SUBCHAPTER
1. ADMINISTRATION
17:2-1.1
Board meetings
(a)
The Board of Trustees shall meet on the third Wednesday of each
month or at such other time as may be deemed necessary by the
board Board.
(b)
No meeting will be held in the month of August unless it is deemed
necessary by the chairman or the secretary.
(c)(b)
The chairman chairperson may call for special meetings
when necessary.
17:2-1.3
Officers and committees
(a)
The members of the board Board shall elect a
chairman chairperson and vice chairman chairperson,
a representative to the State Investment Council, and the Pension
System Actuary Committee from its membership for the forthcoming
year at its regular meeting held in July.
(b)
The chairman chairperson of the Board shall
preside at all of its meetings, or in the absence of the chairman
chairperson, the vice chairman chairperson
shall assume the chairman's chairperson's responsibilities.
(c)
The chairman chairperson and the secretary
Secretary of the board Board shall have the
power to act for the board Board in any matter which
may be referred to them by the Board of Trustees.
(d)
There shall be three standing committees, which are the finance
committee, the retirement committee, and the executive committee.
The committees shall be appointed by the chairman chairperson
at the July meeting for the forthcoming fiscal year.
(e)
The finance committee shall review all investment transactions
and financial reports referred to it by the secretary Secretary
for presentation to the board Board at its regular
monthly meetings. The committee shall consist of five members,
three of whom shall be elected members of the Board.
(f)
The retirement committee shall consider all cases referred to
it by the secretary Secretary and submit its recommendations
to the board Board at its next meeting. The committee
shall consist of three members.
(g)
The executive committee shall consider all cases referred to it
by the secretary Secretary and submit its recommendations
to the board Board at its next meeting. The committee
shall consist of three members.
17:2-1.5
Certifying agent Officer (employer)
(a)
The Chief Fiscal Officer or other officer duly designated via
resolution of each county, municipality or public agency and the
personnel officer of the Division, Bureau or Institution of the
State locations shall serve as the certifying agent Certifying
Officer for that unit.
(b)
The Certifying agent Officer shall be responsible
for the duties described by N.J.S.A. 43:15A-67 and Section 80
and any other section which refers to the Department head.
(c)
The Certifying agent Officer shall also be responsible
for all other duties relating to matters concerning the System.
(d)
Upon the request of the Board, the Certifying Officer shall be
required to sign a statement, verifying that any information reported
is accurate to the best of the Officer's knowledge, and conforms
with the statutes and rules governing the retirement system.
17:2-1.6
Records
(a)-(b)
(No change.)
(c)
The designations of beneficiaries of all active and retired members
are considered to be a part of the member's confidential files
and shall only be released after the member's death.
(c)(d)
All medical testimony obtained in connection with an application
for disability retirement shall be restricted for the confidential
use of the Board of Trustees. The Division shall release a
copy of the examining physician's medical report to the member,
the member's attorney or any person authorized by the member in
writing to receive a copy of such report. In no event shall the
report be released to any individual not authorized in writing
to receive the report.
17:2-1.7
Appeal from Board decisions
The
following statement shall be incorporated in every written notice
setting forth the Board's determination in a matter where such
determination is contrary to the claim made by the claimant or
his the claimant's legal representative:
"If
you disagree with the determination of the Board of Trustees in
this matter, you may appeal by sending a written statement to
the Board within 45 days from the date of this letter informing
the Board of your disagreement and all of the reasons therefor.
In no such written statement is received within the 45-day period,
this determination shall be considered final."
'(a)
If you disagree with the determination of the Board, you may appeal
by submitting a written statement to the Board within 45 days
after the date of written notice of the determination. The statement
shall set forth in detail the reasons for your disagreement with
the Board's determination and shall include any relevant documentation
supporting your claim. If no such written statement is received
within the 45-day period, the determination by the Board shall
be final.
(b)
The Board shall determine whether to grant an administrative hearing
based upon the standards for a contested case hearing set forth
in the Administrative Procedure Act, N.J.S.A. 52:14B-1 et seq.,
and the Uniform Administrative Procedure Rules, N.J.A.C. 1:1-1
et seq.
(c)
Administrative hearings shall be conducted by the Office of Administrative
Law pursuant to the provisions of N.J.S.A. 52:14B-1 et seq. and
N.J.A.C. 1:1-1.
(d)
If the granted appeal involves solely a question of law, the Board
may retain the matter and issue a final determination which shall
include detailed findings of fact and conclusions of law based
upon the documents, submissions and legal arguments of the parties.
The Board's final determination may be appealed to the Superior
Court, Appellate Division.
(e)
If the granted appeal involves a question of facts, the Board
shall submit the matter to the Office of Administrative Law.'
17:2-1.8
Suspension of pension checks
The disbursement
of pension checks shall be suspended under the following circumstances
and such suspensions shall continue during the period in default:
1.
(No change.)
2.
If a disability retirant under age 60 fails to timely
file a report with the System of his annual earned
income;
3.-4.
(No change.)
17:2-1.10
Travel (Reserved)
Travel
to and from work when it is to and from the regular place of employment
is not considered duty rendered in the course of employment for
the purpose of determining eligibility for accidental disability
or accidental death benefits.
17:2-1.11
Proof of age
(a)
All members may be required to shall establish
proof of their age with the System. A person enrolling at
age 45 or older may be required to submit evidence at time of
enrollment; under age 45, before a period of five years has
elapsed from date of employment.
Acceptable
proofs of age include birth or baptismal certificates,
passports,
naturalization papers, Biblical records, affidavits of older
members of the immediate family or primary school records.
(b)
In the event a member dies before satisfactory evidence of
his the member's date of birth has been filed with
the System, appropriate evidence may shall be
required before any death claim is processed for settlement.
(c)
(No change.)
17:2-1.12
State employees State Employees; biweekly salaries
(a)
Retirement and death benefits as well as service credit will
be determined on the basis of biweekly pay periods for
State employees paid by centralized payroll whose
employers report salary and contributions on a biweekly basis.
This biweekly schedule should conform to the biweekly reporting
schedule issued by the State's Centralized Payroll Office.
(b)
In the event a member is reported on a combination of monthly
and biweekly pay periods, his the member's last
year's salary or final compensation as well as his the
member's service credit will be computed on a proportional
basis.
17:2-1.13
Nearest attained age; enrollment; retirement
(a)
An individual Members who is are
six months or more past his or her their most
recent birthdate at the time of his or her enrollment
or retirement will have his or her their
pension contribution rate and retirement factor based upon the
their age on his
or
her their next birthday.
