Introduced Version
House Bill 2344 History
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Key: Green = existing Code. Red = new code to be enacted
H. B. 2344
(By Delegates M. Smith, Williams, Stowers,
Lawrence and L. Phillips)
[Introduced February 13, 2013; referred to the
Committee on Pensions and Retirement then Finance.]
A BILL to amend and reenact §18-7A-28 of the Code of West Virginia,
1931, as amended, relating to the State Teachers Retirement
System; options to beneficiaries; and authorizing a change of
options because of death of beneficiary with a joint life
annuity, within the first five years of retirement.
Be it enacted by the Legislature of West Virginia:
That §18-7A-28 of the Code of West Virginia, 1931, as amended,
be amended and reenacted to read as follows:
ARTICLE 7A. STATE TEACHERS RETIREMENT SYSTEM.
§18-7A-28. Options to beneficiaries; change of certain options
because of divorce or annulment; limitation on
recalculated monthly benefits.
The retirement board is hereby authorized to offer plans,
optional with the beneficiary, for the payment of allowances due
such beneficiary for retirement, withdrawal or prior service
pensions under the retirement system. No plans shall be offered, however, which are not approved by competent actuaries.
When a beneficiary and his or her spouse have been approved
for a retirement plan which provides for them a joint life annuity;
and (1) their marriage is subsequently dissolved; or (2) the spouse
dies during the first five years of the beneficiary's retirement,
the board shall permit such beneficiary to convert to the maximum
life annuity plan approved by the board: Provided, That the
beneficiary shall furnish to the board: (1) Proof of entry of a
final decree of divorce or annulment; or (2) proof of the spouse's
death: Provided, however, That a beneficiary who qualifies for the
change of retirement plans afforded by this section shall be
permitted only one such change: Provided further, That the
recalculated monthly benefits, independently of increases granted
by law after the beneficiary's retirement, shall not exceed the
monthly benefits which would have been applicable under the maximum
life annuity plan at the time the beneficiary retired; and with
such recalculation to be effective on the first day of the month
following submission to the board by the beneficiary of proof of
entry of a final decree of divorce or annulment.
Upon remarriage, a retirant may name the new spouse as an
annuitant for any of the survivorship retirement benefit options
offered by the provisions of this section: Provided, That the
beneficiary shall furnish to the retirement board satisfactory
proof of the marriage: Provided, however, That the retirant certifies under penalty of perjury that no qualified domestic
relations order that would restrict such a designation is in
effect: Provided further, That no cause or action against the
board may then arise or be maintained on the basis of having
permitted the retirant to name a new spouse as annuitant for any of
the survivorship retirement benefit options. The value of the new
survivorship annuity shall be the actuarial equivalent of the
retirant's benefit prospectively in effect at the time the new
annuity is elected.
NOTE: The purpose of this bill is to permit a beneficiary
under the State Teachers Retirement System who has been approved
for a retirement with a joint life annuity to convert to the
maximum life annuity if the spouse dies within the first five years
of the beneficiary's retirement.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.