Dombrowski v. City of Philadelphia

57 Pa. D. & C.2d 94, 1971 Pa. Dist. & Cnty. Dec. LEXIS 65
CourtPennsylvania Court of Common Pleas, Philadelphia County
DecidedDecember 20, 1971
Docketno. 2348
StatusPublished

This text of 57 Pa. D. & C.2d 94 (Dombrowski v. City of Philadelphia) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Philadelphia County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dombrowski v. City of Philadelphia, 57 Pa. D. & C.2d 94, 1971 Pa. Dist. & Cnty. Dec. LEXIS 65 (Pa. Super. Ct. 1971).

Opinion

SPAETH, J.,

NATURE OF THE CASE

The case arises on defendants’ preliminary objections to plaintiff’s motion for further injunctive relief.

[95]*95HISTORY OF THE CASE

On April 5, 1967, plaintiff filed a complaint in mandamus alleging that: plaintiff as a former employe of the City of Philadelphia was eligible to receive benfits under the city’s retirement system; the Philadelphia Home Rule Charter requires that the retirement system be “actuarially sound”; city council had failed to appropriate enough money to comply with this requirement; and this failure jeopardized plaintiff’s retirement benefits. The complaint was assigned to this court for disposition and, after preliminary objections had been dismissed, was heard on September 12, 1967.

On November 17, 1967, an order was filed that:

1. Defendants shall appropriate and allocate to the retirement system the following amounts:

(a) For 1967: interest on the system’s unfunded accrued liability, being $20,937,412.50;

(b) For 1968: the city’s share of the system’s normal cost, being $19,057,000, plus interest on the system’s unfunded accrued liability, being $20,937,412.50;

(c) For each year after 1968 until all of plaintiff’s retirement benefits have been paid: the city’s share of the system’s normal cost plus interest on the system’s unfunded accrued liability, as those amounts are determined from time to time by the city’s actuaries.1

In the opinion accompanying this order, it was provided that defendants might “apply to the Court for permission to comply with the . . . order in accordance with ... a graduated program”:

Defendants appealed to the Supreme Court. In an [96]*96opinion filed on August 6, 1968, Mr. Justice Cohen dissenting,2 the court held that: so far as concerned the first two sections of this court’s order, pertaining to the years 1967 and 1968, the order should be affirmed; it was proper to permit defendants to comply with the order on a gradual basis, and the court “. . . assume [d] that the court below will still entertain a plan submitted by the city to enable the city, if it so wishes, to comply with the first two sections of the court’s order on a gradual basis”;3 but that the third section of this court’s order, pertaining to each year after 1968 until all of plaintiff’s retirement benefits had been paid, should be vacated as “contain [ing] a directive for the performance of a future act. . . Although we can agree with the court below that, if the city fails to make sufficient appropriations for years subsequent to 1968 and the court’s order for subsequent years is vacated, then subsequent and perhaps annual mandamus actions will be necessary to compel performance of the city’s duty, we certainly cannot assume that the city, now aware of its obligations, will refuse to act accordingly [footnote omitted] ,”4

On March 14, 1969, defendants filed a petition for leave to comply with this court’s order of November 17, 1967, as modified by the Supreme Court, on a gradual basis. The petition was in three parts. The first part recited that the city would each year pay not less than the city’s share of the normal cost of the retirement system. The second part asked leave to pay the interest on the unfunded accrued liability for 1967 and 1968 at the rate of $2,240,000 a year for 40 years, [97]*97starting with the fiscal year July 1, 1969 — June 30, 1970. The third part asked leave to pay the interest on the unfunded accrued liability for 40 years, starting with the fiscal year July 1, 1969 — June 30, 1970, at the rate of $4,500,000 for the first year, with an annual increase for each year thereafter.

On April 1, 1969, this court filed an opinion and order granting defendant’s petition in part and denying it in part. So far as concerned the request for leave to pay the interest on the unfunded accrued liability for 1967 and 1968, the petition was granted. Otherwise, however, the petition was denied as contrary to the principles that had been established by the opinion and order of the Supreme Court.

