§ 120-4.16. Repayments and purchases.
§ 120‑4.16. Repaymentsand purchases.
(a) All repayments andpurchases of service credit, allowed under this Article, shall be made withintwo years after the member first becomes eligible to make such repayments andpurchases. All such repayments and purchases not made within two years afterthe member becomes eligible shall equal the full actuarial cost of theadditional service credit as defined in G.S. 135‑4(m).
(b) Purchase of ServiceCredits Through Rollover Contributions From Certain Other Plans. Notwithstandingany other provision of this Article, and without regard to any limitations oncontributions otherwise set forth in this Article, a member, who is eligible torestore or purchase membership or creditable service pursuant to the provisionsof this Article, may purchase such service credits through rollovercontributions to the Annuity Savings Fund from (i) an annuity contractdescribed in Section 403(b) of the Internal Revenue Code, (ii) an eligible planunder Section 457(b) of the Internal Revenue Code which is maintained by astate, political subdivision of a state, or any agency or instrumentality of astate or political subdivision of a state, (iii) an individual retirementaccount or annuity described in Section 408(a) or 408(b) of the InternalRevenue Code that is eligible to be rolled over and would otherwise beincludible in gross income, or (iv) a qualified plan described in Section401(a) or 403(a) of the Internal Revenue Code. Notwithstanding the foregoing,the Retirement System shall not accept any amount as a rollover contributionunless such amount is eligible to be rolled over to a qualified trust inaccordance with applicable law and the member provides evidence satisfactory tothe Retirement System that such amount qualifies for rollover treatment. Unlessreceived by the Retirement System in the form of a direct rollover, therollover contribution must be paid to the Retirement System on or before the60th day after the date it was received by the member.
Purchase of Service CreditsThrough Plan‑to‑Plan Transfers. Notwithstanding any otherprovision of this Article, and without regard to any limitations oncontributions otherwise set forth in this Article, a member, who is eligible torestore or purchase membership or creditable service pursuant to the provisionsof this Article, may purchase such service credits through a direct transfer tothe Annuity Savings Fund of funds from (i) an annuity contract described inSection 403(b) of the Internal Revenue Code or (ii) an eligible plan underSection 457(b) of the Code which is maintained by a state, politicalsubdivision of a state, or any agency or instrumentality of a state orpolitical subdivision of a state.
(c) (See editor'snote for effective date) Purchase of Service Credits Through Plan‑to‑PlanTransfers. Notwithstanding any other provision of this Article, and withoutregard to any limitations on contributions otherwise set forth in this Article,a member, who is eligible to restore or purchase membership or creditable servicepursuant to the provisions of this Article, may purchase such service creditsthrough a direct transfer to the Annuity Savings Fund of funds from (i) theSupplemental Retirement Income Plans A, B, or C of North Carolina or (ii) anyother defined contribution plan qualified under Section 401(a) of the InternalRevenue Code which is maintained by the State of North Carolina, a politicalsubdivision of a state, or any agency or instrumentality of a state orpolitical subdivision of a state. (1983, c. 761, s. 238; 1987, c. 738, s. 31(b); 2002‑71,s. 1.)