§ 24-7-502 - Termination of active membership.
24-7-502. Termination of active membership.
(a) (1) A member of the Arkansas Teacher Retirement System shall terminate covered employment to be eligible for retirement.
(2) (A) Effective July 2, 2009, a member shall not be terminated from employment for purposes of retirement eligibility if within one hundred eighty (180) days of the member's effective date of retirement the member :
(i) Meets both of the following requirements:
(a) Becomes employed with an employer covered by the system; and
(b) Has not attained the system's normal retirement age; or
(ii) Does not have total or a combined total of thirty-eight (38) years or more of credited service in the system, T-DROP, or reciprocal service in another eligible state retirement system.
(B) If a member has a combined total of thirty-eight (38) years or more of credited service in the system, T-DROP, or reciprocal credited service in another eligible state retirement system, then the member shall not be terminated from employment for purposes of retirement eligibility if within thirty (30) days of the member's effective date of retirement the member:
(i) Becomes employed with an employer covered by the system; and
(ii) Has not attained the system's normal retirement age.
(3) A member who fails to meet the termination requirement of this subsection shall forfeit all retirement benefits until the termination requirement is met.
(4) (A) A member shall repay to the system any retirement benefits that are paid to the member by the system during the waiting period of one hundred eighty (180) days in subdivision (a)(2) of this section.
(B) The system may require the repayment of retirement benefits from the member indirectly under the system's standard withholding rule.
(5) For a member who fails to meet the termination requirement in subdivisions (a)(1) and (2) of this section, the member shall immediately become an active member of the system upon reemployment by a covered employer.
(b) (1) When a member is no longer employed by an employer in a position covered by the system, the person shall cease to be an active member of the system.
(2) If an inactive member has not retired and later becomes reemployed by an employer in a position covered by the system, the person shall become an active member and be eligible to accrue additional service credit.
(3) If the member's service during reemployment is for less than thirty (30) days, he or she shall be considered to be an inactive member at the termination of the reemployed service, and the only monthly benefits payable shall be those provided by 24-7-707.
(4) (A) An active member shall receive credit for any previous unreported service after July 1, 1937, upon paying to the system the member contributions in effect during the previous service, together with interest from the dates of the service to the date of payment in full.
(B) For previous service rendered before July 1, 1971, service credit shall be permitted for service in a fiscal school year only if at least one hundred twenty (120) days of service were rendered in the fiscal school year.
(c) Upon a member's retirement, the person shall cease to be an active member and, except as otherwise provided in this act, he or she shall not accrue additional service credit or make contributions to the system.