Section 101. Reduction or suspension of benefits

a. If a retired member,
  receiving a retirement allowance for  other  than  physical  disability,
  returns  to  active public service, except as otherwise provided in this
  section or section two hundred eleven or  two  hundred  twelve  of  this
  chapter,  and  is  eligible  for membership in the retirement system, he
  thereupon shall become a  member  and  his  retirement  allowance  shall
  cease. In such event, he shall contribute to the retirement system as if
  he were a new member. Upon his subsequent retirement he shall:
    1.  Be  credited  with  all member service earned by him since he last
  became a member of the retirement system, and
    2. Receive a retirement allowance which shall consist of:
    (a)  An  annuity  which  is  the  actuarial  equivalent  of  all   his
  accumulated contributions, and
    (b)            The           pension           including           the
  pension-providing-for-increased-take-home-pay  which  he  was  receiving
  immediately  prior to his last restoration to membership, plus a pension
  including the pension-providing-for-increased-take-home-pay  based  upon
  the  member  service credit earned by him since he last became a member.
  Such latter pensions shall be computed as if he were a new  member  when
  he last became a member.
    Where  such  member  shall  have  earned  at least two years of member
  service credit after restoration to active service,  the  total  service
  credit  to  which  he was entitled at the time of his earlier retirement
  may, at his option, again be credited to him  and  upon  his  subsequent
  retirement  he  shall  be  credited  in addition with all member service
  earned by him subsequent to his last  restoration  to  membership.  Such
  total service credit to which he was entitled at the time of his earlier
  retirement  shall  be  so  credited  only  in the event that such member
  returns to the retirement system with  regular  interest  the  actuarial
  equivalent  of the amount of the retirement allowance he received, or in
  the event that such amount is not so  repaid  the  actuarial  equivalent
  thereof shall be deducted from his subsequent retirement allowance.
    Notwithstanding  the  foregoing  provisions  of  this  subdivision,  a
  retired member who is receiving a retirement allowance  for  other  than
  physical disability, and who returns to active public service, may elect
  not  to  be restored to membership in the retirement system until he has
  rendered one year of service following his return to public service.  In
  such  event his retirement allowance shall be suspended during such year
  of  service  as  provided  in  subdivision  b  of  this  section.   Upon
  restoration  to membership following completion of such year of service,
  his service in such year shall be deemed to be service  while  a  member
  for  purposes  of subdivision b of section sixty of this chapter. He may
  purchase member service credit for such  year,  which  shall  be  deemed
  earned  member service credit.  This paragraph shall not be construed to
  authorize the return to public service of any person  who  is  otherwise
  not eligible therefor on account of having reached age seventy.
    If  a  retired  member receiving a retirement allowance for other than
  physical disability, returns to  active  public  service,  and  is  then
  ineligible  for  membership  in  the  retirement  system, his retirement
  allowance  shall  be  suspended  in  the  same  manner  as  provided  in
  subdivision b of this section.
    b. Temporary service.
    1.  The payment of any retirement allowance, or of any benefit in lieu
  thereof, on account of retirement for  other  than  physical  disability
  shall  be  suspended  as  provided  herein,  during  the  time  that the
  beneficiary thereof is in receipt of other compensation paid from direct
  or indirect state or municipal taxes:

    (a) For temporary government or temporary public  service  other  than
  jury duty, or
    (b)  For  service  pursuant to subdivision d of this section where the
  retired member continues as a beneficiary of the retirement system, or
    (c) For service pursuant to subdivision e of this  section  where  the
  retired  member  has  not  elected  to  again  become  a  member  of the
  retirement system.
    2. In the case of a retirement allowance, without option,  the  amount
  of        the        pension        portion,        including        the
  pension-providing-for-increased-take-home-pay, suspended for any  period
  shall  be  equal  to  the amount of such other compensation for the same
  period.
    3. In the case where an optional  benefit  in  lieu  of  a  retirement
  allowance  without  option shall have been selected, the pension portion
  thereof,  including  the  pension-providing-for-increased-take-home-pay,
  shall be suspended in such manner as the comptroller shall approve.  The
  amount  so  suspended  shall be equal to the actuarial equivalent of the
  amount by  which  the  pension  portion  of  the  retirement  allowance,
  including the pension-providing-for-increased-take-home-pay, as it would
  be  without option, would be suspended pursuant to paragraph two of this
  subdivision b.  The retired member, however, may  pay  to  the  fund  or
  funds  from  which  the  pension  portion  of  his retirement allowance,
  including the pension-providing-for-increased-take-home-pay, is  payable
  the  difference  between  the suspended portion thereof, without option,
  and the suspended  portion  of  the  optional  pension  portion  of  the
  retirement              allowance,             including             the
  pension-providing-for-increased-take-home-pay, granted to him.  In  such
  event  any payments to his beneficiary shall be made as if no suspension
  occurred.
    4. In the case of a member whose compensation for  public  service  is
  equal to or greater than his final salary as defined herein, the annuity
  portion of his retirement allowance shall be suspended during the period
  that  he  is  receiving such compensation. In the case of a member whose
  compensation for public service is less than his final salary as defined
  herein and who has retired without  option,  he  shall  be  entitled  to
  receive  that portion of his annuity computed without option which, when
  added to his compensation  for  public  service,  does  not  exceed  the
  aforesaid  final  salary,  except that in the case of a retired judge or
  justice who serves as an official referee he shall receive that  portion
  of  his  annuity  computed  without  option,  which  when  added  to the
  compensation he is receiving from the state shall not exceed such  final
  salary paid by the state. Where an optional benefit has been selected in
  lieu of a retirement allowance without option, the amount of the annuity
  suspended  shall  be  the  actuarial equivalent of the amount that would
  have been suspended if the retirement allowance had been without option.
  In such a case the retired member may pay to the  fund  or  funds,  from
  which  the  annuity  portion of his retirement allowance is payable, the
  difference between  that  portion  of  the  annuity  which  is  actually
  suspended,  in accordance with the provisions of this paragraph, and the
  corresponding portion of the annuity without option. In such  event  any
  payments  to his beneficiary shall be made as if no suspension occurred.
  The term "final salary", as used  in  this  paragraph,  shall  mean  the
  maximum  salary or compensation which the retired member currently would
  be receiving in the position from which he last retired, if he  had  not
  so  retired,  except  in  the case of an official referee shall mean his
  final average salary had he retired at age seventy. If the position from
  which he was so retired has been abolished  the  comptroller,  upon  the
  basis  of salary or compensation currently paid in similar or comparable

