ENGROSSED

COMMITTEE SUBSTITUTE

FOR

H. B. 4680


(By Delegate Browning)


(Originating in the Committee on Pensions and Retirement)


[March 4, 1994]


A BILL to amend and reenact sections twenty-six, twenty-seven, twenty-seven-a, twenty-nine, thirty, thirty-one, thirty-three, thirty-four and thirty-seven, article two, chapter fifteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended; and to further amend said chapter by adding thereto a new article, designated article two-a, all relating to the division of public safety death, disability and retirement fund; contributions to fund; retirement awards and benefits; benefits upon disability retirement; retirement annual annuity adjustments; benefits to dependents of a member; refunds of contributions to members upon discharge or resignation; deferred retirements; creating a new state police retirement system; providing for administration of the system; creating retirement fund; providing for payment of retirement benefits and annual adjustments thereto; providing for payments upon disability or death; providing for payments with interest upon withdrawal from system.
Be it enacted by the Legislature of West Virginia:

That sections twenty-six; twenty-seven, twenty-seven-a, twenty-eight, twenty-nine, thirty, thirty-one, thirty-three, thirty-four and thirty-seven, article two, chapter fifteen of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted; and that said chapter be further amended by adding thereto a new article, designated article two-a, all to read as follows:
 ARTICLE 2. DIVISION OF PUBLIC SAFETY.
§ 15 - 2 - 26. Continuation of death, disability and retirement fund; designating the consolidated public retirement board as administrator of fund.

There shall be continued the death, disability and retirement fund heretofore created for the benefit of members of the department of public safety and any dependent of a retired or deceased member thereof.

