Mayor and Council Reject Police Contract

The mayor and council have rejected a police arbitration award, arguing that salary increases over a three-year period would exceed a state-mandated 2 percent cap. 

The council voted unanimously to appeal the arbitrator's award after consulting with the town's auditor, Gary Higgins, and the borough's labor attorney, Avis Bishop-Thompson, at a special meeting Monday night.

"We were obligated to appeal the New Milford Police Department arbitrator's decision since the cost to the taxpayer would have illegally and grossly exceeded the 2 percent per year cap," Mayor Ann Subrizi told Patch.

According to Subrizi, the award called for increases to base salaries of 1 percent for half of the year (2012), plus 2 percent (effective 2013) and an additional 2.5 percent (effective 2014), but did not include the entire cost increase of the police salaries in this three year period. 

Upon reviewing the contract with Higgins and Avis-Thompson, the mayor and council determined that the actual cost of the analysis exceeds the 2 percent cap mandated by the Arbitration Reform Act.

The Arbitration Reform Act is a bill that was passed by the New Jersey Legislature in 2010 that caps police and firefighter pay raises through arbitration at an average of 2 percent per year. It was enacted to help towns meet their 2 percent limit on property tax increases. That 2 percent applies to all salary items such as the cost of across the board and cost of living increases, step increment payments and longevity pay.

"When all the dollars are considered, the governing body voted unanimously that an appeal is obligatory because it puts us in an area that would require an illegal increase," Subrizi said. 

Since the Arbitration Reform Act became effective in January 2012, Subrizi added, "New Milford might be the first to test this new reform act."