Subdivision 1. Refund rights. (a) Except as provided in paragraph (b), when any former member accepts a refund, all existing service credits and all rights and benefits to which the person was entitled prior to the acceptance of the refund terminate.
(b) A refund under section 353.651, subdivision 3, paragraph (c), does not result in a forfeiture of salary credit for the allowable service credit covered by the refund.
(c) If a person forfeits service credits, rights, and benefits under paragraph (a), the person's service credits, rights, and benefits shall be restored if the person returns to employment covered by the association for at least six months of allowable service and repays all amounts previously received under section 353.34, subdivision 2, plus interest at the applicable rate or rates specified in section 356.59, subdivision 3, compounded annually, from the date each amount was received to the date the amount is repaid. The repayment must be made within six months of the last day of public service employment. A person may have service credits, rights, and benefits restored under this paragraph only one time.
Subd. 2. Refund repayment. A person who receives a refund of accumulated employee deductions, plus interest, may repay the total amount of the refund including the interest, within 30 days of the date the refund was issued, to retain allowable service.
History:1957 c 935 s 15; 1959 c 650 s 38; 1963 c 641 s 30; 1971 c 106 s 32; 1973 c 753 s 60; 1976 c 329 s 27; 1979 c 216 s 16; 1982 c 404 s 6; 1986 c 444; 1989 c 319 art 3 s 18; 1990 c 570 art 11 s 7; 1992 c 598 art 2 s 6; 1993 c 307 art 4 s 29; 2013 c 111 art 11 s 5; 2015 c 68 art 2 s 13; 2018 c 211 art 6 s 24; art 10 s 11