(b)
Retired members and survivors will have their benefits calculated
upon the basis of the factors applicable to their age as set
forth in (a) above.
(b)
A flat five percent pension rate of contribution was enacted
by P.L. 1994, c.62 for all employees enrolled on or after July
1, 1994. For members enrolled prior to July 1, 1994 whose previous
full rate of contributions was six percent or more, the five
percent contribution rate became effective on July 1, 1995.
For members enrolled prior to July 1, 1994 whose previous full
rate of contributions was less than six percent, their rate
of contributions became four percent on July 1, 1995 and then
five percent on July 1, 1996.
SUBCHAPTER
2. ENROLLMENT
17:2-2.1
Social Security coverage
(a)
(No change.)
(b)
In the case of multiple employments (dual enrollments),
Social Security coverage is prescribed required
in each position or employment for each to be qualified
qualify for membership.
17:2-2.2
Multiple employments
(a)
Any employee who has enrolled in a covered position must also
enroll in any other position regardless of his or her
the employee's employment status in such other position
if he or she the employee's meets the salary and
Social Security qualifications for enrollment. However, if an
employee who is ineligible for
membership
later accepts an additional position which makes him or her
the employee eligible for membership in that second position,
his or her the employee's ineligibility for membership
in the earlier position is not altered by his or her
the employee's enrollment in the Public Employees' Retirement
System.
(b)
An elected official must also enroll on the basis of such office
if he or she the elected official is enrolled
or is enrolling on the basis of other public employment. If
the elected official was employed in the optional position first,
the enrollment date for the optional position is established
as the effective date of enrollment of the position which required
the elected official to establish membership in the retirement
system. If the individual has already established membership
in the retirement system, the effective date of enrollment of
the optional employment is established as the date of hire.
(c)
A LEO member who is also enrolled on the basis of a non-LEO
position will contribute at the LEO rate of pension contribution
on the base wages he or she receives from all positions.
17:2-2.4
Enrollment date
A new
appointee New employees in the classified service
shall be considered as beginning his or her their
service on the date of his or her their regular
appointments. The compulsory enrollment date shall
be
1.
For employers who report on a monthly basis, the compulsory
enrollment date shall be fixed as the first of the month
for an appointee employee whose regular appointment
date falls between the first through the 16th of the month
and the compulsory enrollment date shall be fixed as the
first of the following month for an appointee employee
whose regular appointment date falls between the 17th and
the end of the month.
2.
For employers who report on a biweekly basis, the compulsory
enrollment date shall be fixed as the first day of the pay
period for an employee whose appointment date falls on the
first through seventh day of the biweekly pay period. The
compulsory enrollment date shall be fixed as the first day
of the following biweekly pay period for an employee whose
appointment date falls on any subsequent date within that
pay period.
(b)
If an applicant employee is, an
optional enrollee, fails to give the date of his or her
enrollment application that he or she desires to enroll
in the system, the applicant employee
shall be enrolled as of the first of the month for those
whose employers report on a monthly basis or the first day
of the next biweekly pay period for those whose employers
report on a biweekly basis following the receipt of
the enrollment application.
(b)(c)
An employee in the unclassified service or an elected position
shall be considered as beginning service on the date of
his the original appointment, or the date
when he the employee assumed duties of the
elective office, as the case may be.
1.
(No change.)
2.
The date of compulsory enrollment For employers
who report on a monthly basis, the compulsory enrollment
date shall be fixed as the first of the month for an
appointee employee whose beginning employment
date falls between the first through 16th of the month and
the compulsory enrollment date shall be fixed as the first
of the following month for an appointee employee
whose beginning employment date falls between the 17th and
the end of the month.
3.
For employers who report on a biweekly basis, the compulsory
enrollment date shall be fixed as the first day of the pay
period for an employee whose date of hire falls on the first
through seventh day of the biweekly pay period. The compulsory
enrollment date shall be fixed as the first day of the following
biweekly pay period for an employee whose date of hire falls
on any subsequent date within that pay period.
(c)(d)
An employee of a Civil Service employer who is not in a classified
or unclassified position or an employee of a non-Civil Service
employer who is not in a regular budgeted position may be
considered a temporary employee by his the employer
for the one-year period following the employee's date
of hire, but if his the employment continues
into his a second year, he the employee
will be required to enroll immediately; his, as
follows:
1.
For employees whose employers report on a monthly basis
compulsory enrollment date will be the first of the month
following the end of the one-year (12-month) period.
2.
For employees whose employers report on a biweekly basis,
the compulsory enrollment date will be the first day of
the pay period following the end of the one-year (12-month)
period.
17:2-2.7
Enrollment following deferred retirement
- The membership
account under which a member elected deferred retirement who
resumes regular service prior to age 60 shall be reinstated.
1.
He The member shall be assigned his
the original rate of contribution if he the
member resumes service before a period of two years has
elapsed since he the member last made a contribution
to his the account.
2.
If there has been a lapse of more than two years, a commuted
rate shall be assigned. Such commuted rate of contribution
shall be determined by adding the lapsed period to his
the member's age as of the date of his original
enrollment.
3.
Members who return to employment after July 1, 1995 shall
be assigned the contribution rate of five percent.
SUBCHAPTER
3. INSURANCE AND DEATH BENEFITS
17:2-3.1
Compulsory and optional enrollment
(a)-(b)
(No change.)
(c)
When proof of insurability is required, the member's opportunity
to prove such insurability shall expire one year (12 months)
from the date the initial written notice is sent advising
him or her the member that he or she
the member must prove insurability by taking a medical
examination and meeting the eligibility requirements of
the Retirement System underwriter.
17:2-3.2
Computation of insurance benefits
(a)
Any member who is reported on a 10-month basis and who has not
resigned or been discharged, shall be covered by his or her
insurance benefits for the month or months he or she is on his
regular seasonal layoff.
1.
The (a) A member's insurance death benefit shall
be based upon the base salary upon which contributions to
the annuity savings fund were made that are is
attributable to the 12 months or 26 biweekly pay periods immediately
preceding his or her the member's death upon
which contributions to the annuity savings fund were made.
2.
The (b) For the purpose of calculating the benefit payable
in (a) above, the salary, in the a month or
biweekly pay period in which no salary was paid, shall be counted
as zero.
(b)(c)
Full salary credit will be given for the month monthly
or biweekly pay period in which a member dies, if he
the member was paid salary to date of death and the salary
paid was sufficient to permit a full normal month's
monthly or biweekly pension and insurance contribution deduction,
provided such deduction was made by the employer.
