April 1, 2012. If union case prevails hundreds of millions in refunds would be owed to public employees
(Received March 30, 2012)
A divided Florida Supreme Court announced Wednesday evening that it will hear late this summer a challenge of a law passed last year that requires public employees to contribute 3 percent of their paychecks toward their retirement.
Five justices agreed to take the case, but Ricky Polston and Chief Justice Charles Canaday held that the court should not accept jurisdiction. Oral arguments are set for Sept. 5, and the state’s first legal brief is due May 17.
Leon County Circuit Judge Jackie Fulford ruled earlier this month that the pension contributions and an elimination of cost-of-living increases break a contract between the state and its employees and constitute an “unconstitutional taking.”
Legislative leaders and Gov. Rick Scott greeted the ruling with skepticism and quickly called for an appeal. Attorneys for the unions challenging the law filed court papers saying the case should be rushed to the high court, and the First District Court of Appeal certified it as a case of “great public importance.”
The attorneys contended that the potential impact on state and local budgets (more than $800 million a year for state government alone), plus the hundreds of millions in refunds that would be owed to public employees if they prevail in the case, creates “tremendous uncertainty over significant amounts of money” that should be resolved as quickly as possible.