N.J. Admin. Code § 17:1-6.1

Current through Register Vol. 56, No. 11, June 3, 2024

Section 17:1-6.1 - Honorable service

(a) The receipt of a public pension or retirement benefit is expressly conditioned upon the rendering of honorable service by a public officer or employee. Pursuant to 43:1-3, the Boards of Trustees of the State-administered retirement systems are authorized to order the forfeiture of all or part of the pension or retirement benefit of a member of the fund or system for misconduct occurring during the member's public service, which render the member's service or part thereof, dishonorable.

1. In cases where a member is subject to charges that may render the member's service or part of that service dishonorable, the employer shall submit all documentation regarding the charges brought against the member to the Division and to the employee before any benefit claims will be processed. Such documentation may include, but is not limited to: reports related to the employee's misconduct, disciplinary action taken, plea agreements, and sentencing and plea transcripts. The Board of Trustees will review honorable service issues prior to a disability application being processed.

2. All claims for retirement and death benefits will be held in abeyance until the Division receives the required documentation regarding the charges brought against the member.

(b) Whenever the Board of Trustees determines that a partial forfeiture of pension or retirement benefits is warranted, it shall order that benefits be calculated as if the accrual of pension rights terminated as of the date the misconduct first occurred unless (c) below applies.

(c) In circumstances where the termination of pension rights as of the date of the misconduct results in no reduction, or a minimal reduction of pension or retirement benefits, or in an excessive forfeiture, as compared to the nature and extent of the misconduct and the years of honorable service, the Board may, in its sole discretion, provide a more equitable relief. Alternate methods available to the Board when a forfeiture of service renders an unreasonable or unjust result include, but are not limited to:

1. Forfeiture of salary credit upon which retirement benefits are based;

2. Forfeiture of system-paid retired State Health Benefits;

3. Forfeiture of right to participate in the retired SHBP and SEHBP;

4. Reduction in monthly retirement allowance;

5. Forfeiture of service and/or salary credit in a specific title or rank;

6. Forfeiture of service in excess of that needed to qualify for a specific retirement benefit; or

7. Forfeiture of a percentage of the retirement benefit based on the calculation of the percentage of time which was dishonorable service as compared to the total years and months of service credit.

(d) A retiree's retirement allowance shall be immediately suspended as of the date of an incarceration as a result of a conviction of a crime involving moral turpitude. In cases in which a retiree is incarcerated, the member's spouse or other dependents may file a dependency claim, in order to prove they are dependent on the monthly retirement allowance of the incarcerated member for financial support.

1. A dependent must submit evidence in support of the claim of dependency, through tax statements, completed state and Federal income tax returns, a listing of monthly bills and expenses, and other financial documents that indicate financial dependency on the member.

2. The Board of Trustees or the Division shall award the dependent a monthly benefit in cases where financial dependence on the incarcerated member's earnings is established. The awarded benefit may be lower than the member's monthly pension allowance, as it is based on the dependent's need.

N.J. Admin. Code § 17:1-6.1

Amended by 48 N.J.R. 1306(a), effective 6/20/2016