Page 12 of 20 Rev. 5/2013
Option 4 – With respect to a member of Plan D, Plan X, Plan J, Plan A, Plan B and police and fire members of Plan
'10 only, there is no reduction in the monthly benefit in the event that the retired employee dies and no valid
beneficiary exists. With respect to a member of Plan A only, the retired member will receive retirement benefits in
the form of an annuity for life. If the retired member elected this option or dies without having elected any option,
one-half of the amount of the member’s retirement benefit, without reduction, shall be paid to the member’s
surviving spouse or life partner provided that they were married at least two (2) years or certified as a life partner for
at least two years as required under the Phila. Code Title 9-1106(2) including having on file a valid Verification as
required under Title 9-1106(2)(b) before retirement or the date on which a separated member became eligible to
apply for retirement benefits.
Upon the death of the surviving spouse or life partner, if there is no surviving spouse who qualifies under the
previous paragraph, the retirement benefit shall be paid to the dependent children, either natural or adopted, of the
deceased member until each child attains age eighteen (18) or, if any such child remains dependent because of
physical or mental infirmity, the duration of the infirmity. If there is no eligible child, the retirement benefit shall be
paid to the dependent parent or parents of the deceased. Upon election of the member at any time during the
member’s life, any benefit otherwise payable after the member’s death to a child who remains dependent at the time
of the member’s death because of physical or mental infirmity may instead be paid to a trust for the benefit of that
child, so long as the trust meets the following conditions:
(a) The beneficiary of the trust shall be irrevocable no later than the date of the election or death of the
member, whichever occurs first,
(b) The trust must be a valid trust under Pennsylvania law or would be but for the fact that there is no trust
corpus,
(c) The trust must be irrevocable,
(d) The beneficiaries of the trust must be identifiable from the trust instrument,
(e) A copy of the trust must be provided to the Pension Board within thirty (30) days of the date of the
member’s submission of the document designating the trust as a survivor, and
(f) In the case of an annual benefit to be paid monthly ―for life‖ under this Ordinance, the determining life s
hall be the lifetime of the irrevocable beneficiaries of the trust.
If there is no surviving spouse, dependent child or parent who qualifies, and the member dies before receiving
retirement benefits equal to his or her member contributions, the balance shall be paid to the member’s beneficiary.
Failure to choose option; members of plans not eligible for Option 4. If a member of Plan A, Plan B, Plan L, or
Plan Y retires without electing a retirement benefit option among Option 1, Option 2 and Option 3, the member shall
receive retirement benefits without actuarial reduction except for early retirement under § 22-303 (Optional Early
Retirement Benefits). Upon the member’s death, subject to the provisions of subsection (3), no further benefits will
be paid.
Failure to designate survivor. When a member of Plan A, Plan B, Plan L, or Plan Y retires without designating any
survivor and then dies, no further benefits will be paid; provided, however, that if such member is survived by a
spouse to whom the member had been married two (2) years or more and with whom the member was living at the
time of death, or with whom the member had one or more children who are under the age of eighteen (18) at the
time of the member’s death, the member shall be deemed to have designated such spouse as the survivor under
Option 1.
Change of option. Until retirement, a member may revoke the election of any option under this section, and may
elect any other option, except that only members of Plan D, Plan J or Plan X may elect Option 4. On retirement,
subject to the provisions of § 22-702 (Designation of Survivors), the last election of any of the foregoing options
shall be irrevocable.