(a) In order to satisfy Internal Revenue Service requirements that a retirement is bona fide and results in a termination of employment, a retirement shall be canceled and membership reinstated:
  (1) If the member holds a position in the class from which he retired during the calendar month following retirement; or
  (2) If a retiring member has a commitment from his present employer to be rehired. At the time of retirement, a retiring member must disclose to the retirement system any commitment from his present employer to be rehired.
(b) If the person attempting to retire establishes that the only service credited in the month after the proposed date of retirement was as the result of an oversight on the member's part or on the part of the employee's department, the member may petition the executive director for relief. The executive director may, for good cause, permit the retirement to be effective on the last day of the last month in which credit was established. The applicant must refund any annuity paid for a month prior to the new effective date of retirement.

Source Note: The provisions of this §73.7 adopted to be effective September 21, 1981, 6 TexReg 3427; amended to be effective September 14, 2008, 33 TexReg 7749