There shall be deducted from the monthly payroll of each member of the department of public safety and paid into such fund six percent of the amount of his or her salary: Provided, That beginning on the first day of July, one thousand nine hundred ninety-four, there shall be deducted from the monthly payroll of each member and paid into the fund seven and one-half percent of the amount of his or her salary: Provided, however, That on and after the first day of July, one thousand nine hundred ninety-five, there shall be deducted from the monthly payroll of each member and paid into the fund nine percent of the amount of his or her salary. An and an additional twelve percent of the monthly salary of each member of said department the division shall be paid by the state of West Virginia monthly into such fund out of the annual appropriation for said department the division: Provided further, That beginning on the first day of July, one thousand nine hundred ninety-five, the state shall pay thirteen percent of the monthly salary of each member into the fund: And provided further, That beginning on the first day of July, one thousand nine hundred ninety-six, the state shall pay fourteen percent of the monthly salary of each member into the fund: And provided further, That on and after the first day of July, one thousand nine hundred ninety-seven, the state shall pay fifteen percent of the monthly salary of each member in the retirement fund. There shall also be paid into the fund such amounts as that have previously been collected by the superintendent of the department division of public safety on account of payments to members for court attendance and mileage, rewards for apprehending wanted persons, fees for traffic accident reports and photographs, fees for criminal investigation reports and photographs, fees for criminal history record checks, fees for criminal history record reviews and challenges or from any other sources designated by the superintendent. All moneys payable into such the fund shall be deposited in the state treasury, and the treasurer and auditor shall keep a separate account thereof on their respective books.
The moneys in this fund, and the right of a member to a retirement allowance, to the return of contributions, or to any benefit under the provisions of this article, are hereby exempt from any state or municipal tax; shall not be subject to the execution, garnishment, attachment or any other process whatsoever; and shall be unassignable except as is provided in this article.
The death, disability and retirement fund shall be administered through the thirtieth day of June, one thousand nine hundred ninety-one, by a retirement board which shall consist of the attorney general, state treasurer, the superintendent and two members in active service of the department: Provided, That members of said retirement board shall not be entitled to receive any compensation in addition to the salary of their respective offices for any service rendered as a member of said retirement board: Provided, however, by the consolidated public retirement bill created pursuant to article ten-d, chapter five of this code: Provided, That the superintendent may pay out of funds appropriated for operation of said department the reasonable expenses of members of said board necessarily incurred in connection with dispatch of any business properly before such board. From the first day of July, one thousand nine hundred ninety-one and thereafter, the death, disability and retirement fund shall be administered by the consolidated public retirement board created by article ten-d, chapter five of this code. The two members of said department shall be elected to membership on the retirement board by vote of the members of the department of public safety; such election to be held on the first Tuesday in June next following the passage of this article and on the first Tuesday in June each two years thereafter. The attorney general, state treasurer and the superintendent of the department of public safety shall promulgate any and all necessary rules and regulations for holding in a fair and impartial manner the election on the first Tuesday in June next following the passage of this article and thereafter the retirement board consisting of the attorney general, state treasurer, superintendent and the two duly elected members of said department shall have authority to promulgate and, from time to time, revise rules and regulations for holding all subsequent elections in a fair and impartial manner. All elections shall be held under the direction of the superintendent of said department in accordance with said rules and regulations. The members of the department chosen to serve on said retirement board shall hold office for a period of two years commencing on the first day of July next following the date of such election. When any member elected to the retirement board shall die, resign from the board, resign or be discharged from service in the department, make application for retirement, be retired, or become disabled, the office of such member of the retirement board shall be declared vacant by the superintendent of said department, and said superintendent, to fill such vacancy, shall appoint the member in active service of said department who as an unsuccessful candidate at the preceding election of members to said retirement board received the greatest number of votes. No member of the retirement board shall participate in any hearing at which his own petition for retirement or the petition of any member of said department who is related to him by blood or marriage shall be presented for consideration.
At its first meeting following each election of members to the retirement board, said board shall elect one of its members to serve as chairman and a second member to serve as secretary thereof. The retirement board shall have the power to make rules and regulations, not inconsistent with the provisions hereof, governing procedure and order and manner of business by and before such board. The retirement board shall have the power to make awards and to revise and terminate awards previously made for such times and under such terms and conditions as are hereinafter provided. The votes of a majority of the five members of the board shall be necessary to the decision of any matter by the board. Decisions made by the board shall be supreme and final and there shall be no appeal therefrom.
It shall be the duty of the retirement board on or before the first day of July of each year to cause all future awards from such fund to be valued and, to the extent that moneys shall be available, reserves based on sound actuarial principles for payment thereof to be carried on the fund's account as a liability against the reserve fund. The board shall have the authority to employ an actuary for such purpose. The board shall cause a system of accounting to be installed and maintained to reflect currently and truly all transactions or developments pertaining to age of members and eligible dependents surviving deceased members, periods of service and aggregate earnings of all members eligible to participate in said fund and any other matter relating to maintenance of said fund or administration thereof, and each year to cause to be made and submitted to each member of said department a statement of the condition of said fund. Costs and expenses incurred in making actuarial studies, audits and installations and maintenance of such accounting system shall be paid by the superintendent from funds appropriated for operation of the department of public safety.
All moneys paid into and accumulated in said the death, disability and retirement fund, except such amounts as shall be designated or set aside by the retirement board for payments of death, disability and retirement benefits and awards, shall be invested by the state board of investments as provided by law.
 § 15 - 2 - 27. Retirement; awards and benefits.
(a) The retirement board shall retire any member of the department of public safety when the member has both attained the age of fifty-five years and completed twenty-five years of service as a member of the department, including military service credit granted under the provisions of section twenty-eight of this article.
(b) The retirement board shall retire any member of the department of public safety who has lodged with the secretary of the consolidated public retirement board his voluntary petition in writing for retirement, and:
(1) Has or shall have completed twenty-five years of service as a member of the department (including military service credit granted under the provisions of section twenty-eight of this article);
(2) Has or shall have attained the age of fifty years and has or shall have completed twenty years of service as a member of the department (excluding military service credit granted under section twenty-eight of this article); or
(3) Being under the age of fifty years has or shall have completed twenty years of service as a member of the department (excluding military service credit granted under section twenty-eight of this article).
(c) When the retirement board retires any member under any of the provisions of this section, the board shall, by order in writing, make an award directing that the member shall be entitled to receive annually and that there shall be paid to the member from the death, disability and retirement fund in equal monthly installments during the natural lifetime of the member while in status of retirement one or the other of two amounts, whichever is the greater:
(1) An amount equal to five and one-half percent of the aggregate of salary paid to the member during the whole period of service as a member of the department of public safety; or
(2) The sum of six thousand dollars.
When a member has or shall have served twenty years or longer but less than twenty-five years as a member of the department and shall be retired under any of the provisions of this section before he shall have attained the age of fifty years, payment of monthly installments of the amount of retirement award to such member shall commence on the date he attains the age of fifty years.
(d) In no event may the provisions of section thirteen, article sixteen, chapter five of this code be applied in determining eligibility to retire with either immediate or deferred commencement of benefit.
 § 15-2-27a. Retirement annual annuity adjustments.
Every member of the department of public safety who is fifty-six years of age or older and who is retired by the retirement board under the provisions of sections twenty-seven twenty-nine or thirty of this article and every surviving spouse or other beneficiary receiving a benefit pursuant to sections thirty-three or thirty-four of this article shall be eligible to receive an annual retirement annuity adjustment equal to three and seventy-five hundredths percent of their retirement award or surviving spouse award: Provided, That for persons retiring on and after the thirty-first day of August, one thousand nine hundred ninety-four, the annual retirement annuity adjustment shall be equal to two percent of their retirement award or award paid to a surviving spouse or other beneficiary. Such adjustments shall not be retroactive. Yearly adjustments shall begin upon the first day of July, one thousand nine hundred eighty-eight of each year. The annuity adjustments shall be awarded and paid to the members from the death, disability and retirement fund in equal monthly installments while the member is in status of retirement. The annuity adjustments shall supplement the retirement awards and benefits as provided in this article.
Every member retired by the retirement board and receiving from the death, disability and retirement fund an amount equal to more than eight percent of the total salary which would have been earned by such member during twenty-five years of service or actual service if more than twenty-five years of service in said department based on the average earnings of such member while employed as a member of said department, shall be eligible to receive the retirement annuity adjustment at the time such member attains the age of sixty-five years or older. The annuity adjustments shall be paid to the members beneficiaries during the period that the members beneficiaries have attained fifty-six years of age or older and are receiving a payment or an award from the death, disability and retirement fund. The annuity adjustments shall supplement the retirement awards and benefits as provided in this article.
Any member who receives a benefit pursuant to the provisions of section twenty-nine or section thirty of this article shall begin to receive the annual annuity adjustment one year after the commencement of the benefit on the next preceding July first.
§ 15 - 2 - 29. Awards and benefits for disability - - Incurred in performance of duty.

