[Adopted 7-6-1978 by Ord. No. 351-78]
Any employee or official of the Township of
Middle who shall meet the requirements, both with respect to age and
with respect to length of employment, of the New Jersey Public Employees'
Retirement System for retirement and for the payment of a retirement
pension shall be entitled to a lump-sum payment for accumulated sick
leave.
[Amended 1-14-1987 by Ord. No. 558-86; 2-4-1987 by Ord. No. 563-87]
A.
For employees hired prior to January 1, 1987, said
lump-sum payment shall be calculated by using the number of days of
sick leave which have been accumulated and which have not been used
to a maximum of 260 and multiplying said number of days by the daily
pay rate of the retiring individual immediately preceding retirement.
Said daily pay rate shall be calculated by dividing the annual pay
rate of the retiring person immediately prior to retirement by 261.
B.
For employees hired on or after January 1, 1987, said
lump-sum payment shall be calculated by using the number of days of
sick leave which have been accumulated and which have not been used
to a maximum limit of 180 days, except as provided below, and multiplying
said number of days by the daily pay rate of the retiring individual
immediately preceding retirement. Said daily pay rate shall be calculated
by dividing the annual pay rate of the retiring person immediately
prior to retirement by 261. No employee shall receive an amount in
excess of $12,000 under the terms of this subsection.
The total gross lump-sum payment shall not exceed
the total gross annual salary to which the retiring individual would
have been entitled in the year of retirement, based upon salary immediately
preceding retirement. From said gross lump-sum payment shall be deducted
those taxes required by law to be deducted, and the determination
of the necessity and amount of said deductions shall be in accordance
with the opinion of the Township Auditor.
[Amended 7-18-2011 by Ord. No. 1389-11]
In order to permit proper budgetary provisions
to be made, any employee entitled to payment of accumulated sick leave,
vacation or personal days shall notify the Township Treasurer no later
than December 31 of the year prior to retirement with written notification.
In the absence of such timely notification, the employee shall be
paid his or her termination payment on or before June 30 of the year
after retirement, or, at the discretion of the Township Committee,
the employee may be paid the termination payment but only if the payment
is less than $5,000 and approved by resolution.
