Bill Text: NJ A635 | 2010-2011 | Regular Session | Introduced
Bill Title: Permits elected officials and legislators with simultaneous PERS-covered elected office or employment to choose only one position for receipt of PERS credit.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2010-01-12 - Introduced, Referred to Assembly State Government Committee [A635 Detail]
Download: New_Jersey-2010-A635-Introduced.html
STATE OF NEW JERSEY
214th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2010 SESSION
Sponsored by:
Assemblyman PAUL D. MORIARTY
District 4 (Camden and Gloucester)
SYNOPSIS
Permits elected officials and legislators with simultaneous PERS-covered elected office or employment to choose only one position for receipt of PERS credit.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel
An Act concerning elected official's membership in the Public Employees' Retirement System of New Jersey and amending P.L.1954, c.84 and P.L.1972, c.167.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 7 of P.L.1954, c.84 (C.43:15A-7) is amended to read as follows:
7. There is hereby established the Public Employees' Retirement System of New Jersey in the Division of Pensions and Benefits of the Department of the Treasury. The membership of the retirement system shall include:
a. The members of the former "State Employees' Retirement System of New Jersey" enrolled as such as of December 30, 1954, who shall not have claimed for refund their accumulated deductions in said system as provided in this section;
b. Any person becoming an employee of the State or other employer after January 2, 1955 and every veteran, other than a retired member who returns to service pursuant to subsection b. of section 27 of P.L.1966, c.217 (C.43:15A-57.2) and other than those whose appointments are seasonal, becoming an employee of the State or other employer after such date, including a temporary employee with at least one year's continuous service; and
c. Every employee veteran in the employ of the State or other employer on January 2, 1955, who is not a member of any retirement system supported wholly or partly by the State.
d. Membership in the
retirement system shall be optional for [elected
officials other than veterans, and for]
school crossing guards, who having become eligible for benefits under other
pension systems are so employed on a part-time basis. Any such part-time
school crossing guard who is eligible for benefits under any other pension
system and who was hired as a part-time school crossing guard prior to March 4,
1976, may at any time terminate his membership in the retirement system by
making an application in writing to the board of trustees of the retirement
system. Upon receiving such application, the board of trustees shall terminate
his enrollment in the system and direct the employer to cease accepting
contributions from the member or deducting from the compensation paid to the
member. State employees who become members of any other retirement system
supported wholly or partly by the State as a condition of employment shall not
be eligible for membership in this retirement system. Notwithstanding any
other law to the contrary, all other persons accepting employment in the
service of
the State shall be required to enroll in the retirement system as a condition
of their employment, regardless of age. No person in employment, office or
position, for which the annual salary or remuneration is fixed at less than
$1,500.00, shall be eligible to become a member of the retirement system.
e. Membership of any person in the retirement system shall cease if he shall discontinue his service for more than two consecutive years.
f. The accumulated deductions of the members of the former "State Employees' Retirement System" which have been set aside in a trust fund designated as Fund A as provided in section 5 of this act and which have not been claimed for refund prior to February 1, 1955 shall be transferred from said Fund A to the Annuity Savings Fund of the Retirement System, provided for in section 25 of this act. Each member whose accumulated deductions are so transferred shall receive the same prior service credit, pension credit, and membership credit in the retirement system as he previously had in the former "State Employees' Retirement System" and shall have such accumulated deductions credited to his individual account in the Annuity Savings Fund. Any outstanding obligations of such member shall be continued.
g. Any school crossing guard electing to terminate his membership in the retirement system pursuant to subsection d. of this section shall, upon his request, receive a refund of his accumulated deductions as of the date of his appointment to the position of school crossing guard. Such refund of contributions shall serve as a waiver of all benefits payable to the employee, to his dependent or dependents, or to any of his beneficiaries under the retirement system.
h. A temporary employee who is employed under the federal Job Training Partnership Act, Pub.L.97-300 (29 U.S.C. s.1501) shall not be eligible for membership in the system. Membership for temporary employees employed under the federal Job Training Partnership Act, Pub.L.97-300 (29 U.S.C. s.1501) who are in the system on September 19, 1986 shall be terminated, and affected employees shall receive a refund of their accumulated deductions as of the date of commencement of employment in a federal Job Training Partnership Act program. Such refund of contributions shall serve as a waiver of all benefits payable to the employee, to his dependent or dependents, or to any of his beneficiaries under the retirement system.
i. Membership in the retirement system shall be optional for a special service employee who is employed under the federal Older American Community Service Employment Act, Pub.L.94-135 (42 U.S.C. s.3056). Any special service employee employed under the federal Older American Community Service Employment Act, Pub.L.94-135 (42 U.S.C. s.3056), who is in the retirement system on the effective date of P.L.1996, c.139 may terminate membership in the retirement system by making an application in writing to the board of trustees of the retirement system. Upon receiving the application, the board shall terminate enrollment in the system and the member shall receive a refund of accumulated deductions as of the date of commencement of employment in a federal Older American Community Service Employment Act program. This refund of contributions shall serve as a waiver of all benefits payable to the employee, to any dependent or dependents, or to any beneficiary under the retirement system.
j. An employee of the South Jersey Port Corporation who was employed by the South Jersey Port Corporation as of the effective date of P.L.1997, c.150 (C.34:1B-144 et al.) and who shall be re-employed within 365 days of such effective date by a subsidiary corporation or other corporation, which has been established by the Delaware River Port Authority pursuant to subdivision (m) of Article I of the compact creating the Delaware River Port Authority (R.S.32:3-2), as defined in section 3 of P.L.1997, c.150 (C.34:1B-146), shall be eligible to continue membership while an employee of such subsidiary or other corporation.
k. Membership in the retirement system shall be optional for elected officials other than members of the Legislature, except that an elected official or a member of the Legislature who is simultaneously eligible to be a member of the retirement system on the basis of service in another elected office or employment with the State or an employer other than the State, may choose to be a member of the retirement system on the basis of only: (1) service in the Legislature; (2) service in one elected office; or (3) employment with the State or one employer other than the State.
(cf: P.L.1997, c.150, s.23)
2. Section 1 of P.L.1972, c.167 (C.43:15A-135) is amended to read as follows:
1. [Notwithstanding the provisions of P.L.1954, c.84, s.7d (C.43:15A-7d), all] All members of the Legislature shall become members of the retirement system, subject to all benefits and requirements of membership; except that a member of the Legislature who is simultaneously eligible to be a member of the retirement system on the basis of service in another elected office or employment with an employer other than the State, may choose to be a member of the retirement system on the basis of only: (1) service in the Legislature; (2) service in one elected office; or (3) employment with one employer other than the State.
(cf: P.L.1972, c.167, s.1)
3. This act shall take effect immediately.
STATEMENT
This bill would allow any elected official or a member of the Legislature who is eligible for membership in the Public Employees' Retirement System (PERS) on the basis of multiple elected offices or employment positions to choose only one of those positions as the basis for PERS membership.
Under current law, PERS membership is mandatory for elected officials who are veterans or who are already members of PERS. Currently, Legislators are required to be members of PERS on the basis of service in the Legislature. Legislators who are also PERS members through service in other elected offices or positions now receive PERS credit for their legislative service as well as for the other qualifying positions.