Any member of said department the division who has been or shall become physically or mentally permanently disabled by injury, illness or disease resulting from any occupational risk or hazard inherent in or peculiar to the services required of members of said department the division and incurred pursuant to or while such member was or shall be engaged in the performance of his duties as a member of said department shall, if, in the opinion of the retirement board, he is by reason of such cause unable to perform adequately the duties required of him as a member of said department, be retired from active service by the retirement board and thereafter such member shall be entitled to receive annually and there shall be paid to such member from the death, disability and retirement fund in equal monthly installments during the natural lifetime of such member or until such disability shall sooner terminate, one or the other of two amounts, whichever is greater:

(1) An amount equal to five and one-half percent of the total salary which would have been earned during twenty-five years or actual service if more than twenty-five years in said department based on the average earnings of such member while employed as a member of said department two thirds of the salary received in the preceding twelve month employment period: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit; or
(2) The sum of six thousand dollars.
If such disability shall be permanent and total to the extent that such member is or shall be incapacitated ever to engage in any gainful employment, such member shall be entitled to receive annually and there shall be paid to such member from the death, disability and retirement fund in equal monthly installments during the natural lifetime of such member or until such disability shall sooner terminate, an amount equal to eight and one-half percent of the total salary which would have been earned by such member during twenty-five years or actual service if more than twenty-five years of service in said department based on the average earnings of such member while employed as a member of said department the amount of the salary received by the member in the preceding twelve month employment period: Provided, That on and after the first day of July, one thousand nine hundred eighty-nine, in no event may such amount be less than fifteen thousand dollars per annum: Provided, however, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit.
The superintendent is authorized to expend moneys from funds appropriated for the department in payment of medical, surgical, laboratory, X-ray, hospital, ambulance and dental expenses and fees, and reasonable costs and expenses incurred in purchase of artificial limbs and other approved appliances which may be reasonably necessary for any member of said department the division who has or shall become temporarily, permanently or totally disabled by injury, illness or disease resulting from any occupational risk or hazard inherent in or peculiar to the service required of members of said department the division and incurred pursuant to or while such member was or shall be engaged in the performance of duties as a member of said department the division. Whenever the superintendent shall determine that any disabled member is ineligible to receive any of the aforesaid benefits at public expense the superintendent shall, at the request of such disabled member, refer such matter to the consolidated public retirement board for hearing and final decision.
For the purposes of this section, the term "salary" does not include any compensation paid for overtime service.
§ 15 - 2 - 30. Same - - Due to other causes.

If any member while in active service of said the department has or shall, in the opinion of the retirement board, become permanently disabled to the extent that such member cannot adequately perform the duties required of a member of the department from any cause other than those set forth in the next preceding section and not due to vicious habits, intemperance or willful misconduct on his part, such member shall be retired by the retirement board and, if such member at the time of such retirement under this section, shall have served less than twenty years as a member of said department the division, such member shall be entitled to receive annually and there shall be paid to such member while in status of retirement, from the death, disability and retirement fund in equal monthly installments during a period equal to one half the time such member has served as a member of said department, a sum equal to five and one- half percent of the total salary which would have been earned during twenty-five years of service in said department based on the average earnings of such member while employed as a member of said department a sum equal to one half the salary received in the preceding twelve month period: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit, but and if such member, at the time of such retirement under the terms of this section, shall have served twenty years or longer as a member of said department the division, such member shall be entitled to receive annually and there shall be paid to such member from the death, disability and retirement fund in equal monthly installments, commencing on the date such member shall be retired and continuing during the natural lifetime of such member while in status of retirement an amount equal to one half the salary received by the member in the preceding twelve month period: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit. one or the other of the two amounts, based upon either the aggregate of salary paid to such member during the whole period of service of such member or the period of twenty years or longer during which such member at the time of such retirement has, or shall have served as a member of said department, whichever shall be the greater, to be determined in the manner provided by subdivisions (1) and (2), subsection (c), section twenty-seven of this article.

For the purposes of this section, the term "salary" does not include any compensation paid for overtime service.
§ 15 - 2 - 31. Same - - Physical examinations; recall to active duty; termination.

The superintendent consolidated public retirement board may require any member who has been or who shall be retired with compensation on account of disability to submit to a physical and/or mental examination by a physician or physicians selected or approved by the retirement board and cause all costs incident to such examination including hospital, laboratory, X ray, medical and physicians' fees to be paid out of funds appropriated to defray the current expense of said department the division, and a report of the findings of such physician or physicians shall be submitted in writing to the consolidated public retirement board for its consideration. If from such report or from such report and hearing thereon the retirement board shall be of opinion and find that such disabled member shall have recovered from such disability to the extent that he is able to perform adequately the duties of a member of said department the division, the superintendent board shall order such member to reassume active duty as a member of said department the division and thereupon all payments from the death, disability and retirement fund shall be terminated. If from the report or the report and hearing thereon, the board shall be of the opinion and find that the disabled member shall have recovered from the disability to the extent that he or she is able to engage in any gainful employment but unable to adequately perform the duties required as a member of the department, the board shall order the payment, in monthly installments of an amount equal to two-thirds of the salary, excluding any compensation paid for overtime service, for the twelve month employment period preceding the disability: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit.

