2013 Maryland Code
STATE PERSONNEL AND PENSIONS
§ 24-405 - Effect of employment of individual [Amendment subject to abrogation]


MD State Pers & Pens Code § 24-405 (2013) What's This?

§24-405. IN EFFECT

(a) Except as provided in § 24-405.1 of this subtitle and subject to subsections (b), (c), and (d) of this section, an individual who is receiving a service retirement allowance or vested allowance may accept employment with a participating employer on a temporary or contractual basis, if:

(1) the employment is not in a regularly allocated position; and

(2) the individual immediately notifies the Board of Trustees:

(i) of the individual’s intention to accept the employment; and

(ii) of the compensation that the individual will receive.

(b) (1) The Board of Trustees shall reduce the allowance of an individual who accepts employment as provided under subsection (a) of this section if:

(i) the individual’s current employer is any unit of State government; and

(ii) the individual’s employer at the time of the individual’s last separation from employment with the State before the individual commenced receiving a service retirement allowance or vested allowance was also a unit of State government.

(2) (i) Subject to subparagraph (ii) of this paragraph, the reduction under paragraph (1) of this subsection shall equal the amount by which the sum of the individual’s initial annual basic allowance and the individual’s annual compensation exceeds the average final compensation used to compute the basic allowance.

(ii) 1. Any reduction taken to a retiree’s allowance under this subsection may not exceed an amount that would reduce the retiree’s allowance to less than what is required to be deducted for the retiree’s monthly State-approved medical insurance premiums.

2. If a reduction for a calendar year taken under subsubparagraph 1 of this subparagraph is less than the reduction required under subparagraph (i) of this paragraph, the Board of Trustees shall recover from the retiree an amount equal to the reduction required under subparagraph (i) of this paragraph less the reduction taken under subsubparagraph 1 of this subparagraph.

(3) The reduction under paragraph (1) of this subsection does not apply to:

(i) an individual who has been retired for 5 years, beginning on January 1, after the date the individual retires;

(ii) an individual who participates in the Deferred Retirement Option Program established under § 24-401.1 of this subtitle; or

(iii) a retiree of the State Police Retirement System who is reemployed by the Department of State Police on a contractual basis as a police employee, as defined in § 2-101 of the Public Safety Article, at a rank of trooper first class.

(c) For purposes of this section, employment is not on a temporary basis if, in any 12-month period, an individual works:

(1) full time for more than 6 months; or

(2) part time for the equivalent of more than 6 months of full-time work.

(d) Prior to commencing reemployment under subsection (b)(3)(iii) of this section, a retiree shall terminate participation in the Deferred Retirement Option Program and receive any lump sum payment associated with the retiree’s participation in the Deferred Retirement Option Program as provided under § 24-401.1(i) of this subtitle.

(e) (1) Subject to paragraph (2) of this subsection, a retiree reemployed under subsection (b)(3)(iii) of this section may not be reemployed for more than 4 years.

(2) A retiree reemployed under subsection (b)(3)(iii) of this section may not be reemployed after becoming 60 years old.

(f) An individual who is receiving a service retirement allowance or a vested allowance and who is reemployed by a participating employer may not receive creditable service or eligibility service during the period of reemployment.

(g) The individual’s compensation during the period of reemployment may not be subject to the employer pickup provisions of § 21-303 of this article or any reduction or deduction as a member contribution for pension or retirement purposes.

(h) The State Retirement Agency shall institute appropriate reporting procedures with the affected payroll systems to ensure compliance with this section.

(i) (1) Immediately on the employment of a retiree who is rehired under subsection (b)(3)(iii) of this section, the Department of State Police shall notify the State Retirement Agency of the type of employment and the anticipated earnings of the individual.

(2) At least once each year, in a format specified by the State Retirement Agency, the Department of State Police shall provide the State Retirement Agency with a list of all employees included on any payroll of the employer, the Social Security numbers of the employees, and their earnings for that year.

(j) On or before September 1 of each year, the Secretary of State Police shall submit a report in accordance with § 2-1246 of the State Government Article to the Joint Committee on Pensions that provides:

(1) the number of rehired retirees under subsection (b)(3)(iii) of this section;

(2) the annual salary of each rehired retiree at the time of retirement and the current annual salary of each rehired retiree;

(3) the number of police employees hired who are not retirees; and

(4) the annual salary of each police employee who is hired.

24-405. // EFFECTIVE JUNE 30, 2014 PER CHAPTERS 643 AND 644 OF 2009 //

(a) Except as provided in § 24-405.1 of this subtitle and subject to subsections (b) and (c) of this section, an individual who is receiving a service retirement allowance or vested allowance may accept employment with a participating employer on a temporary basis, if:

(1) the employment is not in a regularly allocated position; and

(2) the individual immediately notifies the Board of Trustees:

(i) of the individual’s intention to accept the employment; and

(ii) of the compensation that the individual will receive.

(b) (1) This subsection does not apply to:

(i) an individual who has been retired for 5 years, beginning on January 1, after the date the individual retires; or

(ii) an individual who participates in the Deferred Retirement Option Program established under § 24-401.1 of this subtitle.

(2) (i) Subject to subparagraph (ii) of this paragraph, the Board of Trustees shall reduce an individual’s allowance by the amount that the sum of the individual’s initial annual basic allowance and the individual’s annual compensation exceeds the average final compensation used to compute the basic allowance.

