New Jersey Assembly Bill A4685

New Jersey 2022-2023 Regular Session

• Introduced: 9/29/22
• Refer: 9/29/22

Caption

Permits PERS retiree to return to elective public office after retirement under certain circumstances.

Impact

The bill's impact would modify existing state laws regarding the ability of retired public employees to serve in elected positions. By permitting them to do so without canceling their retirement benefits, the legislation seeks to encourage participation of seasoned professionals in local governance. However, it also raises questions regarding the implications for the retirement system's sustainability and how it interacts with long-standing policies against double-dipping into public funds. Additionally, the allowance of a $12,000 cap aims to limit potential financial exploitation of the system, ensuring that the primary purpose of retirement for public employees remains intact.

Summary

Assembly Bill A4685 allows members of the Public Employees' Retirement System (PERS) who have retired to return to an elective public office position with their former employer without losing their retirement allowance or needing to re-enroll in the retirement system. This can happen if the retiree meets certain conditions: they must have been granted a retirement allowance prior to or on the effective date of the bill, they need to have reached the service retirement age, and their compensation for the elective office cannot exceed $12,000 per year. This provision aims to offer a pathway for experienced individuals to re-enter public service while retaining their retirement benefits.

Contention

While the bill has the potential to enhance democracy by allowing retirees to contribute their experience and knowledge to public office, there has been pushback concerning the broader implications. Critics may argue that it opens the door to issues of equity and fairness, particularly for younger candidates seeking those same positions. There is also concern over how this might affect the integrity of the retirement system, with fears that it could incentivize individuals to retire earlier than necessary just to circumvent the implications of permanent retirement in favor of a temporary return to public office.