A legislative request offered by the Board of Trustees of the State Retirement and Pension System would alter rates for county governments who are members of the state pension system.
The Maryland State Pension Board of Trustees often offers legislative proposals for consideration by the Joint Committee on Pensions prior to the start of the legislative session. This year, one of the proposals affecting county government members of the State Employee’s Pension System.
Several county governments and municipalities are participating governmental units in the State pension system. Eleven counties are currently participating governmental units.
The legislation offered will change the amortization policy for participating governmental units. The change will cause a slight increase in rates beginning with the FY 2018 billings, and will help county members to avoid a large increase in the FY2022 billings.
The legislation has not been introduced by the Joint Committee on Pensions as of writing, but it is expected in the next couple of weeks. The legislation will be heard in the Senate Budget and Taxation and House Appropriations Committees.
For more information, read the description of the 2016 Board Requested Legislation, and see our previous post, Retirement Agency Performs County Outreach on Legislation Affecting Contribution Rates