Provides service credit for PERS member for former membership in transit retirement program.
Impact
The implementation of S2018 would significantly affect the retirement benefits of a specific group of public employees in New Jersey, especially those who have been part of both the PERS and the TERP. By allowing these employees to accumulate additional service credits, the bill aims to recognize their service and contributions to public transportation. However, it necessitates the transfer of funds from the TERP to ensure that the service credits are valid, which could involve complex financial logistics between the two retirement systems. Also, this could help improve the overall morale and retention rates among public transportation employees as they see their years of service more fairly acknowledged.
Summary
Senate Bill S2018 aims to amend the Public Employees' Retirement System (PERS) regulations in New Jersey by providing service credits to certain members who previously participated in the Transit Employees' Retirement Program (TERP). Specifically, this bill allows members of PERS who were also part of TERP before July 30, 2006, to receive one year of service credit in the PERS for every 3.5 years of service they accrued in the TERP, provided that the necessary funds from TERP are transferred into the PERS. This is intended to enhance retirement benefits for eligible employees who have transitioned between these retirement programs.
Contention
While the purpose of S2018 is to provide equitable retirement benefits, there may be points of contention regarding the funding and fiscal implications of this bill. The requirement for transferring funds could raise concerns about the financial stability of both the PERS and the TERP. Additionally, potential critics of the bill might argue that granting new service credits could set a precedent for further alterations in retirement benefits that could have wider implications for the state's budget. Overall, discussions surrounding the bill are likely to revolve around balancing employee benefits with fiscal responsibility.
Makes local government business administrators eligible for memberships in PERS; provides for transfer of business administrators from participation in Defined Contribution Retirement Program to membership in PERS.
Makes local government business administrators eligible for memberships in PERS; provides for transfer of business administrators from participation in Defined Contribution Retirement Program to membership in PERS.
Extends membership in TPAF to four years after discontinuance of service and to 20 years for those who were laid off or had 10 or more years of continuous service upon voluntary termination.
Extends membership in TPAF to four years after discontinuance of service and to 20 years for those who were laid off or had 10 or more years of continuous service upon voluntary termination.
Extends membership in TPAF to four years after discontinuance of service and to 20 years for those who were laid off or had 10 or more years of continuous service upon voluntary termination.
Extends membership in TPAF to 10 years after discontinuance of service and to 15 years for those who were laid off or had 10 or more years of continuous service upon voluntary termination.
Extends membership in TPAF to 10 years after discontinuance of service and to 15 years for those who were laid off or had 10 or more years of continuous service upon voluntary termination.
Voluntary tax contributions: California Firefighters’ Memorial Voluntary Tax Contribution Fund: California Peace Officer Memorial Foundation Voluntary Tax Contribution Fund.
Personal income taxes: voluntary contributions: California Breast Cancer Research Voluntary Tax Contribution Fund and California Cancer Research Voluntary Tax Contribution Fund.