Paycheck direct deposit bill moves forward

TRENTON – A Senate panel released legislation today that would largely require state employees to receive their paycheck through direct deposit.

Lawmakers unanimously released the bill from the State Government committee.

The bill, A720/S2090, sponsored by Sen. Bob Gordon, (D-38), Fair Lawn, and Assemblyman Ruben Ramos Jr., (D-33), Hoboken, would require state workers to be paid by direct deposit beginning July 1, 2014. The bill also would allow counties, municipalities and school districts to opt for mandatory direct deposit for all employees.

The legislation, however, was amended to allow workers to opt out of the program.

The state Treasurer is authorized to grant exemptions from the bill’s requirements “on such terms and conditions as the State Treasurer may deem necessary,” according to the bill.

The bill only gives specific exemptions for seasonal and temporary workers.

The Office of Legislative Services expects the measure would save the state nearly $233,000 in FY 2013 and more than $248,000 in FY 2014. The savings are net of personnel and programming costs necessary to implement the requirements of the bill and to administer the program on an ongoing basis, according to the OLS fiscal note that accompanied it.

The bill would also require state workers to download their federal W-2 forms from the Internet; however, language in the bill requires the state to follow federal laws regarding W-2 forms.

Internet advertisements

The Senate committee held legislation, S1531, which seeks to allow certain state agencies to sell Internet advertisements on the agency’s website.

The bill would establish a two-year pilot program to sell Internet advertisements and would require any agency taking advantage of the proposal to submit a detailed report to the governor and Legislature evaluating the effectiveness of the program.

The bill, sponsored by Sens. Joseph Vitale (D-19) and Ray Lesniak (D-20), was slated to be discussed during today’s committing meeting.

Paycheck direct deposit bill moves forward