§ 513. Optional allowances.
1.With the exception that no election of\nan optional benefit shall become effective in case a member dies within\nthirty days after the filing of an application for a retirement\nallowance, until the first payment on account of any benefit becomes\nnormally due, any member, at the time of his retirement, may elect to\nreceive his benefits in a retirement allowance payable throughout life\nor he may on retirement elect to receive the actuarial equivalent at\nthat time of his retirement allowance in a lesser retirement allowance,\npayable throughout life with the provision that:\n Option 1. If he die before he has received in payments the present\nvalue of his retirement allowance as it was at the time of his\nretirement, the balance shall be paid to his leg
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§ 513. Optional allowances. 1. With the exception that no election of\nan optional benefit shall become effective in case a member dies within\nthirty days after the filing of an application for a retirement\nallowance, until the first payment on account of any benefit becomes\nnormally due, any member, at the time of his retirement, may elect to\nreceive his benefits in a retirement allowance payable throughout life\nor he may on retirement elect to receive the actuarial equivalent at\nthat time of his retirement allowance in a lesser retirement allowance,\npayable throughout life with the provision that:\n Option 1. If he die before he has received in payments the present\nvalue of his retirement allowance as it was at the time of his\nretirement, the balance shall be paid to his legal representatives or to\nsuch person as he shall nominate by written designation duly\nacknowledged and filed with the retirement board.\n Option 2. Upon his death, his retirement allowance shall be continued\nthrough the life of and paid to such person as he shall nominate by\nwritten designation duly acknowledged and filed with the retirement\nboard at the time of his retirement.\n Option 3. Upon his death, one-half of his retirement allowance shall\nbe continued throughout the life of and paid to such person as he shall\nnominate by written designation duly acknowledged and filed with the\nretirement board at the time of his retirement.\n Option 4. Some other benefit or benefits shall be paid either to the\nmember or to such person or persons as he shall nominate, provided such\nother benefit or benefits, together with the lesser retirement\nallowance, shall be certified by the actuary to be of equivalent\nactuarial value to his retirement allowance and shall be approved by the\nretirement board.\n 2. If any retired member who has not elected an optional benefit, or\nwho has elected a benefit under Option 4 providing for the payment at\ndeath of the amount, if any, by which his accumulated contributions at\nthe time of his retirement exceed the aggregate amount of his annuity\npayments, dies within thirty days after the date his retirement becomes\neffective, notwithstanding any other provisions of this law to the\ncontrary, benefits shall be paid in accordance with subdivision (b) or\n(c) of section five hundred twelve, except that the amount of his\naccumulated contributions payable under paragraph (1) of said\nsubdivision (b) shall be reduced by any annuity payments received by him\nprior to his death and the benefit payable under paragraph (2) of said\nsubdivision (b) shall be reduced by any pension payments received by him\nprior to his death. The amounts payable shall be paid to the beneficiary\nor beneficiaries entitled thereto as provided under section five hundred\ntwelve, except that if the member has elected Option 4, as provided\nabove, the beneficiary nominated under such Option 4 shall be\nsubstituted for any beneficiary previously nominated and all amounts\npayable shall be paid to the beneficiary nominated under such Option 4.\n 3. In the case of persons who last became members on or after July\nfirst, nineteen hundred seventy-three, the provisions of subdivision two\nof this section shall apply only to deaths occurring after the date on\nwhich said subdivision two becomes operative and prior to July first,\nnineteen hundred seventy-four.\n 4. a. The retirement board may adopt rules and regulations providing\nthat a trustee of an inter vivos or testamentary trust shall be (1)\neligible to be nominated to receive a lump sum benefit under option one\nand (2) eligible to be nominated to receive any benefit under option\nfour which the retirement board shall deem appropriate.\n b. Any proceeds received by a trustee under this section shall not be\nsubject to the debts of the member or to transfer or estate taxes to any\ngreater extent than if such proceeds were payable to the beneficiaries\nnamed in the trust and not to the estate of the member.\n c. A payment made in good faith under this section to either a\ndesignated trustee of an inter vivos trust, a successor trustee of an\ninter vivos trust who provides a copy of his appointment or a trustee or\nsuccessor trustee of a testamentary trust who provides a copy of the\nletters of trusteeship shall be a complete discharge to the system to\nthe extent of the payment.\n d. If no qualified trustee claims the proceeds within eighteen months\nafter the death of the retired member, or if satisfactory evidence is\nfurnished within such period showing that there is or will be no trustee\nto receive the proceeds, payment shall be made to the deceased retired\nmember's estate.\n