[Added 10-22-79 by Ord. No. 79-190]
[The salaries and compensation of the various officers and employees
of the Township of East Brunswick are set by the Township Council
by ordinance. Copies of current salary ordinances, as amended, are
on file in the office of the Township Clerk and are available for
inspection during regular office hours.]
GENERAL REFERENCES
N.J.S.A. 43:15B-1 provides that any municipality may establish
a deferred compensation plan whereby the employer may enter into written
agreement with any of its employees thereby providing a voluntary
deferral of salary and such deferral shall remain in effect until
the employee is terminated or until a new contract is executed by
the employee and employer. The provisions of the salary deferral shall
be in accordance with N.J.S.A. 40A:4-2 of the local budget law, which
requires that one or more public officials, or the governing body
as a whole, shall be designated and named to the fiduciary responsibility
for administration of said plan and investments.
The deferred compensation plan which is established shall be
in compliance with Section 457 of the Federal Internal Revenue Code
and recent amendments as adopted by the Congress through Revenue Acts
of 1978 which require that all eligible state deferred compensation
plans comply with the classification systems to guarantee compliance
with regulations of the I.R.S., the Securities and Exchange Commission,
the Department of Social Security and the State enabling legislation.
The administration of the deferred compensation plan is recognized
as a critical factor and the rules and regulations provided for implementation
shall be promulgated by the Township Administrator and Director of
Finance and listed as part of the administrative procedures manual
clarifying such questions as, the interface with the local payroll
system; who shall be the plan coordinator; how collections of payments
shall be made; the role and responsibility of custodial functions;
to insure appropriate deferrals and safeguard with stringent control
for accuracy, safety and timeliness of investments. Also individual
participants should receive annual statements which reflect both the
value of contributions and the total amount which has been contributed.
To insure compliance with the federal regulations, clear procedures
providing for an employee's withdrawal of funds must be established
and an annual review of these procedures should be initiated each
year.
Nothing herein shall obligate the Township of East Brunswick
to set up or maintain a deferred compensation plan.