P.R. Laws tit. 3, § 787j
(a) Retirement benefit.— Upon permanent separation from service, when the separation is not due to death or total and permanent disability, the balance of the contributions account of the Hybrid Program participant shall be distributed to the participant by the Administrator, if such participant meets any of the following requirements: (1) has less than five (5) years of credited service or, (2) has accumulated in the System an amount equal to or less than ten thousand dollars ($10,000).
(b) Date of issue of annuity contract and commencement of distributions.— In the case that the participant (1) permanently separates from service after completing five (5) years or more of credited service, and (2) has accumulated in the System an amount equal to or higher than ten thousand dollars ($10,000), shall be entitled to a life annuity to be computed based on the balance of his/her contributions in accordance with subsection (c) of this section. The age in which the participant may begin to receive such annuity, provided that he/she has permanently separated from service, shall be the following:
(1) Participants who enrolled for the first time in the System before April 1, 1990, and are not participants of the Savings Account Program: at the age in which they would have been entitled to receive a pension in accordance with subsection (a)(1) of § 787c of this title.
(2) Participants who enrolled for the first time in the System between April 1, 1990 and December 31, 1999, and are not participants of the Savings Account Program: at the age in which they would have been entitled to receive a pension in accordance with subsection (a)(2) of § 787c of this title.
(3) In the case of public employees in high-risk positions who entered public service on or before December 31, 1999: at the age in which they would have been entitled to receive a pension in accordance with subsection (a)(3), (a)(4), and (a)(5) of § 787c of this title.
(4) Participants who enrolled for the first time in the System between January 1, 2000 and June 30, 2013: at the age in which they would have been entitled to receive a pension in accordance with subsection (b) of § 787c of this title.
(5) Participants who entered public service after July 1, 2013: at the age of 67.
(6) In the case of public employees in high-risk positions who entered public service after July 1, 2013: at the age of 58.
(c) The life annuity of each participant shall be computed upon retirement as follows: (1) the accumulated balance of his/her contributions to the account of the Hybrid Program participant on the date of retirement, divided by (2) a factor, established by the Board in consultation with its actuaries and to be determined on the basis of the actuarial life expectancy of the participant and a specific tax rate.
(d) Annuity by transfer: Hybrid Program participants may transfer a pension to a dependent as provided in § 768 of this title regarding annuities by transfer.
(e) Annuities issued under §§ 787a—787q of this title shall be paid for life on a monthly basis and may not be increased, reduced, revoked, or repealed, unless it is issued by error, or as otherwise explicitly provided. The first annuity payment shall cover the fraction of the current month up to the end of the month; and the last payment shall cover up to the end of the month in which the participant dies.
Employers shall be bound to file with the Administration all documents required within sixty (60) days after the application for retirement benefits or lump sum distribution is filed. The Administration shall act on the application for retirement benefits or lump sum distribution within sixty (60) days after the filing date of such application and the documents required by the Retirement System.
If an employer fails to meet the obligation set forth in this section, such employer shall be responsible to the participant for the payment of an amount equal to a month of his/her salary at the time the application for retirement benefits or lump sum distribution is filed.
History —May 15, 1951, No. 447, p. 1298, added as § 5-110 on Apr. 4, 2013, No. 3, § 24, eff. July 1, 2013.