<section article="gsp" article_name="State Personnel and Pensions" number="2-101" title_number="2" title_name="State Employment Generally" subtitle_number="1" subtitle_name="General Provision"> <text>Except as expressly provided by law, this title does not limit any express or implied management prerogative or other authority belonging to an appointing authority and management.</text> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-201" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <text>Except as otherwise provided by law, an employee in the Judicial, Legislative, or Executive Branch of State government is governed by the laws and personnel policies and procedures applicable in that branch.</text> </level> <level label="b"> <text>A unit in the Executive Branch of State government may not petition or apply to the federal government for a waiver of any provision of the federal Fair Labor Standards Act that is applicable to the unit, even if the waiver is otherwise authorized under federal law.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-202" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <text>The principal personnel system in the Executive Branch of State government is the State Personnel Management System.</text> </level> <level label="b"> <text>As expressly authorized by law, a unit in the Executive Branch of State government may establish a personnel system that operates independent of the State Personnel Management System.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-203" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <text>Notwithstanding any other provision of law, and except as provided in subsection (c) of this section, this section applies to all employees in the Judicial, Legislative, and Executive branches of State government.</text> </level> <level label="b"> <text>This section does not apply to:</text> <level label="1"> <text>a position in the Department of Public Safety and Correctional Services;</text> </level> <level label="2"> <text>a position for which an appointing authority has a statutory duty to conduct a criminal history records check; or</text> </level> <level label="3"> <text>a position in the office of the sheriff for any county.</text> </level> </level> <level label="c"> <text>Except for a position in the State Personnel Management System for which the Secretary determines that the specific duties and responsibilities of the position would require the appointing authority to know an applicant’s criminal history, an appointing authority may not inquire into the criminal record or criminal history of an applicant for employment until the applicant has been provided an opportunity for an interview.</text> </level> <level label="d"> <text>This section does not prohibit an appointing authority from notifying an applicant for employment that certain prior criminal convictions may prohibit employment in some positions.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-203.1" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Commission” means the Commission on Civil Rights.</text> </level> <level label="3"> <text>“Sexual harassment” has the meaning stated in § 20–601 of the State Government Article.</text> </level> </level> <level label="b"> <level label="1"> <text>This section applies to all units in the Executive, Judicial, and Legislative branches of State government, including all units with independent personnel systems.</text> </level> <level label="2"> <text>For the University System of Maryland, this section applies to each constituent institution.</text> </level> </level> <level label="c"> <level label="1"> <text>Each State employee shall complete at least a cumulative 2 hours of in–person or virtual, interactive training on sexual harassment prevention within:</text> <level label="i"> <text>6 months after the employee’s initial appointment; and</text> </level> <level label="ii"> <text>every 2–year period thereafter.</text> </level> </level> <level label="2"> <text>The training required under paragraph (1) of this subsection shall include:</text> <level label="i"> <text>information on the federal and State laws concerning the prohibition of sexual harassment;</text> </level> <level label="ii"> <text>best practices in prevention and correction of sexual harassment, abusive conduct, and retaliation;</text> </level> <level label="iii"> <text>remedies and procedures available to victims of sexual harassment in employment; and</text> </level> <level label="iv"> <text>additional training for supervisors regarding information on:</text> <level label="1"> <text>properly responding to complaints of sexual harassment and preventing further abuse and retaliation; and</text> </level> <level label="2"> <text>creating and maintaining a workplace culture in which sexual harassment is not tolerated.</text> </level> </level> </level> <level label="3"> <level label="i"> <text>This paragraph applies only to:</text> <level label="1"> <text>a unit of the University System of Maryland;</text> </level> <level label="2"> <text>Morgan State University; and</text> </level> <level label="3"> <text>St. Mary’s College of Maryland.