Oklahoma 2023 Regular Session

Oklahoma Senate Bill SB634 Compare Versions

Version 1 (Old)

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29		-	SENATE FLOOR VERSION
30		-	March 1, 2023
	28	+	STATE OF OKLAHOMA
31	29
	30	+	1st Session of the 59th Legislature (2023)
32	31
33	32		COMMITTEE SUBSTITUTE
34	33		FOR
35		-	SENATE BILL ~~NO.~~ 634 By: Montgomery
	34	+	SENATE BILL 634 By: Montgomery
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40	39
41		-	[ Teachers’ Retirement System of Oklahoma -
42		-	retirement benefits - forms - payment - benefit
43		-	amount - effective date ]
	40	+	COMMITTEE SUBSTITUTE
	41	+
	42	+	An Act relating to the Teachers’ Retirement System of
	43	+	Oklahoma; amending 70 O.S. 2021, Sections 17-105 and
	44	+	17-105.2, which relate to retirement benefits and
	45	+	partial lump-sum payments; requiring certain death
	46	+	benefit payments be made by certain date; requiring
	47	+	certain forms be transmitted and electronically
	48	+	published; authorizing certain retirement ben efit
	49	+	payment for specific members; providing calculation
	50	+	for benefit amount; updating statutory reference and
	51	+	language; and providing an effecti ve date.
	52	+
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47	56		BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
48	57		SECTION 1. AMENDATORY 70 O.S. 2021, Section 17 -105, is
49	58		amended to read as follows:
50	59		Section 17-105. (1) (a) Any member who has attained age
51	60		fifty-five (55) or who has completed thirty (30) years of creditable
52	61		service, as defined in Section 17-101 of this title, or for any
53	62		person who initially became a member prior to July 1, 1 992,
54	63		regardless of whether there were breaks in service after July 1,
55	64		1992, whose age and number of years of creditable service total
56	65		eighty (80) may be retired upon proper application for reti rement on
57		-	forms established by the Teachers’ Retirement System of Oklahoma and
58		-	executing a retirement contract. Such a retirement date will also
59		-	apply to any person who became a me mber of the sending system as
60		-	defined in this act Section 17-101 et seq. of this title, prior to
61		-	July 1, 1992, regardless of whether there were b reaks in service
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	92	+	forms established by the Teachers’ Retirement System of Oklahoma and
	93	+	executing a retirement contract. Such a retirement date will also
	94	+	apply to any person who became a member of the sending system as
	95	+	defined in this act Section 17-101 et seq. of this title, prior to
	96	+	July 1, 1992, regardless of whether there were b reaks in service
89	97		after July 1, 1992. Any person who became a m ember after June 30,
90	98		1992, but prior to November 1, 2011, whose age and number of years
91	99		of creditable service total ninety (90) may be retired upon pr oper
92	100		application for retirement and executi ng a retirement contract. Any
93	101		person who becomes a member on o r after November 1, 2011, who
94	102		attains the age of sixty -five (65) years or who reaches a normal
95	103		retirement date pursuant to subparagraph (d) of paragra ph (24) of
96	104		Section 17-101 of this title hav ing attained a minimum age of sixty
97	105		(60) years may be retired u pon proper application for retirement and
98	106		executing a retirement contract. The application shall be filed on
99	107		the form provided by the Board of Truste es for this purpose, not
100	108		less than sixty (60) days before the date of retirement, provided
101	109		that the Executive Director may waive the sixty -day deadline for
102	110		good cause shown as defined by the Board.
103	111		1. The employer shall provide t he System with the
104	112		following information for a retiring member, no lat er
105	113		than the fifteenth day of the month of retirement:
106	114		last day physically on the job; last day on payroll;
107		-	any regular compensation not already reported to the
108		-	System; and final unused sick leave balance.
109		-	2. Failure to submit this information by the deadli ne, or
110		-	errors in submitted information that result in a
111		-	disqualification of retirement eligibility shall be
112		-	the responsibility of the employer. In cases where
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	141	+	any regular compensation not already reported to the
	142	+	System; and final unused sick leave balance.
	143	+	2. Failure to submit this information by the deadli ne, or
	144	+	errors in submitted information that result in a
	145	+	disqualification of retirement eligibility shall be
	146	+	the responsibility of the employer. In cases where
140	147		the error results in disq ualification of retirement
141	148		eligibility, it is the employer ’s responsibility to
142	149		reemploy the member, or retain the member on the
143	150		payroll, for the time period required to reach
144	151		eligibility, not exceeding two (2) months.
145	152		(b) An individual who becomes a membe r of the Teachers’
146	153		Retirement System on or after November 1, 2017, shal l be employed by
147	154		the public schools, state colleges or universi ties of Oklahoma for a
148	155		minimum of seven (7) years and be a contributing member of the
149	156		Teachers’ Retirement System of Oklah oma for a minimum of seven ( 7)
150	157		years to qualify for monthly retirement benefits from the Teachers ’
151	158		Retirement System of Oklahoma.
152	159		(c) Any member with seven (7) or more years of Oklahoma
153	160		teaching service and whose accumulated contributions during such
154	161		period have not been withdrawn s hall be given an indefinite
155	162		extension of membership beginning with the sixth year following his
156	163		or her last contributing membership and shall become eligible to
157		-	apply for retirement and be retired upon attaining age fifty -five
158		-	(55).
159		-	(2) An unclassified op tional member who has retired or who
160		-	retires at sixty-two (62) years of age or older or whose retirement
161		-	is because of disability shall have his or her m inimum retirement
162		-	benefits calculated on an average salary of Five Thousand Three
163		-	Hundred Fifty Dollars ($5,350.00) or, if a larger monthly allowa nce
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	190	+	apply for retirement and be retired upon attaining age fifty -five
	191	+	(55).
	192	+	(2) An unclassified op tional member who has retired or who
	193	+	retires at sixty-two (62) years of age or older or whose retirement
	194	+	is because of disability shall have his or her minimum retirement
	195	+	benefits calculated on an average salary of Five Thousand Three
	196	+	Hundred Fifty Dollars ($5,350.00) or, if a larger monthly allowa nce
191	197		would result, an amount arrived at pursuant to application of the
192	198		formula prescribed herein.
