   in
  employer   contribution   rates.   These  rate  fluctuations  have  been
  exacerbated by the lack of a reasonable minimum payment by employers  in
  years  where  investment  performance was strong and employer rates were
  low. In order to enhance the continuing ability of the retirement system
  to provide services and benefits for the more than  nine  hundred  forty
  thousand  members and retirees and for their beneficiaries, this section
  provides for measures to (1) enhance the long-term fiscal health of  the
  retirement  system,  (2)  facilitate the planning and budgeting of state
  and participating employer contributions, and (3) ease the volatility of
  retirement system employer contribution rates in the future.
    b. Notwithstanding  the  provisions  of  this  chapter  or  any  other
  provision  of  law  to  the  contrary,  the  comptroller  shall have the
  authority, in his  or  her  discretion,  to  implement  a  comprehensive
  structural  reform  program, which shall consist of all of the following
  measures:
    1. revision of the schedule pertaining to the valuation,  billing  and
  payment  of contributions by the state and participating employers under
  which the valuation of the assets  and  liabilities  of  the  retirement
  system  undertaken  on  the  first day of a fiscal year shall be used to
  determine the contribution  rates  to  be  applied  to  the  pensionable
  salaries   of  the  state  and  participating  employers  for  the  next
  succeeding fiscal year; and
    2. requiring a minimum annual contribution from the  state  and  every
  participating  employer  (exclusive  of  payments  for  group  term life
  insurance, deficiency payments, adjustments  relating  to  prior  fiscal
  years'  obligations  and obligations pertaining to retirement incentives
  or any other obligations that the state  or  participating  employer  is
  permitted  to  pay  on  an  amortized  basis) equal to four and one-half
  percent   of   pensionable   salaries.   Effective   immediately    upon
  implementation by the comptroller of the comprehensive structural reform
  program  set  forth  in  this  section,  and  in  all  subsequent years,
  participating  employers  shall   pay   either   the   required   annual
  contribution  determined  under  the  revised schedule pertaining to the
  valuation, billing and payment of contributions  pursuant  to  paragraph
  one  of this subdivision, or the required minimum annual contribution of
  four and one-half percent of pensionable salaries, whichever is greater;
  and
    3. notwithstanding any provision of subdivision a of  section  sixteen
  of  this  article to the contrary, upon the comptroller's implementation
  of the measures set forth in this subdivision, all contributions payable
  by the state and participating employers under  the  valuation,  billing

  and   payment   schedule   implemented   under  paragraph  one  of  this
  subdivision, including the minimum contribution  required  by  paragraph
  two  of this subdivision, must be paid in full by the state on or before
  March  first  of  the  then  current  fiscal  year  and by participating
  employers on the date set forth in subdivision c of section seventeen of
  this article.