Md. Code Regs. 22.05.01.03

Current through Register Vol. 52, No. 1, January 10, 2025

Section 22.05.01.03 - Service Credit for a Qualifying Leave of Absence

A. Grant of Eligibility and Creditable Service for a Qualifying Leave of Absence.

(1) Except as provided in §A(2) of this regulation, to receive eligibility and creditable service for a period of absence from employment that is determined by the Retirement Agency to be a qualifying leave of absence, a member shall:

(a) Submit a completed form to request a qualifying leave of absence form to the Retirement Agency as provided in §D of this regulation; and

(b) Pay the member contributions with regular interest as provided under §C of this regulation:

(i) Before separation from employment; or

(ii) If the individual is separated from employment, within 60 days after the expiration of the leave of absence.

(2) A member may not receive eligibility or creditable service credit for a qualifying leave of absence if the individual is otherwise entitled to receive eligibility and creditable service during the period of the member's absence under State Personnel and Pensions Article, Division II or III, Annotated Code of Maryland.

B. Benefit Calculation.

(1) Except as provided in §B(2) of this regulation, creditable service for a member on a qualifying leave of absence shall be based on the full-time equivalent for the member's position as certified by the member's participating employer under COMAR 22.04.01 on the effective date of the leave, and earnable compensation shall be based on the actual salary for the member's position on the effective date of the leave.

(2) For a member of the Employees' Pension System, Law Enforcement Officers' Pension System, Local Fire and Police System, or Teachers' Pension System who works on a part-time basis, creditable service for a qualifying leave of absence shall be pro-rated, and earnable compensation shall be based on the full-time equivalent salary for the member's position on the effective date of the leave.

C. Member Contributions.

(1) A member shall pay the Retirement Agency the member contributions as determined under this section, together with regular interest on the contributions compounded annually to the date of payment.

(2) Except as provided in §C(3) of this regulation, a member shall pay the member contributions based on the salary for the member's position as of the effective date of the qualifying leave of absence.

(3) A member of the Employees' Pension System or the Teachers' Pension System who is not subject to the contributory pension benefit and who was receiving earnable compensation in excess of the Social Security taxable wage base on the effective date of the qualifying leave of absence shall pay the member contributions payable on the excess.

D. Filing Procedures.

(1) A member shall properly complete and submit the form available from the Retirement Agency to request a qualifying leave of absence.

(2) The request for a qualifying leave of absence form shall:

(a) State the term of the leave approved by the employer, not to exceed 2 years, including the dates that the qualifying leave of absence begins and ends;

(b) Specify the type of qualifying leave;

(c) Contain certification by the member's employer that:

(i) The employee was placed on a leave of absence for the term and reason specified on the form; and

(ii) The leave of absence has been approved by a member's employer; and

(d) Require the member to provide any documentation or information that is requested by the Retirement Agency, including a letter of explanation from the member's employer if the leave of absence has been approved for a temporary assignment with another governmental employer.

(3) Except as provided in §D(4) of this regulation, to protect a member's benefits while on a qualifying leave of absence, including any death benefits, a member shall submit a completed form requesting a qualifying leave of absence to the Retirement Agency before the member is placed on the qualifying leave of absence. A member's employer representative may complete and submit the form to the Retirement Agency on the member's behalf.

(4) Waiver of Filing Requirement.

(a) The Executive Director may waive the requirements for filing a request for a qualifying leave of absence form before a member is placed on a qualifying leave of absence on a showing by the member of good cause.

(b) The Executive Director shall waive the requirement for filing a request for a qualifying leave of absence form before a member is placed on a qualifying leave of absence for a terminal illness for a period of up to 6 months following the last contribution or payroll report and shall treat the member as if the member is on a qualifying leave of absence unless the employer notifies the system to the contrary.

Md. Code Regs. 22.05.01.03

Regulation .03 amended effective February 2, 2004 (31:2 Md. R. 85);41:18 Md. R. 1011, eff. 9/15/2014
Regulation .03A, C amended effective June 13, 2011 (38:12 Md. R. 707)