193	199		(3) No member shall receive a lesser retirement benefit than he
194	200		or she would have recei ved under the law in effect at the time he or
195	201		she retired. Any individ ual under the Teachers ’ Retirement System,
196	202		who through error in stating the title of the position which he or
197	203		she held, may, at the discretion of the Board of Trustees, be
198	204		changed from the nonclassified optional g roup to the classified
199	205		group for the purpos e of calculating retirement benefits.
200	206		Any individual regardless of residence, who has a minimum of ten
201	207		(10) years of teaching in Oklahoma schools prior to July 1, 1943, or
202	208		who taught in Oklahoma schools prior to 1 934 and thereafter taught a
203	209		minimum of ten (10) years and who does not qualify under the present
204	210		retirement System system, or who has a minimum of thirty (30) years
205	211		of teaching in Oklahoma schools and has reached seventy (70) ye ars
206	212		of age prior to July 1, 1984, a nd is not otherwise eligible to
207	213		receive any benefits from the retirement system shall receive a
208		-	minimum of One Hundred Fifty Dollars ($150.00) per month in
209		-	retirement benefits from the Teachers ’ Retirement System of Oklah oma
210		-	plus any general increase in be nefits for annuitants as may be
211		-	provided hereafter by the Legislature. Each individual must apply
212		-	to the Teachers’ Retirement System for such ben efit and provide
213		-	evidence to the Teachers ’ Retirement System that the servi ce was
214		-	actually rendered. The surv iving spouse of any person who made
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	240	+	minimum of One Hundred Fifty Dollars ($150.00) per month in
	241	+	retirement benefits from the Teachers ’ Retirement System of Oklah oma
	242	+	plus any general increase in be nefits for annuitants as may be
	243	+	provided hereafter by the Legislature. Each individual must apply
	244	+	to the Teachers’ Retirement System for such benefit and provide
	245	+	evidence to the Teachers ’ Retirement System that the servi ce was
	246	+	actually rendered. The surv iving spouse of any person who made
242	247		application for the benefit provided for by this paragraph during
243	248		his or her lifetime but did not receive the benefit may submit an
244	249		application to the System for payment of the benefit for those
245	250		months during the lifetim e of the deceased person that he or she was
246	251		eligible for but did not receive the benefit. Upon approval of the
247	252		application by the Board of Trustees, the benefit shall be paid to
248	253		the surviving spouse in one lump sum .
249	254		(4) The value of each year of prior service is the total
250	255		monthly retirement benef it divided by the number of years of
251	256		creditable service.
252	257		(5) Upon application of a member who is actively engaged in
253	258		teaching in Oklahoma or his or her employer, any member who has been
254	259		a contributing member fo r ten (10) years may be retired by the
255	260		System subsequent to the execution and filing thereof, on a
256	261		disability retirement allowance, provided that it is found by the
257	262		Medical Board after medical examination of such member by a duly
258	263		qualified physician that s uch member is mentally or physically
259		-	incapacitated for further performance of duty, that such incapacity
260		-	is likely to be permanent, and that such me mber should be retired.
261		-	The System shall rely on and give full considerati on to the
262		-	conclusions and recomme ndations in the certified written report of
263		-	the Medical Board of the Teachers ’ Retirement System regarding t he
264		-	disability application of such member . If the Medical Board does
265		-	not find that a member applying for disability retirement is
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	290	+	incapacitated for further performance of duty, that such incapacity
	291	+	is likely to be permanent, and that such member should be retired.
	292	+	The System shall rely on and give full considerati on to the
	293	+	conclusions and recomme ndations in the certified written report of
	294	+	the Medical Board of the Teachers ’ Retirement System regarding t he
	295	+	disability application of such member. If the Medical Board does
	296	+	not find that a member applying for disability retirement is
293	297		mentally or physically incapacitated for performance of duty or
294	298		otherwise eligible for a disability retirement, the applicatio n
295	299		shall then be considered by the Board of Trustees. If a member is
296	300		determined to be eligible for disability benef its pursuant to the
297	301		Social Security System system, then such determination shall enti tle
298	302		the member to the authorized disability retirement allowanc e
299	303		provided by law. For members who are not eligible for disability
300	304		benefits pursuant to the Social Security System system, the Board of
301	305		Trustees and the Medical Board shall apply the same standard fo r
302	306		which provision is made in the first two sentences of this
303	307		subsection for determining the eligibility of a person for such
304	308		disability benefits in making a determi nation of eligibility for
305	309		disability benefits a s authorized by this subsection.
306	310		(6) (a) A member who at the time of retirement has been found
307	311		to be permanently physically or mentally incapacitated to perform
308	312		the necessary duties to continue in his or her current position
309	313		shall receive a minimum month ly retirement payment for life or until
310		-	such time as the member may be found to be recovered to the point
311		-	where he or she may return t o teaching. Any member retired before
312		-	July 1, 1992, shall be eligible to r eceive the monthly retirement
313		-	allowance herein provided, but such payment shall not begin un til
314		-	the first payment due him or her after July 1, 1992, and sh all not
315		-	be retroactive. The Board of Trustees is empowered to make such
316		-	rules and regulations as it considers proper to preserve equity in
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	340	+	such time as the member may be found to be recovered to the point
	341	+	where he or she may return to teaching. Any member retired before
	342	+	July 1, 1992, shall be eligible to r eceive the monthly retirement
	343	+	allowance herein provided, but such payment shall not begin un til
	344	+	the first payment due him or her after July 1, 1992, and sh all not
	345	+	be retroactive. The Board of Trustees is empowered to make such
	346	+	rules and regulations as it considers proper to preserve equity in
344	347		retirements under this provision, which shall include a provision to
345	348		protect the rights of the member ’s spouse.
346	349		(b) A member who has qualified for retirement benefits under
347	350		disability retirement shall have the total monthly payment deducted
348	351		from his or her accumu lated contributions plus interest earned and
349	352		any money remaining in the member ’s account after the above
350	353		deductions at the death of the member shall be paid in a lump sum to
351	354		the beneficiary or to the estate of the member. Provided, if the
352	355		deceased disabled member had thirty (30) years or more of cre ditable
353	356		service and the death occurred after June 30, 1981, and death
354	357		occurred prior to the disabled member receiving twelve monthly
355	358		retirement payments, a survivin g spouse may elect to receive the
356	359		retirement benefit to which the deceased member would have been
357	360		entitled at the time of death under the Option 2 Plan of Retirement
358	361		provided for in subsection (8) of this section in lieu of the death
359	362		benefit provided for i n this subsection and in subsection (12) of
360	363		this section.
