FOP Fort Pitt v. City of Pgh (majority)Annotate this Case
In 2003, the Pennsylvania Department of Community and Economic Development (“DCED”) designated the City of Pittsburgh as a financially distressed municipality under the Municipal Financial Recovery Act (“Act 47”). The City’s collective bargaining agreement (“CBA”) with Appellant Fraternal Order of Police Fort Pitt Lodge No. 1 (the “Union”) expired on December 31, 2014. As the parties were unable to reach consensus on a new CBA, they entered into interest arbitration governed by the Policemen and Firemen Collective Bargaining Act (“Act 111”). After an evidentiary hearing encompassing ten days of testimony before an Act 111 arbitration panel, the panel issued a final award covering years 2015-2018. The Award contained numbered factual findings one of which included a list of itemized findings relating to the City’s population, income, housing vacancy rate, and, most relevantly, the City’s police officer compensation as measured against other economically and demographically comparable subdivisions. The Union’s financial expert had testified in a prior matter in 2014 that the City’s police pay was above the median of a comparison group; the City’s police officers paid substantially lower contributions toward health insurance than other City employees for the same coverage level; and the Union’s own financial expert believed City police officers were paid competitively. The Union filed an appeal in the Commonwealth Court, contending that the Award deviated from the Plan by failing to ensure competitive compensation for police officers as required by the Plan. The Union argued that the court had jurisdiction to rule on its appeal per Section 252(e) of Act 47. Te Pennsylvania Supreme Court determined the Commonwealth Court properly held that the Union’s challenge to the Award fell outside the scope of Section 252(e). Accordingly, that court’s order quashing the parties’ appeals was affirmed.