2016 IL App (1st) 152089
Ill. App. Ct.2016Background
- David Bricker retired May 10, 2014 after ~25 years 9 months of service and applied for firefighter pension benefits.
- His CBA provided a 20% "buyout" paid hourly for the last day worked if the employee retired on the 25th anniversary and was 50+.
- The Chicago Ridge Firefighters’ Pension Board included that 20% buyout in Bricker’s pensionable salary and calculated benefits accordingly.
- The Village of Chicago Ridge challenged the inclusion, arguing the buyout was not part of pensionable salary because it was not approved in the municipality's appropriations ordinance and was effectively a one‑day/one‑time payment.
- The Cook County circuit court reversed the Pension Board and remanded for recalculation without the 20% buyout; the Pension Board appealed.
Issues
| Issue | Plaintiff's Argument (Village) | Defendant's Argument (Pension Board) | Held |
|---|---|---|---|
| Whether the 20% retirement "buyout" is pensionable salary | The buyout is a one‑time, last‑day payment not approved in the municipal appropriation ordinance; therefore not pensionable | The buyout is part of "base pay"/longevity as set in the CBA (approved by village resolution) and should count as salary for pension calculations | Held: Not pensionable; the buyout was not approved through an appropriations ordinance and the village resolution is insufficient |
Key Cases Cited
- Smith v. Board of Trustees of the Westchester Police Pension Board, 405 Ill. App. 3d 626 (2010) (holding salary increases not in municipal appropriation ordinance are not included in pensionable salary)
- AFM Messenger Service, Inc. v. Department of Employment Security, 198 Ill. 2d 380 (2001) (standard for when an agency decision on mixed questions is "clearly erroneous")
- City of Belvidere v. Illinois State Labor Relations Board, 181 Ill. 2d 191 (1998) (deference standard for administrative mixed questions)
- Brucker v. Mercola, 227 Ill. 2d 502 (2007) (statutory language controls when clear and unambiguous)
- United States v. United States Gypsum Co., 333 U.S. 364 (1948) (definition of "clearly erroneous" standard cited)