Hubbard v. Bd. of Trs. of Ret. Sys., 35

• Citation: 319 Mich. 395,29 N.W.2d 779
• Decision Date: 03 December 1947
• Docket Number: No. 35,June Term, 1947.,35
• Parties: HUBBARD v. BOARD OF TRUSTEES OF RETIREMENT SYSTEM et al. (MUNICIPAL EMPLOYEES ASS'N OF CITY OF DEARBORN, Intervener).
• Court: Supreme Court of Michigan

319 Mich. 395

29 N.W.2d 779

HUBBARD

v.BOARD OF TRUSTEES OF RETIREMENT SYSTEM et al. (MUNICIPAL EMPLOYEES ASS'N OF CITY OF DEARBORN, Intervener).

No. 35, June Term, 1947.

Supreme Court of Michigan.

Dec. 3, 1947.

Appeal from Circuit Court, Wayne County, in Chancery; Theodore J. Richter, Judge.

Proceeding involving construction of ordinance by Orville L. Hubbard, Mayor of the City of Dearborn, against the Board of Trustees of the Retirement System created by the provisions of Ordinance No. 210 of the City of Dearborn, and others. The Municipal Employees' Association of the City of Dearbon intervened. From the decree, the plaintiff appeals.

Decree modified.

See also 315 Mich. 18, 23 N.W.2d 186.

Before the Entire Bench.

Dale H. Fillmore, Corp. Counsel, and J. K. Underwood, Deputy Corp. Counsel, both of Dearborn (Lionel R. Hampton, Asst. Corp. Counsel, of Dearborn, of counsel), for plaintiff-appellant.

John J. Fish, of Dearborn, for defendants-appellees.

DETHMERS, Justice.

The cities of Dearborn and Fordson and certain township area became consolidated into the present city of Dearborn in September of 1928. On January 9, 1929, the newly consolidated city adopted its first city charter, which was thereafter amended to provide for a system of civil service effective as of November 18, 1935. Under the provisions of the amendment married female employees where exculded from its benefits.

Upon a referendum vote of the electors ordinance No. 210 became effective on January 1, 1943. It provided for ‘a retirement system for employees of the city of Dearborn in the general classified civil service.’ On the same date on which the electors approved the ordinance they adopted a new city charter, which became operative on January 5, 1943, placing married female employees under the civil service system.

Involved is the construction of the ordinance, giving rise to two questions: (1) What is the beginning date of prior service credit? (2) Are married female employees entitled to prior service credit? Material to these questions are the following excerpts from the ordinance:

‘Article II

‘Definitions

‘Section 1. * * * (b) ‘Employee’ shall mean any regular civilian employee of the city of Dearborn in the general classified civil service of the city of Dearborn.

‘(c) ‘Member’ shall mean any employee included in the membership of the retirement system, as provided for in Article IV of this ordinance.

‘(d) ‘Service’ shall mean service rendered as an employee as aforesaid in the employ of the city and paid for by the city. * * *

‘(f) ‘Accredited service’ shall mean service rendered prior to the effective date of this ordinance. ‘Membership service’ shall mean service rendered subsequent to the effective date of this ordinance.

‘Article III

‘Administration

‘Section 1. The general administration and the responsibility for the proper operation of the retirement system and for making effective the provisions of this ordinance are hereby vested in the board of trustees of the retirement system, which shall be organized immediately after four of the members have qualified and taken the oath of office. * * *

‘Section 7. Subject to the limitations of this ordinance, the board may establish from time to time such rules and regulations for the administration of the retirement pystem as may be necessary.'

Article IV, Section 1, provides that membership of the retirement system shall consist of employees in the general classified civil services of the city and also:

‘(c) * * * Any female employee who shall have attained the status of an employee in the general classified civil serviceor who has been or will be excluded therefrom because of marital status, shall be entitled to membership herein.

‘Article V

‘* * * Section 2. The board shall determine the number of years and months of prior credit and membership service credit to which a member is entitled, * * *

‘Section 4. Creditable service at retirement, on which a retirement annuity of a member shall be used, shall consist of the member's prior service and membership service rendered by him since he last became a member of the retirement system.'

Article VI provides for voluntary retirement of members after 20 years of creditable service and mandatory retirement of male members at age 65 and female members at age 60 with payment to them of certain annuities dependent, in amount, on the unmber of years of creditable service.

The defendants contend taht the board of trustees has authority to fix the date of beginning for prior service credit; that in fixing the date as of Janaury 9, 1929, the board acted well within the scope of its powers because, as they claim, the ordinance permits such prior service credit to be extended back during the entire legal existence of the present city of Dearborn; and that the ordinance expressly provides for prior service credit for married female employees despite the fact that they were not included in the general classified civil service under the old charter.

The...