Ordinance No. 06-10

Introduced: May 6, 2010
Public Hearing: June 3, 2010
Status: Adopted

An ordinance governing the payment of premiums for health benefit coverage after retirement

WHEREAS, N.J.S.A. 40A:10-23 authorizes a municipality, in its discretion, to assume the cost of health benefit coverage and to pay the premiums for such coverage to employees who retire under certain conditions; and

WHEREAS, N.J.S.A. 40A:10-23(a) authorizes a municipality to assume the cost of health benefit coverage and to pay the premiums for such coverage for employees who have retired on a disability pension; and

WHEREAS, N.J.S.A. 40A:10-23(b) authorizes a municipality to assume the cost of health benefit coverage and to pay the premiums for such coverage for employees who have retired after 25 years or more of service credit in a State or locally administered retirement system and a period of service up to 25 years with the employer at the time of retirement, such period of service to be determined by the employer; and

WHEREAS, N.J.S.A. 40A:10-23(d) authorizes a municipality to assume the cost of health benefit coverage and to pay the premiums for such coverage for employees who have retired and reached the age of 62 years or older with at least 15 years of service with the employer; and

WHEREAS, the Township of Randolph (“Randolph”) has made a determination that it will assume the cost of health benefit coverage and pay the premiums for such coverage for (i) employees who retire on a disability pension, (ii) employees who were hired prior to January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system, (iii) employees who were hired after January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system and 25 years of full-time service with Randolph, and (iv) employees who retire and have reached the age of 62 years or older with at least 15 years of full-time service with Randolph.

NOW, THEREFORE, BE IT ORDAINED, by the Governing Body of the Township of Randolph, County of Morris, State of New Jersey as follows:

SECTION ONE. Pursuant to N.J.S.A. 40A:10-23(a), the Township of Randolph shall assume the cost of health benefit coverage and will pay the premiums for such coverage for employees who retire on a disability pension. The Township of Randolph will also assume the cost of health benefit coverage and will pay the premiums for such coverage for the spouse or civil union partner of an employee who retires on a disability pension based upon percentage of cost sharing in effect in Randolph at the time of retirement.

SECTION TWO. Pursuant to N.J.S.A. 40A:10-23(b), the Township of Randolph shall assume the cost of health benefit coverage and will pay the premiums for such coverage for employees who were hired prior to January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system. The Township of Randolph will also assume the cost of health benefit coverage and will pay the premiums for such coverage for the spouse or civil union partner and eligible dependents of employees who were hired prior to January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system based upon percentage of cost sharing in effect in Randolph at the time of retirement.

SECTION THREE. Pursuant to N.J.S.A. 40A:10-23(b), the Township of Randolph shall assume the cost of health benefit coverage and will pay the premiums for such coverage for employees who were hired after January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system and 25 years of full-time service with Randolph. The Township of Randolph will also assume fifty percent (50%) of the cost of health benefit coverage and will pay the premiums for fifty percent (50%) of such coverage for the surviving spouse or civil union partner and eligible dependents of employees who were hired after January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system and 25 years of full-time service with Randolph.

SECTION FOUR. Pursuant to N.J.S.A. 40A:10-23(d), the Township of Randolph shall assume the cost of health benefit coverage and will pay the premiums for such coverage for employees who retire and have reached the age of 62 years or older with at least 15 years of full-time service with Randolph. The Township of Randolph will also assume fifty percent (50%) of the cost of health benefit coverage and will pay the premiums for fifty percent (50%) of such coverage for the surviving spouse or civil union partner and eligible dependents of employees who retire and have reached the age of 62 years or older with at least 15 years of full-time service with Randolph.

SECTION FIVE. This Ordinance shall expire on December 31, 2010, at which time the Governing Body of the Township of Randolph shall revisit the efficiency of the Ordinance provisions.

SECTION SIX. All Ordinances of the Township of Randolph which are inconsistent with the provisions of this Ordinance are hereby repealed as to the extent of such inconsistency.

SECTION SEVEN. This Ordinance shall take effect as provided by law.

ATTEST

_____________________________
Donna Marie Luciani, Township Clerk

TOWNSHIP OF RANDOLPH

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Jay Alpert, Mayor

LEGAL NOTICE
TOWNSHIP OF RANDOLPH, COUNTY OF MORRIS
ORDINANCE NO. 06-10

NOTICE IS HEREBY GIVEN that an Ordinance entitled “An Ordinance Governing The Payment Of Premiums For Health Benefit Coverage After Retirement” was submitted in writing at a regular meeting of the Mayor and Council of the Township of Randolph, County of Morris, State of New Jersey, held on May 6, 2010 and was introduced, read by title and passed on first reading. A Statement of Purpose of the Ordinance is contained below. The Governing Body of the Township of Randolph will further consider the Ordinance for second reading and final passage thereof at their regular meeting to be held on June 3, 2010 at 8 p.m. prevailing time, at the Municipal Building, 502 Millbrook Avenue, Randolph, New Jersey 07869, at which time and place a public hearing will be heard thereon by the Governing Body and all parties in interest and citizens shall have an opportunity to be heard concerning said Ordinance.

Statement of Purpose of Ordinance

The purpose of the above Ordinance is to authorize the Township of Randolph to assume the cost of health benefit coverage and pay the premiums for such coverage for (i) employees who retire on a disability pension, (ii) employees who were hired prior to January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system, (iii) employees who were hired after January 1, 2007 and who retire after 25 years or more of service credit in a State or locally administered retirement system and 25 years of full-time service with Randolph, and (iv) employees who retire and have reached the age of 62 years or older with at least 15 years of full-time service with Randolph.

A copy of the full Ordinance is available to any member of the general public, without cost, at the Township of Randolph, Municipal Building, Millbrook Avenue, Randolph, New Jersey, at the Office of the Township Clerk, between the hours of 9:00 a.m. and 4:30 p.m.

_____________________________
Donna Marie Luciani, Township Clerk
Township of Randolph
County of Morris, State of New Jersey