SACRAMENTO, Calif. (AP) — Legislation heading to Gov. Jerry Brown would help California transit agencies retain $1.6 billion in federal grants this year that are in jeopardy because of the state's public pension reform law.

The bill responds to a finding by the U.S. Department of Labor that the pension law violates union members' collective bargaining rights by forcing them to contribute more to their retirement funds.

AB1222 by Democratic Assemblymen Roger Dickinson of Sacramento and Richard Bloom of Santa Monica temporarily exempts public transit workers from contributing more to their retirement funds. That buys time while the state and a local transit agency sue over the federal agency's ruling.

Dickinson says the measure would preserves transit jobs while state and federal officials resolve the dispute.

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

  • Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.