SECTION B

SURVIVOR BENEFITS

Effective July 16, 2003, the retirement benefits shall include Fourth Level of 1959 Survivor Benefits under section 21574 of the California Government Code and Post-Retirement Survivor Allowance to Continue After Remarriage under Section 21266 of the California Government Code. The cost of this benefit will be paid by employees. To the extent that the miscellaneous employees' surplus, held at PERS, is available to abate the cost payment, then this cost will be made from such funds. (Move from First Level to Fourth Level July 2003)

Effective July 16, 2003, the PERS Pre-Retirement Optional Settlement 2 Death Benefit under section 21548 will be implemented. This will be implemented at no cost to the employee.

The spouse of a deceased member, who was eligible to retire from service at the time of death, may elect to receive the Pre-Retirement Optional Settlement 2 Death Benefit in lieu of the lump sum Basic Death Benefit. The benefit is a monthly allowance equal to the amount the member would have received if he/she had retired from service on the date of death and elected Optional Settlement 2, the highest monthly allowance a member can leave a spouse.