Extreme graphical bug when changing render distance

When changing render distances in a Minecraft world, strange graphical bug occurs.

What I expected to happen was...:
I expected the Render Distance option to perform its intended function.

What actually happened was...:
A graphics bug that looks like the game is trying to render several chunks in the same space at the same time.

Steps to Reproduce:
1. Start a new world or enter an existing one
2. Wait for a number of chunks to render
3. While still in the world, open the options menu
4. Change the render distance.
5. Exit the options menu