(c)(d)
If a member dies during the first year following his
the member's date of enrollment, or if the member
has contributed pension contributions for less than a year although
the member's enrollment has been in effect for more than a year,
the contributory insurance benefit shall be 1 1/2 times the
member's annual base salary on which he the member
contributed or would have contributed immediately prior to his
death. The noncontributory insurance benefit shall be 1 1/2
times the actual base salary upon which contributions to the
annuity savings fund were due from the date of enrollment to
the date of death.
(d)
For a member dying after the first year following his or her
date of compulsory enrollment, both the noncontributory and
contributory insurance benefit shall be determined upon the
base salary upon which contributions to the annuity savings
fund were made, that are attributable to the 12 months or 26
biweekly pay periods preceding death.
(e)
If a member has contributed pension contributions for less than
a year but his enrollment has been in effect for more than a
year, only those wages upon which pension contributions were
based can be used as salary to determine the value of the noncontributory
insurance benefit, whereas the contributory insurance benefit
will be based on the member's annual salary on which he last
contributed.
(f)(e)
Where a post-audit of insurance claim payments indicates
the pension contributions reported by an employer were incorrect
and resulted in the overpayment of an insurance claim to a member's
designated beneficiary or estate, the employer will be billed
for the value of the overpayment of the insurance benefits.
Where post-audits establish the insurance benefits were underpaid,
an additional check would shall be sent to the
beneficiary for the value of the underpayment.
(g)(f)
(No change in text.)
(h)(g)
Members who prove their insurability for the group life insurance
benefits shall have their insurance benefit calculated on the
basis of the basis of salary they received or salary
upon which pension contributions were based during their last
year (10 and 12 months) of service prior to death, regardless
of their effective date of insurance coverage.
(i)(h)
In computing the salary upon which pension contributions were
based during a member's last year of service, in the case of
a 12-month State employee reported 12 months a year
on a biweekly basis, a total of 26 biweekly pays will be used,
including any retroactive salary payments made within the prescribed
period.
The
total salary will be adjusted by multiplying the total by the
factors supplied by the actuary; such adjustment will compensate
for State biweekly payroll schedules.
(j)(i)
In computing (i) (h) above in the case of State
employees reported on a 10-month basis, the total biweekly pays
will include those pay periods in the third quarter of each
year in which a member does not receive salary. The adjustment
is specified in (i) (h) shall not be made.
(k)(j)
If a member was reported on a biweekly basis or any combination
of 10 and 12-month contract years, the last year's salary prior
to death,or retirement shall be determined on a proportional
basis. The biweekly pay periods for which no contributions
were made shall be counted as zero.
17:2-3.3
Contributory insurance rate
All
participating members' contribution rate for contributory group
insurance shall be fifty-five one-hundredths one-half
of one percent (.0055) (.005) of the member's base
or contractual salary, effective as of January 1, 1988
1999.
17:2-3.5
Leave for illness; life insurance coverage
(a)-Coverage
Life insurance coverage during a leave of absence due
to illness shall apply only to the personal illness of the member.
(b)
A leave of absence on account of another person's illness will
not entitle the member to continued life insurance coverage.
17:2-3.6
Survivor benefits
(a)
Payment of benefits to eligible survivors shall become effective
on the first of the month of subsequent to the member's
death and shall terminate as of on the first
of the month subsequent to the date in which the survivor
no longer qualifies for such benefits.
In the instance of an active member who dies in the performance
of duty (accidental death), the initial pension payment will be
for the month following the month in which the member died, and
the last payment will cover the month immediately preceding
the month the survivor dies or ceases to qualify for the continuance
of benefits.
17:2-3.8
Withdrawal and return; contributory insurance
Withdrawal
from contributory insurance coverage shall apply only to the membership
account under which the cancellation was exercised. Any person,
who has canceled his contributory insurance coverage and withdraws
from membership in the system, System shall, upon
his or her subsequent re-enrollment in the system
System, be subject to the provisions of N.J.A.C. 17:2-3.1.
17:2-3.9
(Reserved) Retired life insurance coverage>
If
a member's date of PERS enrollment was on or after July 1, 1971,
noncontributory life insurance shall be payable after the death
of a retired member, only if the member established 10 or more
years of pension membership credit at the time of retirement,
or retired on a disability retirement. The life insurance shall
equal 3/16 of the retiree's last 10 months of salary if formerly
employed on a 10-month basis, or 12 months of salary if formerly
employed on a 12-month basis. No premium payments are required
to continue the 3/16 coverage after retirement. Contributory group
life insurance coverage ceases at retirement.
17:2-3.10
Contributory insurance premiums; leave of absence
(a)
Contributory insurance coverage will be in effect for up to
two years while a member is on an official leave of absence
for the personal illness of the member without premiums paid
by the member.
(b)
Contributory insurance coverage will be in effect while a member
is on an official leave of absence without pay for the following
reasons, provided that insurance premiums are paid in advance
by the member. It is the member's responsibility to make arrangements
directly with the Division to continue these premium payments:
1.
To Up to one year to fulfill a residency requirement
for an advanced degree; 2. As or as a full-time
student at an institution of higher education; and
3.2.
Up to 93 days on an official leave for any other reason,
provided insurance premiums were paid in advance of the date
the leave was granted.
17:2-3.12
Beneficiary designation; pension contributions
(a)
Only a primary and a contingent designation of beneficiary may
be made by the member for the payment of such member's accumulated
pension contributions.
(b)
Multiple members of a retirement system are required to file
new beneficiary forms when the beneficiary nomination on the multiple
enrollment forms do not agree.
When
a member establishes multiple status by becoming employed by one
or more additional employers in an eligible position or positions
and files an enrollment
application,
the beneficiaries designated on the most recently submitted enrollment
application supersede any older designations of beneficiaries
on file with the Division of Pensions and Benefits.
(c)
All beneficiaries must be specifically named. The designation
"children," unless otherwise qualified by the member shall mean
all individuals, including natural or adopted children, entitled
to take from the member by the New Jersey laws of intestate succession,
N.J.S.A. 3A:2A-1 3B:1-1 et seq., and excludes all
persons who are only stepchildren, foster children, grandchildren
or anymore any more remote descendants.
17:2-3.13
Benefits payable under P.L. 1984, c.96 as amended by P.L. 1995,
c.221
(a)
(No change.)
(b)
Where a beneficiary of a member requests that a retirement take
effect and that a selection of an optional settlement be made
as authorized under P.L. 1984, c.96, section 2, as amended by
P.L. 1995, c.221, section 1 (N.J.S.A. 18A:66-47 43:15A-50),
an additional amount of insurance, not to exceed the amount
of insurance that could be converted under the group policies
for noncontributory and contributory death benefits, shall be
paid as claims under the group policies only if the member files
an application for conversion of the insurance upon retirement
as provided under N.J.S.A. 43:15A-93 and pays the initial premium
for the converted insurance. The premiums paid for the converted
insurance shall be retained by the carrier and be applied to
the premiums payable by the State and the retirement system
for benefits provided under the group policies.