§ 15 - 2 - 33. Awards and benefits to dependents of member - - When member dies in performance of duty, etc.; dependent child scholarship and amount.

The surviving spouse or the dependent child or children or dependent parent or parents of any member who has lost or shall lose his life by reason of injury, illness or disease resulting from an occupational risk or hazard inherent in or peculiar to the service required of members while such member was or shall be engaged in the performance of his duties as a member of said department the division or if said member shall die from any cause after having been retired pursuant to the provisions of section twenty-nine of this article, shall be entitled to receive and shall be paid from the death, disability and retirement fund benefits as follows: To the surviving spouse annually, in equal monthly installments during his or her lifetime one or the other of two amounts, whichever shall be the greater, namely:

(1) An amount equal to five and one-half percent of the total salary which would have been earned by said deceased member during twenty-five years of service in said department based on the average earnings of such member while employed as a member of said department two thirds of the sum of (A) the salary received in the preceding twelve month employment period by the deceased member: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit; and (B) the annual retirement annuity adjustment provided pursuant to section twenty-seven-a of this article which shall become immediately available to the surviving spouse; or
(2) The sum of six thousand dollars.
In addition thereto such surviving spouse shall be entitled to receive and there shall be paid to such person one hundred dollars monthly for each dependent child or children. If such surviving spouse shall die or if there be no surviving spouse there shall be paid monthly to each such dependent child or children from the death, disability and retirement fund a sum equal to twenty-five percent of the surviving spouse's entitlement. If there be no surviving spouse and no dependent child or children, there shall be paid annually in equal monthly installments from said death, disability and retirement fund to the dependent parents of said deceased member during their joint lifetimes a sum equal to the amount which a surviving spouse, without children, would have received: Provided, That when there shall be but one dependent parent surviving, such parent shall be entitled to receive during his or her lifetime one half the amount which both parents, if living, would have been entitled to receive.
Any person qualified as a surviving dependent child under this section shall in addition to any other benefits due under this or other sections of this article, be entitled to receive a scholarship to be applied to the career development education of said person. This sum up to but not exceeding seven thousand five hundred dollars shall be paid from the death, disability and retirement fund to any university or college in this state or to any trade or vocational school or other entity in this state approved by the board, to offset the expenses of tuition, room and board, books, fees or other costs incurred in a course of study at any of said institutions so long as the recipient makes application to the board on an approved form and under such rules and regulations as the board may provide, and maintains scholastic eligibility as defined by the institution or the board. The board may by appropriate rules and regulations define age requirements, physical and mental requirements, scholastic eligibility, disbursement methods, institutional qualifications and other requirements as necessary and not inconsistent with this section.
Awards and benefits for a surviving spouse or dependents of a member received under any section or any of the provisions of this retirement system shall be in lieu of receipt of any such benefits for such persons under the provisions of any other state retirement system, and receipt of such benefits under any other state retirement system shall be in lieu of any right to receive any such benefits under this retirement system, so that only a single receipt of such benefits shall occur.
For the purposes of this section, the term "salary" does not include any compensation paid for overtime service.
§ 15 - 2 - 34. Same - - When member dies from nonservice - connected causes.

In any case where a member while in active service of said department the division, before having completed twenty years of service as a member of said department the division, has died or shall die from any cause other than those specified in this article and not due to vicious habits, intemperance or willful misconduct on his part, there shall be paid annually in equal monthly installments from said death, disability and retirement fund to the surviving spouse of such member during his or her natural lifetime or until such time as said surviving spouse remarries a sum equal to two and three-quarters percent of the total salary which would have been earned by said member during twenty-five years of service in said department based on his or her average earnings while employed as a member of said department one-fourth of the sum of (a) the salary received in the preceding twelve month employment period by the deceased member: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit; and (b) the annual annuity adjustment provided pursuant to section twenty-seven-a of this article which shall become immediately available upon the death of the member. If there be no surviving spouse or the surviving spouse dies or remarries there shall be paid monthly to each such dependent child or children from the death, disability and retirement fund a sum equal to twenty-five percent of the surviving spouse's entitlement. If there be no surviving spouse and no dependent child or children there shall be paid annually in equal monthly installments from said fund to the dependent parents of said deceased member during their joint lifetimes a sum equal to the amount which a surviving spouse would have been entitled to receive: Provided, That when there shall be but one dependent parent surviving then such dependent parent shall be entitled to receive during his or her lifetime one half the amount which both parents, if living, would have been entitled to receive.

For the purposes of this section, the term "salary" does not include compensation paid for overtime service.
§ 15 - 2 - 37. Refunds to certain members upon discharge or resignation; deferred retirement.

