Atlanta Sued Over Past Pension Changes

By Charles Edwards

Atlanta, GA – In 2001 and 2005, Atlanta agreed to put more money in pension plans for the city's police officers and firefighters. However, a lawsuit filed Monday claims Atlanta made those changes illegally.

The suit comes as the Mayor's reform panel tackles the city's soaring pension costs.
Supporters of the Fulton County Taxpayers Foundation filed the lawsuit in Fulton County Superior Court. The Foundation and its attorney, John Woodham, declined interview requests. The lawsuit alleges Atlanta violated the city's charter when it promised more police and fire pension money. And because of that, Foundation has some demands.

They want a class action lawsuit. In other words, they're trying to sue the city on behalf of every Atlanta taxpayer. That's pretty hard to do according to criminal defense attorney and WABE legal analyst Page Pate.

"Normally in a class action case, everyone has to be similarly situated and have a legitimate grievance against the defendant," said Pate. "I'm not so sure they meet the standing requirement and the class representative requirement in this case."

Number two, the plaintiffs want the court to block future pension changes while taking control of Atlanta's pension payments. Pate doubts the court will take on that responsibility.

"Most judge are going to feel that is a city matter that the Mayor and his staff and along with city council should make decisions on," said Pate.

If the court approves a class action and sides with the plaintiffs, Pate says it would create a bigger problem for the city.

"If the court does that, there's a bigger problem. Where that money should have been? Are taxpayers entitled to some sort of refund? Are city employees entitled to some sort of break? It's going to be hard to unravel that mess," said Pate.

In a statement, Atlanta's acting city attorney said the lawsuit has no merit and plans an aggressive legal fight.