WILLIAM DONALD SCHAEFER, Governor

Ch. 6

3. INTEREST ON THE MEMBER'S AND STATE'S
CONTRIBUTIONS, COMPOUNDED ANNUALLY.

(3) THE RATE OF INTEREST TO BE PAID UNDER THIS SUBSECTION IS
THE AVERAGE FOR THE 5 YEARS PRECEDING THE YEAR OF PAYMENT OF THE
YEARLY RATE OF INTEREST COMPUTED AS THE SUM OF THE INVESTMENT INCOME
AND THE REALIZED GAINS AND LOSSES DIVIDED BY THE BOOK VALUE OF THE
TOTAL INVESTMENTS.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 73B, § 4-301(g), (h), and (i).

In subsection (a) of this section, the reference to the "benefits provided under
Subtitle 4 of this title" is deleted as surplusage.

In subsection (a)(1) of this section, the reference to eligibility service "for
which the member is not otherwise entitled to service credit" is added to
clarify that a member is not entitled to duplicate service credit for the same
period of employment.

In subsection (a)(2)(i) of this section, the reference to "complet[ing]" a claim
and the reference to "the form that the Board of Trustees provides" are added
to state expressly that which formerly only was implied - i.e., to file a claim the
member must complete a form provided by the Board of Trustees.

In subsections (a)(2)(ii) and (b)(2) of this section, the references to paying "to
the Board of Trustees" is substituted for the former reference to paying into
"this pension system" to conform to other, similar sections elsewhere in this
Division II.

In subsection (a)(3) of this section, the word "earnable" is added to modify
"compensation" for clarity.

In subsection (a)(4) of this section, the references to previous service time
with "the Department of Legislative Reference", the "Office of the Attorney
General", the "Speaker of the House or the President of the Senate as a
secretary", the "Commission to Revise the Annotated Code" and "the
Maryland State Police" are deleted as included in the reference in subsection
(a)(4)(i) to employment with "the State".

In subsection (a)(4)(iv) and (vii) of this section, the references to a "political
subdivision" are substituted for the former reference to a "municipal
corporation" or "municipality" for clarity and to reflect current practice that
also allows the purchase of credit for service with a county.

Defined terms: "Allowance" § 20-101
"Annuity reserve" § 20-101
"Board of Trustees" § 20-101
"Earnable compensation" § 20-101
"Eligibility service" § 20-101
"Employees' Pension System" § 20-101
"Member" § 20-101

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