This bill mandates that municipalities in New Jersey publish their employee supplemental payment policies electronically and enhance the notice and oversight of such payments. Specifically, municipalities that have existing supplemental payment policies or are looking to establish or modify them must publish these policies on their websites. If a municipality does not have a website, it must submit the policies to the Department of Community Affairs for publication. The bill defines a supplemental payment as any payment exceeding an employee's regular compensation or reimbursement for actual costs incurred related to their employment.

Additionally, the bill requires that any supplemental payment for municipal employees be individually approved by the governing body at a public meeting, where the proposed action and public comments will be considered. Municipalities must provide advanced notice of the meeting, including details about the proposed payment and where supporting documentation can be accessed. This initiative aims to ensure transparency and accountability regarding additional compensation, allowing taxpayers to be informed about the financial implications of such payments. The bill is set to take effect six months after its enactment.