State Employees' Retirement System v. State of Illinois

This issue in this case involves the constitutional power of the General Assembly to control the fiscal policy of the State.

In 1982, the General Assembly, in various appropriation bills, provided funding that included the State’s portion for retirement contributions to the various retirement systems, including the State Employees’ Retirement System, for Fiscal Year 1983 (commencing July 1, 1983). The contribution rate set by Claimant for FY 1983 was 5.5%of employee compensation.

In April of 1982, responding to the State’s fiscal crisis, the General Assembly passed Senate Bill 177. That bill amended the various appropriation bills to reduce the previously appropriated monies for retirement contributions to a rate of 4.5%. On April 29, 1983, Governor James R. Thompson exercised his power to item reduce certain items and Senate Bill 177 became effective immediately as Public Act 83-0002.

On April 28, 1983, the Senate adopted Senate Joint Resolution No. 33, sponsored by Senators Philip Rock, [*264] president of the Senate, and Howard W. Carroll, chairman of the Senate Appropriations Committee.

Senate Joint Resolution No. 33 declared that: “. . . Senate Bill 177 was adopted for the purpose of helping to alleviate the state’s current cash problems by reducing appropriations made for the employees’ contributions to various state retirement systems for fiscal year 1983. . . and that: . . . it is the intent of the General Assembly to pay to the various pension funds . . . the amount by which payments to those funds were reduced for fiscal year 1983, plus interest at the rate of 6%per year . . .”

The Resolution then resolved that the amounts reduced would be repaid by 20%of the reduction made for each of the next five fiscal years, commencing with fiscal year 1984, plus 6%interest per year.

Claimant filed this Claim to recover $176,216.39 for payment of retirement contributions for employees of the Department of Law Enforcement.

Because of the aforesaid action of the General Assembly, insufficient funds were appropriated (as a result of Senate Bill 177) to cover this claim.

Article VII, section 2(b) of the 1970 Constitution of the State of Illinois provides: “The General Assembly by law shall make appropriations for all expenditures of public funds by the State. Appropriations for a fiscal year shall not exceed funds estimated by the General Assembly to be available during that year.”

The General Assembly having determined (perhaps belatedly) that funds would not be available during Fiscal Year 1983 to cover this claim, this Court has no alternative but to deny the claim.

It is therefore ordered that this claim be dismissed, with prejudice.

[*265] ORDER ON MOTION FOR RECONSIDERATION

RAUCCI, J. This cause coming on to be heard on Claimant’s motion for reconsideration, it is hereby ordered: that the motion for reconsideration is denied.

(Nos. M-CC-1439,84-CC-2749cons.-Claimantawarded $13,640.35.)

ALVA W. BUSCH, Claimant, u. T HE S TATE OF ILLINOIS, Respondent.

Opinion filed March 28,1986.

CLYDE L. KUEHN, for Claimant.

NEIL F. HARTIGAN, Attorney General (WILLIAM E. WEBBER, Assistant Attorney General, of counsel), for Respondent.

STATE EMPLOYEES’ BACK SALARY CLAIMS-crime scene technicianwrongfully discharged-lost wages granted. Subject to deductions for tax withholding and retirement contributions, a wrongfully discharged crime scene technician was granted an award to cover his lost wages and his lost standby pay for the time between his wrongful discharge and his reinstatement.

MONTANA, C.J. The above consolidated claims came on for hearing on June 18, 1985. At the close of the hearing, it was stipulated between the Claimant and the Respondent as to the fact that an award should be entered in both claims for stipulated amounts. The Claimant is seeking to recover lost wages in case No. 84-CC-1439. In case No. 84-CC-2749 he is seeking to recover lost standby

Pay *

[*266] The Claimant was employed in 1982 as a crime scene technician by the Illinois Department of Law Enforcement. He was suspended by the Department from February 28 through March 20, 1982, again from April 26 through April 30, 1982, and again from June 21 through July 18, 1982. On July 21, 1982, he was discharged from his employment. After an appeal to the Civil Service Commission of the State of Illinois, the Claimant was reinstated and resumed his employment with the Department on May 15,1983. The Civil Service Commission determined that the three suspensions and the discharge were all wrongful.

As a result of the suspension beginning on February 28,1982, and the suspension beginning on April 26,1982, the Claimant lost the total of $1,809.00.As a result of the suspension beginning on June 21, 1982, and the ultimate discharge on July 21, 1982, through April 14, 1983, the total lost wages suffered by the Claimant were $15,310.47. During the time of his discharge, the Claimant received in unemployment compensation and in earnings from a part-time job a total of $10,234.00, leaving a total net loss of income of $6,885.47 from the three suspensions and the discharge.

In addition to his regular wages, the Claimant was also paid by the Department what is known as standby pay. This was paid ta the Claimant for those hours for which he was required to be on standby call when he wasn’t on duty. Based upon calculations made by the Department, the standby pay which would have been paid to the Claimant for the suspension beginning February 28, 1982, was $395.04; for the suspension beginning June 21, 1982, $230.44; and for the discharge beginning July 21,1982, $4,972.80.The total standby pay not paid to the Claimant was $5,598.28.

[*267] Based upon the evidence heard at’the hearing and j the subsequent stipulation by the parties, we find that the‘claimant is entitled to $6,885.47 in case No. 84-CC- I

I

1439 and an award of $5,598.28 in case No. 84-CC-2749. I Wherefore, it is hereby ordered that the Claimant be, and hereby is, awarded $6,885.47 in full and final satisfaction of his claim in case No. 84-CC-1439. It is further ordered that Claimant be, and hereby is, awarded $5,598.28 in full and final satisfaction of his claim in case No. 84-CC-2749. These awards are subject to withholdings and contributions set forth on Appendix A (attached).

APPENDIX A

Identification of State Contributions and Deductions I from Back Salary Award.

To the State Employees’ Retirement System: Employee’s contribution to State

Employees’ Retirement System 1672.70

Employee’s contribution to FICA .oo State’s contribution to State I

Employees’ Retirement System 1156.60 I

State’s contribution to FICA .oo To Illinois State Treasurer to be remitted to Internal Revenue Service:

Claimant’s Federal Income Tax 2496.75

To Illinois Department:

Claimant’s Illinois Income Tax 312.09

[*268] To the Claimant: Net salary 8002.21

Total Award $13,640.35