3884

LAWS OF MARYLAND

Ch. 755

such participating municipal corporation, shall be payable
in lieu of the accrued liability contribution payable on
account of other employees in the system. The . expense of
making such initial valuation shall be assessed against and
paid by the participating municipal corporation on whose
account it is necessary. On the basis of the actuarial
valuation as of June 30, 1973, the unfunded accrued
liability of each participating municipal corporation
outstanding as of that date plus the additional accrued
liability resulting from the amendments effective July 1,
1973, shall be determined; and on and after July 1, 1973,
the annual accrued liability contribution of each
participating municipal corporation shall be the flat annual
payment which will liquidate its total unfunded accrued
liability as so determined in a period of thirty years from
July 1, 1973. The accrued liability contribution for any
municipal corporation hereafter participating shall be set
on a basis to liquidate its unfunded accrued liability in a
period of thirty years. Any participating municipal
corporation may with the consent of the board of trustees
liquidate its unfunded accrued liability in a shorter period
than thirty years.}

(1)  EACH YEAR, ON ACCOUNT OF EACH OF ITS MEMBERS
EACH MUNICIPAL CORPORATION SHALL PAY INTO THE ACCUMULATION
FUND AN AMOUNT AT LEAST EQUAL TO A CERTAIN PERCENTAGE OF THE
ANNUAL EARNABLE COMPENSATION OF EACH MEMBER TO BE KNOWN AS
THE "NORMAL CONTRIBUTION", AND AN ADDITIONAL AMOUNT TO BE
KNOWN AS THE "ACCRUED LIABILITY CONTRIBUTION". THESE
AMOUNTS SHALL BE FIXED ON THE BASIS OF THE LIABILITIES OF
THE RETIREMENT SYSTEM BY ACTUARIAL VALUATION.

(2)  ON THE BASIS OF INTEREST AND THE MORTALITY
AND SERVICE TABLES ADOPTED BY THE BOARD OF TRUSTEES,
IMMEDIATELY AFTER MAKING EACH ACTUARIAL VALUATION, THE
ACTUARY SHALL DETERMINE THE "NORMAL CONTRIBUTION" ON ACCOUNT
OF EACH MEMBER, NET OF EMPLOYEE CONTRIBUTIONS, ON THE BASIS
OF THE ACCRUED BENEFIT ACTUARIAL COST METHOD. THE RATIO OF
THE SUM OF THE NORMAL CONTRIBUTIONS SO DETERMINED TO THE
TOTAL ANNUAL EARNABLE COMPENSATION OF ALL MEMBERS SHALL BE
KNOWN AS THE "NORMAL CONTRIBUTION" RATE. UPON THE
RECOMMENDATION OF THE ACTUARY, THE BOARD MAY ADJUST THE
"NORMAL CONTRIBUTION" RATE FOR THE MUNICIPAL CORPORATIONS.
SUCH ADJUSTMENTS, ALSO, SHALL PROVIDE FOR EXPERIENCE GAINS
AND LOSSES, THE EFFECT OF CHANGES IN ACTUARIAL ASSUMPTIONS,
AND THE EFFECT OF LEGISLATION ENACTED SUBSEQUENT TO JULY 1,
1980.

(3)  EACH PARTICIPATING MUNICIPAL CORPORATION
SHALL MAKE A SPECIAL ACCRUED LIABILITY CONTRIBUTION ON
ACCOUNT OF ITS APPROVAL OF THE PARTICIPATION OF ITS OFFICERS
AND EMPLOYEES IN THE EMPLOYEES' RETIREMENT SYSTEM OF THE
STATE. THIS CONTRIBUTION SHALL BE DETERMINED BY AN
ACTUARIAL VALUATION OF THE ACCRUED LIABILITY, ON ACCOUNT OF
THE OFFICERS AND EMPLOYEES OF SUCH PARTICIPATING MUNICIPAL