Long story short: The U.S. Department of Labor says that California’s pension reform (known as PEPRA) violates the collective bargaining rights of transit workers. Therefore, transit agencies such as Metro are ineligible to receive billions in federal funding.
A bill is working its way through the Legislature — it cleared the Senate on Friday — that would exempt transit workers from pension reform and clear the way for the state and the Department of Labor to resolve the issue in federal court.
Here’s the latest update from Metro’s government relations team:
AB 1222 (Bloom) will be considered tomorrow morning at 9:00 a.m. in the Assembly Public Employment and Retirement Committee. Metro’s advocacy team is prepared to speak in support of the measure at the hearing. The language of the bill includes a provision which establishes the timeframe for the duration of the exemption. The bill states that the exemption will be in place until either the federal district court decision or January 1, 2015, whichever is sooner. This means that should the court case take longer than expected, it may be necessary to extend the exemption in next year’s legislative session. Staff will continue to work very closely with the Governor’s office and legislative leadership as the litigation proceeds and we will be prepared to work toward an extension next year should one be required. Metro Board Chair Diane DuBois today transmitted the attached letter supporting AB 1222
Categories: Policy & Funding