361		-	(c) Once each year the System may require any disabled
362		-	annuitant who has not yet attained the ag e of sixty (60) years to
363		-	undergo a medical examination, such examination to be made at the
364		-	place of residence for the disabled annuitant or other pl ace
365		-	mutually agreed upon by a physician or ph ysicians designated by the
366		-	System. Should any disabled annuita nt who has not yet attaine d the
367		-	age of sixty (60) years refuse to submit to at least one medical
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	390	+	(c) Once each year the System may require any disabled
	391	+	annuitant who has not yet attained the ag e of sixty (60) years to
	392	+	undergo a medical examination, such examination to be made at the
	393	+	place of residence for the disabled annuitant or other pl ace
	394	+	mutually agreed upon by a physician or ph ysicians designated by the
	395	+	System. Should any disabled annuita nt who has not yet attained the
	396	+	age of sixty (60) years refuse to submit to at least one medical
395	397		examination in any such year by a physician or phys icians designated
396	398		by the System his or her al lowance may be discontinued until he or
397	399		she submits to such exa mination.
398	400		(d) Should the Medical Board report and certify to the Board of
399	401		Trustees that such disable d annuitant is engaged in or is able to
400	402		engage in a gainful occupation paying more than the difference
401	403		between his or her retirement allowance and the aver age final
402	404		compensation, and should the Board of Trustees concur in such report
403	405		then the amount of his or her pension shall be reduced to an amount
404	406		which, together with his or her retirement all owance and that amount
405	407		earnable by him or her, shall equal the amount of his or her average
406	408		final compensation. Should his or her earning capacity be later
407	409		increased, the amount of his or her pension may be fur ther modified,
408	410		provided the new pension shall not exceed that amount of the pension
409	411		originally granted nor a n amount, which when added to the amount
410	412		earnable by the member, together with his or her annuity, eq uals the
411	413		amount of his or her average final com pensation.
412		-	(e) Should a disabled annuitant b e restored to active service,
413		-	his or her disability retirement allowance shall cease and he or she
414		-	shall again become a member of the Teachers ’ Retirement System an d
415		-	shall make regular contributions as required under this article.
416		-	The unused portion of hi s or her accumulated contributions shall be
417		-	reestablished to his or her credit in the Tea chers’ Savings Fund.
418		-	Any such prior service certificates on the basis of w hich his or her
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	440	+	(e) Should a disabled annuitant b e restored to active service,
	441	+	his or her disability retirement allowance shall cease and he or she
	442	+	shall again become a member of the Teachers ’ Retirement System an d
	443	+	shall make regular contributions as required under this article.
	444	+	The unused portion of hi s or her accumulated contributions shall be
	445	+	reestablished to his or her credit in the Teachers ’ Savings Fund.
	446	+	Any such prior service certificates on the basis of w hich his or her
446	447		service was computed at the tim e of his or her retirement shall be
447	448		restored to full force and effect.
448	449		(7) Should a member before retiremen t under Section 1-101 et
449	450		seq. of this title make application for withdrawal duly filed with
450	451		the System, not earlier than four (4) months after the d ate of
451	452		termination of such service as a teach er, the contribution standing
452	453		to the credit of his or her indiv idual account in the Teachers ’
453	454		Savings Fund shall be paid to him or her or, in the event of his or
454	455		her death before retirement, shall be paid to suc h person or persons
455	456		as he or she shall have n ominated by written designation, duly
456	457		executed and filed with t he System; provided, however, if there be
457	458		no designated beneficiary surviving upon such death, such
458	459		contributions shall be paid to his or her admini strators, executors,
459	460		or assigns, together wit h interest as hereinafter provided .
460	461		In lieu of a lump-sum settlement at the death of the member, the
461	462		amount of money the member has on deposit in the Teachers ’ Savings
462	463		Fund and the money the member has on depo sit in the Teachers’
463		-	Deposit Fund may be paid i n monthly payments to a designated
464		-	beneficiary, who must be th e spouse, under the Maximum or Option 1
465		-	Plan of Retirement providing the monthly payment shall be not less
466		-	than Twenty-five Dollars ($25.00) per mo nth. The monthly payment
467		-	shall be the actuaria l equivalent of the amount becoming due at the
468		-	member’s death based on the sex of the spo use and the age the spouse
469		-	has attained at the last birthday prior to the m ember’s death.
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496	489
	490	+	Deposit Fund may be paid i n monthly payments to a designated
	491	+	beneficiary, who must be th e spouse, under the Maximum or Option 1
	492	+	Plan of Retirement providing the monthly payment shall be not less
	493	+	than Twenty-five Dollars ($25.00) per mo nth. The monthly payment
	494	+	shall be the actuaria l equivalent of the amount becoming due at the
	495	+	member’s death based on the sex of the spouse and the age the spouse
	496	+	has attained at the last birthday prior to the m ember’s death.
497	497		Provided further, if there be no designated beneficiary surviving
498	498		upon such death, and the contributions standing to the credit of
499	499		such member do not exceed Two Hundred Dollars ($200.00), no part of
500	500		such contributions shall be subject to th e payment of any expense of
501	501		the last illness or funeral of the deceased member or any expens e of
502	502		administration of the estate of such deceased and the Sys tem, upon
503	503		satisfactory proof of the death of such member and of the name or
504	504		names of the person or per sons who would be entitled to receive such
505	505		contributions under the laws of descent and distr ibution of the
506	506		state, may authorize the payment of accumulated contributions to
507	507		such person or persons. A member terminating his or her membership
508	508		by withdrawal after June 30, 2003, shall have the interest co mputed
509	509		at a rate of interest determined by the Board of Trustees and paid
510	510		to him or her subject to the follow ing schedule:
511	511		(a) If termination occurs within sixteen (16) years from the
512	512		date membership began, fif ty percent (50%) of such interest
513	513		accumulations shall be paid.
514		-	(b) With at least sixteen (1 6) but less than twenty -one (21)
515		-	years of membership, sixty pe rcent (60%) of such interes t
516		-	accumulations shall be paid.
517		-	(c) With at least twenty -one (21) but less than twenty-six (26)
518		-	years of membership, sev enty-five percent (75%) of such interest
519		-	accumulations shall be paid.
520	514
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	515	+	Req. No. 1722 Page 11 1
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	540	+	(b) With at least sixteen (1 6) but less than twenty -one (21)
	541	+	years of membership, sixty pe rcent (60%) of such interest
	542	+	accumulations shall be paid.
