An Act To Allow Changes of Beneficiaries under the Maine Public Employees Retirement System II
Maine Legislature, Session 123, LD 1996
Committee Amendment CA_A_S453 (Senate)
Amends: 4 MRSA §1357, 5 MRSA §17804, 5 MRSA §18404

COMMITTEE AMENDMENT" A " to S.P. 790, L.D. 1996, Bill, "An Act To 
Allow Changes of Beneficiaries under the Maine Public Employees Retirement System" 
II 
Amend the bill by inserting after the title and before the enacting clause the 
following: 
'Emergency preamble. Whereas, acts and resolves of the Legislature do not 
become effective until 90 days after adjournment unless enacted as emergencies; and 
Whereas, the implementation of this legislation is necessary for those retirees 
whose ability to make a change in beneficiaries is limited by time; and 
Whereas, in the judgment of the Legislature, these facts create an emergency within 
the meaning of the Constitution of Maine and require the following legislation as 
immediately necessary for the preservation of the public peace, health and safety; now, 
therefore,' 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 4 MRSA §1357, sub-§3, as enacted by PL 1999, c. 744, §2, is amended 
to read: 
3. Change of beneficiary. If the recipient of a service retirement benefit has elected 
an optional method of payment under subsection 2, paragraphs B to H, and has 
designated someone other than a spouse or ex-spouse as sole beneficiary, the recipient is 
permitted a one-time change in the designated beneficiary except as provided in 
paragraph D, but may not ffi change the already elected payment option or ffi the amount 
of the benefits under that option, by filing a written designation of the new beneficiary, 
duly notarized, with the executive director on a form provided or specified by the Maine 
Judicial Retirement System. The change of beneficiary permitted by this subsection may 
only be made prior to the death ofthe prior designated beneficiary. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .. A .. to S.P. 790, L.D. 1996 
A. 
The benefit payable to the recipient and the new beneficiary must be paid under 
the same payment option. The amount of the recipient's benefit may not change, and 
the amount of the new beneficiary's benefit must be the same as the amount of the 
prior beneficiary's benefit. 
B. 
The effective date of the designation of the new beneficiary is the date the 
designation is received by the executive director. As of the first day of the month 
following the effective date of the designation of the new beneficiary, the prior 
beneficiary is no longer entitled to any benefit payment and, if concurrent payment 
under subsection 2, paragraph E has been elected, the new beneficiary's benefit must 
become effective on the same date. 
C. 
The new beneficiary's entitlement to benefits ceases on the earlier of: 
(1) The date of the new beneficiary's death; or 
(2) The date established when the amount of the prior beneficiary's benefit was 
established, which is the initial commencement date of benefits to the retiree 
increased by the life expectancy of the prior beneficiary computed in years and 
months using actuarial equivalence assumptions recommended by the system's 
actuary. 
Payment of benefits to the new beneficiary must cease as of the first day ofthe month 
following the earlier of subparagraph (1) or (2). 
D. A recipient who exercises a one-time option under this subsection may revert 
back to the original designated beneficiary, who will be treated as the new 
beneficiary for purposes of paragraphs A to C. 
Sec. 2. 5 MRSA §17804, sub-§5-F, as amended by PL 1999, c. 790, Pt. K, §1 
and affected by §5, is further amended to read: 
5-F. Change of beneficiary. If the recipient of a service retirement benefit has 
elected an optional method of payment under subsection 3, 4, 5, 5-A, 5-B, 5-C, 5-D or 
5-E, and has designated someone other than a spouse or ex-spouse as sole beneficiary, the 
recipient is permitted a one-time change in the designated beneficiary except as provided 
in paragraph D, but !1lay not ffi change the already elected payment option or ffi the 
amount of the benefits under that option, by filing a written designation of the new 
beneficiary, duly notarized, with the executive director on a form provided or specified 
by the retirement system. The change of beneficiary permitted by this subsection may 
only be made prior to the death of the prior designated beneficiary. 
A. 
The benefit payable to the recipient and the new beneficiary must be paid under 
the same payment option. The amount of the recipient's benefit may not change, and 
the amount of the new beneficiary's benefit must be the same as the amount of the 
prior beneficiary's benefit. 
B. 
