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June 6, 2014

Re: Interest Arbitration – Week 10 Update

Dear Mayor:

It has been ten weeks since the Governor and the State Senate took action to extend the strict 2% cap on interest arbitration awards.  At this time, the Assembly is next scheduled to come back to Trenton for a voting session on Monday, June 16. 

We are past the midnight hour and heading into critical territory.   Municipalities that have contracts expiring December 31, 2014 will start negotiations soon if they have not done so already.  They are starting these negotiations not only without the benefit of the 2% cap on Interest Arbitration awards but without knowing if the 2% cap will continue and if so, under what conditions.

Without the arbitration limits in place, local government leaders may be forced to reduce other personnel in order to balance costly arbitration awards. Without the cap in place, local leaders may have no choice but to dramatically cut or eliminate other services in order to offset those awards

Now, more than never, we need to reach out to Assembly Speaker Prieto, the Assembly leadership and your assembly representatives and urge them to concur with the Governor’s conditional veto.

Questions on this legislation can be directed to either Lori Buckelew at 609-695-3481 or lbuckelew@njslom.com x112 or Mike Cerra at 609-695-3481 x120 or mcerra@njslom.com.

Very truly yours,

William G. Dressel, Jr.
Executive Director

 

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