EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0706*
SENATE BILL 706
P6 4lr2085
CF 4lr2086
By: Senator Jackson (Chair, Joint Committee on Pensions)
Introduced and read first time: January 30, 2024
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
Law Enforcement Officers’ Pension System – Reemployment as Sheriff 2
FOR the purpose of requiring the Board of Trustees for the State Retirement and Pension 3
System to suspend the retirement benefit of a retiree of the Law Enforcement 4
Officers’ Pension System who is elected as a sheriff within a certain period of time 5
after the date of retirement; providing for the reinstatement of a benefit; providing 6
that a suspension of a benefit does not affect survivor benefits; and generally relating 7
to reemployment of retirees of the Law Enforcement Officers’ Pension System. 8
BY repealing and reenacting, with amendments, 9
Article – State Personnel and Pensions 10
Section 26–403 11
Annotated Code of Maryland 12
(2015 Replacement Volume and 2023 Supplement) 13
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 14
That the Laws of Maryland read as follows: 15
Article – State Personnel and Pensions 16
26–403. 17
(a) Except as provided in [subsection (f)] SUBSECTIONS (F) AND (G) of this 18
section, a retiree who is receiving a service retirement allowance may accept employment 19
with a participating employer on a permanent, temporary, or contractual basis, without 20
any reduction in retirement allowance. 21
(b) A reemployed retiree who is receiving a service retirement allowance may not 22
receive creditable service or eligibility service during the period of reemployment. 23
2 SENATE BILL 706
(c) The retiree’s compensation during the period of reemployment may not be 1
subject to the employer pickup provisions of § 21–303 of this article or any reduction or 2
deduction as a member contribution for pension or retirement purposes. 3
(d) The State Retirement Agency shall institute appropriate reporting procedures 4
with the affected payroll systems to ensure compliance with this section. 5
(e) (1) Immediately on the employment of any retiree, a participating 6
employer shall notify the State Retirement Agency of the type of employment and the 7
anticipated earnings of the retiree. 8
(2) At least once each year, in a format specified by the State Retirement 9
Agency, each participating employer shall provide the State Retirement Agency with a list 10
of all employees included on any payroll of the employer, the Social Security numbers of 11
the employees, and their earnings for that year. 12
(f) An individual who is receiving a service retirement allowance under this title 13
may not be employed within 45 days of the date the individual retired, on a permanent, 14
temporary, or contractual basis, by: 15
(1) the State or other participating employer; or 16
(2) a withdrawn participating governmental unit, if the retiree was an 17
employee of the withdrawn participating governmental unit while the withdrawn 18
governmental unit was a participating employer. 19
(G) (1) THIS SECTION APPLIES TO A RETIREE WHO IS ELECTED AS A 20
SHERIFF LESS THAN 5 YEARS AFTER THE RETI REE’S DATE OF RETIREMENT . 21
(2) THE BOARD OF TRUSTEES SHALL, AFTER GIVING NOTICE , 22
TEMPORARILY SUSPEND THE RETIREE’S ALLOWANCE AS OF THE DATE THE R ETIREE 23
BEGINS SERVING AS A SHERIFF. 24
(3) (I) ON RECEIVING SATISFAC TORY DOCUMENTATION T HAT THE 25
INDIVIDUAL IS NO LON GER SERVING AS A SHERIFF, THE BOARD OF TRUSTEES 26
SHALL REINSTATE THE RETIREE’S ALLOWANCE WITH ACC UMULATED 27
COST–OF–LIVING ADJUSTMENTS F ROM THE DATE THE ALL OWANCE WAS 28
TEMPORARILY SUSPENDE D. 29
(II) THE RETIREE’S ALLOWANCE WILL BE REINSTATED ON THE 30
FIRST DAY OF THE MON TH FOLLOWING THE MON TH IN WHICH THE RETIREE CEASED 31
SERVING AS A SHERIFF. 32
SENATE BILL 706 3
(4) IF A RETIREE WHOSE ALLOWANCE IS T EMPORARILY SUSPENDED 1
DIES WHILE SERVING A S A SHERIFF, SURVIVORSHIP BENEFIT S SELECTED BY THE 2
MEMBER AT THE TIME O F RETIREMENT SHALL B E PAID TO: 3
(I) THE SURVIVING SPOUSE OR CHILD, IN ACCORDANCE WITH § 4
26–402 OF THIS SUBTITLE; OR 5
(II) IF THERE IS NO SURVI VING SPOUSE OR CHILD , THE 6
DESIGNATED BENEFICIA RY IN ACCORDANCE WIT H § 21–403 OF THIS ARTICLE. 7
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 8
1, 2024. 9