EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0601*
HOUSE BILL 601
P6 3lr2171
CF SB 454
By: Delegate Forbes
Introduced and read first time: February 3, 2023
Assigned to: Appropriations
A BILL ENTITLED
AN ACT concerning 1
State Police Retirement System, Law Enforcement Officers’ Pension System, 2
and Judges’ Retirement System – Surviving Spouse Benefit – Same–Sex Spouses 3
FOR the purpose of authorizing the correction of the designated beneficiary election for 4
certain retirees of the State Police Retirement System, Law Enforcement Officers’ 5
Pension System, or Judges’ Retirement System who retired on or before a certain 6
date if the retiree named an individual of the same sex to be a designated beneficiary 7
and the retiree later married the designated beneficiary; and generally relating to 8
the State Police Retirement System, Law Enforcement Officers’ Pension System, and 9
Judges’ Retirement System. 10
BY repealing and reenacting, without amendments, 11
Article – State Personnel and Pensions 12
Section 24–403, 26–402, and 27–403 13
Annotated Code of Maryland 14
(2015 Replacement Volume and 2022 Supplement) 15
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16
That the Laws of Maryland read as follows: 17
Article – State Personnel and Pensions 18
24–403. 19
(a) This section applies only to a retiree who has retired with a service retirement 20
allowance or a disability retirement allowance or a former member who has retired with a 21
deferred vested allowance. 22
(b) On the death of a retiree or former member, the Board of Trustees shall pay 23
80% of the retiree’s retirement allowance: 24
2 HOUSE BILL 601
(1) to the surviving spouse; or 1
(2) if there is no surviving spouse or if the surviving spouse dies, to any 2
children of the deceased retiree who are under 18 years of age or disabled, as defined under 3
§ 72(m)(7) of the Internal Revenue Code, in accordance with subsection (c) of this section. 4
(c) (1) Except as provided in paragraphs (2) and (3) of this subsection, if the 5
Board of Trustees pays an allowance to more than one child, the Board of Trustees shall 6
divide the allowance among the children in a manner that provides for payments to 7
continue until: 8
(i) each child has died; or 9
(ii) each child becomes 18 years old. 10
(2) Notwithstanding paragraph (1)(ii) of this subsection, a surviving child 11
who is disabled shall continue to receive an allowance under paragraph (1) of this 12
subsection past the age of 18 years, if the child continues to be disabled. 13
(3) (i) If a surviving child receiving an allowance under paragraph (1) 14
of this subsection is disabled, as defined under § 72(m)(7) of the Internal Revenue Code, the 15
Board of Trustees shall pay to the disabled surviving child an allowance equal to the total 16
of the allowances paid under paragraph (1) of this subsection after: 17
1. all other nondisabled surviving children have died; or 18
2. the youngest nondisabled surviving child becomes 18 19
years old. 20
(ii) If more than one surviving child is disabled, as defined under § 21
72(m)(7) of the Internal Revenue Code, the allowance payable under this paragraph shall 22
be divided equally among the disabled children. 23
26–402. 24
(a) This section applies to the surviving spouse or a child of a retiree in receipt of 25
a service retirement allowance or a disability retirement allowance. 26
(b) On the death of a retiree, the Board of Trustees shall pay 50% of the retiree’s 27
retirement allowance to: 28
(1) the surviving spouse; or 29
(2) if there is no surviving spouse or if the surviving spouse dies, to any 30
children of the deceased retiree who are under 26 years old or disabled, as defined under § 31
72(m)(7) of the Internal Revenue Code. 32
HOUSE BILL 601 3
(c) (1) Except as provided in paragraphs (2) and (3) of this subsection, if the 1
Board of Trustees pays an allowance to more than one child, the Board of Trustees shall 2
divide the allowance among the children in a manner that provides for payments to 3
continue until: 4
(i) each child has died; or 5
(ii) each child becomes 26 years old. 6
(2) Notwithstanding paragraph (1)(ii) of this subsection, a surviving child 7
who is disabled shall continue to receive an allowance under paragraph (1) of this 8
subsection past the age of 26 years, if the child continues to be disabled. 9
(3) (i) If a surviving child receiving an allowance under paragraph (1) 10
of this subsection is disabled, as defined under § 72(m)(7) of the Internal Revenue Code, the 11
Board of Trustees shall pay to the disabled surviving child an allowance equal to the total 12
of the allowances paid under paragraph (1) of this subsection after: 13
1. all other nondisabled surviving children have died; or 14
2. the youngest nondisabled surviving child becomes 26 15
