[HISTORY: Adopted by the Township Council of the Township of Old Bridge by Ord. No. C-147 (Secs. 3-1 through 3-5 of the 1973 Revised General Ordinances). Amendments noted where applicable.]
GENERAL REFERENCES
Defense and indemnification of officers and employees — See Ch. 119.
Ethics — See Ch. 145.
Volunteer incentives — See Ch. 510.
The Council hereby declares the following principles to constitute the personnel policy of the Township:
A. 
Employment in the Township government shall be based on merit and fitness free of personal and political considerations.
B. 
Just and equitable incentives and conditions shall be established and maintained in order to promote efficiency and economy in the operation of the Township government.
C. 
Positions with similar duties and responsibilities shall be classified and compensated on a uniform basis.
D. 
Appointments, promotions and other personnel actions requiring the applications of the merit principal shall be based on systematic tests and evaluations of knowledge and performance.
E. 
Every effort shall be made to stimulate high morale by fair administration of this chapter and by consideration of the rights and interests of employees, consistent with the best interest of the public and the Township.
F. 
Continuity of employment shall be subject to good behavior, satisfactory performance of work, necessity for the performance of work and availability of funds.
A. 
Power of appointment. All employees, officers and department heads of the Township shall be appointed and promoted by the Township Administrator, except where the power to appoint rests with other Township boards or bodies as provided for herein or by general law or ordinance.
B. 
Probationary period; right of suspension or dismissal.
(1) 
Each new employee, including police officers, shall serve a probationary period of 12 months. If at the end of 12 months the probationary employee is deemed to have successfully completed his probationary period by means of written recommendation by the department head and the Township Administrator, the employee shall be granted status as a regular employee with all rights and privileges pertaining to his employment or position. If, however, at the conclusion of his probationary period, the employee is not deemed to have successfully completed his probationary period, he shall be dismissed. Nothing contained in this subsection shall be construed to prohibit the suspension or dismissal of a probationary employee at any time during his probationary period if such action is in the best interests of the Township.
[Amended 4-6-2009 by Ord. No. 2009-08]
(2) 
Each new police officer shall be required to satisfactorily complete a basic police training program recognized by the New Jersey Police Training Commission and serve a twelve-month probationary period prior to receiving a permanent appointment.
C. 
Permanent employment status; ground and manner of removal. Employees who satisfactorily complete their probationary period shall have permanent status, conditioned upon good behavior and satisfactory job performance, and where required by statute, continued residence in the Township. Except for personnel appointed to serve at the pleasure of the Township Administrator, all employees shall be subject to removal by the appointing authority only for cause or for reason of economy.
[Amended 7-15-1991 by Ord. No. 11-91; 4-29-1993 by Ord. No. 19-93; 9-29-1994 by Ord. No. 56-94; 1-9-2006 by Ord. No. 38-2005; 4-6-2009 by Ord. No. 2009-08; 10-23-2017 by Ord. No. 2017-24; 10-25-2022 by Ord. No. 2022-34]
Employees who have acquired permanent employment status may be temporarily suspended from the Township's employ by layoff or suspension, or permanently separated by resignation or dismissal, as more particularly set forth in this section.
A. 
Layoff. The power to lay off employees shall be exercised by the Mayor. This power shall not extend to the Township Clerk, Deputy Clerk or any other employee who is appointed directly by the Township Council. The power to lay off the Township Clerk, Deputy Clerk or any other employee appointed directly by the Township Council shall be exercised solely by the Township Council. Whenever the Mayor deems it necessary or appropriate to lay off any employee, he or she shall inform the Township Council of the intended layoff action at least 10 days prior to such action taking effect.
B. 
Resignation; procedure. An employee may resign from his position by tendering a written resignation to his department head, who in turn shall forward it to the Township Administrator. Unless there are disciplinary charges pending against the employee, the Township Administrator shall notify the employee in writing of the acceptance of his resignation in good standing. An employee shall give a minimum of two weeks' notice before the effective date of his resignation. Unless the Township Administrator waives such notice in writing, failure to give the minimum notice will result in loss of vacation and sick credits.
C. 
Payment of sick and vacation pay as supplemental compensation upon retirement in good standing only.
