Laws, Acts, and Legislation

To amend sections 145.56, 145.82, 145.95, 742.47, 3305.07, 3307.41, 3309.66, 3309.82, 3309.95, and 5505.22 and to enact sections 145.572, 742.463, 2907.151, 3305.11, 3307.372, 3309.672, and 5505.262 of the Revised Code to provide that a member of a state retirement system, on conviction of a felony committed in the course of official duties, will forfeit the portion of any state retirement benefit that is based on employer contributions.

Section 1. That sections 145.56, 145.82, 145.95, 742.47, 3305.07, 3307.41, 3309.66, 3309.82, 3309.95, and 5505.22 be amended and sections 145.572, 742.463, 2907.151, 3305.11, 3307.372, 3309.672, and 5505.262 of the Revised Code be enacted to read as follows:

Sec. 145.56. The right of an individual to a pension, an annuity, or a retirement allowance itself, the right of an individual to any optional benefit, any other right accrued or accruing to any individual, under this chapter, or under any municipal retirement system established subject to this chapter under the laws of this state or any charter, the various funds created by this chapter, or under such municipal retirement system, and all moneys, investments, and income from moneys or investments are exempt from any state tax, except the tax imposed by section 5747.02 of the Revised Code and are exempt from any county, municipal, or other local tax, except taxes imposed pursuant to section 5748.02 or 5748.08 of the Revised Code and, except as provided in sections 145.57, 145.572, 3105.171, 3105.65, and 3115.32 and Chapters 3119., 3121., 3123., and 3125. of the Revised Code, shall not be subject to execution, garnishment, attachment, the operation of bankruptcy or insolvency laws, or other process of law whatsoever, and shall be unassignable except as specifically provided in this chapter and sections 3105.171, 3105.65, and 3115.32 and Chapters 3119., 3121., 3123., and 3125. of the Revised Code.

(2) "Public employment" means service as an employee of an employer that is subject to any of the following: the public employees retirement system, Ohio police and fire pension fund, state teachers retirement system, school employees retirement system, state highway patrol retirement system, an alternative retirement plan established under Chapter 3305. of the Revised Code, or the city of Cincinnati retirement system.

(B) A public employees retirement system member who pleads guilty to or is convicted of a felony under the laws of any jurisdiction committed while engaged in the performance of duties related to public employment shall forfeit to the public employees retirement system the right to a retirement allowance or disability benefit or any other right or benefit under this chapter earned by reason of being a member of the retirement system other than the right to a refund of the member's accumulated contributions. In the case of a member subject to withholding under section 145.57 of the Revised Code for the purpose of restitution, forfeiture shall commence immediately following the completion of restitution.

(C) If the public employees retirement board receives notice pursuant to section 2907.151 of the Revised Code or has knowledge that a member is charged with a felony committed while the member was engaged in the performance of duties related to public employment, the board shall make no payment of any allowance, benefit, or accumulated contributions under this chapter prior to the final disposition of the felony charge. Payments suspended under this division shall not resume unless the charge is dismissed or the member is found not guilty or not guilty by reason of insanity.

(D) If the board receives notice pursuant to section 2907.151 of the Revised Code that an individual who would be a member of the retirement system if the individual were not participating in an alternative retirement plan established under Chapter 3305. of the Revised Code is charged with a felony committed while the individual was engaged in the performance of duties related to public employment, the board shall notify the administrator of the alternative retirement plan in which the individual is participating of the notice.

Sec. 145.82. (A) Except as provided in divisions (B) and (C) of this section, sections 145.201 to 145.70 of the Revised Code do not apply to a PERS defined contribution plan, except that a PERS defined contribution plan may incorporate provisions of those sections as specified in the plan document.

(B) The following sections of Chapter 145. of the Revised Code apply to a PERS defined contribution plan: 145.22, 145.221, 145.23, 145.25, 145.26, 145.27, 145.296, 145.38, 145.382, 145.383, 145.384, 145.391, 145.47, 145.48, 145.483, 145.51, 145.54, 145.55, 145.56, 145.563, 145.57, 145.571, 145.572, 145.69, and 145.70 of the Revised Code.

(C) A PERS defined contribution plan that includes definitely determinable benefits may incorporate by reference all or part of sections 145.201 to 145.79 of the Revised Code to allow a member participating in the plan to purchase service credit or to be eligible for any of the following:

With respect to the benefits described in division (C)(1) of this section, the public employees retirement board may establish eligibility requirements and benefit formulas or amounts that differ from those of members participating in the PERS defined benefit plan. With respect to the purchase of service credit by a member participating in a PERS defined contribution plan, the board may reduce the cost of the service credit to reflect the different benefit formula established for the member.