years old. 16
(ii) If more than one surviving child is disabled, as defined under § 17
72(m)(7) of the Internal Revenue Code, the allowance payable under this paragraph shall 18
be divided equally among the disabled children. 19
27–403. 20
(a) (1) Except as provided in paragraph (2) of this subsection, on the death of 21
a member, the Board of Trustees shall pay to the surviving spouse 50% of the retirement 22
allowance that would be payable were the member alive and eligible to receive a retirement 23
allowance. 24
(2) (i) If at the time of death the member does not have a surviving 25
spouse or a child who is under the age of 26 years or is disabled, the Board of Trustees shall 26
pay to the member’s designated beneficiary or beneficiaries a lump–sum death benefit 27
consisting of the sum of: 28
1. the member’s accumulated contributions; and 29
2. an amount equal to the member’s annual salary at the 30
time of death. 31
(ii) If a member has designated more than one beneficiary, the 32
lump–sum death benefit provided in subparagraph (i) of this paragraph shall be divided 33
equally among the beneficiaries. 34 4 HOUSE BILL 601
(b) On the death of a former member or retiree, the Board of Trustees shall pay 1
to the surviving spouse 50% of the retirement allowance that would be payable were the 2
former member or retiree alive and eligible to receive a retirement allowance. 3
(c) (1) This subsection applies to a member, former member, or retiree who at 4
the time of death: 5
(i) does not have a spouse; and 6
(ii) has a child under the age of 26 years, or a child who is disabled. 7
(2) The Board of Trustees shall pay to the surviving children of the 8
member, former member, or retiree who are under the age of 26 years or are disabled the 9
retirement allowance that would have been paid to a surviving spouse under subsection (a) 10
or (b) of this section. 11
(3) (i) Except as provided in subparagraphs (ii) and (iii) of this 12
paragraph, if the Board of Trustees pays an allowance to more than one child, the Board of 13
Trustees shall divide the allowance equally among the children in a manner that provides 14
for payments to continue until: 15
1. each child has died; or 16
2. each child becomes 26 years old. 17
(ii) Notwithstanding paragraph (3)(i)2 of this subsection, a surviving 18
child who is disabled shall continue to receive an allowance under subparagraph (i) of this 19
paragraph past the age of 26 years, if the child continues to be disabled. 20
(iii) If a surviving child receiving an allowance under subparagraph 21
(i) of this paragraph is disabled, as defined under § 72(m)(7) of the Internal Revenue Code, 22
the Board of Trustees shall pay to the disabled surviving child an allowance equal to the 23
total of the allowances paid under subparagraph (i) of this paragraph after: 24
1. all other nondisabled surviving children have died; or 25
2. the youngest nondisabled surviving child becomes 26 26
years old. 27
(iv) If more than one surviving child is disabled, as defined under § 28
72(m)(7) of the Internal Revenue Code, the allowance payable under subparagraph (iii) of 29
this paragraph shall be divided equally among the disabled children. 30
SECTION 2. AND BE IT FURTHER ENACTED, That: 31
(a) (1) In this section the following words have the meanings indicated. 32 HOUSE BILL 601 5
(2) “Allowance” means a benefit that is payable in equal monthly 1
installments for the life of the recipient, except as otherwise provided for an optional form 2
of an allowance under § 21–403 of the State Personnel and Pensions Article. 3
(3) “Beneficiary” means a person, other than a retiree, in receipt of a 4
benefit from the State Retirement and Pension System. 5
(4) “Board of Trustees” means the Board of Trustees for the State 6
Retirement and Pension System. 7
(5) “Designated beneficiary” means a person named as beneficiary by a 8
member, a former member, or a retiree by filing: 9
(i) an acknowledged written designation with the State Retirement 10
Agency; or 11
(ii) a properly completed form submitted through the State 12
Retirement Agency’s secure access participant portal with an electronic signature affixed 13
in the required manner and format. 14
(6) “Judges’ Retirement System” means the Judges’ Retirement System of 15
the State of Maryland. 16
(7) “Law Enforcement Officers’ Pension System” means the Law 17
Enforcement Officers’ Pension System of the State of Maryland. 18
(8) “Member” means, unless a different meaning is plainly required by the 19
context, an individual: 20
(i) for whom membership in a State system is a condition of 21
employment; or 22
(ii) 1. for whom membership in a State system is optional; and 23
2. who has elected to become a member of that State system. 24
