(a) Under §854.409 of the Act, the system may determine when to require an occupational disability retiree under §854.407 of the Act (a "disability retiree") younger than 60 years of age to undergo a medical examination and provide current medical and other relevant information reaffirming the status of the disability retiree as meeting the requirements for certification of occupational disability under §854.407(b) of the Act.
(b) The medical board or system may designate a physician, or type of specialized physician, required to perform the examination.
(c) Other relevant information that may be requested by the system from the disability retiree may include, but is not limited to, financial and employment information.
(d) Death of Disability Retiree Under Suspension.
  (1) In the event that a disability retiree whose occupational disability annuity has been suspended pursuant to §854.409 of the Act, dies without having submitted to a medical examination and provided the requested information:
    (A) if the disability retiree dies before the fourth anniversary of the date the system requested the medical examination or information, then the system shall unsuspend the annuity and pay the suspended payments of the occupational disability annuity in a lump sum to the disability retiree's beneficiary(ies); but
    (B) if the disability retiree dies after the fourth anniversary of the date the system requested the medical examination or information, then the system shall unsuspend the annuity, but the suspended annuity payments shall be forfeited and shall not be paid to the disability retiree's beneficiary(ies).
  (2) The system may request appropriate information from such beneficiary(ies) prior to unsuspending the annuity or paying the lump sum amounts. Whether any further annuity payments are due after the disability retiree's death will be determined by the terms of the occupational disability annuity option selected by the disability retiree at the time of retirement. If any further annuity payments are due, unsuspension of the occupational disability retirement annuity after the death of a disability retiree pursuant to this subsection shall occur the month after month in which the disability retiree dies.
(e) If the retiree desires to contest the system's action in suspending an occupational disability retirement annuity pursuant to §854.409(e), the retiree may obtain a hearing of the issue as a "contested case" pursuant to the Administrative Procedure Act (Chapter 2001, Government Code) and these rules, by filing with the director a written "request for hearing of suspension of benefit" within 30 days after the date of the director's letter of notification of suspension. If the request for a contested case hearing is timely filed, the contested case shall be docketed, heard, and disposed of in accordance with §§121.12-121.25 of this title. If no request for contested case hearing is filed within the 30 day period provided in this paragraph, the action of the system in suspending an occupational disability retirement annuity shall be final and unappealable.

Source Note: The provisions of this §121.27 adopted to be effective September 13, 2020, 45 TexReg 6246