EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0486*
HOUSE BILL 486
P6 2lr2099
By: Delegate Ebersole
Introduced and read first time: January 21, 2022
Assigned to: Appropriations
A BILL ENTITLED
AN ACT concerning 1
State Retirement and Pension System – Prorated Payment of Benefits on Death 2
FOR the purpose of providing for the prorated payment of benefits when a designated 3
beneficiary or retiree of the State Retirement and Pension System dies; and 4
generally relating to payment of benefits on the death of a designated beneficiary or 5
retiree of the State Retirement and Pension System. 6
BY repealing and reenacting, with amendments, 7
Article – State Personnel and Pensions 8
Section 21–406 9
Annotated Code of Maryland 10
(2015 Replacement Volume and 2021 Supplement) 11
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 12
That the Laws of Maryland read as follows: 13
Article – State Personnel and Pensions 14
21–406. 15
(a) [(1) If] WHEN a designated beneficiary who is receiving payments for life 16
dies [on or before the 15th day of a month, the Board of Trustees may not pay any portion 17
of the designated beneficiary’s allowance to the designated beneficiary’s estate for the 18
month in which the death occurs. 19
(2) If a designated beneficiary who is receiving payments for life dies on or 20
after the 16th day of a month], the Board of Trustees shall pay to the designated 21
beneficiary’s estate the [entire] PART OF THE allowance due to the designated beneficiary 22
for the month in which the death occurs. 23
2 HOUSE BILL 486
(b) [(1) If] WHEN a retiree dies [on or before the 15th day of a month, the Board 1
of Trustees may not pay any portion of the retiree’s allowance to the designated beneficiary 2
or the retiree’s estate for the month in which the death occurs. 3
(2) If a retiree dies on or after the 16th day of a month], the Board of 4
Trustees shall pay the [entire] PART OF THE allowance due to the retiree for the month in 5
which the death occurs: 6
[(i)] (1) to the designated beneficiary; or 7
[(ii)] (2) if there is no designated beneficiary, to the retiree’s estate. 8
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 9
1, 2022. 10