SB 402 - Current law provides that if a member of the Missouri state employees' retirement system (MOSERS) elects certain annuity options prior to retirement and dies prior to receiving the total annuity payments under the option with no designated beneficiary, the remainder of such payments shall be made to the member's estate. Also, if a designated beneficiary dies prior to receiving the total remainder of a deceased member's payments, the payments shall be made to the beneficiary's estate. This act provides that, in such events, the remainder of such payments shall be paid to the member or the beneficiary's surviving spouse, children, parents, or siblings, or their respective descendants, as described in Sections 104.620 and 104.1054, RSMo. (Section 104.395.1 and 104.1027.1.)
Current law provides that if certain members elect a joint and survivor annuity option and the spouse or former spouse precedes the member in death, the annuity shall revert to a normal annuity, including any increases the member would have received since the date of retirement. This act provides that if a member dies before notifying the system of the spouse's death, the benefit will not revert to a normal annuity, and no retroactive payments will be made. (Section 104.395.3 and 104.1027.3.)
Current law provides that certain retired members who elected a joint and survivor annuity option and whose spouse or former spouse precedes them in death may, upon application, be appointed by the board of trustees of MOSERS as a special consultant, and in exchange, the member's reduced annuity shall revert to a normal annuity. This act provides that the benefit of reversion to a normal annuity shall only be received if the member cancels his or her original joint and survivor annuity option election. (Section 104.395.4 and 104.1027.4.)
The act provides that a member may change any election for such annuity options at any time before the first annuity payment is mailed or electronically transferred. (Section 104.395.8.) The act also provides that a member may change their election to be covered by a closed plan or the year 2000 plan at any time before the first annuity payment is mailed or electronically transferred. (Section 104.1015.9.)
The act also provides that if the board of trustees of MOSERS or of the transportation department and highway patrol retirement system chooses to provide employees or members under either the closed plan or year 2000 plan with retirement-related education or advice, the board will not be liable for decisions made by such persons, so long as the board acts with the same care, skill, prudence, and diligence as a prudent person acting in a similar capacity would use. (Section 104.1012.3.)
The act also provides that a member of MOSERS who retires under the year 2000 plan shall receive an annuity on the last working day of each month, as long as all required documentation needed to calculate payment of benefits is received by the board. (Section 104.1024.1.)
Current law states that if a temporary annuity is being paid under Section 104.1024, such payment shall cease at the earlier of the date of the member's death, or the date the member reaches the age of eligibility for Social Security. This act specifies that in no event shall the annuity continue past age 62. (Section 104.1024.4.) Additionally, this act specifies that in no event shall optional life insurance obtained by certain eligible retired members, as described by Section 104.1024, be retained past age 62. (Section 104.1024.2(4).)
This act is identical to HB 393 (2007).