2005 Minnesota Statutes - 354A.38 — Effect of refund; repayment of refund.

     354A.38 Effect of refund; repayment of refund. 


    Subdivision 1.    Effect of refund; termination of service 
 credit.  If a coordinated member or former coordinated member 
 applies for and accepts a refund pursuant to section 354A.37, 
 all allowable service which was credited to the member or former 
 member shall be terminated.  


    Subd. 2.    Repayment of refund.  A coordinated member 
 with at least two years of allowable service credited subsequent 
 to the member's last application for and acceptance of a refund 
 pursuant to section 354A.37 shall be entitled to repay the 
 refund.  The amount of the refund repayment shall be calculated 
 pursuant to subdivision 3.  If the member has previously applied 
 for and accepted more than one refund, and the previous refund 
 or refunds have not been repaid, then the member shall be 
 entitled only to repay all outstanding refunds and shall not be 
 entitled to repay only the most recent refund.  


    Subd. 3.    Computation of refund repayment amount.  If 
 the coordinated member elects to repay a refund under 
 subdivision 2, the repayment to the fund must be in an amount 
 equal to refunds the member has accepted plus interest at the 
 rate of 8.5 percent compounded annually from the date that the 
 refund was accepted to the date that the refund is repaid. 


    HIST: 1979 c 217 s 23; 1980 c 509 s 141; 1992 c 598 art 6 s 17