(9) “Pension” means the part of an allowance that is derived from employer 25
contributions. 26
(10) “Retiree” means an individual who: 27
(i) has separated from employment with a participating employer; 28
and 29
(ii) receives a retirement allowance from the State Retirement and 30
Pension System. 31 6 HOUSE BILL 601
(11) “Retirement” means the grant of a retirement allowance from the State 1
Retirement and Pension System after separation from employment with a participating 2
employer. 3
(12) (i) “Retirement allowance” means an allowance that is payable at 4
the time of separation from employment with a participating employer. 5
(ii) “Retirement allowance” includes: 6
1. a service retirement allowance; and 7
2. a disability retirement allowance. 8
(iii) “Retirement allowance” does not include a vested allowance. 9
(13) “State Police Retirement System” means the State Police Retirement 10
System of the State of Maryland. 11
(b) (1) This subsection applies to a retiree of the State Police Retirement 12
System who: 13
(i) retired on or before December 31, 2012; 14
(ii) at the time of retirement, selected one of the optional allowances 15
available under § 21–403 of the State Personnel and Pensions Article and designated an 16
individual of the same sex as the retiree to be a designated beneficiary; 17
(iii) on or after January 1, 2013, married the retiree’s designated 18
beneficiary; and 19
(iv) on July 1, 2023, was not divorced from the retiree’s designated 20
beneficiary. 21
(2) (i) On or before December 31, 2023, a retiree described in paragraph 22
(1) of this subsection may submit to the Board of Trustees: 23
1. a form provided by the State Retirement Agency, 24
requesting that the retiree’s optional retirement allowance be converted to a basic 25
allowance that provides the spouse of the retiree with a survivor benefit under § 24–403 of 26
the State Personnel and Pensions Article; 27
2. a marriage license indicating the retiree entered into a 28
marriage with the retiree’s designated beneficiary; and 29
3. a form provided by the State Retirement Agency 30
confirming the retiree and designated beneficiary are not divorced on or before July 1, 2023. 31 HOUSE BILL 601 7
(ii) If a retiree described in paragraph (1) of this subsection dies after 1
the date the retiree married the retiree’s designated beneficiary but before July 1, 2023, 2
the retiree’s designated beneficiary may submit the documents required under 3
subparagraph (i) of this paragraph. 4
(3) (i) If a retiree is alive and submitted the documents as required 5
under paragraph (2)(i) of this subsection, the Board of Trustees shall adjust the retiree’s 6
optional retirement allowance as provided in paragraph (4) of this subsection after 7
receiving the documents. 8
(ii) If a retiree is deceased and the retiree’s designated beneficiary 9
submitted the documents under paragraph (2)(ii) of this subsection, the Board of Trustees, 10
after receiving the documents, shall: 11
1. adjust the designated beneficiary’s survivor benefit as 12
provided in paragraph (6)(i) of this subsection; and 13
2. make a lump sum payment to the retiree’s designated 14
beneficiary as provided in paragraph (6)(iii) of this subsection. 15
(4) (i) The Board of Trustees shall adjust a retiree’s optional retirement 16
allowance to an amount equal to the basic allowance the retiree would have received at the 17
time of retirement. 18
(ii) The adjustment made under subparagraph (i) of this paragraph 19
shall include any cost–of –living increases the retiree would have received from the date of 20
retirement through July 1, 2023. 21
(iii) 1. Any adjustment made under this paragraph shall include 22
a lump sum payment of the basic allowance, including all cost–of–living adjustments the 23
retiree would have received from the date of retirement through July 1, 2023, with interest 24
calculated at 4% per year, compounded annually. 25
2. The retroactive lump sum adjustment paid under 26
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 27
retirement allowance that the retiree has received, including any cost –of–living 28
adjustments, from the retiree’s date of retirement through July 1, 2023, with interest 29
calculated at 4% per year, compounded annually. 30
(5) If the retiree predeceases the retiree’s designated beneficiary, the 31
retiree’s designated beneficiary shall receive the survivor benefit provided under § 32
24–403 of the State Personnel and Pensions Article. 33
(6) (i) If a retiree described in paragraph (1) of this subsection dies after 34
the date the retiree married the retiree’s designated beneficiary but before July 1, 2023, 35
the Board of Trustees shall adjust the survivor benefit the retiree’s designated beneficiary 36 8 HOUSE BILL 601
is receiving on July 1, 2023, to an amount equal to the survivor benefit under § 24–403 of 1