Sec. 145.95. Subject to sections 145.38, 145.56, ~~and~~ 145.57, and 145.572 of the Revised Code, the right of a member participating in a PERS defined contribution plan to any payment or benefit accruing from contributions made by or on behalf of the member under sections 145.85 and 145.86 of the Revised Code shall vest in accordance with this section.

(2) "Public employment" means service as an employee of an employer that is subject to any of the following: the public employees retirement system, Ohio police and fire pension fund, state teachers retirement system, school employees retirement system, state highway patrol retirement system, an alternative retirement plan established under Chapter 3305. of the Revised Code, or the city of Cincinnati retirement system.

(B) An Ohio police and fire pension fund member who pleads guilty to or is convicted of a felony under the laws of any jurisdiction committed while engaged in the performance of duties related to public employment shall forfeit to the Ohio police and fire pension fund the right to a pension or disability benefit or any other right or benefit under this chapter earned by reason of being a member of the fund other than the right to a refund of the member's accumulated contributions. In the case of a member subject to withholding under section 742.461 of the Revised Code for the purpose of restitution, forfeiture shall commence immediately following the completion of restitution.

(C) If the Ohio police and fire pension fund board receives notice pursuant to section 2907.151 of the Revised Code or has knowledge that a member is charged with a felony committed while the member was engaged in the performance of duties related to public employment, the board shall make no payment of any pension, benefit, or accumulated contributions under this chapter prior to the final disposition of the felony charge. Payments suspended under this division shall not resume unless the charge is dismissed or the member is found not guilty or not guilty by reason of insanity.

Sec. 742.47. Except as provided in ~~section~~ sections 742.461, 742.463, 3105.171, 3105.65,, and 3115.32 and Chapters 3119., 3121., 3123., and 3125. of the Revised Code, sums of money due or to become due to any individual from the Ohio police and fire pension fund are not liable to attachment, garnishment, levy, or seizure under any legal or equitable process or any other process of law whatsoever, whether those sums remain with the treasurer of the fund or any officer or agent of the board of trustees of the fund or are in the course of transmission to the individual entitled to them, but shall inure wholly to the benefit of that individual.

If the prosecutor of a felony case has knowledge that a person charged with a felony is alleged to have committed the felony while engaged in the performance of duties related to public employment, the prosecutor shall notify the board of any public retirement system of which the person is a member.

The notice shall be made on a form prescribed and provided by the applicable public retirement system board. The report shall include the name and address of the person charged, the charge, and the certified court documents recording the action.

Sec. 3305.07. (A) Neither the state nor a public institution of higher education shall be a party to any contract purchased in whole or in part with contributions to an alternative retirement plan made under section 3305.06 of the Revised Code. No retirement, death, or other benefits shall be payable by the state or by any public institution of higher education under any alternative retirement plan elected pursuant to this chapter.

(B)(1) Except as provided under division (B)(2) of this section and sections 3305.08 ~~and~~, 3305.09, and 3305.11 of the Revised Code, benefits shall be paid to an electing employee or the employee's beneficiaries in accordance with the alternative retirement plan adopted by the public institution of higher education at which the employee is employed.

(2) A benefit or payment shall not be paid under an investment option prior to the time an electing employee dies, terminates employment with the public institution of higher education, or, if provided under the alternative retirement plan or investment option, becomes disabled, except that the provider of the investment option shall transfer the employee's account balance to another provider as provided under section 3305.053 of the Revised Code.

(2) "Public employment" means service as an employee of an employer that is subject to any of the following: the public employees retirement system, Ohio police and fire pension fund, state teachers retirement system, school employees retirement system, state highway patrol retirement system, an alternative retirement plan established under this chapter, or the city of Cincinnati retirement system.

(B) An alternative retirement plan participant who pleads guilty to or is convicted of a felony under the laws of any jurisdiction committed while engaged in the performance of duties related to public employment shall forfeit to the retirement system to which the participant's employment would be subject, if the participant were not participating in an alternative retirement plan, the right to a retirement allowance or disability benefit or any other right or benefit under this chapter earned by reason of participating in the alternative retirement plan other than the right to a refund of the participant's accumulated contributions. In the case of a participant subject to withholding under section 3305.09 of the Revised Code for the purpose of restitution, forfeiture shall commence immediately following the completion of restitution.

(C) If the provider of an alternative retirement plan receives notice pursuant to section 145.572, 3307.372, or 3309.672 of the Revised Code or has knowledge that a participant is charged with a felony committed while the participant was engaged in the performance of duties related to public employment, the provider shall make no payment of any allowance, benefit, or accumulated contributions under this chapter prior to the final disposition of the felony charge. Payments suspended under this division shall not resume unless the charge is dismissed or the participant is found not guilty or not guilty by reason of insanity.

