Bill Text: NJ A621 | 2010-2011 | Regular Session | Introduced
Bill Title: Requires savings from recent changes in PERS and TPAF to ease unfunded liability of those systems.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2010-01-12 - Introduced, Referred to Assembly State Government Committee [A621 Detail]
Download: New_Jersey-2010-A621-Introduced.html
STATE OF NEW JERSEY
214th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2010 SESSION
Sponsored by:
Assemblyman ERIK PETERSON
District 23 (Warren and Hunterdon)
SYNOPSIS
Requires savings from recent changes in PERS and TPAF to ease unfunded liability of those systems.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel
An Act concerning savings garnered by the Public Employees' Retirement System and the Teachers' Pension and Annuity Fund due to recent changes in those retirement systems, and supplementing N.J.S.18A:66-1 et seq. and Title 43 of the Revised Statutes..
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. In addition to the reports and determinations required pursuant to N.J.S.18A:66-58, section 9 of P.L.1979, c.106 (C.18A:66-58.1) and N.J.S.18A:66-59, the actuaries shall prepare each year a calculation of the amount of money saved at the end of that year that can be attributed directly to the provisions of P.L. , c. (pending before the Legislature as Assembly Bill No. 2818 of 2008/Senate Bill Nos. 1962, 1964, 1965, 1969, and 2077). The resultant savings, if any, shall be calculated for each individual employer that contributes to the Teachers' Pension and Annuity Fund.
b. Notwithstanding any provision of law, rule or regulation to the contrary, each employer who contributes to the retirement system shall remit thereto the entire amount of the savings identified pursuant to subsection a. of this section and shall do so at the same time that it remits to the retirement system its normal contribution amount and its accrued unfunded liability contribution amount. The amount of savings that is contributed to the retirement system shall not be in lieu of the employer's normal contribution amount thereto or its unfunded liability contribution amount. The amount of the savings identified pursuant to subsection a. of this section that is received from an employer, the normal contribution amount it remits to the retirement system and the unfunded accrued liability amount it remits shall constitute and be referred to as the employer's total annual pension obligation.
c. Each fiscal year, beginning with the fiscal year in which this act takes effect, the Division of Pensions and Benefits shall notify each employer of the amount of its total annual pension obligation, based on the amount of money identified separately as being received from the savings identified pursuant to subsection a. of this section, the normal contribution amount remitted to the retirement system and the unfunded accrued liability amount remitted to the retirement system. Each fiscal year, beginning with the fiscal year in which this act takes effect, the division shall publish a report suitable for distribution to the general public containing this information.
2. a. In addition to the reports required to be provided by the actuaries pursuant to current law, the actuaries shall prepare each year a calculation of the amount of money saved at the end of that year that can be attributed directly to the provisions of P.L. , c. (pending before the Legislature as Assembly Bill No. 2818 of 2008/Senate Bill Nos. 1962, 1964, 1965, 1969, and 2077). The resultant savings, if any, shall be calculated for each individual employer that contributes to the Public Employees' Retirement System.
b. Notwithstanding any provision of law, rule or regulation to the contrary, each employer who contributes to the retirement system shall remit thereto the entire amount of the savings identified pursuant to subsection a. of this section and shall do so at the same time that it remits to the retirement system its normal contribution amount and its accrued unfunded liability contribution amount. The amount of savings that is contributed to the retirement system shall not be in lieu of the employer's normal contribution amount thereto or its unfunded liability contribution amount. The amount of the savings identified pursuant to subsection a. of this section that is received from an employer, the normal contribution amount it remits to the retirement system and the unfunded accrued liability amount it remits shall constitute and be referred to as the employer's total annual pension obligation.
c. Each fiscal year, beginning with the fiscal year in which this act takes effect, the Division of Pensions and Benefits shall notify each employer of the amount of its total annual pension obligation, based on the amount of money identified separately as being received from the savings identified pursuant to subsection a. of this section, the normal contribution amount remitted to the retirement system and the unfunded accrued liability amount remitted to the retirement system. Each fiscal year, beginning with the fiscal year in which this act takes effect, the division shall publish a report suitable for distribution to the general public containing this information.
3. This act shall take effect immediately upon the enactment of P.L. , c. (C. ) (pending before the Legislature as Assembly Bill No. 2818 of 2008/Senate Bill Nos. 1962, 1964, 1965, 1969, and 2077).
STATEMENT
This bill provides that the actuaries of the Public Employees' Retirement System (PERS) and the Teachers' Pension and Annuity Fund (TPAF) must prepare each year a calculation of the amount of money saved at the end of that year that can be attributed directly to Assembly Bill No. 2818 of 2008/Senate Bill Nos. 1962, 1964, 1965, 1969, and 2077, which is currently pending before the Legislature. The resultant savings, if any, would be calculated for each individual employer that contributes to the retirement system.
Each employer who contributes to one of the retirement systems would remit thereto the entire amount of the savings identified at the same time that it remits to the system its normal contribution amount and its accrued unfunded liability contribution amount.