The Supreme Court had held that the city was required to pay each year the city’s share of the retirement system’s normal cost and interest on the system’s unfunded accrued liability. Therefore, to the extent that defendant’s petition recited that the city would pay the city’s share of the normal cost, it recited only that the city would comply with one of its legal obligations. To the extent that the petition asked leave to pay the interest on the unfunded accrued liability on a gradual basis over 40 years, however, it amounted to a request that the city be allowed to depart from one of its legal obligations. According to the schedule of payments proposed by the city, for the first 23 years of the 40 years the city would not pay the interest on the unfunded accrued liability but something less; beginning in the twenty-fourth year, the city would pay each year an amount in excess of the interest on the unfunded accrued liability. The projected discrepancies were substantial. For example: for the first of the 40 years the city proposed to pay only $4,500,000, although the interest it was obliged by the Supreme Court’s opinion and order to pay was $20,937,412.50; [98]*98and for the last of the 40 years the city proposed to pay $49,740,000.

Thus, the city by its petition sought to shift to future taxpayers an expense that the Supreme Court had held must be paid on a current basis. Even if this court had been inclined to grant such a request, which it was not, it had no power to grant it, for the Supreme Court’s opinion had made it plain that this court could not enter an order “contain [ing] a directive for the performance of a future act” (id. at 224, 245 A. 2d at 251) except as the future act pertained to compliance with this court’s order of November 17,1967, requiring payment of the normal cost for 1968 and the interest on the unfunded accrued liability for 1967 and 1968.

Accordingly, this court’s order of April 1, 1969, provided:

1. The court’s order of November 17, 1967, as modified and affirmed by the Supreme Court, is modified as follows:

“The City of Philadelphia shall pay the sum of $41,-874,825, representing interest on the unfunded accrued liability of the City’s Retirement System for 1967 and 1968, plus interest on the unpaid balance thereof, by making level payments to the Retirement System of $2,240,000 annually for the next 40 years. The payments shall commence with the fiscal year July 1, 1969 — June 30, 1970.”

2. Otherwise, defendant’s petition is denied.

Thereby, the court required the city to make good past violations, i.e., violations occurring in 1967 and 1968, of the principle of actuarial soundness, at the same time leaving intact the requirement that the city abide by that principle for each year after 1968.

The motion now before the court was filed on December 10, 1971. The first five paragraphs recite or [99]*99allude to matters that have just been more fully recited. The motion then continues as follows:

“6. On December 9, 1971 there was reported favorably out of committee to the full city council three bills:
“No.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Dombrowski v. Philadelphia
245 A.2d 238 (Supreme Court of Pennsylvania, 1968)
Francis v. Corleto
211 A.2d 503 (Supreme Court of Pennsylvania, 1965)
Butler County v. Pittsburgh, Harmony, Butler & New Castle Ry. Co.
148 A. 504 (Supreme Court of Pennsylvania, 1929)
Hotel Casey Co. v. Ross
23 A.2d 737 (Supreme Court of Pennsylvania, 1941)
Passmore Williamson's Case
26 Pa. 9 (Supreme Court of Pennsylvania, 1855)
Winton v. Morss
97 Pa. 385 (Supreme Court of Pennsylvania, 1881)
Commonwealth ex rel. Lieberum v. Lewis
98 A. 31 (Supreme Court of Pennsylvania, 1916)
Advanced Management Research, Inc. v. Emanuel
266 A.2d 673 (Supreme Court of Pennsylvania, 1970)
Ex Relatione Scott v. Jailer
1 Grant 237 (Supreme Court of Pennsylvania, 1855)

Cite This Page — Counsel Stack

Bluebook (online)
57 Pa. D. & C.2d 94, 1971 Pa. Dist. & Cnty. Dec. LEXIS 65, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dombrowski-v-city-of-philadelphia-pactcomplphilad-1971.