17:2-4.2
Leave with pay
(a)
(No change.)
(b)
If the leave with pay extends beyond six months, the member
will be required to make contributions only if he the
member is receiving 50 percent or more of his regular
base salary.
17:2-4.5
Approved leave (Reserved)
When
benefits are payable involving approved leaves of absence or when
a purchase of credit is to be processed involving such leaves,
a certified copy of the employer's resolution, or approved CS-21
form, granting such approved leave must be available in the file
or must be confirmed before processing can be completed.
17:2-4.6
Minimum adjustment
In
order to facilitate the reconciliation of a member's account,
no rebates or additional contributions shall be made where an
adjustment involves an amount of $3.00 or less $2.00
or less during a calendar quarter.
17:2-4.8
Military leave prior to August 1, 1974; employer contributions
(a)
The following conditions apply to employer contributions for
service during military leave prior to August 1, 1974:
(a)1.
(No change in text.)
(b)2.
Military leave contributions remitted by an employer shall be
based on the employee's salary at the time he the
member entered military service.
(c)3.
Payroll as referred to above shall be interpreted to mean any
public payroll in New Jersey, not necessarily the payroll of
the employer where the member was employed when he the
member entered military service.
17:2-4.9
Eligibility for loan
Only
active contributing members of the System may exercise the privilege
of obtaining a loan and the maximum loan. The member's
total outstanding loan balance shall be not exceed
50 per cent percent of the accumulated deductions
posted to the member's account.
17:2-4.10
Waiver required of retirement benefits upon withdrawal
Any
member, who makes application for withdrawal from the system
System, who may otherwise be eligible to make application
for a retirement benefit, shall be required to execute and file
a statement with the System setting forth the benefits he
the member is waiving in favor of withdrawal, before his
the member's application for withdrawal may be processed.
If a member is eligible to begin receiving a monthly retirement
allowance (age 60 or more, or 25 years or more of credited service),
the Division shall inform the member of the estimated amount of
the retirement allowance and shall require the member to sign
a waiver of such benefits, should the member still wish to withdraw.
17:2-4.11
Termination; withdrawal
(a)
Under the terms of the statutes a member may withdraw from the
system System only if he the member
terminates all employment.
(b)
No application shall be approved, if:
1.
(No change.)
2.
The member certifies that his employment has not ended
or that he the member has taken another position
subject to coverage.
3.
The member has been dismissed or suspended from employment.
In this event, such a member will be eligible to withdraw
if he the member has formally resigned from
his the position or there is no legal action
contemplated or pending and the dismissal has been adjudged
final.
4.-5.
(No change.)
17:2-4.12
Deductions
(a)
A full pension and contributory insurance deduction shall
be taken for the Public Employees' Retirement System in any
payroll period (monthly or biweekly) in which the member
is paid a sufficient amount to make a full normal deduction,
plus any other arrears or loan deductions then in effect.
(b)
No deductions shall be taken, nor service credit given,
in any pay period for employers who report on a biweekly
basis or in any month, for employers who report on a monthly
basis, in which the employee's salary is not sufficient
to cover the required deductions for the Public Employees' Retirement
System.
17:2-4.13
Active employment; membership requirement
All
employees, otherwise eligible, who are not actively employed on
the date of their enrollment will not be covered by the group
life insurance program until the day they return to service.
17:2-4.14
Continuance of membership; transfer
Once
an employee establishes membership in the retirement system,
he the member is eligible to continue such membership
should he the member be temporarily employed in
a position covered by the system.
17:2-4.15
Ineligible service
(a)
Members shall not be granted prior service or membership credit
for the following employment:
1.
Honorary positions, without salary;
2.
Motor vehicle agents or as non-State employees of the agent;
and
3.
Licensing agent of the Division of Fish, Game and Shellfisheries
or as non-State employee of the agent.
17:2-4.16
Creditable service; Law Enforcement Officers
Two
percent service credit for Law Enforcement Officer members is
that service rendered in the capacity of a Law Enforcement Officer,
for which the member has paid at the Law Enforcement Officer rate
of contribution unless as otherwise provided by the statute.
SUBCHAPTER
5. PURCHASES AND ELIGIBLE SERVICE
17:2-5.3
Reestablishing military leave credit
Any
veteran Veterans who terminated membership before January
1, 1955, and whose withdrawal of contributions included contributions
paid by his or her their employers during
a period of military leave, shall receive veteran prior service
credit for only the periods during which he or she
they actually contributed. He or she They
can receive additional membership credits for the periods
of military leave if he or she redeposit they redeposits
the amounts of employer contributions, plus regular interest
to the date of his or her their authorizations
of such purchases.
17:2-5.4
Compulsory purchase contributions (back deductions)
(a)
An employee who was required to enroll and whose application
was filed beyond his or her compulsory date of enrollment, will
be required to purchase membership credit retroactive
make retroactive contributions to the date of compulsory
enrollment. Purchases Contributions will be calculated
on the basis of the member's current salary at the full pension
rate of contribution assigned as of his or her compulsory date
of enrollment with regular interest.
(b)
Veterans, who were ineligible to establish membership in a local
contributory pension fund and who elect to enroll in accordance
with the provisions of Chapter 71, P.L. 1966, c.71,
must agree, prior to their enrollment, to purchase all continuous
public employment with the same employer since January 1, 1955,
or the date of their regular appointment. The purchase of service
will be calculated on the basis of their current salary multiplied
by the actuarial factor established for the member's age at
the time of purchases.
17:2-5.7
Military leave (Reserved)
Any
active member purchasing credit for out-of-State public employment,
may include in the maximum of 10 years credit to be purchased,
his or her leave of absence for military service, provided he
or she received credit for such leave in the State or local public
retirement system, in which he or she was participating at the
time he or she was in military service.
17:2-5.8
Per diem credit
For
the purpose of granting prior service credit for service performed
on a per diem, hourly, on-call, or as-needed basis, credit
shall be prorated and granted on the basis of 20 10
days equal one month of credit.
17:2-5.9
Ineligible service (Reserved)
(a)
Members will not be granted prior service or membership credit
for the following employment:
1.
Honorary positions, without salary;
2.
Leaves of absence without pay, except military leave;
3.
Motor Vehicle Agents or as employees of the agent;
4.
