2019 - 2020 LEGISLATURE
May 23, 2019 - Introduced by Senators Bernier, Cowles,
Craig, Marklein, Nass,
Smith, Stroebel, Wanggaard and Kapenga, cosponsored by Representatives
Petryk, Pronschinske, Edming, Felzkowski, Gundrum, Horlacher, James,
Knodl, Krug, Kulp, Kurtz, Quinn, Ramthun, Rodriguez, Skowronski,
Sortwell, Summerfield, C. Taylor, Thiesfeldt and Tusler. Referred to
Committee on Government Operations, Technology and Consumer
1An Act to renumber and amend
973.20 (2); and to create
40.08 (1t) and 973.20 2
(2) (bm) of the statutes; relating to: withholding from a Wisconsin Retirement
3System lump sum payment or annuity to satisfy an order of restitution.
Analysis by the Legislative Reference Bureau
This bill authorizes the Department of Employee Trust Funds to withhold
money from a participant's Wisconsin Retirement System annuity or lump sum
payment if DETF is ordered to do so by a court in a restitution order. Similarly, the
bill authorizes DETF to deliver any money withheld from an annuity or lump sum
payment under a restitution order as directed by the court in the order. Under the
bill, a court may issue a restitution order that requires DETF to withhold from a WRS
annuity or lump sum payment only if 1) the crime for which the restitution is ordered
is both theft and misconduct in public office; 2) the crime resulted in a loss to the
defendant's employer and the defendant's employer participates in the WRS; and 3)
the crime is a felony.
Because this bill relates to public employee retirement or pensions, it may be
referred to the Joint Survey Committee on Retirement Systems for a report to be
printed as an appendix to the bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
40.08 (1t) of the statutes is created to read:
40.08 (1t) Payment of restitution for certain misconduct.
sub. (1), the department may withhold amounts from any lump sum payment or 4
annuity paid under s. 40.23, 40.24, 40.25 (1) or (2), or 40.63, as required by a 5
restitution order under s. 973.20 (2). Notwithstanding s. 40.01 (2), the department 6
shall deliver any amount withheld under this subsection in accordance with the 7
restitution order issued under s. 973.20 (2). The board and any member or agent 8
thereof and the department and any employee or agent thereof are immune from civil 9
liability for any act or omission while performing official duties relating to 10
withholding any payment under this subsection.
973.20 (2) of the statutes is renumbered 973.20 (2) (am), and 973.20 12
(2) (am) 2. (intro.), as renumbered, is amended to read:
(am) 2. (intro.) If return of the property under par. (a) subd. 1.
impossible, impractical or inadequate, pay the owner or owner's designee the 15
reasonable repair or replacement cost or the greater of:
973.20 (2) (bm) of the statutes is created to read:
(bm) The restitution order may require the department of employee 18
trust funds to withhold the amount determined under par. (am) from any payment 19
of the defendant's annuity or lump sum under s. 40.08 (1t) and to deliver any amount 20
withheld from the defendant's annuity or lump sum in accordance with sub. (11) if 21
the crime considered at sentencing satisfies all of the following:
1. The crime was a violation of ss. 943.20 and 946.12.
2. The crime resulted in loss of property for the defendant's employer that 24
participates in the Wisconsin Retirement System.
3. The value of the property described in subd. 2. exceeds $2,500.