There’s a new effort underway in Trenton to reopen New Jersey’s pension system to politicians.
State Sen. Joe Cryan (D-Union) introduced legislation Monday that would allow politicians who held pensionable public jobs before they were elected to a public office to re-enroll in the system from which they‘ve been barred for almost 14 years.
The bill, introduced in the midst of the lame duck session, would partially reverse a pension reform law enacted during former Gov. Jon Corzine’s administration. Under that law, officials elected after July 1, 2007, were not enrolled in the Public Employees Retirement System (PERS), but shifted instead to a less-generous retirement plan similar to a 401(k).
State Treasurer Elizabeth Maher Muoio announced that the Treasury Department today kicked off the start of the new fiscal year by paying the full state-funded portion of the $6.9 billion pension contribution slated for Fiscal Year 2022 (FY 2022). This marks the first time in more than 25 years that New Jersey is making the full Actuarially Determined Contribution to the Pension Fund, plus an additional $505 million contribution, and also the first time in years that the state has made a lump sum payment, rather than quarterly payments.
The Treasurer also announced that by making the contribution in one lump sum, the State is now expected to save taxpayers roughly $2.2 billion over 30 years, rather than the $1.5 billion in savings initially anticipated if the state had made quarterly pension payments this year.
Publication Date: 1 July 2021
Publication Site: Dept of the Treasury, New Jersey state
I am researching what counties been paying into the New Jersey Retirement System for their Public Employees (PERS) and Police and Fire Personnel (PFRS) since Union County has been budgeting more than they were billed but the 2021 budgets for 7 of the 21 counties are not out yet so that project is on hold.
But in going over the history of what Union County has been sending to PERS and PFRS since 2005 (which presumably would be in line with other localities) there have been some politically motivated swings but, bottom line, Union County’s ‘fair share’ is now defined as 25 times more than what it was in 2005 for PERS and 8 times more for PFRS.
S3522, which could mean unions will need to expand their corral of bought politicians to those who would control the local part of the New Jersey Public Employee Retirement System (PERS), was introduced yesterday in the legislature apparently to the surprise of a Senate committee that rejected it, according to Politico.