July 21, 2010

IN THE MATTER OF ARTHUR C. SNELLBAKER A-1443-09T2

IN THE MATTER OF ARTHUR C. SNELLBAKER A-1443-09T2 07-08-10

The Chief of Police of Atlantic City was unlawfully denied
salary increases granted to his subordinates contrary to
N.J.S.A. 40A:14-179. The City acknowledged that he was awarded
retroactive salary increases as part of a settlement of all
claims because the increases had been wrongfully withheld. The
Division of Pensions and Benefits employed an erroneous
interpretation of N.J.S.A. 43:16A-1(26) to conclude that the
reasons for including this award in the settlement were
irrelevant. The mere fact that those increases coincided with
the police chief's retirement did not render them "individual
07-08-10 IN THE MATTER OF ARTHUR C. SNELLBAKER
A-1443-09T2

The Chief of Police of Atlantic City was unlawfully denied
salary increases granted to his subordinates contrary to
N.J.S.A. 40A:14-179. The City acknowledged that he was awarded
retroactive salary increases as part of a settlement of all
claims because the increases had been wrongfully withheld. The
Division of Pensions and Benefits employed an erroneous
interpretation of N.J.S.A. 43:16A-1(26) to conclude that the
reasons for including this award in the settlement were
irrelevant. The mere fact that those increases coincided with
the police chief's retirement did not render them "individual
salary adjustments . . . granted primarily in anticipation of"
his retirement that are not creditable for retirement benefits.
It is necessary to evaluate all the factors relevant to the
award of the increase and the employee's retirement to determine
whether the salary adjustment was granted primarily in
anticipation of retirement. The facts, as adopted by the
Division, clearly show that the retroactive salary increases
here were not granted primarily for that purpose.here were not granted primarily for that purpose.

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