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SB58 • 2026

Public Corruption; convicted public servant's retirement contributions forfeited to pay restitution; convicted public servant's compensation while on leave with pay forfeited

Public Corruption; convicted public servant's retirement contributions forfeited to pay restitution; convicted public servant's compensation while on leave with pay forfeited

Crime Labor
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Orr
Last action
2026-04-02
Official status
Enacted
Effective date
2026-10-01

Plain English Breakdown

The bill summary and text do not provide specific details on enforcement mechanisms or consequences if no remaining balance exists after restitution.

Public Corruption; Forfeiture of Retirement Contributions and Compensation

This law requires public servants who are convicted of certain crimes related to their jobs to forfeit their retirement contributions for restitution, and it mandates repayment of compensation received while on leave if they are found guilty.

What This Bill Does

  • Forbids public servants from getting a refund of their retirement contributions if they plead guilty or are found guilty of a felony offense connected to their job.
  • Requires the forfeited retirement contributions and interest to be used for restitution to any harmed public agency or entity, with any remaining amount going back to the individual.
  • Allows public officials under investigation for certain felonies to use public funds for legal defense until they are indicted.
  • Requires public servants on leave with pay during an investigation to repay all compensation received since committing the offense if convicted.

Who It Names or Affects

  • Public servants who commit crimes related to their jobs
  • Retirement Systems of Alabama members

Terms To Know

Felony offense
A serious crime that can result in a prison sentence of more than one year.
Restitution
Money paid to repair damage or loss caused by someone's actions.

Limits and Unknowns

  • The law does not specify what happens if there is no remaining balance after restitution has been made.
  • It is unclear how the law will be enforced in practice.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

L5NP5YA-1

R 217 • Orr

Adopted

Plain English: L5NP5YA-1 : 2/3/2026 : PMG 1ST ORR AMENDMENT TO SB58 OFFERED BY SENATOR ORR Page 1 Replace lines 45 through 46 on page 2 with the following: Retirement Fund , or any other retirement plan administered by the Retirement Systems of Alabama who has an accrued benefit shall forfeit retirement Replace line 94 on page 4 with the following: liability for any action taken pursuant to this section.

  • L5NP5YA-1 : 2/3/2026 : PMG 1ST ORR AMENDMENT TO SB58 OFFERED BY SENATOR ORR Page 1 Replace lines 45 through 46 on page 2 with the following: Retirement Fund , or any other retirement plan administered by the Retirement Systems of Alabama who has an accrued benefit shall forfeit retirement Replace line 94 on page 4 with the following: liability for any action taken pursuant to this section.
  • (f) The remedies provided in this section are not exclusive and do not preclude any other available remedy at law.
  • " 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
  • This amendment summary is using official source text because generated interpretation was skipped for this run.

Bill History

  1. 2026-04-02 Senate

    Enacted

  2. 2026-03-19 House

    Motion to Read a Third Time and Pass - Adopted Roll Call 1004 (Yeas 100, Nays 0)

  3. 2026-03-19 House

    Third Reading in Second House (Yeas 100, Nays 0)

  4. 2026-03-19 Senate

    Delivered to Governor

  5. 2026-03-19 House

    Signature Requested

  6. 2026-03-19 Senate

    Enrolled

  7. 2026-03-19 Senate

    Ready to Enroll

  8. 2026-02-25 House

    Read for the Second Time and placed on the Calendar

  9. 2026-02-25 House

    Reported Out of Committee Second House

  10. 2026-02-03 Senate

    Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 218 (Yeas 33, Nays 0)

  11. 2026-02-03 Senate

    Orr motion to Adopt - Adopted Roll Call 217 (Yeas 33, Nays 0)

  12. 2026-02-03 Senate

    Third Reading in House of Origin (Yeas 33, Nays 0)

  13. 2026-02-03 House

    Pending Committee Action in Second House

  14. 2026-02-03 House

    Read for the first time and referred to the House Committee on Ways and Means General Fund

  15. 2026-02-03 Senate

    Engrossed

  16. 2026-02-03 Senate

    Orr 1st Amendment Offered

  17. 2026-01-21 Senate

    Read for the Second Time and placed on the Calendar

  18. 2026-01-21 Senate

    Reported Out of Committee House of Origin

  19. 2026-01-13 Senate

    Pending Committee Action in House of Origin

  20. 2026-01-13 Senate

    Read for the first time and referred to the Senate Committee on Finance and Taxation General Fund

Official Summary Text

This act amends Section 36-27D-1, Code of Alabama 1975, to: (1) require the contributions and interest of members of the Retirement Systems of Alabama forfeited due to a guilty plea, plea of no contest, or a final judgment regarding a felony offense related to, arising from, or in connection to the members' public service position, an obscenity related offense, or a sexual offense as a school employee to be used as restitution to the harmed public agency or entity; (2) authorize public officials and employees to use public funds to defend against, until indicted, investigations for a felony offense related to, arising from, or connected to the individual's position; and (3) require these public officials and employees who are placed on leave with pay while under such investigation to pay back all compensation received since the commission of the offense upon conviction.

