(Sponsorship Updated As Of: 1/23/2025)
ASSEMBLY, No. 2507
STATE OF NEW JERSEY
221st LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION
Sponsored by:
Assemblyman JOHN ALLEN
District 32 (Hudson)
Assemblyman WAYNE P. DEANGELO
District 14 (Mercer and Middlesex)
Assemblywoman JESSICA RAMIREZ
District 32 (Hudson)
Co-Sponsored by:
Assemblymen Rodriguez, Marenco, Assemblywomen McCann Stamato,
Swift and Sumter
SYNOPSIS
Requires Administrative Law Judges to be enrolled in Workers
Compensation Judges Part of PERS.
CURRENT VERSION OF TEXT
As reported by the Assembly State and Local Government Committee with
technical review.
A2507 ALLEN, DEANGELO
2
EXPLANATION – Matter enclosed in bold-faced brackets [thus] in the above bill is
not enacted and is intended to be omitted in the law.
Matter underlined thus is new matter.
AN ACT concerning enrollment of Administrative Law Judges in the 1
Workers Compensation Judges Part of the Public Employees’ 2
Retirement System and amending P.L.2007, c.92, P.L.2001, 3
c.259, and P.L.1954, c.84. 4
5
BE IT ENACTED by the Senate and General Assembly of the State 6
of New Jersey: 7
8
1. Section 2 of P.L. 2007, c.92 (C.43:15C-2) is amended to 9
read as follows: 10
2. a. The following persons shall be eligible and shall 11
participate in the Defined Contribution Retirement Program: 12
(1) A person who commences service on or after the effective 13
date of this section of P.L.2007, c.92 (C.43:15C-1 et al.) in an 14
elective public office of this State or of a political subdivision 15
thereof, except that it shall not include a person who holds elective 16
public office on the effective date of this section and is enrolled in 17
the Public Employees' Retirement System while that person 18
continues to hold that elective public office or, for an elected 19
official specified in section 5 of P.L.2017, c.344 (C.43:15A-7.5), 20
another elective public office, without a break in service. Service in 21
the Legislature shall be considered a single elective public office. 22
(2) A person who commences service on or after the effective 23
date of this section in an employment, office or position of the State 24
or of a political subdivision thereof, or an agency, board, 25
commission, authority or instrumentality of the State or of a 26
subdivision, pursuant to an appointment by the Governor that 27
requires the advice and consent of the Senate, or pursuant to an 28
appointment by the Governor to serve at the pleasure of the 29
Governor only during his or her term of office. This paragraph 30
shall not be deemed to include a person otherwise eligible for 31
membership in the State Police Retirement System or the Judicial 32
Retirement System. This paragraph shall not include Workers' 33
Compensation Judges of the Division of Workers' Compensation in 34
the Department of Labor and Workforce Development or 35
Administrative Law Judges of the Office of Administrative Law 36
within the Department of State. This paragraph shall not include a 37
commissioner appointed to the New Jersey Maritime Pilot and 38
Docking Pilot Commission pursuant to R.S.12:8-1. 39
(3) A person who commences service on or after the effective 40
date of this section in an employment, office or position in a 41
political subdivision of the State, or an agency, board, commission, 42
authority or instrumentality of a subdivision, pursuant to an 43
appointment by an elected public official or elected governing 44
body, that requires the specific consent or approval of the elected 45
A2507 ALLEN, DEANGELO
3
governing body of the political subdivision that is substantially 1
similar in nature to the advice and consent of the Senate for 2
appointments by the Governor of the State as that similarity is 3
determined by the elected governing body and set forth in an 4
adopted ordinance or resolution, pursuant to guidelines or policy 5
that shall be established by the Local Finance Board in the 6
Department of Community Affairs or the Department of Education, 7
as appropriate to the elected governing body. This paragraph shall 8
not be deemed to include a person otherwise eligible for 9
membership in the Teachers' Pension and Annuity Fund or the 10
Police and Firemen's Retirement System, or a person who is 11
employed or appointed in the regular or normal course of 12
employment or appointment procedures and consented to or 13
approved in a general or routine manner appropriate for and 14
followed by the political subdivision, or the agency, board, 15
commission, authority or instrumentality of a subdivision, or a 16
person who holds a professional license or certificate to perform 17
and is performing as a certified health officer, tax assessor, tax 18
collector, municipal planner, chief financial officer, registered 19
municipal clerk, construction code official, licensed uniform 20
subcode inspector, qualified purchasing agent, or certified public 21
works manager. 22
(4) A person who is granted a pension or retirement allowance 23
under any pension fund or retirement system established under the 24
laws of this State and elects to participate pursuant to section 1 of 25
P.L.1977, c.171 (C.43:3C-3) upon being elected to public office. 26
(5) A member of the Teachers' Pension and Annuity Fund, 27
Police and Firemen's Retirement System, State Police Retirement 28
System, or the Public Employees' Retirement System for whom 29
compensation is defined as the amount of base or contractual salary 30
equivalent to the annual maximum wage contribution base for 31
Social Security, pursuant to the Federal Insurance Contributions 32
Act, for contribution and benefit purposes of those retirement 33
systems, for whom participation in this retirement program shall be 34
with regard to any excess over the maximum compensation only. 35
(6) A person in employment, office or position for which the 36
annual salary or remuneration is less, or the hours of work per week 37
are fewer, than that which is required to become a member of the 38
Teachers' Pension and Annuity Fund or the Public Employees' 39
