2006 New York Code - Variable Annuity Reserve Fund; Variable Annuity.

 
    §  13-574  Variable  annuity  reserve  fund;  variable  annuity.  a. A
  participant in  the  variable  annuity  program  to  whom  a  retirement
  allowance  becomes  payable  shall,  as  provided  in  paragraph  one of
  subdivision b of this section or in paragraph one of  subdivision  c  of
  this  section, as the case may be, have the choice of having the portion
  deriving from the units credited to him or her in the  variable  annuity
  savings fund paid in fixed or variable instalments.
    b.  (1)  A  participant  who is not an applicant for retirement with a
  deferred payability date  (as  defined  in  subdivision  thirty-nine  of
  section  13-501  of  this  chapter), shall make such choice prior to the
  effective date of his or her retirement and if the choice  is  for:  (i)
  Fixed  instalments,  he  or she shall be credited in the annuity reserve
  fund, to be applied toward the payment of an  annuity,  with  an  amount
  equal  to  the value of such units. An equal amount shall be transferred
  from the variable annuity savings fund to the annuity reserve  fund  and
  his  or her account in the variable annuity savings fund shall thereupon
  be cancelled.
    (ii) Variable instalments, he or she shall be credited in the variable
  annuity reserve fund with the same number of units credited  to  him  or
  her  in  the  variable annuity savings fund and shall be paid a variable
  annuity from the variable annuity reserve fund. An amount equal  to  the
  value  of  such  units  shall  be  transferred from the variable annuity
  savings fund to the variable annuity reserve fund and his or her account
  in the variable annuity savings fund shall thereupon be cancelled.
    (2) The value of a unit, for the purpose of this subdivision b,  shall
  be as of the effective date of the contributor's retirement.
    (3) Any such variable annuity provided for in this subdivision b shall
  be  computed  in  terms  of  units  actuarially  equivalent to the units
  credited to the contributor in the variable annuity reserve fund.
    c. (1) A participant  who  is  an  applicant  for  retirement  with  a
  deferred  payability  date  (as  defined  in  subdivision thirty-nine of
  section 13-501 of this chapter) may  make  the  choice  referred  to  in
  subdivision  a  of this section by an election filed with the retirement
  board prior to the date next preceding the date  on  which  his  or  her
  retirement  allowance  begins  in  accordance with rules and regulations
  established by  the  retirement  board;  provided,  however,  that  such
  participant may, at any time after such election is filed and before his
  or  her  retirement  allowance  begins, change such election by filing a
  superseding election with the retirement board in accordance with  rules
  and regulations established by the retirement board.
    (2) On the effective date of the retirement of a participant who is an
  applicant  for retirement with a deferred payability date (as defined in
  subdivision thirty-nine of section 13-501 of this chapter),  he  or  she
  shall  be credited in the variable annuity reserve fund with a number of
  units equal to the number of units credited to him or  her  as  of  such
  date  in the variable annuity savings fund. An amount equal to the value
  of such units as of such date shall be  transferred  from  the  variable
  annuity savings fund to the variable annuity reserve fund and his or her
  account  in  the  variable  annuity  savings  fund  shall  thereupon  be
  canceled.
    (3) Except as otherwise provided by paragraph four of subdivision f of
  section 13-581 of this chapter, if the choice of such a  participant  is
  fixed instalments, an amount equal to the value, as of the date on which
  his  or  her  retirement  allowance begins, of the number of units which
  would have been credited to him or her as of such date in  the  variable
  annuity savings fund if his or her account therein had not been canceled
  as  provided  for  in  paragraph  two  of  this  subdivision c, shall be
  transferred from the  variable  annuity  reserve  fund  to  the  annuity


  reserve  fund  and such amount shall be applied toward the payment of an
  annuity.
    (4) Except as otherwise provided by paragraph four of subdivision f of
  section  13-581  of this chapter, if the choice of such a participant is
  variable instalments, he  or  she  shall  be  paid  a  variable  annuity
  computed  in  terms  of  units actuarially equivalent, as of the date on
  which his or her retirement allowance begins, to  the  number  of  units
  which  would  have  been  credited  to him or her as of such date in the
  variable annuity savings fund if his or her account therein had not been
  canceled as provided for in paragraph two of this subdivision c.
    d. For the first month established by the retirement  board  for  this
  purpose  and  for  any  subsequent  months,  any  such  variable annuity
  provided for in subdivision b or c of this  section  shall  be  paid  in
  dollars  according  to the value of a unit for the month payment is due,
  and for any month preceding such first month the variable annuity  shall
  be  paid  in  dollars  according  to  the  value of a unit for the month
  preceding the month payment is due.
    e. On the death of a contributor receiving a variable annuity, or,  if
  he  or  she  has elected Option II, III, or a joint and survivor form of
  IV, on the death of the last survivor of the contributor and the  person
  designated  to  receive payments on his or her death, the account of the
  contributor or the joint account of  the  contributor  and  his  or  her
  designee, as the case may be, in the variable annuity reserve fund shall
  be cancelled.
    f.   If   a  retired  contributor  receiving  a  variable  annuity  is
  subsequently restored to active service, his  or  her  variable  annuity
  shall  cease,  his  or  her account in the variable annuity reserve fund
  shall be cancelled, an amount equal to the actuarial equivalent  of  the
  variable  annuity  that  was  payable to him or her shall be transferred
  from the variable annuity reserve fund to the variable  annuity  savings
  fund,  and  he or she shall be credited in such fund with units having a
  value, as of the date of re-entry into service, equal  to  such  amount.
  Deposits  and  transfers  to  the variable annuity savings fund shall be
  resumed in accordance with the election in effect at the time of his  or
  her retirement.
    g.  If  a  twenty-year pension plan retiree with a deferred payability
  date (as defined in subdivision forty of section 13-501 of this chapter)
  is restored to active service after the effective date  of  his  or  her
  retirement and before his or her retirement allowance begins:
    (1)  his  or her account in the variable annuity reserve fund shall be
  cancelled; and
    (2) an amount equal to the value,  as  of  the  date  of  his  or  her
  restoration  to  active  service, of the number of units in the variable
  annuity reserve fund shall be  transferred  from  the  variable  annuity
  reserve fund to the variable annuity savings fund.
    h.  Except  as  provided  for  in  section  13-581  of this chapter, a
  transfer pursuant to this section between variable annuity  funds  shall
  be  from  an  A fund to an A fund or from a B fund to a B fund or within
  such additional variable annuity fund or funds which may be  established
  pursuant to subdivision c of section 13-567 of this chapter.