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House passes bill letting Utah Retirement System claw back service credit after conviction for employment-related crimes

Utah House of Representatives · March 9, 2015
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Summary

HB 416 would let the Utah Retirement System stop accrual of service credit back to the date a public official committed a covered crime, applied post-conviction after exhaustion of appeals; the House passed the bill 73-0.

Representative Paul McKay presented House Bill 4 16 to address cases where an elected official or appointed deputy who is eligible for state retirement commits an employment-related crime and then remains in office until retirement vests. The bill would allow URS to treat service credit as forfeited back to the date of the criminal conduct, but only after conviction and exhaustion of post-conviction remedies.

McKay emphasized due-process protections: forfeiture is applied only after convictions are final. He also clarified that private contributions (for example, a vested 401(k) match) would not be taken away and that forfeited amounts stay in the retirement system.

Members asked procedural questions about appeals and whether the change affected only URS; McKay said it applies to state retirement and does not affect individual contributions. The House adopted the bill 73-0 and transmitted it to the Senate.

Provenance: topicintro SEG 1814; topfinish SEG 1960

Speakers quoted: Representative Paul McKay (sponsor).