Retirement: state police; naming a special needs trust as beneficiary; allow. Amends sec. 24 of 1986 PA 182 (MCL 38.1624).

This bill allows Michigan State Police members with 25 or more years of service to designate a special needs trust as the beneficiary of their retirement payments if they choose a payout option that continues benefits to a survivor. It updates the rules for selecting retirement payout options by permitting members to name a qualified trust instead of a family member, provided the trust meets specific federal criteria for special needs beneficiaries. The legislation also clarifies that if a retiree dies, retirement funds can be paid directly to an eligible trust to support a disabled or incapacitated beneficiary who cannot manage the money themselves. These changes apply to members who first joined the force on or after July 1, 2006, and allow them to write a formal request to the retirement board to implement these new beneficiary designations.