SECTION 76.7. Change In Annuity Selection

(a) A person who retired and selected an optional cash balance annuity described by §76.6(c)(1), (c)(2), or (c)(5) of this chapter may change the optional annuity to a standard cash balance annuity only if:

(1) pursuant to a divorce decree, a court orders the change in the annuity to a standard cash balance annuity; or

(2) the retiree files with the system a request to change the annuity and, in connection with a divorce between the retiree and the beneficiary designated by the retiree under §76.6(b) of this chapter, the beneficiary has executed a written, notarized instrument that releases the system from any claim to the annuity by the beneficiary and transfers all of the beneficiary's interest in the annuity to the retiree.

(b) If a retiree complies with subsection (a) of this section, the system shall recompute the annuity as a standard cash balance annuity. The increase in the annuity under this section begins with the payment for the month following the month in which the request is filed.

(c) A retiree receiving an optional cash balance annuity may change the designated beneficiary in the same manner and subject to the same limitations provided by Tex. Gov't Code §814.008 for the change of a beneficiary after retirement.

Source Note: The provisions of this §76.7 adopted to be effective September 14, 2022, 47 TexReg 5498