(a) In any school year whenever a professional, temporary professional or nonprofessional employe is prevented by illness or accidental injury from following his or her occupation, the school district or other school entity by written agreement with the employe may, as an alternative to the payments provided in section 1154(a),¹ establish a plan excluding from wages payments made as provided in section 209(b) of the Social Security Act (49 Statute 629).²

(b) The State Treasurer is authorized to recover, on behalf of the Commonwealth and school districts and all other school entities enumerated in this act and on behalf of all officers and employes thereof, Social Security overpayments made to the United States Treasury.

(c) The expenses incurred by the State Treasurer in recovering such overpayments may be paid out of any recoveries of overpayments on behalf of the Commonwealth and school entities.

(d) The State Treasurer may take such actions as he deems reasonable in the recovery of such overpayments.

(e) The full amount of any recoveries of overpayments for employes shall be refunded to such employes. The amount of any recoveries on behalf of school entities, after deducting the expenses of collection, shall be transferred or credited to the school entities. Any expenses previously paid by the State Treasurer shall be refunded from such recoveries. Any unpaid expenses shall be paid from such recoveries.