	543	+	(c) With at least twenty -one (21) but less than twenty-six (26)
	544	+	years of membership, sev enty-five percent (75%) of such interest
	545	+	accumulations shall be paid.
547	546		(d) With at least twenty -six (26) years of membership, ninety
548	547		percent (90%) of such interest accumulations shall be paid.
549	548		In case of death of an active member, the interest shall be
550	549		calculated and restored to the member ’s account and paid to his or
551	550		her beneficiary.
552	551		(8) (a) In lieu of his or her retirement allowance payable
553	552		throughout life for such an amount as determined under this section,
554	553		the member may select a retirement allowance for a reduced amount
555	554		payable under any of the f ollowing options the present value of
556	555		which is the actuarial e quivalent thereof.
557	556		(b) A member may select the option under which he or she
558	557		desires to retire at the end of the school year in which he or she
559	558		attains age seventy (70) and the option shall be b inding and cannot
560	559		be changed. Provided further that if a memb er retires before age
561	560		seventy (70), no election of an option shall be effective in case an
562	561		annuitant dies before the first payment due under such o ption has
563	562		been received.
564		-	(c) The first payment of any benefit selected shall be made on
565		-	the first day of the month following approval o f the retirement by
566		-	the System. If the named designated joint annuitant un der Option 2
567		-	or 3 Plan of Retirement dies at any time after the member’s
568		-	retirement date, but before the death of the member, the member
569		-	shall return to the retirement benef it, including any post
570		-	retirement postretirement benefit increases the member would have
571	563
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573		-	(Bold face denotes Committee Amendments) 1
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	589	+	(c) The first payment of any benefit selected shall be made on
	590	+	the first day of the month following approval of the retirement by
	591	+	the System. If the named designated joint annuitant un der Option 2
	592	+	or 3 Plan of Retirement dies at any time after the member’s
	593	+	retirement date, but before the death of the member, the member
	594	+	shall return to the retirement benef it, including any post
	595	+	retirement postretirement benefit increases the member would have
598	596		received had the member not selected Option 2 or 3 Plan of
599	597		Retirement of this subsection. T he benefit shall be determined a t
600	598		the date of death of the designated joint annuitant. This increase
601	599		shall become effective the first day of the month follow ing the date
602	600		of death of the designated joint annuitant, and shall be payable for
603	601		the member’s remaining lifetime. The member sha ll notify the
604	602		Teachers’ Retirement System of Oklahoma of the death of the
605	603		designated joint annuitant in writing. In the absen ce of the
606	604		written notice being filed by the member notifying the Teachers ’
607	605		Retirement System of Ok lahoma of the death of the desig nated joint
608	606		annuitant within six (6) months of the date of death, nothing in
609	607		this subsection shall require the Teachers ’ Retirement System of
610	608		Oklahoma to pay more than six (6) months of retrospective benefits
611	609		increase.
612	610		Option 1. If he or she dies before h e or she has received in
613	611		annuity payments the present value of his or her ann uity as it was
614	612		at the time of his or her retireme nt, the balance shall be paid to
615		-	his or her legal representatives or to such person as he or she
616		-	shall nominate by written designa tion duly acknowledged and filed
617		-	with the System at the time of his or her retirement; or
618		-	Option 2. A member takes a reduced retirement allowance for
619		-	life. Upon the death of the member the payments shall continue to
620		-	the member’s designated joint annuitan t for the life of the joint
621		-	annuitant. The written designation of the joint annuitant must be
622	613
623		-	SENATE FLOOR VERSION - SB634 SFLR Page 13
624		-	(Bold face denotes Committee Amendments) 1
	614	+	Req. No. 1722 Page 13 1
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	639	+	his or her legal representatives or to such person as he or she
	640	+	shall nominate by written designa tion duly acknowledged and filed
	641	+	with the System at the time of his or her re tirement; or
	642	+	Option 2. A member takes a reduced retirement allowance for
	643	+	life. Upon the death of the member the payments shall continue to
	644	+	the member’s designated joint annuitan t for the life of the joint
	645	+	annuitant. The written designation of the joint annuitant must be
649	646		duly acknowledged and filed wit h the System at the time of the
650	647		member’s retirement and, except as provided in paragraph (e) of th is
651	648		subsection, cannot be changed after the effective date of the
652	649		member’s retirement; or
653	650		Option 3. A member receives a reduced retirement allowance for
654	651		life. Upon the death of the member one -half (1/2) of the retirement
655	652		allowance paid the member shall be continued throughout the life o f
656	653		the designated joint annuitant. A written designation of a joint
657	654		annuitant must be duly acknowledged and filed with the Sys tem at the
658	655		time of the member’s retirement and, except as provided in paragraph
659	656		(e) of this subsection, cannot be changed after th e effective date
660	657		of the member’s retirement; or
661	658		Option 4. Some other benefit or benefits shall be paid either
662	659		to the member or to such joint annuitant as he or she shall
663	660		nominate, provided such other benefit or benefits, to gether with the
664	661		reduced retirement allowance, shall be certified by the actuary to
665		-	be of equivalent actuarial value to his or her retirement allowance
666		-	and shall be approved by the System.
667		-	(d) Provided that Option 2 Plan of Retirement and Option 3 Plan
668		-	of Retirement shall not be available if t he member’s expected
669		-	benefit is less than fifty percent (50%) of the lump-sum actuarial
670		-	equivalent and the de signated joint annuitant is not the spouse of
671		-	the member.
672	662
673		-	SENATE FLOOR VERSION - SB634 SFLR Page 14
674		-	(Bold face denotes Committee Amendments) 1
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	688	+	be of equivalent actuarial value to his or her retirement allowance
	689	+	and shall be approved by the System.
	690	+	(d) Provided that Option 2 Plan of Retirement and Option 3 Plan
	691	+	of Retirement shall not be available if t he member’s expected
	692	+	benefit is less than fifty percent (50%) of the lump -sum actuarial
	693	+	equivalent and the de signated joint annuitant is not the spouse of
	694	+	the member.
