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 starting from their original appointment date, and their DCRP service time counts toward eligibility for employer-paid retiree health care benefits.

Retirement tier determination will be based on the earlier of the employee's DCRP participation date or original PERS enrollment date.

The unfunded accrued liability from transferring business administrators to PERS will be amortized over 20 years, with account values transferred directly from DCRP to PERS in accordance with IRS rules.