2000 Minnesota Statutes

     354A.32 Optional retirement annuities. 

    Subdivision 1.    Optional forms generally.  The boards 
 of the Minneapolis and the St. Paul teachers retirement fund 
 associations shall each establish for the coordinated program 
 and the board of the Duluth teachers retirement fund association 
 shall establish for the new law coordinated program an optional 
 retirement annuity which shall take the form of a joint and 
 survivor annuity.  Each board may also in its discretion 
 establish an optional annuity which shall take the form of an 
 annuity payable for a period certain and for life thereafter.  
 Each board shall also establish an optional retirement annuity 
 that guarantees payment of the balance of the annuity 
 recipient's accumulated deductions to a designated beneficiary 
 upon the death of the annuity recipient.  Except as provided in 
 subdivision 1a, optional annuity forms shall be the actuarial 
 equivalent of the normal forms provided in section 354A.31.  In 
 establishing these optional annuity forms, the board shall 
 obtain the written recommendation of the commission-retained 
 actuary.  The recommendation shall be a part of the permanent 
 records of the board. 

    Subd. 1a.    Bounce-back annuity.  (a) If a former 
 coordinated member or disabilitant has selected a joint and 
 survivor annuity option under subdivision 1, the former member 
 or disabilitant must receive a normal single life annuity if the 
 designated optional annuity beneficiary dies before the former 
 member or disabilitant.  Under this option, no reduction may be 
 made in the person's annuity to provide for restoration of the 
 normal single life annuity in the event of the death of the 
 designated optional annuity beneficiary. 

    (b) A former coordinated member or disabilitant who 
 selected an optional joint and survivor annuity before July 1, 
 1989, but did not choose an option that provides that the normal 
 single life annuity is payable to the former member or the 
 disabilitant if the designated optional annuity beneficiary dies 
 first, is eligible for restoration of the normal single life 
 annuity if the designated optional annuity beneficiary dies 
 first, without further actuarial reduction of the person's 
 annuity.  A former member or disabilitant who selected an 
 optional joint and survivor annuity, but whose designated 
 optional annuity beneficiary died before July 1, 1989, shall 
 receive a normal single life annuity after that date, but shall 
 not receive retroactive payments for periods before that date. 

    (c) A former coordinated member or disabilitant who took a 
 further actuarial reduction to elect an optional joint and 
 survivor annuity that provides that the normal annuity is 
 payable to the former member or disabilitant if the designated 
 optional beneficiary dies first but has not died before July 1, 
 1989, shall have the annuity increased as of July 1, 1989, to 
 the amount the person would have received if, at the time of 
 retirement or disability, the person had selected only optional 
 survivor coverage that would not have provided for restoration 
 of the normal annuity upon the death of the designated optional 
 annuity beneficiary.  Any annuity or benefit increase under this 
 paragraph is effective only for payments made after June 30, 
 1989, and is not retroactive for payments made before July 1, 
 1989. 

    (d) The restoration of the normal single life annuity under 
 this subdivision will take effect on the first of the month 
 following the date of death of the designated optional annuity 
 beneficiary or on the first of the month following one year 
 before the date on which a certified copy of the death 
 certificate of the designated optional annuity beneficiary is 
 received in the office of the appropriate teachers retirement 
 fund association, whichever date is later. 

    Subd. 2. Repealed, 1989 c 319 art 13 s 98 

    HIST: 1979 c 217 s 17; 1981 c 269 s 6; 1983 c 286 s 12; 1987 c 
 259 s 49; 1989 c 319 art 13 s 79,80; 1990 c 570 art 12 s 50,51