Board 001

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Comment on Carroll: The secret to Rep. Mike Coffman's PERA pension (Denver Post)

HOW THE COLORADO SUPREME COURT CAN FIX COLORADO PERA'S SELF-INFLICTED LEGAL
FIASCO.

Here is a simple way for the Colorado Supreme Court to clean up Colorado
PERA's self-inflicted legal mess. The Colorado Supreme Court should grant cert
in the case Justus v. State, and quickly strike, as a question of law, the
COLA provisions of SB10-001 (as facially unconstitutional.) The PERA COLA is
"pension," and it is a contractual obligation of PERA-affiliated employers.
The court should simultaneously invite the Colorado General Assembly to submit
an interrogatory (through Hickenlooper) seeking guidance on the
constitutionality of potential pension reform alternatives.

The Leadership of the General Assembly should send this interrogatory to the
court for clarification on the following points:

To what extent can the Colorado General Assembly increase employee
contributions to address unfunded pension liabilities?

To what extent can the General Assembly alter the PERA pension multiplier on a
prospective basis to address unfunded pension liabilities? (i.e., without
impacting previously accrued Colorado PERA pension benefits.) See Professor
Amy Monahan's paper, "Public Pension Plan Reform: The Legal Framework."

The Colorado General Assembly should then appoint an interim study committee
that is limited to consideration of reforms that the Supreme Court deems
constitutionally permissible ...

Denver Post

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