(A) In the event of the death of a combined
plan participant prior to payment to the participant of any part of either
of
both the defined benefit or
and defined contribution portions of the account,
payment shall be made as permitted by paragraph (B)
or (C) of this rule:
.
(B)
Dependent, service, or retirement based survivor benefits may be granted in
accordance with
divisions (C)(1) and (C)(2) of
section
sections
3307.501,
3307.66
, and
3307.67
of the Revised Code
and Chapter 3307:1-8 of the
Administrative Code to the qualified survivors of the deceased
participant in lieu of payment pursuant to Chapter 3307:2-5 of the
Administrative Code, calculated, paid and terminated as though all requirements
of section
3307.66
of the Revised Code were applicable, except those set forth in division (G) of
section
3307.66
of the Revised Code
and that only contributing
service as defined in paragraph (A) of rule 3307:1-1-01 of the Administrative Code with the state teachers retirement system and military service as permitted by the plan document shall be used to determine eligibility for benefits.
(1) For applications received
pursuant to this rule later than one year from the date of death of the
participant, benefits shall begin on the first day of the month immediately
following receipt of the application by the retirement system. All other
applications shall begin the first of the month after the date of death of the
participant.
(2) The determination of both the
final average salary calculation pursuant to section 3307.501 of the Revised
Code and the payment of cost of living adjustments pursuant to section 3307.67
of the Revised Code shall be based on the date determined in paragraph (B)(1)
of this rule, unless the participant was receiving disability benefits at the
time of death, then the disability effective benefit date shall be
used.
(3) If a surviving spouse or sole
designated beneficiary is eligible for benefits pursuant to division (C)(1) of
section 3307.66 of the Revised Code, the option rate and early retirement
reduction factor used to calculate such benefit shall be based on the age of
either the surviving spouse or sole designated beneficiary and the age the
deceased participant would have been on the date determined in paragraph (B)(1)
of this rule. The early retirement reduction factor shall be the greater of
either the percentage calculated as specified in this paragraph or the highest
percentage calculated for each July first immediately preceding the survivor
benefit's effective benefit date, assuming the participant was eligible to
retire each July first date.
(4) Both the defined contribution
and defined benefit portions of the participant's account in the combined plan
will be applied to fund survivor benefits paid pursuant to this
rule.
(C) A
surviving spouse or sole
designated
beneficiary
survivor of a participant
eligible at the time of
the participant's death
to receive monthly service retirement benefits as
outlined in rule 3307:2-5-03 of the Administrative Code may receive a monthly annuity benefit from both the defined contribution portion and the defined benefit portion of the participant's combined plan account; or, may receive a monthly annuity benefit
from either the defined contribution portion or the defined benefit portion of
the account and receive the same lump-sum payment the participant would have
received from the other account as defined in the defined contribution program
plan document; or, may receive a lump-sum payment of both the defined
contribution and the defined benefit
portion
portions of
the account and receive the same lump-sum payments the participant would have
received as defined in the
defined contribution
program plan document. To receive a monthly annuity, the following
applies:
(1) The surviving spouse or sole
designated beneficiary
survivor may receive a monthly annuity from the
defined contribution portion of the participant's combined plan account if the
participant at the time of death was eligible for
a monthly annuity benefit of
is not less than one hundred dollars monthly when
computed as a one hundred per cent joint survivor annuity without reversion;
otherwise, a lump-sum payment of the defined contribution portion of the
account shall be paid. The effective date for the
monthly annuity payment from the defined contribution portion shall be the
first of the month following the participant's date of death.
(2) The surviving spouse or sole
designated beneficiary
survivor may receive a monthly annuity from the
defined benefit portion of the participant's combined plan account if the
participant at the time of death was eligible, or would have been eligible the
first of the month following the date the deceased participant would have
attained the minimum age necessary to qualify for benefits, for a monthly
annuity benefit of not less than one hundred dollars monthly when computed as a
one hundred per cent joint survivor annuity without reversion; otherwise, a
withdrawal of the defined benefit portion of the account shall be paid.
The effective date for the monthly annuity payment from
the defined benefit portion shall be the first of the month following the later
of the participant's date of death or the date the deceased participant would
have attained the minimum age necessary to qualify for benefits under the
defined benefit portion, based upon service credit accrued as of the date of
death. Such a benefit shall be computed under the terms of the combined plan
and payable in the form of the one hundred per cent joint survivor annuity
without reversion the participant would have received had the participant been
retired on that same first of the month and selected such a joint survivor
annuity.