(ii) 1. Any reduction taken to a retiree’s allowance under this subsection may not exceed an amount that would reduce the retiree’s allowance to less than what is required to be deducted for the retiree’s monthly State-approved medical insurance premiums.

2. If a reduction for a calendar year taken under subsubparagraph 1 of this subparagraph is less than the reduction required under subparagraph (i) of this paragraph, the Board of Trustees shall recover from the retiree an amount equal to the reduction required under subparagraph (i) of this paragraph less the reduction taken under subsubparagraph 1 of this subparagraph.

(c) For purposes of this section, employment is not on a temporary basis if, in any 12-month period, an individual works:

(1) full time for more than 6 months; or

(2) part time for the equivalent of more than 6 months of full-time work.

§ 24-405 - Effect of employment of individual (Abrogation of amendment effective June 30, 2014.)

(a) In general. -- Except as provided in § 24-405.1 of this subtitle and subject to subsections (b) and (c) of this section, an individual who is receiving a service retirement allowance or vested allowance may accept employment with a participating employer on a temporary basis, if:

(1) the employment is not in a regularly allocated position; and

(2) the individual immediately notifies the Board of Trustees:

(i) of the individual's intention to accept the employment; and

(ii) of the compensation that the individual will receive.

(b) Reduction of allowance. --

(1) This subsection does not apply to:

(i) an individual who has been retired for 5 years, beginning on January 1, after the date the individual retires; or

(ii) an individual who participates in the Deferred Retirement Option Program established under § 24-401.1 of this subtitle.

(2) (i) Subject to subparagraph (ii) of this paragraph, the Board of Trustees shall reduce an individual's allowance by the amount that the sum of the individual's initial annual basic allowance and the individual's annual compensation exceeds the average final compensation used to compute the basic allowance.

(ii) 1. Any reduction taken to a retiree's allowance under this subsection may not exceed an amount that would reduce the retiree's allowance to less than what is required to be deducted for the retiree's monthly State-approved medical insurance premiums.

2. If a reduction for a calendar year taken under subsubparagraph 1 of this subparagraph is less than the reduction required under subparagraph (i) of this paragraph, the Board of Trustees shall recover from the retiree an amount equal to the reduction required under subparagraph (i) of this paragraph less the reduction taken under subsubparagraph 1 of this subparagraph.

(c) Limitation on length of employment. -- For purposes of this section, employment is not on a temporary basis if, in any 12-month period, an individual works:

(1) full time for more than 6 months; or

(2) part time for the equivalent of more than 6 months of full-time work.

§ 24-405 - 1. Time period required for rehiring

A retiree of the State Police Retirement System who is rehired on a permanent, temporary, or contractual basis may not be rehired within 45 days of the date the individual retired if the individual's current employer is any unit of State government and the individual's employer at the time of the individual's last separation from employment with the State before the individual commenced receiving a service retirement allowance was also a unit of State government.

§ 24-405 - 2. Contributions and allowances to Maryland State Police Aviation Command helicopter pilot [Section subject to abrogation]

(a) Readjustment of allowance due to total incapacity. --

(1) This subsection applies to a retiree who:

(i) 1. is reemployed under § 24-405(b)(3)(iii) of this subtitle; or

2. is reemployed as a Maryland State Police Aviation Command helicopter pilot;

(ii) while reemployed under item (i) of this paragraph is totally and permanently incapacitated for duty in the course of the actual performance of duty without willful negligence by the retiree; and

(iii) the medical board certifies that:

1. the retiree is totally incapacitated, either mentally or physically, for the further performance of duty;

2. the retiree's incapacity is likely to be permanent; and

3. the retiree should cease reemployment.

(2) The normal service retirement allowance that a retiree described under paragraph (1) of this subsection is receiving at the time the retiree is determined to be disabled under this subsection shall be readjusted to equal two-thirds of the retiree's average final compensation at the time the retiree retired, with accumulated cost-of-living adjustments from the date the retiree retired.

(b) Payment of contributions and special allowance for death. --

(1) This subsection applies to a retiree who:

(i) 1. dies while reemployed under § 24-405(b)(3)(iii) of this subtitle; or

2. dies while reemployed as a Maryland State Police Aviation Command helicopter pilot;

(ii) dies without willful negligence by the retiree; and

(iii) is killed in the course of the actual performance of duty.

(2) When the Board of Trustees receives proof of death of a retiree and finds that the death has occurred in the manner described in paragraph (1) of this subsection, the Board of Trustees shall pay the balance of the retiree's accumulated contributions and a special death benefit allowance equal to two-thirds of the retiree's average final compensation at the time of retirement, with accumulated cost-of-living adjustments from the date the retiree retired:

(i) to the surviving spouse;

(ii) if there is no surviving spouse or if the surviving spouse dies before the youngest child of the member is 18 years old, to all children under the age of 18 years; or

(iii) if there is no surviving spouse or children younger than 18 years of age, to the member's dependent parent to continue as the Board of Trustees may direct for the rest of the parent's life.

(3) Any benefits under Title 21, Subtitle 4 of this article or § 24-403 of this subtitle may not be paid if a special death benefit is paid under paragraph (2) of this subsection.

§ 24-405 - 2. Contributions and allowances to Maryland State Police Aviation Command helicopter pilot. (Abrogation of section effective June 30, 2014.)

Abrogated.

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