(a) As used in this section, "armed forces reserve" means one (1) of the reserve components of the United States Armed Forces.
(b) (1) A member of the Arkansas Public Employees' Retirement System may purchase credited service in the system for a period not to exceed five (5) years for compensated service rendered by the member in the Arkansas National Guard or in the armed forces reserve if the member:
(A) Makes an application to the Board of Trustees of the Arkansas Public Employees' Retirement System;
(B) Provides the board with satisfactory proof of that person's service in the Arkansas National Guard or in the armed forces reserve; and
(C) (i) For the years of service credit granted, pays to the system the employee and employer contributions based on the greater of:
(a) The annual salary received by the member for the member's first full year of credited service that precedes the fiscal year in which the service is purchased; or
(b) The average of the three (3) highest annual salaries earned at the time of purchase.
(ii) The member shall pay interest from the end of that year of credited service to the date of payment in full.
(2) Payment for service under this section shall be based on the contribution rates in effect at the time of the purchase.
(3) The payment shall be credited to the member's deposit account and is in addition to any regular member contributions.
(c) A member shall receive one (1) year of purchased service credit for every one (1) year of compensated service in the Arkansas National Guard or in the armed forces reserve.
(d) The service in the Arkansas National Guard or in the armed forces reserve shall not become credited service under this system until the member:
(1) (A) Pays for the purchased service in the Arkansas National Guard or in the armed forces reserve.
(B) Service may be purchased under this subdivision (d)(1) in one-month increments; and
(2) Has established five (5) or more years of actual service in the system.
(e) If a member ceases to be an active member before the service in the Arkansas National Guard or in the armed forces reserve has been established as system-credited service, the member payments contributed under this section are refundable, together with regular interest.
(f) (1) This section is supplemental to § 24-2-502, and nothing in this section shall diminish the right of any member of the system to obtain credited service in the system for active duty military service within the limits permitted by § 24-2-502.
(2) However, no member is entitled to receive more than five (5) years of credited service rendered by the member under this section.
(3) No member is eligible to purchase service credit in more than one (1) retirement system, whether federally or state-supported, for service time in the Arkansas National Guard or in the armed forces reserve.
(4) Service credit in the system for active duty military service under § 24-2-502 and for service in the Arkansas National Guard or in the armed forces reserve shall not be given for the same period of time.
(5) A member's service in the Arkansas National Guard or armed forces reserve shall not make the member eligible for any kind of benefit under any other state-supported retirement system except Social Security.
Section: Previous 24-2-502 24-2-503 24-2-504 24-2-505 NextLast modified: November 15, 2016