the State Personnel and Pensions Article. 2
(ii) The adjustment made under subparagraph (i) of this paragraph 3
shall include any cost–of–living adjustments: 4
1. the retiree would have received to the retiree’s basic 5
allowance from the date of retirement through the retiree’s date of death; and 6
2. the retiree’s designated beneficiary would have received 7
from the date of the retiree’s death through July 1, 2023. 8
(iii) 1. Any adjustment made under subparagraph (i) of this 9
paragraph shall include a lump sum payment of the survivor benefit determined under § 10
24–403 of the State Personnel and Pensions Article, including all cost–of–living 11
adjustments, that would have been paid from the retiree’s date of death through July 1, 12
2023, with interest calculated at 4% per year, compounded annually. 13
2. The retroactive lump sum adjustment paid under 14
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 15
survivor benefit paid under § 21–403 of the State Personnel and Pensions Article that any 16
designated beneficiary has received from the date of the retiree’s death, including any 17
cost–of–living adjustments that may have been made, through July 1, 2023, with interest 18
calculated at 4% per year, compounded annually. 19
(iv) 1. In addition to the lump sum payment under subparagraph 20
(iii) of this paragraph, the Board of Trustees shall pay to the deceased retiree’s designated 21
beneficiary a lump sum payment equal to the basic allowance, including all cost–of–living 22
adjustments, that would have been paid from the retiree’s date of retirement through the 23
retiree’s date of death, with interest calculated at 4% per year, compounded annually, 24
through July 1, 2023. 25
2. The retroactive lump sum adjustment paid under 26
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 27
retirement allowance that the retiree received, including all cost–of–living adjustments, 28
from the retiree’s date of retirement to the retiree’s date of death, with interest calculated 29
at 4% per year, compounded annually. 30
(c) (1) This subsection applies to a retiree of the Law Enforcement Officers’ 31
Pension System who: 32
(i) retired on or before December 31, 2012; 33
(ii) at the time of retirement, selected one of the optional allowances 34
available under § 21–403 of the State Personnel and Pensions Article and designated an 35
individual of the same sex as the retiree to be a designated beneficiary; 36
HOUSE BILL 601 9
(iii) on or after January 1, 2013, married the retiree’s designated 1
beneficiary; and 2
(iv) on July 1, 2023, was not divorced from the retiree’s designated 3
beneficiary. 4
(2) (i) On or before December 31, 2023, a retiree described in paragraph 5
(1) of this subsection may submit to the Board of Trustees: 6
1. a form provided by the State Retirement Agency, 7
requesting that the retiree’s optional retirement allowance be converted to a basic 8
allowance that provides the spouse of the retiree with a survivor benefit under § 26–402 of 9
the State Personnel and Pensions Article; 10
2. a marriage license indicating the retiree entered into a 11
marriage with the retiree’s designated beneficiary; and 12
3. a form provided by the State Retirement Agency 13
confirming the retiree and designated beneficiary are not divorced on or before July 1, 2023. 14
(ii) If a retiree described in paragraph (1) of this subsection dies after 15
the date the retiree married the retiree’s designated beneficiary but before July 1, 2023, 16
the retiree’s designated beneficiary may submit the documents required under 17
subparagraph (i) of this paragraph. 18
(3) (i) If a retiree is alive and submitted the documents as required 19
under paragraph (2)(i) of this subsection, the Board of Trustees shall adjust the retiree’s 20
optional retirement allowance as provided in paragraph (4) of this subsection after 21
receiving the documents. 22
(ii) If a retiree is deceased and the retiree’s designated beneficiary 23
submitted the documents under paragraph (2)(ii) of this subsection, the Board of Trustees, 24
after receiving the documents, shall: 25
1. adjust the designated beneficiary’s survivor benefit as 26
provided in paragraph (6)(i) of this subsection; and 27
2. make a lump sum payment to the retiree’s designated 28
beneficiary as provided in paragraph (6)(iii) of this subsection. 29
(4) (i) The Board of Trustees shall adjust a retiree’s optional retirement 30
allowance to an amount equal to the basic allowance the retiree would have received at the 31
time of retirement. 32
(ii) The adjustment made under subparagraph (i) of this paragraph 33
shall include any cost–of–living increases the retiree would have received from the date of 34
retirement through July 1, 2023. 35 10 HOUSE BILL 601