699	695		(e) A member who chose the maximum retirement benefit plan at
700	696		the time of retirement may make a one-time election to cho ose either
701	697		Option 2 or 3 Plan of Retirement and name the member’s spouse as
702	698		designated joint annuitant if the member marries after making the
703	699		initial election. Such an election shall be made within one (1)
704	700		year of the date of marriage. The m ember shall provide proof of a
705	701		member’s good health before the System will permit a change to
706	702		either Option 2 or 3 Plan of Retirement and the naming of a
707	703		designated joint annuitant. A medical examination conducted by a
708	704		licensed physician is required for purposes of determin ing good
709	705		health. Such examinati on must be approved by the Medical Board.
710	706		The member shall be required to pr ovide proof of age for the new
711	707		joint annuitant. The System shall adjust the monthly benefit to the
712	708		actuarially equivalent amount based on the new designated joint
713	709		annuitant’s age. The Board of Trustees shall promulgate rules to
714	710		implement the provisions o f this subsection.
715		-	(f) A member who retires after the effective date of this act
716		-	July 1, 2010, and has selected a retirement allowance for a reduced
717		-	amount payable under one of the options pro vided for in this
718		-	subsection may make a one-time irrevocable election to sele ct a
719		-	different option within sixty (60) days of the member ’s retirement
720		-	date. The beneficiary or joint annuitant designated by the member
721		-	at the time of retirement shall not be c hanged if the member makes
722		-	the election provided for in this paragraph.
723	711
724		-	SENATE FLOOR VERSION - SB634 SFLR Page 15
725		-	(Bold face denotes Committee Amendments) 1
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	737	+	(f) A member who retires after the effective date of this act
	738	+	July 1, 2010, and has selected a retirement allowance for a reduced
	739	+	amount payable under one of the options pro vided for in this
	740	+	subsection may make a one-time irrevocable election to sele ct a
	741	+	different option within sixty (60) days of the member ’s retirement
	742	+	date. The beneficiary or joint annuitant designated by the member
	743	+	at the time of retirement shall not be c hanged if the member makes
	744	+	the election provided for in this paragraph.
750	745		(g) Any individual who is eligible to be a beneficiary or joint
751	746		annuitant of a member under this subsection, and who is also a
752	747		beneficiary of a trust c reated under the Oklahoma Discre tionary and
753	748		Special Needs Trust Act, Section 175.81 et seq. of Title 60 of th e
754	749		Oklahoma Statutes, or a comparable Trust Act created under the laws
755	750		of another state, hereinafter collectively referred to as “Trust
756	751		Acts”, may be a beneficiary or joint annuita nt under this subsection
757	752		by having the trustee of the trust established for t he benefit of
758	753		that individual named as the legal beneficiary or joint annuitant
759	754		under this subsection. The age of that beneficiary shall be used
760	755		for calculating any benefit payab le to the trust under this
761	756		subsection. The beneficiary of such a trust shall be treated as the
762	757		beneficiary or joint annuitant under this subsection except that
763	758		payments of any benefits due under this subsection shall be pay able
764	759		to the lawfully appointed t rustee of the trust. The obligation of
765	760		the System to pay the beneficiary or joint annuitant under this
766		-	subsection shall be satisfied by payment to the trustee whom the
767		-	System, in good faith, believes to be the lawful ly appointed
768		-	trustee. Any conflict bet ween the statutes creating and gover ning
769		-	the Teachers’ Retirement System in S ection 17-101 et seq. of this
770		-	title and the provisions of any Trust Act referred to above shall be
771		-	resolved in favor of the statutes governi ng the System. If an
772		-	eligible beneficiary or joint annuitant is named at t he time of
773		-	retirement, and becomes a bene ficiary of a trust under one of the
774	761
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	787	+	subsection shall be satisfied by payment to the trustee whom the
	788	+	System, in good faith, believes to be the lawfully appo inted
	789	+	trustee. Any conflict bet ween the statutes creating and gover ning
	790	+	the Teachers’ Retirement System in S ection 17-101 et seq. of this
	791	+	title and the provisions of any Trust Act referred to above shall be
	792	+	resolved in favor of the statutes governing the System. If an
	793	+	eligible beneficiary or joint annuitant is named at t he time of
	794	+	retirement, and becomes a bene ficiary of a trust under one of the
801	795		Trust Acts described herein after that time, the System will
802	796		acknowledge the trust as the beneficiary upon the submission of
803	797		adequate documentation of the existence of the trust. All other
804	798		provisions of this subsection shall apply to these subsequently
805	799		created trusts.
806	800		(h) The Board of Trustees of the System may recognize other
807	801		trusts set up for the benefit of ind ividuals otherwise eligible to
808	802		be named as a beneficiary or joint an nuitant under this subsection
809	803		by administrative rule if it can be done without undue additional
810	804		administrative expense of the System.
811	805		(9) The governing board of any “public school”, as that term is
812	806		defined in Section 17 -101 of this title, is hereby author ized and
813	807		empowered to pay additional reti rement allowances or compensation to
814	808		any person who was in the employ of such public school for not less
815	809		than seven (7) school years preceding the date of his or her
816	810		retirement. Payments so made shall be a proper c harge against the
817		-	current appropriation o r appropriations of any such public school
818		-	for salaries for the fiscal year in which such payments are made.
819		-	Such payments shall be made in regular monthly installments in such
820		-	amounts as the governing board of any such public school, in its
821		-	judgment, shall determine to be reasonable and appropriate in view
822		-	of the length and type of service rendered by any such person to
823		-	such public school by which such person was employed at the time of
824		-	retirement. All such additi onal payments shall be uniform, based
825	811
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	837	+	current appropriation o r appropriations of any such public school
	838	+	for salaries for the fiscal year in which such payments are made.
	839	+	Such payments shall be made in regula r monthly installments in such
	840	+	amounts as the governing board of any such public school, in its
	841	+	judgment, shall determine to be reasonable and appropriate in view
	842	+	of the length and type of service rendered by any such person to
	843	+	such public school by which such person was employed at the time of
	844	+	retirement. All such additi onal payments shall be uniform, based
852	845		upon the length of service and the type of services performed, to
853	846		persons formerly employed by such public school who have retired or
854	847		been retired in accordance with the provisions o f Section 17-101 et
855	848		seq. of this title.
856	849		The governing board of any such publi c school may adopt rules
857	850		and regulations of general application outlining the terms and
858	851		conditions under which such additional retirement benefits shall be
859	852		paid, and all decisions of such board shall be final.
860	853		(10) In addition to the teachers ’ retirement herein provided,
861	854		teachers may voluntarily avail themselves of the Federal federal
862	855		Social Security Program program upon a district basis.
