Maryland Senate Bill SB1114

Maryland 2024 Regular Session

• Introduced: 2/7/24
• Refer: 2/7/24
• Refer: 2/28/24

Caption

State Retirement and Pension System - Transfers of Service

Impact

If enacted, SB1114 would positively impact active members of the State Police Retirement System who are also eligible for vested benefits from the Local Fire and Police System. By facilitating the transfer of service credits, the bill helps to ensure that public safety employees are not penalized in their retirement benefits due to their career progression or changes in employment. This is key in attracting and retaining experienced individuals within law enforcement.

Summary

Senate Bill 1114 aims to amend the existing framework of the State Retirement and Pension System by allowing certain members to transfer their prior service credits from the Local Fire and Police System to the State Police Retirement System. This change is designed to increase flexibility for individuals who have transitioned between these two systems, ensuring that years of service are recognized and credited in their current retirement system. It is particularly focused on individuals who may have experienced breaks in employment between these two roles.

Contention

While the bill enhances benefits for a specific group of retirees, it may also raise questions about funding and implications for the overall health of the pension systems involved. Stakeholders, including state officials and union representatives, may have differing viewpoints on the long-term consequences of such flexibility in transferability, particularly concerning contributions and pension sustainability. Additionally, the bill sets a deadline for transfer requests, which may lead to urgency and potential pressure among eligible members to make timely decisions.