Exclusive: Unions file lawsuit against state retirement system

Six public employee unions, led by the influential Professional Fire Fighters of New Hampshire, formally asked the Merrimack County Superior Court to require the state's retirement board to pay for a medical subsidy it has not paid for months.

The PFFNH along with the State Employees Association, the New Hampshire Police Association, New Hampshire Association of Chiefs of Police, N.H. State Permanent Fire Fighters Retirement Association, and NEA-NH all claim that the state's retirement system is breaking the law.

As a result they joined together asking the court to order the state reitrement system to reinstate the medical subsidy. (Read the filing.)

The court procedure comes at a time when the legislature is considering not just paying the subsidy, but removing language about the subsidy entirely.

While there are certainly financial reasons for the state (and largely local communities) to stop paying this subsidy for tens of thousands of retired public sector workers, state Sen. Peter Burling (D-Cornish) says the changes are necessary to comply with federal law.

Burling, a lawyer, argues that unless changes are made the New Hampshire Retirement System could lose is tax exempt status.