863	856		(11) Upon the death of an in-service member, the System s hall
864	857		pay to the designated beneficiary of the member or, if there is no
865	858		designated beneficiary or if the designated beneficiary predeceases
866	859		the member, to the estate of the member, the sum of Eighteen
867	860		Thousand Dollars ($18,0 00.00) as a death benefit. Prov ided, if the
868		-	deceased member had ten (10) years or more of creditable service ,
869		-	the member’s designated beneficiary may elect to receive the
870		-	retirement benefit to which the deceased member would have be en
871		-	entitled at the time of death under the Option 2 plan of retirement
872		-	Plan of Retirement in lieu of the death benefit provided for in this
873		-	subsection. Provided further, the option provided in this
874		-	subsection is only available when the member has designat ed one
875		-	individual as the designated benefi ciary. The beneficiary or
876	861
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	887	+	deceased member had ten (10) years or more of creditable service ,
	888	+	the member’s designated beneficiary may elect to receive the
	889	+	retirement benefit to which the deceased member would have been
	890	+	entitled at the time of death under the Option 2 plan of retirement
	891	+	Plan of Retirement in lieu of the death benefit provided for in this
	892	+	subsection. Provided further, the option provided in this
	893	+	subsection is only available when the member has designated one
	894	+	individual as the designated benefi ciary. The beneficiary or
903	895		beneficiaries of death benefits in the amount not to exceed Eighteen
904	896		Thousand Dollars ($18,000.00), but exclusive of any retirement
905	897		benefit received by an electing beneficiary based upon creditable
906	898		service performed by the deceas ed member, which are provided
907	899		pursuant to this subsection may elect to disclaim such death
908	900		benefits in which case such benefits will be transferred to a person
909	901		licensed as a funeral director or to a lawfully recognized business
910	902		entity licensed as required by law to provide funeral servic es for
911	903		the deceased member. The qualified disclaimer must be in writing
912	904		and will be an irrevocable and an unqualified refusal to accept all
913	905		or a portion of the death benefit. It must shall be received by the
914	906		transferor no more than nine (9) months one (1) month after the
915	907		later of the day the transfer creating the interest in the
916	908		disclaiming person i s made or the day the disclaiming person attains
917	909		age twenty-one (21). The interest in the death benefits must pass
918	910		without direction by the disclaiming person to another person.
919		-	Death benefits under this subsection shall be paid to the
920		-	beneficiary or beneficiaries of the dece ased member not later than
921		-	one (1) month from the date of receipt of the death certificate
922		-	certifying the member’s death. Upon notice of the death of a
923		-	member, the System shall send any required forms or applications
924		-	necessary for payment of the death benefit not later than one (1)
925		-	week from the date of the member’s death, and all forms and
926		-	applications shall be available on a publicly accessible website.
927	911
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953	936
	937	+	Death benefits under this subsection shall be paid to the
	938	+	beneficiary or beneficiaries of the dece ased member not later than
	939	+	one (1) month from the date of receipt of the death certificate
	940	+	certifying the member’s death. Upon notice of the death of a
	941	+	member, the System shall send any required forms or applications
	942	+	necessary for payment of the death benefit not later than one (1)
	943	+	week from the date of the member’s death, and all forms and
	944	+	applications shall be available on a publicly accessible website.
954	945		(12) Upon the death of a retired member who has contributed to
955	946		the System, the retirement system shall pay to the designated
956	947		beneficiary of the member or, if there is no designated beneficiary
957	948		or if the designated beneficiary predeceases the member, to the
958	949		estate of the member, the sum of Five Thousand Dollars ($5,000.00)
959	950		as a death benefit. The beneficiary or beneficiaries of benefits
960	951		provided pursuant to this subsection may elect to disclaim such
961	952		death benefits in which case such benefi ts will be transferred to a
962	953		person licensed as a funeral director or to a lawfully recognized
963	954		business entity licensed as required by law to provide funeral
964	955		services for the deceased member. The qualified disclaimer must be
965	956		in writing and will be an irrev ocable and an unqualified refusal to
966	957		accept all or a portion of the death benefit. It must shall be
967	958		received by the transferor no more than nine (9) months one (1)
968	959		month after the later of the day the transfer creating the interest
969	960		in the disclaiming pers on is made or the day the disclaiming person
970		-	attains age twenty-one (21). The interest in the death benefits
971		-	must pass without direction by the disclaiming person to another
972		-	person. All death benefits under this subsection shall be paid to
973		-	the beneficiary or beneficiaries of the deceased member not later
974		-	than one (1) month from the date of the member’s death. Upon
975		-	receipt of a certified death certificate certifying the death of a
976		-	member, the System shall send any forms or applications necessary
977		-	for payment of the death benefit not later than one (1) week from
978	961
979		-	SENATE FLOOR VERSION - SB634 SFLR Page 20
980		-	(Bold face denotes Committee Amendments) 1
	962	+	Req. No. 1722 Page 20 1
981	963		2
982	964		3
983	965		4
984	966		5
985	967		6
986	968		7
987	969		8
988	970		9
989	971		10
990	972		11
991	973		12
992	974		13
993	975		14
994	976		15
995	977		16
996	978		17
997	979		18
998	980		19
999	981		20
1000	982		21
1001	983		22
1002	984		23
1003	985		24
1004	986
	987	+	attains age twenty-one (21). The interest in the death benefits
	988	+	must pass without direction by the disclaiming person to another
	989	+	person. All death benefits under this subsection shall be paid to
	990	+	the beneficiary or beneficiaries of the deceased member not later
	991	+	than one (1) month from the date of the member’s death. Upon
	992	+	receipt of a certified death certificate certifying the death of a
	993	+	member, the System shall se nd any forms or applications necessary
	994	+	for payment of the death benefit not later than one (1) week from
1005	995		the date of receipt of the cer tified death certificate , and all
1006	996		required forms and applications shall be available on a publicly
1007	997		accessible website. The benefit payable pursuant to this subsection
1008	998		shall be deemed, for purposes of federal income taxation, as life
1009	999		insurance proceeds and not as a death benefit if th e Internal
1010	1000		Revenue Service approves this provision pursuant to a private letter
1011	1001		ruling request which shall be submitted by the Board of Trus tees of
1012	1002		the System for that purpose.
