Bill Text: NJ A2936 | 2010-2011 | Regular Session | Introduced


Bill Title: Prohibits political subdivisions from awarding longevity-based benefits to their employees.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Introduced - Dead) 2010-06-17 - Introduced, Referred to Assembly Housing and Local Government Committee [A2936 Detail]

Download: New_Jersey-2010-A2936-Introduced.html

ASSEMBLY, No. 2936

STATE OF NEW JERSEY

214th LEGISLATURE

 

INTRODUCED JUNE 17, 2010

 


 

Sponsored by:

Assemblyman  PAUL D. MORIARTY

District 4 (Camden and Gloucester)

Assemblywoman  CELESTE M. RILEY

District 3 (Salem, Cumberland and Gloucester)

Assemblyman  JOHN J. BURZICHELLI

District 3 (Salem, Cumberland and Gloucester)

 

 

 

 

SYNOPSIS

     Prohibits political subdivisions from awarding longevity-based benefits to their employees.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning supplemental benefits conferred upon employees of certain political subdivisions, amending various parts of the statutory law and supplementing chapter 5A of Title 40A of the New Jersey Statutes.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    (New section)  a.  For the purposes of this section, "local authority" means an "authority" as defined under the "Local Authorities Fiscal Control Law," P.L.1983, c.313 (C.40A:5A-1 et seq.).

     b.    Notwithstanding the provisions of any law, rule, or regulation to the contrary, a political subdivision of the State, or any agency, commission, or instrumentality of that political subdivision, that has not adopted the provisions of Title 11A, Civil Service, of the New Jersey Statutes shall not grant to its employees any monetary compensation that is based upon the length of an employee's service.  This section shall not be construed to affect the terms in any collective negotiations agreement or contract of employment with a relevant provision in force on the effective date of P.L.   , c.     (C.       ) (pending before the Legislature as this bill); however, a collective negotiations agreement or contract entered into or renewed on or after the effective date of P.L.     , c.       (C.            ) (pending before the Legislature as this bill) shall not contain any monetary compensation based upon the length of an employee's service as prohibited by this section.

 

     2.    Section 4 of P.L.1983, c.313 (C.40A:5A-4) is amended to read as follows:

     4.    On and after the effective date of this act, no authority shall be created by any local unit or units without the prior approval of the Local Finance Board.  Prior to the introduction of an ordinance or the adoption of a resolution to create an authority, the local unit or units proposing this creation shall make application to the Local Finance Board for its approval. The application shall contain:

     a.     A copy of the proposed ordinance or resolution creating the authority;

     b.    A statement, in brief and general terms, of the project or projects to be undertaken, the estimated project cost, the manner of project financing, and  the area to be served by the project;

     c.     A proposed budget for the first year of authority operation, including a  table of organization, personnel requirements, the level of staff required for  supervision of the operation of the authority and the proposed source or sources of the authority's funding;  and

     d.    A statement, in the form prescribed by the Local Finance Board, indicating that the local unit or units have considered alternative means of undertaking and financing the proposed project or projects and have determined that the creation of an authority is the most efficient and feasible means of providing and financing the project or projects; and

     e.     A certification by the chairman of the authority that the salaries and benefits of the officers and employees of the local authority do not include any monetary compensation that is based upon the length of an officer's or an employee's employment with the authority or with the municipality or county, as appropriate, that created the authority, as required in section 1 of P.L.    , c.    (C.     ) (pending before the Legislature as this bill).

     The Local Finance Board may consider estimates, computations or calculations made in connection with an application, may require the production of papers, documents, witnesses or information, may make or cause to be made an audit or investigation, and may take any other appropriate action necessary to its consideration of whether or not to approve the creation of an authority.

