N.J. Assembly to consider cap on salaries
Legislation would limit pay at the state's more than 700 authorities, boards, and commissions.
TRENTON - Legislation that would impose limits on salaries and benefits offered by independent state and local authorities in New Jersey will go before the Assembly this week.
The measure came about after Gov. Christie and others cited "a disturbing pattern" of what they called wasteful or lavish spending by many of the agencies, which oversee billions of dollars from the state or collect from ratepayers and system users.
New Jersey has more than 700 authorities, boards, and commissions - many of which are well-known for offering patronage jobs and for paying their top officials high salaries. For example, a report issued earlier this year by Christie's transition team said at least 27 people at various authorities had more lucrative salaries than the governor.
Proponents say the legislation - scheduled to be voted on Monday - addresses many of the concerns critics raised.
"As we have seen too many times, some of these authorities act without accountability, with egregious salaries and benefits.
"It's long past time for that to stop," said Gordon Johnson (D., Englewood) one of the primary sponsors of the measure.
The bill would require the head of each authority to certify annually that the salaries and benefits of officers, employees, and members don't exceed the limits imposed in the legislation.
The limits the legislation would impose include barring authorities from giving new executive directors salaries higher than that of the governor, who is paid $175,000. And new officers, employees, and members could not have salaries higher than those of Cabinet officers, who are paid $141,000.
However, the authority's overseeing agency - the local finance board or the treasurer's office - could waive those requirements if it feels it's warranted.
Authorities also would have to cap payments for accumulated unused sick leave at $15,000 for new officers and employees, and that payment could be made only upon retirement.
All officers and employees also would have to contribute at least 1.5 percent of their base salaries toward the cost of health-care coverage provided by the authority. And new officers and employees - upon retirement - would have to contribute at least 1.5 percent of their pensions for health-care coverage. Contribution requirements vary from agency to agency, and proponents say the legislation would help eliminate those inconsistencies.
Authorities also could not allow new officers or employees to use six or more consecutive days of accumulated sick leave in the year before they retire, unless a doctor provides written notification about a medical condition that would warrant such use. Requirements now vary by agency.
The legislation also would require authority officers and employees to have the same paid holidays - 12 overall - as full-time state employees, once their current collective bargaining agreements expire.