Lagerkvist: Golden parachutes of NJ public college presidents cost millions

From Mark Lagerkvist

For departing New Jersey public college presidents, their farewell payments, perks and positions can resemble lottery jackpots. Not left to chance, these windfalls are carefully crafted into their employment contracts.

George Pruitt of Thomas Edison State University in Trenton is slated to receive $1.7 million in payouts after his presidency ends. It begins with a one-year paid sabbatical leave at his presidential salary, currently $337,000 – and a new title, president emeritus.

When he returns from sabbatical, Pruitt will begin a five-year fellowship to conduct research at TESU’s John S. Watson School of Public Service. He’ll get 80 percent of his former salary – another $1.348 million or more. To top it off, the university will pay a $10,000 lump sum to cover Pruitt’s relocation expenses.

At least 13 current presidents have an express option to work in other six-figure positons at their institutions when they step down. Nine of those chief executives can begin their post-presidential careers with generous paid sabbaticals, according to a NJ Spotlight analysis of employment contracts obtained under the Open Public Records Act.

The full story is now online at NJ Spotlight – http://www.njspotlight.com/stories/16/05/23/bon-voyage-bonanzas-golden-parachutes-of-nj-public-college-chiefs-cost-millions/

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Mark Lagerkvist is a veteran investigative reporter who has worked for CNBC, News 12, Asbury Park Press, New Jersey Watchdog and other newspaper, television and online news outlets. His work has won more than 60 journalism awards, including honors from National Press Club, Scripps Howard Foundation, and Investigative Reporters & Editors (IRE). He can be reached at Mark@Lagerkvist.net.

Lagerkvist: NJIT President's $5.3M Contract Tops New Jersey's Pay and Perks for College Chiefs

By Mark Lagerkvist


At $555,000 a year, Joel Bloom does not have the highest salary among New Jersey public college presidents. But counting his extra benefits and perks from New Jersey Institute of Technology, Bloom has a taxpayer-supported deal that’s second to none.

Bloom’s five-year contract with NJIT is worth roughly $5.3 million. And that doesn’t count the cost of his pension, health insurance, vacation time, sick leave and expense account – not to mention the car and driver provided by the Newark-based research university.

No other public officials in New Jersey receive the levels of compensation that many college presidents enjoy – not even Gov. Chris Christie or state Supreme Court justices, according to a NJ Spotlight analysis.

The little-known cornucopia of extras is detailed in employment contracts obtained by NJ Spotlight under the Open Public Records Act. For example, Bloom’s deal with NJIT includes:

• Performance bonus of up to 25 percent of his salary. Last year, it was $130,000.
• Annual “retention incentive” bonus of $120,000 to help ensure his loyalty to NJIT.
• Housing allowance of $85,000 a year
• Three-fourths of his salary for two years – $825,000 based on his current pay – as an advisor and figurehead with the title of president emeritus after he retires or resigns.

NJ Spotlight’s analysis of the contracts of New Jersey’s 30 public college presidents found:

• 20 have contracts that provide for annual bonuses based on performance or longevity
• 17 receive deferred compensation or contributions to annuities to supplement the public pensions.
• 17 receive free use of college-owned residences or housing allowances as part of their compensation packages.
• 23 are provided with the use of college cars or an allowance to cover the cost of their own automobiles.

The story is now online at NJ Spotlight – http://www.njspotlight.com/stories/16/05/22/njit-president-s-5-3m-contract-takes-top-spot-among-nj-college-chiefs/. Details on each college president – with links to their contracts – is posted at http://www.njspotlight.com/stories/16/05/22/the-list-all-the-presidents-pay-and-perks-at-new-jersey-s-public-colleges/.