Retirement System, or to make contributions to those systems as a 40
member on the basis of any such employment, office or position, 41
after November 1, 2008. 42
b. No person shall be eligible to participate in the retirement 43
program with respect to any public employment, office, or position 44
if: 45
(1) the base salary for that employment, office, or position is 46
less than $5,000 per year; 47
A2507 ALLEN, DEANGELO
4
(2) the person is, on the basis of service in that employment, 1
office, or position, eligible for membership or enrolled as a member 2
of another State or locally-administered pension fund or retirement 3
system established under the laws of this State including the 4
Alternate Benefit Program, except as otherwise specifically 5
provided in subsection a. of this section; 6
(3) the person is receiving a benefit as a retiree from any other 7
State or locally-administered pension fund or retirement system 8
established under the laws of this State, except as provided in 9
section 1 of P.L.1977, c.171 (C.43:3C-3); or 10
(4) the person is an officer or employee of a political 11
subdivision of this State or of a board of education, or of any 12
agency, authority or instrumentality thereof, who is ineligible for 13
membership in the Public Employees' Retirement System pursuant 14
to section 20 of P.L.2007, c.92 (C.43:15A-7.2). 15
c. A person eligible and required to participate in the 16
retirement program pursuant to paragraph (5) of subsection a. of 17
this section may elect to waive participation with regard to that 18
employment, office, or position by filing, when first eligible, on a 19
form required by the division, a written waiver with the Division of 20
Pensions and Benefits that waives all rights and benefits that would 21
otherwise be provided by the retirement program. Such a person 22
may thereafter elect to participate in the retirement program by 23
filing, on a form required by the division, a written election to 24
participate in the retirement program and participation in the 25
retirement program pursuant to such election shall commence on 26
the January 1 next following the filing of the election to participate. 27
d. Service credited to a participant in the Defined Contribution 28
Retirement Program shall not be recognized as service credit to 29
determine eligibility for employer-paid health care benefits in 30
retirement pursuant to P.L.1961, c.49 (C.52:14-17.25 et seq.), 31
N.J.S.40A:10-16 et seq., P.L.1979, c.391 (C.18A:16-12 et al.) or 32
any other law, rule or regulation. 33
(cf: P.L.2021, c.418, s.3) 34
35
2. Section 7 of P.L.1954, c.84 (C.43:15A-7) is amended to read 36
as follows: 37
7. There is hereby established the Public Employees' 38
Retirement System of New Jersey in the Division of Pensions and 39
Benefits of the Department of the Treasury. The membership of the 40
retirement system shall include: 41
a. The members of the former "State Employees' Retirement 42
System of New Jersey" enrolled as such as of December 30, 1954, 43
who shall not have claimed for refund their accumulated deductions 44
in said system as provided in this section; 45
b. Any person becoming an employee of the State or other 46
employer after January 2, 1955 and every veteran, other than a 47
retired member who returns to service pursuant to subsection b. of 48
A2507 ALLEN, DEANGELO
5
section 27 of P.L.1966, c.217 (C.43:15A-57.2) and other than those 1
whose appointments are seasonal, becoming an employee of the 2
State or other employer after such date, including a temporary 3
employee with at least one year's continuous service. The 4
membership of the retirement system shall not include those 5
persons appointed to serve as described in paragraphs (2) and (3) of 6
subsection a. of section 2 of P.L.2007, c.92 (C.43:15C-2), except a 7
person who was a member of the retirement system prior to the 8
effective date of sections 1 through 19 of P.L.2007, c.92 (C.43:15C-9
1 through C.43:15C-15, C.43:3C-9, C.43:15A-7, C.43:15A-75 and 10
C.43:15A-135) and continuously thereafter. The membership of the 11
retirement system shall include Workers' Compensation Judges of 12
the Division of Workers' Compensation in the Department of Labor 13
and Workforce Development and Administrative Law Judges of the 14
Office of Administrative Law within the Department of State; and 15
c. Every employee veteran in the employ of the State or other 16
employer on January 2, 1955, who is not a member of any 17
retirement system supported wholly or partly by the State. 18
d. Membership in the retirement system shall be optional for 19
elected officials other than veterans, and for school crossing guards, 20
who having become eligible for benefits under other pension 21
systems are so employed on a part-time basis. Elected officials 22
commencing service on or after the effective date of sections 1 23
through 19 of P.L.2007, c.92 (C.43:15C-1 through C.43:15C-15, 24
C.43:3C-9, C.43:15A-7 , C.43:15A-75 and C.43:15A-135) shall not 25
be eligible for membership in the retirement system based on 26
service in the elective public office, except that an elected official 27
enrolled in the retirement system as of that effective date who 28
continues to hold that elective public office or, for an elected 29
official specified in section 5 of P.L.2017, c.344 (C.43:15A-7.5), 30
another elective public office, without a break in service shall be 31
eligible to continue membership in the retirement system under the 32
terms and conditions of enrollment. Service in the Legislature shall 33
be considered a single elective public office. Any part-time school 34
crossing guard who is eligible for benefits under any other pension 35
system and who was hired as a part-time school crossing guard 36
prior to March 4, 1976, may at any time terminate his membership 37
in the retirement system by making an application in writing to the 38
board of trustees of the retirement system. Upon receiving such 39
application, the board of trustees shall terminate his enrollment in 40
