Kentucky Revised Statutes Title VIII. Offices and Officers § 61.625.Refund of account balance or contributions

(1)(a) Prior to the member's effective retirement date, a member if living, or if not living, his or her designated beneficiary, shall have the right to request a refund of his or her accumulated account balance if the member's employment has been terminated and the member is not participating in the same system.

(b) Upon the death of a member occurring on or after his or her effective retirement date, the member's beneficiary shall have the right to request a refund of the member's accumulated contributions, reduced by the amount of any retirement allowances previously received.

(c) If a member receives a refund of his or her accumulated account balance in error while the member is employed or participating in the same system from which the refund was issued in error:

(a) The member shall repay the system the full amount of his or her refunded accumulated account balance by lump sum or by incremental payments made under an incremental payment agreement with the Authority within twelve (12) months of the date of the final order by the Personnel Board, the Kentucky Commission on Human Rights, or the court;

(b) Upon full repayment of the accumulated account balance to the system, the Authority shall reinstate the member's previous membership date and associated service credit; and

(c) A member's failure to pay the full amount of his or her refunded accumulated account balance as required under this subsection shall be treated as an overpayment of benefits under KRS 61.685.