In determining the amount of the payment required to repay a refundment, the director shall make any adjustment required by reason of deductions taken in error, not taken, or taken at an incorrect rate. Repayment of refundments may be made in a lump sum when expressly provided by the laws governing the repayment or in installments by payroll deduction.
An employee covered by the system who elects to repay a refundment and who intends to retire, becomes disabled, or whose state service will terminate before completion of the repayment, shall have the privilege of completing such payment in a lump sum before retirement or termination of state service. If the refundment is not fully repaid, the total amount which was paid to the fund shall be returned to the employee, and the employee's status shall then be the same as if no payments thereon had been made. In the event of the death of an employee who is repaying a refundment, if the spouse is not entitled to an annuity, the total amount shall be refunded to the designated beneficiary or beneficiary as provided by law. If the surviving spouse is entitled to an annuity, the director shall determine, based on the most current service and extending retroactively, the period of allowable service paid for by the partial payment made and shall credit the deceased employee with such service.
MS s 352.03
17 SR 1279
January 29, 2002
Official Publication of the State of Minnesota
Revisor of Statutes