§ 36-10-18. Optional benefits.
(a) A beneficiary, or, if the beneficiary be an incompetent, then the beneficiary's spouse
or domestic partner or if there is no spouse or domestic partner, a guardian of the
beneficiary's estate, may elect to receive the benefit in a retirement allowance,
payable throughout life, or the beneficiary may then elect to receive the actuarial
equivalent, at that time, of the beneficiary's retirement allowance in a lesser retirement
allowance as determined by actuarial calculation, which shall be payable throughout
life with the provision that:
(1) Option 1. Upon the beneficiary's death, the beneficiary's lesser retirement allowance shall
be continued throughout the life of and paid to such person having an insurable interest
in the beneficiary's life, as the beneficiary, the beneficiary's spouse or domestic
partner, or the beneficiary's guardian so electing, shall nominate by written designation
duly acknowledged and filed with the retirement board at the time of his or her retirement.
(2) Option 2. Upon the beneficiary's death, one-half (½) of the beneficiary's lesser retirement
allowance shall be continued throughout the life of and paid to such person, having
an insurable interest in the beneficiary's life, as the beneficiary, the beneficiary's
spouse or domestic partner, or the beneficiary's guardian so electing, shall nominate
by written designation duly acknowledged and filed with the retirement board at the
time of the beneficiary's retirement.
(b)(1) For purposes of any election under this section or §â€‚36-10-19.1, the member, member's spouse or domestic partner, or guardian, as the case may be,
may designate more than one person to receive benefits after the member's death, provided
that the designation shall specify the portion of the actuarial equivalent of the
member's retirement allowance to be paid to each person, and provided further that
the aggregate actuarial value of the portions shall not exceed the actuarial equivalent
of the member's retirement benefit determined:
(i) In the case of an election under this section) as of the date of the member's retirement;
or
(ii) In the case of an election under §â€‚36-10-19.1 as of the member's date of death.
(2) A member selecting more than one person to receive benefits under this section or
§â€‚36-10-19.1 may only select beneficiaries from among his or her children, adopted children, step-children,
and/or spouse or domestic partner.
(c) If prior to July 1, 2012, a member elected an optional form of benefit other than
a life annuity in accordance with paragraph (a)(1) or (2) above, the member may elect
to change his or her form of benefit to a life annuity by filing an election with
the retirement board on or before June 30, 2013, provided that the member's beneficiary
is still alive at the time the election is filed.