[Passed Both Houses]
SENATE, No. 1328
STATE OF NEW JERSEY
INTRODUCED JUNE 13, 1996
By Senator DiFRANCESCO and Assemblywoman Allen
An Act concerning the enrollment of members and employees of the Council on Local Mandates in the Public Employees' Retirement System and amending P.L.1996, c.24.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 10 of P.L.1996, c.24 (C.52:13H-10) is amended to read as follows:
10. The council shall establish, and revise from time to time, a plan for its organization and may incur expenses within the limits of funds available to it. The council may adopt rules governing its procedures. The council shall employ, pursuant to Title 11A of the New Jersey Statutes, such clerical and secretarial staff as it deems necessary. In addition, each member of the council may employ one professional employee who shall directly serve the member for a period not to exceed one year. Upon completion of one year of service a professional employee shall not again be employed in that capacity by any member of the council. Professional employees of the council shall be deemed confidential employees for purposes of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.). Employees and members of the council shall be enrolled in the Public Employees' Retirement System, except that no person who has been granted a pension or retirement allowance for any cause other than vesting or deferred retirement under any pension fund or retirement system established under any law of this State prior to commencing service as an employee or member of the council shall be eligible on the basis of that service for enrollment or membership in the Public Employees' Retirement System. The council may employ legal counsel, on a temporary basis, to represent it in any proceeding to which it is a party. The council may contract for the services of other professional, technical and operational personnel and consultants as may be necessary for the performance of its responsibilities under this act. Nothing contained in this section shall be construed as authorizing the council to employ an executive director, director, or other permanent employee, other than permanent secretarial or clerical personnel.
(cf: P.L.1996, c.24, s.10)
2. This act shall take effect immediately.
STATEMENT
This bill amends a provision of the law establishing the Council on Local Mandates that requires employees and members of the Council to be enrolled in the Public Employees' Retirement System (PERS).
The statute governing the PERS provides that, if anyone receiving a PERS retirement allowance (other than for disability) "becomes employed again in a position which makes him eligible to be a member of the retirement system," the person is to be re-enrolled in the system and the retirement allowance is to be "cancelled" until the person again retires. N.J.S.A.43:15A-57.2. This provision could hamper recruitment to the Council of PERS retirants with extensive experience in public administration and finance, municipal law, and other subject areas likely to be implicated in matters addressed by the Council.
In addition, the 1968 statute (N.J.S.A.43:3C-1) governing pensioners in public employment provides that, if a former member of a New Jersey public pension system receiving a pension or retirement allowance "becomes employed again in a position which makes him eligible to be a member of another [such public] pension fund or retirement system", that person is not to be enrolled in the latter fund or system.
Accordingly, the bill provides that no person who has been granted a retirement allowance by any New Jersey public pension fund prior to commencing service as a employee or member of the council shall be eligible on the basis of that service for enrollment or membership in that retirement system.
Provides that retirant from a New Jersey public pension fund appointed as employee or member of Council on Local Mandates shall not be enrolled in PERS on basis of such service.