State ex rel. Simpson v. State Teachers Ret. Bd.
Annotate this CaseMartha Simpson, a doctor of osteopathic medicine, was employed in two state positions. In one position, Simpson and her employer contributed to the State Teachers Retirement System (STRS). In the other, Simpson and her employer contributed to the Public Employees Retirement System (PERS). Members of STRS who are also members in another state retirement system may combine their total contributions and service credits in determining eligibility for benefits. Under STRS statutes, a pension benefit is calculated by determining a final average salary, which is capped under certain conditions. Simpson filed an application for retirement benefits with STRS. STRS applied the cap to Simpson’s combined PERS and STRS salaries when calculating Simpson’s final average salary. As a result, Simpson’s pension benefit was decreased. After unsuccessfully pursuing an administrative appeal, Simpson filed this action in mandamus, requesting a writ ordering the State Teachers Retirement Board to recalculate her retirement benefit by not capping the PERS portion of her salary. The Supreme Court denied the writ, holding that because STRS administered the pension benefits for Simpson, STRS’s statutes must be applied to the entirety of Simpsons’s retirement contributions.
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