Bill > SB693

This bill modifies state retirement and pension system regulations by replacing a fixed $25,000 threshold with a more dynamic reference point - the minimum annual salary on the standard State pay scale as of January 1 of the preceding calendar year. The changes apply to several sections of Maryland's pension laws, specifically addressing reemployment earnings limitations for retirees. The bill updates provisions for early service retirement, service retirement, and disability retirement systems, ensuring that retirees whose average final compensation is below the new minimum salary threshold can be reemployed without having their retirement allowances reduced. Additionally, the bill adds a new provision for disability retirees, creating an exemption that allows those meeting specific criteria (such as being from certain pension systems and reemployed in non-law enforcement positions) to be exempt from earnings limitations if their average final compensation is below the new minimum annual salary threshold. The bill is set to take effect on July 1, 2025, providing a clear timeline for implementation of these pension system modifications.

Budget and Finance, Justice

Pensions

https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/SB0693?ys=2025RS