Firefighters came another step closer in their quest to get back pay from Louisville Metro Government for 15 years in which they claim their overtime was miscalculated.
On Friday, the Kentucky Court of Appeals upheld a Jefferson Circuit Court ruling that says Louisville violated the firefighters' contract by not including incentive and longevity pay in calculations for overtime pay. The ruling entitles more than 800 firefighters to pay going back 15 years from when the claim was filed in 2000.
The ruling could cost the city $7.6 million plus interest. And that comes on top of an additional $19.7 million owed firefighters in another overtime lawsuit.
"This is a major victory," said Doug Steele, an attorney who represents some of the firefighters in the lawsuit.
But city officials say they will appeal the decision to the Kentucky Supreme Court.
"We obviously believe that the law is on our side and that we should appeal this decision," said Chad Carlton, a spokesman for Mayor Jerry Abramson.
The lawsuit is one of two that firefighters filed after they alleged that the city had miscalculated their pay.
They first filed a complaint with the Labor Cabinet in 2000. The case eventually ended up in court, where firefighters won a 2006 ruling that was reviewed by the Court of Appeals.
The second lawsuit was based on a wage and hour dispute that made the same miscalculation argument, but only covers a five-year period.
In October, the Kentucky Supreme Court denied a city request to overturn a ruling that firefighters were entitled to back pay in the five-year case. Since then, a judge in the circuit court has ruled that the city owes firefighters about $19.7 million in back pay for that five-year period.
The court still has to rule on how much will be paid in attorneys fees and when the city must start making payments.
Steele said calculations by the city indicate that the 15-year lawsuit could involve an additional $7.6 million, plus millions of dollars more in interest.
He said he expects the total city payout to firefighters for the two suits to exceed $50 million.
Carlton said if the city had to pay out for the entire 15 years it would be a "staggering amount of money," citing a figure in the vicinity of $60 million.
Craig Willman, president of the firefighters union, said he would like city officials to sit down with the firefighters' attorneys and work out a settlement for payment so that all parties can move on and no more interest accrues on the amount owed.
"It's been going on way too long," Willman said. "The city really needs to take a hard look at putting this to bed."
But Carlton said the city will not discuss a settlement until the Supreme Court weighs in on the 15 year issue. He categorized the amount of money each firefighter would get as the "equivalent to winning the lotto."
Ann Oldfather, who represents some of the retired firefighters, said she would like to see a resolution soon.
She also stressed the importance of Friday's ruling because it denies any claims by the city that it should be granted sovereign immunity, which prevents consolidated governments from being sued.
The appeals ruling clearly says that claim does not apply because the original lawsuits were against the city of Louisville, which was not exempt.