Top N.J. Democrats proposed bill that would allow awards reached through arbitration to exceed 2 percent for one year Watch video
Assembly Speaker Sheila Oliver (D-Essex) and Senate President Stephen Sweeney (D-Gloucester).TRENTON — The state’s top two Democrats offered a compromise to Gov. Chris Christie today on arbitration reform — one of the most important pieces of his “tool kit” to curtail property taxes.
Christie has proposed a 2 percent cap on annual pay increases for police and firefighters. Senate President Stephen Sweeney (D-Gloucester) and Assembly Speaker Sheila Oliver (D-Essex) today proposed a bill that would allow awards reached through arbitration to exceed 2 percent for one year, as long as they remain within a 2 percent cap for the entire life of the contract.
Christie has pressured Sweeney and Oliver to pass his “tool kit” measures with a series of town hall meetings where he uses a prop calendar to count down the days the Legislature has left to take up the bills before leaving for winter break.
“We think we’ve crafted a very solid bill, and quite frankly when the mayors see this, I think they’ll actually be shocked that we could have come to this,” said Sweeney. “To me it’s revolutionary, because you’ve modernized arbitration in the state of New Jersey, of all states.”
When a town deadlocks with its police or firefighter union during negotiations, a third-party arbitrator is called in to settle the dispute. Although towns will be locked into a 2 percent property tax cap starting in January, right now there is nothing to stop arbitrators from awarding raises that exceed it.
If enacted, the law would sunset after three years to give officials a chance to evaluate its effects and decide whether the cap should be re-imposed. Other forms of compensation — such as longevity, length of service and salary increments — would be included in the cap. Health care and pension costs would be exempted, as they are in the property tax cap.
Although proposed as a compromise, the Democrats have not yet struck an agreement with Christie on the bill. Oliver and Sweeney, who have been negotiating with the governor on “tool kit” legislation, said they reached out to Christie yesterday but his schedule was too packed to meet with them.
“I could not fathom the governor not being pleased with what we’ve tried to do here,” said Oliver.
Previous coverage:
• N.J. Democrats to offer compromise on Christie's proposed arbitration reform
• Municipal officials accuse N.J. lawmakers of stalling on passing key 'tool kit' measures'
• N.J. Assembly Democrats postpone voting on arbitration change for public workers
• N.J. Democrats propose changes for police, firefighter contract dispute arbitration
• N.J. police contracts benefit from salary arbitration threat, officials say
• Gov. Chris Christie tells N.J. mayors to expect state aid cuts in upcoming budget