(1) 
Sick and vacation pay; supplemental compensation. The following provisions shall govern sick and vacation pay for any and all employees not represented by a majority representative for purposes of collective bargaining:
(a) 
Termination by retirement in good standing. Only employees separated from Township employment by retirement in good standing shall be entitled to receive a lump sum as supplemental compensation for each day of accumulated unused sick time, subject to the limitations of this chapter, which is credited on the effective date of separation. Supplemental compensation of the amount due for accumulated unused sick time shall be computed at the employee's daily rate of pay as of the effective date of separation.
(b) 
Termination by other means. Any employee separated from Township employment by any other than retirement in good standing shall not be entitled to receive a lump sum as supplemental compensation for each day of accumulated unused sick time.
(c) 
Limitation for supplemental compensation of accumulated unused sick time.
[1] 
Employees hired before July 1, 1982. Total supplemental compensation for accumulated unused sick time shall not exceed the lesser of the amount due for accumulated unused sick time up to a maximum of 280 days less the days of accumulated unused sick time repurchased by the Township or the absolute dollar limitation of $30,000.
[a] 
Exception. Employees who have more than $30,000 of accrued unused sick time on July 1, 1993, shall be grandfathered, and the amount in effect on that date shall become the employee's absolute dollar limitation.
[2] 
Employees hired on or after July 1, 1982, but before July 1, 1993. Total supplemental compensation for accumulated unused sick time shall not exceed the lesser of the amount due for accumulated unused sick time up to a maximum of 100 days less the days of accumulated unused sick time repurchased by the Township or the absolute dollar limitation of $15,000.
[a] 
Exception. Employees who have more than $15,000 of accrued unused sick time on July 1, 1993, shall be grandfathered, and the amount in effect on that date shall become the employee's absolute dollar limitation.
[3] 
Employees hired on or after July 1, 1993. Total supplemental compensation for accumulated unused sick time shall not exceed the lesser of the amount due for accumulated unused sick time up to a maximum of 50 days less the days of accumulated unused sick time repurchased by the Township or the absolute dollar limitation of $7,500.
[4] 
Any employee hired on or after January 1, 2018, shall not be entitled to receive supplemental compensation of accumulated unused sick time.
(d) 
Any permanent employee separated from Township employment by layoff, retirement, death or resignation in good standing shall be entitled to receive a lump sum payment as supplemental compensation equal to the accumulated unused vacation time for the year of separation, plus a maximum carry-over of five days of unused vacation from the preceding year, subject to the limitations of § 351-5C, which is credited on the effective date of separation. Supplemental compensation for unused vacation shall be computed at the employee's daily rate of pay as of the effective date of separation.
[1] 
In the event of death of an employee, payment of supplemental compensation in the form of accumulated unused vacation time as permitted in Subsection C(1)(d) above shall be paid to the estate of the employee.
(e) 
In the event an employee is dismissed for cause, no payment for supplemental compensation for accumulated sick or vacation time shall occur.
D. 
Dismissal or demotion. A permanent employee may be dismissed from the service or demoted for cause. The causes for removal from the service shall include, but not be limited to, the following:
(1) 
Neglect of duty.
(2) 
Absence without leave or failure to report after authorized leave has expired or after such leave has been disapproved or revoked, provided that any regular member or officer of the Police Department who shall be absent from duty without just cause for a term of five days continuously and without leave of absence shall, at the expiration of such five days, cease to be a member of the Police Department as provided in N.J.S.A. 40A:14-122.
(3) 
Incompetency or inefficiency or incapacity due to mental or physical disability.
(4) 
Insubordination or serious breach of discipline.
(5) 
Intoxication while on duty.
(6) 
Commission of a criminal act.
(7) 
Disobedience of the department rules and regulations established pursuant to § 351-4.
(8) 
Conduct unbecoming a public employee.
(9) 
Falsification of public records, including attendance and other personnel records.
E. 
Suspension. An employee of the Township may be suspended:
(1) 
Up to five days as a disciplinary measure without bringing formal charges.
(2) 
Not less than five days nor more than 15 days when formal charges are to be brought, with the employee receiving a minimum of five days' notice unless he waives such notice in writing.
A. 
Promulgation of rules and regulations. Subject to the approval of the Township Administrator, a department head may from time to time establish, amend and supplement rules and regulations for governing the internal operations of his department and the conduct and decorum of its personnel. Such department rules and regulations shall not be inconsistent or in conflict with the provisions of any statute of the state, collective bargaining agreement, this chapter or any ordinance of the Township.
