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Individual employed by a private entity and paid with funds provided by the City of New York is not ?paid by the City?

Individual employed by a private entity and paid with funds provided by the City of New York is not ?paid by the City?
Matter of Ivan v New York City Dept. of Health & Mental Hygiene, 2009 NY Slip Op 05189, decided on June 23, 2009, Decided on June 23, 2009

Richard Ivan filed a petition pursuant to Article 78 of the Civil Practice Law and Rules in an effort to compel the New York City Department of Health and Mental Hygiene (DHMH) to take the necessary actions to permit him to obtain the benefits of membership in the New York City Employees' Retirement System (NYCERS).

Supreme Court dismissed Ivan?s petition and the Appellate Division affirmed the lower court?s decision.

The Appellate Division explained that Ivan worked for a private corporation under contract with DHMH. Although he was paid with funds provided by the City, he was not "paid for by the city" as that term is defined in the Administrative Code of City of NY §13-101[3][a].*

An example of a similar situation ? individuals being paid by a private entity where the source of the funds is a public organization -- involve the employees at the so-called Statutory Contract Colleges at Cornell University.

These individuals are employees of Cornell University and are on the Cornell University payroll but the compensation paid to them for their service is reimbursed to Cornell by the State. In addition, these ?statutory contract college employees? of Cornell University are required by law to join the New York State Employees? Retirement System [see RSSL §40.b.2(a)] unless the individual elects to participate in the State University of New York?s ?Optional Retirement Plan? [see Education Law §390.3].

* §13-101[3][a], in pertinent part, provides: "City-service" shall mean service, whether appointive or elective, as an officer or employee of the city or state of New York, of any agency thereof and of any court, so far as such service is paid for by the city, or service, by any person, in any county office, paid for in whole or in part by the city?."

The text of the Ivan decision is posted on the Internet at:
http://www.courts.state.ny.us/reporter/3dseries/2009/2009_05189.htm

Full post as published by New York Public Personnel Law on June 25, 2009 (boomark / email).