Current Bill Text

Read the full stored bill text
SB58 ENROLLED
Page 0
SB58
NR6CGJ8-3
By Senator Orr
RFD: Finance and Taxation General Fund
First Read: 13-Jan-26
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SB58 Enrolled
Page 1
First Read: 13-Jan-26
Enrolled, An Act,
Relating to public corruption convictions; to amend
Section 36-27D-1, Code of Alabama 1975, to use retirement
contributions made by a public servant found guilty of a
criminal offense involving his or her government position to
be used for restitution; to require a public servant to pay
back compensation received while on leave with pay in certain
circumstances; and to make nonsubstantive, technical revisions
to update the existing code language to current style.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Section 36-27D-1, Code of Alabama 1975, is
amended to read as follows:
"§36-27D-1
(a) On and after May 15, 2012, any An individual who is
an active or inactive member of the Employees' Retirement
System, the Teachers' Retirement System, or the Judicial
Retirement Fund , or any other retirement plan administered by
the Retirement Systems of Alabama who has an accrued benefit
shall forfeit retirement benefits upon a guilty plea, a plea
of no contest, or a final judgment by the trial court of a any
of the following:
(1) Any felony offense if that offense is related to or
arises out of, or in connection with, his or her the
individual's service in that public position , and the
individual shall be entitled to a refund of his or her
retirement contributions and applicable interest .
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SB58 Enrolled
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retirement contributions and applicable interest .
(b) On and after July 1, 2024, any individual who is an
active or inactive member of the Employees' Retirement System,
the Teachers' Retirement System, or the Judicial Retirement
Fund who has an accrued benefit shall forfeit retirement
benefits upon a guilty plea, a plea of no contest, or a final
judgment by the trial court of any
(2) Any offense set forth in Article 4A of Chapter 6 or
Division 4 of Article 4 of Chapter 12 of Title 13A ., and the
individual shall be entitled to a refund of his or her
(b) The retirement contributions and applicable
interest forfeited pursuant to subsection (a) shall be used to
pay restitution to the public agency, institution, or other
entity harmed by the felony offense, if applicable, with any
remaining balance refunded to the individual .
(c) A retired member receiving benefits, upon a plea or
judgment set forth in subsection (a) or (b), shall have his or
her retirement benefit suspended. In the event If a retired
member receiving benefits has not received retirement benefits
exceeding the amount of his or her contributions and interest,
he or she shall receive a refund of his or her the remaining
contributions and interest of the retired member shall be used
to pay restitution to the public agency, institution, or other
entity harmed by the felony offense, if applicable, with any
remaining balance refunded to the retired member .
(d) Upon conviction of a crime as described in
subsection (a) or (b) , the trial court prosecutor shall
promptly provide written notice of the conviction to : (i) the
Board of Control of the Employees' Retirement System, the
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SB58 Enrolled
Page 3
Board of Control of the Employees' Retirement System, the
Board of Control of the Teachers' Retirement System, or the
Judicial Retirement Fund, or other retirement plan funded from
public funds, or any combination thereof, as applicable ; or
(ii) if the convicted individual held a supernumerary
position, the state or a county, as applicable . Any failure by
the convicting court prosecutor to provide notice pursuant to
this subsection shall not affect or delay any forfeiture
provision or requirement to pay restitution set forth in this
section.
(e) Officers and employees of the Employees' Retirement
System, the Teachers' Retirement System, and the Judicial
Retirement Fund are immune from any civil or criminal
liability for any action taken pursuant to this section.
(f) The remedies provided in this section are not
exclusive and do not preclude any other available remedy at
law."
Section 2. (a)(1) Any public official or employee of
the state or a political subdivision thereof who is under any
investigation for committing a felony offense related to or
arising out of, or in connection with, the public official's
or employee's service in his or her public position may use,
if otherwise authorized by law, public funds to defend himself
or herself unless and until the public official or employee is
indicted for that felony offense.
(2) If the public official or employee is indicted for
the felony offense, the public official or employee may not
use any public funds to pay for his or her legal defense.
(b) Any public official or employee described in
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(b) Any public official or employee described in
subsection (a) who is placed on leave with pay while under
investigation, upon conviction for that felony offense, shall
be required to pay back all compensation received since the
commission of the felony offense.
Section 3. This act shall become effective on October
1, 2026.
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1, 2026.
________________________________________________
President and Presiding Officer of the Senate
________________________________________________
Speaker of the House of Representatives
SB58
Senate 03-Feb-26
I hereby certify that the within Act originated in and passed
the Senate, as amended.
Patrick Harris,
Secretary.
House of Representatives
Passed: 19-Mar-26
By: Senator Orr
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