(a) Any member who shall be discharged by order of the superintendent or shall otherwise terminate employment with the division after such member has or shall have served two full years or more as a member of said department shall, at the written request of such member to the retirement board, be entitled to receive from the retirement said fund a sum equal to the aggregate of the principal amount of moneys deducted from the salary of such member and paid into said death, disability and retirement fund plus four percent interest thereon calculated annually as provided and required by this article. Provided, That the superintendent shall forthwith refund to any member who has or shall have served more than two but less than twenty years as a member of said department and has resigned or shall resign or who has been or shall be discharged from the service for cause, a sum equal to the aggregate of the principal amount of all moneys deducted from the salary of such member and paid into said fund as aforesaid: Provided further, That if any such refund shall be made to any member, such member shall not be entitled to any benefits provided by this article, and should

(b) Any such member withdrawing contributions who may thereafter be again enlisted reenlisted as a member of said department the division, no shall not receive any prior service credit or any period of service required of a member as a condition of retirement shall be allowed to such member on account of such former service, unless following such reenlistment such member shall redeposit in said fund the amount of the refund, together with interest thereon at the rate of four percent per annum from the date of withdrawal to the date of redeposit, in which case he shall receive the same credit on account of his former service as if no refund had been made. When any member has or shall have served as a member of said department during twenty years or longer and shall, in the opinion of the superintendent, become unfit for any reason for further active service such member shall, in lieu of being discharged, be retired by the retirement board under the provision or provisions of this article most favorable to such member.
(c) Every member who completes ten years of service with the division of public safety is eligible, upon separation of employment with the division, to withdraw his or her contributions in accordance with subsection (a) of this section or to choose not to withdraw his or her accumulated contributions with interest and upon attainment of age sixty-two such member will be eligible to receive a deferred actuarily calculated retirement annuity. Any member choosing to receive the deferred annuity under this subsection is not eligible to receive the annual annuity adjustment provided in section twenty-seven-a of this article.
 ARTICLE 2A. STATE POLICE RETIREMENT SYSTEM.
 § 15-2A-1. Short title.
This article shall be known and may be cited as the "State Police Retirement System Act".
 § 15-2A-2. Definitions.
As used in this article, unless the context clearly requires a different meaning:
(1) "Active military duty" means full-time active duty with the armed forces of the United States, namely, the United States air force, army, coast guard, marines or navy; and service with the national guard or reserve military forces of any of such armed forces when the member has been called to active full-time duty and has received no compensation during the period of such duty from any person other than the armed forces.
(2) "Base salary" means annual compensation paid to a member without regard to any overtime pay.
(3) "Board" means the consolidated public retirement board created pursuant to article ten-d, chapter five of this code.
(4) "Division" means the division of public safety.
(5) "Final average salary" means the average of the highest annual salaries, including compensation paid for overtime service, received by the member during any five years within the member's last ten years of service.
(6) "Fund" means the state police retirement fund created pursuant to section four of this article.
(7) "Member" or "employee" means persons regularly employed in the service of the division of public safety after the effective date of this article.
(8) "Salary" means the compensation of a member, including any overtime payments.
§ 15-2A-3. Creation and administration of state police retirement system.

There is hereby created the state police retirement system. The consolidated public retirement board created pursuant to article ten-d, chapter five of this code shall administer the state police retirement system. The board may sue and be sued, contract and be contracted with and conduct all the business of the system in the name of the state police retirement system.

 § 15-2A-4. Participation in system; creation of fund.
There is hereby created the "State Police Retirement Fund" for the benefit of the members of the retirement system created pursuant to this article and the dependents of any deceased or retired member of said system.
All moneys paid into and accumulated in the fund, except such amounts as shall be designated or set aside by the board for payments of benefits as provided in this article shall be invested by the state board of investments as provided by law.
 § 15-2A-5. Members' contributions; employer contributions.
There shall be deducted from the monthly payroll of each member and paid into the fund created pursuant to section four, of this article, twelve percent of the amount of his or her salary. An additional twelve percent of the monthly salary of each member of said department shall be paid by the state of West Virginia monthly into such fund out of the annual appropriation for the department.
 § 15-2A-6. Retirement; commencement of benefits.
A member may retire with full benefits upon attaining the age of fifty-five and completing twenty or more years of service and who has lodged with the consolidated public retirement board his or her voluntary petition in writing for retirement. A member who is less than age fifty-five may retire upon completing twenty years or more of service but will receive an actuarily reduced benefit that is equivalent to the benefit the member would have received if the member had retired with the same number of years of service upon attaining the age of fifty-five.
When the retirement board retires a member with full benefits under the provisions of this section, the board, by order in writing, shall make an award that the member is entitled to receive on annuity equal to three percent of his or her final average salary multiplied by the number of years, and fraction of a year, of his or her service in the division at the time of retirement.
In no event, may the provisions of section thirteen, article sixteen, chapter five be applied in determining eligibility to retire with either a deferred or immediate commencement of benefit.
 § 15-2A-7. Annual annuity adjustment.
Every member of the division of public safety who is fifty-six years of age or older and who is retired by the retirement board under the provisions of sections six or ten of this article and every surviving spouse receiving a benefit pursuant to sections twelve and thirteen of this article shall be eligible to receive an annual retirement annuity adjustment equal to two percent of the first one half of their retirement award or surviving spouse award. Such adjustments shall not be retroactive. Yearly adjustments shall begin upon the first day of July, of each year. The annuity adjustments shall be awarded and paid to the members from the fund in equal monthly installments while the member is in status of retirement. The annuity adjustments shall supplement the retirement awards and benefits as provided in this article.
Any member who receives a benefit pursuant to the provisions of section nine or section ten of this article shall begin to receive the annual annuity adjustment one year after the commencement of the benefit on the next preceding July first.
§ 15 - 2A-8. Refunds to certain members upon discharge or resignation; deferred retirement.

