Saratoga Springs City Council will debate and vote on a proposal to change eligibility for health benefits of commissioners in retirement. It would change the definition of retirement to include people over 55 years old, with 10 or more years of service for the city, so long they were working “at their Standard Work Week” at the time of retirement.
Only Commissioner of Finance Michele Madigan will be affected by the change in rules. She has been in office 10 years and has seen her 55th birthday.
According to her and Commissioner of Accounts John Franck, the state rules changed at some point—neither is sure when—and a year in the life of a city commissioner is not a year by state standards.
"It used to be a year was a year,” Madigan said of the way that the state measures time. However, Franck said, a year is measured not just by the calendar, but by the income.
Commissioners make $14,500 per year and are expected to work 33 hours a week, or about $8.45 per hour for the 33 hour week. This is full time.
According to the New York State Comptrollers website regarding retirement benefits, full-time employment is measured by multiplying the state minimum wage by 2000 during the employees career in public service.
The state minimum wage for this area moved to $9.70 per hour according to the New York State Department of Labor website, in 2016, is now $12.50 and will move to $13.20 per hour at the start of 2022.
That means full time employment for retirement purposes would have been have been $19,400 in 2016 to $25,000 this year.
Since at least 2016, Commissioners have been making sub-minimum wage.
To have their pay at the minimum wage of $12.50 per hour this year, they would work only about 22.4 hours per week.
The New York State comptroller’s office did not reply to a request for clarification to see if commissioners are pro-rated at 22.4 hours per week for each calendar week they work.
The proposed change under consideration Tuesday evening would redefine that work week to what Commissioners are already doing: $14,500 per year for a 33 hour work week.
Madigan admits that this change will only affect her for now, but says it will help people into the future.
Madigan has just 10 years in the retirement system according to the calendar but her pro-rated total is less than that.
Their extra time other commissioners have spent in office and working for the city brings them over the minimum threshold of time. Franck said he has about 14.6 years accrued though he has been in office for 16 years.
Commissioners such as Franck have often worked outside of city hall to make a livable income. Franck is an accountant.