[Amended 4-6-2009 by Ord. No. 2009-08]
B. 
Procedure. The rules and regulations shall be in writing, signed by the head of the department and approved by the Township Administrator and shall be filed in the office of the Township Clerk. They shall be binding on all persons subject to the jurisdiction of the department. A written copy of the rules and regulations shall be distributed to the personnel of the department affected thereby and shall be posted in the headquarters of the department.
C. 
Reporting accidents. An employee who is injured in any way in the performance of his duties shall immediately report the accident to his supervisor, who shall complete a form provided for such reports. The completed accident report form shall then be submitted to a department head who in turn shall submit it to the Township Administrator.
[Amended 8-21-1978 by Ord. No. D-247]
Each full-time employee of the Township shall be entitled to vacation time each year as set forth in the following schedules:
A. 
Employees other than police officers.
(1) 
The Township Administrator and Township Clerk shall be entitled to four weeks, plus an additional three days after five years, plus an additional two days after 10 years for a total entitlement of 25 days.
(2) 
All department heads shall be entitled to three weeks the first year, four weeks after five years and five weeks after 10 years.
[Amended 1-9-2006 by Ord. No. 38-2005]
(3) 
All other full-time employees shall be entitled to two weeks after first year, three weeks after five years and four weeks after 10 years.
(4) 
Regular part-time employees hired prior to December 1, 2005, who work a minimum of 20 hours per week, and all Before and After/Family Day Care Program employees who work a minimum of 20 hours per week shall receive pro rata vacation. Regular part-time employees hired after December 1, 2005, shall not be eligible for vacation.
[Amended 6-28-1999 by Ord. No. 21-99; 12-12-2005 by Ord. No. 41-2005]
(5) 
Temporary part-time employees shall not be eligible for vacation.
B. 
Applicability. The foregoing schedules shall apply to all personnel covered under this section employed as of January 1 of the current year. Personnel employed after January I of the current year shall be entitled to a pro rata share of the applicable benefits based on their date of hire.
[Amended 12-12-2005 by Ord. No. 41-2005]
C. 
Carrying over of vacation. Upon written request from an employee covered by this section an amount equal to one year's vacation may be carried over into the following year with the approval of the Township Administrator. Accumulated vacation carried over into the next year shall not be eligible for cash payment upon separation or retirement from employment with the Township and must be utilized by June 1 of the following year.
[Amended 12-12-2005 by Ord. No. 41-2005]
A. 
Sick leave and personal days.
[Amended 8-21-1978 by Ord. No. D-247; 5-19-1980 by Ord. No. D-307; 3-9-1998 by Ord. No. 19-98]
(1) 
Each full-time employee shall earn one sick day for each month of employment as time off with pay when he/she is sick or when a family member has an illness or injury as hereinafter set forth. Sick days may not exceed 11 days in any year. Unused sick days shall accumulate as otherwise provided in this section.
(2) 
Each full-time employee shall also have four personal days each year as time off with pay. Any personal days unused at the end of the year shall be added to the sick time bank but shall not extend or enlarge the maximum accumulation limits of this section of this Code.
(3) 
No employee shall be eligible to receive or accumulate personal days unless and until such employee has completed three full months of employment.[1]
[1]
Editor's Note: Original Sec. 3-5.2b, regarding a maximum number of sick days accrued, as amended 7-15-1991 by Ord. No. 11-91, which previously followed this section, was deleted 1-9-2006 by Ord. No. 38-2005. Original Sec. 3-5.2c, regarding sick days for temporary full-time employees, which previously followed this section, was repealed 12-12-2005 by Ord. No. 41-2005.
B. 
(Reserved)
C. 
Temporary part-time employees shall not be eligible for sick time. Regular part-time employees hired prior to December 1, 2005, and working a minimum of 20 hours per week shall continue to receive pro rata sick leave. All part-time employees who were hired prior to April 15, 1999, shall receive pro rata sick leave. Part-time employees hired after December 1, 2005, shall not be eligible for pro rata sick leave except those employees in the Before and After/Family Day Care Program who work a minimum of 20 hours per week.
[Amended 12-12-2005 by Ord. No. 41-2005]
D. 
Any employee who is entitled to sick time and is sick for more than three consecutive days shall be required to furnish his department head with a doctor's certificate stating the nature of his illness and the expected date of his return to work.
E. 
