NJ S2584

Local government business administrators would become eligible for membership in the Public Employees' Retirement System (PERS) instead of the Defined Contribution Retirement Program (DCRP).

Business administrators currently in the DCRP must be enrolled in PERS within 90 days of the bill's effective date if they meet eligibility requirements, with written notification required within 15 days.

Transferred employees receive PERS service credit dating back to their original appointment as business administrator, and this service counts toward eligibility for employer-paid retiree health care benefits.

Retirement tier determination is based on the earlier of the employee's DCRP participation date or original PERS enrollment date, and DCRP account balances transfer directly to PERS as a trustee-to-trustee transfer.

The unfunded accrued liability resulting from these transfers will be calculated by the PERS actuary and amortized over 20 years.