SENATE BUDGET AND APPROPRIATIONS COMMITTEE

STATEMENT TO

[Second Reprint]

ASSEMBLY, No. 1451

with Senate committee amendments

STATE OF NEW JERSEY

DATED: DECEMBER 16, 1996

      The Senate Budget and Appropriations Committee reports favorably Assembly Bill No. 1451 (2R) with amendments.

      As amended, Assembly Bill No. 1451 (2R) provides that all persons employed on the date on which the bill takes effect as law as inspectors by the Alcoholic Beverage Control Enforcement Bureau, members of the State Capitol Police Force, and as marine law enforcement officers in the Bureau of Marine Law Enforcement may become members of the Division of State Police and the State Police Retirement System (SPRS), provided they meet certain requirements. The requirements are that the inspector, member, or officer must (1) be between 18 and 55 years of age, (2) satisfy the health and physical fitness standards applicable to members of the State Police, and (3) have rendered performance as an inspector, member, or officer that demonstrates to the satisfaction of the Superintendent of State Police the character and ability to perform the duties of a member of the State Police. These persons would become members of the State Police, with all the powers, rights, privileges and benefits of State Police officers.

       An alcoholic beverage control inspector, State Capitol Police Force member, or marine law enforcement officer who does not become a member of the Division of State Police and elects to continue employment with the Department of Law and Public Safety or with another principal department shall be transferred without loss of salary or pension to the position of investigator or any other position deemed appropriate and shall continue membership in the Police and Firemen's Retirement System (PFRS).

      In the Alcoholic Beverage Control Enforcement Bureau, the specific positions covered by this legislation are those of supervising inspector, principal inspector, senior inspector, and inspector recruit. In the Bureau of Marine Law Enforcement, the specific positions covered are those of principal marine law enforcement officer, senior marine law enforcement officer, and marine law enforcement officer.

      A person eligible under the bill to become a member of the State Police shall be appointed for a period of two years. Upon satisfactory completion of that two years' service, the person shall serve as a State Police member continuously thereafter during good behavior.

      For purposes of determining seniority of service, a person becoming a member of the State Police under the bill shall be deemed to have been hired on the date on which the bill takes effect as law. The person's salary shall be fixed by the State Police Superintendent at an amount approximately equivalent to the person's final salary in the prior position, less any "maintenance allowance" to be allowed the person as a member of the State Police. The person's rank shall also be assigned by the superintendent based on the individual's salary, qualifications and duties.

      For persons becoming members of the State Police under the bill, their service credit in the Public Employees' Retirement System (PERS) or the Police and Firemen's Retirement System (PFRS) as an alcoholic beverage control inspector, State Capitol Police Force member, or marine law enforcement officer shall be transferred to the SPRS.

      PFRS and PERS shall remit to SPRS employee and employer contributions standing to the credit of a transferred inspector, member or officer. If the transferred contributions are insufficient to fund the SPRS liability created by the transfer of service credit, the employer (i.e., the State) shall be liable for the amount of the deficiency.

      The Division of State Police estimates that 162 persons (24 ABC inspectors, 134 Marine Police officers and 4 State Capitol police officers) would be eligible to transfer to the Division of State Police. The division estimates that 115, or approximately 70 percent, of these persons would qualify to transfer based on recent medical examinations and a review of each eligible person's age.

       As amended and reported, this bill is identical to Senate Bill No. 669 (1R) of 1996 (Cafiero/Bryant) as amended and reported by this committee on December 16, 1996.

COMMITTEE AMENDMENTS

      The committee amended the bill to insert a provision to prohibit the permanent closure of any marine police station currently in operation as a direct or indirect result or consequence of the implementation of this bill.

FISCAL IMPACT

      In a fiscal estimate prepared by the Office of Legislative Services (OLS), the OLS estimates the first-year (net) cost of this bill at approximately $787,636. This estimate includes $287,118 in additional salary and equipment costs, plus $835,181 in additional pension costs, less $334,663 in reduced employer Social Security contributions.