Interest Arbitration

League Arbitration Advisory Service

As you begin preparations for contract negotiations with your respective unions, you may want to consider the League's Arbitration Service, which includes several publications available for purchase as well as league guidance. For more information please contact our Staff Attorney, Frank Marshall, who will, in consultation with our League Labor Counsel Joseph Hannon, Esq., address your issue. Frank Marshall can be contacted at 609-695-3481, ext. 137 or via email.

2% Interest Arbitration Extension

Unanimously approved by the Legislature and the Governor in June 2014, the extension on the 2% cap on Interest Arbitration awards is set to expire on December 31, 2017. While the 2% property tax levy cap will continue, the cap on Interest Arbitration awards will expire on the same day that the final report and recommendations of the Police and Fire Public Interest Arbitration Impact Task Force is due, unless the Legislature and Governor act. For up to the minute news and alerts on this topic, visit the League's webpage dedicated to 2% cap news.

2017 Report of the Governor's Appointees to the Police & Fire Public Interest Arbitration Impact Task Force

On September 28, the 2017 the Governor's appointees to the Police and Fire Public Interest Arbitration Impact Task Force released a report, following the Task Force's September 25 meeting, where the eight-member committee was deadlocked on adopting the report and delivering it to the Governor and Legislature. Read the full report or view the League's analysis.

Sample Resolution Urging the Extension of the 2% Cap

The League is urging municipalities to pass a resolution urging the State Legislature and Governor to extend the 2% cap on Police and Fire Arbitration Contract Awards for an additional five years, at which time the Legislature will have hard data to examine and then make a final decision as to whether this law should be made permanent.

If the cap on interest arbitration expires, while the 2% property tax levy cap remains in effect, municipalities will be forced to reduce or eliminate municipal services in order to fund interest arbitration awards.

A resolution that may be used to urge that State Legislature to extend the 2% cap on Police and Fire Arbitration Awards.

Arbitration Process

League Publications