(1) "Accumulated contributions" has the same meaning as in section 3307.50 of the Revised Code, but also includes employee contributions made under section 3307.26 of the Revised Code to participate in a plan established under section 3307.81 of the Revised Code and any earnings on those contributions.

(2) "Public employment" means service as an employee of an employer that is subject to any of the following: the public employees retirement system, Ohio police and fire pension fund, state teachers retirement system, school employees retirement system, state highway patrol retirement system, an alternative retirement plan established under Chapter 3305. of the Revised Code, or the city of Cincinnati retirement system.

(B) A state teachers retirement system member who pleads guilty to or is convicted of a felony under the laws of any jurisdiction committed while engaged in the performance of duties related to public employment shall forfeit to the state teachers retirement system the right to a retirement allowance or disability benefit or any other right or benefit under this chapter earned by reason of being a member of the retirement system other than the right to a refund of the member's accumulated contributions. In the case of a member subject to withholding under section 3307.37 of the Revised Code for the purpose of restitution, forfeiture shall commence immediately following the completion of restitution.

(C) If the state teachers retirement board receives notice pursuant to section 2907.151 of the Revised Code or has knowledge that a member is charged with a felony committed while the member was engaged in the performance of duties related to public employment, the board shall make no payment of any allowance, benefit, or accumulated contributions under this chapter prior to the final disposition of the felony charge. Payments suspended under this division shall not resume unless the charge is dismissed or the member is found not guilty or not guilty by reason of insanity.

(D) If the state teachers retirement board receives notice pursuant to section 2907.151 of the Revised Code that an individual who would be a member of the retirement system if the individual were not participating in an alternative retirement plan established under Chapter 3305. of the Revised Code is charged with a felony committed while the individual was engaged in the performance of duties related to public employment, the board shall notify the provider of the alternative retirement plan in which the individual is participating of the notice.

Sec. 3307.41. The right of an individual to a pension, an annuity, or a retirement allowance itself, the right of an individual to any optional benefit, or any other right or benefit accrued or accruing to any individual under this chapter, the various funds created by section 3307.14 of the Revised Code, and all moneys, investments, and income from moneys or investments are exempt from any state tax, except the tax imposed by section 5747.02 of the Revised Code, and are exempt from any county, municipal, or other local tax, except taxes imposed pursuant to section 5748.02 or 5748.08 of the Revised Code, and, except as provided in sections 3105.171, 3105.65, 3115.32, 3119.80, 3119.81, 3121.02, 3121.03, 3123.06, ~~and~~ 3307.37, and 3307.372 of the Revised Code, shall not be subject to execution, garnishment, attachment, the operation of bankruptcy or insolvency laws, or any other process of law whatsoever, and shall be unassignable except as specifically provided in this chapter or sections 3105.171, 3105.65,~~,, and~~ 3115.32, 3119.80, 3119.81, 3121.02, 3121.03, and 3123.06 of the Revised Code.

Sec. 3309.66. The right of an individual to a pension, an annuity, or a retirement allowance itself, the right of an individual to any optional benefit, any other right accrued or accruing to any individual under this chapter, the various funds created by section 3309.60 of the Revised Code, and all moneys, investments, and income from moneys and investments are exempt from any state tax, except the tax imposed by section 5747.02 of the Revised Code, and are exempt from any county, municipal, or other local tax, except taxes imposed pursuant to section 5748.02 or 5748.08 of the Revised Code, and, except as provided in sections 3105.171, 3105.65, 3115.32, 3119.80, 3119.81, 3121.02, 3121.03, 3123.06, ~~and~~ 3309.67, and 3309.672 of the Revised Code, shall not be subject to execution, garnishment, attachment, the operation of bankruptcy or insolvency laws, or any other process of law whatsoever, and shall be unassignable except as specifically provided in this chapter or and in sections ~~and~~ 3105.171, 3105.65, 3115.32, 3119.80, 3119.81, 3121.02, 3121.03, and 3123.06 of the Revised Code.

(2) "Public employment" means service as an employee of an employer that is subject to any of the following: the public employees retirement system, Ohio police and fire pension fund, state teachers retirement system, school employees retirement system, state highway patrol retirement system, an alternative retirement plan established under Chapter 3305. of the Revised Code, or the city of Cincinnati retirement system.

(B) A school employees retirement system member who pleads guilty to or is convicted of a felony under the laws of any jurisdiction committed while engaged in the performance of duties related to public employment shall forfeit to the school employees retirement system the right to a retirement allowance or disability benefit or any other right or benefit under this chapter earned by reason of being a member of the retirement system other than the right to a refund of the member's accumulated contributions. In the case of a member subject to withholding under section 3309.67 of the Revised Code for the purpose of restitution, forfeiture shall commence immediately following the completion of restitution.

