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PO Box 295TRENTON, NJ 08625-0295

LOCATION:

50 WEST STATE STREET

TRENTON, NEW JERSEY~hrlc of Ncfn 3JcrsctJDEPARTMENT OF THE TREASURY

DMSION OF PENSIONS AND BENEFITS(609) 292-7524 TDD (609) 292-7718www.state.nj.us/treasury/pensions

CHRIS CHRISTIE

GovernorANDREW P. SIDAMON-ERISTOFF

State Treasurer

KIM GUADAGNOLt. Governor

FLORENCEJ. SHEPPARDActing Director

August 12, 2013

Lodi, NJ 07644

Dear

This is in reference to your recent inquiry concerning Mayor Marc Schrick's eligibility in theState Health Benefits Program. After review of his enrollment records, It has been determined that MLSchrieks is eligible to maintain his benefits through Borough of Lodi as a part-time elected official. MLSchrieks was enrolled in both State Health Benefits and the pension fund continuously for many yearsprior to the enactment of Chapter 2. Any employee or officer of the local employer or the State who metthe minimum work hour requirements prior to May 21, 2010 will be eligible for continued coverageunder the SHBP/SEHBP provided there is no break in the employee's service or reduction in work hours.InSeptember 2010, Mr.Schreiks did qualify to transfer his benefits over to Lodi Borough since hisbenefits were in effect with the New Jersey Meadowland Commission.

N.J.S.A. § 52:14-17.26. Definitions relative to health care benefits for public employees;

(1) The term "employee" means an appointive or elective officer, a full-time employee of the State ofNew Jersey, or a full-time employee of an employer other than the State who appears on a regular payrolland receives a salary or wages for an average of the number of hours per week as prescribed by thegoverning body of the participating employer which number of hours worked shall be considered full-time, determined by resolution, and not less than 20.(2) After the effective date [May 21, 2010] ofP.L.201O, c.2, the term "employee" means (i) a full-time appointive or elective officer whose hours ofwork are fixed at 35 or more per week, a full-time employee of the State, or a full-time employee of anemployer other than the State who appears on a regular payroll and receives a salary or wages for anaverage of the number of hours per week as prescribed by the governing body of the participatingemployer which number of hours worked shall be considered full-time, determined by resolution, and notless than 25, or (ii) an appointive or elective officer, an employee of the State, or an employee of anemployer other than the State who has or is eligible for health benefits coverage provided under P.L.1961,c.49 (C.52:14-17.25 et seq.) or sections 31 through 41 ofP L2007, c.103 (C.52: 14-17.46.1 et seq.) onthat effective date.and continuously thereafter provided the officer or employee is covered by thedefinition in paragraph (1) of this subsection.

k·ncerelY.t, 'I I

(/~ . Jo c~~~~~£J

i Assistant ChiefState Health Benefits Program

New Jersey Is An Equal Opportunity Employer • Printed on Recycled and Recyclable Paper

August 15,2013

Dear Ms. Joyce Decker,

The Meadowlands Commission is not paying for Lodi Mayor Marc Schrieks' health benefits. The State of NewJersey is not paying for them. And unless you live in Lodi, you are not paying for them. The strugglingtaxpayers of Lodi are.

You deemed him eligible to be "grand-fathered in" but P.L. 2010 Chapter 2 does not. Months ago, I asked youroffice to please cite the specific part of the law that would allow him to receive health benefits paid for by thepeople of Lodi when he was not enrolled by Lodi on May 21, 2010 nor was he enrolled by Lodi any time priorto that. You have been unable to cite that law to make your case. In fact, your attached letter did not addressthe situation at hand at all. Nowhere in the law does it state that a part-time elected official can ''transfer'' overhis benefits liability from another political agency and then have municipality foot the bill from that pointforward and even grand-father him in.

Marc Schrieks pledged never to receive benefits from Lodi as a part-time elected official. Marc Schrieks andthe entire Lodi council passed a resolution waiving their health benefits weeks before the enactment of Chapter2. Marc Schrieks bragged that he was saving the Lodi taxpayers money by waiving his benefits weeks beforethe enactment of Chapter 2. Nobody in Lodi knew he was receiving benefits until I saw it listed on Lodi's"Best Practices Questionnaire". But this is not the issue at hand. The issue at hand is that Marc Schrieks wasNOT ENROLLED by Lodi at the time of the enactment of Chapter 2 and nowhere in the law does it state thathe can transfer over his benefits liability from another political agency that employed him for a short time andthen laid him off.

Although I am appreciative that you fmally sent me a letter after ignoring my weekly e-mails for months, I amvery disappointed you ignored the actual law in addressing the matter. After receiving your letter, I am moreconfident today than I was four months ago that the people of Lodi are wrongfully being billed for a veryexpensive perk that Marc Schrieks is not entitled to under the law. I am asking you to please forward all of theinformation that I have sent you over the past four months to the State Treasurer, Mr. Andrew P. Sidamon-Eristoff as well as the Governor's Office. I hope they can bring some closure to this matter. I believe that yourinterpretation and the issue of ''transferring'' benefits is not consistent with the actual law.

I believe that Governor Christie passed many good reforms during his first year in office to benefit localtaxpayers. Those laws should not be circumvented and misinterpreted. Because of Marc Schrieks' bad behaviorand agencies like yours enabling him, Lodi had the second highest effective tax rate in all of Bergen County for2012. You should be looking out for the Lodi taxpayers and not misinterpreting laws to benefit Marc Schrieks.

Sincerely,

CC: Mr. Andrew P. Sidamon-Eristoff, State Treasurer; Governor Chris Christie, Office of the Governor