Arizona has a state constitutional protection clause identical to ours in Illinois. Arizona also has a pension problem, though not as severe as ours.
Arizona voters on Tuesday passed Prop 125 to amend their clause to allow benefit reductions. The amendment had bipartisan support. Details are linked here.
So far, we’ve seen no reports of the working class collapsing, vulture capitalists enslaving the masses, or dogs and cats living together.
Nor have we seen any legal challenge based on federal constitutional issues. It’s inexcusable that Illinois hasn’t acted to amend its pension clause, which our courts have interpreted as a suicide pact. An amendment might be challenged under the Contracts Clause in the United States Constitution, but we think that challenge would probably fail.
-Mark Glennon is founder and executive editor of Wirepoints.