I. State Issues
a. Report of NJ Economic & Fiscal Policy Workgroup Issued
On Thursday, the Legislative Economic and Fiscal Policy Workgroup issued their
report. When created by Senate President Sweeney the workgroup was charged with a “broad mission to identify ways to address soaring pension and benefit costs, hold down property taxes, make state and local government and school districts more efficient, assess the equity and efficiency of our state and local tax structure, leverage the value of state assets, and mitigate the negative impact of the federal tax law that targeted high-cost states.” The recommendations of the workgroup were divided into five categories: Pension and Benefit Reforms; Education Reform at the Administrative Level; County & Municipal Government Reform and Shared Services; State and Local Government Tax Structure; and Leveraging Assets to Stabilize the Pension System.
Despite earlier press reports to the contrary, the report does
NOT recommend mandating the consolidation of any municipalities. For more on this, please see the League’s alert from early today at:
https://www.njslom.org/Archive.aspx?ADID=743.Contact: Michael F. Cerra, Assistant Executive Director,
mcerra@njslom.org, 609-695-3481 x120.
b. Court Issues Ruling Ensuring Local Concerns are Addressed When
State Develops its Own Property
On Monday, the NJ Supreme Court issued an opinion that limits the immunity from local zoning laws and regulations, enjoyed by State agencies. The Montclair State University v. County of Passaic, decision helps to ensure that municipal concerns are better considered when a State agency seeks to develop its own property.
Historically, State agencies such as State colleges, were given qualified immunity from municipal land use regulations. To be entitled to this immunity, however, the Court has previously ruled that the agency must first demonstrate that a planned action is reasonable, and that the agency reasonably consulted with local authorities and took into consideration legitimate local concerns, but did not require that local concerns actually be addressed.
The Montclair decision now adds an additional requirement. The Court now requires that, “where a facially legitimate public safety concern is raised about an immune entity’s planned improvement to lands, which would have a direct impact on non-state-owned property,” the state entity must show that its planning has addressed the safety concern. The ruling does not require a State entity to get local planning board approval for development, but it does provide a mechanism to ensure local safety concerns are addressed.
You should review this ruling with your municipal attorney for more information on how the ruling will impact your municipality.
Contact: Frank Marshall, Esq., League Staff Attorney, FMarshall@njslom.org, 609-695-3481 x137.
c. State Supreme Court Upholds Legislative Override of “Job Banding”
Rules
This week, the NJ Supreme Court upheld the state Legislature’s use of the Legislative Review Act to invalidate rules promulgated by the Civil Service Commission, under the Christie administration. In Communications Workers of America, AFL-CIO v. NJ Civil Service Commission, the Court was tasked with determining whether or not the Legislature followed the procedures necessary to effectuate their authority to invalidate administrative rules.
The administrative rules in question would have changed how public employees are promoted, at both the State and local level. The Civil Service Commission’s proposed rules sought to group together similar job titles into, “job bands” and would allow employers to promote employees within the same job band without requiring competitive examinations. The Legislature saw the rule change as being contrary to the State’s Civil Service Law and sought to invalidate it using authority vested in them through the Constitution and outlined within the Legislative Review Act.
Questions were raised, however, concerning the accuracy of the procedures used by the Legislature to invalidate the Commission’s rules. In the end, the Court ruled that the Legislature followed necessary procedures and properly exercised their authority under the Review Act, thus invaliding the “job banding” rules.
Contact: Frank Marshall, Esq., League Staff Attorney, FMarshall@njslom.org, 609-695-3481 x137.
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