NY Ret & SS L § 90 (2021)
2021 New York Laws RSS - Retirement and Social Security Article 2 - New York State Employees' Retirement System Title 10 - Options 90 - Options.

§  90. Options. a. A member; or if he is an incompetent, his spouse or the committee of his property; or if he is a conservatee, his spouse  or the  conservator  of  his  property,  may elect to receive a Single Life Allowance (a retirement allowance without optional modification)  or  to receive the actuarial equivalent of his retirement allowance at the time of his retirement, in the form of a smaller retirement allowance payable to him for life and one of the following optional settlements:   Cash  Refund-Contributions (Option One-half). If he dies before he has received annuity payments equal to the present value of his annuity,  as it  was at the time of his retirement, the balance thereof shall be paid to his estate or  to  a  beneficiary  designated  as  provided  in  this section. In the event a designated beneficiary does not survive him, any balance shall be payable to the estate of the deceased retired member or as provided in section one thousand three hundred ten of the surrogate's court  procedure act. The beneficiary so designated may elect by written designation, duly executed and filed with the  comptroller,  to  receive the balance payable in the form of an annuity, the amount of which shall be  determined  as the actuarial equivalent of such balance on the basis of regular interest and the age of such beneficiary at the time  of  the retiree's  death,  or  in  the  alternative  to  receive  the  actuarial equivalent of such balance in the form of a reduced annuity payable  for life,  with the further proviso that if he should die before the annuity payments received by him are equal to  such  actuarial  equivalent,  the balance  thereof  shall  be  paid in a lump sum to his estate or to such person as he shall have designated to receive same. In either  case  the election  shall  be  made  within  ninety  days  after  the death of the retiree. The designation of the individual who is to receive  such  lump sum  on  the death of the beneficiary, may be changed by the beneficiary at any time. Such election, designation or change shall  be  made  by  a writing,  duly  executed  and filed with the comptroller. In the event a designated beneficiary has elected to receive a balance payable  in  the form of a reduced annuity, and the person designated by him to receive a lump  sum  payment does not survive him, such lump sum, if any, shall be payable to the estate of the designated beneficiary or  as  provided  in section  one  thousand  three  hundred  ten  of  the  surrogate's  court procedure act.   Cash Refund-Initial Value (Option One).  If  he  dies  before  he  has received retirement allowance payments equal to the present value of his retirement  allowance,  as  it  was  at  the time of his retirement, the balance thereof shall be paid to his estate or  to  the  beneficiary  so designated.  In the event a designated beneficiary does not survive him, any balance shall be payable to  the  estate  of  the  deceased  retired member  or  as provided in section one thousand three hundred ten of the surrogate's court procedure act. The beneficiary so designated may elect by written designation, duly executed and filed with the comptroller, to receive the balance payable in the form of an  annuity,  the  amount  of which shall be determined as the actuarial equivalent of such balance on the  basis  of  regular  interest and the age of such beneficiary at the time of the retiree's death, or  in  the  alternative,  to  receive  the actuarial  equivalent  of  such balance in the form of a reduced annuity payable for life, with the further proviso that if he should die  before the  annuity  payments  received  by  him  are  equal  to such actuarial equivalent, the balance thereof shall be paid  in  a  lump  sum  to  his estate or to such person as he shall have designated to receive same. In either  case  the  election  shall  be made within ninety days after the death of the retiree. The  designation  of  the  individual  who  is  to receive such lump sum on the death of the beneficiary, may be changed by the  beneficiary at any time. Such election, designation or change shall  be made by a writing, duly executed and filed with the  comptroller.  In the  event  a  designated  beneficiary  has elected to receive a balance payable in the form of a reduced annuity, and the person  designated  by him  to  receive a lump sum payment does not survive him, such lump sum, if any, shall be payable to the estate of the designated beneficiary  or as provided in section one thousand three hundred ten of the surrogate's court procedure act.   Joint  Allowance-Full  (Option  Two).  Upon  his  death,  a retirement allowance in an amount equal to that paid to him, shall be paid for life to the beneficiary so designated.   Joint Allowance-Half (Option Three).  Upon  his  death,  a  retirement allowance  of  one-half the amount paid to him shall be paid for life to the beneficiary so designated.   Actuarial Equivalent Allowance  (Option  Four).  Such  other  optional benefit  or benefits as the comptroller shall approve and which shall be the actuarial equivalent of his retirement allowance at the time of  his retirement.   aa.  