Bill Text: NJ A4056 | 2022-2023 | Regular Session | Introduced
Bill Title: Increases accidental death benefit for certain members of PERS.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2022-05-19 - Introduced, Referred to Assembly State and Local Government Committee [A4056 Detail]
Download: New_Jersey-2022-A4056-Introduced.html
Sponsored by:
Assemblywoman ANNETTE QUIJANO
District 20 (Union)
SYNOPSIS
Increases accidental death benefit for certain members of PERS.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the accidental death benefit for certain members of the Public Employees' Retirement System and supplementing P.L.1954, c.84 (C.43:15A-1 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. Upon the death of a member in active service as a result of:
(1) an accident met in the actual performance of duty at some definite time and place, or
(2) service in the reserve component of the Armed Forces of the United States or the National Guard in a federal active duty status, and such death was not the result of the member's willful negligence, an accidental death benefit shall be payable if a report of the accident is filed in the office of the retirement system within 60 days next following the accident, but the board of trustees may waive such time limit, for a reasonable period, if in the judgment of the board the circumstances warrant such action. No such application shall be valid or acted upon unless it is filed in the office of the retirement system within five years of the date of such death.
The provisions of this section shall apply only to a member who is a firefighter, emergency medical technician, paramedic, hazardous materials emergency first responder, or fire instructor.
b. Upon the receipt of proper proofs of the death of a member on account of which an accidental death benefit is payable, there shall be paid to the member's widow or widower a pension of 70 percent of the compensation, upon which contributions by the member to the annuity savings fund were based in the last year of creditable service, or a pension of $50,000, whichever is greater, for the use of herself or himself and the children of the deceased member. The benefits to the widow or widower shall not be terminated upon remarriage. If there is no surviving widow or widower or in the case the widow or widower dies, 70 percent of such compensation will be payable to the member's surviving child or children in equal shares.
If there is no surviving widow, widower, or child, 25 percent of the compensation upon which contributions by the member to the annuity savings fund were based in the last year of creditable service, will be payable to one surviving dependent parent or 40 percent of such compensation will be payable to two surviving parents in equal shares.
In the event of accidental death occurring in the first year of creditable service, the benefits, payable pursuant to this subsection, shall be computed at the annual rate of compensation.
c. If there is no surviving widow, widower, child, or dependent parent, there shall be paid to any other beneficiary of the deceased member, the member's accumulated deductions at the time of death.
d. In no case shall the death benefit provided in subsection b. be less than that provided under subsection c. of this section.
e. In addition to the foregoing benefits payable under subsections b. or c., there shall also be paid in one sum to such beneficiary, if living, as the member shall have nominated by written designation duly executed and filed with the retirement system, otherwise to the executor or administrator of the member's estate, an amount equal to three and one half times the compensation upon which contributions by the member to the annuity savings fund were based in the last year of creditable service.
f. In addition to the foregoing benefits, the State shall pay to the employer-sponsored health insurance program all health insurance premiums for the coverage of the member's surviving widow or widower and dependent children.
g. An accidental death benefit payable under section 49 of P.L.1954, c.84 (C.43:15A-49) granted on or after January 1, 2021, shall be converted to the benefit payable under this section and a payment representing the difference in payments between the benefit granted under section 49 of P.L.1954, c.84 and this section shall be paid in a lump sum to the beneficiary from the date the original benefit was granted.
2. This act shall take effect immediately and shall be retroactive to January 1, 2021.
STATEMENT
This bill enhances the accidental death benefit in the Public Employees' Retirement System (PERS) for the spouse and children of a member who served as a firefighter, emergency medical technician, paramedic, hazardous materials emergency first responder, or fire instructor.
Under current law, the PERS accidental death benefit provides to the surviving spouse a pension of 50 percent of the compensation upon which contributions by the member to PERS were based in the last year of creditable service. This bill increases the pension to 70 percent. The bill also provides an increase in benefits for the children of a member, from 25 percent for one child to 70 percent if there is no surviving spouse.
The bill further provides an alternative benefit of $50,000 for the surviving spouse, if it is larger than the 70 percent, annually. The bill also provides that the State will pay the employer-sponsored health insurance program for the member's surviving spouse. The bill will make the benefits identical to those in the Police and Firemen's Retirement System (PFRS).
The bill is retroactive to January 1, 2021 and provides that a benefit granted under N.J.S.A.43:15A-49 on or after January 1, 2021 will be converted to the benefit under this bill and a lump sum payment of the difference in the two benefits will be paid dating back to when the original benefit was granted.
