Borough of Red Bank, NJ Article II Personnel Actions and Records

§ 105-2 Retirement.

A. Policy. The Borough participates in the State of New Jersey Public Employees Retirement System and Police and Firemen's Retirement System. Rules and regulations concerning retirement are established by these state agencies.

B. A full-time employee who retires may continue his/her health insurance through the Borough's group health plan. In accordance with N.J.S.A. 40A:10-23, the Borough will provide paid medical benefits for the retiring employee and spouse as follows:

(1) Retire on a disability pension approved by the Public Employees Retirement System;

(2) Retire with 25 years of service credit in the Public Employees Retirement System with the last 20 consecutive years of employment with the Borough at the time of retirement;

(3) Upon reaching the age of 62 years of age or older with the last 20 years of service credit in the Public Employees Retirement System with the last 15 years of service with the Borough at the time of retirement.

C. If a retiree is eligible for free insurance through other employment, the Borough will not carry him/her. The retiree would be required to sign an affidavit stating that he/she does not have other coverage. This shall apply to those who retire after January 1, 1982. Any other full-time employee may continue on a full contributory basis.

D. Part-time employees who have participated in the Borough's Group Health Plan during their employment may continue in the plan on a full contributory basis upon retirement.

E. Procedure. A Borough employee who wishes to retire, and who is a member of either the Public Employees Retirement System or the Police and Firemen's Retirement System, should notify his/her department head and the Administrator at least six months prior to the planned date of retirement. This notice will enable the Borough's pension officer to ensure that all forms are filed and that the employee secures the benefits he/she desires. It is recommended that employees meet with a state pension counselor prior to filing for retirement to assure a full understanding of the various retirement options available.

F. To ensure that an employee received his/her full terminal leave payment upon retirement, the employee should notify his/her department head prior to January 1 of the year in which the employee intends to retire. Failure to submit this notice may result in a delayed terminal leave payment.