(a) The administrator must be notified in writing by the city manager, or by any department head not under the city manager, each time an employee who is a member is terminated as the result of a reduction in force. The determination of the city manager, or a department head not under the city manager, as to the date and the cause of termination is final and binding.
(b) A person is eligible to establish credited service under this section if the person:
(1) had five or more years of credited service at the time of termination;
(2) would have been eligible to retire within two years had employment not been terminated; and
(3) was designated by the city manager, or by a department head not under the city manager, as being terminated as a result of a reduction in force.
(c) A person eligible under Subsection (b) may establish any amount of credited service desired, up to a maximum of the amount of credited service needed to take the person to the earliest retirement date, by making a lump sum payment of the amount required by Subsection (d) within 90 days after the person's termination date.
(d) The amount of contributions required to be paid to establish credited service under Subsection (c) is equal to the employee contribution rate being paid under Section 40A-6 plus the city contribution rate being paid under Section 40A-7 multiplied by the average monthly wage earned by the person during the last 12 full months of service prior to termination multiplied by the number of months of credited service to be established.
(e) Credited service established under this section will be credited to the person purchasing the credited service on a month-by-month basis as if the person had remained a city employee and a member.
(f) If a person who paid to establish credited service under this section is reinstated as a member before establishing all of the service purchased, then any unused portion of the lump sum payment will be returned to the person without interest, and any uncredited service for which payment was made will be canceled.
(g) If a person who paid to establish credited service under this section dies before establishing all of the credited service purchased, then any unused portion of the lump sum payment will be paid to the beneficiary, or, if there is no beneficiary, to the decedent's estate without interest, and any uncredited service for which payment was made will be canceled. (Ord. Nos. 20960; 21582; 22345; 30162)