In  the  event that the monthly retirement allowance payable to a member or a beneficiary shall amount to less than  twenty-five  dollars, then  and in such event, the member or beneficiary may elect, in lieu of such monthly retirement allowance, to receive the  actuarial  equivalent thereof in a lump sum.   b.  All  elections under this section shall be made on blanks prepared by the comptroller for that purpose. Any such election may  be  made  at any  time  before  the  first  payment on account of any benefit becomes normally due, except that in  the  case  of  retirement  on  account  of disability,  such  an  election  may  be  made  within thirty days after mailing by the comptroller of notification of approval of retirement  on account of disability.   An  optional  election  shall  not become effective if the member dies before the effective date of his retirement.  Provided,  however,  if  a member  who  is otherwise eligible for disability retirement pursuant to this chapter dies after the filing in the office of the  comptroller  of the  application  for  disability retirement and a valid option election form pursuant to this chapter and it is established that the physical or mental impairment or incapacitation of the applicant specified  in  such application  was directly related to the cause of the applicant's death, such application shall be approved by the comptroller effective one  day before  the  date of the applicant's death. An election of an option may be withdrawn or a new option may be chosen within the period provided in this subdivision b for  the  making  of  such  an  election.  Except  as provided  in  subdivision b of section seventy of this article, where an optional election does not become effective, retirement shall be without option.   bb. 1. Notwithstanding any other  provision  of  this  section  or  of section  seventy of this article, the comptroller, for reasonable cause, shall have power to extend the time for the election of an option, for a period  or  periods  which  shall  expire  not  later  than  sixty  days immediately after the effective date of a member's retirement.   2.  Notwithstanding  any  other  provision of this section, but except where payment of accumulated contributions, an ordinary  death  benefit, or  both,  is  or  are  required  pursuant  to subdivision dd of section fifty-one of this article or subdivision aa of  section  sixty  of  this article,  retirement  shall  be on the basis of "Option One-half" unless the member files an effective  election  pursuant  to  this  section  to retire  on a different basis. The provisions of this paragraph two shall apply to cases where retirement shall become effective on or  after  May first, nineteen hundred fifty-four.    c.  A member, or person authorized by this section to make an election in his behalf, may designate his beneficiary under any  of  the  options herein provided. Each such designation shall be:   1.  Made  in  writing  on a blank provided by the comptroller for such purpose, and   2. Ineffective until it is filed in the comptroller's office, and   3. Revocable to the extent that:  (a) A new  beneficiary  under  a  "Cash  Refund-Contributions"  option (Option  One-half), or "a Cash Refund-Initial Value" option (Option One) may be designated at any time during the member's life.  (b) A new beneficiary under any other option may be designated at  any time  within  the period provided for the making of an election pursuant to this section.   d. In the event of the death of a retired member, the  installment  of his  retirement  allowance, which would have become due and payable next following his death, shall be pro-rated as of the date of his death. The amount of such installment, as so pro-rated, shall be paid as follows:   1. If the member shall have:  (a) Elected to receive an optional benefit pursuant to  this  section, and  (b)  Designated  a  beneficiary  pursuant to this section, such amount shall be paid to such beneficiary, if such beneficiary survives him.  In any  other case such amount shall be paid to the retired member's estate or pursuant to section one thousand three hundred ten of the surrogate's court procedure act.   2. If the member  shall  not  have  elected  to  receive  an  optional benefit,  such amount shall be paid to the beneficiary designated by him pursuant to subdivision d of section fifty-one of this article.  In  the event  the  appropriately  designated  beneficiary does not survive such member, or if he shall not have so designated a beneficiary, such amount shall be payable to the retired member's estate or pursuant  to  section one thousand three hundred ten of the surrogate's court procedure act.   e.  Notwithstanding  any  other  provision  of this article, an option selection previously filed by a member or retired member subject to  the provisions  of  this  section  may  be changed no later than thirty days following the date of payability of his or her retirement  allowance.  A retired  member who has been retired for disability may change an option selection previously filed no later than (1) thirty days  following  the date  on  which  such member's application for disability retirement was approved by the retirement board or (2) thirty days following  the  date on which such retiree was retired for disability, whichever is later.