Staff Analysis of the Legislation
|
House Bill 656
Chair's Name: Ben Bridges
Committee: Retirement
House Sponsor: “Coach” Williams
Chairman Bridges’ Opinion of the legislation:
HB 656 provides that in the event of a divorce, a member who elects survivor’s benefits for a spouse and one or more others may revoke the spousal election. Upon revoking this election, the member can: 1) Allocate the spouse’s percentage among the other beneficiaries, or 2) Continue to have the beneficiaries receive the same percentage as they were getting and the member’s retirement allowance would return to the allowance they would have received had they not selected the spousal benefit. In both cases, the benefit will be recalculated by an actuary. Current law does not allow the benefit to be reallocated. Existing law does allow spousal election if the spouse is deceased, but not in the case of divorce.
This bill comes to the House Floor under the Open Rule. |