Sick leave may be used for illness in the employee's immediate family requiring the employee's attention. "Immediate family" is defined as mother, father, mother-in-law, father-in-law, husband, wife, children, brother, sister or any blood relative residing in the employee's household.[2]
[2]
Editor's Note: Former Subsection 3-5.2g, which granted payment of accumulated sick leave upon retirement, which previously followed this subsection, was repealed 7-15-1991 by Ord. No. 11-91.
[Added 3-22-2004 by Ord. No. 06-04]
The following rules shall apply to carry-over of accumulated sick time only and to no other type of accumulated time:
A. 
Any member of a collective bargaining unit who is promoted or otherwise transferred into a management position or a nonunion position shall be permitted to carry and maintain all accumulated sick time to which he or she is entitled at the time of such change in status.
B. 
In order to implement the employee's right to carry over such accumulated sick time from a collective bargaining unit to nonunion status, such employee must elect to receive such carry-over within one year of the date of transfer. This section shall be applicable to any persons transferring from a collective bargaining unit to a nonunion position retroactive to July 1, 2003.
C. 
If an employee makes an election to transfer accumulated sick time when he or she changes to a nonunion status, the amount of sick time maximum and the manner by which sick time is charged and accumulated shall be governed by the contractual rules of the collective bargaining unit in place at the time the employee makes his or her election to carry over accumulated sick time as provided in this section.
D. 
Should any employee decline to carry over and maintain accumulated sick time from a collective bargaining unit when he or she is transferred into a nonunion position by failing to make such election, such employee's right to sick time maximums and the rules concerning use and accumulation of sick leave shall be governed by the applicable provisions of Township ordinance. The employee's date of hire for the purposes of the Township ordinance shall be the date of his or her initial employment with the Township of Old Bridge.
[Amended 8-21-1978 by Ord. No. D-247]
A. 
All full-time employees except police officers shall be entitled to the following holidays with pay:
[Amended 3-9-1998 by Ord. No. 19-98]
New Year's Day
Martin Luther King Birthday
Lincoln's Birthday
President's Day
Good Friday
Memorial Day
Independence Day
Labor Day
Veterans Day
Thanksgiving Day
Day after Thanksgiving
Christmas Day
Two additional holidays (floating holidays) which will be taken at the discretion of the employee, but subject to the approval of management. Floating holidays must be used in the year they are provided or such holidays will be considered lost and unavailable for use.
(1) 
Holidays may not be carried or banked.
B. 
If a holiday falls on a Saturday, it shall be observed on the preceding Friday; if a holiday falls on a Sunday, it shall be observed on the following Monday.[1]
[1]
Editor's Note: Original Sec. 3-5.3c, regarding holidays for police officers, which previously followed this section, was deleted 1-9-2006 by Ord. No. 38-2005.
A. 
Effective January 1, 1969, and retroactive thereto, all employees of the Township, subject to the limitation of Subsection E below, shall be entitled to and shall receive longevity pay on the following basis:
[Amended 10-23-2017 by Ord. No. 2017-24]
(1) 
Completion of five consecutive years' service: 2 1/2% of the base salary.
(2) 
Completion of 10 consecutive years' service: an additional 2 1/2% base salary; a total of 5%.
(3) 
Completion of 15 consecutive years' service: an additional 2 1/2% of the base salary; a total of 7 1/2%.
(4) 
Completion of 20 consecutive years' service: an additional 2 1/2% of the base salary; a total of 10%.
(5) 
Completion of 25 consecutive years' service: an additional 2 1/2% of the base salary; a total of 12 1/2%.
(6) 
Completion of 30 consecutive years' service: an additional 2 1/2% of the base salary; a total of 15%.
B. 
Consecutive years in service shall be computed from the date of initial employment by the Township, except where service was interrupted. In such cases, consecutive years' service shall be computed as follows:
(1) 
Authorized leave of absence at the employee's request: from the date of initial employment less time for leave of absence.
(2) 
Resignation and subsequent rehiring: No accumulation of service shall be allowed, and consecutive employment shall be computed only from the latest date of uninterrupted employment.
(3) 
Military service: Employment shall be considered as uninterrupted, except that no credit shall be allowed for service in the armed forces.
(4) 
Disciplinary action: No credit shall be allowed for employment interruption due to disciplinary action.
C. 