Licensing Agent of the Division of Fish, Game and Shellfisheries
or as employees of the agent.
17:2-5.10
Creditable service; law enforcement officers (Reserved)
Two
percent service credit for Law Enforcement Officer members is
that service rendered in the capacity of a Law Enforcement Officer,
for which the member has paid at the Law Enforcement Officer rate
of contribution unless as otherwise provided by the statute.
17:2-5.12
Correction of errors
Credit
for all previous service established under the provisions of
Chapter 104, P.L. 1974, c.104, and payment therefor,
shall be calculated on the basis of salaries received during the
period of such service with applicable regular interest.
The pension rate of contribution will be determined as of the
member's compulsory date of enrollment. The members shall pay
on the basis of his or her current salary at the full pension
rate of contribution with regular interest.
17:2-5.13
Lump-sum purchases
If
a purchase is paid in a lump sum, the member shall receive full
credit for the amount of service covered by the purchase upon
receipt of the lump-sum payment. The service may be used for any
purpose for which it is authorized under the Public Employees'
Retirement System Act (N.J.S.A. 43:15A-1 et seq.) and the rules
of the retirement system Retirement System.
SUBCHAPTER
6. RETIREMENT
17:2-6.1
Applications
(a)
Applications for retirement must be made on forms prescribed
required by the system System. Such forms
must be completed in all respects and filed with the system
Division of Pensions and Benefits (the Division) on or
before the requested date of retirement. A member's retirement
application becomes effective on the first of the month following
receipt of the application unless a future date is otherwise
requested. Members enrolled at multiple PERS locations must
retire from employment in all covered positions before a retirement
shall become effective.
(b)
In the event a member files an incomplete application, the deficiencies
shall be brought to his or her the member's attention
and he will or she the member shall be required
to file a completed application with the system Division
to enable acceptance for processing.
(c)
Before an application for retirement may be accepted for
processing it must be supported by a certificate processed,
the Division must receive proof of the member's age, if none
is already in the member's record, proof of the beneficiary's
age, if the member elected Option 2, 3 or 4, and a completed
Certification of Service and Final Salary form from the
employer setting forth the employment termination date, and
the salaries reported for contributions in the member's final
years of employment and proof of age, if none is already
in the member's record.
(d)
In addition to the foregoing retirements, an application
for disability retirement must be supported by a report of
the at least two reports, one by the member's personal
or attending physician and a statement from the employer
regarding the member's incapacity for further duty the
other may be either hospital records supporting the disability
or a report from a second physician.
17:2-6.2
Effective date
A
member's retirement allowance shall not become due and payable
until 30 days after the date the Board approved the application
for retirement or 30 days after the date of the retirement,
whichever is later.
17:2-6.26.3
Effective dates; change
(a)
A member shall have the right to withdraw, cancel or change
an application for retirement at any time before his
the member's retirement allowance becomes due and payable;
thereafter by sending a written request signed by the
member. Thereafter the retirement shall stand as approved
by the board
Board.
(b)
Except in the event of deferred retirement, if a member requests
a change in his retirement application of retirement
date or option selection before his the member's
retirement allowance becomes due and payable, said change
will require approval of the board Board and
the revised retirement allowance shallnot become due and payable
until 30 days have elapsed following the effective date or
the date the board Board met and approved the
change in the member's retirement application, whichever is
later.
(c)
If the applicant should die within 30 days following the date
the Board of Trustees approved the revised application, the
member shall be considered to be retired on the basis of the
originally approved application for retirement, provided that
the initial 30-day requirement was satisfied.
(d)(c)
A deferred retirement shall become effective on the first
of the month following the member's 60th birthday.
At the election of a member, if the member's 60th birthday
falls on the first of a month, the retirement shall become
effective on that date, provided the member files a timely
retirement application pursuant to N.J.S.A. 43:15A-38(b) and
requests that date as the retirement date.
(e)(d)
In the case of deferred retirement, if an applicant desires
to amend his the retirement application, the
amended application must be filed with the system Division
a minimum of one month prior to his the effective
date of retirement.
(f)(e)
(No change in text.)
17:2-6.3
Effective date; death prior thereto
(a)
A member's retirement allowance shall not become due and payable
until 30 days after the date the board approved the application
for retirement or 30 days after the date of retirement, whichever
is later.
(b)
A member who files an application for retirement and whose
insurance coverage has not lapsed prior to filing the retirement
application is covered under the insurance program as an active
member in the event of death prior to the date the retirement
allowance becomes due and payable.
17:2-6.6
Retirement credit
(a)
(No change.)
(b
member who appeals the suspension or termination of his
or her the member's employment and is awarded back
pay for all or a portion of his or her that
employment for the period of such suspension or termination
shall receive retirement credit for the period covered by
the award, regardless of the amount of the back pay awarded,
provided a full normal pension contribution is received from
the member or deducted from the value of the award. The amount
of the pension contribution will be determined by the provisions
of the award. If the member receives full back pay, including
normal salary increases, then the contribution will be computed
on the base salaries that the employee would have earned for
the reinstated suspended or terminated period. When the settlement
is less than the full back pay, the pension contribution will
be based upon the salary that the member was receiving for
pension purposes prior to the suspension or termination of
employment. In the event that the amount of back payment is
insufficient to deduct the value of the normal pension contributions
due, such contribution shall be paid by the member.
(c)
(No change.)
17:2-6.7
Disability determination
- A
member for whom an application for accidental disability
retirement allowance has been filed by the member, by
his employer, or by one acting in behalf of the member,
will be retired on an ordinary disability retirement allowance
if the
board Board finds that:
-
1.
The member was under the age of 60 The applicant
was considered a member at the time of filing the
application for a disability retirement allowance or
is covered by the provisions of N.J.A.C. 17:2-6.15;
and
2.
(No change.)
3.
The member is not eligible for accidental disability since
the incapacity is not a direct result of a traumatic event
occurring during and as a result of the performance of his
the member's regular or assigned duties; and
4.
(No change.)
17:2-6.8
Option selection
If
an applicant for an accidental disability retirement benefit
is rejected for an accidental disability benefit but is approved
by the board Board for retirement, in accordance
with N.J.A.C. 17:2- 6.7, he the applicant will
be permitted within 30 days following board Board
approval of his the retirement, to amend the
option selection which he the applicant made on
the original accidental disability retirement application.
17:2-6.9
Employer and employee notices
If
an applicant for accidental disability retirement is found to
be physically or mentally incapacitated for the performance
of duty but is rejected for accidental disability retirement
because the board Board finds that the disability
was not a direct result of a traumatic event occurring during
and as a result of the performance of his the applicant's
regular or assigned duties and, if the applicant does not meet
the minimum statutory requirements for any other type of retirement
allowance, the system System will notify both
the member and his the member's employer that
the member was found to be physically or mentally incapacitated
for the continued performance of duty, as was previously certified
to the system by both the employee and his employer System.
