This bill seeks to reinstate automatic cost-of-living adjustments (COLAs) for the retirement benefits of retired members of the Police and Firemen's Retirement System (PFRS) in New Jersey. It mandates that the Board of Trustees implement these adjustments in accordance with the Pension Adjustment Act for payments made after the bill's effective date, while explicitly stating that no retroactive payments will be granted for benefits prior to this date. The bill also removes the Board's discretion to adjust benefits, making it a requirement to implement these adjustments, and outlines specific conditions under which pension adjustments will be made, including that they will only be effective on the first day of a month and will not be paid unless they cover an entire month.

In addition to reinstating COLAs, the bill introduces new provisions regarding the authority and responsibilities of the Board of Trustees, including the selection of key positions such as an executive director and chief investment officer, and the establishment of committees for audit and investment oversight. It emphasizes the importance of annual ethics training for board members and staff, while also clarifying the Board's fiduciary responsibilities. Overall, the legislation aims to enhance the financial security of retired PFRS members and improve the governance and operational efficiency of the retirement system.

Statutes affected:
Introduced: 43:3B-2, 43:16A-13