(a) This section does not apply to a disability retiree:
(1)(i) who is a retiree of:
1. the State Police Retirement System;
2. the Law Enforcement Officers' Pension System;
3. the Local Fire and Police System; or
4. the Employees' Retirement System or the Employees' Pension System, if at the time of retirement the retiree was a law enforcement officer for a participating employer under § 26-201(a) of this article; and
(ii) who is reemployed by a participating employer in any position other than a probationary status law enforcement officer, a law enforcement officer, as defined in § 1-101 of the Public Safety Article, or chief; or
(2)(i) whose average final compensation was less than $25,000; and
(ii) who is reemployed by a participating employer.
Grounds for reduction of retiree pension
(b) The Board of Trustees shall reduce the pension of a retiree on ordinary disability if:
(1) the retiree is under normal retirement age;
(2) the medical board certifies in a report to the Board of Trustees that the retiree is employed by a participating employer at an annual compensation that is greater than the difference between:
(i) the retiree's retirement allowance at retirement; and
(ii) the sum of:
1. the retiree's average final compensation; and
2. $5,000, which shall be adjusted annually by the percentage growth in the Consumer Price Index, as defined in § 29-401 of this title, in the calendar year preceding the fiscal year, and each subsequent adjustment shall be made on the amount calculated in the prior fiscal year;
(3) the Board of Trustees agrees with the medical board's report; and
(4) the retiree's allowance has not been temporarily suspended as provided in § 29-115 of this subtitle.
Computation of reduction in allowance
(c) The Board of Trustees shall reduce the pension of a retiree who has been receiving an ordinary disability retirement allowance for:
(1) less than 10 years, by $1 for every $2 that the retiree's current compensation exceeds the limit under subsection (b) of this section; or
(2) at least 10 years, by $1 for every $5 that the retiree's current compensation exceeds the limit under subsection (b) of this section.
Pension without cost-of-living adjustments
(d) The pension to be reduced under this section is the pension at retirement without any cost-of-living adjustment.
Credits
Added by Acts 1994, c. 6, § 2, eff. Oct. 1, 1994. Amended by Acts 1996, c. 620, § 1, eff. July 1, 1996; Acts 1998, c. 469, § 1, eff. July 1, 1998; Acts 2002, c. 363, § 1, eff. July 1, 2002; Acts 2005, c. 489, § 1, eff. July 1, 2005; Acts 2005, c. 518, § 1, eff. July 1, 2005; Acts 2006, c. 479, § 1, eff. July 1, 2006; Acts 2016, c. 212, § 1, eff. July 1, 2016; Acts 2017, c. 279, § 1, eff. July 1, 2017; Acts 2023, c. 49, § 2, eff. April 11, 2023.
MD Code, State Personnel and Pensions, § 29-116, MD ST PERS & PENS § 29-116
Current through legislation effective through May 9, 2024, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
