Sec. 4.1080.4. Rights of Former Members to Refund of Contributions and to Leave Contributions on Deposit in Retirement Fund.

Sec. 4.1080.4. Rights of Former Members to Refund of Contributions and to Leave Contributions on Deposit in Retirement Fund. “ Former member ” shall include both a City employee who ceases to be a member upon separating from City service and a City employee who continues to be employed by the City, but becomes ineligible for membership in the Retirement System. For purposes of this section, former member shall not include, a retired member who is receiving any retirement allowance provided in this Article. (a) Refund of Contributions. Upon written demand made to the Board of Administration, a former member of Tier 3 shall be paid the former member’s accumulated contributions. But contributions shall not be refunded to a former member who is employed in any capacity by the City unless such a refund is permitted under federal law. After a former member’s contributions have been refunded, the former member shall have no right to any benefits provided by the Retirement System. (b) Contributions Remain in the Fund. A former member of Tier 3 may permit the former member’s accumulated contributions to remain in the Retirement Fund. A former member’s individual account shall be credited with regular interest in the same manner as applies to a member’s individual account. A former member whose contributions remain on deposit in the Retirement Fund and who is eligible for service retirement may apply to retire as provided in this article. If such former member fails to file a written retirement application prior to attaining age seventy and one-half (70 1/2), the Retirement System, pursuant to rules to be adopted by the Board of Administration, shall make such mandatory minimum distributions as are required by the Internal Revenue Code. If mandatory minimum distributions cannot be paid to a former member for any reason, such as the former member’s failure to cooperate or where the former member’s whereabouts is unknown and the Retirement System has followed Internal Revenue Service procedures to locate the former member, then such funds shall be forfeited to the Retirement Fund, provided that the former member shall be relieved from such forfeiture upon the making of a valid claim for relief, determined at the sole discretion of the Board of Administration.