Judge Rejects Union Lawsuit Over Pension Reform Vote

A judge on Tuesday refused to issue a temporary restraining order that could have resulted in the pension reform initiative being removed from the June ballot.

In one of two lawsuits challenging the ballot measure, Judge William Dato rejected the TRO request by the state Public Employment Relations Board, which contended the initiative should be disqualified because city leaders engaged in unfair labor practices.

Last week, the agency known as PERB found that the city failed to negotiate the provisions of the ballot measure with its unions.

City officials are legally required to meet and confer with unions on measures they place before voters, but that mandate does not extend to initiatives launched by private citizens and groups.

The pension reform measure is backed by the San Diego County Taxpayers Association and, while Mayor Jerry Sanders and Councilman Carl DeMaio are among its leading supporters, both claimed they were acting as private citizens.

City union leaders disagreed and filed a complaint with the PERB, which resulted in the lawsuit.

"The public deserves the right to decide this matter, and I'm glad the courts will allow this initiative to proceed," Sanders said.

He said that if passed by voters, it will be copied by other cities.

City Attorney Jan Goldsmith released a statement on the ruling, saying, “Judge Dato did the right thing. Access to the ballot by initiative is a constitutional right in California. In this case, 116,000 signatures were obtained and the City must place this on the ballot.”

Under the initiative, most new San Diego city employees would receive 401(k) plans instead of being enrolled in the debt-ridden pension system. Workers would also have only their base compensation figured into their eventual retirement pay for a five-year period.

Proponents say the changes would save the city at least $1.2 billion through 2040, but opponents contend it will leave employees without a viable safety net and actually cost more money in the first few years.

DeMaio, in a statement, said he was glad for the ruling but sure unions would continue to put up a fight.

“I am thrilled that today’s court ruling will uphold the people’s right to vote on Pension Reform in June. However, given how desperate the government labor unions and their lawyers have been thus far, we can expect a major battle over pension reform leading up to election day," he said.

Michael Zucchet, who heads the Municipal Employees Association, told reporters after the hearing that "at the end of the day, the initiative is an illegal initiative and the city's not going to be able to implement it.''

The other lawsuit, filed by mayoral candidate Hud Collins, claims the initiative amounts to a large-scale revision to the City Charter, not an amendment. The City Charter requires a revision to be launched by the City Council or a charter review commission, not a private ballot initiative.

A ruling on his lawsuit is also expected this week.

-City News Service