BILL NUMBER:S2660

TITLE OF BILL:  CONCURRENT RESOLUTION OF THE SENATE AND ASSEMBLY
proposing an amendment to section 7 of article 5 of the constitution,
in relation to forfeiture of pension rights or retirement benefits
upon conviction of a felony related to public employment

PURPOSE:

Provides that any state officer or local officer convicted of a felony
involving breach of public trust be subject to forfeiture of pension
benefits.

SUMMARY OF PROVISIONS:

Adds a new subdivision (a) to article 5 section 7 of the constitution
to allow a state officer or local officer who is convicted of a felony
related to public employment to be subject to forfeiture of rights and
privileges under the public retirement system or pension plan in such
manner as provided by law.

JUSTIFICATION:

Currently, New York State has no policy regarding the forfeiture of
pension benefits by a state officer or local officer who has been
convicted of a crime. No matter how serious the offense or how grossly
              

a state officer or local officer has abused his or her public
position, current law regulating pension plans for state employees
makes no provision for forfeiture. As it stands, an employee who meets
the age and length of service requirement for pension collection
contained in the New York's Retirement and Social Security Law is
entitled to benefits at the public's expense, regardless of their
conviction record.

When an elected official is sworn into office, he or she must sign a
solemn Oath stating that they will uphold the laws and the
Constitution that govern New York State. This Oath sets the highest
standard for integrity - the public's trust. A violation of that
trust, while in office, demands pecuniary as well as criminal penalty.

Numerous bills have been introduced in past legislative sessions that
seek to revoke or reduce pension or other retirement benefits of
elected officials who are convicted of a crime related to their
employment. Because none of the legislation contends with the
contractual relationship of a public pension under the Constitution,
constitutionality is in question. Article 5 Section 7 of the
constitution sets out a two-part articulation of the public pension
right. First, membership in a retirement system is a contractual
relationship. Second, because of that relationship, pension benefits
cannot be reduced or impaired.  Therefore, it is likely that the
proposals are unconstitutional.

This constitutional amendment provides for legislative action to
permit loss of the publicly funded portion of retirement benefits or
pension rights as one of the consequences of misusing positions of
public trust.


LEGISLATIVE HISTORY:

2011/2012 - S.2768 Remained in Senate Committee on Judiciary
2013/2014 - S.1133 Remained in Senate Committee on Judiciary

FISCAL IMPACT:

None.

EFFECTIVE DATE:

Resolved (if the Assembly concur), That the foregoing amendment be
referred to the first regular legislative session convening after the
next succeeding general election of members of the Assembly, and, in
conformity with section 1 of article 19 of the constitution, be
published for 3 months previous to the time of such election.