New Jersey § 43:3c-9

§ 43:3c-9.

a. For purposes of this section, a “ non-forfeitable right to receive benefits ” means that the benefits program, for any employee for whom the right has attached,

cannot be reduced. The provisions of this section shall not apply to post-retirement medical benefits

which are provided pursuant to law. b. Vested members of the Teachers' Pension and Annuity Fund, the Judicial Retirement

System, the Prison Officers' Pension Fund, the Public Employees' Retirement System,

the Consolidated Police and Firemen's Pension Fund, the Police and Firemen's Retirement

System, and the State Police Retirement System, upon the attainment of five years

of service credit in the retirement system or fund or on the date of enactment of

this bill, whichever is later, shall have a non-forfeitable right to receive benefits

as provided under the laws governing the retirement system or fund upon the attainment

of five years of service credit in the retirement system or fund or on the effective

date of this act, whichever is later. This subsection shall not be applicable to a person who becomes a member of these

systems or funds on or after the effective date of P.L.2010, c. 1 , except that such person shall not include a person who at the time of enrollment

in the retirement system or fund on or after that effective date transfers service

credit, as permitted, from another State-administered retirement system or fund of

which the person was a member immediately prior to the effective date and continuously

thereafter, but shall include a former member of the retirement system or fund who

has been granted a retirement allowance and is reenrolled in the retirement system

or fund on or after that effective date after becoming employed again in a position

that makes the person eligible to be a member of the retirement system. c. (1) The State and all other applicable employers shall make their annual normal

contribution to each system or fund as determined by the applicable board of trustees

in consultation with the system's or fund's actuary. The State and all other applicable employers shall also make their annual unfunded

accrued liability contribution to each system or fund as determined by the applicable

board in consultation with the system's or fund's actuary, pursuant to standard actuarial

practices authorized by law, unless: (1) there is no existing unfunded accrued liability

contribution due to the system or fund at the close of the valuation period applicable

to the upcoming fiscal year; or (2) there are excess valuation assets in excess of

the actuarial accrued liability of the system or fund at the close of the valuation

period applicable to the upcoming fiscal year. The annual normal contribution plus the annual unfunded accrued liability contribution

shall together be the annual required contribution, provided, however, that for the

State, section 38 of P.L.2010, c. 1 ( C.43:3C-14 ) shall apply with regard to the State's annual required contribution. The amount of the State's annually required contributions shall be included in all

annual appropriations acts as a dedicated line item. (2) Each member of the Teachers' Pension and Annuity Fund, the Judicial Retirement

System, the Prison Officers' Pension Fund, the Public Employees' Retirement System,

the Consolidated Police and Firemen's Pension Fund, the Police and Firemen's Retirement

System, and the State Police Retirement System shall have a contractual right to the

annual required contribution amount being made by the member's employer or by any

other public entity. The contractual right to the annual required contribution means that the employer

or other public entity shall make the annual required contribution on a timely basis

to help ensure that the retirement system is securely funded and that the retirement

benefits to which the members are entitled by statute and in consideration for their

public service and in compensation for their work will be paid upon retirement. The failure of the State or any other public employer to make the annually required

contribution shall be deemed to be an impairment of the contractual right of each

employee. The Superior Court, Law Division shall have jurisdiction over any action brought

by a member of any system or fund or any board of trustees to enforce the contractual

right set forth in this subsection. The State and other public employers shall submit to the jurisdiction of the Superior

Court, Law Division and shall not assert sovereign immunity in such an action. If a member or board prevails in litigation to enforce the contractual right set

forth in this subsection, the court may award that party their reasonable attorney's

fees. d. This act 1 shall not be construed to preclude forfeiture, suspension or reduction in benefits

for dishonorable service. e. Except as expressly provided herein and only to the extent so expressly provided,

nothing in this act shall be deemed to (1) limit the right of the State to alter,

modify or amend such retirement systems and funds, or (2) create in any member a right

in the corpus or management of a retirement system or pension fund. The rights reserved to the State in this subsection shall not diminish the contractual

rights of employees established by subsections a., b., and c. of this section. f. Nothing in the provisions of P.L.2018, c. 55 shall be interpreted to diminish the non-forfeitable right to benefits provided to

any member of the Police and Firemen's Retirement System under State law or affirmed

by a ruling or holding of a court in the Judiciary Branch of State government. 1

L.1997, c. 113 (N.J.S.A. § 43:3C-9.1 to § 43:3C-9.5).