EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*sb0331*
SENATE BILL 331
P6 5lr1834
By: Senator Jackson
Introduced and read first time: January 15, 2025
Assigned to: Budget and Taxation
A BILL ENTITLED
AN ACT concerning 1
State Police Retirement System – Mandatory Retirement Age – Repeal 2
FOR the purpose of repealing the requirement that certain members of the State Police 3
Retirement System retire at a certain age; clarifying the eligibility requirement of 4
State Police Retirement System members in the Deferred Retirement Option 5
Program (DROP); repealing the requirement that certain members of the State 6
Police Retirement System may participate in the DROP up to a certain age; and 7
generally relating to certain members of the State Police Retirement System. 8
BY repealing and reenacting, with amendments, 9
Article – State Personnel and Pensions 10
Section 24–401 and 24–401.1(a), (c), (d), and (g) 11
Annotated Code of Maryland 12
(2024 Replacement Volume and 2024 Supplement) 13
BY repealing and reenacting, without amendments, 14
Article – State Personnel and Pensions 15
Section 24–401.1(b) 16
Annotated Code of Maryland 17
(2024 Replacement Volume and 2024 Supplement) 18
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 19
That the Laws of Maryland read as follows: 20
Article – State Personnel and Pensions 21
24–401. 22
(a) (1) (i) This paragraph applies to an individual who is a member on or 23
before June 30, 2011. 24
2 SENATE BILL 331
(ii) A member may retire with a normal service retirement allowance 1
if: 2
1. on or before the date of retirement, the member: 3
A. has at least 22 years of eligibility service; or 4
B. is at least 50 years old; and 5
2. the member completes and submits a written application 6
to the Board of Trustees, on the form that the Board of Trustees provides, stating the date 7
when the member desires to retire. 8
(2) (i) This paragraph applies to an individual who becomes a member 9
on or after July 1, 2011. 10
(ii) A member may retire with a normal service retirement allowance 11
if: 12
1. on or before the date of retirement, the member: 13
A. has at least 25 years of eligibility service; or 14
B. is at least 50 years old; and 15
2. the member completes and submits a written application 16
to the Board of Trustees, on the form that the Board of Trustees provides, stating the date 17
when the member desires to retire. 18
(b) (1) Subject to the approval of the Board of Trustees, the Secretary of State 19
Police may order a member who is at least 50 years old to retire on the first day of the 20
month after the member is notified of the Secretary’s order. 21
(2) Before approving the Secretary’s order, the Board of Trustees shall give 22
the member at least 30 days’ notice and an opportunity to be heard. 23
(c) [Except for the Secretary of State Police, a member shall retire with a normal 24
service retirement allowance not later than the first day of the month after the member 25
becomes 60 years old. 26
(d)] (1) Except as provided in paragraphs (2) and (3) of this subsection, on 27
retirement under this section, a member is entitled to receive a normal service retirement 28
allowance that equals 2.55% of the member’s average final compensation multiplied by each 29
year of the member’s years of creditable service. 30
(2) A member’s normal service retirement allowance may not exceed 71.4% 31
of the member’s average final compensation. 32 SENATE BILL 331 3
(3) Subject to paragraph (2) of this subsection, on retirement under this 1
section, if a member’s annuity is greater than the member’s normal service retirement 2
allowance calculated under paragraph (1) of this subsection, the member’s normal service 3
retirement allowance shall equal the member’s annuity. 4
[(e)] (D) Subject to §§ 29–401, 29–402, and 29–403 of this article, a retiree, or a 5
beneficiary of a retiree, who retires on or before June 30, 1999 with a service retirement 6
allowance, shall receive an annual retirement allowance adjustment as of July 1, 1999, as 7
follows: 8
(1) for a retiree who has been retired not more than 5 years, $1,200; 9
(2) for a retiree who has been retired more than 5 years but not more than 10
10 years, $1,500; 11
(3) for a retiree who has been retired more than 10 years but not more than 12
15 years, $1,800; and 13
(4) for a retiree who has been retired more than 15 years, $2,100. 14
24–401.1. 15
(a) (1) In this section the following words have the meanings indicated. 16
(2) “DROP” means the Deferred Retirement Option Program established 17
under this section. 18
(3) “DROP member” means a member of the State Police Retirement 19
System who: 20
(i) is eligible to participate in the DROP as provided in subsection 21
(c) of this section; and 22
(ii) elects to participate in the DROP as provided in subsection (e) of 23
this section. 24
(4) “EMPLOYMENT ” MEANS EMPLOYMENT IN A POSITION ELIGIBLE 25
FOR MEMBERSHIP IN TH E STATE POLICE RETIREMENT SYSTEM. 26
(b) There is a DROP for eligible members of the State Police Retirement System. 27
(c) (1) (i) This paragraph applies to an individual who is a member of the 28
State Police Retirement System on or before June 30, 2011. 29
(ii) Except for the Secretary of State Police, a member of the State 30
Police Retirement System is eligible to participate in the DROP if the member[: 31 4 SENATE BILL 331
1.] has at least 22 and less than 32 years of [eligibility service; 1
and 2
2. is less than 60 years old] EMPLOYMENT . 3
(iii) The Secretary of State Police is eligible to participate in the 4
DROP if the Secretary has at least 22 years of [eligibility service] EMPLOYMENT . 5
(2) (i) This paragraph applies to an individual who becomes a member 6
of the State Police Retirement System on or after July 1, 2011. 7
(ii) Except for the Secretary of State Police, a member of the State 8
Police Retirement System is eligible to participate in the DROP if the member[: 9
1.] has at least 25 years and less than 32 years of [eligibility 10
service; and 11
2. is less than 60 years old] EMPLOYMENT . 12
(iii) The Secretary of State Police is eligible to participate in the 13
DROP if the Secretary has at least 25 years of [eligibility service] EMPLOYMENT . 14
(d) An eligible member may elect to participate in the DROP for a period not to 15
exceed the lesser of: 16
(1) 7 years; 17
(2) the difference between 32 years and the member’s [eligibility service] 18
EMPLOYMENT as of the date of the member’s election to participate in the DROP and retire 19
from the State Police Retirement System; OR 20
(3) [the difference between age 60 and the member’s age as of the date of 21
the member’s election to participate in the DROP and retire from the State Police 22
Retirement System; or 23
(4)] a term selected by the member. 24
(g) Participation in the DROP ends if the DROP participant: 25
(1) separates from employment in accordance with the binding letter of 26
resignation submitted with the member’s election form; 27
(2) [except for the Secretary of State Police, attains age 60; 28
(3)] dies; 29 SENATE BILL 331 5
[(4)] (3) is terminated from employment by the Maryland State Police at 1
any time before the date specified on the member’s election form; 2
[(5)] (4) shortens the time period for participation in the DROP by 3
delivering to the Maryland State Police and the Board of Trustees written notice of the 4
intent of the DROP member to terminate employment; or 5
[(6)] (5) accepts a special disability retirement allowance as provided in 6
subsection (k) of this section. 7
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 8
1, 2025. 9