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September 5, 2014

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Judge: Insurance Ruling Will Factor Into Pension Reform Decision
From the Springfield State Journal-Register
A Sangamon County judge said Thursday that a recent Illinois Supreme Court decision on state retiree health insurance is a factor in the lawsuits filed to overturn pension reform.
Circuit Judge John Belz also said the pension reform cases “should be done this year” at the circuit court level, a speedier schedule than lawyers laid out prior to the Supreme Court decision.
“The faster we can move this along within reason, the better,” Belz said during a status hearing Thursday.
The next hearing is now scheduled for Oct. 8, when lawyers for state government retirees will argue the Supreme Court decision in the health insurance case means the pension reform law should be overturned.
“Today’s hearing was very encouraging for the (retirees),” said John Fitzgerald, one of the lawyers representing retirees in the multiple lawsuits filed to stop the pension reforms that were signed into law last year.
The Supreme Court said in a July ruling that state-subsidized health insurance for retirees is a benefit protected by the pension protection clause of the Illinois Constitution. It meant the state cannot charge premiums to retirees for their health insurance. The case is usually referred to as the Kanerva case, after one of the plaintiffs.
Lawyers for retirees in the pension reform lawsuit believe the decision nullifies the state’s argument in the pension lawsuit.
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