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July 30, 2021 I. State Issues II. Federal Issues III. COVID-19 Weekly Update Municipal Clerks: Please forward to your Mayor, Governing Body, and Department Heads. To assist in providing guidance and information we have created a COVID-19 resource page. We will continue to update the page as we get pertinent information and include announcements in our Daily Updates. ******************************************************************************************************
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I. State Issues
a. Sample Resolution Opposing the Responsible Collective Negotiation Act Before the end of the budget break both the Senate and Assembly were poised to consider the “Responsible Collective Negotiations Act” (S-3810/A-5862). This fast-tracked legislation would effectively subject to negotiations the entire list of subjects that are inherent managerial prerogatives based on 50 years of PERC law. Fortunately, thanks to the outpouring of opposition from municipal and county officials, the bills were held. But they could return for the “lame duck” session later this year. We understand that several mayors have been directly contacted by public unions pushing this legislation touting the benefits it would have to local governments. We strongly disagree. While S-3810/A-5862, as amended, does make all terms and conditions of employment permissive subjects of negotiations, we object to the unintended consequences of this proposal. Please see our June 23 Legislative Alert detailing the concerns and objections to these bills. We also ask you consider adopting the sample resolution opposing S-3810/A-5862. Contacts: b. DOJ Opinion Provides Insight for Public and Private Employers Requiring COVID-19 Vaccination An opinion released this week from the U.S. Department of Justice (DOJ) examines whether or not federal law prohibits public agencies and private businesses from requiring COVID-19 vaccines. According to the opinion, “section 564 of the FDCA [Food, Drug, and Cosmetic Act] does not prohibit public or private entities from imposing vaccination requirements, even when the only vaccines available are those authorized under EUAs [Emergency Use Authorizations].” The opinion from the DOJ is in line with several legal challenges from across the country, such as one brought by employees of a hospital in Houston and another by students at Indiana University, which sought unsuccessfully to block policies mandating COVID-19 vaccinations. For an additional resource on this topic, the NJ Municipal Excess Liability Joint Insurance Fund offers a Bulletin to its members regarding mandatory vaccination of employees and recommends reviewing such policies with your municipal attorney prior to implementation. For specific legal guidance on mandatory vaccination policies, how to address an individual employee’s issues concerning vaccinations, or before implementing such a policy, municipalities are strongly encouraged to seek legal guidance from their municipal and labor attorneys. Contact: Frank Marshall, Esq., Associate General Counsel, fmarshall@njlm.org, 609-695-3481, x137.
c. CY 2021/SFY 2022 State Aid Payment Schedule The Division of Local Government Services has issued Local Finance Notice 2021-12 summarizing the state aid payment and payment schedule dates. While the adopted SFY 2020 state budget maintained formula aid program appropriations, the Open Space PILOT was increased by 54%. The aid breakdown and amounts for each municipality is available on the Division's website under Municipal State Aid.
Contact: Lori Buckelew, Assistant Executive Director, lbuckelew@njlm.org, 609-695-3481, x112.
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II. Federal Issues
a. Federal Infrastructure Update The Senate announced they have reached an agreement on a 5-year, $1 trillion traditional infrastructure package. The act, titled the Infrastructure Investment and Jobs Act includes funding for roads, rails, bridges, ports, broadband, clean water, clean energy, cyber security, and electric vehicle infrastructure. It is expected that 2 million jobs will be created per year with passage of this legislation. For more information and a summary of the legislation, please see the League’s recent blog post. Contact: Paul Penna, Legislative Analyst, ppenna@njlm.org, 609 695-3481, x110.
b. Governor’s Office Seeks Input on State Use of Funding This week, Governor Phil Murphy’s office held two public Zoom meetings to seek input on how the state should spend the $6.2 billion in federal Coronavirus State and Local Fiscal Recovery Funds. A diverse group of business advocacy organizations, organized labor unions, affordable housing advocates, community development groups, special needs services, undocumented residents groups, environmental advocates, child protection groups, hospitality groups, education advocates, and public transit advocates were among many that advocated for funding to help their organizations. Roughly $2.3 billion was appropriated in the Fiscal Year 2022 budget enacted in June. The state has until 2024 to expend the remaining funds within the eligible use categories including responding to the public health emergency/negative economic impacts; revenue loss; premium pay; and water, sewer, and broadband infrastructure. We encourage you to share your ideas and suggestions via email with the Governor’s office by the end of August. If you submit comments to the Governor’s office, please send us a copy at the email below. Contact: Paul Penna, Legislative Analyst, ppenna@njlm.org, 609 695-3481, x110.
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III. COVID-19 Weekly Update This week Governor Murphy provided another update on positive COVID cases that occur in people fully vaccinated, otherwise known as breakthrough cases, and the vaccine’s efficacy. The Governor noted that “the effective rate of the vaccines is protecting a fully vaccinated individual against testing positive for coronavirus. It’s roughly 99.9% effective, and of those who do test positive after full vaccination, their cases are overwhelmingly proving to be minor, thank God, in scope. The efficacy of the vaccines against a case of COVID that would require hospitalization continues to exceed 99.99% and against death it remains at 99.999%.” The Governor also noted that the spread of COVID among the unvaccinated is increasing and there has been an uptick in numbers due to the Delta variant. The Governor continued to urge New Jersey residents to get vaccinated. COVID Data for July 30, 2021:
Rescinding the Expiration of Executive Order 115 & P.L. 2020, c. 115 Last week we noted that the Division of Pension and Benefits provided guidance that certifying officers must terminate employees who returned to employment under the provisions of Executive Order 115. On July 27, the Division of Pensions issued a retraction of the July 16 Certifying Officer Letter. Since P.L. 2020, c. 115 allows for the continuation of employment and immediate enrollment in the State Health Benefits Plan (SHBP) of such employees until the end date of the incident period for either the Public Health Emergency or State of Emergency, whichever is later. While Executive Order 244 ended the COVID-19 Public Health Emergency effective Friday, June 4, 2021, it did not end the State of Emergency. Therefore, the provisions of P.L. 2020, c. 115 remain in effect until the end of the State of Emergency. In addition, members of the Police and Firemen’s Retirement System (PFRS) and Public Employees’ Retirement System Law Enforcement Officers (PERS-LEO) who were retained past the age of Mandatory Retirement under the provisions of P.L. 2020, c. 115, and who have filed for an August 1, 2021, retirement date based on the end of the Public Health Emergency, may choose to cancel their retirement and reapply at the end of the State of Emergency. These members should log into their Member Benefits Online System (MBOS) account and cancel their application. Vaccine Information As a reminder, the Department of Health provides access to individuals COVID vaccination records through NJ Docket, a secure and free smartphone app Docket, which is CDC approved. Homebound residents who have not yet connected with their local health department, or a home health agency, and who need an in-home vaccination should visit www.covid19.nj.gov/homeboundvax or contact the call center at 855-568-0545. Contacts:
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