856 LAWS OF MARYLAND. [CH. 349

shall be transferred from the Annuity Savings Fund to the
Annuity Reserve Fund.

(2) ANNUITY RESERVE FUND

The Annuity Reserve Fund shall be the fund in which
shall be held the reserves on all annuities in force and from
which shall be paid all annuities and all benefits in lieu of
annuities, payable as provided in this subtitle. Should a
beneficiary retired on account of disability be restored to
membership, his annuity reserve shall be transferred from
the Annuity Reserve Fund to the Annuity Savings Fund and
credited to his individual account therein.

(3) PENSION ACCUMULATION FUND

(a) The Pension Accumulation Fund shall be the fund in
which shall be accumulated all reserves for the payment of
all pensions and other benefits payable from contributions
made by the State and from which shall be paid all pensions
and other benefits on account of members with prior service
credit and the lump sum death benefits for all members pay-
able from said contributions. Contributions to and pay-
ment from the Pension Accumulation Fund shall be made as
follows:

(b) On account of each member there shall be paid annu-
ally into the Pension Accumulation Fund by the State for
the preceding fiscal year an amount equal to a certain per-
centage of the annual earnable compensation of each mem-
ber to be known as the "normal contribution", and an addi-
tional amount equal to a percentage of his annual earnable
compensation to be known as the "accrued liability contri-
bution". The rates per centum of such contributions shall be
fixed on the basis of the liabilities of the retirement system
as shown by actuarial valuation. Until the first valuation
the normal contribution shall be six and ninety-nine hun-
dredths per centum, and the accrued liability contribution
shall be four and thirty-five hundredths per centum, of the
annual earnable compensation of all members.

(c) On the basis of regular interest and of such mortality
and other tables as shall be adopted by the Board of Trus-
tees, the actuary engaged by the Board to make each valua-
tion required by this subtitle, during the period over which
the "accrued liability contribution" is payable, immediately
after making such valuation, shall determine the uniform
and constant percentage of the earnable compensation of the
average new entrant, which if contributed on the basis of