AB 1824, as introduced, Rendon. County employees’ retirement: optional settlements revision.
The County Employees Retirement Law of 1937 permits a member or retired member of a retirement system established pursuant to its provisions, prior to the time that the first payment of any retirement allowance is made, to elect certain optional settlements, which operate to reduce the allowance payable to the member through his or her life and provide for a subsequent payment to another party or parties, including his or her spouse.
This bill, upon adoption by a county, would permit a retired member to revise certain optional settlements if, at retirement, the retired member was unmarried or had been married less than one year, the retired member had retired before the county adopted other specified optional retirement settlements, and the application to revise includes the signature of the designated beneficiary of the optional settlement or a written declaration, as specified. The bill would provide a civil penalty for a person who knowingly provides false information in the declaration, to be brought at the option of a public prosecutor. The bill would also require, if the designated beneficiary of the optional settlement is a spouse or domestic partner of the member, that the application for revision evidence that person’s agreement to the revision. The bill would provide, pursuant to this revision, that the retired member’s allowance remain the same as provided by the optional settlement, adjusted for any cost-of-living increases that have been added to the retirement allowance. The bill would provide that the retirement system has no obligation to locate or otherwise contact retired members who may qualify for a revision. The bill would provide that any actions taken, as described above, do not excuse the obligation of a member to provide a continuing benefit to a former spouse pursuant to court order.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Section 31760.8 is added to the Government
2Code, to read:
(a) A retired member, in order to provide for his or
4her spouse, shall be entitled to revise the designated beneficiary
5of an optional settlement elected pursuant to Section 31761, 31762,
631763, or 31764 at the time of retirement, if all of the following
7criteria are satisfied:
8(1) The member retired on or before the date the board made
9Section 31760.2, 31785.1, or 31786.1 applicable in the county.
10(2) At retirement, the member was unmarried or had been
11married less than one year.
12(3) The member’s spouse is at least 55 years of age and is older
13than the originally designated beneficiary.
14(4) The member’s application satisfies the requirements
15described in subdivisions (b) and (c).
16(b) (1) An application for a revision of an optional settlement
17pursuant to this section shall include the signature of the designated
18beneficiary of the optional settlement acknowledging the revision
19or shall include a written declaration of one or more of the
20following as may be applicable to the member:
21(A) The beneficiary has no identifiable community property
22interest in the benefit.
23(B) The member does not know, and has taken all reasonable
24steps to determine, the whereabouts of the beneficiary.
25(C) The beneficiary has been advised of the application and has
26refused to
sign the written acknowledgment.
P3 1(D) The beneficiary is incapable of executing the
2acknowledgment because of an incapacitating mental or physical
3condition.
4(2) The purpose of this subdivision is to notify the beneficiary
5of the revision of an optional settlement made by a member that
6may affect the entitlement of the beneficiary.
7(3) A person who knowingly provides false information in the
8written declaration submitted pursuant to paragraph (1) shall be
9subject to a civil penalty of not less than one thousand dollars
10($1,000) and not more than twenty-five thousand dollars ($25,000),
11in addition to any civil remedies available to the board. An action
12to impose a civil penalty pursuant to this paragraph may be brought
13by any public prosecutor in the name of the people of the state.
14(c) In addition to the requirements of subdivision (b), if the
15originally designated beneficiary of the optional settlement is a
16former spouse or domestic partner of the member, the application
17for revision of an optional settlement shall also evidence agreement
18to the revision by the former spouse or domestic partner.
19(d) After revision, the member’s retirement allowance shall
20remain the same as provided by the optional settlement, adjusted
21by any cost-of-living increases that have been added to the
22retirement allowance.
23(e) The retirement system has no obligation to locate or
24otherwise contact retired members who may qualify for a revision
25under this section.
26(f) No actions taken pursuant to this section excuse the
27obligation of a member to provide a
continuing benefit to a former
28spouse or other person pursuant to court order.
29(g) This section is not applicable in any county until the board
30of retirement, by resolution adopted by a majority vote, makes this
31section applicable in the county. The board’s resolution may
32designate a date, which may be prior or subsequent to the date of
33the resolution, as of which the resolution and this section shall be
34operative in the county.
O
99