LEGISLATIVE FISCAL ESTIMATE
[First Reprint]
SENATE, No. 2470
STATE OF NEW JERSEY
221st LEGISLATURE
DATED: JUNE 28, 2024
SUMMARY
Synopsis: Permits service credit Prosecutors Part of PERS for judicial clerk
service; increases salary of Presiding Judge of Appellate Division and
county prosecutor; permits retired judges to collect pension while
serving as county prosecutor.
Type of Impact: Annual State expenditure increase; potential expenditure decrease for
local governments.
Agencies Affected: Department of Community Affairs; Division of Pensions and Benefits
in the Department of the Treasury; county governments.
Office of Legislative Services Estimate
Fiscal Impact FY 2024 & FY 2025 FY 2026 & FY 2027 FY 2028 & Forward
Annual State Expenditure
Increase for Salary Costs Up to $135,900 Up to $275,193 Up to $367,697
State Expenditure Increase
for Pensions Costs and Health
Benefits Costs in Retirement Indeterminate Indeterminate Indeterminate
Local Expenditure Decrease
for Health Benefits Costs in
Retirement Indeterminate Indeterminate Indeterminate
The Office of Legislative Services (OLS) anticipates that this bill will result in maximum
annual State expenditure increases of $135,900 in FY 2024 and FY 2025, $275,193 in FY 2026
and FY 2027, and $367,697 in FY 2028 and every year thereafter for salary costs.
The OLS considers potential cost increases to the State for additional pension and post-
retirement medical benefit costs provided under the bill and potential cost decreases to county
governments for State-paid post-retirement medical benefit costs to be indeterminate.
Office of Legislative Services Legislative Budget and Finance Office
State House Annex Phone (609) 847-3105
P.O. Box 068 Fax (609) 777-2442
Trenton, New Jersey 08625 www.njleg.state.nj.us
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BILL DESCRIPTION
This bill allows a county prosecutor, nominated and appointed pursuant to the State
Constitution, to receive credit in the Prosecutors Part of the Public Employees’ Retirement System
(PERS) for service as a judicial law clerk in a State Court if the county prosecutor purchases credit
for that service after being appointed to serve as a county prosecutor. Under current law, such a
purchase after appointment is not recognized as service credit in the Prosecutors Part.
The bill also removes the statutory prohibition on retired members of the Judicial Retirement
System practicing law in this State, if the retired member is serving as a county prosecutor
appointed by the Governor with the advice and consent of the Senate. While serving as a county
prosecutor, the retired member may continue collecting their pension and may not enroll in any
other State-administered retirement system on the basis of that service. Under the bill, the State
may pay for health care benefits for county prosecutors who became eligible for State-paid post-
retirement medical benefits due to former service in the retirement system.
Additionally, the bill establishes a separate salary for Presiding Judges of the Superior Court,
Appellate Division, which will be $3,000 more than that of other Appellate Division judges. The
bill also continues the annual salary adjustment for county prosecutors for an additional two years,
based on the change in the Consumer Price Index.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS anticipates that this bill will result in maximum annual State expenditure increases
of $135,900 in FY 2024 and FY 2025, $275,193 in FY 2026 and FY 2027, and $367,697 in FY
2028 and every year thereafter for salary costs. These potential cost increases are due to the $3,000
salary increase that the bill provides Presiding Judges of the Appellate Division effective January
1, 2024 and the extension of the annual salary adjustment provided to county prosecutors under
current law for an additional two years.
The OLS also expects that permitting service credit in the Prosecutors Part of PERS for judicial
clerk service may result in indeterminate cost increases to the State and the pension fund if
members of the retirement system collect a pension for more years than they would under current
law or become eligible for employer-paid post-retirement health benefits. Additionally, the OLS
expects that permitting retired judges to collect a pension while serving as a county prosecutor will
result in indeterminate cost increases to the State and the pension fund if retirees collect a pension
for more years than they would under current law.
The bill also permits retired judges subsequently appointed as county prosecutors who became
eligible for State-paid post-retirement medical benefits by virtue of their judicial service to receive
State-paid health benefits while serving as a county prosecutor. The OLS anticipates that this
provision will result in an indeterminate cost decrease for local governments who are responsible
for health benefit costs for county employees under current law.
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Section: State Government
Analyst: Anna Harris
Assistant Fiscal Analyst
Approved: Thomas Koenig
Legislative Budget and Finance Officer
This legislative fiscal estimate has been produced by the Office of Legislative Services due to the
failure of the Executive Branch to respond to our request for a fiscal note.
This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).
Statutes affected: Introduced: 43:15A-156
Advance Law: 43:15A-156, 43:6A-13, 52:14-17.32
Pamphlet Law: 43:15A-156, 43:6A-13, 43:6A-11.1, 52:14-17.32