Dear Senator Harmon:
Vote ‘No’ on
HJRCA 49
Amending the
Constitution of the State of Illinois is more about how it affects the next
generation rather than the present. HJRCA 49 would be a very complex addition
to our Constitution and should be subject to more objective analysis and a
thorough legal review than in the time we have here today.
As I read it,
this amendment affects all local governments and government services, including
police and fire departments, education and more. It will affect government at
every level for a very long time.
The State
Universities Annuitants Association represents currently employed and retirees
of the State University and Community College systems. Our members [and TRS
members] do not receive social security. We believe this amendment to our
Constitution will make it more difficult to attract and retain quality
personnel at Illinois State-funded universities and colleges [and public
schools throughout Illinois] by placing conditions and strict procedural
requirements on pension and retirement benefit increases.
We also
understand that the governing body for higher education in this State is the
General Assembly. These requirements seem to put or would require the General
Assembly to be in the business of setting salaries for those such as physics
professors, grounds-keepers, plumbers and talented administrators employed in
higher education [and in the public school systems throughout the state]. We
believe this is the domain of the education sector.
This amendment
also creates new definitions for the terms “new benefit,” “emolument increase”
and “beneficial determination” which are neither defined in current statutes or
in existing case law. These definitions, and other terms in this amendment,
would likely generate a litigation that would result in delays and costs that
will be borne by local governments, the State, our university system and other
stakeholders [such as TRS].
Litigation is
inevitable when units of local government try to interpret the 3/5 procedural
requirement in this amendment. The problems with this section were manifested
in the House last week, when Speaker Madigan's own attorney, Heather Weir, was
asked a hypothetical by Representative Elaine Nekritz on how this provision
would affect collective bargaining. We have provided this committee a partial
transcript of that question:
Chairwoman
Nekritz: “I was curious about your argument on the collective bargaining. I
didn't quite understand how this constitutional amendment would affect, the you
know, if someone is offered an incentive to go get a master's degree how this
would impact that?”
Counsel for the
Illinois Speaker of the House: “I couldn't tell you without looking at the
actual agreement. It would depend on how it was characterized and whether or
not that particular, if it's a type of 'perk', that is counted toward the
person's final average salary, that would result in an increase in their
pension benefits, then I would say 'Yes' it would trigger the 3/5 requirement.”
This committee [IEA
and IFT] should strongly reject that kind of broad interpretation, of whether
attenuated benefits, like a reasonable incentive for a person to obtain a
Master's Degree, contained in a collective bargaining agreement that lead to an
increase in a member's salary and, consequently, may result in higher pension
benefit, triggers a supermajority vote. We ask you in the coming floor debate
on HJRCA 49 to object to this sort of legal analysis.
Finally in section (d) of this amendment, the concluding paragraph
would GRANT UNPRECEDENTED POWERS TO GOVERNMENT THAT WILL UNDERMINE PROTECTIONS
CONTAINED IN THE PENSION PROTECTION CLAUSE [ARTICLE XIII, SECTION 5] AND
ELIMINATE THE UNIFORM LAWS THAT NOW EXIST FOR [ALL] STATE EMPLOYEE BENEFITS AND
OBLIGATIONS IN THE ILLINOIS PENSION CODE.
This paragraph will allow every unit of local government to go its
own way with respect to pensions, therefore ensuring a benefit gulf will emerge
between the State’s retirement systems, geographic regions and citizens
employed in a wide range of public sector occupations.
Again, we
respectfully ask you vote no on HJRCA 49.
Linda Brookhart,
Executive Director for the State Universities Annuitants Association; John
Carr, Attorney for the State Universities Annuitants Association; Richard
Lockhart representing the State Universities Annuitants Association
cc: Members of
the Senate Executive Committee
from
http://www.suaa.org/assets/pdf/TestimonyHJRCA49Senate.pdf?PHPSESSID=4e5cb9f3370881edeca4fe46b422fc98
HJRCA49 passed the House 113-0 on
April 18, 2012; HJRCA passed the Senate 51-2 on May 3, 2012. The proposed
amendment will be on the November 6, 2012 general election ballot.
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