A Federal appeals court upheld lower-court decisions and sided with Fort Worth in a suit, filed by police officers and fire fighters, over an alleged violation of a section of the Texas Constitution when the city cut pension benefits in 2012.
The decision is the third of a string of hearings over 2012 reforms that amended the calculation of benefits and cost-of-living adjustments for general employees, police officers, and fire fighters in Fort Worth.
In an article in the Star-Telegram, Circuit Judge Thomas Reavley said:
“Like most public pension plans in Texas, Fort Worth’s is underfunded,” Circuit Judge Thomas Reavley said in the opinion. “Over the years, Fort Worth has sought to improve the financial condition of its pension plan. We have concluded that [the section] permits prospective changes to the pension plan of the public employees within its reach.”
The executive director of Fort Worth Employees’ Retirement Fund said early last month that the board seeks to implement more aggressive investment policies to boost returns.