§ 20-1102C. Retirement benefit options.

A.  Except as otherwise provided for in this section and Section 1104.2 of Title 20 of the Oklahoma Statutes, members who join the Uniform Retirement System for Justices and Judges on September 1, 2005, or thereafter, may elect to have the retirement benefit paid under one of the options provided in this section in lieu of having it paid in the form stated in Section 1104 of Title 20 of the Oklahoma Statutes.  The election of an option must be made prior to the member’s retirement date or to receipt of a benefit after termination of service with a vested benefit.  A specific person must be designated as joint annuitant at the time of the election of Option A or B.  Election of an option is available with respect to the vested benefit.  All retirement benefits of a married member shall be paid pursuant to the Option A plan as provided for in this section unless the spouse of a member consents in writing for the unreduced benefits to be paid as provided for in Section 1104 of Title 20 of the Oklahoma Statutes or pursuant to Option B as provided for in this section.

B.  The amount of retirement benefit payable under an option shall be based on the age and sex of the member and the age and sex of the joint annuitant at the retirement date, and shall be such amount as to be the actuarial equivalent of the retirement benefit otherwise payable under Section 1104 of Title 20 of the Oklahoma Statutes.

C.  The retirement options are:

Option A.  Joint and one-half to joint annuitant survivor.  A reduced retirement benefit is payable to the retiree during his or her lifetime with one-half (1/2) of that amount continued to the joint annuitant during such joint annuitant's remaining lifetime, if any, after the death of the retiree.  If the named joint annuitant dies at any time after the member's retirement date, but before the death of the retiree, the retiree shall return to the unreduced retirement benefit, including any postretirement benefit increases, the member would have received had the member not selected Option A.  The benefit shall be determined at the date of death of the named joint annuitant.  This increase shall become effective the first day of the month following the date of death of the named joint annuitant, and shall be payable for the retiree's remaining lifetime.  The retiree shall notify the Uniform Retirement System for Justices and Judges of the death of the named joint annuitant in writing.  In the absence of the written notice being filed by the member notifying the Uniform Retirement System for Justices and Judges of the death of the named joint annuitant within six (6) months of the date of death, nothing in this subsection shall require the Uniform Retirement System for Justices and Judges to pay more than six (6) months of retrospective benefits increase.

Option B.  Joint and survivor.  A reduced retirement benefit is payable to the retiree during his or her lifetime with that amount continued to the joint annuitant during the joint annuitant's remaining lifetime, if any, after the death of the retiree.  If the named joint annuitant dies at any time after the member's retirement date, but before the death of the retiree, the retiree shall return to the unreduced retirement benefit, including any postretirement benefit increases, the member would have received had the member not selected Option B.  The benefit shall be determined at the date of death of the named joint annuitant.  This increase shall become effective the first day of the month following the date of death of the named joint annuitant, and shall be payable for the retiree's remaining lifetime.  The retiree shall notify the Uniform Retirement System for Justices and Judges of the death of the named joint annuitant in writing.  In the absence of such written notice being filed by the member notifying the Uniform Retirement System for Justices and Judges of the death of the named joint annuitant within six (6) months of the date of death, nothing in this subsection shall require the Uniform Retirement System for Justices and Judges to pay more than six (6) months of retrospective benefits increase.

D.  If a member who is eligible to retire in accordance with the provisions of this section or Section 1104 of Title 20 of the Oklahoma Statutes but is not actually retired or is eligible to vest or has elected a vested benefit dies, the member's spouse may elect to receive benefits as a joint annuitant under Option B, calculated as if the member retired on the date of death, in lieu of receiving the member's accumulated contributions.  However, no benefits shall be payable before the date the deceased member would have met the requirements for a normal or early retirement.  The provisions of this paragraph shall be applicable to a surviving spouse of a deceased member who died prior to the effective date of this act, but only if no benefits or distributions have been previously paid.

Added by Laws 2005, c. 464, § 3, eff. Sept. 1, 2005.