header image

[Sign Up Now] to Receive Our FREE Daily SCVTV-SCVNews Digest by E-Mail

Inside
Weather
Santa Clarita CA
Clear
Clear
83°F
 
Calendar
Today in
S.C.V. History
August 3
1975 - Henry Mayo Newhall (Memorial) Hospital opens with 100 beds [story]
HMNMH


By Jon Parton, Courthouse News

(CN) – A federal judge on Wednesday ruled against claims by a state workers’ union that California’s pension system unfairly changed the terms of a pre-existing collective bargaining agreement.

The case goes back to the Golden State’s budget crisis in 2013, when lawmakers passed a law that raised the retirement age to 62 for its state workers’ pension plan CalPERS, the largest pension fund in the nation.

The year before, the American Federation of State, County and Municipal Employees Local 101 had negotiated a contract that set the retirement age at 60.

The union said the change violated the Contract Clause of the U.S. Constitution by retroactively impairing the union’s contract rights and sued CalPERS, Gov. Jerry Brown and other state administrators.

In her ruling for summary judgment in favor of the state, U.S. District Judge Beth Labson Freeman found the change to the contract was legal.

“The court’s ruling is based solely on its application of the relevant authorities addressing the Contract Clause,” Freeman wrote in the ruling.

“Under those authorities, a change in law constitutes a substantial impairment of a contractual relationship only if the asserted impairment is outside the reasonable expectations of the parties,” Freeman wrote. “Based on the undisputed facts in this record, amendment to PERL [Public Employees’ Retirement Law] clearly was within the reasonable expectations of AFSCME and the district when they negotiated the collective bargaining agreement.”

The case was first taken to an arbitrator who ruled that CalPERS had to abide by the 2012 agreement. CalPERS refused and continued to comply with the 2013 law. In her review of the arbitration, Freeman said the state’s pension fund had no obligation to comply with the union’s arbitration award.

“AFSCME’s reliance on the arbitrator’s ruling to establish that the CBA creates a freestanding pension obligation, independent of the 2012 District-CalPERS contract, is unavailing,” Freeman wrote.

“The arbitrator’s decision may not be asserted against defendants, who were not parties to the arbitration, under the doctrines of res judicata or collateral estoppel, and AFSCME has not demonstrated the existence of special circumstances warranting an exception to the normal rules of preclusion,” he wrote.

Freeman concluded that the original state law from 1962 that allowed for possible legislative changes was fully incorporated into the 2012 agreement. She ruled that such changes could be reasonably expected and did not signify a major impairment to the contract since it did not apply to older workers.

“However, AFSCME bargained for those future employees’ participation in CalPERS under the applicable state law, PERL,” Freeman wrote. “Accordingly, future employees’ pension benefits are subject to PERL not because pension rights generally are governed by statute in California, but because the CBA negotiated by AFSCME and the district expressly incorporated the 2012 District-CalPERS contract and, by extension, the provisions of PERL.

“Thus, while the bargain negotiated by AFSCME certainly protects the pension rights of previously hired employees, it does not curtail the California Legislature’s authority to amend PERL as applied to new employees and in fact it expressly recognizes the Legislature’s authority to do so,” Freeman wrote.

The AFSCME is represented by Susan Garea of Beeson, Tayer and Bodine. The defendants are represented by California Deputy Attorney General Benjamin Glickman.

Comment On This Story
COMMENT POLICY: We welcome comments from individuals and businesses. All comments are moderated. Comments are subject to rejection if they are vulgar, combative, or in poor taste.
REAL NAMES ONLY: All posters must use their real individual or business name. This applies equally to Twitter account holders who use a nickname.

0 Comments

You can be the first one to leave a comment.

Leave a Comment


SCV NewsBreak
LOCAL NEWS HEADLINES
Tuesday, Aug 3, 2021
Valladares Opens Nominations for Hispanic Heritage Month Honorees
During Hispanic Heritage Month this year, Assemblywoman Suzette Valladares, R-Santa Clarita, will recognize constituents of Hispanic descent who have contributed to their community in the 38th Assembly District.
Tuesday, Aug 3, 2021
Public Health Confirms First 2021 Case of West Nile Virus in LA County
The Los Angeles County Department of Public Health has identified the first case of human West Nile virus infection in L.A. County for the 2021 season.
Tuesday, Aug 3, 2021
Tuesday COVID-19 Roundup: 30,273 Total SCV Cases; Public Health to Host Virtual Town Hall on Schools Wednesday
On Tuesday, Los Angeles County Public Health officials confirmed 20 new deaths and 2,293 new cases of COVID-19 countywide, with 30,273 total cases in the Santa Clarita Valley.
Keep Up With Our Facebook

