disability, then the board shall not consider the application for non-duty disability until
after the expiration of the 60-day notice provided in R 38.24(1).
History: 2008 AACS.
R 38.48 Payment of retirement allowance.
Rule 48. A retirement allowance provided for in MCL 38.19, 19a, 19b, 19c and
19d of the act shall not be paid for any period of time before the date that the application
is filed with the board.
History: 2008 AACS.
R 38.49 Retirement allowance; overpayment.
Rule 49. (1) If the retirement system pays a retirant or beneficiary more in a
retirement allowance than he or she is entitled to receive, the retirement system
shall do both of the following:
(a) Pursuant to MCL 38.41, immediately correct the error, notify the retirant or
beneficiary of the correction of the error and provide the retirant or beneficiary with
his or her correct retirement allowance.
(b) Not recover any overpayment to a retirant or beneficiary for those payments
which the retirant or beneficiary received more than 6 years prior to the date of the
notification to the retirant or beneficiary of the error by the retirement system except in
each of the following situations when the retirement system shall recover the full amount
of the overpayment:
(i) If the member, retirant, or beneficiary misrepresented the information provided
to the retirement system and the retirement system calculated the retirement allowance
based upon that incorrect information.
(ii) If the member, retirant, or beneficiary knew or should have known of the error
and did not notify the retirement system of the error so that the retirement system could
correct it.
(iii) If the annual retirement allowance which the retirant or beneficiary received
was greater than the retirant's final average compensation.
(2) The retirement system shall recover the entire amount of the overpayment
received by the retirant or beneficiary in the situations set forth in subrule (1)(b)(i), (ii)
and (iii) of this rule by adjusting future payments to the retirant or beneficiary in such a
manner that the actuarial equivalent of the correct benefit is paid. For purposes of
determining the actuarial equivalent retirement allowance, the actuarially assumed
interest rate shall be 8% with utilization of the 1983 group annuity and mortality table.
(3) Except as provided in subrule (1)(b) of this rule, depending upon which is
most beneficial to the retirant or beneficiary, the retirement system shall recover the
overpayment received by the retirant or beneficiary during the 6 years prior to the date of
the notification of the error by doing either of the following:
(a) Allowing the retirant or beneficiary to repay the overpayment in 1 lump sum.
(b) Reducing the retirant's or beneficiary's correct monthly retirement allowance
by 1 of the following:
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