the system and direct the employer to cease accepting contributions 41
from the member or deducting from the compensation paid to the 42
member. State employees who become members of any other 43
retirement system supported wholly or partly by the State as a 44
condition of employment shall not be eligible for membership in 45
this retirement system. Notwithstanding any other law to the 46
contrary, all other persons accepting employment in the service of 47
A2507 ALLEN, DEANGELO
6
the State shall be required to enroll in the retirement system as a 1
condition of their employment, regardless of age. 2
(1) Before or on November 1, 2008, no person in employment, 3
office or position, for which the annual salary or remuneration is 4
fixed at less than $1,500.00, shall be eligible to become a member 5
of the retirement system. 6
(2) After November 1, 2008, a person who was a member of the 7
retirement system on that date and continuously thereafter shall be 8
eligible to be a member of the retirement system in employment, 9
office or position, for which the annual salary or remuneration is 10
fixed at $1,500 or more. 11
(3) After November 1, 2008 and before or on the effective date 12
of P.L.2010, c.1, a person who was not a member of the retirement 13
system on November 1, 2008, or who was a member of the 14
retirement system on that date but not continuously thereafter, and 15
who is in employment, office or position, for which the annual 16
salary or remuneration is certified by the applicable public entity at 17
$7,500 or more, shall be eligible to become a member of the 18
retirement system. The $7,500 minimum annual salary or 19
remuneration amount shall be adjusted annually by the Director of 20
the Division of Pensions and Benefits, by regulation, in accordance 21
with changes in the Consumer Price Index but by no more than 4 22
percent. "Consumer Price Index" means the average of the annual 23
increase, expressed as a percentage, in the consumer price index for 24
all urban consumers in the New York City and Philadelphia 25
metropolitan statistical areas during the preceding calendar year as 26
reported by the United States Department of Labor. 27
(4) After the effective date of P.L.2010, c.1, no person in an 28
employment, office or position of the State, or an agency, board, 29
commission, authority or instrumentality of the State, for which the 30
hours of work are fixed at fewer than 35 per week shall be eligible 31
to become a member of the retirement system; and no person in 32
employment, office or position with a political subdivision of the 33
State, or an agency, board, commission, authority or instrumentality 34
of a political subdivision of the State, for which the hours of work 35
are fixed by an ordinance or resolution of the political subdivision, 36
or agency, board, commission, authority or instrumentality thereof, 37
at fewer than 32 per week shall be eligible to become a member of 38
the retirement system. Any hour or part thereof, during which the 39
person does not work due to the person's participation in a 40
voluntary or mandatory furlough program shall not be deducted in 41
determining if a person's hours of work are fixed at fewer than 35 or 42
32 per week, as appropriate, for the purpose of eligibility and the 43
person's service credit as a member of the system or fund shall 44
include the period of mandatory or voluntary furlough provided the 45
person continues to make contributions based on the person's base 46
salary or compensation. If the pay of a furloughed person is 47
insufficient to withhold the entirety of the person's regular 48
A2507 ALLEN, DEANGELO
7
contributions, then the person shall remit the entirety of the regular 1
contribution which was not withheld from the person's pay to the 2
Division of Pensions and Benefits in the Department of the 3
Treasury in a manner determined by the division, except that no 4
deduction for the payment of such contributions shall be made from 5
the unemployment compensation benefits of the employee. 6
e. Membership of any person in the retirement system shall 7
cease if he shall discontinue his service for more than two 8
consecutive years. 9
f. The accumulated deductions of the members of the former 10
"State Employees' Retirement System" which have been set aside in 11
a trust fund designated as Fund A as provided in section 5 of this 12
act and which have not been claimed for refund prior to February 1, 13
1955 shall be transferred from said Fund A to the Annuity Savings 14
Fund of the Retirement System, provided for in section 25 of this 15
act. Each member whose accumulated deductions are so transferred 16
shall receive the same prior service credit, pension credit, and 17
membership credit in the retirement system as he previously had in 18
the former "State Employees' Retirement System" and shall have 19
such accumulated deductions credited to his individual account in 20
the Annuity Savings Fund. Any outstanding obligations of such 21
member shall be continued. 22
g. Any school crossing guard electing to terminate his 23
membership in the retirement system pursuant to subsection d. of 24
this section shall, upon his request, receive a refund of his 25
accumulated deductions as of the date of his appointment to the 26
position of school crossing guard. Such refund of contributions 27
shall serve as a waiver of all benefits payable to the employee, to 28
his dependent or dependents, or to any of his beneficiaries under the 29
retirement system. 30
h. A temporary employee who is employed under the federal 31
Workforce Investment Act shall not be eligible for membership in 32
the system. Membership for temporary employees employed under 33
the federal Job Training Partnership Act, Pub.L.97-300 (29 34
U.S.C.s.1501) who are in the system on September 19, 1986 shall 35
be terminated, and affected employees shall receive a refund of 36
their accumulated deductions as of the date of commencement of 37
employment in a federal Job Training Partnership Act program. 38
Such refund of contributions shall serve as a waiver of all benefits 39
