Ch. 661                                    1996 LAWS OF MARYLAND

(B) EACH PARTICIPATING GOVERNMENTAL UNIT SHALL MAKE A SPECIAL
ACCRUED LIABILITY CONTRIBUTION ON ACCOUNT OF ITS PARTICIPATION IN THE
EMPLOYEES' SYSTEMS.

(C) THE SPECIAL ACCRUED LIABILITY CONTRIBUTION SHALL BE
DETERMINED BY AN ACTUARIAL VALUATION OF THE SPECIAL ACCRUED LIABILITY
AS OF THE DATE OF APPROVAL OF PARTICIPATION BY THE LEGISLATIVE BODY OF
THE PARTICIPATING GOVERNMENTAL UNIT.

(D)    EXCEPT AS PROVIDED IN SUBSECTION (E) OF THIS SECTION, THE ANNUAL
SPECIAL ACCRUED LIABILITY CONTRIBUTION OF EACH PARTICIPATING
GOVERNMENTAL UNIT SHALL BE THE LEVEL ANNUAL PAYMENT THAT IS
SUFFICIENT TO LIQUIDATE, OVER 25 YEARS BEGINNING ON THE DATE OF
APPROVAL BY THE LEGISLATIVE BODY OF THE PARTICIPATING GOVERNMENTAL
UNIT, THE AMOUNT BY WHICH THE SPECIAL ACCRUED LIABILITY OF THE
PARTICIPATING GOVERNMENTAL UNIT EXCEEDS THE SUM OF:

(1)     THE PRESENT VALUE, AS OF THE DATE OF APPROVAL, OF FUTURE
NORMAL CONTRIBUTIONS, FUTURE ACCRUED LIABILITY CONTRIBUTIONS, FUTURE
CONTRIBUTIONS FOR MEMBERS OF THE EMPLOYEES' RETIREMENT SYSTEM
REQUIRED UNDER § 21-305(B)(2)(III) OF THIS SUBTITLE, FUTURE MEMBER
CONTRIBUTIONS ON BEHALF OF OR BY MEMBERS WHO ARE EMPLOYEES OF THE
PARTICIPATING GOVERNMENTAL UNIT; AND

(2)     ANY CASH AND SECURITIES TRANSFERRED TO THE EMPLOYEES'
SYSTEM IN ACCORDANCE WITH § 31-113(D) OF THIS ARTICLE.

(E)     SUBJECT TO THE APPROVAL OF THE BOARD OF TRUSTEES, A
PARTICIPATING GOVERNMENTAL UNIT MAY LIQUIDATE ITS UNFUNDED SPECIAL
ACCRUED LIABILITY:

(1)      OVER A PERIOD NOT TO EXCEED 40 YEARS; OR

(2)     SUBJECT TO THE ACTUARY'S CONCURRENCE, BY MEANS OF
ANNUAL PAYMENTS OTHER THAN LEVEL ANNUAL PAYMENTS.

(F)     A PARTICIPATING GOVERNMENTAL UNIT MAY PREPAY THE SPECIAL
ACCRUED LIABILITY IN WHOLE OR IN PART AT ANY TIME WITH INTEREST AT THE
ANNUAL RATE ESTABLISHED BY THE BOARD OF TRUSTEES AS OF THE DATE OF
PAYMENT.

(G)    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.

21-305.4.

(A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS
INDICATED.

(2) "DEFICIT' MEANS, AS TO ANY PARTICIPATING GOVERNMENTAL
UNIT, THE AMOUNT, AS OF JUNE 30, 1995, BY WHICH THE PRESENT VALUE OF THE

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