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Federal Judge Says Sacramento County Retirees Aren't Entitled to Permanent Health Care Subsidies
The Sacramento Bee
Oct. 9, 2013
"As a cost-saving measure in tough economic times, the Board of Supervisors slashed the subsidy in 2010 by $100 a month -- from a maximum $244 to $144 -- and then, in 2011, to a maximum of $80.64 a month. The [Sacramento County Retired Employees Association] ... argued that the long history of the subsidies created an implied contract guaranteeing them in perpetuity.... [They] claimed that, under the terms of various contracts between the county and its medical plans, its retirement system was required to maintain a minimum level of funding for the subsidies. But U.S. District Judge Kimberly J. Mueller saw it differently, ruling that the association failed to back up its claims."
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