payable to the employee, to his dependent or dependents, or to any 40
of his beneficiaries under the retirement system. 41
i. Membership in the retirement system shall be optional for a 42
special service employee who is employed under the federal Older 43
American Community Service Employment Act, Pub.L.94-135 (42 44
U.S.C.s.3056). Any special service employee employed under the 45
federal Older American Community Service Employment Act, 46
Pub.L.94-135 (42 U.S.C.s.3056), who is in the retirement system on 47
the effective date of P.L.1996, c.139 may terminate membership in 48
A2507 ALLEN, DEANGELO
8
the retirement system by making an application in writing to the 1
board of trustees of the retirement system. Upon receiving the 2
application, the board shall terminate enrollment in the system and 3
the member shall receive a refund of accumulated deductions as of 4
the date of commencement of employment in a federal Older 5
American Community Service Employment Act program. This 6
refund of contributions shall serve as a waiver of all benefits 7
payable to the employee, to any dependent or dependents, or to any 8
beneficiary under the retirement system. 9
j. An employee of the South Jersey Port Corporation who was 10
employed by the South Jersey Port Corporation as of the effective 11
date of P.L.1997, c.150 (C.34:1B-144 et al.) and who shall be re-12
employed within 365 days of such effective date by a subsidiary 13
corporation or other corporation, which has been established by the 14
Delaware River Port Authority pursuant to subdivision (m) of 15
Article I of the compact creating the Delaware River Port Authority 16
(R.S.32:3-2), as defined in section 3 of P.L.1997, c.150 (C.34:1B-17
146), shall be eligible to continue membership while an employee 18
of such subsidiary or other corporation. 19
k. An employee of a renaissance school project established 20
pursuant to P.L.2011, c.176 (C.18A:36C-1 et seq.) upon 21
commencement of employment. 22
l. Every commissioner appointed to the New Jersey Maritime 23
Pilot and Docking Pilot Commission pursuant to R.S.12:8-1. 24
(cf: P.L.2021, c.418, s.2) 25
26
3. Section 1 of P.L.2001, c.259 (C.43:15A-142) is amended to 27
read as follows: 28
1. As used in this act, P.L.2001, c.259 (C.43:15A-142 et seq.): 29
“Administrative law judges” means the Director and Chief 30
administrative law judge, assignment judges, supervisory judges, 31
and administrative law judges of the Office of Administrative Law 32
within the Department of State. 33
"Aggregate public service" includes service as a workers 34
compensation or administrative law judge and in an office, position, 35
or employment of this State or of a county, municipality, board of 36
education, or public agency of this State. 37
"Beneficiary" means any person entitled to receive any benefit 38
pursuant to the provisions of this act by reason of the death of a 39
member or retirant. 40
"Child" means a deceased member's or retirant's unmarried child 41
who is (a) under the age of 18; (b) of any age who, at the time of the 42
member's or retirant's death, is disabled because of an intellectual 43
disability or physical incapacity, is unable to do any substantial, 44
gainful work because of the impairment, and the impairment has 45
lasted or can be expected to last for a continuous period of not less 46
than 12 months, as affirmed by the medical board; or (c) under the 47
age of 21 and is attending school full time. 48
A2507 ALLEN, DEANGELO
9
"Final salary" means the annual salary received by the member at 1
the time of retirement or death. 2
"Retirant" means any former member receiving a pension or 3
retirement allowance as provided by this act. 4
"Widow" means the woman to whom a member was married at 5
least four years before the date of his death and to whom he 6
continued to be married until the date of his death. The eligibility 7
of a widow to receive a survivor's benefit shall be considered 8
terminated by the marriage of the widow subsequent to the 9
member's or the retirant's death. In the event of accidental death, 10
the four-year qualification shall be waived. When used in this act, 11
the term "widow" shall mean and include "widower" as may be 12
necessary and appropriate to the particular situation. 13
"Widower" means the man to whom a member was married at 14
least four years before the date of her death and to whom she 15
continued to be married until the date of her death. The eligibility 16
of a widower to receive a survivor's benefit shall be considered 17
terminated by the marriage of the widower subsequent to the 18
member's or the retirant's death. In the event of accidental death, 19
the four-year qualification shall be waived. 20
"Workers compensation judges" means the Chief Judges, 21
administrative supervisory judges, supervisory judges and judges of 22
compensation of the Division of Workers' Compensation of the 23
Department of Labor and Workforce Development. 24
(cf: P.L.2010, c.50, s.72) 25
26
4. Section 2 of P.L.2001, c.259 (C.43:15A-143) is amended to 27
read as follows: 28
2. a. Notwithstanding the provisions of any other law, workers 29
compensation judges and administrative law judges shall be 30
members of the Workers Compensation and Administrative Law 31
Judges Part, established pursuant to this act, P.L.2001, c.259 32
(C.43:15A-142 et seq.), as amended by P.L. , c. (pending before the 33
Legislature as this bill), of the Public Employees' Retirement 34
System, established pursuant to P.L.1954, c.84 (C.43:15A-1 et 35
seq.), and shall be subject to the same membership and benefit 36
provisions as State employees, except as provided by P.L.2001, 37
c.259. Membership in the retirement system shall be a condition of 38
employment for service as a judge of compensation or 39
administrative law judge. 40
b. A Workers' Compensation Judge of the Division of Workers' 41
Compensation in the Department of Labor and Workforce 42
Development who is a participant in the Defined Contribution 43
