CalPERS Can Cut Pension Benefits of Convicted City Employee

CalPERS can cut the monthly pension benefits of a former assistant city manager who was convicted of multiple felonies in connection with a scheme to drain money from public coffers.

A provision of the California Public Employees’ Pension Reform Act of 2013 authorizing pension forfeitures for public employees convicted of job-related felonies can be applied retroactively to an employee who began receiving benefits before the law was enacted, the California Court of Appeal, Second District, ruled July 21.

Withholding pension benefits earned by a public worker while they were committing employment-related felonies is in keeping with the central purpose of ...