CHAPTER 233

96-H 8536A

Approved Aug. 6, 1996.

AN ACT RELATING TO THE STATE AND MUNICIPAL RETIREMENT SYSTEMS -- FOR OPTIONAL BENEFITS

It is enacted by the General Assembly as follows:

SECTION 1. Section 36-10-19 of the General Laws in Chapter 36-10 entitled "Retirement System -- Contribution and Benefits" is hereby amended to read as follows:

36-10-19. Persons eligible for optional benefits -- Time of election -- Modification or revocation -- Effective date. -- The optional provisions of section 36-10-18 shall be applicable only to a member applying for a service retirement allowance and an accidental disability retirement allowance {ADD and an ordinary disability retirement allowance ADD} or any inactive member applying for retirement under vested rights , and not to any member applying for an ordinary disability retirement allowance . The election under option 1 or 2 shall be made at the time of retirement of the member as part of his or her application for a retirement allowance. The election shall be based upon the amount of retirement allowances that may accrue at the date of death of the member, and may be revoked or modified by the member at any time after retirement on a form prescribed by the retirement board, provided that, during this time, the named beneficiary has not been divorced from the member. The option, in the case of death of a retired member, shall become effective on the next day following the death of the member and payment of benefits thereunder shall be made in accordance with the provisions hereof, subject to the limitations prescribed in section 36-10-18, provided further, that this section shall not apply to any one who elects the social security supplemental option as provided by section 36-10-10.3.

SECTION 2. Section 45-21-51 of the General Laws in Chapter 45-21 entitled "Retirement of Municipal Employees" is hereby amended to read as follows:

45-21-51. Persons eligible for optional benefits -- Time of election -- Modification or revocation -- Effective date. -- (a) The optional provisions of section 45-21-30 shall be applicable only to a member applying for a service retirement allowance and an accidental disability retirement allowance {ADD and an ordinary disability retirement allowance ADD} or any inactive member applying for retirement under vested rights , and not to any member applying for an ordinary disability retirement allowance . The election under option 1 or 2 shall be made at the time of retirement of the member as part of his or her application for a retirement allowance. The election shall be based upon the amount of retirement allowances that may accrue at the date of death of the member, and may be revoked or modified by the member at any time after retirement on a form prescribed by the retirement board, provided that during this time, the named beneficiary has not been divorced from the member. The option in the case of death of a retired member shall become effective on the next day following the death of the member and payment of benefits thereunder shall be made in accordance with the provisions hereof, subject to the limitations prescribed in section 45-21-30, provided, further, that this section shall not apply to anyone who elects the social security supplemental option as provided by section 45-21-17.2.

(b) This section shall be exempt from the provisions of sections 45-13-6 -- 45-13-10.

SECTION 3. Section 45-21.2-20 of the General Laws in Chapter 45-21.2 entitled "Optional Retirement for Members of Police Force Fire Fighters" is hereby amended to read as follows:

45-21.2-20. Persons eligible for optional benefits -- Time of election -- Modification or revocation -- Effective date. -- (a) The optional provisions of section 45-21.2-6(c) shall be applicable only to a member applying for a service retirement allowance and an accidental disability retirement allowance {ADD and an ordinary disability retirement allowance ADD} or any inactive member applying for retirement under vested rights , and not to any member applying for an ordinary disability retirement allowance . The election under option 1 or 2 shall be made at the time of retirement of the member as part of his or her application for a retirement allowance.

(b) The election shall be based upon the amount of retirement allowances that may accrue at the date of death of the member, and may be revoked or modified by the member at any time after retirement on a form prescribed by the retirement board; and, provided, further,that, during this time, the named beneficiary has not been divorced from the member.

(c) The option in the case of death of a retired member shall become effective on the next day following the death of the member and payment of benefits thereunder shall be made in accordance with the provisions hereof, subject to the limitations prescribed in section 45-21.2-6.

SECTION 4. Severability. -- If any provision of this act or the application thereof to any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of the act, which can be given effect without the invalid provision or application, and to this end the provisions of this act are declared to be severable.

SECTION 5. This act shall take effect upon passage.



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