Texas Vernon’s Civil Statutes
Sec. § 8.06
Establishment of Drop Account at Retirement


(a)

In lieu of electing to participate in the DROP before actual retirement, a member who is eligible for normal service retirement or early retirement and who terminates or has terminated active service as a firefighter may establish a DROP account under this section.

(b)

A member who is eligible to receive a service retirement benefit under Section 5.06 of this Act may establish a DROP account under this section on retiring under Section 5.06 of this Act.

(c)

If a member elects to participate in the DROP under this section:

(1)

the board of trustees shall cause to be credited to a DROP account maintained within the fund for the benefit of that person an amount equal to the credits that the members DROP account would have received, including interest, if the member had established the DROP account after becoming eligible for service retirement, but not more than seven years before the effective date of the persons retirement;

(2)

the date used in computations under Subdivision (1) of this section as if the member had established the DROP account on that date is the effective date of the members election to participate in the DROP;

(3)

the member will receive payments from the members DROP account as the member may select under Section 8.05 of this Act; and

(4)

the members DROP account shall be credited with interest as provided by Section 8.05 of this Act.

(d)

If a member who did not establish a DROP account under this section but was eligible to do so dies before retirement, the surviving spouse, if any, of that member may elect to participate in the DROP if the surviving spouse has not received any benefit payments under Section 7.01 of this Act. If a surviving spouse makes an election under this subsection:

(1)

the board of trustees shall cause to be paid to the surviving spouse in a lump sum, as soon as administratively possible after the fund receives notice of the election, an amount equal to the credits that the members DROP account would have received, including interest, if the member had established the DROP account after becoming eligible for service retirement, but not more than seven years before the date of the members death; and

(2)

the amount of the benefit payable to the surviving spouse under Section 7.03 of this Act is 75 percent of the benefit the member would have been eligible to receive if the member had established the DROP account on becoming eligible for service retirement, but not more than seven years before the date of the members death.

(e)

If a member who did not establish a DROP account under this section but was eligible to do so dies before retirement without leaving a surviving spouse, the surviving dependent children, if any, may elect to participate in the DROP if the dependent children have not received any benefit payments under Section 7.05 of this Act. An election under this subsection must be made by all of the surviving dependent children of the member, except that the guardian of any child who is younger than 18 years of age at the time of the election makes a binding election for the child. If the surviving dependent children make an election under this subsection:

(1)

the board of trustees shall cause to be paid jointly to the dependent children in a lump sum, as soon as administratively possible after the fund receives notice of the election, an amount equal to the credits the members DROP account would have received, including interest, if the member had established the DROP account after becoming eligible for service retirement, but not less than the credits the DROP account would have received, including interest, based on 20 years of service credit; and

(2)

the amount of the benefit payable to the dependent children under Section 7.05(a) is 75 percent of the benefit the member would have been entitled to receive if the member had established the DROP account on becoming eligible for service retirement, but based on not less than 20 years of service credit.
Sec. 8.07. PAYMENTS FROM DROP ACCOUNT AT MEMBERS DEATH. (a) The provisions of Article 7 relating to death benefits of qualified survivors do not apply to amounts credited to a members DROP account. Instead, a member who participates in the DROP may designate a beneficiary to receive any balance in the members DROP account at the members death. The beneficiary designation must be made on a form prescribed by the board of trustees and filed with the fund before the members death. If the member is married at the time of the designation, designation of a beneficiary other than the members spouse is valid only if the spouse consents to the designation in writing on the same form that is used to designate the beneficiary. Distributions from a members DROP account after the death of the member shall be made as provided by this section.

(b)

If a member who participates in the DROP dies before distribution of the members entire DROP account, distributions to the designated beneficiary will begin not more than one year after the date of the members death and shall be made either as a single-payment distribution of the members DROP account balance or in not more than four equal annual installments over a period of not more than 37 months.