1013	1003		(13) Upon the death of a member who dies leaving no living
1014	1004		beneficiary or having designated his or her estate as beneficiary,
1015	1005		the System may pay any applicable death bene fit, unpaid
1016	1006		contributions, or unpaid benefit whi ch may be subject to probate, in
1017	1007		an amount of Twenty-five Thousand Dollars ($25,000.00) or less,
1018	1008		without the intervention of the probate court or probate procedure
1019	1009		pursuant to Section 1 et seq. of Title 58 of the Oklahoma Statutes.
1020		-	(a) Before any applicab le probate procedure may be waived, the
1021		-	System must be in receipt of the member ’s proof of death and the
1022		-	following documents from those persons claiming to be the legal
1023		-	heirs of the deceased member:
1024		-	1. The member’s valid last will and testament, trust
1025		-	documents or affidavit that a will does not exist;
1026		-	2. An affidavit or affidavits of heirship which must
1027		-	state:
1028	1010
1029		-	SENATE FLOOR VERSION - SB634 SFLR Page 21
1030		-	(Bold face denotes Committee Amendments) 1
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1031	1012		2
1032	1013		3
1033	1014		4
1034	1015		5
1035	1016		6
1036	1017		7
1037	1018		8
1038	1019		9
1039	1020		10
1040	1021		11
1041	1022		12
1042	1023		13
1043	1024		14
1044	1025		15
1045	1026		16
1046	1027		17
1047	1028		18
1048	1029		19
1049	1030		20
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1052	1033		23
1053	1034		24
1054	1035
	1036	+	(a) Before any applicab le probate procedure may be waived, the
	1037	+	System must be in receipt of the member ’s proof of death and the
	1038	+	following documents from those persons claiming to be the legal
	1039	+	heirs of the deceased member:
	1040	+	1. The member’s valid last will and testament, trust
	1041	+	documents or affidavit that a will does not exist;
	1042	+	2. An affidavit or affidavits of heirship which must
	1043	+	state:
1055	1044		a. the names and signatures of all claiming heirs to
1056	1045		the deceased member’s estate including the
1057	1046		claiming heirs’ names, relationship to the
1058	1047		deceased, current addresses, tax I.D. numbers if
1059	1048		known and current telephone numbers,
1060	1049		b. a statement or statements by the clai ming heirs
1061	1050		that no application or petition for the
1062	1051		appointment of a personal representative is
1063	1052		pending or has been granted in any jurisdicti on,
1064	1053		c. a description of the personal property claimed,
1065	1054		(i.e., death benefit or unpaid contributions or
1066	1055		both) together with a statement that such
1067	1056		personal property is subject to probate,
1068	1057		d. a statement by each individual claiming heir
1069	1058		identifying the amount of personal property that
1070	1059		the heir is claiming from the System, and that
1071		-	the heir has been notified of, is aware of and
1072		-	consents to the identified claims of all the
1073		-	other claiming heirs of the deceased member
1074		-	pending with the System;
1075		-	3. A written agreement or agreements signed by all
1076		-	claiming heirs of the deceased member which provides
1077		-	that the claiming heirs release, discharge and hold
1078		-	harmless the System from any and all liability,
1079	1060
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1081		-	(Bold face denotes Committee Amendments) 1
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1082	1062		2
1083	1063		3
1084	1064		4
1085	1065		5
1086	1066		6
1087	1067		7
1088	1068		8
1089	1069		9
1090	1070		10
1091	1071		11
1092	1072		12
1093	1073		13
1094	1074		14
1095	1075		15
1096	1076		16
1097	1077		17
1098	1078		18
1099	1079		19
1100	1080		20
1101	1081		21
1102	1082		22
1103	1083		23
1104	1084		24
1105	1085
	1086	+	the heir has been notified of, is aware of and
	1087	+	consents to the identified claims of all the
	1088	+	other claiming heirs of the deceased membe r
	1089	+	pending with the System;
	1090	+	3. A written agreement or agreements signed by all
	1091	+	claiming heirs of the deceased member which provides
	1092	+	that the claiming heirs release, discharge and hold
	1093	+	harmless the System from any and all liability,
1106	1094		obligations and costs whi ch it may incur as a result
1107	1095		of making a payment to any of the deceased member’s
1108	1096		heirs;
1109	1097		4. A corroborating affidavit from an individual other
1110	1098		than a claiming heir, w ho was familiar with the
1111	1099		affairs of the deceased member;
1112	1100		5. Proof that all debts of the dece ased member, including
1113	1101		payment of last sickness, hospital, medical, death,
1114	1102		funeral and burial expenses have been paid or provided
1115	1103		for.
1116	1104		(b) The Executive Director o f the System shall retain complete
1117	1105		discretion in determining which requests for probate waiv er may be
1118	1106		granted or denied, for any reason. Sh ould the System have any
1119	1107		question as to the validity of any document presented by the
1120	1108		claiming heirs, or as to any s tatement or assertion contained
1121		-	therein, the probate requirement p rovided for in Section 1 et seq.
1122		-	of Title 58 of the Oklahoma Statutes shal l not be waived.
1123		-	(c) After paying any death benefits or unpaid contributions to
1124		-	any claiming heirs as provided purs uant to this subsection, the
1125		-	System is discharged and released fro m any and all liability,
1126		-	obligation and costs to the same extent as if the System had dealt
1127		-	with a personal representative of the deceased member. The System
1128		-	is not required to inquire into the truth of any matter specified in
1129		-	this subsection or into the payment of any estate tax liability.
1130	1109
1131		-	SENATE FLOOR VERSION - SB634 SFLR Page 23
1132		-	(Bold face denotes Committee Amendments) 1
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1133	1111		2
1134	1112		3
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1154	1132		23
1155	1133		24
1156	1134
	1135	+	therein, the probate requirement provided for in Section 1 e t seq.
	1136	+	of Title 58 of the Oklahoma Statutes shal l not be waived.
	1137	+	(c) After paying any death benefits or unpaid contributions to
	1138	+	any claiming heirs as provided purs uant to this subsection, the
	1139	+	System is discharged and released from any and all liability,
	1140	+	obligation and costs to the same extent as if the System had dealt
	1141	+	with a personal representative of the deceased member. The System
	1142	+	is not required to inquire into the truth of any matter specified in
	1143	+	this subsection or into the payment of any estate tax liability.