</text> </level> </level> <level label="ii"> <text>The training required under paragraph (1) of this subsection may consist of webinar, computer–based, or online training.</text> </level> <level label="iii"> <text>If the training required under paragraph (1) of this subsection consists of webinar, computer–based, or online training, the training also shall include an evaluative component that:</text> <level label="1"> <text>ensures employee engagement in the training; and</text> </level> <level label="2"> <text>assesses employee comprehension of training objectives.</text> </level> </level> </level> </level> <level label="d"> <level label="1"> <level label="i"> <text>Each unit shall designate a representative to coordinate with the Commission to implement the training State employees are required to complete under subsection (c) of this section.</text> </level> <level label="ii"> <text>A unit may incorporate the training into existing employment training for new employees and supervisors.</text> </level> </level> <level label="2"> <text>The Commission shall train each representative designated under paragraph (1) of this subsection in:</text> <level label="i"> <text>the prevention of sexual harassment, discrimination, and retaliation; and</text> </level> <level label="ii"> <text>best practices in sexual harassment prevention.</text> </level> </level> <level label="3"> <text>The representatives designated under paragraph (1) of this subsection are encouraged to use Equal Employment Opportunity Commission materials to prevent sexual harassment in the workplace.</text> </level> </level> <level label="e"> <text>If determined to be necessary by the appointing authority, a unit may require an employee to retake any part or all of the training, or to participate in additional classes or training.</text> </level> <level label="f"> <text>For a unit in the Executive Branch of State government, the Equal Employment Opportunity Coordinator established under § 5–206 of this article:</text> <level label="1"> <text>shall enforce the requirements of this section; and</text> </level> <level label="2"> <text>may recommend to the Legislative Auditor, the Joint Audit and Evaluation Committee, or the Executive Director of the Department of Legislative Services that the Office of Legislative Audits conduct a performance audit or review of a unit if the Equal Employment Opportunity Coordinator determines that the unit has not complied with this section.</text> </level> </level> <level label="g"> <text>Unless the acts or omissions of an employee who completed the training required under subsection (c) of this section are willful, wanton, or grossly negligent, a person may not bring an action against the State for any act or omission resulting from:</text> <level label="1"> <text>any training or lack of training of a State employee; or</text> </level> <level label="2"> <text>the implementation of the training required under subsection (c) of this section.</text> </level> </level> <level label="h"> <text>The training required in this section is a minimum requirement and may not be construed to discourage or relieve any unit from providing a longer, more frequent, or more informative training on workplace sexual harassment prevention.</text> </level> <level label="i"> <text>The Commission shall adopt regulations to implement this section.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-204" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <text>This section applies to an appointing authority for a position in the Executive Branch of State government, except a position in the State Personnel Management System.</text> </level> <level label="b"> <text>An appointing authority subject to this section shall develop a hiring preference for individuals with disabilities, as defined by the federal Americans with Disabilities Act, that is equivalent to the credit applied on a selection test under § 7–207(g) of this article.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-205" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <text>This section applies to an appointing authority for a position that is:</text> <level label="1"> <text>in a unit in the Executive Branch of State government with an independent personnel system; and</text> </level> <level label="2"> <text>comparable to a position in the skilled service or the professional service in the State Personnel Management System.</text> </level> </level> <level label="b"> <text>An appointing authority subject to this section shall develop a selection process for disabled veterans described in § 7–203(b)(1) of this article that is comparable to the selection process for disabled veterans established under § 7–203(b) of this article.