Both the employer and the employee will also be advised that
a copy of such notice will be placed in the member's file and
will be given full consideration in any future claim for disability
retirement benefits.
17:2-6.10
Employer application; employee notice Involuntary disability
application
- If
an application for an accidental disability retirement benefit
or for an ordinary disability retirement benefit is filed
by an employer for one of
his their employees,
the member will be promptly notified by letter that:
1.
His The member's employer has properly
initiated a disability application signed by the Certifying
Officer or other designated officer of the employer,
on the member's behalf; and
2.
His employer has certified that the member is permanently
and totally disabled for the continued performance of duty;
and, if appropriate,
3.
His employer has certified that the member should be retired
as a direct result of a traumatic event occurring during
and as a result of the performance of his regular or assigned
duties; and
2.
The member's employer has submitted a written statement
as to the grounds for the employer's request for member's
involuntary disability retirement and all available medical
documentation;
4.
He 3. The member has a period of 30 days to contest
his or her involuntary retirement before the
board
Board acts on his the employer's application;
5.
He 4. The member will be required to appear for
an examination before a physician designated to conduct
such an examination for the retirement system; and
6.5.
In the event the board Board finds that
he the member is totally and permanently incapacitated
for the performance of duty, he the member
shall be granted the maximum retirement allowance, (without
option) payable under the statute, if he (the member)
does not file a completed "Application for Disability Retirement
Allowance" setting forth the type of allowance he
the member desires, before his the
retirement goes into effect; and
7.6.
In the event the board Board finds that he
the member is not totally and permanently incapacitated
for the performance of duty, the employer's application
shall be disallowed and the employer shall be informed that
the member should be returned to duty.
17:2-6.11
Early retirement benefits; reduction
(a)
The statutory reduction of one quarter of one percent applies
to each month prior to the month in which the member attains
age 55 and for the month in which the member attains age 55
if his 55th birthday occurs on or after the 15th day of the
month. Retirement with 25 or more years of credited
service before the first of the month in which a member attains
age 60 shall be classified as "early" retirement.
(b)
Retirement on the first of the month in which a member
attains age 55 shall be classed as "early" retirement, although
a reduction is not applied if his 55th birthday occurs before
the middle of such month. The statutory reduction of
one quarter of one percent applies to each month prior to
the month in which the member attains age 55 and for the month
in which the member attains age 55 if the member's 55th birthday
occurs after the 15th day of the month.
17:2-6.12
Service retirement; eligibility
A
member becomes eligible for "Service" retirement on the 1st
of the month following his the member's 60th birthday.
At the election of a member, if the member's 60th birthday
falls on the first of a month, the retirement shall become effective
on that date, provided the member files a timely retirement
application pursuant to N.J.S.A. 43:15A-47a, and requests that
date.
17:2-6.13
Disability retirant; annual medical examinations
(a)
All disability retirants may be required to undergo a medical
examination each year for at least five years or for good
cause thereafter by a physician designated by the System as
of the anniversary date of their retirement, unless such
examination requirement has been waived by the Board. Good
cause means the receipt by the Board of creditable information
that a member who is receiving a disability retirement allowance
is no longer disabled.
(b)
Failure on the part of a retirant to submit to the required
medical examination shall result in the automatic suspension
of his the retirant's retirement allowance until
he the retirant submits to a medical examination.
17:2-6.14
Disability retirant; annual report (employment, earnings, test
and adjustment)
(a)
(No change.)
-
If
a retirant reports employment and earnings, then the following
tests shall be made by the System to ascertain:
1.-2.
(No change.)
3.
If it is found, on or after April 30, that gross earned income
for the calendar year exceeded the difference between the
pension and the salary of the retirant's former position and
if the retirant does not refund the excess pension to the
System
within 30 days of notification of the difference, the pension
for the succeeding 12-month period shall be reduced by
the excess pension received in the preceding calendar year
portion of the retirement allowance shall be reduced, dollar
for dollar, by the excess earnings. The Board of Trustees
shall determine the length of time that the retirant's pension
allowance will be reduced.
17:2-6.16
Compulsory retirement; law enforcement officers Law Enforcement
Officers (LEO)
(a)
Members classified as "law enforcement officers" "Law
Enforcement Officers" shall be retired automatically by the
board Board as of the compulsory retirement date
established pursuant to N.J.S.A. 43:15A-99.
(b)
Should a member classified as law enforcement officer a
Law Enforcement Officer fail to file an application
with the system Division before his the
member's compulsory retirement date, he the member
shall be granted the maximum allowance payable on his the
member's account; however, no retirement checks will be disbursed
until he the member files the required application.
(c)
If an application is not filed with the system Division
before a period of 30 days has elapsed after the board
Board has acted on his the member's retirement,
he the member shall not be eligible to exercise
any of the available retirement survivorship options and his
the member's retirement on maximum allowance shall stand
as approved.
(d)
When such a member files his an application with the
system Division, he the member shall
be eligible to receive retirement benefits for the months that
have elapsed since the date of his the member's
compulsory retirement, provided satisfactory evidence is received
to show that he the member terminated employment
as of his the member's compulsory retirement date.
(e)
No retirement benefits shall be paid for any period the member
continued in service beyond his the compulsory retirement
date, nor shall he the member receive any credit
for retirement purposes for salary received or service rendered
beyond his the compulsory retirement date.
(f)
An LEO member who is also enrolled as a non-LEO member cannot
continue his the LEO membership or employment in
his the LEO capacity beyond age 65 should he
the member continue his or her membership on the
basis of his the member's non-LEO position pursuant
to N.J.S.A. 43:15A-99.
17:2-6.18
Option "1" benefit
The
reserve established under the provisions of Option "1" shall be
a form of reducing term insurance, as the reserve shall reduce
in value by the amount of the retirant's regular monthly
allowance, whether received or not, for each month that he
the retirant survives after the effective date of his
retirement.
17:2-6.19
Maximum allowance prescribed (Reserved)
Where
someone, other than a legal guardian, acting in behalf of a member
makes application for a retirement allowance, such individual
may not elect other than the maximum allowance for the member
and the member's estate must be designated as the beneficiary
for all death benefits payable on the member's account.
