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SALEM -- A former city manager in the Oregon community of Dallas will keep his Public Employees Retirement Systems benefits despite stealing money from the city.

Jerry Wyatt resigned in July amid an investigation. On Wednesday, he pleaded guilty to theft, official misconduct and falsifying business records.

He faces two years in prison and must pay back what he took.

The Statesman Journal reports that Wyatt joined PERS in November 1998. He was the city's community development director before being named city manager in December 2007. That position draws a salary of more than $100,000 annually.

Oregon legislative officials say there are no laws that allow the state to withhold any part of a pension. Federal law also prohibits tapping a pension.

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