SENATE STATE MANAGEMENT, INVESTMENT AND FINANCIAL INSTITUTIONS COMMITTEE

STATEMENT TO

SENATE, No. 119

with committee amendments

STATE OF NEW JERSEY

DATED: NOVEMBER 25, 1996

      The Senate State Management, Investment and Financial Institutions Committee reports favorably and with committee amendments Senate Bill No. 119.

      Existing law provides that a beneficiary under the Teachers' Pension and Annuity Fund (TPAF) and the Public Employees' Retirement System (PERS) may request the Division of Pensions and Benefits to make deductions from the beneficiary's retirement allowance or pension for the payment of premiums for a group health insurance plan or the State Health Benefits Program. This bill would permit deductions for the payment of premiums for a group dental insurance plan.

      An unamended version of this bill, S-672 of last session, was not approved by the Pension and Health Benefits Review Commission.

      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.

COMMITTEE AMENDMENTS

      The committee amended the bill to:

      (1) permit deductions from the retirement allowance or pension of a PERS beneficiary for the payment of premiums for a group dental insurance plan; and

      (2) remove the provision that a TPAF beneficiary may request that the Division of Pensions and Benefits make deductions for the purpose of paying dues to a bona fide professional organization.