PARRIS N. GLENDENING, Governor

Ch. 661

(6) The expense of making the initial special accrued liability actuarial
valuation shall be assessed against and paid by the participating governmental unit on
whose account it is necessary.

(f) (1) In this subsection, "withdrawal liability" means, as to any participating
governmental unit withdrawing from the employees' systems, the liability of the
employees' systems on account of:

(i) employees of the participating governmental unit who do not elect
to withdraw;

(ii) retirees of the employees' systems who retired from the service of
the participating governmental unit and the designated beneficiaries of those retirees;
and

(iii) former members of the employees' systems eligible for a vested
allowance who separated from employment with the participating governmental unit.

(2)     On and after the date of a participating governmental unit's withdrawal
from the employees' systems under § 31-302(a) of this article:

(i) the participating governmental unit and its employees are not
required to make any further contributions to the employees' systems for those employees
who elect to withdraw from the employees' systems;

(ii) the participating governmental unit shall continue to make the
normal contribution on behalf of each employee who does not elect to withdraw from the
employees' systems; and

(iii) the participating governmental unit shall make a withdrawal
liability contribution as determined under this subsection.

(3)     The withdrawal liability contribution shall be determined by an actuarial
valuation of the withdrawal liability as of the date of withdrawal.

(4)     Except as provided in paragraph (5) of this subsection, the annual
withdrawal liability contribution of each participating governmental unit shall be the level
annual payment that is sufficient to liquidate, over not more than 10 years beginning on
the date of withdrawal, the amount by which the withdrawal liability of the participating
governmental unit exceeds the sum of:

(i) the present value, as of the date of withdrawal, of future normal
contributions and future member contributions on behalf of or by those employees of the
participating governmental unit who do not elect to withdraw; and

(ii) the allocable portion of the reserve as of the date of withdrawal
attributable to those employees of the participating governmental unit who do not elect to
withdraw.

(5) Subject to the approval of the Board of Trustees and the actuary's
concurrence, a participating governmental unit may liquidate its unfunded withdrawal
liability by means of annual payments other than level annual payments.]

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