Senate Bill No. 211
(By Senators Plymale, Fanning, Walker,
Sprouse, Jackson, Edgell, McCabe, Snyder, Ross, Bowman, Hunter,
Minard, McKenzie and Redd)
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[Introduced January 26, 2000; referred to the Committee
on Pensions; and then to the Committee on Finance.]
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A BILL to amend and reenact section twenty-eight, article seven-a,
chapter eighteen of the code of West Virginia, one thousand
nine hundred thirty-one, as amended, relating to the state
teachers retirement system; and providing for the rights of
members to name annuitants.
Be it enacted by the Legislature of West Virginia:
That section twenty-eight, article seven-a, chapter eighteen
of the code of West Virginia, one thousand nine hundred thirty-one,
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 their marriage is subsequently dissolved, 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 proof of entry of a final decree of divorce or
annulment: 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 proof of
marriage: Provided, however, That the retirement board finds no
evidence of the existence of a qualified domestic relations order.
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. This provision is not to be
construed as allowing for a "pop-up."
NOTE: The purpose of this bill is to allow a divorced member
of TRS to name a new spouse as joint annuitant.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.