Latest Additions to SCVNews.com
The Castaic Education Foundation Welcome Wagon announced it will be touring the Castaic community on Monday, Aug. 4, and Friday, Aug. 6 to visit students and their families as the first day of school closes in.
Castaic Education Foundation Welcome Wagon to Tour Castaic Community, Visit Students
Officials at the Santa Clarita Film Office said they have been “busy” in the last few months, a change from the March-June period from last year in which no productions were allowed to roll their cameras.
Santa Clarita Film Office Reports Over $34M Generated in 2021 Fiscal Year
Public comments from local organizations and residents submitted to the Los Angeles County Citizens Redistricting Commission this summer sent a uniform message to commissioners: Keep Los Angeles’s north county communities together.
SCV Residents, Groups Ask Redistricting Commission to Keep North County Communities Together
During Hispanic Heritage Month this year, Assemblywoman Suzette Valladares, R-Santa Clarita, will recognize constituents of Hispanic descent who have contributed to their community in the 38th Assembly District.
Valladares Opens Nominations for Hispanic Heritage Month Honorees
The Los Angeles County Department of Public Health has identified the first case of human West Nile virus infection in L.A. County for the 2021 season.
Public Health Confirms First 2021 Case of West Nile Virus in LA County
On Tuesday, Los Angeles County Public Health officials confirmed 20 new deaths and 2,293 new cases of COVID-19 countywide, with 30,273 total cases in the Santa Clarita Valley.
Tuesday COVID-19 Roundup: 30,273 Total SCV Cases; Public Health to Host Virtual Town Hall on Schools Wednesday
The Los Angeles County Health Officer has issued a Heat Alert for the Santa Clarita Valley beginning Wednesday, Aug. 4.
LA County Health Officer Issues Heat Alert for SCV Beginning Wednesday
The Los Angeles County Department of Parks and Recreation is inviting the public to provide input to help inform future planning and funding to address regional and rural park and recreation needs.
Countywide Effort Encourages Residents to Help Identify Regional, Rural Park Needs
Henry Mayo Newhall Hospital is now offering Transcatheter Aortic Valve Replacement (TAVR), a cutting-edge minimally-invasive procedure to replace narrowed aortic valves that fail to properly open.
Henry Mayo Newhall Hospital Acquires TAVR Technology
Santa Clarita City Manager Ken Striplin has been recognized with the 2021 Award for Career Excellence in Memory of Mark E. Keane, a prestigious award given to one honoree each year from nominations of city managers across the country and around the globe.
City Manager Recognized With International Award of Excellence
As you drive around Santa Clarita, do you ever wonder what work is being done at your neighborhood park? Or when the new Sheriff’s Station will be complete? Maybe you want to go ice skating at The Cube or find out what issues are going before the City Council. There are several ways you can discover what’s going on in your city.
City Manager Ken Striplin: Connect With Your City
1975 - Henry Mayo Newhall (Memorial) Hospital opens with 100 beds [story]
HMNMH
Henry Mayo Newhall Hospital reported an additional death on Monday, bringing the total of COVID-19 related deaths to 153, hospital spokesman Patrick Moody said.
Monday COVID-19 Roundup: Henry Mayo Officials Report 153rd Death; Urge Those Eligible to Get Vaccinated
The Santa Clarita Public Library is excited to announce the return of the Summer Book Bag Sale!
Aug. 7-15: Friends of Santa Clarita Library Hosting Summer Book Bag Sale
Rancho Camulos Museum has launched a new visitor experience at the Rancho Camulos National Historic Landmark, "Last Sundays at the Landmark."
Rancho Camulos Launches ‘Last Sundays at the Landmark’
The city of Santa Clarita’s Film Office released the 11 productions currently filming in the Santa Clarita Valley for the week of Monday, Aug. 2 - Sunday, Aug. 8, 2021:
Filming This Week in SCV: ‘NCIS,’ ‘Leviathan,’ ‘MTV Cribs International,’ 8 More Productions
Registration Now Open for River Rally Volunteers
Registration Now Open for River Rally Volunteers
Mission Valley Bancorp announced Monday a net income of $1.6 million, or $0.48 per diluted share, for the second quarter of 2021, compared to net income of $398 thousand, or $0.12 per diluted share, for the second quarter of 2020.
Mission Valley Bank Releases 2Q Earnings
Saugus High School graduate Abbey Weitzeil anchored Team USA to a silver medal in the women’s 4×100 medley relay in her final swim of the Tokyo Olympics on Sunday.
Saugus High Alumna Abbey Weitzeil Anchors Relay Team to Silver
Santa Clarita is known throughout the state and the nation as a beautiful, safe community.
Mayor Miranda’s August Message: Enjoy All that Santa Clarita Is Offering This Summer
The Governing Board of the William S. Hart Union High School District will hold its Regular Meeting Wednesday, Aug. 4, beginning with a closed session at 6:00 p.m., followed immediately with open session at 7:00 p.m.
Hart District Returning to In-Person Meetings; Public May Now Attend
Do you believe in magic? Then join The MAIN, located at 24266 Main Street in Newhall, for “Enchanted: An Evening of Magic” on Friday, Aug. 20, at 8:00 p.m.
Tickets Now Available for ‘Enchanted: An Evening of Magic’ at The MAIN
Majestic Princess returned to Seattle on Sunday, concluding its sailing to Alaska and marking the first successful United States voyage for Princess Cruises following the extended pause in operations.
Princess Cruises Concludes First Successful Voyage Following Operations Pause
Los Angeles County Supervisor Janice Hahn announced Saturday morning that she’s planning to introduce a motion requiring all county employees “to get the vaccine or face weekly COVID testing.”
Hahn Announces Plan to Propose Vaccine Mandate for L.A. County Employees
%d bloggers like this: