The nonparticipant spouse who is awarded a separate nominal account under this part shall have the right to an annuity pursuant to paragraph (1) or (5) of subdivision (a) of Section 26807.5.

1. (a) The nonparticipant spouse shall be eligible for an annuity if the following conditions are satisfied:

   1. (1) The nonparticipant spouse has at least three thousand five hundred dollars ($3,500) in his or her separate nominal accounts.
   2. (2) The nonparticipant spouse has attained the age of 55 years or more.

2. (b) An annuity of a nonparticipant spouse shall become effective upon any date designated by the nonparticipant spouse, provided:

   1. (1) The requirements of subdivision (a) are satisfied.
   2. (2) The nonparticipant spouse has filed an application for an annuity on a properly executed form provided by the system, which is executed no earlier than 90 days before the effective date of the annuity.