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Bill > S1129
NJ S1129
NJ S1129Permits municipalities and counties to issue bonds to fund buy-out of accumulated leave time in order to reduce future terminal leave expenses.
summary
Introduced
01/09/2024
01/09/2024
In Committee
01/09/2024
01/09/2024
Crossed Over
Passed
Dead
Introduced Session
2024-2025 Regular Session
Bill Summary
This bill would enable a municipality or county to borrow at low rates today to purchase accrued leave time that will be more expensive to convert to money upon the retirement of its officers and employees in the future. This is because if the compensation paid to officers or employees increases over time, then it will be more expensive to buy-out their accrued leave, which is calculated and paid at each officer or employee's final compensation rate.
AI Summary
This bill would enable municipalities and counties to issue bonds to fund the buy-out of accumulated leave time owed to their officers and employees. This is designed to reduce future terminal leave expenses, as the cost of converting accrued leave time to money upon retirement or termination may increase over time if employee compensation rises. The bill amends the existing law to explicitly authorize municipalities and counties to borrow funds for this purpose, as long as the cost of bonding is determined to be less than the anticipated future cost of paying out the accumulated leave time.
Committee Categories
Housing and Urban Affairs
Sponsors (1)
Last Action
Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee (on 01/09/2024)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/S1129 |
| BillText | https://pub.njleg.gov/Bills/2024/S1500/1129_I1.HTM |
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