A BILL to amend and reenact section twenty-seven, article ten, chapter five of the code of West Virginia, one thousand nine hundred and thirty-one, as amended, relating to the West Virginia public employees retirement act; and rights of members to annuity payments and preretirement death benefits.

ARTICLE 10. WEST VIRGINIA PUBLIC EMPLOYEES RETIREMENT ACT.
§5-10-27. Preretirement death benefits.

(a) In the event any member who has ten or more years of credited service, or any former member with ten or more years of credited service and who is entitled to a deferred annuity, pursuant to section twenty-one hereof, may at any time prior to the effective date of his retirement, by written declaration duly executed and filed with the board of trustees, in the same manner as if he were then retiring from the employ of a participating public employer, elect option A provided for in section twenty- four hereof, and nominate a beneficiary whom the board finds to have had an insurable interest in the life of said member. Prior to the effective date of his retirement a member may revoke his said election of option A and nomination of beneficiary and he may again prior to his retirement elect the said option A and nominate a beneficiary as provided in this subsection. Upon the death of a member who has an option A election in force, his beneficiary, if living, shall immediately receive an annuity computed in the same manner in all respects as if the same member had retired the day preceding the date of his death, notwithstanding that he might not have attained age sixty years, and elected the said option A. If at the time of his retirement a member has an option A election in force, his said election of option A and nomination of beneficiary shall thereafter continue in force.

(b) In the event any member who has ten or more years of credited service, or any former member with ten or more years of credited service and who is entitled to a deferred annuity, pursuant to section twenty-one hereof, (1) dies, and (2) leaves a widow, or in the case of a female member leaves a widower, the said widow or widower, as the case may be, shall immediately receive an annuity computed in the same manner in all respects as if the said member had (1) retired the day preceding the date of his death, notwithstanding that he might not have attained age sixty or sixty-two years, as the case may be, (2) elected option A provided for in section twenty-four hereof, and (3) nominated his said widow or widower, as the case may be, as beneficiary.

(a) If any member who has ten or more years of credited service, or any former member with ten or more years of credited service and who is entitled to a deferred annuity, pursuant to section twenty-one of this article: (1) Dies; and (2) leaves a surviving spouse, the surviving spouse shall immediately receive an annuity computed in the same manner in all respects as if the member had: (1) Retired the day preceding the date of the member's death, notwithstanding that the member had not reached age sixty or sixty-two years, as the case may be; (2) elected option A provided for in section twenty-four of this article; and (3) nominated the surviving spouse as beneficiary.

, That in no event may any child or children receive more than two hundred fifty dollars per month each. The annuity payments shall be computed as of the date of the death of the member and the amount of the annuity shall remain constant during the period of payment. The annual amount of the annuities payable by this section may not exceed sixty percent of the deceased member's final average salary.
(c) Any member who has ten or more years of credited service, or any former member with ten or more years of credited service and who is entitled to a deferred annuity, pursuant to section twenty-one of this article, to whom neither subsection (a) nor subsection (b) of this section applies, may at any time prior to the effective date of the member's retirement, by written declaration duly executed and filed with the board of trustees, in the same manner as if the member were then retiring from the employ of a participating public employer, elect option A provided for in section twenty-four of this article, and nominate a beneficiary whom the board finds to have had an insurable interest in the life of the member. Prior to the effective date of retirement a member may revoke the election of option A and nomination of beneficiary and may again prior to retirement elect the option A and nominate a beneficiary as provided in this subsection. Upon the death of a member who has an option A election in force, the beneficiary, if living, shall immediately receive an annuity computed in the same manner in all respects as if the same member had retired the day preceding the date of the member's death, notwithstanding that the member had not reached age sixty years, and elected the option A. If at the time of his or her retirement a member has an option A election in force, the election of option A and nomination of beneficiary shall thereafter continue in force.
(d) If any member who has fewer than ten years of credited service dies before retiring, the named beneficiary shall receive a one sum amount of the member's accumulated contributions.