ASSEMBLY, No. 1844
STATE OF NEW JERSEY
INTRODUCED MAY 2, 1996
By Assemblyman GARCIA
An Act concerning the purchase of credit in the Police and Firemen's Retirement System and supplementing P.L.1944, c.255 (C.43:16A-1 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. A member of the Police and Firemen's Retirement System may file a statement of previous service performing public safety functions for a municipality as a Class Two special law enforcement officer pursuant to P.L.1985, c.439 (C.40A:14-146.8 et seq.) for which the member desires to purchase credit, and such other facts which the retirement system may require. The member may purchase credit for all or a portion of the service evidenced in the statement. No application shall be accepted for the purchase of credit for the service if, at the time of application, the member has a vested right to retirement benefits in another retirement system based in whole or in part upon that service.
The member may purchase credit for the service by paying into the annuity savings fund the amount required by applying the factor, supplied by the actuary as being applicable to the member's age at the time of the purchase, to the member's salary at that time, or to the highest annual compensation for service in this State for which contributions were made during any prior fiscal year of membership, whichever is greater. The purchase may be made in regular installments equal to at least 1/2 of the full normal contribution to the retirement system, over a maximum period of 10 years. The member shall pay the full cost of the additional retirement benefit attributable to the purchased credit. The employer of a member who applies to purchase credit shall not be liable for any payment to the retirement system on behalf of the member.
Any member electing to purchase the service who retires prior to completing payments as agreed with the retirement system will receive pro rata credit for service purchased prior to the date of retirement, but if the member so elects at the time of retirement, the member may make the additional lump sum payment required at that time to provide full credit.
2. This act shall take effect immediately.
STATEMENT
This bill provides that a member of the Police and Firemen's Retirement System (PFRS) may purchase credit for all or a portion of previous service performing public safety functions for a municipality as a Class Two special law enforcement officer. Special law enforcement officers are those persons who temporarily or intermittently perform duties similar to those performed regularly by members of a municipal police force, or who provide assistance to a police force during unusual or emergency circumstances or at individual times or during regular seasonal periods in resort municipalities. They usually cannot be employed for more than 20 hours per week. A Class Two officer is authorized to exercise full powers and duties similar to those of a permanent, regularly appointed full-time police officer. The use of a firearm by a Class Two officer may be authorized only after the officer has been fully certified as successfully completing training as prescribed by the Police Training Commission in the Department of Law and Public Safety.
The bill provides that a PFRS member may purchase credit for the service by paying into the annuity savings fund the amount required by applying the factor, supplied by the actuary as being applicable to the member's age at the time of the purchase, to the member's salary at that time, or to the highest annual compensation for service in this State for which contributions were made during any prior fiscal year of membership, whichever is greater. The purchase may be made in regular installments equal to at least 1/2 of the full normal contribution to the retirement system, over a maximum period of 10 years. The member shall pay the full cost of the additional retirement benefit attributable to the purchased credit. The employer of a member who applies to purchase credit shall not be liable for any payment to the retirement system on behalf of the member.
Allows PFRS member to purchase credit for service as a Class Two special law enforcement officer.