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-206" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <text>In this section, “chief financial officer” means:</text> <level label="1"> <text>the highest ranking executive who, for a period of at least 6 months, is responsible for directing all financial operations, including:</text> <level label="i"> <text>budgeting;</text> </level> <level label="ii"> <text>accounting;</text> </level> <level label="iii"> <text>procurement;</text> </level> <level label="iv"> <text>grant management;</text> </level> <level label="v"> <text>establishing fiscal policies;</text> </level> <level label="vi"> <text>ensuring compliance with State and federal regulations; and</text> </level> <level label="vii"> <text>providing strategic financial leadership to agency leadership; or</text> </level> </level> <level label="2"> <text>a position with equivalent duties.</text> </level> </level> <level label="b"> <level label="1"> <text>Except as provided under paragraph (2) of this subsection, this section applies to a unit of the Executive Branch of State government that:</text> <level label="i"> <text>receives at least $1,750,000,000 annually in State and federal funding; and</text> </level> <level label="ii"> <text>employs a chief financial officer.</text> </level> </level> <level label="2"> <text>This section does not apply to the University System of Maryland.</text> </level> </level> <level label="c"> <text>Notwithstanding any other provision of law, the Secretary may set the pay scale for chief financial officer positions in order to assist with recruitment and retention.</text> </level> <level label="d"> <text>An appointing authority subject to this section shall make an appointment of a chief financial officer who meets the qualifications in subsection (e) of this section.</text> </level> <level label="e"> <level label="1"> <text>The Secretary shall establish minimum qualifications for chief financial officer positions that consider:</text> <level label="i"> <text>education;</text> </level> <level label="ii"> <text>executive experience and the duration of that experience;</text> </level> <level label="iii"> <text>supervisory or managerial experience;</text> </level> <level label="iv"> <text>technical competence;</text> </level> <level label="v"> <text>certifications;</text> </level> <level label="vi"> <text>scope and complexity of the role; and</text> </level> <level label="vii"> <text>alignment with the government or industry standards.</text> </level> </level> <level label="2"> <text>On or before November 1, 2026, the Department shall adopt regulations to establish minimum qualifications for chief financial officer positions.</text> </level> </level> <level label="f"> <text>For preparation of the Annual Comprehensive Financial Report required under § 2–102 of the State Finance and Procurement Article, a chief financial officer of a unit of State government subject to this section shall provide to the Office of the Comptroller at the close of the fiscal year:</text> <level label="1"> <text>all necessary entries of the unit’s financial information;</text> </level> <level label="2"> <text>the information necessary to prepare the schedule of expenditures of federal awards in accordance with applicable federal laws and regulations; and</text> </level> <level label="3"> <text>a letter attesting to the accuracy and completeness of the information provided in items (1) and (2) of this subsection.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-207" title_number="2" title_name="State Employment Generally" subtitle_number="2" subtitle_name="Personnel Systems in State Government"> <level label="a"> <text>In this section, “chief information officer” means:</text> <level label="1"> <text>an individual acting as the senior executive officer responsible for the strategic planning, management, and oversight of an agency’s information technology and computer systems and supporting its mission and goals, including through:</text> <level label="i"> <text>procurement;</text> </level> <level label="ii"> <text>compliance with State and federal regulations; and</text> </level> <level label="iii"> <text>providing information technology leadership to agency leadership; or</text> </level> </level> <level label="2"> <text>a position with equivalent duties.</text> </level> </level> <level label="b"> <level label="1"> <text>Except as provided under paragraph (2) of this subsection, this section applies to a unit of the Executive Branch of State government that employs a chief information officer.</text> </level> <level label="2"> <text>This section does not apply to the University System of Maryland.</text> </level> </level> <level label="c"> <text>Notwithstanding any other provision of law, the Secretary may set the pay scale for chief information officer positions in order to assist with recruitment and retention.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-301" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>In keeping with State efforts to reinvent government, restructuring of the State’s personnel system should enhance the delivery of services to citizens in an effective and timely manner.