Bill
Bill > S980
NJ S980
NJ S980Provides for payment of balance of salary to municipal administrator to be withheld if removed immediately for "good cause."
summary
Introduced
01/13/2026
01/13/2026
In Committee
01/13/2026
01/13/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This bill amends N.J.S.40A:9-138 and provides that in the case of immediate removal of a municipal administrator by means of a resolution passed by at least two-thirds of the governing body, any unpaid balance of the administrator's salary, and the administrator's salary for the next three calendar months may be withheld following adoption of the resolution provided that the municipal administrator was removed for "good cause." This bill defines "good cause" as an accusation of a crime or offense involving moral turpitude or the violation of any code of ethics in effect within the municipality. This bill also amends P.L.1981, c.465 and defines "good cause" as an accusation of a crime or offense involving moral turpitude, the violation of the provisions of section 17-14, 17-15, 17-16, 17-17 or 17-18 of P.L. 1950, c. 210 (C. 40:69A-163 through 40:69A-167), or the violation of any code of ethics in effect within the municipality. In the event of immediate removal of the municipal administrator this bill provides that payment shall be made when a court of competent jurisdiction renders its final adjudication and finds that no crime or offense was committed. If the act upon which removal for good cause is based does not warrant intervention by the court, payment shall only be made following a finding of no wrongdoing issued as the result of an investigation by a competent and disinterested party.
AI Summary
This bill modifies existing New Jersey law regarding the removal of municipal administrators, specifically concerning the payment of their salaries when removed for "good cause." Previously, if a municipal administrator was removed immediately by a two-thirds vote of the governing body, their remaining salary and three additional months of salary were to be paid unless removed for "good cause." This bill clarifies that "good cause" includes being accused of a crime involving moral turpitude or violating a municipal code of ethics. If an administrator is removed for such "good cause," their salary payments will be withheld unless a court ultimately finds them not guilty of the crime or offense, or if an investigation by a competent and impartial party determines there was no wrongdoing when court intervention isn't warranted. This change applies to administrators removed under both N.J.S.40A:9-138 and P.L.1981, c.465, with the latter also specifying violations of certain sections related to municipal government structure as grounds for "good cause."
Committee Categories
Housing and Urban Affairs
Sponsors (1)
Last Action
Introduced in the Senate, Referred to Senate Community and Urban Affairs Committee (on 01/13/2026)
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/2026/S980 |
| BillText | https://pub.njleg.gov/Bills/2026/S1000/980_I1.HTM |
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