MD HB1033

Replaces the fixed $25,000 threshold for reemployment earnings exemptions with a variable standard tied to the minimum annual salary on the standard State pay scale as of January 1 of the preceding calendar year

Retirees whose average final compensation falls below this new threshold are exempt from pension allowance reductions when they return to work with participating employers on a permanent, temporary, or contractual basis

Adds a new exemption for disability retirees whose average final compensation was below the minimum State pay scale salary, allowing them to avoid temporary suspension of retirement allowances upon reemployment

Applies to multiple pension systems including the Employees' Retirement System, Employees' Pension System, and State Police Retirement System

Takes effect July 1, 2025; approved by Governor Wes Moore on May 20, 2025