Bill Text: NJ A2124 | 2018-2019 | Regular Session | Introduced
Bill Title: Concerns payment of certain TDI and family temporary disability leave benefits.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2018-01-09 - Introduced, Referred to Assembly Labor Committee [A2124 Detail]
Download: New_Jersey-2018-A2124-Introduced.html
ASSEMBLY, No. 2124
STATE OF NEW JERSEY
218th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2018 SESSION
Sponsored by:
Assemblyman JERRY GREEN
District 22 (Middlesex, Somerset and Union)
Assemblyman RAJ MUKHERJI
District 33 (Hudson)
Assemblyman BENJIE E. WIMBERLY
District 35 (Bergen and Passaic)
SYNOPSIS
Concerns payment of certain TDI and family temporary disability leave benefits.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning the payment of certain benefits for temporary disability leave and family temporary disability leave and supplementing P.L.1948, c.110 (C.43:21-25 et al.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. With respect to benefits payable to any individual under the State plan for temporary disability leave pursuant to P.L.1948, c.110 (C.43:21-25 et al.), and for family temporary disability leave pursuant to P.L.2008, c.17 (C.43:21-39.1 et al.), the Department of Labor and Workforce Development shall provide the following methods of paying benefits to individuals:
(1) pay the benefits to the individual by causing the benefits to be deposited in a prepaid debit card account maintained by a financial institution in the name of the individual, provided that the individual consents in writing to the deposit of benefits in a prepaid debit card account; and
(2) arrange with a financial institution of the individual's choosing to pay the benefits by direct deposit, provided that the individual consents in writing to the direct deposit of the benefits.
b. Any individual's benefits deposited pursuant to paragraphs (1) and (2) of subsection a. of this section shall be subject to withdrawal and other disposition by the individual to the same extent and in the same manner as if the deposit had been made directly by the individual. Any individual who has consented to the deposit of benefits by one of the methods provided pursuant to subsection a. of this section may at any time, upon written notice to the department, elect to be paid the benefits by the other method provided in subsection a. of this section. The written notice shall require the individual's signature, to be kept on record by the department, in order to change the method of benefit payment.
c. With respect to the payment of benefits to any individual pursuant to paragraph (1) of subsection a. of this section, the department shall provide the individual a written disclosure of every feature of the prepaid debit card, such as point-of-sale use or withdrawal at automated teller machines, including any fees which may be charged to the individual for the use of those features. Any fees or other charges associated with the use of the prepaid debit card shall be subject to the same State or federal laws, rules or regulations as any other debit card issued by a financial institution.
d. As used in this section:
"Financial institution" means any state-chartered or federally-chartered institution authorized to accept deposits in New Jersey;
"Prepaid debit card" means a card issued by a financial institution to provide an individual with the means of obtaining the full amount benefits paid to the individual in a form that is equivalent to payment in lawful money of the United States or payment by direct deposit.
2. This act shall take effect on the first day of the fourth month next following the date of enactment.
STATEMENT
This bill requires the Department of Labor and Workforce Development to provide individuals receiving benefits under the State plan for temporary disability leave (TDI) and family temporary disability leave (FLI) the option to receive payment by direct deposit or by prepaid debit card. Currently, individuals receiving TDI and FLI benefits under the State plan must use a prepaid debit card to access the benefits.
The bill requires that individuals receiving TDI and FLI benefits under the State plan must consent in writing to the payment method of their choice. Any individual who has consented to the deposit of benefits by one of the payment methods provided by the bill may at any time, upon written notice to the department, elect to be paid the benefits by the other method. The bill also requires that the benefits paid to an individual must be subject to withdrawal and other disposition by the individual to the same extent and in the same manner as if the deposit had been made directly by the individual.
With respect to TDI and FLI benefits paid by prepaid debit card, the department must provide written disclosure of the features of the prepaid debit card, such as point-of-sale use or withdrawal at automated teller machines, including any fees which may be charged to the individual for the use of those features. The bill also provides that any fees or other charges associated with the use of the prepaid debit card shall be subject to the same State or federal laws, rules or regulations as any other debit card issued by a financial institution.
Beginning April 18, 2011, the department discontinued the issuance of paper checks to pay TDI and FLI benefits. Currently, the department, in partnership with Bank of America, offers prepaid debit cards to provide TDI and FLI benefits under the State plan. This bill will provide individuals the choice of receiving benefits by prepaid debit card or direct deposit.
