Bill Text: NJ S2788 | 2014-2015 | Regular Session | Introduced
Bill Title: "Volunteers in Public Service Pension Reform Act," allows municipal elected officials in PERS to retire based on other PERS service and remain in office with no salary or health care benefits for that office.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed - Dead) 2015-03-23 - Reported out of Assembly Committee, 2nd Reading [S2788 Detail]
Download: New_Jersey-2014-S2788-Introduced.html
Sponsored by:
Senator BRIAN P. STACK
District 33 (Hudson)
SYNOPSIS
"Volunteers in Public Service Pension Reform Act," allows municipal elected officials in PERS to retire based on other PERS service and remain in office with no salary or health care benefits for that office.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the retirement of certain municipal elected officials, entitled the "Volunteers in Public Service Pension Reform Act," 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. Notwithstanding any provision of P.L.1954, c.84 (C.43:15A-1 et seq.) to the contrary, a member of the retirement system shall be eligible to retire while holding the public office in a municipality to which the member was elected, if the retirement allowance is not based solely on service in that municipal elective office, but the member shall not be eligible to receive any salary or health care benefits based on service in that office after retirement, and no contributions shall be required of the member covering that service.
b. This act shall be known and may be cited as the "Volunteers in Public Service Pension Reform Act."
2. This act shall take effect upon the enactment into law of P.L. , c. (C. ) (pending before the Legislature as Senate Bill No. 2789 of 2015).
STATEMENT
This bill is entitled the "Volunteers in Public Service Pension Reform Act." The bill allows a member of the Public Employees' Retirement System (PERS) elected to a municipal public office, service in which is credited in PERS, to retire while holding that municipal office provided the member does not receive any salary or health care benefits based on service in that office, if the member's PERS retirement allowance is not based solely on service in that municipal elective office.
Under current law, a person who is a public employee enrolled in PERS as well as a municipal elected official whose service is covered by PERS must retire from both positions in order to receive a PERS pension benefit. Persons commencing service in any elective public office prior to July 1, 2007 are enrolled in PERS and remain so enrolled while the person continues to hold that office without a break in service. Those who commence service in an elective public office on or after that date are enrolled in the Defined Contribution Retirement Program.
The bill would take effect upon the enactment of legislation pending before the Legislature to allow the Police and Firemen's Retirement System (PFRS) to pay a pension to a member who resigns and retires from PFRS-covered employment to assume elective office with the same employer to eliminate the conflict of incompatible positions.
