The Christie administration reports that local governments can expect to save $267 million in the 2012 fiscal year because of pension reforms enacted in June.
The changes include requiring workers to pay more into their retirement funds, suspending cost-of-living increases for retirees and raising the retirement age for newly hired workers.
The Treasury Department reports that the biggest savings — $224 million — will come from the police and firefighter retirement systems. An additional $43 million will be saved from the public employee retirement system.
Bill Dressel, executive director of the state's League of Municipalities, credited the reforms for providing much-needed property tax relief.
State Senate Republican leader Tom Kean Jr. urged local governments and school districts to return the new-found savings to taxpayers.