Denise Dailey alleged that the City improperly capped her retiree health benefit at $8,880, which she alleges is approximately $600 less than the cost of her actual premiums. She alleged that because the retiree health benefit is a benefit under the City’s retirement system, an affirmative vote by all members of the City’s pension system was required to implement that change.
The Court of Appeal concluded that the retiree health benefit is not a benefit under the City’s retirement system, and therefore an affirmative vote by all members of the pension system was not required to implement the cap on employees’ health benefit.