OFFICE OF THE ATTORNEY GENERAL OF TEXAS AUSTIN

Honorable John S. Rudd, Jr. Assistant Diraotor and Aotuarp Teaoher Rotlrement Sfstem of Texas Austin, Texas Dear Sir1

.,.
,.,, :_' .-.:!Wa hare in rhlobfou ask the **lOWin&** thr88 qU8atfOIlst

.ox‘awardo made? (.

. . i

22 of Saotion 1 of the Teaoher Retirement

_ Aot Vernon's Annotated Civil Statutes)proV1td8Sas lollowst

“(22) *Retirement*shallmaan withdrawal from serVio8with a retirement 0llOWanOe granted under the.

provision6 ot this Aot." : .Ronorable John S. Rudd, Jr., Page 2

Subseotion 1 of Se,otlon 5 reads as follower "1. Service Retirement Benefits. "Anymember may retire upon written applioation to tha state Board or **!!!rUEt8eS. btiX8-**  ment shall be OrrOotive ae or th8 end or the sohoolyear then Ourrent, provided that th8 said member at the time 80 spt30iriOdr0r his **retlr8- ment**  shmll have attained **the age**  **or** sixty (60) years and shall have oompleted twenty (20) or more years Of oreditable ~8rVi.00, and further thatX0 retirement ehall be: **P+** 8f eOt **V8** prior to Auaust 31. 1941. Any member in~aervicewho has attained the age of seventy (70) years shall be retired forthwith,provided that with the approval of his employer he may remain iII SBlTfO8." (Rmpheais fupplfed) Thus, It la seen that the statute speoirioallyprovides that n0 retirementbeOous8 Or s8l'ViOe."shall b8 8iieOtiveprior to August 31, 1941.“

.Subseotion7 Of S8OtiOll 6 provid8s in part as fOllOws;.. "7. OptionalAllowancea fOr'~S%rViO8 Retirement. *With tha provision that no optional seleotion shall be erreotive in 0880 a benerloiarydies wlthdn thirty (30) days after retirement,and that suoha benerioiary ehall be consideredas en aotivemamber at the 

## timeor death, until the rlrst payment on acoouut Of .any88~~108 **benefit** beoomas normally due, anymember may elect to r8oeiVe his membership annuity In an annuitypayable throughout life, or he.

may eleot to receive the aotuttrfalequivalentat that time, of his membership annuity in a reducedmembership annuity payable throughout life with the provision that) "Option (l).~ * * *" Itls provided If a beneriolarydies within 30 days after retirement that no optional aeleotion shallbe efreotive and that suoh benefiaiary shallbe consideredas an aotivemamher at the time of death.HonorableJohn S. Rudd, J-r., Pa'ge3

Subseotion~ of S8otion 5 reads In,part aa followar "6. Return'& kooumalated Contributions. "Should a member cease to be a teticherexaept by death 

### or retirementunder the provisions or this Aot, he shall be paid in full the amount of the aooumulated contributionsstanding to th8 oredit of.

his individualaouount lo the Teaohar Saving Fund. Should 8 member die befOX ratlre

### ment, the ,amountof his aooumtiated oontrlbutiona atandlng to tha oredlt or his individualaooount shall b8 paid as provided by tha ’lewe of.,desoent end distribution or Texas unless h8 has dir8Oted the aooount to be paid otharwise.~ * *'** _' '

If a-memberdies within 30 days after 

### rWiirem8nt;' thenSubseotlons 6 and 7 plaoe him in the position oooupled by a mamberwho died before retirement. Thererow. "the amount Or his aoOrmtulat8d oontrlbutlonsStanding to the Credit of his individualaooount shall ba paid as.provldedby the laws or deSO8nt and ddstrlbutlon of TeIse unless h8 has dlreoted the acoount'tqbe paid otherw~s8.W It roiiowfithat your first question is answered in the arriX3~tiV8~

We now turn to your second question, i7harea.member hasmade en optional selebtion under Seotlon b(7); is the aotualreoelpt of' hls.flrstmonthly payment a prerequlSit8 t0 the 8ff8CtiV8lleSS Of the option? be thinknot, The **statute** doesnot require It, end therewould be no authority or justirioationto read it Into the statute. The retired member did not die mithin 30 days after retirement; end befOX8 the first payment beoame due, the member seleotedhis option. It follows that a valid option was 8ffeOtad. Your aeaond questton is; therefore, answered in theafflrmetive.

The person whom the member nominated or designated under the optio~nal a8l8otlonprovisionswould not be entitled or have th8 right to a monthly payment or themembership annuity until after th8~ retiredmember had died. The first payment b8Oam8 due while the retired~membber was living. YouEonoreble John Se Rudd, Jr., Pefie 4

are r8epe~.tf&l.yadvls8~,~ therefore, that the September 30th payment shouldbe paId to the edminiatratorof the deoeaSsd menbert estat8. very truly yours