Texas § GV.820.032 - PURCHASE OF PREVIOUSLY CANCELED SERVICE CREDIT

§ GV.820.032. PURCHASE OF PREVIOUSLY CANCELED SERVICE CREDIT

PURCHASE OF PREVIOUSLY CANCELED SERVICE CREDIT. (a) A cash balance group member who has withdrawn contributions and canceled service credit in a class of membership may purchase the canceled service credit in the retirement system for the purposes described by Subsection (c) by: (1) submitting a request to the system in a form and manner prescribed by the system; and (2) depositing with the retirement system in a lump sum the total amount of money withdrawn from a membership class not later than the first day of the 24th month after the month in which the person is reemployed or again holds office. (b) On receipt of the cash balance group member's deposit, the retirement system shall credit the member's individual account in the employees saving account with that amount and apply annual and gain sharing interest beginning the first day of the month following the date of the deposit, as provided by Sections 820.102 and 820.103 . (c) Service credit purchased under this section may be used only: (1) to determine whether the cash balance group member is eligible to retire and receive a cash balance annuity; and (2) for purposes of determining eligibility to participate in the group benefits program established under Chapter 1551 , Insurance Code. (d) The retirement system may charge a reasonable administrative fee to purchase service credit under this section. Added by Acts 2023, 88th Leg., R.S., Ch. 78 (S.B. 729 ), Sec. 5, eff. May 19, 2023. SUBCHAPTER B. CASH BALANCE BENEFITS