(a) A cash balance group member who has withdrawn contributions and canceled service credit in a class of membership may purchase the canceled service credit in the retirement system for the purposes described by Subsection (c) by:
(1) submitting a request to the system in a form and manner prescribed by the system; and
(2) depositing with the retirement system in a lump sum the total amount of money withdrawn from a membership class not later than the first day of the 24th month after the month in which the person is reemployed or again holds office.
(b) On receipt of the cash balance group member’s deposit, the retirement system shall credit the member’s individual account in the employees saving account with that amount and apply annual and gain sharing interest beginning the first day of the month following the date of the deposit, as provided by Sections 820.102 and 820.103.

Terms Used In Texas Government Code 820.032

  • Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
  • Month: means a calendar month. See Texas Government Code 312.011
  • Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005

(c) Service credit purchased under this section may be used only:
(1) to determine whether the cash balance group member is eligible to retire and receive a cash balance annuity; and
(2) for purposes of determining eligibility to participate in the group benefits program established under Chapter 1551, Insurance Code.
(d) The retirement system may charge a reasonable administrative fee to purchase service credit under this section.

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