“The Arizona Supreme
Court says the Legislature can't cut cost-of-living increases promised to state
retirees. The ruling released Thursday [February 20] comes in a case brought
after the Legislature cut the increases in 2011 for retirees in the state plan
for judges and elected officials. A Superior Court judge ruled in favor of
retired judges after they sued, but the state appealed. The Legislature cut the
cost-of-living increases after the judges' retirement system lost money in the
Great Recession and became badly underfunded. The retired judges argued the
increases were a promised benefit and lower courts agreed. The high court
agreed the increases are part of a promised retirement benefit and are
protected by the pension clause of the state Constitution. That clause bars ‘diminishing
or impairing’ public retirement benefits” (Arizona high court to rule on judges' pensions).
What does the Arizona ruling perhaps mean for public employees and retirees in Illinois? A hope that justice will prevail, though the judgment in Arizona is for judges (and Arizona is not governed by House Speaker Michael Madigan. Coincidentally, Arizona's House Speaker, Andy Tobin, will be exiting soon because of Term Limits).
Don’t forget, Madigan omitted
Illinois judges from Senate Bill 1, and he stated "at least four members
of the Illinois Supreme Court will approve [his] bill."
Madigan also said: “Judges were
excluded as a practical decision. We anticipate this matter will be before the
Illinois court system and Illinois Supreme Court, and the absence of the
judicial pension system in the bill will relieve them of the burden of dealing
with a conflict of interest.”
Of course, Madigan would have us
believe Illinois Supreme Court judges are incapable of ignoring their own
self-regard and, thus, they had to be excluded. Madigan must also believe Illinois
Supreme Court judges are capable of thievery like the political opportunists
who voted for breaking a constitutional contract.
There are seven states that have
their constitution as the legal basis for protection of public pension rights
under state laws. They are Alaska, Arizona, Hawaii, Illinois, Louisiana,
Michigan, and New York. The strongest
constitutional language (which includes past and future accrual protected) can
be found in the state constitutions of Alaska, Illinois, and New York.
As stated by Alicia H. Munnell,
Director of the Center for Retirement Research at Boston College (2012): “[Only]
a handful of states protect pensions under the contract theory. [They] have
state constitutional provisions that expressly prevent the state from amending
the plan in any way that would produce benefits lower than participants
expected at the time of employment. Illinois and New York have such a provision...”
(State and Local Pensions: What Now?). In Illinois, there are
several antedated court cases that have upheld the Illinois Constitution (Challenging Public Employees’ Earned Constitutionally-Guaranteed Benefits).
Eric M. Madiar, Chief Legal Counsel to Illinois Senate President John J. Cullerton and
Parliamentarian of the Illinois Senate, affirmed (in 2011): “A plain
language reading of the Pension Clause’s text makes clear that governmental
entities may not reduce or eliminate a public employee’s pension payments and
other membership entitlements once the employee becomes a pension system
member. At the same time, the plain language also indicates that an employee’s
pension payments and other membership entitlements are ‘contractual’ rights
that may be presumably altered through mutual assent via contract principles.
Further, the Clause’s prohibitory language against the diminishment or
impairment of pension benefits is cast in absolute terms and lacks any
exceptions” (Is Welching on Public Pension Promises an Option for Illinois? An Analysis of Article XIII, Section 5of the Illinois Constitution).
There is nothing ambiguous or
vague about the following:
“Membership in any pension or
retirement system of the State, any unit of local government or school
district, or any agency or instrumentality thereof, shall be an enforceable
contractual relationship, the benefits of which shall not be diminished or
impaired” (The Constitution of the State of Illinois, Article XIII—Pension and
Retirement Rights, Section 5).
“No ex post facto law, or law
impairing the obligation of contracts…shall be passed” (The Constitution of the
State of Illinois, Article I—Bill of Rights, Section 16).
“Each prospective holder of a State office or other State position created by
this Constitution, before taking office, shall take and subscribe to the
following oath or affirmation: ‘I do solemnly swear (affirm) that I will
support the Constitution of the United States, and the Constitution of the
State of Illinois, and that I will faithfully discharge the duties of the
office of…to the best of my ability’” (The Constitution of the State of
Illinois, Article XIII—Oath or Affirmation of Office, Section 3).
“No State shall…pass any…ex post
facto law or Law impairing the Obligation of Contracts…” (The Constitution of
the United States, Article 1—Limitations on Powers of States, Section 10).
All citizens of the State of
Illinois have legal justification for their rights. As stated, the foundation
of their rights is the State and U.S. Constitutions that directly support any
claims against them. State contracts are protected by the federal government.
Understandably, the 5th and 14th amendments of the United States Constitution
protect due process of law. The legal bases for protection of past-and-future
public pension rights are established in both constitutions (Illinois Pension Reform Is without Legal and Moral Justification).
-Glen Brown
-Glen Brown
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