(c)

If the member has not designated a beneficiary to receive distributions from the members DROP account or if the person so designated does not survive the member by at least 72 hours, the members DROP account shall be distributed in a single-sum payment as soon as administratively possible after the members death to any surviving spouse who survives the member by at least 72 hours, if any, or to the members estate if there is no surviving spouse.
Acts 1993, 73rd Leg., ch. 824, Sec. 1.01 to 7.06, eff. Oct. 1, 1993. Amended by Acts 1995, 74th Leg., ch. 169, Sec. 1 to 18, eff. Oct. 1, 1995; Acts 1997, 75th Leg., ch. 35, Sec. 1 to 37, eff. Oct. 1, 1997; Acts 1999, 76th Leg., ch. 53, Sec. 1 to 24, eff. Oct. 1, 1999; Acts 2001, 77th Leg., ch. 167, Sec. 1 to 22, eff. Oct. 1, 2001; Acts 2001, 77th Leg., ch. 669, Sec. 170, eff. Sept. 1, 2001; Sec. 1.02(7) amended by Acts 2003, 78th Leg., ch. 513, Sec. 1, eff. Oct. 1, 2003; Sec. 3.03(d) amended by Acts 2003, 78th Leg., ch. 416, Sec. 4, eff. June 20, 2003; Sec. 4.01(a) and (c) amended by Acts 2003, 78th Leg., ch. 513, Sec. 2, eff. Oct. 1, 2003; Sec. 4.03(g) repealed by Acts 2003, 78th Leg., ch. 513, Sec. 10, eff. Oct. 1, 2003; Sec. 4.05(a) amended by Acts 2003, 78th Leg., ch. 513, Sec. 3, eff. Oct. 1, 2003; Sec. 4.05(a-1) added by Acts 2003, 78th Leg., ch. 513, Sec. 3, eff. Oct. 1, 2003; Sec. 4.07(b) amended by Acts 2003, 78th Leg., ch. 513, Sec. 4, eff. Oct. 1, 2003; Sec. 4.08 added by Acts 2003, 78th Leg., ch. 513, Sec. 5, eff. Oct. 1, 2003; Sec. 5.03(b) amended by Acts 2003, 78th Leg., ch. 513, Sec. 6, eff. Oct. 1, 2003; Sec. 5.05(b) amended by Acts 2003, 78th Leg., ch. 513, Sec. 7, eff. Oct. 1, 2003; Sec. 6.02(a), (c), and (j) amended by Acts 2003, 78th Leg., ch. 513, Sec. 8, eff. Oct. 1, 2003; Sec. 6.13 amended by Acts 2003, 78th Leg., ch. 513, Sec. 9, eff. Oct. 1, 2003.
Amended by:
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 1, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 2, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 3, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 4, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 5, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 6, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 7, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 8, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 9, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 10, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 11, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 12, eff. October 1, 2005.
Acts 2005, 79th Leg., Ch. 623 (H.B. 2374), Sec. 13, eff. October 1, 2005.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 1, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 2, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 3, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 4, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 5, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 6, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 7, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 8, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 9, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 10, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 11, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 12, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 13, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 14, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 15, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 16, eff. October 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1416 (H.B. 2752), Sec. 17, eff. October 1, 2007.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 1, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 2, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 3, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 4, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 5, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 6, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 7, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 8, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 9, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 10, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 11, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 12, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 13, eff. October 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 234 (S.B. 1628), Sec. 14, eff. October 1, 2009.
Acts 2011, 82nd Leg., R.S., Ch. 1163 (H.B. 2702), Sec. 196, eff. September 1, 2011.
Acts 2017, 85th Leg., R.S., Ch. 324 (S.B. 1488), Sec. 22.064, eff. September 1, 2017.
Art. 6243p. POLICE RETIREMENT FUND IN MUNICIPALITIES OF 50,000 TO 400,000.
Source
Last accessed
Oct. 22, 2019