Purpose:
The purpose of this bulletin is to provide processing instructions for the retroactive increases to the annual stipend for canine handlers represented by PEF at DHSES.
Affected Employees:
Employees in the Professional, Scientific, and Technical Services Unit (BU 05) assigned by DHSES to be a canine handler are affected.
Background:
The Memorandum of Understanding (MOU) dated 01/02/2025 between the State of New York and PEF provides for retroactive 2023, 2024 and 2025 increases to the annual stipend for employees who are assigned by DHSES to be a canine handler and who spend time caring for DHSES canines outside of regular working hours.
The MOU expires on 03/31/2026 unless extended by mutual agreement of the parties.
Effective Dates:
Increases to the annual canine handler stipend may be entered using the below effective dates beginning in the Administration Pay Period 15L checks dated 11/05/2025:
| Year | Payment Effective Date |
|---|---|
| 2023 | 03/30/2023 |
| 2024 | 03/28/2024 |
| 2025 | 03/27/2025 |
Eligibility Criteria:
Employees in PEF – BU 05 who previously received the annual canine handler stipend (Additional Pay Earnings Code HSC (DHSES Canine Handler Stipend) and/or Time Entry Earnings Code CHM (DHSES Canine Stipend Manual)) on or after the Effective Dates provided in the Effective Dates section are eligible for the following increases:
| Current Annual Stipend Amount | 2023 Annual Stipend Amount | 2024 Annual Stipend Amount | 2025 Annual Stipend Amount |
|---|---|---|---|
| $5,500 ($210.96 per Pay Period) | $5,665 ($216.69 per Pay Period) | $5,835 ($223.81 per Pay Period) | $6,010 ($230.52 per Pay Period) |
Agency Actions:
Submitting Retroactive 2023, 2024 and/or 2025 Increases to the Annual Canine Stipend
Beginning in Administration Pay Period 15L, the agency may submit transactions to process the retroactive increase to the annual canine handler stipend by entering the following information on the Time Entry page or the Time Entry Interface (NPAY502):
| Earn Code | CHM |
|---|---|
| Earnings Begin Date | First date employee is eligible for a retroactive increase |
| Earnings End Date | Last date employee is eligible for a retroactive increase |
| Amount | Difference between the total new amount employee should have received and the total amount previously received |
| Comment | Explanation of payment being submitted |
Submitting Current Annual Canine Stipends
In addition, the agency may effectuate the new 2025 stipend amount for employees currently receiving the annual canine stipend at the 2022 rate, or who become eligible at a later date, by entering the following information on the Additional Pay page:
| Earnings Code | HSC |
|---|---|
| Earnings Begin Date | The pay period begin date of the first full pay period the employee is eligible. Please note: The Effective Date must not be prior to the current pay period begin date. |
| Earnings End Date | Leave blank unless the employee becomes ineligible for the payment. If the employee becomes ineligible, enter the pay period end date of the last full pay period the employee was eligible for the payment. |
| Earnings | $230.52 |
Retirement Information:
The Annual Canine Handler Stipend is included as salary for retirement purposes.
General Deductions:
All deductions for employees whose Payroll Status is Terminated, Retired, or Deceased will be automatically canceled by OSC with the exception of percentage-based dues and deductions marked “No” on the Deduction Codes list published on the OSC website.
Tax Information:
These earnings are taxable income subject to all employment taxes and income taxes, will be included in the employee’s taxable gross, and reported on the employee’s Form W-2.
Special Wage Payments for Individuals Who Filed for Retirement Social Security Benefits:
Per Internal Revenue Service Publication 957, OSC will be reporting retroactive payments made to individuals who have filed for Social Security benefits to the Social Security Administration (SSA).
As PayServ does not include this information, OSC will be mailing a Request for Special Wage Payment Report to inactive individuals who are 62 or older in the calendar year and to active employees with the New York Retiree Indicator checked in Modify a Person who receive the retroactive payment. Recipients of this mailing will be asked to fill out the request and return it to OSC for inclusion on the Special Wage Payment Report to SSA. This report will be submitted to SSA after the close of the 2025 tax year.
It is important that agencies ensure the New York Retiree Indicator box is checked for rehired retirees. Please see Payroll Bulletin No. 1728 – New York Retiree Indicator for further details on the New York Retiree Indicator box.
Payroll Register and Employee’s Paycheck/Advice:
The Earnings Code and the amount paid will be displayed on the Payroll Register. The Earnings Description and the amount paid will appear on the employee’s paycheck stub or direct deposit advice. If the number of earnings codes exceeds 13, agencies should utilize Locked Query LQ_PCD_PAYCHECK_EARNINGS_BY_ID to identify a complete list of earnings.
Undeliverable Checks:
When a valid payroll check is undeliverable due to the agency’s inability to locate the employee, the agency should follow the Agency Actions identified in Payroll Bulletin No. 1786 – Non-Negotiated and/or Undeliverable New York State Payroll Checks.
Checks issued to eligible employees who are now deceased should be submitted as a stop payment request with a reason of Exchange in PayServ. The Report of Check Exchange (AC 1476-P), Next of Kin Affidavit (AC 934-P) and original death certificate should be submitted to the Payroll Reversal and Exchange mailbox at the same time as the stop payment request. If a Next of Kin Affidavit has been previously submitted for a deceased employee’s payroll check, OSC will accept a photocopy of this form along with a new Report of Check Exchange.
Questions:
Questions regarding this bulletin may be directed to the Payroll Earnings mailbox.