(a) Any member who shall be discharged by order of the superintendent or shall otherwise terminate employment with the division shall, at the written request of such member to the retirement board, be entitled to receive from the retirement fund a sum equal to the aggregate of the principal amount of moneys deducted from the salary of such member and paid into said death, disability and retirement fund plus four percent interest thereon calculated annually as provided and required by this article.

(b) Any member withdrawing contributions who may thereafter be reenlisted as a member of the division, shall not receive any prior service credit on account of such former service, unless following such reenlistment such member shall redeposit in said fund the amount of the refund, together with interest thereon at the rate of four percent per annum from the date of withdrawal to the date of redeposit, in which case he shall receive the same credit on account of his former service as if no refund had been made.
(c) Every member who completes ten years of service with the division of public safety is eligible, upon separation of employment with the division, to withdraw his or her contributions in accordance with subsection (a) of this section or to choose not to withdraw his or her accumulated contributions with interest and upon attainment of age sixty-two such member will be eligible to receive a deferred actuarily calculated retirement annuity. Any member choosing to receive the deferred annuity under this subsection is not eligible to receive the annual annuity adjustment provided in section eight of this article.
§ 15 - 2A - 9. Awards and benefits for disability - - Incurred in performance of duty.

Any member of the division who has been or shall become physically or mentally permanently disabled by injury, illness or disease resulting from any occupational risk or hazard inherent in or peculiar to the services required of members of said division and incurred pursuant to or while such member was or shall be engaged in the performance of his duties as a member of said division shall, if, in the opinion of the retirement board, he is by reason of such cause unable to perform adequately the duties required of him as a member of said division, be retired from active service by the board and thereafter the member shall be entitled to receive annually and there shall be paid to the member from the fund in equal monthly installments during the natural lifetime of the member or until such disability shall sooner terminate, one or the other of two amounts, whichever is greater:

(1) An amount equal to two thirds of the base salary received in the preceding twelve month employment period: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit; or
(2) The sum of six thousand dollars.
If such disability shall be permanent and total to the extent that the member is or shall be incapacitated ever to engage in any gainful employment, such member shall be entitled to receive annually and there shall be paid to such member from the fund in equal monthly installments during the natural lifetime of the member or until such disability shall sooner terminate, an amount equal to the amount of the salary received by the member in the preceding twelve month employment period: Provided, That in no event may such amount be less than fifteen thousand dollars per annum.
The superintendent of the division is authorized to expend moneys from funds appropriated for the division in payment of medical, surgical, laboratory, X-ray, hospital, ambulance and dental expenses and fees, and reasonable costs and expenses incurred in purchase of artificial limbs and other approved appliances which may be reasonably necessary for any member of the division who has or shall become temporarily, permanently or totally disabled by injury, illness or disease resulting from any occupational risk or hazard inherent in or peculiar to the service required of members of the division and incurred pursuant to or while such member was or shall be engaged in the performance of duties as a member of the division. Whenever the superintendent shall determine that any disabled member is ineligible to receive any of the aforesaid benefits at public expense the superintendent shall, at the request of the disabled member, refer such matter to the board for hearing and final decision.
§ 15 - 2A - 10. Same - - Due to other causes.

If any member while in active service of the division has or shall, in the opinion of the board, become permanently disabled to the extent that such member cannot adequately perform the duties required of a member of the division from any cause other than those set forth in the next preceding section and not due to vicious habits, intemperance or willful misconduct on his part, such member shall be retired by the board and, if such member at the time of such retirement under this section, shall have served less than twenty years as a member of the division, such member shall be entitled to receive annually and there shall be paid to such member while in status of retirement, from the fund in equal monthly installments during a period equal to a sum equal to one half the time the member has served as a member of the division an amount equal to one-half the base salary received in the preceding twelve month employment period, but if such member, at the time of such retirement under the terms of this section, shall have served twenty years or longer as a member of the division, such member shall be entitled to receive annually and there shall be paid to such member from the fund in equal monthly installments, commencing on the date such member shall be retired and continuing during the natural lifetime of such member while in status of retirement an amount equal to one half the base salary received by the member in the preceding twelve month period: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit.

§ 15 - 2A - 11. Same - - Physical examinations; recall to active duty; termination.

The board may require any member who has been or who shall be retired with compensation on account of disability to submit to a physical and/or mental examination by a physician or physicians selected or approved by the retirement board and cause all costs incident to such examination including hospital, laboratory, X ray, medical and physicians' fees to be paid out of funds appropriated to defray the current expense of the division, and a report of the findings of such physician or physicians shall be submitted in writing to the board for its consideration. If from such report or from such report and hearing thereon the board shall be of opinion and find that the disabled member shall have recovered from such disability to the extent that he or she is able to perform adequately the duties of a member of the division, the board shall order such member to reassume active duty as a member of the division and thereupon all payments from the fund shall be terminated. If from the report or the report and hearing thereon, the board shall be of the opinion and find that the disabled member shall have recovered from the disability to the extent that he or she is able to engage in any gainful employment but unable to adequately perform the duties required as a member of the division, the board shall order that the disabled member be paid from the fund an amount equal to two-thirds the base salary paid to the member in the last twelve month employment period: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit.

