§ 514. Options. a. A member, or if he or she is an incompetent, the
member's spouse or the committee of such member's property, may elect to
receive the actuarial equivalent of the retirement allowance at the time
of retirement, in the form of a smaller retirement allowance payable to
such member for life and one of the following optional settlements:

Option one. Upon the member's death, a retirement allowance in an
amount equal to that paid to the member shall be paid for life to the
beneficiary so designated.

Option two. Upon the member's death, a retirement allowance of ninety
percent or less (measured in increments of not less than ten percent) of
the amount paid to such member shall be paid for life to the beneficiary
so designated.

Option three. A five-year certain option under which payment is made
to the member for life but is guaranteed for a minimum of five years
following retirement.

Option four. A ten-year certain option under which payment is made to
the member for life but is guaranteed for a minimum of ten years
following retirement.

Option five. Upon the member's death, a retirement allowance in an
amount equal to fifty percent or one hundred percent of that paid to the
member shall be paid for life to such person as he shall nominate by
written designation duly acknowledged and filed with the retirement
system at the time of retirement. Upon the death, prior to the death of
the member, of said person so nominated, the member shall begin
receiving, in lieu of the allowance then payable, an allowance equal in
amount to that which would have been payable if no optional modification
of the retirement allowance were in effect.

a-1. A member of the New York state and local employees' retirement
system or the New York state and local police and fire retirement system
who retires pursuant to the provisions of this article, may elect, in
lieu of the options set forth in subdivision a of this section, the
following optional settlement:

Alternative Option. The actuarial equivalent of the member's
retirement allowance at the time of retirement, in the form of a smaller
retirement allowance payable to such members for life and some other
benefit or benefits paid either to the member or to such person or
persons as he shall nominate, provided such other benefit or benefits,
together with such smaller allowance, shall be certified by the actuary
of such retirement system to be of equivalent actuarial value to his
retirement allowance and shall be approved by the head of such
retirement system and provided further that nothing herein shall require
such retirement system to pay a benefit in violation of paragraph nine
of subsection a of section four hundred one of the Internal Revenue Code
of 1986, as amended, 26 U.S.C. § 401(a)(9).

b. Upon attainment of early retirement age or age sixty-two, if
earlier, a member who has not terminated employment or who is not
receiving service retirement, disability or vested benefits may elect a
survivor annuity under option one or option two to be payable on such
member's death during the period commencing with attainment of early
retirement age or age sixty-two, if earlier, and ending upon (i) the
attainment of normal retirement age or (ii) the date upon which service
retirement or deferred vested benefits commence, if earlier or later
than normal retirement age. In the event of an election hereunder, the
benefits payable to the member or the member's survivor shall be
actuarially reduced to reflect the cost of the survivor annuity elected.
Such survivor annuity shall be paid in lieu of any other death benefit
available, unless such death benefit is greater than such survivor
annuity, in which event the applicable death benefit shall be paid in
lieu of the survivor benefit hereunder.

c. No option hereunder shall be permitted whereby the member would
receive less than fifty percent of the pension reserve during such
member's life expectancy. Provided, however, the preceding sentence
shall not apply if the surviving beneficiary is the member's spouse.

** d. Notwithstanding any other provision of this article, an option
selection previously filed by a member or retired member subject to the
provisions of this section may be changed no later than thirty days
following the date of payability of his or her retirement allowance. A
retired member who has been retired for disability may change an option
selection previously filed no later than (1) thirty days following the
date on which such member's application for disability retirement was
approved by the retirement board or (2) thirty days following the date
on which such retiree was retired for disability, whichever is later.

** NB There are 2 sb d's

** d. Notwithstanding any other provision of this article, an option
selection previously filed by a member or retired member of the New York
city teachers' retirement system or the New York city board of education
retirement system subject to the provisions of this section may be
changed no later than thirty days following the date of payability of
his or her retirement allowance. A retired member who has been retired
for disability may change an option selection previously filed no later
than (1) thirty days following the date on which such member's
application for disability retirement was approved by the retirement
board or (2) thirty days following the date on which such retiree was
retired for disability, whichever date is later.

** NB There are 2 sb d's