ARTICLE 11.5. Deferred Retirement Option Program

Article 11.5 added by Stats. 2003, Ch. 897, Sec. 1.

§§ 31770–31779.3 · 34 sections

§ 31770 This article shall be known and may be cited as the “Deferred Retirement Option Program.”
§ 31770.1 (a) The Deferred Retirement Option Program is hereby created to provide eligible members who elect to participate in the program access to a lump sum, or in…
§ 31770.2 Unless the context otherwise requires, the definitions contained in this section govern the construction of this article: (a) “DROP” or “program” means the…
§ 31770.3 (a) This article, or selected provisions of this article, shall become effective in any county or district only when the county board of supervisors or…
§ 31770.4 (a) The board shall, upon the request of, and before adoption of, the implementing ordinance by the county board of supervisors or governing board of the…
§ 31770.5 (a) The implementing ordinance shall establish the eligibility requirements for participation in the program, subject to this section and the collective…
§ 31770.6 (a) Upon adoption of the implementing ordinance, the retirement system shall establish procedures for notifying members of their rights under the program. (b)…
§ 31770.7 The right of a participant to benefits under the program is not subject to execution or any other process, except to the extent permitted by Section 704.110 of…
§ 31770.8 The rights of a participant or his or her spouse under the program shall be subject to any applicable provisions of law or court orders relating to dissolution…
§ 31771 The provisions of this section to Section 31776.5, inclusive, shall be referred to collectively as the “forward DROP provisions.”
§ 31771.1 (a) Any member who elects to participate in the forward DROP provisions of the program shall make the election on a form prescribed and retained by the board.…
§ 31771.2 (a) On and after the election date, the participant shall cease to accrue retirement benefits under this chapter, and instead shall begin to accrue benefits…
§ 31771.3 The implementing ordinance shall specify, based on the results of the actuarial analysis and the requirement that the program be cost neutral, as described in…
§ 31772 (a) A program account shall be established within the system for each participant. No system assets shall be separately segregated for any program account. A…
§ 31772.1 The board shall provide a statement to the participant that displays the value or balance of the participant’s program account and summarizes any credits to…
§ 31773 (a) If a participant dies during the program period, he or she shall be deemed to have died while eligible for retirement and his or her benefits shall be…
§ 31774 If a participant becomes eligible for disability retirement due to an injury or illness occurring during the program period or pursuant to Section 31720.5,…
§ 31775 Participation in the program shall be terminated, and the member will not have a right or claim to any continuing benefits under the program upon the first…
§ 31776 Participation in the program shall be completed and the participant shall be entitled to benefits under the program upon the first occurrence of either of the…
§ 31776.1 Upon termination of employment and retirement for service under the system, a participant shall: (a) Receive a distribution, in the manner prescribed in…
§ 31776.2 The participant’s monthly allowance shall be an amount equal to the monthly allowance the participant would have received if he or she had retired for service…
§ 31776.3 (a) Unless the implementing ordinance otherwise provides, the balance in the participant’s program account shall be distributed to the participant in a single…
§ 31776.4 (a) A participant may designate a person or persons as beneficiaries of the balance in the participant’s program account at any time during the program period.…
§ 31776.5 The final compensation calculated under Section 31776.2 shall be the member’s final compensation for purposes of calculating any reciprocal benefits due the…
§ 31777 (a) The provisions of this section shall be referred to as the “actuarial equivalent DROP provisions.” (b) A member who retires for service on or after the…
§ 31778 The provisions of this section through those of Section 31778.2, inclusive, shall be referred to collectively as the “backward DROP provisions.” A member who…
§ 31778.1 A member who makes the election described in Section 31778 shall receive a one-time lump-sum payment upon retirement in an amount as calculated below. (a) A…
§ 31778.2 (a) If a participant dies during the period from the deferred calculation date to the election date, he or she shall be deemed to have died while eligible for…
§ 31778.3 (a) A participant may designate a person or persons as beneficiaries of the participant’s program account at any time during the period from the deferred…
§ 31778.4 Upon termination of employment and retirement from the system, a member who has elected to participate in the program shall receive the member’s program…
§ 31779 (a) After the program has been in effect for a period of at least four years and not more than 10 years, as specified in the implementing ordinance, or up to…
§ 31779.1 The rights of a participant who has retired under the program, whose deferred retirement calculation date, or whose program period is in effect at the time the…
§ 31779.2 If the program is modified pursuant to paragraph (2) of subdivision (b) of Section 31779, participants who entered, or who were eligible for, the program prior…
§ 31779.3 As long as the program remains in effect, either as originally adopted or as modified pursuant to paragraph (2) of subdivision (b) of Section 31779, the board…