The intent of this section is that payment of longevity shall begin in the calendar year 1969, and no back payment shall be made to anyone who attained an anniversary date prior to the calendar year 1969.
D. 
Longevity shall be paid on a biweekly basis as part of the regular pay.
E. 
Any employee hired on or after January 1, 2018, who is not represented by a majority representative for purposes of collective bargaining shall not participate in the longevity pay program, nor shall he or she be entitled to receive longevity pay.
[Added 10-23-2017 by Ord. No. 2017-24]
[Added 5-19-1980 by Ord. No. D-307]
A. 
The Township Administrator shall grant upon request to each employee a maximum of five days' bereavement leave in the event of a death of a member of the employee's immediate family, such leave to be used at the time of the death and funeral for the purpose of attending and aiding the aggrieved family. The "immediate family" is defined as mother, father, mother-in-law, father-in-law, grandparents, husband, wife, son, daughter, brother, sister, brother-in-law, sister-in-law or any blood relative residing in the employee's household.
B. 
The Township Administrator shall grant upon request to each employee a maximum of three days' bereavement leave in the event of a death of a relative outside of the immediate family, as defined above. Sick leave may be used if additional time is required.
[Added 8-26-1996 by Ord. No. 31-96; amended 3-9-1998 by Ord. No. 19-98; 4-10-2006 by Ord. No. 9-2006]
A. 
Policy for payment of health benefits to eligible retirees. Employees who retire on or after June 1, 2004, and who were hired on or before July 1, 2012, excepting those employees covered by a collective bargaining agreement that states otherwise, will be eligible for the benefits hereunder if they satisfy one of the following requirements:
[Amended 12-11-2006 by Ord. No. 55-2006; 5-16-2011 by Ord. No. 2011-09; 2-6-2012 by Ord. No. 2012-03; 6-25-2012 by Ord. No. 2012-15]
(1) 
Retire on a disability pension;
(2) 
Retire after 25 years or more of service credit in a state or locally administered retirement system and have been continuously employed by the Township of Old Bridge for a period of 25 years or longer at the time of retirement;
(3) 
Retire and reach the age of 62 years or older with at least the last 15 years or more of continuous service with the Township of Old Bridge at the time of retirement.
B. 
All retired employees, not covered by a collective bargaining agreement which states otherwise, who were originally hired after July 1, 2009, and who are eligible to receive retiree health benefits as stated above, shall be required to contribute to their cost of their health, dental and prescription benefits based on the following formulas:
[Added 4-6-2009 by Ord. No. 2009-08; 6-25-2012 by Ord. No. 2012-15]
(1) 
Employees whose pension income is less than $60,000 in a calendar year shall pay to the Township on a monthly basis 5% of the premium costs for health, dental and prescription drug benefits.
(2) 
Employees whose pension income is more than $60,000 in a calendar year shall pay to the Township on a monthly basis 10% of the premium costs for health, dental and prescription drug benefits.
C. 
Type of coverage to be provided.
(1) 
Retirees of the Township of Old Bridge shall receive health insurance benefits which are equal to those being provided to the current employees in the same job classification and status previously held by the retiree. Modifications to such coverage in accordance with policy changes implemented for existing employees shall be allowed.
(2) 
All coverage granted under this section shall be coverage for the individual employee and family coverage as defined by the health insurance carrier.
(3) 
Upon reaching age 65, any employee who remains a beneficiary of a policy of insurance and who otherwise qualifies for Medicare shall be entitled to receive Medicare as primary coverage and Township health insurance as secondary coverage.
(4) 
Upon retirement and each year thereafter, all retirees shall sign a coordination of health benefits agreement. In the event that the retiree becomes reemployed in any capacity where such employer provides health benefits for which the retiree is eligible, and the reemployed retiree is not required to contribute to the cost of those benefits, said reemployed retiree shall be required to obtain such coverage as their primary insurance. The Township shall maintain the coverage as outlined herein as a secondary insured.
(5) 
In the event that a retiree’s spouse is employed, or becomes employed, and where such employer provides health benefits for which the spouse is or becomes eligible, and the spouse is not required to contribute to the cost of those benefits, said spouse shall be required to obtain such coverage as their primary health insurance. Dependents shall be primary on the plan of the employee or spouse whose birth date comes first in the calendar year. The Township shall maintain coverage outlined herein as secondary insured.