§ 15 - 2A - 12. Awards and benefits to dependents of member - - When member dies in performance of duty, etc.; dependent child scholarship and amount.

The surviving spouse or the dependent child or children or dependent parent or parents of any member who has lost or shall lose his life by reason of injury, illness or disease resulting from an occupational risk or hazard inherent in or peculiar to the service required of members while such member was or shall be engaged in the performance of his duties as a member of the division or if the member shall die from any cause after having been retired pursuant to the provisions of section nine of this article, shall be entitled to receive and shall be paid from the death, disability and retirement fund benefits as follows: To the surviving spouse annually, in equal monthly installments during his or her lifetime one or the other of two amounts, whichever shall be the greater, namely:

(1) An amount equal to two thirds of the sum of (A) the base salary received in the preceding twelve month period by the deceased member: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit; and (B) the annual retirement annuity provided pursuant to section seven of this article which shall become immediately available; or
(2) The sum of six thousand dollars.
In addition thereto such surviving spouse shall be entitled to receive and there shall be paid to such person one hundred dollars monthly for each dependent child or children. If the surviving spouse shall die or if there be no surviving spouse there shall be paid monthly to each such dependent child or children from the fund a sum equal to twenty-five percent of the surviving spouse's entitlement. If there be no surviving spouse and no dependent child or children, there shall be paid annually in equal monthly installments from the fund to the dependent parents of said deceased member during their joint lifetimes a sum equal to the amount which a surviving spouse, without children, would have received: Provided, That when there shall be but one dependent parent surviving, such parent shall be entitled to receive during his or her lifetime one half the amount which both parents, if living, would have been entitled to receive.
Any person qualified as a surviving dependent child under this section shall in addition to any other benefits due under this or other sections of this article, be entitled to receive a scholarship to be applied to the career development education of said person. This sum up to but not exceeding seven thousand five hundred dollars shall be paid from the fund to any university or college in this state or to any trade or vocational school or other entity in this state approved by the board, to offset the expenses of tuition, room and board, books, fees or other costs incurred in a course of study at any of said institutions so long as the recipient makes application to the board on an approved form and under such rules and regulations as the board may provide, and maintains scholastic eligibility as defined by the institution or the board. The board may by appropriate rules and regulations define age requirements, physical and mental requirements, scholastic eligibility, disbursement methods, institutional qualifications and other requirements as necessary and not inconsistent with this section.
Awards and benefits for a surviving spouse or dependents of a member received under any section or any of the provisions of this retirement system shall be in lieu of receipt of any such benefits for such persons under the provisions of any other state retirement system, and receipt of such benefits under any other state retirement system shall be in lieu of any right to receive any such benefits under this retirement system, so that only a single receipt of such benefits shall occur.
§ 15 - 2 - 13. Same - - When member dies from nonservice - connected causes.

In any case where a member while in active service of the division, before having completed twenty years of service as a member of the division, has died or shall die from any cause other than those specified in this article and not due to vicious habits, intemperance or willful misconduct on his part, there shall be paid annually in equal monthly installments from the fund to the surviving spouse of such member during his or her natural lifetime or until such time as said surviving spouse remarries a sum equal to one-fourth of the sum of (a) the base salary received in the preceding twelve month employment period by the deceased member: Provided, That if the member had not been employed with the division for twelve months prior to the disability, the amount of monthly salary shall be annualized for the purpose of determining the benefit; and (b) the annual annuity adjustment provided pursuant to section seven of this article which shall become immediately available. If there be no surviving spouse or the surviving spouse dies or remarries there shall be paid monthly to each such dependent child or children from the fund a sum equal to twenty-five percent of the surviving spouse's entitlement. If there be no surviving spouse and no dependent child or children there shall be paid annually in equal monthly installments from the fund to the dependent parents of said deceased member during their joint lifetimes a sum equal to the amount which a surviving spouse would have been entitled to receive: Provided, That when there shall be but one dependent parent surviving then such dependent parent shall be entitled to receive during his or her lifetime one half the amount which both parents, if living, would have been entitled to receive.

§ 15 - 2A - 14. Awards and benefits to dependents of member - - When member dies after retirement or after serving twenty years.

When any member of the division has completed twenty years of service or longer as a member of the division and has died or shall die from any cause or causes other than those specified in this article before having been retired by the board, and when a member in retirement status has died or shall die after having been retired by the board under the provisions of this article, there shall be paid annually in equal monthly installments from the fund to the surviving spouse of said member, commencing on the date of the death of said member and continuing during the lifetime or until remarriage of said surviving spouse an amount equal to two-thirds the retirement benefits said deceased member was receiving while in status of retirement, or would have been entitled to receive to the same effect as if such member had been retired under the provisions of this article immediately prior to the time of his death and in no event not to be less than five thousand dollars and in addition thereto said surviving spouse shall be entitled to receive and there shall be paid to such surviving spouse from said fund the sum of one hundred dollars monthly for each dependent child or children. If such surviving spouse die, or remarry, or if there be no surviving spouse there shall be paid monthly from said fund to each dependent child or children of said deceased member a sum equal to twenty-five percent of the surviving spouse's entitlement. If there be no surviving spouse or no surviving spouse eligible to receive benefits and no dependent child or children there shall be paid annually in equal monthly installments from said fund to the dependent parents of said deceased member during their joint lifetimes a sum equal to the amount which a surviving spouse without children would have been entitled to receive: Provided, That when there shall be but one dependent parent surviving, such parent shall be entitled to receive during his or her lifetime one half the amount which both parents, if living, would have been entitled to receive.