Retirement Program, established pursuant to P.L.2007, c.92 44
(C.43:15C-1 et seq.), on the effective date of P.L.2021, c.140 shall 45
be transferred and enrolled in the Workers' Compensation Judges 46
Part of the Public Employees' Retirement System within 90 days 47
following that effective date. An Administrative Law Judge of the 48
A2507 ALLEN, DEANGELO
10
Office of Administrative Law within the Department of State who is 1
a participant in the Defined Contribution Retirement Program, 2
established pursuant to P.L.2007, c.92 (C.43:15C-1 et seq.), on the 3
effective date of P.L. , c. (pending before the Legislature as this 4
bill) shall be transferred and enrolled in the Workers’ Compensation 5
and Administrative Law Judges Part of the Public Employees’ 6
Retirement System within 90 days following the effective date of 7
P.L. , c. (pending before the Legislature as this bill). An 8
Administrative Law Judge of the Office of Administrative Law 9
within the Department of State who is a participant in the Public 10
Employees’ Retirement System, established pursuant to P.L.1954, 11
c. 84 (C.43:15A-1 et seq.) shall be transferred and enrolled in the 12
Workers’ Compensation and Administrative Law Judges Part of the 13
Public Employees’ Retirement System within 90 days following the 14
effective date of P.L. , c. (pending before the Legislature as this 15
bill). The account in the Defined Contribution Retirement Program 16
or the Public Employees' Retirement Program for each judge 17
transferred and enrolled shall be transferred to the Workers' 18
Compensation and Administrative Law Judges Part of the Public 19
Employees' Retirement System and each judge shall be given 20
service credit in the Workers' Compensation and Administrative 21
Law Judges Part of the Public Employees' Retirement System for 22
service starting on the judge's date of appointment. The unfunded 23
liability for the benefits provided by the transfer and enrollment of 24
such judges of compensation shall be paid by transfers from the 25
Second Injury Fund as provided by section 13 of P.L.2001, c.259 26
(C.43:15A-154) to the Workers' Compensation Judges Part of the 27
Public Employees' Retirement System. The unfunded liability for 28
the benefits provided by the transfer and enrollment of such 29
administrative law judges shall be paid by appropriations from the 30
State General Fund. 31
Service credit transferred from a participant in the Defined 32
Contribution Retirement Program under this subsection shall be 33
recognized as service credit to determine eligibility for employer-34
paid health care benefits in retirement pursuant to P.L.1961, c.49 35
(C.52:14-17.25 et seq.), or any other law, rule or regulation. 36
The actuary for the Public Employees' Retirement System shall 37
determine the unfunded accrued liability resulting from the transfer 38
and coverage of judges under this subsection [a. of this section] in 39
the same manner provided for the determination of the unfunded 40
accrued liability of the retirement system by section 24 of P.L.1954, 41
c.84 (C.43:15A-24). This unfunded accrued liability shall be 42
amortized in the manner provided by section 24 over an 43
amortization period of 20 years. Accrued liability and normal 44
contributions for workers compensation judges shall be paid by 45
transfers from the Second Injury Fund as provided by subsection j. 46
of R.S.34:15-94. The Commissioner of Labor and Workforce 47
Development may, with the authorization of and appropriation by 48
A2507 ALLEN, DEANGELO
11
the Legislature, pay the unfunded accrued liability for workers 1
compensation judges in a lump sum or over a period of time shorter 2
than 20 years. Accrued liability and normal contributions for 3
administrative law judges shall be paid by appropriations from the 4
State General Fund. 5
c. The value of the account of a workers' compensation judge 6
or administrative law judge who is transferred out of the program 7
shall be transferred from the Defined Contribution Retirement 8
Program to the Public Employees' Retirement System in accordance 9
with the relevant provisions of the federal Internal Revenue Code 10
and Internal Revenue Service guidance as a direct trustee-to-trustee 11
transfer. The transfer shall be in accordance with a rule, method, or 12
process that shall not result in the transfer being deemed a 13
distribution includible in federal gross income for the workers' 14
compensation judge or administrative law judge. 15
d. A workers compensation judge who retired on or after May 16
20, 2021 and an administrative law judge who retired on or after the 17
first day of the month preceding the effective date of P.L. , c. 18
(pending before the Legislature as this bill) and who was not 19
transferred and enrolled pursuant to this subsection shall be 20
retroactively transferred and enrolled in the Workers Compensation 21
and Administrative Law Judges Part of the Public Employees' 22
Retirement System pursuant to this section and the retirement 23
allowance calculated and paid from the date of retirement based on 24
that enrollment in Workers Compensation and Administrative Law 25
Judges Part of the Public Employees' Retirement System, provided 26
the retiree complies with any terms and conditions for that transfer, 27
enrollment, and calculation as required by the Division of Pensions 28
and Benefits and the board of trustees of the Public Employees' 29
Retirement System. The retroactive provision in this subsection 30
shall only apply to those workers compensation and administrative 31
law judges who have not received a distribution from the judge's 32
Defined Contribution Retirement Program account. 33
(cf: P.L.2021, c.140, s.3) 34
35
5. Section 3 of P.L.2001, c.259 (C.43:15A-144) is amended to 36
read as follows: 37
3. a. Notwithstanding the provisions of section 25 of P.L.1954, 38
c.84 (C.43:15A-25) to the contrary, a separate account shall be 39
established in the annuity savings fund for each workers 40
compensation and administrative law judge and all contributions 41
