2005 California Education Code Sections 25016-25019 Article 5. Disability Benefits

25016.  (a) A member's disability benefit under the Defined Benefit
Supplement Program shall be an amount equal to the balance of credits
in the member's Defined Benefit Supplement account on the date the
disability benefit becomes payable.
   (b) A disability benefit shall be a lump-sum payment, or an
annuity payable in monthly installments, or a combination of both a
lump-sum payment and an annuity, as elected by the member on the
application for a disability benefit.  Any retirement benefit paid as
an annuity under this chapter shall be subject to Section 25018.
   (c) Upon distribution of the entire disability benefit in a
lump-sum payment, no other benefit shall be payable to the member or
the member's beneficiary under the Defined Benefit Supplement
Program.
25017.  (a) A member  shall receive a disability benefit under the
Defined Benefit Supplement Program beginning on the effective date of
the member's disability allowance pursuant to Chapter 25 (commencing
with Section 24001) or a disability retirement allowance pursuant to
Chapter 26 (commencing with Section 24100) under the Defined Benefit
Program.
   (b) The member, or the member's employer or conservator on behalf
of the member, shall submit an application for a disability benefit
on a form prescribed by the system.
25018.  (a) A member may elect to receive the disability benefit as
an annuity, payable in monthly installments, provided the balance of
credits in the member's Defined Benefit Supplement account on the
date the disability benefit becomes payable equals at least three
thousand five hundred dollars ($3,500) after any lump-sum payment has
been made from this account.
   (b) If the member elects to receive the disability benefit as an
annuity, the member shall elect one of the following forms of
payment:
   (1) A single life annuity without a cash refund feature.  This
form of payment is the actuarial equivalent of the amount that would
be payable to the member if the member elected to receive the
disability benefit in a lump-sum payment.  Upon the death of the
member, no other benefit shall be payable to the member's beneficiary
under the Defined Benefit Supplement Program.
   (2) A single life annuity with a cash refund feature.  This form
of payment is the actuarial equivalent of the amount that would be
payable to the member if the member elected to receive the disability
benefit in a lump-sum payment.  Upon the death of the member, an
amount equal to the remaining balance of credits, if any, transferred
from the member's Defined Benefit Supplement account to the
Annuitant Reserve shall be returned in a lump-sum payment to the
member's beneficiary.
   (3) For a member receiving an allowance pursuant to Chapter 26
(commencing with Section 24100), a 100-percent joint and survivor
annuity with a "pop-up" feature.  This form of payment is the
actuarial equivalent of the lump-sum payment modified to be payable
over the combined lives of the member and the member's annuity
beneficiary.  Upon the death of the member, the same monthly amount
that was payable to the member shall be paid monthly to the member's
surviving annuity beneficiary.  However, if the annuity beneficiary
predeceases the member, the annuity payable to the member shall be
the single life annuity with a cash refund feature that would have
been payable had the member selected that form of payment at the
commencement of the benefit.  That single life annuity shall be
payable as of the day following the date of the annuity beneficiary's
death upon receipt by the system of proof of the annuity beneficiary'
s death.  If the annuity beneficiary predeceases the member, the
member may designate a new annuity beneficiary.  The effective date
of the new designation shall be six months following the date
notification, on a properly executed form, is received by the board,
provided both the member and the new designated annuity beneficiary
are then living. The selection of the new annuity beneficiary under
this paragraph shall be subject to an actuarial modification of the
single life annuity with a cash refund feature.  A member may not
designate a new annuity beneficiary if that designation would result
in any additional liability to the fund.
   (4) For a member receiving an allowance pursuant to Chapter 26
(commencing with Section 24100), a 50-percent joint and survivor
annuity with a "pop-up" feature.  This form of payment is the
actuarial equivalent of the lump-sum payment modified to be payable
over the combined lives of the member and the member's annuity
beneficiary.  Upon the death of the member, one-half of the monthly
amount that was payable to the member shall be paid monthly to the
member's surviving annuity beneficiary.  However, if the annuity
beneficiary predeceases the member, the annuity payable to the member
shall be the single life annuity with a cash refund feature that
would have been payable had the member selected that form of payment
at the commencement of the benefit.  That single life annuity shall
be payable as of the day following the date of the annuity
beneficiary's death upon receipt by the system of proof of the
annuity beneficiary's death.  If the annuity beneficiary predeceases
the member, the member may designate a new annuity beneficiary.  The
effective date of the new designation shall be six months following
the date notification, on a properly executed form, is received by
the board, provided both the member and the new designated annuity
beneficiary are then living. The selection of the new annuity
beneficiary under this paragraph shall be subject to an actuarial
modification of the single life annuity with a cash refund feature.
A member may not designate a new annuity beneficiary if that
designation would result in any additional liability to the fund.
   (5) A period certain annuity.  This form of payment is an annuity
equal to the actuarial equivalent of the balance of credits in the
member's Defined Benefit Supplement account on the date the
disability benefit becomes payable.  The annuity shall be payable in
whole year increments over a period of years specified by the member,
from a minimum of three years to a maximum of 10 years.  However,
the annuity period may not exceed the life expectancy of the member,
or the life expectancy of the member and the member's annuity
beneficiary.  If the member's death occurs prior to the end of the
period certain, the remaining balance of payments shall be paid to
the member's annuity beneficiary pursuant to Section 25022.
25018.5.  When a disabled member returns to work in his or her
former position of employment or in a comparable level position and
within six months of return experiences a recurrence of the original
disability, it shall be considered, for the purpose of determining
the duration of the disability, that the condition had its onset as
of the date the member first became disabled.  The former Defined
Benefit Supplement disability benefit under this chapter shall again
become payable as of the later of the first day of the month in which
the recurrence of the disability occurred or the last day of service
for which compensation is payable to the member provided the member
complies with the provisions of Section 24003 or 24103, as
applicable.
25019.  (a) If a member's disability allowance or disability
retirement allowance under this part is terminated, payment of a
disability annuity based on the balance of credits transferred from
the member's Defined Benefit Supplement account to the Annuitant
Reserve also shall terminate.  The member's Defined Benefit
Supplement account shall be credited with the actuarial equivalent of
the member's annuity as of the date the annuity is terminated and
the Annuitant Reserve shall be reduced by the amount credited to the
member's account.
   (b) If a disability allowance or a service or disability
retirement allowance subsequently becomes payable again, an annuity
or lump-sum payment based on the remaining balance of credits in the
member's Defined Benefit Supplement account at the time of the
subsequent disability or service or disability retirement becomes
payable and the balance of credits in the member's Defined Benefit
Supplement account shall be transferred to the Annuitant Reserve or
paid to the member in the form of a lump-sum payment.