If an electing member shall retire prior to final payment of all contributions required by Section 2.124.1430 of this chapter, the credit for prior governmental service shall be computed as follows:
A. Such retired member may pay to the system, by lump-sum payment, a sum equal to the balance of required contributions remaining unpaid upon the date of his or her retirement. Such payment shall be made within thirty (30) days of the member's retirement. Upon receipt of payment by the system, the benefit payable to the retired member shall be computed as if the unpaid balance of contributions had been received by the system on the day preceding the member's retirement.
B. In the event the retired member fails to make a lump-sum payment of unpaid contributions, as provided for in subsection A of this section, benefits payable to the member shall be computed by crediting to the retired member a credit for prior service equal to that which has been purchased by the accumulated contributions of such member as such contributions existed on the date of his or her retirement. For purpose of making the computation provided for in the preceding sentence, the election to take credit for prior service shall be deemed to have been made upon the date of the member's retirement, and the rate of contributions and service of such member shall be readjusted as if no adjustment had been previously made under Section 2.124.1440 of this chapter. (Prior code § 34.08.806)