SPIRO T. AGNEW, Governor                        973

CHAPTER 521
(Senate Bill 234)

AN ACT to repeal and re-enact, with amendments, Section 11 (3)
(e) of Article 73B of the Annotated Code of Maryland (1967
Replacement Volume), title "Pensions," subtitle "In General,"
amending the laws concerning benefits payable under the State
Employees' Retirement System with particular reference to the
retirement allowance under certain conditions.

Section 1. Be it enacted by the General Assembly of Maryland,
That Section 11 (3) (e) of Article 73B of the Annotated Code of
Maryland (1967 Replacement Volume), title "Pensions," subtitle
"In General," be and it is hereby repealed and re-enacted, with
amendments, to read as follows:

11.

(3)

(e) (1) Notwithstanding anything in this subtitle to the con-
trary, if at the time of retirement after June 30, 1962, the retire-
ment allowance consisting of the annuity resulting from the mem-
ber's contributions and the pension determined in accordance with
paragraphs (b) and (c) above is less than one-seventieth of aver-
age final compensation for each year of creditable service, an ad-
ditional pension equal to the difference between such allowance shall
be payable; except that as to any such member more than sixty-two

years of age and having creditable service of more than thirty-nine

years who contributed on the basis of retirement at age 65 under
the provisions of Section 14 (1) (b), and as to any elected or ap-
pointed official or employee who waived the payment of such con-
tributions as provided in Section 3 (5) and 9 (7), and any member
who elects to discontinue contributions in accordance with the pro-
visions of Section 14 (1) (b), the additional pension so provided
herein shall be reduced by the actuarial equivalent of those contri-
butions which he had not paid, with interest to date of retirement;
provided, that if the member who has not attained the age of sixty
at the time of retirement has rendered less than thirty-five years
of creditable service, the additional pension equal to the difference
between such allowance shall be reduced on an actuarial equivalent
basis. EXCEPT, THAT AS TO ANY SUCH MEMBER WHO CON-
TRIBUTED ON THE BASIS OF RETIREMENT AT AGE 65
UNDER THE PROVISIONS OF SECTION 14 (1), (B), AND WHO
IS MORE THAN 63 YEARS OF AGE AND HAVING CREDIT-
ABLE SERVICE OF MORE THAN FORTY YEARS SHALL NOT
BE REDUCED BY THE ACTUARIAL EQUIVALENT.

(2)  The annuity provided as a result of voluntary contributions
permitted under this subtitle and its amendments shall be payable
and shall not be used in determining the additional pension, if any,
payable under this subdivision, nor in determining the disability
pension under Section 11, subsection (5).

(3)  The payment of the additional pensions provided herein shall
be provided for in the budget bill submitted to the General Assembly
by the Governor and on receipt of the warrant of the Comptroller,
annual payments shall be made by the Treasurer of the State of