EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. *sb0068* SENATE BILL 68 P6 3lr0620 SB 958/22 – B&T (PRE–FILED) By: Senator Carozza Requested: October 26, 2022 Introduced and read first time: January 11, 2023 Assigned to: Budget and Taxation A BILL ENTITLED AN ACT concerning 1 Law Enforcement Officers’ Pension System – Crisfield Police Department 2 FOR the purpose of requiring membership in the Law Enforcement Officers’ Pension 3 System for certain local law enforcement officers of the Crisfield Police Department 4 under certain circumstances; providing that a certain individual is entitled to 5 eligibility service and creditable service that was earned before the effective date of 6 the Crisfield Police Department’s participation in the Law Enforcement Officers’ 7 Pension System; providing that an individual who receives certain service credit is 8 not a member of and has no rights to a benefit in the Employees’ Pension System; 9 providing for the transfer of creditable service for a certain individual; providing for 10 the transfer and crediting of certain assets on the effective date of participation; and 11 generally relating to the Crisfield Police Department’s participation in the Law 12 Enforcement Officers’ Pension System. 13 BY repealing and reenacting, without amendments, 14 Article – State Personnel and Pensions 15 Section 31–2A–05(c) 16 Annotated Code of Maryland 17 (2015 Replacement Volume and 2022 Supplement) 18 BY adding to 19 Article – State Personnel and Pensions 20 Section 31–2A–06 21 Annotated Code of Maryland 22 (2015 Replacement Volume and 2022 Supplement) 23 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 24 That the Laws of Maryland read as follows: 25 Article – State Personnel and Pensions 26 2 SENATE BILL 68 31–2A–05. 1 (c) (1) On the effective date: 2 (i) the assets to the credit of the local plan or State system that 3 relate to the law enforcement officers, firefighters, or paramedics who elect to become 4 members shall be transferred to the Law Enforcement Officers’ Pension System; and 5 (ii) the trustee or other administrative head of the local plan or State 6 system shall certify the proportion of the funds of the local plan or State system that 7 represents the accumulated contributions of the members as of that date. 8 (2) The accumulated contributions shall be credited to the respective 9 annuity savings accounts of the members in the Law Enforcement Officers’ Pension 10 System. 11 (3) The balance of the funds transferred to the Law Enforcement Officers’ 12 Pension System shall be offset against the special accrued liability to be funded by the 13 participating governmental unit as provided by § 21–306.1(d) of this article. 14 31–2A–06. 15 (A) THIS SECTION APPLIES TO AN INDIVIDUAL WHO IS A LOCAL LAW 16 ENFORCEMENT OFFICER OF THE CRISFIELD POLICE DEPARTMENT : 17 (1) IN A PERMANENT FULL–TIME POSITION BEFORE THE EFFECTIVE 18 DATE, AND WHO REMAINS A LO CAL LAW ENFORCEMENT OFFICER OF THE CRISFIELD 19 POLICE DEPARTMENT IN A PERMANENT FULL–TIME POSITION THROUGH THE 20 EFFECTIVE DATE ; OR 21 (2) IN A PERMANENT FULL –TIME POSITION AFTER THE EFFECTIVE 22 DATE. 23 (B) NOTWITHSTANDING ANY O THER PROVISION OF LA W, IF THE CRISFIELD 24 POLICE DEPARTMENT BECOMES A PARTICIPATING GOVERN MENTAL UNIT IN THE 25 LAW ENFORCEMENT OFFICERS’ PENSION SYSTEM, MEMBERSHIP IN THE LAW 26 ENFORCEMENT OFFICERS’ PENSION SYSTEM IS MANDATORY F OR AN INDIVIDUAL 27 DESCRIBED UNDER SUBS ECTION (A) OF THIS SECTION. 28 (C) IF THE CRISFIELD POLICE DEPARTMENT COMMENCES PARTICIPATION 29 IN THE LAW ENFORCEMENT OFFICERS’ PENSION SYSTEM IN ACCORDANCE WITH 30 SUBSECTION (B) OF THIS SECTION, AN INDIVIDUAL DESCRI BED UNDER SUBSECTION 31 (A)(1) OF THIS SECTION IS E NTITLED TO ELIGIBILI TY SERVICE AND CREDI TABLE 32 SERVICE IN THE LAW ENFORCEMENT OFFICERS’ PENSION SYSTEM FOR 33 SENATE BILL 68 3 EMPLOYMENT WITH THE CRISFIELD POLICE DEPARTMENT BEFORE THE EFFECTIVE 1 DATE. 2 (D) ON JOINING THE LAW ENFORCEMENT OFFICERS’ PENSION SYSTEM 3 AND RECEIVING SERVIC E CREDIT AS PROVIDED UNDER SUBSECTION (C) OF THIS 4 SECTION, AN INDIVIDUAL DESCRI BED UNDER SUBSECTION (A)(1) OF THIS SECTION 5 SHALL: 6 (1) NO LONGER BE A MEMBE R OF THE EMPLOYEES’ PENSION 7 SYSTEM; AND 8 (2) HAVE NO FURTHER RIGH TS TO ANY BENEFIT IN THE EMPLOYEES’ 9 PENSION SYSTEM. 10 (E) THE TRANSFER OF CREDI TABLE SERVICE FOR AN INDIVIDUAL 11 DESCRIBED IN SUBSECT ION (A)(1) OF THIS SECTION WHO IS A MEMBER OF THE 12 EMPLOYEES’ PENSION SYSTEM THROUGH THE EFFECTIV E DATE, AND WHO 13 TRANSFERS TO THE LAW ENFORCEMENT OFFICERS’ PENSION SYSTEM UNDER THIS 14 SECTION, IS NOT GOVERNED BY TITLE 37 OF THIS ARTICLE. 15 (F) IF THE CRISFIELD POLICE DEPARTMENT BECOMES A PARTICIPATING 16 GOVERNMENTAL UNIT IN THE LAW ENFORCEMENT OFFICERS’ PENSION SYSTEM, § 17 31–2A–05(C) OF THIS SUBTITLE SHA LL GOVERN THE TRANSF ER AND CREDITING OF 18 ASSETS ON THE EFFECT IVE DATE. 19 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect June 20 1, 2023. 21