based on the judge's salary shall be credited to this account. This 42
account shall be separate from any other account that the member 43
may have as a result of other public service covered by the 44
retirement system. 45
b. A workers compensation judge and administrative law judge 46
shall contribute at a rate equal to 5% of the judge's salary, which 47
contribution shall be deducted from the salary at the time or times it 48
A2507 ALLEN, DEANGELO
12
is paid, and which shall be exclusive of any other contribution 1
required of the member for Social Security, contributory death 2
benefits or deductions for any other purpose. The contribution rate 3
shall be 5.5% of the judge's salary effective with the payroll period 4
for which the beginning date is closest to July 1, 2007. The 5
contribution rate shall be 6.5% of the judge's salary on and after the 6
effective date of P.L.2011, c.78, with an additional contribution of 7
1% to be phased in in equal increments over a period of seven years 8
commencing with the first year following that effective date. 9
c. A workers compensation judge or administrative law judge 10
who is enrolled on the basis of other public service before, during, 11
or after service as a judge [of compensation] shall contribute for 12
such other service at the rate of contribution required of other 13
members as provided by section 25. 14
(cf: P.L.2011, c.78, s.13) 15
16
6. Section 4 of P.L.2001, c.259 (C.43:15A-145) is amended to 17
read as follows: 18
4. a. Any workers compensation judge or administrative law 19
judge who has reached the age of 70 years shall be retired forthwith 20
on the first day of the next calendar month. Any other eligible 21
workers compensation or administrative law judge judge may be 22
retired on the first day of the next calendar month subsequent to the 23
filing of a written and duly executed application with the retirement 24
system. [Such] In the case of a workers compensation judge, such 25
application shall be accompanied by a copy of the member's 26
resignation which has been filed in the office of the Director of the 27
Division of Workers' Compensation. In the case of an 28
administrative law judge, such application shall be accompanied by 29
a copy of the member’s resignation which has been filed in the 30
office of the Director of the Office of Administrative Law. 31
b. Notwithstanding the provisions of subsection a. of this 32
section or any other law to the contrary, a workers compensation 33
judge who is 60 years of age or older on the effective date of 34
P.L.1999, c.380 shall be permitted to continue service as a judge 35
until attaining 10 years of service credit under the Workers 36
Compensation and Administrative Law Judges Part of the 37
retirement system. Notwithstanding the provisions of subsection a. 38
of this section, or any other law to the contrary, an administrative 39
law judge who is 60 years of age or older on the effective date of 40
P.L. , c. (pending before the Legislature as this bill) shall be 41
permitted to continue service as a judge until attaining 10 years of 42
service credit under the Workers Compensation and Administrative 43
Law Judges Part of the retirement system. 44
(cf: P.L.2001, c.259, s.4) 45
46
7. Section 5 of P.L.2001, c.259 (C.43:15A-146) is amended to 47
read as follows: 48
A2507 ALLEN, DEANGELO
13
5. Any workers compensation or administrative law judge 1
judge who has served at least 10 years as a judge of compensation 2
or administrative law judge and attained the age of 70 years shall be 3
retired and shall receive the retirement allowance prescribed by this 4
section. 5
Any workers compensation judge or administrative law judge 6
who has served at least 15 years as a judge of compensation or 7
administrative law judge and attained the age of 65 years, or served 8
at least 20 years as a judge of compensation or administrative law 9
judge and attained the age of 60 years, may retire and receive the 10
retirement allowance prescribed by this section. The retirement 11
allowance shall consist of an annuity that shall be the actuarial 12
equivalent of the member's accumulated deductions together with 13
regular interest, and a pension that, when added to the member's 14
annuity, shall provide a retirement allowance during the remainder 15
of the member's life in the amount equal to three-quarters of the 16
member's final salary. 17
(cf: P.L.2001, c.259, s.5) 18
19
8. Section 6 of P.L.2001, c.259 (C.43:15A-147) is amended to 20
read as follows: 21
6. Any workers compensation judge or administrative law 22
judge who has: 23
a. served at least five years successively as a judge of 24
compensation or administrative law judge and attained the age of 65 25
years or more while serving in such office and has served at least 15 26
years of aggregate public service, or 27
b. served at least five years successively as a judge of 28
compensation or administrative law judge and attained the age of 60 29
years or more while serving in such office and has served at least 20 30
years of aggregate public service, may retire and receive the 31
retirement allowance prescribed by this section. The retirement 32
allowance shall consist of an annuity that shall be the actuarial 33
equivalent of the member's accumulated deductions together with 34
regular interest, and a pension that, when added to the member's 35
annuity, shall provide a retirement allowance during the remainder 36
of the member's life in an amount equal to one-half of the member's 37
final salary. 38
(cf: P.L.2001, c.259, s.6) 39
40
9. Section 7 of P.L.2001, c.259 (C.43:15A-148) is amended to 41
read as follows: 42
7. Any workers compensation judge or administrative law 43
judge who has served at least five years successively as a judge of 44
compensation or administrative law judge and at least 25 years of 45
aggregate public service, and who resigns or is not reappointed 46
before reaching age 60, may elect "early" retirement, provided, that 47
such election is communicated by the member to the retirement 48
A2507 ALLEN, DEANGELO
