State Agencies

ment executed on December 3, 1951, with the
Department of Health, Education and Welfare,
now known as the Department of Health and
Human Services. The Division serves as the State
agent in all matters pertaining to social security
coverage. In this capacity the Division enters into
agreements with governmental entities electing so-
cial security coverage, collects and invests social
security contributions, and transmits coordinated
wage reports and related contributions on behalf
of the State and its covered political subdivisions
to the Social Security Administration. The Divi-
sion establishes operating procedures and pro-
vides instruction and guidance to maintain an ef-
fective system in order to ensure the timely
receipt and filing of correct wage and contribu-
tion reports. To ensure compliance with Section
218 of the Social Security Law, the Division con-
ducts on-site field audits of all covered govern-
mental entities throughout the State. In addition
to the social security coverage audits, the Divi-
sion is responsible for various other audits.

THE STATE ACCIDENT FUND

Commissioners
Chairperson: Paul E. Gaeng, 1981
Vice-Chairperson: Paul T. O'Malley, 1985
Secretary: Leroy Frederick, 1982

Richard K. Coggins, 1983; Simon F. McHugh,
Jr., 1983; Maurice R. Wyatt, 1983; Margaret
A. Baroes, 1984.

Donald W. Potter, Superintendant

8722 Loch Raven Blvd.
Baltimore 21204 Telephone: 321-3993

The State Accident Fund, orignally a part of
the State Industrial Accident Commission, was
established as a separate agency by Chapter 504,
Acts of 1941 (Code 1957, Art. 101, secs. 70-84).
The Fund insures those employers who are un-
able or unwilling to obtain insurance from private
carriers, and who are not self-insurers. The Fund
is also the Workmen's Compensation Insurance
carrier for all State employees. The fund is direct-
ed by seven commissioners appointed by the Sec-
retary of Personnel with the approval of the Gov-
ernor for five-year terms, with at least one term
expiring each year. The Board elects its officers
annually. Through the Fund, employers carry in-
surance for the payment of claims that may arise
from accidents and injuries to their employees as

Personnel/247

allowed under Article 101 of the Annotated Code
of Maryland (Workmen's Compensation Law).
All expenses of the Fund are paid out of income
from premiums paid and interest on Fund invest-
ments. The State Treasury is prepaid for operat-
ing expenses of the Fund (Code 1957, Art. 101,
secs. 70-71).

EMPLOYEES' RETIREMENT AND
PENSION SYSTEMS

Board of Trustees

Chairperson: Louis L. Goldstein, Comptroller of
the Treasury

Ex officio members: William S. James, State Trea-
surer; Thomas V. Schmidt, Secretary of Budget
and Fiscal Planning; Theodore E. Thornton,
Sr., Secretary of Personnel.

Appointed by the Board of Public Works: Louis
N. Phipps, 1981.

Elected by the members; Robert L. Serviss, 1981;
Malcolm Barlow, 1983.

Christ G. Christis, Assistant Secretary, Retirement
Systems

301 West Preston Street
Baltimore 21201 Telephone: 383-2344

The Employees' Retirement System was estab-
lished by Chapter 377, Acts of 1941. The Pension
System for employees of the State of Maryland
was established by Chapters 23 and 24, Acts of
1979, for persons employed on or after January 1,
1980. The systems are administered by a Board of
Trustees consisting of seven members. Four trust-
ees serve as ex officio members, one is appointed
by the Board of Public Works, and the remaining
two are elected by the membership of the Retire-
ment and Pension Systems. The Board adminis-
ters the retirement allowances and benefits for the
employees of the State and the municipalities that
participate in the system, and is responsible for
the proper investment and administration of
funds entrusted to its care. In addition, the Board
administers retirement or pension plans for cor-
rectional officers, members of the General Assem-
bly, and judges (Code 1957, Art. 73B, secs. 1-34,
46, 55-63A, 111-138, and 156). Since June 1,
1956, social security coverage has been adminis-
tered through the Division of Social Security for
all State employees and all teachers (Code 1957,
Art. 73 B, secs. 35-45).