Sec. 74.
(1) A member of this retirement system after May 31, 1976, who does not meet the requirements of section 73, and who enters active duty with the armed forces, may elect to receive service credit for not more than 5 years of active duty upon request and payment to the retirement system of an amount equal to 5% of the member's full-time or equated full-time compensation earned in the school fiscal year immediately before the school fiscal year in which payment is made multiplied by the years of service that the member elects to purchase up to the maximum.
(2) For the purposes of computing payment under this section, the compensation amount used shall not be less than the highest school fiscal year compensation previously earned by a member. If the compensation amount used for computing payment under this section exceeds the member's final average compensation determined at the time of retirement, the payment required under this section shall be recomputed using the member's final average compensation and a refund shall be made based upon the recomputation.
(3) Service shall not be credited if it is or would be credited under any other federal, state, or local publicly supported retirement system, but this restriction shall not apply to a person who has acquired or will acquire retirement eligibility under the federal government for service in the reserve.
(4) Service shall not be credited under this section until the member has accumulated 10 years of full-time or equated full-time service credit performed under this act or former acts.
History: 1980, Act 300, Imd. Eff. Oct. 31, 1980 ;-- Am. 1989, Act 194, Imd. Eff. Aug. 25, 1989 Popular Name: Act 300
Structure Michigan Compiled Laws
Chapter 38 - Civil Service and Retirement
Act 300 of 1980 - The Public School Employees Retirement Act of 1979 (38.1301 - 38.1467)
Article 4 - (38.1360...38.1379b)
Section 38.1360 - Purchase of Service Credit; 2 Years Service Credit Required.
Section 38.1361 - Employment of Retirant in Reporting Unit.
Section 38.1361a - Report to Legislature on Number of Active Employed Retirees.
Section 38.1362 - Purchasing Service Credit; Proof of Service; Contribution and Interest.
Section 38.1363 - Noncontributory Plan; Applicability; Duty of Reporting Unit.
Section 38.1364 - Purchase of Service Credit.
Section 38.1368 - Service Credit; Computing Terms of Service.
Section 38.1369a, 38.1369b - Repealed. 1989, Act 194, Eff. Jan. 31, 1991.
Section 38.1369d, 38.1369e - Repealed. 1989, Act 194, Eff. Jan. 31, 1991.
Section 38.1372 - Repealed. 1989, Act 194, Imd. Eff. Aug. 25, 1989.
Section 38.1374a, 38.1374b - Repealed. 1989, Act 194, Eff. Jan. 31, 1991.
Section 38.1376 - Partial Purchase of Service Credit.
Section 38.1377, 38.1378 - Repealed. 1989, Act 194, Eff. Jan. 31, 1991.
Section 38.1379 - Actuarial Cost; Recomputation.
Section 38.1379a - Recomputation of Payment for Purchase of Service; Refund.
Section 38.1379b - "Initiate a Service Credit Purchase" Defined.