LEGISLATIVE FISCAL ESTIMATE

SENATE, No. 3780

STATE OF NEW JERSEY

219th LEGISLATURE

 

DATED: JUNE 21, 2021

 

 

SUMMARY

 

Synopsis:

Permits prosecutors to enroll in Prosecutors Part of PERS.

Type of Impact:

Expenditure increase for the State and counties.

Agencies Affected:

Division of Pensions and Benefits, Department of the Treasury; counties.

 

 

Office of Legislative Services Estimate

Fiscal Impact

Year 1 

Year 2 

Year 3 

 

State Cost Increase

Indeterminate

 

Local Cost Increase

Indeterminate

 

 

 

 

·         The Office of Legislative Services (OLS) concludes that this bill will result in an unfunded liability in the Public Employees’ Retirement System (PERS) payable by the State and counties as public employers because prosecutors will be given service credit in the Prosecutors Part without assessment of the full cost for such credit.  The employee contributions for and the retirement benefits in the Prosecutors Part are greater than those in the PERS.

 

BILL DESCRIPTION

 

      This bill allows prosecutors hired on or after May 21, 2010 to enroll in the Prosecutors Part of PERS which was originally established on January 7, 2002, but closed to new members on May 21, 2010.  Any service credit accrued in regular PERS as a prosecutor prior to the effective date of this bill would be established in the Prosecutors Part without further assessment of cost to the prosecutor.

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS concludes that this bill will result in an unfunded liability in the Public Employees’ Retirement System payable by the State and counties as public employers because prosecutors will be given service credit in the Prosecutors Part without assessment of the full cost for such credit.  The employee contributions for and the retirement benefits in the Prosecutors Part are greater than those in the PERS.

 

 

Section:

State Government

Analyst:

Aggie Szilagyi

Section Chief

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).