Public employees convicted of felonies now required to forfeit retirement benefits

Public employees who have been convicted of felonies that breach public trust must forfeit specified retirement benefits under legislation signed Wednesday by Michigan Gov. Rick Snyder.

"Protecting the integrity of retirement contributions employers make is critically important, and this bill helps ensure employer contributions are not allocated to public employees who have been convicted of crimes that break public trust," Snyder said.

House Bill 4131, sponsored by state Rep. Jim Runestad, requires a public employee or retiree to relinquish accumulated employer contributions, and interest, toward a retirement benefit, if convicted of a felony arising from breaching public trust during their service. The bill amends the Public Employee Retirement Benefits Forfeiture Act, clarifying existing language by making forfeiture mandatory. It is now Public Act 43 of 2017.

Snyder also signed two additional bills:

-House Bill 4058, sponsored by state Rep. Eric Leutheuser, amends the Neighborhood Enterprise Zone Act to remove the requirement that a local assessor must forward tax assessment information to the Michigan Enterprise Zone Authority on an annual basis. It is now Public Act 44 of 2017.

-Senate Bill 176, sponsored by state Sen. Tom Casperson, allows a tourist oriented directional sign to be placed on a rural road for the purpose of advertising a tourist attraction, even if the attraction is visible from the road. It is now Public Act 45 of 2017.

For additional information on this and other legislation, visit

Published: Fri, Jun 09, 2017


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