Wednesday, February 25, 2015

Christie: Accord Reached With NJEA On Pensions

Today Governor Christie presented his FY2016 Budget to the NJ legislature and laid out additional reform proposals for the pension and health benefits system, including a groundbreaking roadmap for reform with the NJEA to work towards solutions on these issues moving forward.  There is more work to be done, but the Governor has found common ground with a long-time political opponent to bring fundamental change to these systems that, without reform, threaten the state’s fiscal health.

The Roadmap, signed by the NJEA, agrees to continue talks to pursue ideas including:

·         Freeze Of Existing Pension Plans And Replacement With New Retirement Plans.
·         Transfer Of Control Of Pension Funds To The NJEA.
·         A Constitutional Amendment Guaranteeing Consistent State Funding.
·         Work Collaboratively With The State To Pursue Meaningful Savings In Health Care Costs.

The Governor also formally endorsed the full proposals of the nonpartisan New Jersey Pension and Health Benefits Study Commission – a separate set of sweeping recommendations to lowers costs, secure these systems and bring fairness for taxpayers.

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