§22-803. Purchase of Prior City Service.


(1) Cost of purchase. If an employee is separated from City employment and withdraws contributions covering credited service, then § 22-302 (Separation Retirement Benefits) provides that the employee no longer has service credit for retirement, death or disability benefits. If such an individual is later reemployed by the City in Plan A, Plan B, Plan L, or Plan Y, the employee may purchase credit for previous City service by paying the Retirement System the amount of the contributions that would have been made during the period of previous employment if the employee had then been a member of the appropriate plan of the Retirement System, together with interest thereon at the assumed earnings rate on fund investments as determined by the Board from time to time.

(2) Limit on time to purchase. If an employee applies to restore credit for previous service, the employee must either pay the full amount calculated under subsection (1) or make arrangements to pay such amount on the installment plan described in § 22-806 (Installment Payments) within the first year of reemployment. Provided, however, that members of Plan A, Plan B, Plan L, or Plan Y who file beyond the one-year deadline, may make such purchase by paying the additional interest provided in Section 22-807.

(3) Purchase of temporary service by members of Plan J. A member of Plan J who was hired as a temporary employee for a period not exceeding six (6) months whose period of continuous employment extended beyond six months, and who had not been permitted to contribute to the Retirement System, may elect to purchase credited service for the period of temporary employment. Upon making such election, the member shall pay the contributions covering such period, together with interest thereon.

(4) Purchase of temporary service by members of Plan Y. If a temporary employee who was originally hired on or after January 8, 1987 for six (6) months or less continues to work for the City after the six (6) months are over, that employee becomes a member of Plan Y beginning with the first full pay period after the six (6) months. At that time, the employee may purchase service credit for the period of temporary service by paying contributions covering such period, together with interest thereon at the current rate determined by the Board's actuary.

(5) Purchase of prior service by members of Plan D, Plan J, and Plan X.

(a) If any member of Plan D, Plan J, or Plan X had previously separated, withdrawn contributions and been rehired without purchasing credit for prior City service, such member may purchase said service by paying to the system

(.1) the amount of any contributions withdrawn by the member, and

(.2) the difference between

(.a) the amount of contributions paid by him during his employment and

(.b) the amount of contributions he would have paid during his employment; and

(.3) interest at the rate of six (6) per cent per annum on the amount payable under Subsection (.2).

(b) If such employee did not, within one year following his reemployment, make payment to the retirement system in accordance with subsection (a) but desires to make such repayment at a time subsequent thereto, and while still employed by the City and still in Plan D, Plan J, or Plan X, he may do so by paying in addition to the amount of such required payment, interest at the rate of four per cent per annum on the total sum due as computed under subsection (a) above, from the expiration of the one-year period. In addition thereto, such employee shall pay a sum equal to one day's pay for each year or fraction thereof between the time of the expiration of the one-year period and the time of repayment.

(c) Any member who fails to make payment for prior service as hereinbefore provided, shall not receive credit for any service prior to the time of his reemployment.

(6) Purchase of prior service during deferred membership by members of Plan D, Plan J, and Plan X.[34]

(a) If any member of Plan D, Plan J, or Plan X had, at the time of his or her employment and in accordance with the applicable Retirement System Ordinance at the time, elected to defer membership in the Retirement System and had not previously purchased pension credit for the period during which membership was deferred, such member may purchase said service by paying to the system

(.1) the amount of contributions the member would have paid during that period of deferred membership; and

(.2) the additional interest provided in Section 22-807.

(7) Purchase of previously ineligible City temporary service.[35]

(a) If any member has[36] one or more periods of temporary service with the City for which the member is not eligible to purchase service credit under subsection 22-803(3) or (4) above, such member may purchase said service by paying to the system

(.1) the amount of contributions the member would have paid during that period of temporary employment; and

(.2) the additional interest provided in Section 22-807.