WILLIAM DONALD SCHAEFER, Governor                               Ch. 6

GENERAL REVISOR'S NOTE TO DIVISION III

This Division III, which is the last of three major divisions of the State Personnel
and Pensions Article, revises the general laws that relate to other retirement and pension
benefits. Division II revises the general laws that govern the State Retirement and
Pension System. Division I, which was enacted as Chapter 10 of the Acts of 1993, revised
the general laws that related to State Personnel. See also, the General Revisor's Note to
Division II.

SECTION 3. AND BE IT FURTHER ENACTED, That, subject to Section 17 of
this Act, the Laws of Maryland read as follows:

Article - State Personnel and Pensions

21-315. EXPENSE FUNDS.

(A)     CREDITS TO EXPENSE FUND.

THE BOARD OF TRUSTEES SHALL CREDIT TO THE EXPENSE FUND OF EACH
STATE SYSTEM ITS PRO RATA SHARE OF:

(1)      THE AMOUNT PROVIDED IN THE ANNUAL STATE BUDGET TO PAY
THE ADMINISTRATIVE AND OPERATIONAL EXPENSES OF THE BOARD OF TRUSTEES
AND THE STATE RETIREMENT AGENCY;

(2)      THE AMOUNTS AUTHORIZED BY THE BOARD OF TRUSTEES UNDER
THIS SECTION FOR INVESTMENT MANAGEMENT SERVICES; AND

(3)      THE AMOUNT AUTHORIZED BY THE BOARD OF TRUSTEES TO
IMPLEMENT A CLOSING AGREEMENT WITH THE INTERNAL REVENUE SERVICE
REGARDING FORMER MEMBERS OF THE EMPLOYEES' RETIREMENT SYSTEM OR THE
TEACHERS' RETIREMENT SYSTEM WHO ELECTED TO BECOME MEMBERS OF OR
PARTICIPATE IN THOSE STATE SYSTEMS UNDER FORMER ARTICLE 73B, §§ 2-206 AND
3-206 OF THE CODE.

(B)      PAYMENTS FROM EXPENSE FUND.

THE BOARD OF TRUSTEES SHALL PAY FROM THE EXPENSE FUND OF EACH
STATE SYSTEM ITS PRO RATA SHARE OF:

(1)      THE ADMINISTRATIVE AND OPERATIONAL EXPENSES OF THE
BOARD OF TRUSTEES AND THE STATE RETIREMENT AGENCY, IN ACCORDANCE
WITH THE ANNUAL STATE BUDGET;

(2)      THE AMOUNTS AS AUTHORIZED BY THE BOARD OF TRUSTEES
NECESSARY FOR INVESTMENT MANAGEMENT SERVICES: AND

(3)      THE AMOUNTS AS AUTHORIZED BY THE BOARD OF TRUSTEES
NECESSARY TO IMPLEMENT A CLOSING AGREEMENT WITH THE INTERNAL
REVENUE SERVICE REGARDING FORMER MEMBERS OF THE EMPLOYEES'
RETIREMENT SYSTEM OR THE TEACHERS' RETIREMENT SYSTEM WHO ELECTED TO
BECOME MEMBERS OF OR PARTICIPATE IN THOSE STATE SYSTEMS UNDER FORMER
ARTICLE 73B, §§ 2-206 AND 3-206 OF THE CODE.

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