Legislative e-Newsletter

June 2010

Legislation to Lower the Cap on the Employer Contribution to Alternative Benefit Programs (ABP) Passes in Trenton

The Legislature approved legislation on June 29, 2010 that changes faculty retirement benefits under the Alternate Benefits Program (ABP) effective July 1, 2010. The legislation caps the employer’s 8% contribution at the salary level for members of the Governor’s Cabinet, currently $141,000. The previous cap was set at the federal limit of $245,000.  

Rutgers AAUP-AFT leaders are consulting with our attorney now to see if legal actions can be taken. Passage of this legislation amounts to a pay cut--and this is being done in the context of the University’s announced pay freeze that is illegal and against which we are fighting back.

This ABP cap legislation was proposed by the Governor to balance his budget, but it could easily have the opposite effect. It is becoming clearer to us that the Governor and Rutgers administration do not appreciate that these cuts and freezes can only further damage the University and the state economy by driving out and keeping away outstanding faculty and their research programs.

Assembly bill #A3008 and an identical Senate bill #S2094 limit the State ABP contributions for higher education faculty whose salary exceeds the statuory maximum salary of Executive Branch department heads.

Read the bill language, S2094/A3008
Read the statement explaining the S2094/A3008

This legislation was fast-tracked in the NJ legislature. It seriously impacts the top Principal Investigators at Rutgers. Read the Rutgers FY 2009 Research Funding Databook to find data about the amounts of external grant dollars that these researchers bring into the State.

Archives

March 5, 2010 e-Newsletter

Budget Primer (NJ Policy Perspective, February 22, 2010)

Key documents that explain the budget process assembled by the New Jersey Policy Perpsectives group. Visit this non-partisan think-tank at http://www.njpp.org/

New Jersey Income Tax Misconceptions, March 2, 2010

Contrary to popular opinion, New Jersy taxes are not higher than our neighboring states. The structural problem in New Jersey is that property taxes are the sole source oif local revenue available to K-12 public schools, numicipalities, and counties. Cutting Rutgers budget does not nothing to lower property taxes.

Higher Education press conference, March 3, 2010

Launch of AFT Rutgers website:http://www.aftrutgers.org/

Quote of the Week:
"No matter how you approach it these proposed higher education cuts will make it much harder for New Jersey to recover from the economic recession both now and for years to come" Pamela R. Lampitt (D-Camden), Chair of the Assembly Higher Education Committee

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February 19, 2010 e-Newsletter
How Big is the State Deficit? Feb 16, 2010

Basics on how the state deficit is being projected from New Jersey Policy Perspectives (NJPP), a think tank noted for sound nonpartisan analysis of state budgets

Christie's "Emergency" Speech, Stile's commentary Feb 12, 2010

Columnist Charles Stile, writing in the Bergen Record, describes the political landscape after Governor Christie's "Emergency" Speech on Feb.12 when he announced cuts to the current fiscal year budget. Although the analysis does not discuss the impact of higher education cuts, we believe they threaten New Jersey receiving federal stimulus dollars.

Quote of the Week
"Governor Christie’s ill-advised plan steers New Jerseyans toward property tax increases, potential hospital closures and the possibility of higher tuition and transit fares that are no different than tax hikes." Assembly budget chairman Louis Greenwald (D-Camden) quoted in the Star Ledger: "N.J. Gov. Chris Christie defends invoking emergency powers for budget," Claire Heininger/Statehouse Bureau, Feb. 12 http://www.nj.com/news/index.ssf/2010/02/gov_chris_christie_defends_inv.html

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