Upon the death of a vested member of the state cement plant retirement plan who died prior to starting a monthly retirement benefit, the member’s surviving spouse may elect a lump sum trustee-to-trustee payment in lieu of monthly surviving spouse benefit payments. The amount of the lump sum trustee-to-trustee payment shall be determined by the system’s actuary based on the actuarial equivalent, as defined by the cement plant retirement plan, of the spouse’s age sixty-five survivor benefit. However, no lump sum trustee-to-trustee payment may be made unless the following requirements are satisfied:

(1) Neither the member nor the member’s family nor the member’s spouse received any monthly benefits from the plan; and

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(2) The surviving spouse directs a trustee-to-trustee transfer of the lump sum payment to a receiving retirement custodian, trustee, or other approved recipient.

Any eligible surviving spouse who desires to make the election authorized by this section shall submit an application to the system.

Source: SL 2014, ch 22, § 2; SDCL § 3-12-224; SL 2019, ch 22, § 1.