ASSEMBLY RESOLUTION No. 185

STATE OF NEW JERSEY

218th LEGISLATURE

 

INTRODUCED SEPTEMBER 17, 2018

 


 

Sponsored by:

Assemblyman  RONALD S. DANCER

District 12 (Burlington, Middlesex, Monmouth and Ocean)

 

 

 

 

SYNOPSIS

     Disapproves actions of Rutgers, the State University, in making excessive payouts to certain departing administrators, officials, and coaches.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Assembly Resolution disapproving of the actions of Rutgers, the State University, in making excessive payouts to departing employees.

 

Whereas, In recent years, Rutgers, the State University, has engaged in a troubling pattern of making excessive payouts in the form of settlements, buyouts, and sabbatical pay to certain departing employees; and

Whereas, In July 2018, it was announced that Debasish Dutta, the chancellor of the Rutgers New Brunswick campus, had abruptly resigned from his position and would continue to be paid his $480,000 salary to take a year-long sabbatical; and

Whereas, Debasish Dutta had served as chancellor for only one year at the time of his sudden resignation over conflicting views with the university concerning its leadership structure; and

Whereas, The exorbitant sabbatical payment that Rutgers will make to the former chancellor is the latest example in a series of excessive payouts made by the public university over the last several years; and

Whereas, In 2010, Rutgers agreed to pay basketball coach Fred Hill Jr. $825,000 under a separation agreement after the coach had engaged in a profanity-laced tirade during a game; and

whereas, In 2013, Rutgers fired basketball coach Mike Rice after news emerged of the coach physically and verbally abusing players during practices.  Despite the egregious behavior underlying the dismissal, the university agreed to pay the former coach $475,000 after weeks of negotiations; and

Whereas, Following Mike Rice’s termination, athletic director Tim Pernetti agreed to resign in exchange for a buyout in which Rutgers would pay him more than $1.2 million; and

Whereas, After Rutgers fired athletic director Julie Hermann in 2015, the university paid the former director $1.66 million under a contract buyout and settlement, an amount that includes approximately $500,000 more than the university was contractually obligated to pay upon her termination; and

Whereas, Also in 2015, Rutgers terminated football coach Kyle Flood and is paying the former coach $1.4 million under a contract buyout; and

Whereas, In total, as a result of these and other high-profile payouts, Rutgers has agreed to pay more than $11.5 million over the last ten years in buyouts, settlements, and sabbatical payments to top administrators, athletic officials, and coaches; and

Whereas, As a publicly-funded institution, the excessive payouts made by Rutgers University are contrary to the interests of the hard-working taxpayers of this State and the students who attend the university; and

Whereas, Such exorbitant payouts are fiscally irresponsible and represent an abuse of public funds, taxpayer dollars, and State resources; now, therefore,

 

     Be It Resolved by the General Assembly of the State of New Jersey:

 

     1.    This House expresses its disapproval of the actions of Rutgers, the State University, in engaging in a series of excessive buyouts, settlements, and sabbatical payments to certain departing administrators, athletic officials, and coaches over the last several years.

 

     2.    Copies of this resolution, as filed with the Secretary of State, shall be transmitted by the Clerk of the General Assembly to the president of Rutgers, the State University, each member of the Rutgers University Board of Governors, and each member of the Rutgers University Board of Trustees.

 

 

STATEMENT

 

     This resolution disapproves of the actions of Rutgers, the State University, in engaging in a series of excessive buyouts, settlements, and sabbatical payments to certain departing administrators, athletic officials, and coaches over the last several years.  For example, in 2013, Rutgers University agreed to pay basketball coach Mike Rice $475,000 after firing him for physically and verbally abusing players during practices.  In 2015, Rutgers agreed to pay athletic director Julie Hermann $1.66 million under a contract buyout and settlement after the university terminated her employment.  Most recently, in July 2018, it was announced that Debasish Dutta, the chancellor of the Rutgers New Brunswick campus, had abruptly resigned and, despite only serving in the position for one year, he will continue to be paid his $480,000 salary by the university to take a year-long sabbatical.  In total, over the last several years, Rutgers has agreed to pay more than $11.5 million in buyouts, settlements, and sabbatical payments to top administrators, athletic officials, and coaches. This pattern of excessive payouts by a publicly-funded institution is contrary to the interests of the hard-working taxpayers of this State and the students who attend the university.  The payouts are fiscally irresponsible and are an abuse of public funds, taxpayer dollars, and State resources.