1157	1144		(14) Upon the death of a retired mem ber, the benefit payment
1158	1145		for the month in which the retired member died, if not previously
1159	1146		paid, shall be made to th e joint annuitant if still living, to the
1160	1147		beneficiary of the member if the joint annuitant i s deceased, or to
1161	1148		the member’s estate if there is no surviving joint annuitant or
1162	1149		beneficiary. Such benefit payment shall be made in an amount equal
1163	1150		to a full monthly benefit payment regardless of the day of the month
1164	1151		in which the retired member died.
1165	1152		SECTION 2. AMENDATORY 70 O.S. 2021, Section 17-105.2, is
1166	1153		amended to read as follows:
1167	1154		Section 17-105.2. A. 1. A member of the Teachers’ Retirement
1168	1155		System of Oklahoma who is eligible to retire wi th at least thirty
1169	1156		(30) years of creditable service may elect to receive a partial
1170	1157		lump-sum payment on the date of retirement and a reduced annuity.
1171		-	2. On and after the effective date of this act, a member who is
1172		-	eligible to retire with at least tw enty (20) years of creditable
1173		-	service may elect to receive a partial lump-sum payment on the date
1174		-	of retirement and a reduced annu ity.
1175		-	B. 1. The partial lump-sum payment shall be an amount equal to
1176		-	the unreduced retirement benefit, which shall be referred to as the
1177		-	“Maximum Retirement Allowance” for purposes of this section, which
1178		-	would have been paid over a period of twelve (12), twenty -four (24),
1179		-	or thirty-six (36) months, had the lump -sum option not been elected.
1180	1158
1181		-	SENATE FLOOR VERSION - SB634 SFLR Page 24
1182		-	(Bold face denotes Committee Amendments) 1
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1200	1177		19
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1203	1180		22
1204	1181		23
1205	1182		24
1206	1183
	1184	+	2. On and after the effective date of this act, a member who is
	1185	+	eligible to retire with at least tw enty (20) years of creditable
	1186	+	service may elect to receive a partial lump-sum payment on the date
	1187	+	of retirement and a reduced annu ity.
	1188	+	B. 1. The partial lump-sum payment shall be an amount equal to
	1189	+	the unreduced retirement benefit, which shall be referred to as the
	1190	+	“Maximum Retirement Allowance” for purposes of this section, which
	1191	+	would have been paid over a period of twelve (12), twenty -four (24),
	1192	+	or thirty-six (36) months, had the lump -sum option not been elected.
1207	1193		2. The partial lump-sum payment made pursuant to paragraph 2 of
1208	1194		subsection A of this section shall be an amount equal to one -half
1209	1195		(1/2) of the unreduced retirement benefit, which would have been
1210	1196		paid over a period of twe lve (12), twenty-four (24), or thirty-six
1211	1197		(36) months, had the lump-sum option not been elected.
1212	1198		C. Once the payout amount is elected, a reduced Maximum
1213	1199		Retirement Allowance is then calculated using factors adopted by the
1214	1200		Board of Trustees based upon the System ’s actuarial expected rate of
1215	1201		return and the member’s age at retirement and the payout option
1216	1202		(twelve (12), twenty-four (24), or thirty-six (36) months) elected .
1217	1203		This reduced Maximum Retirement Allowance shall also be reduced in
1218	1204		accordance with any retirement options the mem ber has elected
1219	1205		pursuant to Section 17-105 of Title 70 of the Oklahoma Statutes this
1220	1206		title.
1221		-	B. D. The partial lump-sum payment, pursuant to this section,
1222		-	shall be paid in a check separate from the regular monthly
1223		-	retirement benefit. The total amount of t he partial lump-sum
1224		-	payment shall be deducted from the member’s account balance
1225		-	consisting of the employee contributions plus interest for purposes
1226		-	of determining unused contributions remaining in the account. The
1227		-	member may elect to rollover the taxable portion of the partial
1228		-	lump-sum payment to an eligible retirement plan or individual
1229		-	retirement account (IRA). The nont axable portion of th e partial
1230		-	lump-sum payment can be rolled over to an IRA or another qualified
1231	1207
1232		-	SENATE FLOOR VERSION - SB634 SFLR Page 25
1233		-	(Bold face denotes Committee Amendments) 1
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1257	1232
	1233	+	B. D. The partial lump-sum payment, pursuant to this section,
	1234	+	shall be paid in a check separate from the regular monthly
	1235	+	retirement benefit. The total amount of t he partial lump-sum
	1236	+	payment shall be deducted from the member’s account balance
	1237	+	consisting of the employee contributions plus interest for purposes
	1238	+	of determining unused contributions remaining in the account. The
	1239	+	member may elect to rollover the taxable portion of the partial
	1240	+	lump-sum payment to an eligible retirement plan or individual
	1241	+	retirement account (IRA). The nont axable portion of th e partial
	1242	+	lump-sum payment can be rolled over to an IRA or another qualified
1258	1243		retirement plan as allowed by the Inter nal Revenue Code and
1259	1244		regulations. This partial lump -sum payment shall be subject to
1260	1245		federal income tax in accordance wi th the Internal Reve nue Code
1261	1246		Section 72 and other such Internal Revenue Code sections and
1262	1247		regulations as may be applicable. This partia l lump-sum benefit is
1263	1248		subject to the same restrictions for assignment and attachment as
1264	1249		all other retirement benefits. The appropriate port ion of the
1265	1250		partial lump-sum distribution will be reported to the Internal
1266	1251		Revenue Service (IRS) as taxable income an d appropriate tax
1267	1252		withholdings will be withheld unless the member elects to make a
1268	1253		direct rollover of the taxable portio n of the funds. Sho uld the
1269	1254		member have after-tax contributions, a portion of such after -tax
1270	1255		contributions will be allocated to the part ial lump-sum payment and
1271	1256		to the remaining annuity on a prorata pro rata basis.
	1257	+
	1258	+	Req. No. 1722 Page 26 1
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1272	1283		C. E. The partial lump-sum option under this sect ion may be
1273	1284		elected only once by a member and may not be elected by a retiree.
1274	1285		D. F. The board of trustees Board of Trustees shall promulgate
1275	1286		any rules necessary for the implementation of this section .
1276	1287		SECTION 3. This act shall become effective Novemb er 1, 2023.
1277		-	~~COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS~~
1278		-	~~March 1,~~ 2023 ~~- DO PASS AS AMENDED BY CS~~
	1288	+
	1289	+	59-1-1722 RD 2/21/2023 11:57:46 AM