HI SB133

Courts may decree forfeiture of all or a portion of ERS benefits (interest, account balance, pension, annuity, or retirement allowance) for members convicted of employment-related felonies, by preponderance of evidence standard.

Designated beneficiaries may receive benefits upon the member's death unless the beneficiary was also convicted of a felony based on the same circumstances.

Employment-related felonies include those using official position, state/county time or equipment, bribery, embezzlement or theft of public property, or felonies against persons in the employee's custody or supervision.

The ERS system must comply with certified court orders forfeiting benefits and suspend or deny payments until receiving a certified order to resume or reverse the forfeiture.

Protections apply only to felonies committed on or after the effective date (July 1, 2115), and do not affect non-forfeitable accrued benefits under existing sections 88-73(f), 88-281(g), and 88-331(f).