HARRY HUGHES, Governor

171

CONSECUTIVE YEARS THAT PROVIDE THE HIGHEST AVERAGE EARNABLE
COMPENSATION. HOWEVER, IF THE EARNABLE COMPENSATION EARNED
IN A YEAR INCLUDED IN THE PERIOD USED TO DETERMINE AVERAGE
FINAL COMPENSATION EXCEEDS THAT OF THE AVERAGE OF THE
PREVIOUS 2 YEARS' COMPENSATION BY MORE THAN 20 PERCENT, THE
AMOUNT IN EXCESS OF 20 PERCENT MAY NOT BE INCLUDED IN THE
COMPUTATION OF AVERAGE FINAL COMPENSATION, IF, IN ANY PERIOD
INCLUDED IN THE COMPUTATION OF AVERAGE FINAL COMPENSATION,
THE EMPLOYEE HAS COMPLETED LESS THAN THE NORMAL NUMBER OF
HOURS FOR A FULL-TIME EMPLOYEE SIMILARLY EMPLOYED, HIS
EARNABLE COMPENSATION FOR THIS PERIOD SHALL BE ADJUSTED TO A
FULL-TIME BASIS FOR THE PURPOSES OF THIS COMPENSATION. IF
THE PERIOD USED TO DETERMINE FINAL AVERAGE COMPENSATION IS
THE PERIOD THAT IMMEDIATELY PRECEDES THE DATE OF RETIREMENT,
ANY MONTH OR MONTHS (NOT IN EXCESS OF 12) THAT OTHERWISE
WOULD BE INCLUDED IN COMPUTING AVERAGE FINAL COMPENSATION
BUT DURING WHICH THE MEMBER WAS ON AUTHORIZED LEAVE OF
ABSENCE AT PARTIAL PAY OR WITHOUT PAY MAY NOT BE INCLUDED IN
THE COMPUTATION OF AVERAGE FINAL COMPENSATION AND THE MONTH
OR AN EQUAL NUMBER OF MONTHS IMMEDIATELY PRECEDING THIS
PERIOD SHALL BE SUBSTITUTED INSTEAD.

(15)  "ANNUITY" MEANS THE PAYMENTS FOR LIFE DERIVED
FROM THE ACCUMULATED CONTRIBUTIONS OF A MEMBER. ALL
ANNUITIES SHALL BE PAYABLE IN EQUAL MONTHLY INSTALLMENTS.

(16)  "RETIREMENT ALLOWANCE" MEANS PAYMENTS FOR LIFE OR
ANY OPTIONAL BENEFIT THAT IS PAYABLE INSTEAD. ALL
RETIREMENT ALLOWANCES SHALL BE PAYABLE IN EQUAL MONTHLY
INSTALLMENTS.

(17)  "RETIREMENT" MEANS WITHDRAWAL FROM ACTIVE SERVICE
WITH A RETIREMENT ALLOWANCE GRANTED UNDER THIS SUBTITLE.

(18)  "ACTUARIAL EQUIVALENT" MEANS A BENEFIT OF EQUAL
VALUE WHEN COMPUTED ON THE BASIS OF THE MORTALITY TABLES AND
INTEREST RATE ADOPTED FOR THE PARTICULAR PURPOSE BY THE
BOARD OF TRUSTEES.

(19)  "TAXABLE WAGE BASE" MEANS, WITH RESPECT TO EACH
CALENDAR YEAR, THE MAXIMUM AMOUNT OF ANNUAL EARNINGS FOR
EMPLOYEES SUBJECT TO TAX UNDER THE FEDERAL INSURANCE
CONTRIBUTIONS ACT, AS AMENDED.

(20)  "SOCIAL SECURITY INTEGRATION LEVEL" MEANS WITH
RESPECT TO THE CALENDAR YEAR IN WHICH A MEMBER RETIRES OR
OTHERWISE TERMINATES EMPLOYMENT, THE AVERAGE ANNUAL AMOUNT
OF EARNINGS FOR WHICH OLD-AGE AND SURVIVORS BENEFITS WOULD
BE PROVIDED UNDER TITLE 11 OF THE FEDERAL SOCIAL SECURITY
ACT FOR A MALE EMPLOYEE 65 YEARS OLD IN THAT CALENDAR YEAR,
COMPUTED AS THOUGH FOR EACH YEAR BEFORE THAT CALENDAR YEAR
ANNUAL EARNINGS ARE AT LEAST EQUAL TO THE MAXIMUM AMOUNT OF
ANNUAL EARNINGS SUBJECT TO TAX UNDER THE FEDERAL INSURANCE
CONTRIBUTIONS ACT. SUCH AVERAGE ANNUAL AMOUNT OF EARNINGS
SHALL BE ROUNDED TO THE NEXT LOWER MULTIPLE OF $100.

112. NAME AND DATE OF ESTABLISHMENT; PARTNERSHIP TO HOLD
SECURITIES.