ASSEMBLY, No. 1430

STATE OF NEW JERSEY

219th LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2020 SESSION

 


 

Sponsored by:

Assemblywoman  BETTYLOU DECROCE

District 26 (Essex, Morris and Passaic)

 

Co-Sponsored by:

Assemblymen Giblin, McGuckin, DiMaio, S.Kean, McKeon and Coughlin

 

 

 

 

SYNOPSIS

     Requires each school district to offer a summer payment plan for school district employees.

 

CURRENT VERSION OF TEXT

     Introduced Pending Technical Review by Legislative Counsel.

  


An Act concerning summer payment plans for school district employees and amending N.J.S.18A:29-3.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    N.J.S.18A:29-3 is amended to read as follows:

     18A:29-3.  Whenever persons employed for an academic year by a board of education shall indicate in writing their desire to participate in a summer payment plan, [and  such board of education approves such participation, then, and thereupon,] the proper disbursing officer of the board of education, under such rules as may be promulgated by the commissioner with the approval of the State board, is hereby empowered and directed to deduct and withhold an amount equal to 10% of each  semimonthly or monthly salary installment, from the payments of the salaries  made to such employees as shall participate in such plan and the accumulated  deductions for any academic year shall be paid to the employee or his estate  under such rules as may be established by the board of education in one of the  following ways:  (1) at the end of the academic year;  (2) in one or more  installments after the end of the academic year but prior to September 1;  (3)  upon death or termination of employment if earlier.  Such deductions may be deposited by the board of education in an interest bearing account in any financial institution having its principal office in the State of New Jersey.

     Any board of education which had in effect, prior to January 1, 1980, any payment plan which permitted funds to be raised in the next fiscal year is hereby authorized to continue to raise funds in this manner.

(cf: P.L.1979, c.495, s.1)

 

     2.    This act shall take effect on July 1 of the first school year next following enactment.

 

 

STATEMENT

 

     This bill amends current law, N.J.S.18A:29-3, to require that school districts offer a summer payment plan for employees who wish to participate in such a plan.  Under current law, the determination to offer such a plan is made by the school district

     Under a summer payment plan, the school district withholds an amount equal to 10% of each semimonthly or monthly salary installment, from the payment of the salaries of the employees who wish to participate in the plan.  The accumulated deductions are then paid to the employee either at the end of the school year, or in one or more payments after the end of the school year but prior to September 1.