The effective date of the designation of the new beneficiary is the date the 
designation is received by the executive director. As of the first day of the month 
following the effective date of the designation of the new beneficiary, the prior 
beneficiary is no longer entitled to any benefit payment and, if concurrent payment 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT "A .. to S.P. 790, L.D. 1996 
under subsection 5-B has been elected, the new beneficiary's benefit must become 
effective on the same date. 
C. 
The new beneficiary's entitlement to benefits ceases on the earlier of: 
(1) The date of the new beneficiary's death; or 
(2) The date established when the amount of the prior beneficiary's benefit was 
established, which is the initial commencement date of benefits to the retiree 
increased by the life expectancy of the prior beneficiary computed in years and 
months using actuarial equivalence assumptions recommended by the system's 
actuary. 
Payment of benefits to the new beneficiary must cease as of the first day of the month 
fo Howing the earlier of subparagraph (1) or (2). 
D. A recipient who exercises a one-time option under this subsection may revert 
back to the original designated beneficiary, who will be treated as the new 
beneficiary for purposes of paragraphs A to C. 
Sec. 3. 5 MRSA §18404, sub-§5-F, as amended by PL 1999, c. 790, Pt. K, §2 
and affected by §5, is further amended to read: 
5-F. Change of beneficiary. If the recipient of a service retirement benefit has 
elected an optional method of payment under subsection 3, 4, 5, 5-A, 5-B, 5-C, 5-0 or 
5-E, and has designated someone other than a spouse or ex-spouse as sole beneficiary, the 
recipient is permitted a one-time change in the designated beneficiary except as provided 
in paragraph 0, but may not ffi change the already elected payment option or ffi the 
amount of the benefits under that option, by filing a written designation of the new 
beneficiary, duly notarized, with the executive director on a form provided or specified 
by the retirement system. The change of beneficiary permitted by this subsection may 
only be made prior to the death ofthe prior designated beneficiary. 
A. 
The benefit payable to the recipient and the new beneficiary must be paid under 
the same payment option. The amount of the recipient's benefit may not change, and 
the amount of the new beneficiary's benefit must be the same as the amount of the 
prior beneficiary's benefit. 
B. 
The effective date of the designation of the new beneficiary is the date the 
designation is received by the executive director. As of the first day of the month 
following the effective date of the designation of the new beneficiary, the prior 
beneficiary is no longer entitled to any benefit payment and, if concurrent payment 
under subsection 5-B has been elected, the new beneficiary's benefit must become 
effective on the same date. 
C. 
The new beneficiary's entitlement to benefits ceases on the earlier of: 
(1) The date of the new beneficiary's death; or 
(2) The date established when the amount of the prior beneficiary's benefit was 
established, which is the initial commencement date of benefits to the retiree 
increased by the life expectancy of the prior beneficiary computed in years and 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "A "to S.P. 790, L.D. 1996 
months using actuarial equivalence assumptions recommended by the system's 
actuary. 
Payment of benefits to the new beneficiary must cease as of the first day of the month 
following the earlier of subparagraph (1) or (2). 
D. A recipient who exercises a one-time option under this subsection may revert 
back to the original designated beneficiary, who will be treated as the new 
beneficiary for purposes of paragraphs A to C. 
Emergency clause. 
In view of the emergency cited in the preamble, this 
legislation takes effect when approved.' 
SUMMARY 
Current law allows a retiree under the Maine Public Employees Retirement System to 
make a one-time change of the retiree's previously designated beneficiary for retirement 
benefits without the permission of the beneficiary if the beneficiary is not the spouse or 
former spouse of the retiree. The bill would have allowed a retiree to change a previously 
designated beneficiary more than once. This amendment creates a one-time exception to 
the current law. This amendment would allow a retiree to change the retiree's previously 
chosen new beneficiary back to the original beneficiary. 
FISCAL VHF REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 03/1 0/08 
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LD 1996 
LR 3094(02) 
An Act To Allow Changes of Beneficiaries under the Maine Public Employees Retirement System 
Fiscal Detail and Notes 
Fiscal Note for Bill as Amended by Committee Amendment "A " 
Committee: Labor 
Fiscal Note Required: Yes 
Fiscal Note 
No fiscal impact 
Permitting a retiree who previously chose to exercise the one-time change in beneficiary option to revert back to the 
originally named beneficiary will have no fiscal impact to the Maine Public Employees Retirement System or the State 
as an employer. 
LR3094(02) - Fiscal Note - Page 1 of 1