M. Slupe v. Butler County Retirement Board

Commonwealth Court of Pennsylvania·Decided September 11, 2026·No. 1002 & 1048 C.D. 2025·Unpublished·Wolf. McCullough

Opinion

IN THE COMMONWEALTH COURT OF PENNSYLVANIA

Michael T. Slupe : CASES CONSOLIDATED :

v. : No. 1002 C.D. 2025 :

Butler County Retirement Board, :

Appellant :

:

Michael T. Slupe, :

Appellant :

:

v. : No. 1048 C.D. 2025 :

Butler County Retirement Board : Argued: June 16, 2026

BEFORE: HONORABLE PATRICIA A. McCULLOUGH, Judge HONORABLE MATTHEW S. WOLF, Judge HONORABLE MARY HANNAH LEAVITT, Senior Judge

OPINION NOT REPORTED

MEMORANDUM OPINION BY JUDGE WOLF FILED: September 11, 2026

In these consolidated matters, the Butler County Retirement Board (Board)

and Michael Slupe file cross-appeals to this Court from a July 11, 2025 order of the Court of Common Pleas of Butler County (trial court), which reversed a prior Board adjudication affirming Michael Slupe’s placement in the Butler County Retirement System’s 1/60th pension class. The Board argues for the reinstatement of its adjudication on the grounds that it was adequately supported by record evidence and consistent with Butler County’s (County) pension law. Sheriff Slupe contends that the Board’s appeal should be quashed and, alternatively, that the trial court’s order

is incorrect to the extent it rejected his constitutional arguments. For the reasons that follow, we affirm in part, reverse in part, and reinstate the Board’s adjudication in full.

I. Background

In 1971, the County created its Employees’ Retirement System (BCERS) in accordance with the provisions of the County Pension Law.1 Reproduced Record (R.R.) at 78a. By a January 2, 2004 motion, the Board moved all County employees into BCERS’s 1/40th pension class as defined in Section 7(a) of the County Pension Law.2 Id. at 117a. The change of pension class, which effectively increased the County’s contribution to all employees’ pensions, was made retroactive to each employee’s start date. Id. The Board decided to revise that policy at a March 25, 2009 meeting, citing the then-recent economic downturn. Id. at 113a. As described by an abstract of the meeting minutes, the Board thus adopted a motion placing “all new hires as of April 1, 2009” into BCERS’s 1/60th class in order to reduce expenses. Id. at 113a-14a.

On November 3, 2009, Sheriff Slupe won election as the County’s sheriff, an office that he continues to hold at the time of this decision. R.R. at 165a. In anticipation of his imminent County employment, Sheriff Slupe signed an agreement on December 15, 2009, acknowledging that he was to be entered into BCERS as a

1 Act of August 31, 1971, P.L. 398, as amended, 16 P.S. §§ 11651-11683. 2 Section 7(a) provides a schedule of “classes” that determine the portion of county employees’ salaries that are to be contributed to the pension fund. 16 P.S. § 11657(a). Under Section 7(a), these range from a so-called 1/120th class (with an employee contribution rate of 5%) to a 1/60th class (with an employee contribution of 9%). Id. Section 7.1(a) additionally permitted county pension boards to create additional 1/50th or 1/40th classes from 2003 until 2007. Added by the Act of December 16, 2003, P.L. 236, 16 P.S. § 11657.1(a). In other words, a lower denominator in the ordinal fraction denotes a more generous contribution by the County to that class’s pensions.

member of its 1/60th pension class. Id. at 110a. That agreement went into effect when Sheriff Slupe formally took office on January 4, 2010. Id.

On January 24, 2022, through counsel, Sheriff Slupe sent a letter to the County, in which he asserted that his placement into the 1/60th pension class violated the Pennsylvania Constitution’s prohibition against changes to elected officials’ compensation during their terms in office.3 R.R. at 119a. Sheriff Slupe reasoned that any change in benefits of a public office “must occur prior to the date fixed by law for candidates to withdraw their names from nomination.” Id. at 119a-20a (citing Myers v. Sch. Dist. of Newtown Twp., 153 A.2d 494, 544 (Pa. 1959)). Given that the deadline for withdrawing his candidacy occurred on March 25, 2009, Sheriff Slupe argued that he should be placed into the 1/40th class pursuant to the Board policy in effect when he could no longer withdraw his candidacy. Id. at 119a. The Board denied that request in a November 2, 2023 letter. Id. at 8a.

Sheriff Slupe filed an appeal of the Board’s denial, and a hearing was held on the matter before Hearing Officer Gianni Floro on April 12, 2024. Id. at 36a. At the hearing, Sheriff Slupe reiterated his claim that placement within the 1/60th class was unconstitutional; he then argued in the alternative that the Board’s 2009 policy change did not apply to elected officials in the first place. Id. at 38a-39a. In testimony, Sheriff Slupe also acknowledged signing an agreement that he would enter the retirement system in the 1/60th class but asserted that he was never made aware of a reason to object to that action. Id. at 44a. In its defense, the Board argued that the class change applied to all members of the retirement system, whether they were appointed or elected. Id. at 45a. The Board further asserted in a post-hearing

3 Specifically, article III, section 27 of the Pennsylvania Constitution provides that “[n]o law shall extend the term of any public officer, or increase or diminish his salary or emoluments, after his appointment.” PA. CONST. art. III § 27.

submission that the definition of county employee provided in the County Pension Law controls in this case, and that such definition encompasses persons “elected or appointed.” Id. at 153a-54a.

After the hearing’s conclusion, the hearing officer drafted a report for the Board stating his conclusion that Sheriff Slupe “is entitled to a retirement benefit consistent with the 1/60th class, as that was applicable at the time he became the Sheriff.” Board’s Br., Appendix C, Report, Conclusion of Law (C.L.) No. 40. The hearing officer explained that the certification of the 1/60th class in 2009 was a proper exercise of the Board’s authority under the County Pension Law, that the 1/60th class was in place at the time Sheriff Slupe took office, and that Sheriff Slupe’s placement in the class does not violate his constitutional rights, as “he chose to participate” in BCERS as a member of that class. Id., C.L. Nos. 36-38. Moreover, the hearing officer expressed concern that the retroactive placement of Sheriff Slupe into the 1/40th class “would subject all the other plan participants to an inequitable result not intended by the [l]egislature.” Id., C.L. No. 39. Finally, the hearing officer reasoned that the selection of the contribution rate “was a mere ministerial administrative function, which could not have taken effect until [Sheriff Slupe] was sworn into office.” Id., C.L. No. 41. In a July 30, 2024 adjudication, the Board adopted the hearing officer’s factual findings and legal conclusions in full. Board’s Br., Appendix B.

Sheriff Slupe appealed from the Board’s adjudication to the trial court, which held oral argument on the matter on May 16, 2025, without taking new evidence. R.R. at 200a. In a July 11, 2025 order, the trial court reversed the Board’s decision and instructed it to place Sheriff Slupe in the County retirement system’s 1/40th class. Board’s Br., Appendix A. In an accompanying opinion, the trial court rejected

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