CONCORD - Wolfeboro selectmen never had the authority under state law to recognize the nine-member union of firefighters, so the town officials were within their rights when they voted to rescind it eight years after it was formed, the Supreme Court ruled Friday.

"It is a win for the town," said Atty. Daniel P. Schwarz. "The town's very happy with it."

The New Hampshire Union Leader was unable to reach Atty. John S. Krupski of Concord, who represented the union, for comment.

Under state law, a town or city is allowed to recognize unions and enter into collective bargaining agreements with employees. However, there must be 10 members and the bargaining unit has to be certified by the New Hampshire Public Employee Labor Relations Board (PELRB).

When the Professional Fire Fighters of Wolfeboro, IAFF Local 3708, was first formed and recognized by the Board of Selectman on March 12, 2002, there were only nine members. As a result, it never qualified for certification by the state PELRB.

Nonetheless, the town and union entered into subsequent contracts until 2008 when they were unable to reach an agreement.

Schwarz said the two parties came to an impasse over health insurance. The town wanted the union to agree to an insurance plan that would cost members more and which was in place for other town employees, union and non-union alike.

Unable to reach an agreement, the selectmen in August 2010 voted unanimously to rescind recognition of the union, saying it never had the authority to enter into an agreement in the first place.

According to the court ruling, the motion to rescind the union said that "based on the Board's finding that the warrant article passed by the town in 2002 recognizing the union was based on a law that had been superseded, that the warrant article authorized but did not require the (Board) to recognize the union... the Board...hereby rescinds recognition of that union, directs the town manager to discontinue negotiating with the union, and considers the collective bargaining agreement negotiated pursuant to the 2002 article to be null and void."

The firefighters, as a result, became town employees covered under the new insurance plan that cost members more.

The union sued and when the lower court sided with the town, appealed to the Supreme Court which ruled that the collective bargaining agreement was void.

The court said the union offered no plausible explanation why, if the legislature intended to allow municipalities to choose to retain authority to enter into collective bargaining agreements with unions comprised of less than 10 members, it would not have authorized the PELRB to certify such unions with employer consent.

"Indeed this is exactly the procedure the legislature followed with its short-lived amendment to the PELRA (Public Employees Labor Relations Act) in 2008, which allowed for the certification of unions comprised of 3-10 members with the approval of the governing body of the public employer," according to the ruling.

Schwarz contends unions realized there was a problem with the law and in 2008 had legislators amend it to allow for as few as three public employees to be certified as a union. The 2011 legislature repealed
it.