Section 55Part 3 — Defined Contributions
Resignation from Service prior to retirement
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55. (1) An active defined contribution plan member who resigns from Service prior to becoming eligible for retirement under this Act may, at any time after that person's resignation date, elect either to leave that person's accrued benefit in the Fund until that person becomes eligible for retirement (in which case such plan member's accounts will continue to be credited with interest prescribed by regulations) or to have the Board transfer to an approved plan an amount equal to the sum of —
the plan member's plan member contribution account balance; and
the plan member's employer contribution account balance, subject to the limitations prescribed in subsections (2) and (3).
Notwithstanding paragraph (b) of subsection (1), the maximum amount that may be transferred by a plan member to an approved plan under subsection (1) shall be prescribed from time to time by the Board. If the amount determined under subsection (1) in the aggregate exceeds the permissible maximum by more than five thousand dollars, the excess of the amount determined under subsection (1) shall remain in the Fund in the plan member's employer contribution account and the plan member shall have the rights of a deferred vested plan member with respect to the account balance. If the excess amount does not exceed five thousand dollars, the amount determined under subsection (1) shall be transferred to the approved plan.
Notwithstanding subsection (2), the Board may further limit the amount, if any, in excess of the amount determined under paragraph (a) of subsection (1) that may be transferred to an approved plan if it considers such limitation necessary or advisable to avoid depletion of the Fund's assets.
A former defined contribution plan member who does not make the election described in subsection (1) shall be deemed to have elected to leave that person's accrued benefit in the Fund until that person becomes eligible for retirement (in which case such plan member's accounts will continue to earn interest credited in accordance with regulations).