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Introduced Version - Originating in Committee Senate Bill 615 History

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Key: Green = existing Code. Red = new code to be enacted



Senate Bill No. 615

(By Senators Wooton, Caldwell, Fanning, Hunter,

Kessler, Minard, Mitchell, Oliverio, Redd, Ross, Rowe,

Facemyer and McKenzie)

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[Originating in the Committee on the Judiciary;


reported February 15, 2002.]

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A BILL to amend and reenact section eight, article ten-a, chapter five of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to disqualification for public retirement benefits; setoffs against unpaid benefits; and freezing of moneys pending court resolution where theft of government moneys occurs.

Be it enacted by the Legislature of West Virginia:
That section eight, article ten-a, chapter five of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted to read as follows:
ARTICLE 10A. DISQUALIFICATION FOR PUBLIC RETIREMENT PLAN BENEFITS.
§5-10A-8. Setoff; unpaid benefits subject to execution, freezing of account upon finding of probable cause.

(a) The state of West Virginia or any of its political subdivisions shall have the right of setoff against any unpaid benefits which have accrued or may thereafter accrue under the plan, including any contributions by the participant, for any claim caused by less than honorable service by the participant.
(b) Notwithstanding any provision of this article to the contrary, upon being notified by an agency of the state of West Virginia or any of its political subdivisions that an employee has been charged by criminal complaint, indictment or information with an offense which constitutes less than honorable service and larceny of funds or property from a state agency or political subdivision, the retirement board shall withhold payment or refunding of any participant contributions until it receives an order from a court of competent jurisdiction reflecting that the charge has been dismissed, the participant found not guilty or ordering the release of all or part of the funds or directing restitution to the state or political subdivision.
(c) Notwithstanding any provision of the law to the contrary, any unpaid benefits which have accrued or may thereafter accrue shall be subject to execution, garnishment, attachment or any other legal process for collection of a judgment for the recovery of loss or damages incurred by the state or its political subdivision, caused by the participant's less than honorable service.

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(NOTE: The purpose of this bill is to preclude persons who are subject to losing their pension rights under the public employees' retirement system for larceny type offenses from removing their contributions from the system. The rationale for this bill is to protect the government's right to restitution.

Strike-throughs indicate language that would be stricken from the present law, and underscoring indicates new language that would be added.)
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