ASSEMBLY LOCAL GOVERNMENT COMMITTEE

STATEMENT TO

ASSEMBLY, No. 1223

with committee amendments

STATE OF NEW JERSEY

DATED: DECEMBER 5, 1996

      The Assembly Local Government Committee reports favorably Assembly Bill No. 1223, with committee amendments.

      This bill, as amended by the committee, would permit, at the discretion of the municipal council, that a business administrator be given at least three months' notice or a minimum of three months' salary as a severance package prior to removal without good cause. The bill defines "good cause" as the conviction of a crime or offense involving moral turpitude, the violation of the provisions of section 17-14, 17-15, 17-16, 17-17, or 17-18 of P.L.1950, c.210 (C.40:69A-163 through 40:69A-167), or the violation of any code of ethics in effect within the municipality. This amendment would make the procedure for the removal of a business administrator similar to the removal of a municipal manager or municipal administrator.

      The committee amended the bill to make the mandatory language of the bill permissive so that the municipal council would have the discretion to offer a business administrator a severance package.

      This bill was prefiled for introduction in the 1996 session pending technical review. As reported, the bill includes the changes required by technical review which has been performed.