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SB58 Alabama 2026 Session

Updated Apr 6, 2026
High Interest

Summary

Primary Sponsor
Arthur Orr
Arthur OrrSenator
Republican
Session
2026 Regular Session
Title
Public Corruption; convicted public servant's retirement contributions forfeited to pay restitution; convicted public servant's compensation while on leave with pay forfeited
Summary

SB58 would strip or suspend retirement benefits for public servants convicted of certain crimes, use the forfeited money to pay restitution, require repayment of compensation while on leave with pay, and curb defense funding after indictment, with the changes taking effect October 1, 2026.

What This Bill Does

The bill amends retirement law to forfeit retirement benefits for active or inactive members of state retirement systems who are convicted of qualifying offenses related to their public service. Those individuals would be entitled to a refund of their retirement contributions with interest, while the forfeited retirement contributions would be used to pay restitution, with any remaining balance returned to the individual. Retired members receiving benefits would have those benefits suspended; if benefits have not exceeded their contributions and interest, they would receive a refund of remaining contributions, and any balance would go to restitution or be refunded to the retiree. The bill also requires prosecutors to notify retirement boards of convictions, provides immunity for actions taken under this section, and states the remedies are not exclusive. It adds rules about public funds for defense—pre-indictment allowed if authorized, post-indictment not allowed—and requires repayment of compensation received while on leave with pay upon conviction. It becomes effective October 1, 2026.

Who It Affects
  • Public officials and public servants who are active or inactive members of Alabama’s retirement systems (ERS, TRS, Judicial Retirement Fund) and are convicted of offenses related to their public service, with retirement benefits and contributions handled as described.
  • Public officials or employees under investigation or on leave with pay who are subject to defense-funding rules and repayment of compensation upon conviction.
Key Provisions
  • Forfeiture of retirement benefits for certain felonies related to public service and refund of retirement contributions with interest.
  • Forfeited retirement contributions (and interest) used to pay restitution; any remaining balance refunded to the individual.
  • Suspension of retirement benefits for convicted retirees; refunds of remaining contributions if benefits have not exceeded contributions and interest; remainder used for restitution and any leftover refunded to the retiree.
  • Prosecutor must promptly notify the appropriate retirement boards of convictions.
  • Immunity for actions taken under this section for officers and employees.
  • Section 2 sets defense-funding rules: pre-indictment use of public funds allowed if authorized; post-indictment use barred; and requires repayment of compensation received while on leave with pay after conviction.
  • Effective date: October 1, 2026.
AI-generated summary using openai/gpt-5-nano-2025-08-07 on Apr 2, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
Government Administration

Bill Actions

S

Enacted

S

Enacted

S

Delivered to Governor

H

Signature Requested

S

Enrolled

S

Ready to Enroll

H

Motion to Read a Third Time and Pass - Adopted Roll Call 1004

H

Third Reading in Second House

H

Read for the Second Time and placed on the Calendar

H

Reported Out of Committee Second House

H

Pending House Ways and Means General Fund

H

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

S

Engrossed

S

Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 218

S

Orr motion to Adopt - Adopted Roll Call 217 L5NP5YA-1

S

Orr 1st Amendment Offered L5NP5YA-1

S

Third Reading in House of Origin

S

Read for the Second Time and placed on the Calendar

S

Reported Out of Committee House of Origin

S

Pending Senate Finance and Taxation General Fund

S

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

Calendar

Hearing

House Ways and Means General Fund Hearing

Room 617 at 13:30:00

Hearing

Senate Finance and Taxation General Fund Hearing

Finance and Taxation at 11:00:00

Bill Text

Votes

Motion to Read a Third Time and Pass as Amended - Roll Call 218

February 3, 2026 Senate Passed
Yes 33
Absent 2

Motion to Read a Third Time and Pass - Roll Call 1004

March 19, 2026 House Passed
Yes 100
Absent 5

Documents

Source: Alabama Legislature