New Jersey Ass'n of School Administrators v. Schundler

In 2007, the Legislature passed a series of reform measures designed to lower property taxes. Among other issues, the reforms attempted to address the problem of excessive benefits for high-level school administrators. The following year, the Commissioner of Education issued various regulations to implement the new laws. The regulations limited certain benefits in new contracts for high-level administrators, and also capped payments for accumulated unused sick leave at $15,000.

The Appellate Division held that the challenged regulations impermissibly reduced the compensation of tenured…