2006 Minnesota Statutes

422A.17 RETIREMENT ALLOWANCE; OPTIONS.
At retirement, any employee who is eligible to receive a service allowance may elect to
receive benefits in a retirement allowance payable throughout life or may on retirement elect to
receive the actuarial equivalent at that time of annuity, pension, or retirement allowance in a
lesser annuity, or a lesser pension, or a lesser retirement allowance, payable throughout life, with
the provisions that:
Option I. If the benefit recipient dies before receiving in payments an amount equal to
the present value of the benefit recipient's annuity, pension, or retirement allowance, as of the
date of the benefit recipient's retirement, the balance shall be paid to the benefit recipient's legal
representatives or to such person as the benefit recipient shall nominate by written designation
duly acknowledged and filed with the retirement board as of the date of retirement, or
Option II. Upon the death of the benefit recipient, the benefit recipient's annuity, pension,
or retirement allowance shall be continued throughout the life of and paid to the person as the
benefit recipient shall nominate by written designation duly acknowledged and filed with the
retirement board as of the date of retirement, or
Option III. Upon death of the benefit recipient, one-half of the benefit recipient's annuity,
pension, or retirement allowance shall be continued throughout the life of and paid to the person
as the benefit recipient shall nominate by written designation duly acknowledged and filed with
the retirement board as of the date of retirement, or
Option IV. Other optional retirement allowance forms, including a joint and survivor option
under which the benefit recipient receives a normal single-life annuity if the designated optional
annuity beneficiary dies before the benefit recipient, shall be paid to the benefit recipient or
other person or persons the benefit recipient nominates, provided that the optional annuity is of
equivalent actuarial value to the applicable single life annuity calculated under section 422A.15
and is approved by the retirement board.
Any optional retirement allowance shall be computed and determined under a procedure
specified by the actuary retained under section 356.214 utilizing the appropriate mortality table
established by the board of trustees based on the experience of the fund as recommended by the
actuary retained under section 356.214 and using the applicable postretirement interest rate
assumption specified in section 356.215, subdivision 8.
In adopting optional annuity forms, the board of trustees shall obtain the written
recommendation of the actuary retained under section 356.214. The recommendations shall be a
part of the permanent records of the board of trustees.
History: 1973 c 133 s 17; 1980 c 607 art 16 s 17 subd 3; 1986 c 444; 1987 c 259 s 76; 1991
c 345 art 4 s 11; 1992 c 480 s 4; 2002 c 392 art 11 s 52; 2006 c 271 art 3 s 47