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The Assembly Appropriations Chairwoman Thursday will consider a bipartisan package of six bills sponsors say will provide public employee pension and benefit reform.

The hearing will come two days after Gov. Chris Christie introduces a $29.2 billion 2010-11 that includes a plan to skip the administration's $3 billion contribution to the pension systems that serve state and local government employees and educators. The system is underfunded by $46 billion and at risk of becoming insolvent unless changes are made.

"Our pension and benefits system, is unsustainable for taxpayers and public workers alike," said Assemblywoman Nellie Pou (D-Passaic), the Appropriations Committee chairwoman. "Everyone needs to recognize the enormous unfunded liabilities in the public employee benefits system and the burden carried by taxpayers.

"No matter what your point of view, the time for blame and finger pointing is long past. But what everyone can do is work together to ensure we make bipartisan changes that are fair to both taxpayers who fund the system and public workers who rely on it."

Assemblyman Sam Thompson (R-Middlesex), the ranking Republican on the panel, said, "This is the beginning of returning common sense and sanity to a pension system that is nearing collapse after irresponsible and short-sighted decisions. We must enact this legislation, among other reforms of the pension system, or many hard-working employees may lose their retirement security and families will continue to see their tax dollars wasted on a senseless pension system.

The committee will consider:

A2461, which would:

• Limit pension system enrollment to new full-time employees who work at least 35 hours per week for the state or 32 hours for local government and schools;
• Require all workers with more than one public job to receive a pension for only one job, with only the highest-salaried position counting toward a pension;
• Allow new employees earning at least $5,000 annually to enroll in a 401(k)-style plan;
• Change the equation used to calculate pensions for new employees by dividing the number of years worked by 60, rather than 55, thus reversing for new workers the 9 percent benefit enhancement enacted in 2001;
• Base pensions for new public workers and teachers on the five highest salary years, rather than the highest three;
• Base pensions for new police and firefighters on the three highest salary years rather than the highest single year;
• And eliminate the non-forfeitable right to pension benefits after five years in the system for new employees.

A2460, which would:

• Require all public employees to pay at least 1.5 percent of their salary toward health benefits after the expiration of a current contract;
• Require all newly hired employees to pay at least 1.5 percent of their base pension toward health benefits upon retirement;
• Require that any changes negotiated by the state – such as higher co-pays – with its employees be applied to every government entity participating in state health benefits programs;
• Prohibit multiple coverages in state health benefits programs;
• Require new state workers to work at least 35 hours per week to qualify for health benefits;
• And require new local and school employees to work at least 25 hours per week to quality for health benefits.

A2459, which would:

• Limit sick leave payouts for all new local and school employees to $15,000, just as it already is for state employees;
• And prohibit local government and school employees to carry over only one year of vacation time year-to-year.

ACR115, which would:

• Ask voters during a November election to amend the state Constitution to require the state to pay the full amount of its required pension fund contribution.

A2505, which would:

• Limit the salaries of executive directors at state and local authorities to the amount of the governor's salary, which is currently $175,000;
• Limit the salaries of other authority employees to the amount earned by a state cabinet officer, which is currently $141,000;
• And require the authorities to adopt the same cost-sharing for health benefits as required by the state.

And A2499, which would:

• Eliminate eligibility for any state-administered retirement system for newly hired officers and employees of groups such as the New Jersey State League of Municipalities, the New Jersey Association of Counties and the New Jersey School Boards Association.
• Eliminate the eligibility of all such officers and employees for health care benefits coverage through the State Health Benefits Program or through any health care benefits plan provided by the state or a political subdivision of the state.

The hearing will begin at 11 a.m. in the Statehouse Annex in Trenton.

– TOM HESTER SR., NEWJERSEYNEWSROOM.COM