Loading
The Oregon Administrative Rules contain OARs filed through August 15, 2014
 
QUESTIONS ABOUT THE CONTENT OR MEANING OF THIS AGENCY'S RULES?
CLICK HERE TO ACCESS RULES COORDINATOR CONTACT INFORMATION

 

OREGON PUBLIC EMPLOYEES RETIREMENT SYSTEM

 

DIVISION 14

DEATH AND SURVIVOR BENEFITS

459-014-0030

Pre-Retirement Designation of Beneficiary

(1) At any time before the effective date of retirement, a member or alternate payee with a separate account may designate a new beneficiary or revoke a previous designation of beneficiary for the purposes of paying benefits under ORS 238.390 and 238A.410.

(2) A designation of beneficiary must be:

(a) In a written format acceptable to PERS;

(b) Signed and dated by the member or alternate payee; and

(c) Received by PERS before the member or alternate payee’s death.

(3) The receipt by PERS of a new beneficiary designation revokes all previous designations.

(4) A member who has a member account and IAP account or an alternate payee with separate accounts must file a designation of beneficiary for each account.

(5) If the designation of beneficiary on file with PERS at the time of death is not administrable, distributions will be paid as if no designation of beneficiary had been made in accordance with ORS 238.390 and 238A.410.

(6) If a trustee of a trust is named as beneficiary, the individual beneficiary or beneficiaries of the trust will be treated as designated beneficiaries for the purpose of federal Required Minimum Distribution rules pursuant to 26 CFR 1.401(a)(9)-4, if the trust satisfies the following requirements:

(a) The trust is a valid trust under state law, or would be but for the fact it is not funded;

(b) The trust is irrevocable or will become irrevocable upon the death of the member or alternate payee;

(c) The beneficiaries of the trust, with respect to the trust’s interest in the account, are identifiable from the trust instrument. The beneficiaries will be considered identifiable as long as it is possible to identify the beneficiary with the shortest life expectancy; and

(d) PERS is provided:

(A) A copy of the trust document; or

(B) A certification of trust containing the following:

(i) A list of all beneficiaries of the trust;

(ii) Certification that the list is correct and complete to the best of the member or alternate payee’s knowledge and the trust satisfies the requirements in subsections (a), (b) and (c) of this section; and

(iii) A statement agreeing to provide a copy of the trust document upon demand.

(7) If a trust fails to satisfy the requirements in section (6) of this rule, the member will be deemed as having no beneficiary for purposes of Required Minimum Distributions and the entire death benefit must be distributed to the trust by December 31 of the calendar year containing the fifth anniversary of the death of the member or alternate payee pursuant to 26 CFR 1.401(a)(9)-3.

(8) The beneficiary designation made by a Tier One or Tier Two member will apply to the member account as defined in ORS 238.005 and any optional unit account under ORS 238.440.

(9) A pre-retirement designation of beneficiary may not be made for the OPSRP Pension Program as ORS 238A.230 determines who is eligible to receive a pre-retirement death benefit.

(10) The right of a beneficiary to receive a death benefit payment may not be deemed nullified or waived by any agreement or property settlement between the member and the beneficiary, or on behalf of either of them, which does not specifically mention such right and waive it on the part of the beneficiary or vacate and set aside the designation of said beneficiary by such member.

Stat. Auth.: ORS 238.650 & 238A.450
Stats. Implemented: ORS 238.390, 238A.230 & 238A.410
Hist.: PER 8, f. 12-15-55; PERS 1-1996, f. & cert. ef. 3-26-96; Renumbered from 459-010-0075; PERS 21-2005, f. & cert. ef. 11-1-05; PERS 5-2006, f. & cert. ef. 4-5-06; PERS 2-2012, f. & cert. ef. 2-1-12

459-014-0040

Valid Request for Distribution of Pre-Retirement Death Benefits

(1) For the purposes of this rule, “valid request for distribution” is when PERS receives the last required document PERS has determined necessary to distribute a death benefit to a beneficiary.

(2) PERS must receive a copy of the death certificate of the deceased member or alternate payee. PERS will provide instructions to a beneficiary identifying additional documents that must be received to make a valid request for distribution. Required documents may include but are not limited to:

(a) Death Benefit Election;

(b) Letters of Testamentary/Administration;

(c) Small Estate Affidavit or out of state equivalent;

(d) Affidavit of Next of Kin;

(e) Affidavit of Beneficiary;

(f) Declaration of Beneficiary;

(g) Proof of marriage;

(h) Proof of registered domestic partnership;

(i) Proof of birth of the beneficiary;

(j) Trust document or certification of trust;

(k) Proof of Conservatorship; and

(l) Proof of Guardianship.

(3) Earnings crediting for the distribution amount for an IAP account beneficiary will be determined under OAR 459-007-0320.

Stat. Auth.: ORS 238.650 & 238A.450
Stats. Implemented: ORS 238.390, 238A.230 & 238A.410
Hist.: PERS 2-2012, f. & cert. ef. 2-1-12

459-014-0050

Designation of Beneficiary at Retirement and Survivor Benefits

(1) For the purposes of this rule, “first payment is due” means the first of the calendar month after the effective retirement date.

(2) The beneficiary designated on an application for service retirement becomes effective on the effective retirement date. If the service retirement application is rejected by PERS or cancelled by the member, the beneficiary designation is null and void.

(3) PERS must receive a copy of the death certificate of the member or alternate payee.

(4) When a retired Tier One or Tier Two member or alternate payee dies:

(a) Before the first payment is due, the benefit option selected pursuant to ORS 238.300 or 238.305 determines how benefits are paid to the designated beneficiary.

(b) After the first payment is due, unpaid benefits accrued by the member or alternate payee before their death will be paid to the member or alternate payee’s estate.

(5) A monthly benefit payable to a beneficiary is effective the first of the month after the last month payable to the member or alternate payee.

(6) If a retired member receiving unit payments under ORS 238.440 dies before the last payment has been made, the designated beneficiary will receive a lump sum payment of the remaining unit account balance. There is no benefit due from employer contributions.

(7) If adjustments are made to the retirement allowance or benefit of a deceased retiree:

(a) A member’s estate will be paid any underpayment or invoiced for any overpayment of benefits paid to the member.

(b) An alternate payee’s estate will be paid any underpayment or invoiced for any overpayment of benefits paid to the alternate payee.

(c) A beneficiary or a beneficiary’s estate will be paid any underpayment or invoiced for any overpayment of benefits paid to a beneficiary.

Stat. Auth.: ORS 238.650 & 238A.450
Stats. Implemented: ORS 238.300, 238.305, 238.390, 238.715, 238A.190 & 238A.400
Hist.: PERS 2-2012, f. & cert. ef. 2-1-12

The official copy of an Oregon Administrative Rule is contained in the Administrative Order filed at the Archives Division, 800 Summer St. NE, Salem, Oregon 97310. Any discrepancies with the published version are satisfied in favor of the Administrative Order. The Oregon Administrative Rules and the Oregon Bulletin are copyrighted by the Oregon Secretary of State. Terms and Conditions of Use

Oregon Secretary of State • 136 State Capitol • Salem, OR 97310-0722
Phone: (503) 986-1523 • Fax: (503) 986-1616 • oregon.sos@state.or.us

© 2013 State of Oregon All Rights Reserved​