BILL NUMBER: AB 1649 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 29, 2012
INTRODUCED BY Assembly Member Smyth
FEBRUARY 13, 2012
An act to amend Section 20350 of add
Section 1243.5 to the Government Code, relating to public
employees' retirement.
LEGISLATIVE COUNSEL'S DIGEST
AB 1649, as amended, Smyth. Public employees' retirement:
reciprocity. felony forfeiture.
Existing law provides that any elected public officer who takes
public office, or is reelected to public office, on or after January
1, 2006, who is convicted of any specified felony arising directly
out of his or her official duties, forfeits all rights and benefits
under, and membership in, any public retirement system in which he or
she is a member, effective on the date of final conviction, as
specified.
This bill would require that a public employee, as defined, who is
convicted of any violent felony, serious felony, or a sex offense,
as defined, for conduct arising out of, or in the performance of, his
or her official duties in pursuit of the office or appointment, or
in connection with obtaining salary, disability retirement, service
retirement, or other benefits, forfeit retirement benefits
attributable to service performed on and after the earliest date of
the commission of the felony, as specified. The bill would also
require any contributions to the public retirement system made by the
public employee on or after that date to be returned, without
interest, to the public employee upon the occurrence of a
distribution event, as defined, unless otherwise ordered by a court
or determined by the pension administrator. The bill would also make
related, conforming changes.
Existing law requires the average monthly salary during any period
of service as a member of a county retirement system to be
considered compensation earnable by a member of the Public Employees'
Retirement System (PERS) for purposes of computing final
compensation for the member under specified circumstances in which
the member retires concurrently under both systems. Under existing
law, if a member on deferred retirement from PERS is eligible to
retire for service from a reciprocal retirement system and retires
prior to the time the member becomes entitled to retire under PERS,
his or her retirement shall be deemed a concurrent retirement for
purposes of computing final compensation.
This bill would make a technical, nonsubstantive change to that
provision.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 1243.5 is added to the
Government Code , to read:
1243.5. (a) This section applies to all public employers and to
all public employees who are members of a public retirement system,
regardless of the date the public employee is first hired by a public
employer, to the fullest extent permissible under the United States
Constitution.
(b) If a public employee is convicted by a State or federal trial
court of a felony, as defined in subdivision (f), for conduct arising
out of or in the performance of his or her official duties, or in
pursuit of the office or appointment, or in connection with obtaining
salary, disability retirement, service retirement, or other
benefits, he or she shall, as of the date of conviction, forfeit all
rights and benefits attributable to service performed on and after
the forfeiture date in any public retirement system in which he or
she is a member and shall not accrue further benefits in that public
retirement system. The retirement benefits shall remain forfeited
notwithstanding any reduction in sentence, pardon, grant of clemency,
or expungement of the record of conviction following the date of
conviction. Retirement benefits attributable to service performed
prior to the forfeiture date shall not be forfeited as a result of
this section.
(c) Any contributions to the public retirement system made by the
public employee described in subdivision (b) on or after the
forfeiture date shall be returned, without interest, to the public
employee upon the occurrence of a distribution event unless otherwise
ordered by a court or determined by the pension administrator.
(d) The public employer that employs a public employee described
in subdivision (b) and that public employee shall each notify the
public retirement system in which the public employee is a member of
that public employee's conviction within 60 days of conviction in the
trial court. The public employer's notification obligations shall
not apply if the public employee's conviction occurs after the public
employee separates from employment or office with that public
employer. The operation of this section is not dependent upon the
performance of the notification obligations specified in this
subdivision.
(e) If the public employee's conviction is reversed and that
decision is final, the employee shall be entitled to recover the
forfeited retirement benefits upon redeposit with the system of the
contributions received, if any, pursuant to subdivision (c).
(f) For the purposes of this section, the following definitions
shall apply:
(1) "Contributions" means the contributions to a public retirement
system required or authorized to be paid by a member of the system,
as fixed by law, regulation, administrative action, contract,
contract amendment, or other agreement.
(2) "Distribution event" means any of the following occurring
after the date of conviction by the trial court:
(A) Separation from employment.
(B) Death of the member.
(C) Retirement of the member.
(3) "Felony" means a violent felony, as defined by Section 667.5
of the Penal Code; a serious felony, as defined by Section 1192.7 of
the Penal Code; or a felony that requires the convicted person to
register as a sex offender, as determined by Section 290 of the Penal
Code; or a felony under the laws of the United States that would
qualify as one of those felonies.
(4) "Forfeiture date" means the earliest date of the commission of
a felony described in subdivision (b) for which the public employee
is convicted.
(5) "Public employee" means an officer, including those elected or
appointed, or an employee of a public employer.
(6) "Public employer" means:
(A) The state and every state entity, including, but not limited
to, the Legislature, the courts, the California State University, and
the University of California.
(B) Any political subdivision of the state, including, but not
limited to, a city, county, city and county, charter city, charter
county, charter city and county, school district, community college
district, joint powers authority, joint powers agency, and any public
agency, authority, board, commission, district, or other entity.
(7) "Public retirement system" means any pension or retirement
system of a public employer.
SECTION 1. Section 20350 of the Government Code
is amended to read:
20350. Notwithstanding Section 20638, if a member on deferred
retirement from this system is eligible to retire for service from a
reciprocal retirement system and retires prior to the time the member
becomes entitled to retire under this system, his or her retirement
shall be deemed a concurrent retirement for purposes of computing
final compensation under Section 20638.