(cf:  P.L.1983, c.313, s.4)

 

     3.    Section 11 of P.L.1983, c.313 (C.40A:5A-11) is amended to read as follows:

     11.  No authority budget shall be finally adopted until the director shall have approved same.  In granting the approval, the director shall consider whether or not:

     a.     All estimates of revenue are reasonable, accurate and correctly stated;

     b.    Items of appropriation are properly set forth;

     c.     In itemization, form and content, the budget will permit the exercise of  the comptroller function within the authority;

     d.    The schedule of rates, fees and charges then in effect will produce sufficient revenues, together with all other anticipated revenues, to satisfy all obligations to the holders of bonds of the authority, to meet operating expenses, capital outlays, debt service requirements, and to provide for such reserves, all as may be required by law, regulation or terms of contracts and agreements;

     e.     The salaries and benefits of the officers and employees of the local authority do not include any monetary compensation that is based upon the length of an officer's or an employee's employment with the authority or with the municipality or county, as appropriate, that created the authority, as required in section 1 of P.L.    , c.    (C.     ) (pending before the Legislature as this bill).

     The director may require such documentation, records and other information, and undertake any audit or investigation, as he may deem necessary in connection with his review.

     If the director finds that all requirements of law and the rules and regulations of the Local Finance Board have been met, he shall, within 45 days of his receipt of the budget, approve it;  otherwise he shall within that time refuse to approve it.  The director, in refusing to approve the budget, shall not substitute his discretion with respect to the amount of an appropriation when that amount is not made mandatory by law or regulation.

     Any decision of the director in the course of budget review under this section may be appealed to the Local Finance Board in the manner generally provided by law.

(cf: P.L.1983, c.313, s.11)

 

     4.    N.J.S.11A:6-23 is amended to read as follows:

     11A:6-23.   Supplemental compensation; rules. a. The Civil Service Commission shall adopt rules for the implementation of supplemental compensation, which shall include but need not be limited to application and eligibility procedures.

     b.    Notwithstanding the provisions of any law, rule or regulation to the contrary, the rules adopted by the commission shall require that a political subdivision of the State, or any agency, commission, or instrumentality of that political subdivision, that has adopted the provisions of Title 11A, Civil Service, of the New Jersey Statutes shall not grant to its employees any monetary compensation that is based upon the length of an employee's service.  This subsection shall not be construed to affect the terms in any collective negotiations agreement or contract of employment with a relevant provision in force on the effective date of P.L.      , c.       (C.         ) (pending before the Legislature as this bill); however, a collective negotiations agreement or contract entered into or renewed on or after the effective date of P.L.     , c.       (C.            ) (pending before the Legislature as this bill) shall not contain any monetary compensation based upon the length of an employee's service as prohibited by this subsection.

(cf:  P.L.2008, c.29, s.55)

 

     5.    N.J.S.40A:9-10 is amended to read as follows:

     40A:9-10.  a.  Except as otherwise provided by law, the board of chosen freeholders of the county or the governing body of the municipality shall fix the amount of salary, wages or other compensation to be paid to county and municipal officers and employees unless they are to serve without compensation.

     b.    Notwithstanding the provisions of any law, rule or regulation to the contrary, a political subdivision of the State, or any agency, commission, or instrumentality of that political subdivision, that has not adopted the provisions of Title 11A, Civil Service, of the New Jersey Statutes shall not grant to its employees any monetary compensation that is based upon the length of an employee's service.  This subsection shall not be construed to affect the terms in any collective negotiations agreement or contract of employment with a relevant provision in force on the effective date of P.L.      , c.     (C.     ) (pending before the Legislature as this bill); however, a collective negotiations agreement or contract entered into or renewed on or after the effective date of P.L.     , c.       (C.            ) (pending before the Legislature as this bill) shall not contain any monetary compensation based upon the length of an employee's service as prohibited by this subsection.

(cf:  P.L.1971, c.200, s.1)

 

     6.    This act shall take effect immediately but shall not affect the terms in any collective negotiations agreement or contract of employment with a relevant provision in force on the effective date of this act.

 

 

STATEMENT

 

     This bill would prohibit any county or municipality, or any agency, commission, or instrumentality of a county or municipality, or any authority created by a county or a municipality, from granting to its employees any monetary compensation that is based upon the length of an employee's service.

     This prohibition would not affect the terms in any collective negotiations agreement or contract of employment with a relevant provision in force on the effective date of the bill; however, a collective negotiations agreement or contract entered into or renewed on or after the effective date of the bill must not contain any monetary compensation based upon the length of an employee's service.

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