Ch. 6

1994 LAWS' OF MARYLAND

In subsection (b)(2) of this section, the word "annual" is added to modify
"basic allowance" to clarify that the annual figure is used to compare to the
annual compensation of the retiree.

Also in subsection (b)(2) of this section, the requirement that "[t]he Board of
Trustees ... reduce a retiree's retirement allowance" is substituted for the
limitation on the retirement allowance in the first sentences, and the
determination of the allowable earnings of a retiree in the third sentences, of
former Art. 73B, §§ 2-411(a)(3) and 3-408(a)(3) for clarity and to more
accurately reflect current practice — i.e., when a retiree's salary exceeds the
allowed amount, the Board of Trustees correspondingly offsets the service
retirement allowance.

Defined terms: "Average final compensation" § 20-101
"Basic allowance" § 20-101
"Board of Trustees" § 20-101
"Participating employer" § 20-101
"Retiree" § 20-101
"Retirement allowance" § 20-101

22-407. SAME — AS PERMANENT EMPLOYEE.

(A)     TERMINATION OF RETIREMENT; MEMBERSHIP REQUIRED.

IF A RETIREE WHO IS RECEIVING A SERVICE RETIREMENT ALLOWANCE IS
REEMPLOYED IN A PERMANENT POSITION WITH A PARTICIPATING EMPLOYER, THE
RETIREE'S RETIREMENT ENDS AND THE INDIVIDUAL SHALL BE RESTORED TO
MEMBERSHIP IN THE ' STATE RETIREMENT SYSTEM APPROPRIATE FOR THE
POSITION.

(B)      RETIREMENT ALLOWANCE; CREDITABLE AND ELIGIBILITY SERVICE.
THE BOARD OF TRUSTEES SHALL:

(1)      STOP RETIREMENT ALLOWANCE PAYMENTS AFTER THE LAST DAY
OF THE MONTH BEFORE THE RETIREE RETURNS TO ACTIVE EMPLOYMENT;

(2)      RESTORE PREVIOUS CREDITABLE SERVICE AND ELIGIBILITY
SERVICE TO THE ACCOUNT OF THE MEMBER; AND

(3)      CREDIT THE MEMBER WITH CREDITABLE SERVICE AND ELIGIBILITY
SERVICE PERFORMED BEGINNING THE DATE OF REEMPLOYMENT.

(C)      REDUCTION OF RESERVES.

IF THE MEMBER LATER RETIRES OR DIES WHILE EMPLOYED BY A
PARTICIPATING EMPLOYER, THE BOARD OF TRUSTEES SHALL REDUCE THE
MEMBER'S ANNUITY RESERVE AND PENSION RESERVE BY THE AMOUNT OF
PAYMENTS MADE TO THE MEMBER DURING THE MEMBER'S EARLIER RETIREMENT
UNLESS THE MEMBER HAD REIMBURSED THE STATE SYSTEM FOR THE PAYMENTS.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 73B, §§ 2-411(b) and 3-408(b).

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