In the case of an elected official who is a member of the Public Employees’ Retirement System pursuant to section 75 of P.L.1954, c. 84 (C. 43:15A-75), all accumulated deductions standing to the credit of such an official shall be remitted to the retirement system of the city within 120 days following the receipt of the ordinance as prescribed in section 10 of this supplementary act. Such deductions shall be adjusted for all years prior to the adoption of the ordinance to determine either an overpayment or shortage in the separate account on the basis of the percentage of salary provided for in section 3 of this supplementary act. Overpayments shall be refunded, and shortages shall be established as arrearage obligations to be satisfied in the same manner as any other arrearage obligation established pursuant to section 3.

Within 180 days following the receipt of the ordinance, the pro rata part of the reserve fund constituting the employer’s obligations under P.L.1954, c. 84 (C. 43:15A-1 et seq.) applicable to the elected official’s account shall be remitted to the retirement system of the city.

Interest at the rate of 6% per annum shall be added to the employer’s obligation if such moneys are not remitted within the periods prescribed by this section.

L.1981, c. 565, s. 4, eff. Jan. 12, 1982.