In Upper Providence Police Delaware County Lodge # 27 Fraternal Order of Police v. Upper Providence Township, 514 Pa. 501, 526 A.2d 315 (1987), our Supreme Court determined that post-retirement medical benefits could be provided by a pension or retirement system. In that case, the issue was whether it was illegal for an arbitrator to eliminate retiree medical benefits on the basis that it was an illegal act because the Home Rule Charter Law prevented a municipality from doing so. The Court held: The arbitrators' award eliminating post-retirement hospital and medical benefits for 1984 violated section 302 of the Home Rule Act as it constituted an illegal diminishment of retirement benefits to former and present employees...Since the Township was prohibited by the Home Rule Act from voluntarily eliminating the post-retirement hospital and medical benefits for present and former employees, the award of the arbitrators eliminating those benefits for 1984 was illegal and thus in excess of the exercise of their powers. Id., 514 Pa. at 515, 526 A.2d at 322.