  positions, shall determine the maximum amount of salary or  compensation
  which  the  retired member currently would be receiving in the abolished
  position.
    c. Retired judges or justices certified for service as justices of the
  supreme court.
    1. In the event that a judge or justice shall:
    (a)  Have  retired  and  is receiving a retirement allowance from this
  retirement system, or another  retirement  system  of  which  he  was  a
  member, and
    (b)  Be  certified  for  service  as  a  justice  of the supreme court
  pursuant to section one hundred fourteen or one hundred fifteen  of  the
  judiciary  law, his retirement allowance shall cease. He thereupon again
  shall become a member of the retirement system of which he formerly  was
  a member. In such event he shall contribute, as if he were a new member,
  to  the  annuity  savings  fund  of  this  retirement  system  or to the
  equivalent fund of such other retirement system.
    2. Upon his subsequent retirement he shall:
    (a) Be credited by the appropriate retirement system with  all  member
  service earned by him since he last became a member thereof, and
    (b)  Receive  a  retirement  allowance  from  such  system which shall
  consist of:
    (1) An annuity which  is  the  actuarial  equivalent  of  all  of  the
  member's accumulated contributions, and
    (2)           The           pension,           including           the
  pension-providing-for-increased-take-home-pay, which  he  was  receiving
  immediately prior to his last restoration to membership, plus a pension,
  including  the pension-providing-for-increased-take-home-pay, based upon
  the member service credit earned by him since he last became  a  member.
  Such  latter  pensions shall be computed as if he were a new member when
  he last became a member.
    3.  The  provisions  of  this  subdivision  c  shall  be   controlling
  notwithstanding any other provision of this chapter.
    d.  Election  or  appointment  of  retired  members  to certain public
  offices.  1. A retired member, unless otherwise disqualified,  shall  be
  eligible to:
    (a) Election to a state office, or
    (b) Appointment to fill a vacancy in an elective state office, or
    (c) Appointment as an official referee.
    2.  In  the  event  a  retired  member is so elected, except a retired
  member so elected and who is receiving less than ten thousand dollars in
  retirement allowance or benefit payments in any one year, or  appointed,
  or so qualifies, he may:
    (a)   Upon  written  notice  to  the  comptroller,  receive  from  the
  retirement system the then present value of the annuity  earned  by  his
  accumulated  contributions,  and  upon  receipt  thereof  cease  to be a
  beneficiary of the retirement system, or
    (b) Continue as a beneficiary  of  the  retirement  system,  but  with
  payments  of any retirement allowance or any benefit in lieu thereof, on
  account of retirement for  other  than  physical  disability,  suspended
  during  the  time  he  is in receipt of compensation for state or public
  service.   Such suspension  shall  be  governed  by  the  provisions  of
  paragraphs two, three and four of subdivision b of this section.
    3.  The  provisions  of section one hundred fifty of the civil service
  law shall govern  with  respect  to  state  and  local  elective  public
  officers.
    e. Legislative officers and employees.
    In  the  case of any person who shall have retired after having served
  as an officer or employee of the legislature for a period in  excess  of

  fifteen  years and whose return to active service shall be requested, in
  a written certificate of and filed with the comptroller by:
    1.  The  president  pro  tem  of  the senate, if the service be in the
  senate, or
    2. The speaker of the assembly, if the service be in the assembly, or
    3. Both such officers, if the service be under the jurisdiction of the
  senate and assembly jointly, except that the president of the senate and
  the speaker of the assembly shall be authorized to make such request  in
  a  case  where  they  are  empowered  to  make  such an appointment, the
  provisions of subdivision a of this  section  shall  not  be  applicable
  unless  the officer or employee so returned to active service shall file
  with the comptroller, within thirty days thereafter,  a  written  notice
  that  he elects to be subject to the provisions thereof. In the event he
  does not so elect, the provisions of subdivision b of this section shall
  be applicable to him.