Linza v. Saul

990 F.3d 243
Court of Appeals for the Second Circuit·Decided March 8, 2021·No. 19-2766·Published·Cited by 1 cases

Opinion

19-2766 Linza v. Saul 1 2 United States Court of Appeals

3 For the Second Circuit 4 5 6 August Term 2019 7 8 Argued: June 2, 2020 9 Decided: March 8, 2021 10 11 No. 19-2766 12 13 14 STEPHEN LINZA, 15 Plaintiff-Appellee, 16 v. 17 ANDREW SAUL, COMMISSIONER OF SOCIAL SECURITY, 18 Defendant-Appellant. 19 20

21 Appeal from the United States District Court 22 for the Western District of New York 23 No. 15-cv-567, Michael A. Telesca, Judge.

1 Before: SULLIVAN, PARK, and NARDINI, Circuit Judges.

2 Plaintiff-Appellee Stephen Linza, a retired “dual status technician” with the 3 National Guard, appeals the Social Security Administration’s calculation of his 4 Social Security retirement benefits. Linza argues that the civil service pension he 5 received in connection with his employment as a dual status technician – a civilian 6 position that requires concurrent National Guard membership – is not subject to 7 reduction under the Social Security Act’s Windfall Elimination Provision because 8 the pension falls within an exception applicable to payments based wholly on 9 work performed as a member of a uniformed service. The district court (Telesca, 10 J.) granted judgment on the pleadings to Linza, and the agency appealed. Looking 11 to the plain text of the statute and using traditional tools of statutory 12 interpretation, we hold that a civil service pension based on federal civilian 13 employment as a dual status technician does not fall within the uniformed service 14 exception. Accordingly, we REVERSE and REMAND so that the district court 15 may enter a judgment consistent with this opinion. 16 17 REVERSED. 18 19 Andrew O. Miller, Webster Szanyi LLP, Buffalo, 20 New York, for Plaintiff-Appellee Stephen Linza. 21 22 SUSHMA SONI, Attorney, Appellate Staff, Civil 23 Division (James P. Kennedy, Jr., United States 24 Attorney for the Western District of New York, 25 Alisa B. Klein, Attorney, Appellate Staff, Civil 26 Division, on the brief), U.S. Department of Justice, 27 Washington, DC, for Defendant-Appellant United 28 States of America. 29 30 RICHARD J. SULLIVAN, Circuit Judge:

31 This appeal concerns whether Plaintiff-Appellee Stephen Linza’s federal 32 civil service pension from his work as a National Guard “dual status technician”

1 constitutes a payment based wholly on work performed as a member of a 2 uniformed service under the Social Security Act (the “Act”). The answer to that 3 question determines whether Linza’s Social Security retirement benefits will be 4 reduced, since a provision of the Act lowers retirement benefits for a person (like 5 Linza) who receives a monthly payment based – at least in part – on income that 6 is not subject to Social Security taxes, unless the monthly payment is exclusively 7 for work as a uniformed service member. 8 A dual status technician is “a Federal civilian employee” who is required to 9 maintain membership in the National Guard while “assigned to a civilian position 10 as a technician.” 10 U.S.C. § 10216(a)(1); see also 32 U.S.C. § 709. Focusing on the 11 position’s military characteristics, the district court held that Linza’s pension 12 qualified as “a payment based wholly on service as a member of a uniformed 13 service.” 42 U.S.C. § 415(a)(7)(A)(III). The district court expressly rejected the 14 view that a dual status technician plays a role with bifurcated civilian and military 15 components, finding instead that Linza served only in one position – namely, as a 16 member of the National Guard with special technical capabilities. Having so 17 found, it then determined that all of Linza’s work as a dual status technician

1 constituted work as a uniformed service member, which in turn meant that his 2 pension was wholly based on such service. 3 Urging reversal, the government argues that the plain meaning of the 4 provision at issue, along with its statutory context, makes clear that a dual status 5 technician’s federal civil service pension is not “based wholly on service as a 6 member of a uniformed service.” We agree with the government and reverse. 7 I. BACKGROUND 8 A. Statutory Scheme 9 The Social Security Act pays individuals a retirement benefit based on a 10 percentage of their pre-retirement income from “covered” employment – i.e., 11 income that was subject to Social Security taxes (“covered income”). See 42 U.S.C. 12 § 415 (describing the calculation of benefits). The Act uses a weighted formula to 13 progressively distribute benefits based on how much covered income an 14 individual has earned over her life. The lower the average covered income an 15 individual has earned, the higher the percentage of her average earnings she will 16 receive in Social Security benefits. See id. § 415(a)(1)(A). As a result, “lower- 17 income workers receive a greater return on their Social Security contributions than 18 higher-income workers.” Babcock v. Comm’r of Soc. Sec., 959 F.3d 210, 215 (6th Cir.

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Linza v. Saul, 990 F.3d 243 (2d Cir. 2021).

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