(iii) 1. Any adjustment made under this paragraph shall include 1
a lump sum payment of the basic allowance, including all cost–of–living adjustments the 2
retiree would have received from the date of retirement through July 1, 2023, with interest 3
calculated at 4% per year, compounded annually. 4
2. The retroactive lump sum adjustment paid under 5
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 6
retirement allowance that the retiree has received, including any cost –of–living 7
adjustments, from the retiree’s date of retirement through July 1, 2023, with interest 8
calculated at 4% per year, compounded annually. 9
(5) If the retiree predeceases the retiree’s designated beneficiary, the 10
retiree’s designated beneficiary shall receive the survivor benefit provided under § 11
26–402 of the State Personnel and Pensions Article. 12
(6) (i) If a retiree described in paragraph (1) of this subsection dies after 13
the date the retiree married the retiree’s designated beneficiary but before July 1, 2023, 14
the Board of Trustees shall adjust the survivor benefit the retiree’s designated beneficiary 15
is receiving on July 1, 2023, to an amount equal to the survivor benefit under § 26–402 of 16
the State Personnel and Pensions Article. 17
(ii) The adjustment made under subparagraph (i) of this paragraph 18
shall include any cost–of–living adjustments: 19
1. the retiree would have received to the retiree’s basic 20
allowance from the date of retirement through the retiree’s date of death; and 21
2. the retiree’s designated beneficiary would have received 22
from the date of the retiree’s death through July 1, 2023. 23
(iii) 1. Any adjustment made under subparagraph (i) of this 24
paragraph shall include a lump sum payment of the survivor benefit determined under § 25
26–402 of the State Personnel and Pensions Ar ticle, including all cost–of–living 26
adjustments, that would have been paid from the retiree’s date of death through July 1, 27
2023, with interest calculated at 4% per year, compounded annually. 28
2. The retroactive lump sum adjustment paid under 29
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 30
survivor benefit paid under § 21–403 of the State Personnel and Pensions Article that any 31
designated beneficiary has received from the date of the retiree’s death, including any 32
cost–of–living adjustments that may have been made, through July 1, 2023, with interest 33
calculated at 4% per year, compounded annually. 34
(iv) 1. In addition to the lump sum payment under subparagraph 35
(iii) of this paragraph, the Board of Trustees shall pay to the deceased retiree’s designated 36
beneficiary a lump sum payment equal to the basic allowance, including all cost–of–living 37 HOUSE BILL 601 11
adjustments, that would have been paid from the retiree’s date of retirement through the 1
retiree’s date of death, with interest calculated at 4% per year, compounded annually, 2
through July 1, 2023. 3
2. The retroactive lump sum adjustment paid under 4
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 5
retirement allowance that the retiree received, including all cost–of–living adjustments, 6
from the retiree’s date of retirement to the retiree’s date of death, with interest calculated 7
at 4% per year, compounded annually. 8
(d) (1) This subsection applies to a retiree of the Judges’ Retirement System 9
who: 10
(i) retired on or before December 31, 2012; 11
(ii) at the time of retirement, selected one of the optional allowances 12
available under § 21–403 of the State Personnel and Pensions Article and designated an 13
individual of the same sex as the retiree to be a designated beneficiary; 14
(iii) on or after January 1, 2013, married the retiree’s designated 15
beneficiary; and 16
(iv) on July 1, 2023, was not divorced from the retiree’s designated 17
beneficiary. 18
(2) (i) On or before December 31, 2023, a retiree described in paragraph 19
(1) of this subsection may submit to the Board of Trustees: 20
1. a form provided by the State Retirement Agency, 21
requesting that the retiree’s optional retirement allowance be converted to a basic 22
allowance that provides the spouse of the retiree with a survivor benefit under § 27–403 of 23
the State Personnel and Pensions Article; 24
2. a marriage license indicating the retiree entered into a 25
marriage with the retiree’s designated beneficiary; and 26
3. a form provided by the State Retirement Agency 27
confirming the retiree and designated beneficiary are not divorced on or before July 1, 2023. 28
(ii) If a retiree described in paragraph (1) of this subsection dies after 29
the date the retiree married the retiree’s designated beneficiary but before July 1, 2023, 30
the retiree’s designated beneficiary may submit the documents required under 31
