Official Site of The State of New Jersey

July 23, 2025

BY ELECTRONIC MAIL

Hon. John Moor, Mayor
City of Asbury Park
One Municipal Plaza
Asbury Park, NJ 07712

Re: Application of the Lifeguard Pension Law

Dear Mayor Moor:

Pursuant to N.J.S.A. 52:15C-5(a), the Office of the State Comptroller (OSC) is charged with conducting “routine, periodic, and random audits” of government agencies. Pursuant to that authority and consistent with N.J.S.A. 52:15C-8c(3), OSC has established objective criteria and developed a risk assessment for undertaking performance audits of government entities and programs.

OSC issued an engagement letter, dated September 22, 2023, to the City of Asbury Park (City or Asbury Park) to schedule a performance audit of the administration of its lifeguard pension plan. The city manager informed OSC that, although the City employs lifeguards, it does not have a lifeguard pension plan. At that time, OSC recommended the City review the Lifeguard Pension Law^[1] with its legal professionals to determine if the statutes apply to Asbury Park.

In January 2025, OSC requested a written update on the status of the City’s review of the Lifeguard Pension Law’s applicability. Asbury Park provided the update in February 2025, indicating that the City does not believe that the requirement to establish a lifeguard pension fund is valid or enforceable against the City. The City did not offer any legal justification for its viewpoint.*

Pursuant to the Lifeguard Pension Law, a city of the fourth-class is required to create and administer a pension plan for its lifeguard employees. A city of the fourth-class is a city bordering the Atlantic Ocean which is a seaside or summer resort.^[2] The Legislature incorporated Asbury Park as a city on March 25, 1897.^[3] The New Jersey Supreme Court found Asbury Park to be a fourth-class city in 1925.^[4] The Legislature passed the first Lifeguard Pension Law in 1928,^[5] followed by amendments in 1929^[6] and 1936.^[7] Based on the above facts and circumstances, and in the absence of any contrary argument, it appears that the City is required to comply with the Lifeguard Pension Law.

Only a court can conclusively determine the legal rights and duties involved, but OSC notes that the failure to create and administer a lifeguard pension plan is contrary to the requirements of N.J.S.A. 43:13-23 to -29. The City’s noncompliance with the statutory requirements may create significant liabilities for the City. OSC urges the City to address this issue further with legal counsel.

Sincerely,

KEVIN D. WALSH
ACTING STATE COMPTROLLER

By: Christopher Jensen, CPA
Director, Audit Division

c: Jacquelyn Suarez, Commissioner, Department of Community Affairs
   Michael F. Rogers, Director, Department of Community Affairs, Division of Local Government Services
   Michele Meade, Deputy Director, Department of Community Affairs, Division of Local Government Services
   Tina Zapicchi, Assistant Director, Financial Regulations, Department of Community Affairs, Division of Local Government Services
   Jorge Carmona, Bureau Chief, Department of Community Affairs, Division of Local Government Services
   Amy Quinn, Deputy Mayor, City of Asbury Park
   Adam E. Cruz, City Manager, City of Asbury Park
   JoAnn Boos, Chief Financial Officer, City of Asbury Park

* Prior to the release of this letter, Asbury Park was given a draft and provided the opportunity to respond. The City’s response is attached as Appendix A. In its response, the City questions the enforceability of the law and contends that funding a lifeguard pension plan “appears to run counter to the stated purpose of the Office of the State Comptroller.” In addition to evaluating compliance with the Lifeguard Pension Law at the municipal level, we reviewed the impact of the law collectively in our New Jersey’s Lifeguard Pension Programs report and make recommendations to the Legislature to address the arbitrariness and unequal application of the law.