If a member terminates his employment with the city, either voluntarily or by discharge, and is not eligible for any other benefits under this system, the member shall be entitled to the following:

(1)     If the member has less than ten (10) years credited service upon termination, the member shall be entitled to a refund of his accumulated contributions or member may leave it deposited with the fund.

(2)     If the member has ten (10) or more years of credited service upon termination, the member shall be entitled to a monthly retirement benefit determined in the same manner as for normal or early retirement and based upon the member's credited service, average final compensation and the benefit accrual rate as of the date of termination, determined as if he had remained employed, payable to him commencing at member's otherwise normal or early retirement date, provided he does not elect to withdraw his accumulated contributions and provided member survives to his normal or early retirement date. If the member does not withdraw his accumulated contributions and does not survive to his otherwise normal or early retirement date, his designated beneficiary shall be entitled to a return of the member's accumulated contributions.

(3)     Any vested member of the system whose position is terminated, for whatever reason, but who remains employed by the city in some other capacity, shall have all retirement benefits accrued up to the date of such termination under this system preserved, provided he does not elect to withdraw his accumulated contributions from this system. Such accrued retirement benefits shall be payable at his otherwise early (reduced as for early retirement) or normal retirement date hereunder, or later, in accordance with the provisions of this system.