1006                                      LAWS OF MARYLAND                                Ch. 460

except as to the benefits provided under this subtitle. The superintendent of schools
of each county shall certify to the board of trustees on each and every payroll or in
such other manner as the board of trustees may prescribe, the amounts to be
deducted; and each of said amounts shall be deducted, and when deducted shall be
paid into said Annuity Savings Fund, and shall be credited, together with regular
interest thereon to the individual account of the member from whose compensation
said deduction was made.

(d) In addition to the contributions deducted from compensation as hereinbefore
provided, subject to the approval of the board of trustees, any member may
redeposit in the Annuity Savings Fund by a single payment or by an increased rate
of contribution an amount equal to the total amount which he previously withdrew
therefrom as provided in this subtitle, or any part thereof; or any member may
deposit therein by a single payment or by an increased rate of contribution an
amount computed to be sufficient to purchase an additional annuity, which,
together with his prospective retirement allowance, will provide for him a total
retirement allowance not in excess of two thirds of his average final compensation
at age sixty or after thirty years of creditable service, whichever would first occur.
In addition to the contributions hereinbefore provided, subject to such conditions
as may be established by the board of trustees, any member may, in accordance
with a contract with his employer, have further contributions at a fixed percentage
of two percent or more, but not to exceed twenty percent of his compensation
made on his account, either by a reduction in his salary, or in lieu of an increase in
his compensation. The cost of administering annuities qualifying under § 403(b) of
the Internal Revenue Code, as amended from time to time, shall be provided from
the funds invested in such annuities. Nothing in this section shall preclude the
consideration and adoption by a local board of education of a similar plan
qualifying under § 403(b) of the Internal Revenue Code as amended from time to
time, through a commercial insurance carrier, and prior to entering into an
agreement with the board of trustees of the State Teachers Retirement System, a
county board of education shall consider a proposal of at least one commercial
insurance carrier. The criteria for choosing a plan shall be the same for both the
State Teachers' Retirement System and the commercial plans. Such additional
amounts so deposited shall become a part of his accumulated contributions except
in the case of [disability] retirement, when they shall be treated as excess
contributions returnable to the member in cash or as an annuity of equivalent
actuarial value. The accumulated contributions of the member withdrawn by him,
or paid to his estate or to his designated beneficiary in event of his death as
provided in this subtitle, shall be paid from the Annuity Savings Fund. Upon the
retirement of a member his accumulated contributions shall be transferred from
the Annuity Savings Fund to the [Annuity Reserve] ACCUMULATION Fund

[(2) 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 active service with a
compensation not less than his average final compensation at the time of his last
retirement his annuity reserve shall be transferred from the Annuity Reserve Fund
to the Annuity Savings Fund and credited to his individual account therein.]

[(3)] (2) (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 of Maryland and from which shall
be paid ALL RETIREMENT ALLOWANCES AND the lump sum death
benefits payable from the said contributions. Contributions to and payments from
the [Pension] Accumulation Fund shall be made as follows: