§ 24-7-717 - Rescission of retirement.

24-7-717. Rescission of retirement.

(a) A retirant under this chapter who is not required to receive mandatory distributions may rescind the decision to retire and may become an active member upon employment by a covered employer.

(b) A retirant who rescinds his or her decision to terminate his or her retirement shall file a written election to rescind on the form furnished by the Arkansas Teacher Retirement System.

(c) The rescission under subsection (b) of this section is effective the first day of the calendar month next following the date the written election to rescind is received by the system.

(d) (1) Upon rescission, a retirant shall be considered an active member and shall accrue additional credited service subject to the provisions of subsection (e) of this section.

(2) Any retirement annuity previously due from the system shall be terminated upon the effective date of the rescission.

(e) (1) (A) If a retirant who has elected to rescind his or her retirement terminates covered employment before he or she has accumulated at least one (1) year of additional credited service, the member's retirement benefits shall resume at the same benefit amount prior to the rescission.

(B) If the member retires again before serving the required additional one (1) year of service under subdivision (e)(1)(A) of this section, the system shall refund without interest:

(i) A member contribution that is credited to the system after the election to rescind retirement; and

(ii) A member contribution that is not included in the member's retirement benefits.

(2) If reemployment terminates after the end of the fiscal year in which the former retirant has accumulated at least one (1) year of additional credited service, the rescinded member shall receive an annuity that has been recalculated according to the benefit formula in effect at the time of the termination of reemployment.

(f) (1) A retirant under 24-7-702 may rescind the decision to retire and may elect to participate in the Teacher Deferred Retirement Option Plan beginning in the next fiscal year after the date the member meets the eligibility requirements.

(2) If a rescinded member terminates covered employment before he or she is entitled to at least one (1) year of additional credited service, then the member shall forfeit any additional benefit accruals credited after the effective date of rescission.

(g) The election to rescind under this section may be exercised only once by the member or retirant.