The member may choose a higher percentage of surviving spouse benefits by taking an actuarily determined reduced initial benefit so that the chosen spouse benefit and initial benefit would be actuarily equivalent to the normal spouse benefit and initial benefit. The retirement board shall design these benefit options and provide them as choices for the member to select. For the purposes of this subsection "initial benefit" means the benefit received by the member upon retirement.
§ 15 - 2A - 15. Exemption from taxation, garnishment and other process.

The moneys in the fund and the right of a member to a retirement allowance, to the return of contributions, or to any benefit under the provisions of this article, are hereby exempt from any state or municipal tax; shall not be subject to execution, garnishment, attachment or any other process whatsoever; and shall be unassignable except as is provided in this article.

§ 15 - 2A - 16. Fraud; penalties.

Any person who shall knowingly make any false statement or shall falsify or permit to be falsified any record or records of the retirement system in any attempt to defraud such system shall be guilty of a misdemeanor, and, upon conviction, be punished by a fine not exceeding one thousand dollars, or imprisonment in jail not exceeding one year or both.

§ 15 - 2A - 17. Awards and benefits to dependents of member - - Termination.

When any surviving spouse of a member shall die or remarry while receiving or being entitled to receive any benefits under any section except section twelve of this article, such surviving spouse shall not from the date of such remarriage, nor shall the estate from the date of death of such surviving spouse be entitled to receive any benefits hereunder whatsoever: Provided, That in any case where under the terms of this article benefits are provided for a child or children surviving the death or remarriage of such surviving spouse, payment of such benefits to such child or children shall be calculated for payment from the date such surviving spouse shall die or remarry.

§ 15-2A-18. Authority to continue payments to certain dependents.

The board may continue payments of a surviving spouse's entitlement in full to any dependent children who continue to be dependent by reason of mental or physical incapacity as determined by the board notwithstanding the age of the dependent child or other provisions of this article.

§ 15 - 2A - 19. Credit toward retirement for member's prior military service; credit toward retirement when member has joined armed forces in time of armed conflict.

(a) Any member who has previously served on active military duty shall be entitled to and receive credit on the minimum period of service required by law for retirement pay from the service of the division of public safety under the provisions of this article for a period equal to the active military duty not to exceed five years, subject to the following:

(1) That he or she has been honorably discharged from the armed forces;
(2) That he or she substantiates by appropriate documentation or evidence his period of active military duty;
(3) That he or she is receiving no benefits from any other retirement system for his or her active military duty; and
(4) That, except with respect to disability retirement pay awarded under this article, he has actually served with the division for twenty years exclusive of his active military duty.
The amount of retirement pay to which any such member is entitled shall be calculated and determined as if he had been receiving for the period of his active military duty a monthly salary from the division equal to the average monthly salary which he actually received from the division for his total service with the division exclusive of the active military duty. The superintendent is authorized to transfer and pay into the fund from moneys appropriated for the division a sum equal to eighteen percent of the aggregate of the salaries on which the retirement pay of all such members has been calculated and determined for their periods of active military duty. In addition, any person who while a member of the division was commissioned, enlisted or inducted into the armed forces of the United States or, being a member of the reserve officers' corps, was called to active duty in said armed forces between the first day of September, one thousand nine hundred forty, and the close of hostilities in World War II, or between the twenty-seventh day of June, one thousand nine hundred fifty, and the close of the armed conflict in Korea on the twenty-seventh day of July, one thousand nine hundred fifty-three, between the first day of August, one thousand nine hundred sixty-four and the close of the armed conflict in Vietnam, or during any other period of armed conflict by the United States whether sanctioned by a declaration of war by the Congress or by executive or other order of the president, shall be entitled to and receive credit on the minimum period of service required by law for retirement pay from the service of the division of public safety, or its predecessor agency, for a period equal to the full time he has or shall, pursuant to such commission, enlistment, induction or call, have served with said armed forces subject to the following:
(1) That he or she has been honorably discharged from the armed forces;
(2) That within ninety days after honorable discharge from the armed forces he or she has presented himself or herself to the superintendent and offered to resume service as an active member of the division; and
(3) That he or she has made no voluntary act, whether by reenlistment, waiver of discharge, acceptance of commission or otherwise, to extend or participate in extension of the period of service with the armed forces beyond the period of service for which he was originally commissioned, enlisted, inducted or called.
That amount of retirement pay to which any such member shall be entitled shall be calculated and determined as if the member has continued in the active service of the division at the rank or grade to him appertaining at the time of such commission, induction, enlistment or call, during a period coextensive with the time the member served with the armed forces pursuant to the commission, induction, enlistment or call. The superintendent of the division is authorized to transfer and pay each month into the fund from moneys appropriated for the division a sum equal to eighteen percent of the aggregate of salary which all such members would have been entitled to receive had they continued in the active service of the department during a period coextensive with the time such members served with the armed forces pursuant to the commission, induction, enlistment or call: Provided, That the total amount of military service credit allowable under this section shall not exceed five years.