27000-27008

EDUCATION CODE
SECTION 27000-27008




27000.  The death benefit shall become payable to the beneficiary
upon receipt of proof of the participant's death.



27001.  Notwithstanding Chapter 3 (commencing with Section 13100) of
Part 1 of Division 8 of the Probate Code or any other provision of
law to the contrary, the death benefit payable under the Cash Balance
Benefit Program may be requested by the beneficiary and paid by the
system as soon as practicable after the system receives proof of the
participant's death. Except as provided in Section 27302, the death
benefit under this part shall be paid no later than December 31 of
the calendar year in which the fifth anniversary of the participant's
date of death occurs unless the beneficiary is the participant's
spouse in which case distributions must commence on or before the
later of either of:
   (a) December 31 of the calendar year immediately following the
calendar year in which the participant dies.
   (b) December 31 of the calendar year in which the participant
would have attained the age of 70 1/2 years.



27002.  If the participant died prior to commencement of an annuity,
the death benefit shall be an amount that is equal to the sum of the
participant's employee account and employer account.



27003.  The normal form of death benefit under this part is a
lump-sum payment. Upon distribution of the lump-sum payment to the
beneficiary, no further benefits shall be payable from the plan with
respect to the Cash Balance Benefit Program.




27004.  (a) A beneficiary, other than an entity, may elect to
receive the final benefit payable under the Cash Balance Benefit
Program as an annuity payable in monthly installments provided that
the sum of the employee account and the employer account that is
payable to the beneficiary equals at least three thousand five
hundred dollars ($3,500).
   (b) A beneficiary who elects to receive an annuity pursuant to
this section shall elect a period certain annuity. This form of
payment is an annuity equal to the actuarial equivalent of the sum of
the balance of the employee account and the employer account on the
date of the participant's death. The annuity shall be payable in
whole year increments over a period of years specified by the
beneficiary, from a minimum of three years to a maximum of 10 years.
However, the annuity period shall not exceed the life expectancy of
the beneficiary. The beneficiary may designate a payee to receive the
remaining balance of payments if the beneficiary dies prior to the
end of the period certain.



27005.  The annuity elected under this chapter shall be determined
as a value actuarially equivalent to the sum of the participant's
employee account and employer account as of the date the death
benefit becomes payable. The annuity shall be calculated using the
age of the beneficiary on the date the benefit becomes payable.




27006.  Upon the beneficiary's election to receive the death benefit
under this part in the form of an annuity, the credits in the
participant's employee account and employer account shall be
transferred to the Annuitant Reserve.


27007.  (a) If the participant died while receiving an annuity under
this part, the death benefit shall be payable in accordance with the
terms of the annuity elected by the participant.
   (b) Upon the death of a participant who elected a single life
annuity with a cash refund feature under this part, any balance
remaining in the participant's employee account and employer account
shall be payable in a lump sum to the beneficiary.
   (c) Upon the death of a participant who elected a single life
annuity without a cash refund feature under this part, no death
benefit shall be payable.
   (d) Upon the death of a participant who elected a joint and
survivor annuity under this part, the annuity shall continue for life
to the surviving beneficiary under the joint and survivor option. If
the beneficiary under the joint and survivor option has predeceased
the participant, no death benefit shall be payable.
   (e) Upon the death of a participant who elected a period certain
annuity under this part prior to the completion of annuity payments
due the participant, the remaining balance of payments shall be paid
to the beneficiary designated by the participant.



27008.  Upon the death of a beneficiary who was receiving an annuity
under this part due to the death of a participant, payment shall be
made as follows:
   (a) Upon the death of a beneficiary under a joint and survivor
option, no amount shall be payable.
   (b) Upon the death of a beneficiary who elected a single life
annuity without a cash refund feature, no amount shall be payable.
   (c) Upon the death of a beneficiary who was receiving a period
certain annuity, the actuarial equivalent of the remaining balance of
payments shall be paid in a lump sum to the estate of the
beneficiary unless the beneficiary designated a payee to receive the
remaining balance of payments as provided in Section 27004.