TRENTON, NJ — A new legislative bill in New Jersey aims to tighten eligibility criteria for health care benefits for elected municipal and county officials, aligning it with existing standards for the State Health Benefits Program (SHBP). Under the proposed bill, only those elected officials who work 35 or more hours per week will qualify for health care benefits, a measure that does not currently extend to officials in areas not participating in the SHBP.
Key aspects of the bill include:
- Eligibility Limitations: Elected officials must work a minimum of 35 hours per week to qualify for health care benefits in municipalities and counties outside the SHBP. Current officials receiving benefits will continue to do so provided they remain eligible under the previous guidelines and maintain continuous eligibility.
- Waiver Payments: The bill prohibits elected officials who opt out of health care benefits from receiving any form of compensation in lieu of benefits. This policy is set to align with the treatment of certain public employees under the SHBP.
Additionally, the bill codifies the Pension Fraud and Abuse Unit (PFAU) within the Department of the Treasury. Established by executive order in 2013, the PFAU is tasked with preventing and investigating pension fraud and other abuses in state-administered retirement systems and benefits programs, including disability pension claims and improper benefits accrual. This legislation will grant the unit subpoena power, enhancing its capability to conduct thorough investigations.
This measure comes in response to findings from a State Comptroller report, which highlighted the PFAU’s limited authority to enforce compliance during investigations. By formally establishing the unit within the Department of the Treasury, the bill seeks to provide the necessary tool