P.O. Box 909 ● Trenton, NJ 08605-0909 ● Phone: 609.695.7600 ● Fax: 609.695.0413 ● Web: www.njsba.org/PI

NJSBA-Supported Amendment Applies Pension/Benefit Reform to More Districts
Would Require Employee Health Care Contribution in All School Districts

TRENTON, February 19, 2010—The Senate State Government Committee yesterday added an NJSBA-supported amendment to Senate Bill 3, the part of the Senate’s pension/benefit reform package that addresses employee health coverage. Under the amendment, all public school employees would contribute an amount equivalent to 1.5 percent of their salary to cost of health benefits regardless of the insurance carrier used. The original version of the bill applied only to staff members covered through the state-run School Employee Health Benefits Program.

Currently 47 percent of school districts participate in the state plan. The NJSBA supported amendment, approved Thursday, will extend required employee contribution to health insurance premium to the 53 percent of districts that use private insurance carriers.

The contribution under the S-3 amendment would be in addition to “any other amount that may be required additionally by contract with such employers.”

NJSBA testified in support of the pension/benefits reform package (S-2, S-3 and S-4) at Thursday’s hearing. The committee acted favorably on the entire package, with the S-3 amendment. The legislation is scheduled for a Senate vote on Monday, Feb. 22.

The New Jersey School Boards Association, a federation of district boards of education, advocates the interests of school districts, trains local school board members, and provides resources for the advancement of public education.