Pension Crisis

As reported by JT Aregood from the New Jersey Observer, just months after Senate President Steve Sweeney declined to post a bill that would have effected the change with a voter-approved constitutional amendment, Democratic lawmakers in New Jersey passed a plan to require the state to make payments into its underfunded public pension system on a quarterly instead of annual basis. Having passed with an overwhelming 35-0 majority in the State Senate and a 72-0 majority in the State Assembly, the plan will now go to Governor Chris Christie’s desk.

Christie has already vetoed the proposal twice, but Sweeney said before Monday’s vote that the governor has been more receptive to the plan in their recent conversations about the bill.

In a statement after the vote, Sweeney called the bill an important step toward funding the state’s pension obligation to workers and retirees who have paid into it themselves.

“Quarterly pension payments by themselves do not solve the state’s pension crisis but this is an important step in cutting the unfunded liability and reducing the amount of money taxpayers will have to pay into the pension system in the future,” Sweeney said in a statement. “This will help make the pension funds healthier with scheduled payments that will generate financial returns. This is about living up to our commitments but it is also the best way to serve all taxpayers.”

Sweeney’s Assembly counterpart Vince Prieto, meanwhile, reiterated his support for the shelved constitutional amendment.

“The Assembly has long supported this concept, including sending it to the voters this year for consideration,” Prieto said. “New Jersey’s public servants who have done their part deserve better than repeated broken promises, but this bill would at least represent progress toward a more fiscally responsible approach.”

Once again, Governor Christie has his opportunity to be fiscally responsible by passing this bill that will result in more accountability for State Government when it comes to funding the Public Pension System.  While we agree that quarterly payments will not necessarily result in a reduction of the unfunded liability and funding of present pension obligations, signing this bill will at least demonstrate that the Governor has an interest in addressing this problem as it will now rear its ugly head every three months.  Whether its quarterly payments, bi-annual payments or annual payments stop kicking the can down the road.  If the public employees are paying into the system the government needs to undertake its legal obligation as well.

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FRANK M. CRIVELLI, ESQ.

Frank M. Crivelli’s practice revolves around the representation of over eighty-five (85) labor unions in various capacities, the majority of which bargain for law enforcement entities. He is proud to be called on a daily basis to provide counsel to over 12,000 state…

Frank M. Crivelli’s practice revolves around the representation of over eighty-five (85) labor unions in various capacities, the majority of which bargain for law enforcement entities. He is proud to be called on a daily basis to provide counsel to over 12,000 state, county and local law enforcement officers, firefighters and EMS workers.

Mr. Crivelli specializes his individual practice in collective negotiations.  Over the past twenty (20) years, Mr. Crivelli has negotiated well over one hundred (100) collective bargaining agreements for various state, county, municipal and private organizations and has resolved over thirty-five (35) labor agreements that have reached impasse through compulsory interest arbitration.  Mr. Crivelli routinely litigates matters in front of the New Jersey State Public Employment Relations Commission, the New Jersey Office of Administrative Law, third party neutrals for mediation, grievance and interest arbitration, the Superior Court of New Jersey and the United States District Court for the District of New Jersey.

Mr. Crivelli founded and created the New Jersey Public Safety Officers Law Blog (www.njpublicsafetyofficers.com) approximately fifteen (15) years ago where he and members of his firm routinely publish blog posts regarding legal issues related to the employment of New Jersey Public Safety Officers.  The blog now contains over six hundred (600) articles and is reviewed and relied upon by thousands of public employees.  Mr. Crivelli has also published books and manuals pertaining to New Jersey Public Employee Disability Pension Appeals and the New Jersey Worker’s Compensation System. Currently, he is drafting a publication on how to Prepare and Negotiate a Collective Bargaining Agreement.  He lectures annually at the New Jersey State PBA Collective Bargaining Seminar, the National Association of Police Organization’s Legal Seminar, the New Jersey Public Employment Relations Commission Seminar on Public Employment Labor Law, the United States Marine Corps’ Commander’s Media Training Symposium and to Union Executive Boards and General Membership bodies on various labor related topics.

Prior to entering private practice, Mr. Crivelli joined the United States Marine Corps where he served as a Judge Advocate with the Legal Services Support Section of the First Force Services Support Group in Camp Pendleton, California.  While serving in the Marine Corps, Mr. Crivelli defended and prosecuted hundreds of Special and General Court Martial cases and administrative separation matters.  In addition to his trial duties, Mr. Crivelli was also charged with the responsibility of training various Marine and Naval combat command elements on the interpretation and implementation of the rules of engagement for various military conflicts that were ongoing throughout the world at that time. After leaving active duty, Mr. Crivelli remained in the Marine Corps Reserves where he was promoted to the rank of Major before leaving the service.

For the past fifteen (15) years, Mr. Crivelli has been certified as a Civil Trial Attorney by the Supreme Court for the State of New Jersey, a certification which less than two percent (2%) of the attorneys in New Jersey have achieved.  He is a graduate of Washington College (B.A.), the City University of New York School of Law (J.D.), the United States Naval Justice School, and the Harvard Law School Program on Negotiation.