2706

LAWS OF MARYLAND

[Ch. 556

TO ELECT AN OPTIONAL RETIREMENT PROGRAM BY REASON OF (I)
THE CERTIFICATION OF THE POSITION HELD BY HIM AS
PROFESSIONAL STAFF PURSUANT TO SECTIONS 190(2) AND (3),
210 OR 211 OF THIS ARTICLE OR SECTIONS 5(B), 12(D) OR
29(B) OF ARTICLE 77A OF THIS CODE, OR (II) HIS
APPOINTMENT, PROMOTION, TRANSFER OR RECLASSIFICATION TO A
POSITION PREVIOUSLY SO CERTIFIED, MAY ELECT THE OPTIONAL
RETIREMENT PROGRAM ESTABLISHED PURSUANT TO THIS SECTION.
THIS ELECTION SHALL BE MADE IN WRITING AND FILED WITH THE
RETIREMENT SYSTEM AND WITH THE EMPLOYING INSTITUTION
WITHIN 90 DAYS AFTER NOTICE IN WRITING TO THE EMPLOYEE OF
HIS ELIGIBILITY, AND SHALL BECOME EFFECTIVE ON THE FIRST
DAY OF JULY COINCIDING WITH OR NEXT FOLLOWING THE DATE OF
THE ELECTION AND SHALL CONSTITUTE A WAIVER OF ALL RIGHTS
AND BENEFITS PROVIDED BY THE TEACHERS' RETIREMENT SYSTEM,
EXCEPT AS OTHERWISE PROVIDED.

(4) NO ELECTION BY AN ELIGIBLE EMPLOYEE OF
AN OPTIONAL RETIREMENT PROGRAM SHALL BE EFFECTIVE UNLESS
IT IS ACCOMPANIED BY AN APPROPRIATE APPLICATION, WHERE
REQUIRED, FOR THE ISSUANCE OF A CONTRACT [[OF]] OR
CONTRACTS UNDER THE PROGRAM.

(E)    THE STATE SHALL CONTRIBUTE ON BEHALF OF EACH
PARTICIPANT IN THE OPTIONAL RETIREMENT PROGRAM THE AMOUNT
WHICH IT WOULD HAVE BEEN REQUIRED TO ALLOCATE AND
CONTRIBUTE TO THE TEACHERS' RETIREMENT SYSTEM FOR EACH
PARTICIPANT AS A MEMBER OF THE TEACHERS' RETIREMENT
SYSTEM, EXCEPT THE AMOUNTS CONTRIBUTED IN ACCORDANCE WITH
SECTIONS 195(2) (D) (1) AND 195A OF THIS ARTICLE.
HOWEVER, IN NO EVENT SHALL THE CONTRIBUTION BE LESS THAN
FIVE PERCENT OF EACH PARTICIPANT'S EARNABLE COMPENSATION.
EACH PARTICIPANT SHALL CONTRIBUTE THE AMOUNT WHICH HE
WOULD HAVE BEEN REQUIRED TO CONTRIBUTE AS A MEMBER OF THE
TEACHERS' RETIREMENT SYSTEM. CONTRIBUTIONS AUTHORIZED OR
REQUIRED BY THE PROVISIONS OF THIS SUBSECTION ON BEHALF
OF EACH PARTICIPANT MAY BE MADE BY PAYROLL DEDUCTION OR
BY A REDUCTION IN SALARY IN ACCORDANCE WITH THE
PROVISIONS OF SECTION 403[[(E)]] (B) OF THE UNITED STATES
INTERNAL REVENUE CODE. PAYMENT OF CONTRIBUTIONS SHALL BE
MADE BY THE APPROPRIATE GOVERNING BOARD TO THE DESIGNATED
COMPANY FOR THE BENEFIT OF EACH PARTICIPANT. IN THE
EVENT OF A QUALIFIED EMPLOYEE PARTICIPATING IN AN
OPTIONAL RETIREMENT PROGRAM WHOSE COMPENSATION IS PAID
FROM SPECIAL AND/OR FEDERAL FUNDS, THE STATE'S
CONTRIBUTION TO SUCH OPTIONAL RETIREMENT PROGRAM SHALL BE
PAID FROM THE SPECIAL AND/OR FEDERAL FUNDS.

(F)    ANY ELIGIBLE EMPLOYEE WHO IS A MEMBER OF THE
TEACHERS' RETIREMENT SYSTEM OF THE STATE OF MARYLAND AT
THE TIME HE ELECTS TO PARTICIPATE IN AN OPTIONAL
RETIREMENT PROGRAM ESTABLISHED PURSUANT TO THIS SECTION
SHALL BE DEEMED TO BE A PERSON WHO DISCONTINUES SERVICE
IN THE TEACHERS' RETIREMENT SYSTEM ON THE EFFECTIVE DATE