14
system by filing a written application, duly attested, stating at what 1
time subsequent to the execution and filing thereof the member 2
desires to be retired. Any member of the retirement system, eligible 3
to retire under the provisions of this section, shall receive a 4
retirement allowance consisting of an annuity which shall be the 5
actuarial equivalent of the member's accumulated deductions 6
together with regular interest, and a pension which, when added to 7
the member's annuity, shall provide a retirement allowance during 8
the remainder of the member's life in the amount of 2% of the 9
member's final salary multiplied by the number of years of service 10
up to 25 plus 1% of the member's final salary multiplied by the 11
number of years of service over 25. Such retirement allowance 12
shall be reduced in accordance with a table of actuarial equivalents 13
recommended by the actuary and adopted by the retirement system 14
reflecting all months that the member lacks of being age 60. The 15
board of trustees shall retire the member at the time specified or at 16
such other time within one month after the date so specified as the 17
board finds advisable. 18
(cf: P.L.2001, c.259, s.7) 19
20
10. Section 8 of P.L.2001, c.259 (C.43:15A-149) is amended to 21
read as follows: 22
8. Any workers compensation judge or administrative law 23
judge who has served at least five years successively as a judge of 24
compensation or administrative law judge and at least 10 years of 25
aggregate public service, and who resigns or is not reappointed 26
before reaching age 60, and not by removal for cause on charges of 27
misconduct or delinquency, may elect to receive: 28
a. all of the member's accumulated deductions standing to the 29
credit of the member's individual account in the annuity savings 30
fund as provided under subsection a. of section 41 of P.L.1954, c.84 31
(C.43:15A-41), or 32
b. a deferred retirement allowance, beginning on the first day 33
of the month following the member's attainment of age 60 and the 34
filing of an application therefor, which shall consist of an annuity 35
derived from the accumulated deductions standing to the credit of 36
the member's account in the annuity savings fund at the time of 37
severance from service together with regular interest, and a pension 38
which, when added to the annuity, shall produce a retirement 39
allowance in the amount of 2% of the member's final salary 40
multiplied by the number of years of service up to 25 plus 1% of the 41
member's final salary multiplied by the number of years of service 42
over 25, provided that such inactive member may elect to receive 43
payments provided under section 7 of this act, P.L.2001, c.259 44
(C.43:15A-148), if the member had qualified under that section at 45
the time of leaving service, except that in order to avail the member 46
of the option, the member shall exercise such option at least one 47
month before the effective date of retirement. 48
A2507 ALLEN, DEANGELO
15
If such inactive member shall die after attaining age 60 but 1
before filing an application for retirement benefits pursuant to this 2
section or section 7 of this act and for which benefits the member 3
would have qualified, or in the event of death after retirement, there 4
shall be paid to such member's beneficiary the death benefits 5
prescribed by section 10 of this act. 6
No beneficiary shall be eligible for a pension or survivor's 7
benefit if the member who elected to receive a deferred pension 8
shall die before attaining age 60. Upon receipt of the proper proofs 9
of death, the beneficiary of a member who elects to receive a 10
deferred retirement allowance shall be paid the member's 11
accumulated deductions at the time of death together with regular 12
interest. 13
Any member who, having elected to receive a deferred pension 14
or deferred retirement allowance, again becomes a member while 15
under the age of 60, shall thereupon be reenrolled. The member 16
shall be credited with all service as a member standing to the 17
member's credit at the time of the member's election to receive a 18
deferred pension or deferred retirement allowance. 19
(cf: P.L.2001, c.259, s.8) 20
21
11. Section 9 of P.L.2001, c.259 (C.43:15A-150) is amended to 22
read as follows: 23
9. a. Upon the receipt of proper proofs of the death in active 24
service of a workers compensation or administrative law judge 25
member of the retirement system, there shall be paid to the 26
member's widow a survivor's benefit of 25% of final salary for the 27
use of the widow, to continue during widowhood, plus 10% of final 28
salary payable to one surviving child or plus 15% of final salary to 29
two or more surviving children; if there is no surviving widow or in 30
case the widow dies or remarries, 15% of final salary shall be 31
payable to one surviving child, 20% of final salary to two surviving 32
children in equal shares and if there are three or more children, 30% 33
of final salary shall be payable to such children in equal shares. If 34
there is no surviving widow or child, 20% of final salary shall be 35
payable to one surviving parent or 30% of final salary shall be 36
payable to two surviving parents in equal shares. 37
b. In addition to the benefits payable under subsection a. of this 38
section, there shall also be paid in one sum to the member's 39
beneficiary an amount equal to one and one-half times the final 40
salary received by the member. 41
(cf: P.L.2001, c.259, s.9) 42
43
12. Section 10 of P.L.2001, c.259 (C.43:15A-151) is amended to 44
read as follows: 45
10. a. Upon the receipt of proper proofs of the death of a 46
workers compensation judge or administrative law judge who has 47
retired on a pension or retirement allowance based on age and 48
A2507 ALLEN, DEANGELO
16
service, or pursuant to section 7 of this act, P.L.2001, c.259 1
(C.43:15A-148), there shall be paid to the member's beneficiary, an 2
amount equal to one-fourth of the final salary received by the 3
member. 4
b. Upon the receipt of proper proofs of the death of a member 5
who has retired on a disability pension or retirement allowance, 6
there shall be paid to the member's beneficiary, an amount equal to 7
one and one-half times the final salary received by the member if 8
such death occurs before the member shall have attained 60 years of 9
age but if such death occurs thereafter, an amount equal to one-10
fourth of the final salary received by the member. 11
(cf: P.L.2001, c.259, s.10) 12
13
13. Section 11 of P.L.2001, c.259 (C.43:15A-152) is amended to 14
read as follows: 15
11. a. Any workers compensation judge or administrative law 16
judge who wishes to receive credit for previous service as a judge 17
of compensation or administrative law judge or in an office, 18
position, or employment of this State or of a county, municipality, 19
board of education, or public agency of this State, shall file an 20
application therefor with the board of trustees and pay into the 21
annuity savings fund the amount required by applying the factor, 22
supplied by the actuary, as being applicable to the judge's age at 23
the time of purchase and the type of service to be purchased, to the 24
member's salary at that time. Such purchase may be made in 25
regular installments, equal to at least one-half the full normal 26
contribution to the retirement system over a maximum period to be 27
determined by the board of trustees. 28
In the case of any judge coming under the provisions of this 29
section, full pension credit for the period of employment for which 30
arrears are being paid shall be given upon the payment of at least 31
one-half the total arrearage obligation and the completion of one 32
year of membership and the making of such arrears payments, 33
except that in the case of retirement, the total membership credit for 34
such service shall be in direct proportion as the amount paid bears 35
to the total amount of arrearage obligation. 36
b. The State shall pay to the retirement system the employer's 37
accrued liability obligation on behalf of such judge purchasing prior 38
service credit. 39
(cf: P.L.2001, c.259, s.11) 40
41
14. Section 12 of P.L.2001, c.259 (C.43:15A-153) is amended to 42
read as follows: 43
12. a. A workers compensation judge or administrative law 44
judge making contributions pursuant to the provisions of this act, 45
P.L.2001, c.259 (C.43:15A-142 et seq.), and who is not eligible for 46
any benefits under the Workers Compensation and Administrative 47
Law Judges Part, may, upon termination of such service as a judge 48
A2507 ALLEN, DEANGELO
17
of compensation or administrative law judge, elect to receive the 1
return of the judge's accumulated contributions in accordance with 2
the provisions of subsection a. of section 41 of P.L.1954, c.84 (C. 3
43:15A-41). If a workers compensation judge or administrative law 4
judge is a member of the retirement system on the basis of other 5
public service, no application for a return of contributions shall be 6
approved until the judge has terminated all service covered by the 7
system and makes application for a return of all contributions made 8
to the retirement system. If all or any part of a member's service as 9
a workers compensation judge or administrative law judge is 10
applied toward qualifying for benefits under any other provision of 11
P.L.1954, c.84 to which this act, P.L.2001, c.259 (C.43:15A-142 et 12
seq.), is a supplement, no return of contributions made on the basis 13
of the workers compensation judge or administrative law judge 14
salary shall be approved, and in that event, service established as a 15
workers compensation judge or administrative law judge and salary 16
pertaining thereto shall be credited in the same manner as all other 17
service and salary covered by the retirement system. 18
b. At the time of retirement, a member enrolled on the basis of 19
service as a judge of compensation or administrative law judge as 20
well as other public service shall be permitted to elect the largest 21
possible retirement allowance, if the member qualifies for benefits 22
under both the provisions of this act and the act to which this is a 23
supplement. An application for a return of contributions made on 24
the basis of such other public service not used for the calculation of 25
a retirement allowance or to qualify for State payment for health 26
care benefits in retirement may be approved. 27
c. A workers compensation judge or administrative law judge 28
electing to receive a retirement allowance under the Workers 29
Compensation and Administrative Law Judges Part shall be 30
ineligible to receive a retirement allowance or pension for the same 31
service under any other law of the State. 32
(cf: P.L.2001, c.259, s.12) 33
34
15. Section 13 of P.L.2001, c.259 (C.43:15A-154) is amended to 35
read as follows: 36
13. The actuary for the Public Employees' Retirement System 37
shall determine the unfunded accrued liability for the Workers 38
Compensation and Administrative Law Judges Part of the 39
retirement system and the benefits provided for workers 40
compensation and administrative law judges under that part in the 41
same manner provided for the determination of the unfunded 42
accrued liability of the retirement system by section 24 of P.L.1954, 43
c.84 (C.43:15A-24). This unfunded accrued liability shall be 44
amortized in the manner provided by section 24 over an 45
amortization period of 30 years. Accrued liability and normal 46
contributions for workers compensation judges shall be paid by 47
transfers from the Second Injury Fund as provided by subsection j. 48
A2507 ALLEN, DEANGELO
18
of R.S.34:15-94. The Commissioner of Labor may, with the 1
authorization of and appropriation by the Legislature, pay this 2
unfunded accrued liability in a lump sum or over a period of time 3
shorter than 30 years. Accrued liability and normal contributions for 4
administrative law judges shall be paid by appropriations from the 5
State General Fund. 6
(cf: P.L.2001, c.259, s.13) 7
8
16. This act shall take effect immediately. 9