(C) If the school employees retirement board receives notice pursuant to section 2907.151 of the Revised Code or has knowledge that a member is charged with a felony committed while the member was engaged in the performance of duties related to public employment, the board shall make no payment of any allowance, benefit, or accumulated contributions under this chapter prior to the final disposition of the felony charge. Payments suspended under this division shall not resume unless the charge is dismissed or the member is found not guilty or not guilty by reason of insanity.

(D) If the school employees retirement board receives notice pursuant to section 2907.151 of the Revised Code that an individual who would be a member of the retirement system if the individual were not participating in an alternative retirement plan established under Chapter 3305. of the Revised Code is charged with a felony committed while the individual was engaged in the performance of duties related to public employment, the board shall notify the provider of the alternative retirement plan in which the individual is participating of the notice.

Sec. 3309.82. (A) Except as provided in division (B) of this section, sections 3309.02, 3309.021, and 3309.022 and sections 3309.18 to 3309.70 of the Revised Code do not apply to a plan established under section 3309.81 of the Revised Code, except that a plan may incorporate provisions of those sections as specified in the plan document.

(B) The following sections of Chapter 3309. of the Revised Code apply to a plan established under section 3309.81 of the Revised Code: sections 3309.19, 3309.21, 3309.22, 3309.23, 3309.24, 3309.25, 3309.251, 3309.252, 3309.253, 3309.28, 3309.29, 3309.341, 3309.3712, 3309.47, 3309.471, 3309.49, 3309.51, 3309.53, 3309.54, 3309.55, 3309.56, 3309.57, 3309.571, 3309.58, 3309.59, 3309.60, 3309.61, 3309.62, 3309.66, 3309.661, 3309.67, 3309.672, 3309.68, and 3309.70 of the Revised Code.

Sec. 3309.95. Subject to sections 3309.341, 3309.66, ~~and~~ 3309.67, and 3309.672 of the Revised Code, the right of a member participating in a plan established under section 3309.81 of the Revised Code to any payment or benefit accruing from contributions made by or on behalf of the member under sections 3309.85 and 3309.86 of the Revised Code shall vest in accordance with this section.

Sec. 5505.22. The right of any individual to a pension, or to the return of accumulated contributions, payable as provided under this chapter, and all moneys and investments of the state highway patrol retirement system and income from moneys or investments are exempt from any state tax, except the tax imposed by section 5747.02 of the Revised Code, and are exempt from any county, municipal, or other local tax, except taxes imposed pursuant to section 5748.02 or 5748.08 of the Revised Code, and, except as provided in sections 3105.171, 3105.65, 3115.32, 3119.80, 3119.81, 3121.02, 3121.03, 3123.06, ~~and~~ 5505.26, and 5505.262 of the Revised Code, shall not be subject to execution, garnishment, attachment, the operation of bankruptcy or insolvency laws, or any other process of law whatsoever, and shall be unassignable except as specifically provided in this chapter.

(2) "Public employment" means service as an employee of an employer that is subject to any of the following: the public employees retirement system, Ohio police and fire pension fund, state teachers retirement system, school employees retirement system, state highway patrol retirement system, an alternative retirement plan established under Chapter 3305. of the Revised Code, or the city of Cincinnati retirement system.

(B) A state highway patrol retirement system member who pleads guilty to or is convicted of a felony under the laws of any jurisdiction committed while engaged in the performance of duties related to public employment shall forfeit to the state highway patrol retirement system the right to a pension or disability benefit or any other right or benefit under this chapter earned by reason of being a member of the retirement system other than the right to a refund of the member's accumulated contributions. In the case of a member subject to withholding under section 5505.26 of the Revised Code for the purpose of restitution, forfeiture shall commence immediately following the completion of restitution.

(C) If the state highway patrol retirement board receives notice pursuant to section 2907.151 of the Revised Code or has knowledge that a member is charged with a felony committed while the member was engaged in the performance of duties related to public employment, the board shall make no payment of any pension, benefit, or accumulated contributions under this chapter prior to the final disposition of the felony charge. Payments suspended under this division shall not resume unless the charge is dismissed or the member is found not guilty or not guilty by reason of insanity.

Section 3. The General Assembly, applying the principle stated in division (B) of section 1.52 of the Revised Code that amendments are to be harmonized if reasonably capable of simultaneous operation, finds that the following sections, presented in this act as composites of the sections as amended by the acts indicated, are the resulting versions of the sections in effect prior to the effective date of the sections as presented in this act: