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Pennsylvania Statutes Title 53 P.S. Municipal and Quasi-Municipal Corporations § 895.1113. Participation in DROP

Current as of January 01, 2026 | Updated by Findlaw Staff

(a) Election.--An eligible active member may elect to participate in a DROP for the period specified in the ordinance under section 1111(a). 1

(b) DROP participation election.--Upon deciding to participate in a DROP, a member shall submit on forms provided and required by the retirement system:

(1) A binding and irrevocable letter of resignation from regular employment with the local government that discloses the member's intent to retire and specifies the member's retirement date.

(2) An irrevocable written election to participate in the DROP that:

(i) Details a DROP participant's rights and obligations under the DROP.

(ii) Includes an agreement to forgo:

(A) Active membership in the retirement system.

(B) Any growth in the salary base used for calculating the regular retirement benefit.

(C) Any additional benefit accrual for retirement purposes, including length-of-service increments.

(iii) Specifies the effective date of DROP participation that shall be the day after the specified retirement date.

(iv) Specifies the DROP termination date that satisfies the limitation in subsection (a).

(3) Any other information required by the retirement system.

(c) DROP termination.--

(1) A DROP participant may change the DROP termination date to an earlier date within the limitations of subsection (a).  No penalty shall be imposed for early termination of DROP participation.

(2) Upon either early or regular termination of DROP participation:

(i) The DROP participant shall be separated from employment by the local government.

(ii) The retirement system shall pay the balance in the DROP participant's subsidiary DROP participant account to the terminating DROP participant as provided in section 1114(d). 2

(iii) The DROP participant shall be ineligible to reenroll in the DROP thereafter even if the former DROP participant is reemployed by the local government with renewed active membership in the retirement system.

1  53 P.S. § 895.1111.
2  53 P.S. § 895.1114.
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Cite this article: FindLaw.com - Pennsylvania Statutes Title 53 P.S. Municipal and Quasi-Municipal Corporations § 895.1113. Participation in DROP - last updated January 01, 2026 | https://codes.findlaw.com/pa/title-53-ps-municipal-and-quasimunicipal-corporations/pa-st-sect-53-895-1113/

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