17:2-6.20
Final compensation; 10-and 12-month members reported monthly
- In order
to determine the final compensation (three-year average) for
benefits on a
:1. Member member reported on a monthly basis
under a ten 10-month contract, use the creditable
salaries upon which contributions were made to the system
System for his the member's final 30
months, or the highest three fiscal years of pensionable
service, including any retroactive salary payments that
are attributable to the covered period and paid as part of
a salary agreement with a group of employees.
2.
Member (b) In order to determine the final compensation
(three-year average) for benefits on a member reported on
a monthly basis under a 12-month contract, use the creditable
salaries upon which contributions were made to the system for
his the member's last 36 months or the highest
three fiscal years of pensionable service, including
any retroactive salary payments that are attributable to the
covered period and paid as part of a salary agreement with a
group of employees.
(b)(c)
(No change in text.)
(c)
The months for which no contributions were made shall be counted
as zero.
17:2-6.21
Determination of last year's salary; veterans paid on a monthly
basis (veteran one-half pay retirement)
For
(a) In
order to determine the last year's salary for a member
veteran with 35 or more years of creditable service, age
60 or older, reported on a monthly basis under a ten
10-month contract, use the creditable salaries upon
which contributions were made in the member's final 10 months
of pensionable service preceding retirement, including
any retroactive salary payments that are attributable to the
covered period and paid as part of a salary agreement with a
group of employees.
(b)
In order to determine the last year's salary for a veteran with
35 or more years of creditable service, age 60 or older, reported
on a monthly basis under a 12-month contract basis, his
use the member's creditable salaries upon which contributions
were made in the member's final 12 months of pensionable
service preceding retirement; combination of 10-and 12-month
contracts, on a proportional basis. The months for which no
contributions were made shall be counted as zero., including
any retroactive salary payments that are attributable to the
covered period and paid as part of a salary agreement with a
group of employees.
(c)
In order to determine the last year's salary for a veteran with
20 or more years of creditable service, age 62 or older, reported
on a monthly basis under a 10-month contract, use the creditable
salaries upon which contributions were made in the member's
final 10 months of pensionable service preceding retirement
or in the consecutive 10-month period in which the member achieved
the greatest earnings, including any retroactive salary payments
that are attributable to the covered period and paid as part
of a salary agreement with a group of employees.
(d)
In order to determine the last year's salary for a veteran with
20 or more years of creditable service, age 62 or older, reported
on a monthly basis under a 12-month contract, use the member's
creditable salaries upon which contributions were made in the
member's final 12 months of pensionable service preceding retirement,
or in the
consecutive
12-month period in which the member achieved the greatest earnings,
including any retroactive salary payments that are attributable
to the covered period and paid as part of a salary agreement
with a group of employees.
(e)
If a member was reported on any combination of 10-and 12-month
contract years in such months, the last year's salary shall
be determined on a proportional basis.
17:2-6.22
Waiver
(a)
(No change.)
(b)
Such person retired members or beneficiaries may
cancel the waiver effective as of the first day of any month
subsequent to the receipt of the notice of cancellation; however,
he they may not make a claim for retroactive
payment of any benefits waived prior thereto.
17:2-6.23
Additional contributions (Reserved)
The
additional contributions made under N.J.S.A. 43:14-17 as elected
by the member, shall be credited for the purpose of retirement,
with interest in the same manner as employed in the calculation
of the regular retirement allowance.
17:2-6.24
Final compensation; biweekly salary computation for State
employees reported by centralized payroll on a biweekly
basis
(a)
In computing "final compensation" upon which pension contributions
were based, in the case of a 12-month State employee reported
on a biweekly basis, a total of 78 biweekly pays pensionable
pay periods will be used, including any retroactive salary
payments that are attributable to the prescribed covered
period.
(b)
In computing (a) above, the total salary will be adjusted by the
factors supplied by the actuary to convert biweekly salaries to
compensate for State biweekly payroll schedules. Application
of the factors to the salaries reported for pension purposes will
develop "final compensation."
(c)
In computing (a) above in the case of State employees reported
on a 10-month basis, the total biweekly pays pay periods
will include those pay periods in the third quarter of each year
in which the member does not receive a salary. The adjustment
as specified in (b) above shall not be made.
(d)
If a member was reported on a biweekly basis on any combination
of 10-and 12-month contract years, the final average compensation
prior to retirement shall be determined on a proportional basis.
The biweekly pay periods for which no contributions were made
shall be counted as zero.
17:2-6.25
Determination of last year's salary; State employee veterans
reported by centralized payroll on a biweekly basis
(a)
In computing the salary upon which pension contributions
were based during a member's last year of service, in the case
of a 12-month State employee In order to determine the last
year's salary for a veteran with 35 or more years of creditable
service, age 60 or older reported on a biweekly basis under
a 12-month contract, use a total of 26 biweekly pays will
be used pay periods including any across the board retroactive
salary payments made within the prescribed covered period.
The total salary will be adjusted by factors supplied by the
actuary to compensate for State biweekly payroll schedules.
(b)
In computing (a) above, in the case of State employees
In order to determine the last year's salary for a veteran with
35 or more years of creditable service, age 60 or older, reported
on a biweekly basis under a 10-month basis contract,
include in the total 26 biweekly pays will include pay
periods those pay periods in the third quarter of each year
in which the member does not receive salary, including any retroactive
salary payments that are attributable to the covered period
and paid as part of a salary agreement with a group of employees.
The adjustment as specified in (a)1 above shall not be made.
(c)
In order to determine the last year's salary for a veteran with
20 or more years of creditable service, age 62 or older, reported
on a biweekly basis under a 12-month contract, use the member's
creditable salaries upon which contributions were made in the
member's final 26 biweekly pay periods of pensionable service
preceding retirement, or in the 26 consecutive pay periods in
which the member achieved the greatest earnings, including any
retroactive salary payments that are attributable to the covered
period and paid as part of a salary agreement with a group of
employees. The total salary will be adjusted by factors supplied
by the actuary to compensate for biweekly payroll schedules.
(d)
In order to determine the last year's salary for a veteran with
20 or more years of creditable service, age 62 or older, reported
on a biweekly basis under a 10-month contract, the total 26
biweekly pay periods will include those pay periods in the third
quarter of each year in which the member does not receive salary,
including any retroactive salary payments that are attributable
to the covered period and paid as part of a salary agreement
with a group of employees. The adjustment as specified in (a)1
above shall not be made.
(c)(e)
If a member was reported on a biweekly basis on any combination
of 10-and 12-month contract years, the last year's salary prior
to death or retirement shall be determined on a proportional
basis. The biweekly pay periods for which no contributions
were made shall be counted as zero.