(6) 
The provisions of this Subsection C shall not apply to any Township employee hired on or after July 1, 2012, excepting those Township employees covered by a collective bargaining agreement that states otherwise.
[Added 6-25-2012 by Ord. No. 2012-15]
[Added 12-12-2005 by Ord. No. 41-2005]
A. 
Any full-time employee shall have the option of surrendering health insurance coverage. Any employee who surrenders said coverage for 12 consecutive months shall receive a cash payment equal to half of the Township's cost for the benefit during that same period. In order to qualify for this payment, the employee will be required to provide proof of other health insurance coverage. Payments will be made during normal pay periods.
B. 
Nonunion employees may select any of the health insurance, dental, prescription and vision plans offered by the Township. (Note: Certain combinations of health and dental are limited by the plans themselves.)
C. 
All employees, not covered by a collective bargaining agreement which states otherwise, who are originally hired after July 1, 2009, shall be required to contribute to their cost of their health, dental and prescription benefits based on the following formulas:
[Added 4-6-2009 by Ord. No. 2009-08]
(1) 
Employees whose gross income (pension-based income) is less than $60,000 in a calendar year shall have 5% of the actual premium costs for health, dental and prescription drug benefits deducted from normal payroll check.
(2) 
Employees whose gross income is more than $60,000 in a calendar year shall have 10% of the actual premium costs for health, dental and prescription drug benefits deducted from normal payroll check.
[Added 4-13-2021 by Ord. No. 2021-11]
A. 
Establishment of plan and fund.
(1) 
There is hereby established a partially self-funded workers' compensation benefit fund plan for the Township employees to be known as the "Workers' Compensation Plan" (the "plan"). There is further established in accordance with the provisions of N.J.S.A. 40A:10-13 an insurance to be known as the "Old Bridge Workers' Compensation Self-Insurance Fund" (the "fund"). The plan and the fund shall be operated and maintained in accordance with the terms of this section, N.J.S.A. 40A:10-6 and the rules and regulations promulgated thereunder by the Department of Community Affairs.
(2) 
There is hereby established in accordance with the requirements of N.J.S.A. 40A:10-8 a fund commission (the "commission") consisting of three officials of the Township: the Business Administrator, Human Resources Director, and Director of Finance, together with a confidential secretary, appointed by the Business Administrator. The secretary shall serve at the pleasure of the commission. The commissioners shall serve without compensation. The compensation, if any, shall be established and authorized by the governing body.
(3) 
In order to maintain the efficient, professional and actuarially sound operation of the fund, the Township will contract with a qualified third-party administrator ("TPA") to assist the Township and the commission in the proper design and administration of the plan. Subject to consultation and review by the governing body, the commissioners shall have the power and duty to oversee the TPA, adopt rules and regulations for the control and investment of the fund, assure that the fund has sufficient funds for the payment of losses and claims, invest assets of the fund in accordance with the Township's established investment policy, and assure the proper operation of the plan and the fund consistent with their purpose.
(4) 
The purpose of the fund is to hold, manage and distribute in accordance with the plan documents and sound fiscal management money necessary to pay the valid claims of Township employees as required to fulfill the obligations of the Township pursuant to the plan and its health insurance obligations to its employees. The fund exists to pay health-care claims and related expenses covered by the plan, and the fund shall not be used for any other purpose.
(5) 
The commissioners and the TPA shall cause the fund to achieve a reasonable reserve of up to six months of claims payments to assure that sufficient assets are available to continue to pay all claims and expenses in a high claim year.
(6) 
Claims shall be administered and paid, after review, by the TPA in accordance with the TPA administration contract. The TPA shall assure that all Township employees covered by the plan are fully informed as to the proper procedure for submitting claims and that all notices required by law with respect to the plan are promptly provided to plan participants.
(7) 
Appeals from denial of claims shall, in the first instance, be reviewed by the TPA. In considering appeals, any relevant supplemental information provided by the plan participant or the service provider shall be considered. Second-level appeals shall be handled by a third party retained to review appeals on an independent basis according the plan documents. In order to assure that the plan is consistently, fairly and equitably administered, no member of the governing body shall be involved in the approval or denial of claims in which in all cases shall be determined by the terms of the plan.
(8) 
The fund shall continue from year to year without lapse until the self-fund insurance plan is terminated by action of the governing body. In the event of such termination, after payment of all claims and expenses of the plan, any fund balance remaining shall revert to the Township's general fund.