subparagraph (i) of this paragraph. 32
(3) (i) If a retiree is alive and submitted the documents as required 33
under paragraph (2)(i) of this subsection, the Board of Trustees shall adjust the retiree’s 34 12 HOUSE BILL 601
optional retirement allowance as provided in paragraph (4) of this subsection after 1
receiving the documents. 2
(ii) If a retiree is deceased and the retiree’s designated beneficiary 3
submitted the documents under paragraph (2)(ii) of this subsection, the Board of Trustees, 4
after receiving the documents, shall: 5
1. adjust the designated beneficiary’s survivorship benefit as 6
provided in paragraph (6)(i) of this subsection; and 7
2. make a lump sum payment to the retiree’s designated 8
beneficiary as provided in paragraph (6)(iii) of this subsection. 9
(4) (i) The Board of Trustees shall adjust a retiree’s optional retirement 10
allowance to an amount equal to the basic allowance the retiree would have received at the 11
time of retirement. 12
(ii) The adjustment made under subparagraph (i) of this paragraph 13
shall include any cost–of–living increases the retiree would have received from the date of 14
retirement through July 1, 2023. 15
(iii) 1. Any adjustment made under this paragraph shall include 16
a lump sum payment of the basic allowance, including all cost–of–living adjustments the 17
retiree would have received from the date of retirement through July 1, 2023, with interest 18
calculated at 4% per year, compounded annually. 19
2. The retroactive lump sum adjustment paid under 20
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 21
retirement allowance that the retiree has received, including any cost –of–living 22
adjustments, from the retiree’s date of retirement through July 1, 2023, with interest 23
calculated at 4% per year, compounded annually. 24
(5) If the retiree predeceases the retiree’s designated beneficiary, the 25
retiree’s designated beneficiary shall receive the survivor benefit provided under § 26
27–403 of the State Personnel and Pensions Article. 27
(6) (i) If a retiree described in paragraph (1) of this subsection dies after 28
the date the retiree married the retiree’s designated beneficiary but before July 1, 2023, 29
the Board of Trustees shall adjust the survivor benefit the retiree’s designated beneficiary 30
is receiving on July 1, 2023, to an amount equal to the survivor benefit under § 27–403 of 31
the State Personnel and Pensions Article. 32
(ii) The adjustment made under subparagraph (i) of this paragraph 33
shall include any cost–of–living adjustments: 34
1. the retiree would have received to the retiree’s basic 35
allowance from the date of retirement through the retiree’s date of death; and 36 HOUSE BILL 601 13
2. the retiree’s designated beneficiary would have received 1
from the date of the retiree’s death through July 1, 2023. 2
(iii) 1. Any adjustment made under subparagraph (i) of this 3
paragraph shall include a lump sum payment of the survivor benefit determined under § 4
27–403 of the State Personnel and Pensions Article, including all cost–of–living 5
adjustments, that would have been paid from the retiree’s date of death through July 1, 6
2023, with interest calculated at 4% per year, compounded annually. 7
2. The retroactive lump sum adjustment paid under 8
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 9
survivor benefit paid under § 21–403 of the State Personnel and Pensions Article that any 10
designated beneficiary has received from the date of the retiree’s death, including any 11
cost–of–living adjustments that may have been made, through July 1, 2023, with interest 12
calculated at 4% per year, compounded annually. 13
(iv) 1. In addition to the lump sum payment under subparagraph 14
(iii) of this paragraph, the Board of Trustees shall pay to the deceased retiree’s designated 15
beneficiary a lump sum payment equal to the basic allowance, including all cost–of–living 16
adjustments, that would have been paid from the retiree’s date of retirement through the 17
retiree’s date of death, with interest calculated at 4% per year, compounded annually, 18
through July 1, 2023. 19
2. The retroactive lump sum adjustment paid under 20
subsubparagraph 1 of this subparagraph shall be reduced by the amount of the optional 21
retirement allowance that the retiree received, including all cost–of–living adjustments, 22
from the retiree’s date of retirement to the retiree’s date of death, with interest calculated 23
at 4% per year, compounded annually. 24
SECTION 3. AND BE IT FURTH ER ENACTED, That this Act shall take effect July 25
1, 2023. It shall remain effective for a period of 1 year and, at the end of June 30, 2024, this 26
Act, with no further action required by the General Assembly, shall be abrogated and of no 27
further force and effect. 28