NM court to hear case over educator pension cuts
National News
New Mexico's highest court is mulling whether the state can cut cost-of-living increases for retired educators to help shore up the pension system's long-term finances.
The state Supreme Court is to hear from lawyers on Wednesday in a case brought by four retirees, who say the state Constitution protects their pensions from reductions like those required under a law enacted earlier this year.
The retirees contend the law gives them a "vested property right" in their retirement benefits and they are legally entitled to the cost-of-living adjustments previously promised, which would have been 2 percent this year without the change in law.
The attorney general's office and the Educational Retirement Board, in written arguments to the court, said the Constitution includes a provision that allows pensions to be modified to preserve the solvency of a retirement plan.
However, the retirees said in their lawsuit that provision only applies to retirement benefits before an employee works long enough to become vested in a pension system.
The Democratic-controlled Legislature and Republican Gov. Susana Martinez agreed on a package of pension changes this year to improve the solvency of the educational retirement program, which has a $6 billion gap between its assets and the benefits expected to be paid out in the future.
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Nicholas C. Minshew, Attorney at Law, concentrates his practice in the area of Family Law including divorce, separation, child support, child custody, alimony, division of property, separation agreements, domestic violence, prenuptial agreements, and child support enforcement & modification. Mr. Minshew provides legal services to clients in Washington, D.C., and throughout Maryland, including Montgomery County, Frederick County, and Prince George’s County. Mr. Minshew obtained his Juris Doctorate degree from the American University, Washington College of Law in 2000, where he worked as an editor for the Administrative Law Review. After receiving his law degree, Mr. Minshew worked as an attorney for the global law firm of Morgan, Lewis & Bockius LLP, and for Leonard Street & Deinard LLP representing companies in Federal proceedings. During that time, Mr. Minshew redirected his focus to provide legal services directly to individuals and families.