(a) Timely transfers. The timely transfer of employee contributions shall be made where allowed under State law.
(b) State law governs. The State Personnel and Pensions Article, Title 37, of the State Code, governs benefits based in whole or in part on credited service for transferred service, provided:
(1) if a participant transfers from a noncontributory system, the participant's annual basic pay with the County on the date the participant began employment in a position covered by the plan shall be used as described in subsection (c) to calculate the reduction in benefits under the State Personnel and Pensions Article, § 37-203(f)(2), of the State Code; and
(2) for purposes of the limitation on benefits under the State Personnel and Pensions Article, § 37-203(f)(3), of the State Code, applicable to a participant who retires within five years of a transfer of service credit, the date of transfer to the plan shall be construed to be the date the participant began employment by the County in a position covered by the plan.
(c) Reduction of benefits. For employees transferring service after February 25, 2002, a reduction in benefits under the State Personnel and Pensions Article, § 37-203(f)(2), of the State Code, shall be based on the actuarially equivalent amount of the employee contributions that were not made while the participant was in the noncontributory plan, provided that:
(1) the employee contributions which were not made shall be calculated as a percentage of the participant's annual basic pay on the date of transfer, multiplied by the number of years of service being transferred and then accumulated with interest, computed to the nearest one-twelfth of a year, from the date of transfer to the actual date of retirement at the rate of 6% per year; and
(2) the percentage of the participant's annual basic pay used as the basis for the calculation is 4% for participants in the Employees' Retirement Plan; 5% for participants in the Detention Officers' and Deputy Sheriffs' Retirement Plan and the Fire Service Retirement Plan; and 6% for participants in the Police Service Retirement Plan.
(d) Military service credit. Transferred service shall include credit for military service given by the previous system, provided that an employee may not receive additional credited service or benefits in a County plan for the same period of military service for which credit was given in the previous system.
(1985 Code, Art. 7, § 1-306) (Bill No. 90-01; Bill No. 23-04)