Md. Code, State Pers. & Pens. § 27-403

Current with changes from the 2024 Legislative Session
Section 27-403 - Rights of surviving spouse or child
(a)
(1) Except as provided in paragraph (2) of this subsection and subsection (d) of this section, on the death of a member, the Board of Trustees shall pay to the surviving spouse 50% of the retirement allowance that would be payable were the member alive and eligible to receive a retirement allowance.
(2)
(i) If at the time of death the member does not have a surviving spouse or a child who is under the age of 26 years or is disabled, the Board of Trustees shall pay to the member's designated beneficiary or beneficiaries a lump-sum death benefit consisting of the sum of:
1. the member's accumulated contributions; and
2. an amount equal to the member's annual salary at the time of death.
(ii) If a member has designated more than one beneficiary, the lump-sum death benefit provided in subparagraph (i) of this paragraph shall be divided equally among the beneficiaries.
(b) Except as provided in subsection (d) of this section, on the death of a former member or retiree, the Board of Trustees shall pay to the surviving spouse 50% of the retirement allowance that would be payable were the former member or retiree alive and eligible to receive a retirement allowance.
(c)
(1) This subsection applies to a member, former member, or retiree who at the time of death:
(i) does not have a spouse; and
(ii) has a child under the age of 26 years, or a child who is disabled.
(2) Except as provided in subsection (d) of this section, the Board of Trustees shall pay to the surviving children of the member, former member, or retiree who are under the age of 26 years or are disabled the retirement allowance that would have been paid to a surviving spouse under subsection (a) or (b) of this section.
(3)
(i) Except as provided in subparagraphs (ii) and (iii) of this paragraph, if the Board of Trustees pays an allowance to more than one child, the Board of Trustees shall divide the allowance equally among the children in a manner that provides for payments to continue until:
1. each child has died; or
2. each child becomes 26 years old.
(ii) Notwithstanding paragraph (3)(i)2 of this subsection, a surviving child who is disabled shall continue to receive an allowance under subparagraph (i) of this paragraph past the age of 26 years, if the child continues to be disabled.
(iii) If a surviving child receiving an allowance under subparagraph (i) of this paragraph is disabled, as defined under § 72(m)(7) of the Internal Revenue Code, the Board of Trustees shall pay to the disabled surviving child an allowance equal to the total of the allowances paid under subparagraph (i) of this paragraph after:
1. all other nondisabled surviving children have died; or
2. the youngest nondisabled surviving child becomes 26 years old.
(iv) If more than one surviving child is disabled, as defined under § 72(m)(7) of the Internal Revenue Code, the allowance payable under subparagraph (iii) of this paragraph shall be divided equally among the disabled children.
(d)
(1) Except as provided in paragraph (2) of this subsection, a benefit may not be paid under this section if a benefit is paid under § 29-204.3 of this article.
(2) If all individuals who are eligible for a special death benefit under § 29-204.3 of this article elect to waive the payment of a special death benefit under § 29-204.3 of this article, a benefit shall be paid in accordance with this section.

Md. Code, SPP § 27-403

Amended by 2024 Md. Laws, Ch. 485,Sec. 1, eff. 7/1/2024.
Amended by 2024 Md. Laws, Ch. 486,Sec. 1, eff. 6/1/2024.
Brought forward without change, 2023 Md. Laws, Ch. 200, Sec. 1, eff. 7/1/2023.
Brought forward without change, 2023 Md. Laws, Ch. 199, Sec. 1, eff. 7/1/2023.
Amended by 2020 Md. Laws, Ch. 556, Sec. 1, eff. 7/1/2020.
Amended by 2018 Md. Laws, Ch. 12, Sec. 1, eff. 4/5/2018.
Amended by 2017 Md. Laws, Ch. 278, Sec. 1, eff. 7/1/2017.
Amended by 2017 Md. Laws, Ch. 277, Sec. 1, eff. 7/1/2017.