17:2-6.26
Medical examination; physician
Where
the statute prescribes that a N.J.S.A. 43:15A-42.43 and 44
require the Retirement System or the Board to designate physicians
be designated by the retirement system to perform a
medical examinations; such physician shall be selected from
the current membership directory of the Medical
Society
of New Jersey and the New Jersey Association of Osteopathic Physicians
and Surgeons; however,. A designated physician shall not be
a member's personal physician, except in the cases of those
a members whose personal physician has identified them
the member as having a probable abbreviated life expectancy,
such (referred to as an "imminent death" cases may be processed
without the necessity of an examination by a physician designated
by the Fund), if corroborating medical evidence of the diagnosis
can be obtained.
17:2-6.27
Work-related travel; accidental disability retirement and accidental
death benefit coverage
(a)
A member whose duties include regular or occasional travel in
the course of employment will be considered in the "performance
of his the member's regular or assigned duties" for the
purposes of accidental disability retirement or "in the actual
performance of duty" for the purposes of accidental death benefits
during employment-related travel as provided in this section.
For the purposes of this section, "in performance of duty" means
and includes both "performance of regular or assigned duties"
and "in the actual performance of duty."
(b)
(No change.)
-
If
a member's duties require or authorize the member to travel
between his or her the member's place of residence
and a location other than an office or workplace of the employer
to which the member is regularly assigned or near to the regularly
assigned office or workplace to perform the duties of the
employment, the member is in performance of duty when he
or she the member completely leaves the property of he
or she the member's residence and begins to travel to
the other location, or until he or she the member begins
entry to the property of residence after travel from the other
location, and all expenses of the travel are paid for by the
employer. A member's duties are considered to authorize or
require travel from the place of residence to a location other
than a regularly assigned office or workplace of the employer
in the following situations:
1.
The member's regular or assigned duties involve field work
which requires or authorizes the member to travel to locations
other than a regularly assigned office or workplace of the
employer to perform his or her duties and do not require the
member to report to a regularly assigned office or workplace
before or after traveling to other locations.
Travel
by the member between a regularly assigned office or workplace
of the employer and the place of residence of the member is
not considered part of the member's dues duties.
2.
(No change.)
3.
The member is authorized or required by his or her
the member's employer to respond to an emergency situation
outside of the member's regularly scheduled work hours, regardless
of whether the member goes to a regularly assigned office
or workplace or another location, or whether the expenses
of the travel are paid for by the employer or the member.
4.
(No change.)
(d)
(No change.)
SUBCHAPTER
7. TRANSFERS
17:2-7.1
Honorable service; interfund transfers; State-administered retirement
systems
(a)
The receipt of a public pension or retirement benefit is expressly
conditioned upon the rendering of honorable service by a public
officer or employee. Therefore, the Board of Trustees of the
present System shall disallow the transfer of all or a portion
of prior service of any member of the System for misconduct
occurring during the member's prior public service which renders
that prior service, or part thereof, dishonorable.
(a)(b)
The system will transfer membership to any State- administered
retirement system Retirement System as follows:
1.
A member, desiring to transfer his or her service credit
and contributions credits to any from one State- administered
retirement system must, to another shall file an application
for "Transfer of Membership Credit" "Application for Interfund
Transfer" and an "Enrollment Application" in place of the
customary of application for withdrawal of accumulated
contributions "Application for Withdrawal." This application
will void all possible claims against the present system when
approved and the new membership is commenced in the new system.
2.
A check covering the The member's accumulated contributions,
full interest included, less any outstanding loan, shall be
drawn payable transferred to the new system for the
account of the respective member. Any outstanding loan, back
deductions or arrears obligation will be scheduled for repayment.
3.
A statement reflecting the member's status as of the date
of transfer shall accompany the check be prepared by
the Withdrawal Section of the Division and a copy forwarded
to the old account.
4.
The member shall enjoy the same rate of contribution and
member's service credits established in the present system,
subject to the provisions of shall be transferred into
the new system.
5.
This procedure would not apply where a member has credit
in the present system for service after the date of enrollment
in the new system or where a person has ceased to be a member
of the present system before establishing sufficient service
credit to be eligible for a deferred retirement. The member
is not eligible to transfer service credit if any of the following
conditions apply:
i.
The member has withdrawn the previous membership;
ii.
The member has credit in the present system for service
earned after the date of enrollment in the new system (concurrent
service); or
iii.
The account has expired; that is, it has been more than
two years from the date of the last contribution and there
was not enough service credit to be eligible for a deferred
retirement.
6.
A copy of the transfer application, together with a check
covering the withdrawal value and a statement of the service
credits being transferred, is to be forwarded to the new system.
A
data sheet shall be created for the member's new account that
will indicate an interfund transfer from the member's previous
retirement system and the
service
credit transferred into the new membership account.
(b)(c)
The reserves accrued in the present system will be valued and
compared to the reserves required in the new system will
cause to be valued the reserves accrued for such employee as
compared to the reserves required in the second system.
1.-2.
(No change.)
(c)(d)
(No change in text.)
(d)
A member who makes a timely transfer in accordance with N.J.S.A.
43:2-1 et seq. will contribute to the new system at a rate
based on his or her age at the time of enrollment in the present
system and no refund of pension contributions will be made
except for those contributions made by veterans covering service
prior to January 1, 1955, where applicable. The contribution
rate for a member granted a deferred retirement in the present
system who makes a timely transfer at the time of enrollment
in the new system will be determined in accordance with the
rules concerning enrollment after deferred retirement in the
new system. A member who does not make a timely transfer will
contribute to the new system at a rate based on his or her
age at the time of enrollment in the new system.
17:2-7.2
(Reserved) Intrafund transfers; State-administered Retirement
Systems
(a)
Members who leave one public employer and take a position
with another public employer covered by the same pension system
are immediately eligible to transfer their membership to their
new employers, as long as the following conditions are met:
1.
The member has not withdrawn their contributions;
2.
The account has not expired; that is, it has not been more
than two years between the date of the last contribution
received from the old employer and the starting date of
contributions with the new employer or there was enough
service credit to be eligible for a deferred retirement;
and
3.
The account has not been canceled due to Board of Trustees
action. It is the responsibility of the employer to establish
the employee's status. For accounts that are withdrawn,
expired or canceled, an enrollment application is needed,
and the standard enrollment rules are again in effect;
(b)
To transfer the member's account to the new employer, the
new employer should file a Report of Transfer with the Division
of Pensions and Benefits within 10 working days of the date
employment begins. If more than one year elapses between the
date that the member was required to contribute to the retirement
system and the date contributions were first certified, the
employer shall be assessed a late enrollment employer liability
penalty plus delayed appropriation costs. 31 N.J.R. 3229(a)
