New York Codes, Rules and Regulations
Title 2 - DEPARTMENT OF AUDIT AND CONTROL
Chapter VI - New York State and Local Employees' Retirement System and New York State and Local Police and Fire Retirement System
Part 337 - Disability Retirement For Members Of The New York State And Local Employees' Retirement System Under Article 15 Of The Retirement And Social Security Law
Section 337.8 - Reinstatement of member accounts upon restoration to membership

Where a disability beneficiary is restored to membership in connection with a return to active service, the net amount of the contribution balance standing to the credit of the member at the time of retirement, after reduction for the amount of any outstanding loan, shall be reinstated. The amount of the loan outstanding at the time of the retirement shall not be reinstated. Upon subsequent superannuation or service retirement, the benefits otherwise payable shall be reduced by the original amount offset at the time of the previous retirement with respect to an outstanding loan balance pursuant to section 613-b of the Retirement and Social Security Law plus any additional offset calculated under such section with respect to outstanding loans taken during the restored membership.