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Government

Dec. 30, 2022

US can’t stop California’s transit funds, US judge says

The underlying dispute goes back to a public employee pension law Brown signed in 2012. Signed amid huge budget shortfalls during the financial crisis, AB 340 made all state employees and other new public employees pay more into their pensions.

The chief judge of the U.S. Eastern District of California has thrown out a Department of Labor decision depriving California of about $12 billion in federal transit funds. The case has its roots in a decade-old dispute between former Gov. Jerry Brown and labor unions.

It also marks a rare court battle between California and President Joe Biden’s administration. In her decision issued Wednesday, Judge Kimberly J. Mueller ruled the departmen...

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