Subdivision 1. Retention; transfer. If an employee to whom sections 422A.01 to 422A.25 applies becomes absolutely separated from the service prior to attaining the minimum retirement age established in section 422A.13, the net accumulated amount of deduction from salary, pay, or compensation, made for the purpose of accumulating a fund from which to pay retirement allowances, shall be returned to such employee, with interest. Any contributing employee who separates from a department, board or commission of the city whose employees are covered by a fund organized under sections 422A.01 to 422A.25, and becomes an employee of a department or board of the same city, whose employees are covered by a retirement fund or relief association by whatever name known, organized under any other law and supported in whole or in part by taxes on the same city, shall have the option of:
(1) Retaining their membership in the fund organized under sections 422A.01 to 422A.25, regardless of the provisions of any law, rule, bylaw or other action requiring membership in any other retirement fund or relief association however organized.
(2) Transferring to the fund or association covering the employees of the department or board to which they are transferring, providing they are eligible for membership therein.
Any contributing employee who elects to transfer to another fund or association as herein provided, shall make such election within one year from the date of separation from the city service covered by this fund. If the contributing employee elects to transfer to another fund as herein provided, a refund of the net accumulated contributions made by such employee to the fund organized under sections 422A.01 to 422A.25, shall be returned to the employee with interest.
Subd. 2. Hennepin County. Any person who has had 15 years or more of service as a member of the contributing class prior to July 1, 1967, and who separates from employment and becomes an employee or an elected or appointed official of Hennepin County within 30 days after the separation from employment with the city, shall have the option of resuming or retaining membership in this fund regardless of the provisions of any law which would otherwise require membership in some other retirement fund, or of taking any retirement allowance or refund to which the person would otherwise be entitled upon separation. The election of the contributing member to so resume or retain membership in this fund shall be made within three years from the date of separation by giving a written notice of election to the retirement board and a copy to Hennepin County. The cost of employer contributions to the retirement fund subsequent to entering the service of Hennepin County shall be an obligation of the county as provided in section 422A.101, subdivision 2. Any person who so elects to remain in this fund shall be entitled to all the benefits and subject to all the restrictions of this chapter.
Subd. 3. Limitation on eligibility. No employee of the city shall be eligible to be a member of or receive benefits from more than one fund of the city for the same service.
Subd. 4. Death-while-active refund. (a) Upon the death of an active member prior to termination of service, there shall be paid to the beneficiary or beneficiaries designated by the member on a form specified by the executive director and filed with the retirement board, the net accumulated employee deductions from salary, pay, or compensation, including interest compounded annually to the date of the member's death. The amount must not include any contributions made by the employee or on the employee's behalf, or any interest or investment earnings on those contributions, which were allocated to the survivor benefit fund under section 422A.06, subdivision 6.
(b) If the employee fails to make a designation, or if the beneficiary or beneficiaries designated by the employee predeceases the employee, the benefit specified in paragraph (a) must be paid to the deceased employee's estate.
(c) A benefit payable under this subdivision is in addition to any applicable survivor benefit under section 422A.23.
Subd. 5. Repayment of refund. Upon reemployment of a former covered employee in employment covered by the Minneapolis Employees Retirement Fund, service credit for past service which was forfeited by taking a refund must be reinstated only upon repayment of the amount of the separation refund, with interest, from the time of payment of the refund until the date repaid.
Subd. 6. Refund; municipal employees retirement fund. Any person who has received a refund from the municipal employees retirement fund, and who is a member of a public retirement system included in section 422A.16, subdivision 8, may repay such refund with interest to the municipal employees retirement fund. If a refund is repaid to the fund and more than one refund has been received from the fund, all refunds must be repaid. Repayment shall be made as provided in sections 422A.01 to 422A.25.