(3) The surviving spouse or sole
designated beneficiary of the participant shall receive a one hundred per cent
joint survivor annuity without reversion.
(4) The effective date for either
monthly annuity payment shall be the first of the month following the
participant's date of death or the first of the month following the date the
deceased participant would have attained the minimum age necessary to qualify
for benefits under the defined benefit portion, based upon service credit
accrued as of the date of death. Such a benefit shall be computed under the
terms of the combined plan and payable in the form of the one hundred per cent
joint survivor annuity without reversion the participant would have received
had the participant been retired on that same first of the month and selected
such a joint survivor annuity.
(3)
For purposes of
this rule, "without reversion" refers to an annuity where neither the plan of
payment nor the primary beneficiary may be changed after
retirement.
(D)
Neither service credit established under nor contributions to the public
employees retirement system created by Chapter 145. of the Revised Code or the
school employees retirement system created by Chapter 3309. of the Revised Code
may be combined with this retirement system, either for the determination of
eligibility for survivor benefits or the calculation of benefits.
(E) In the event a deceased combined
plan participant is survived by a qualified spouse as defined by division
(B)(1) of section 3307.66 of the Revised Code and there is no designated
beneficiary other than the spouse, such spouse may select one of the benefit
calculations specified by division (C)(1) or (C)(2) of that section, and such
selection shall govern the calculation of any benefit, thereby payable to other
qualified survivors, notwithstanding the respective ages or biological parent
of any surviving children.
(F) In the event a deceased combined
plan participant is not survived by a qualified spouse as defined by section
3307.66 of the Revised Code and there is no designated beneficiary, but the
participant is survived by children qualified under the terms of section
3307.66 of the Revised Code, selection of one of the benefit calculations set
forth in division (C)(1) or (C)(2) of that section may be made by the youngest
qualified child. Such selection shall govern the calculation of any benefit
thereby payable to other qualified survivors.
(G)
(E)
In the event of the death of a combined plan participant prior to payment of
the defined benefit portion of the account but after payment was made of the
defined contribution portion as specified by paragraph (A)(3) or paragraph (B)
of rule
3307:2-5-03 of the Administrative Code, a benefit may be granted to a surviving spouse or sole
designated beneficiary
survivor. Such a benefit shall be effective as of the
first of the month following the date the deceased participant would have
attained the minimum age necessary to qualify for benefits under the defined
benefit portion, based upon service credit accrued as of the date of death.
Such a benefit shall be computed under the terms of the combined plan and
payable in the form of the one hundred per cent joint survivor annuity without
reversion the participant would have received had the participant been retired
on that same first of the month and selected such a joint survivor annuity or,
in lieu of a benefit computed as a one hundred per cent joint survivor annuity,
the benefit is payable as a lump sum equal to the withdrawal value as defined
in the
defined contribution program plan
document.
(H)
(F) In the event of the death of a combined plan
participant prior to payment of the defined contribution portion of the account
but after payment was made of the defined benefit portion as specified by
paragraph (C) of rule
3307:2-5-03 of the Administrative Code, the surviving spouse or sole
designated beneficiary
survivor may withdraw or immediately annuitize the
defined contribution portion of the account.
Notes
Ohio Admin. Code 3307:2-6-02
Five Year Review (FYR) Dates:
3/25/2024 and
03/25/2029
Promulgated
Under: 111.15
Statutory Authority: 3307.80
Rule
Amplifies: 3307.81
Prior Effective Dates: 07/01/2001 (Emer.),
09/17/2001, 09/17/2002, 07/16/2004, 06/18/2009, 07/01/2013 (Emer.), 09/09/2013,
06/12/2014, 06/07/2019
Effective:
6/7/2019
Five Year Review (FYR) Dates:
3/22/2019 and
06/07/2024
Promulgated
Under:
111.15
Statutory Authority:
3307.80
Rule Amplifies:
3307.81
Prior Effective Dates: 07/01/2001 (Emer.), 09/17/2001, 09/17/2002,
07/16/2004, 06/18/2009, 07/01/2013 (Emer.), 09/09/2013,
06/12/2014
