City of Countryside v. City of Countryside Police Pension Board of Trustees

Illinois Appellate Court
Civil Court
Pensions
Citation
Case Number: 
2018 IL App (1st) 171029
Decision Date: 
Friday, September 28, 2018
District: 
1st Dist.
Division/County: 
Cook Co., 6th Div,
Holding: 
Affirmed.
Justice: 
DELORT

Court held that city's police officers had received more in pension benefits than they were entitled to because their pensions had been incorrectly calculated. City's labor attorney and police union's attorney signed a "Letter of Understanding" in 2002 as to benefits and calculation of same.Although retirees may have proceeded in reliance on Pension Board's original computations, public interest in enforcing Pension Code and ensuring solvency of local fund make take priority over retirees' expectations, and thus City's claims were not barred by laches or estoppel. Arbitrator did not address whether calculation method conformed to Pension Code or Department of Insurance regulations. Governing contract is the collective bargaining agreement (CBA), unmodified by Letter of Agreement, and CBA does not support application of Letter. (CUNNINGHAM and HARRIS, concurring.)