</text> </level> <level label="b"> <text>To maintain efficient and effective operations of State government, each State employee:</text> <level label="1"> <text>shall be treated with fairness in State employment;</text> </level> <level label="2"> <text>may participate in the State Health and Welfare Benefits Program in accordance with Subtitle 5 of this title;</text> </level> <level label="3"> <text>may participate in the State Retirement and Pensions Systems in accordance with Division II of this article;</text> </level> <level label="4"> <text>subject to Title 9, Subtitle 6 of this article, may participate in the State Employees' Leave Bank and the Employee-to-Employee Leave Donation Program;</text> </level> <level label="5"> <text>who transfers to a position in any unit of State government, regardless of the personnel system governing the position, shall do so without loss of leave earned or credit for State employment in other units of State government; and</text> </level> <level label="6"> <text>is entitled to the rights and protections in this title.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-302" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>The State recognizes and honors the value and dignity of every person and understands the importance of providing employees and applicants for employment with a fair opportunity to pursue their careers in an environment free of discrimination or harassment prohibited by law.</text> </level> <level label="b"> <level label="1"> <text>Except as provided in paragraph (2) of this subsection or by other law, all personnel actions concerning a State employee or applicant for employment in State government shall be made without regard to:</text> <level label="i"> <text>age;</text> </level> <level label="ii"> <text>ancestry;</text> </level> <level label="iii"> <text>color;</text> </level> <level label="iv"> <text>creed;</text> </level> <level label="v"> <text>gender identity;</text> </level> <level label="vi"> <text>marital status;</text> </level> <level label="vii"> <text>mental or physical disability;</text> </level> <level label="viii"> <text>national origin;</text> </level> <level label="ix"> <text>race;</text> </level> <level label="x"> <text>religious affiliation, belief, or opinion;</text> </level> <level label="xi"> <text>sex; or</text> </level> <level label="xii"> <text>sexual orientation.</text> </level> </level> <level label="2"> <text>A personnel action may be taken with regard to age, sex, or disability to the extent that age, sex, or physical or mental qualification is required by law or is a bona fide occupational qualification.</text> </level> </level> <level label="c"> <level label="1"> <text>Each State employee is expected to assume personal responsibility and leadership in ensuring fair employment practices and equal employment opportunity in Maryland State government.</text> </level> <level label="2"> <text>Employment discrimination and harassment by State managers, supervisors, or other employees is prohibited.</text> </level> <level label="3"> <text>A State employee who violates this subtitle is subject to disciplinary action by the employee’s appointing authority, including the termination of State employment.</text> </level> </level> <level label="d"> <text>The Equal Employment Opportunity Program in Title 5, Subtitle 2 of this article governs all employees of any unit in the Executive Branch of State government, including a unit with an independent personnel system.</text> </level> <level label="e"> <level label="1"> <text>At least annually, the Secretary shall report on the Equal Employment Opportunity Program established in § 5–202 of this article to the Joint Committee on Fair Practices and State Personnel Oversight.</text> </level> <level label="2"> <text>The head of a personnel system in the Legislative and Judicial branches may report periodically on equal employment opportunity programs and policies in effect in that personnel system to the Joint Committee on Fair Practices and State Personnel Oversight.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-303" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>The State recognizes the rights and protections afforded to its employees under federal law.</text> </level> <level label="b"> <level label="1"> <text>This subsection does not affect an age requirement established by State law or a grant of authority under State law to establish reasonable minimum or maximum age requirements.</text> </level> <level label="2"> <text>A denial of employment for medical reasons shall comply with applicable federal and State laws and regulations.</text> </level> <level label="3"> <text>Before an applicant may be denied employment or an employee terminated for medical reasons, the appointing authority or a designee of the appointing authority shall document in writing:</text> <level label="i"> <text>that, under relevant provisions of federal and State law and regulations, reasonable accommodations were considered;</text> </level> <level label="ii"> <text>the specific accommodations that were considered; and</text> </level> <level label="iii"> <text>the reasons for rejecting those accommodations.</text> </level> </level> </level> <level label="c"> <level label="1"> <text>This subsection does not apply to temporary employees.</text> </level> <level label="2"> <text>A State employee may not be denied the opportunity to seek, qualify for, or receive any promotion solely because the employee is on leave for maternity reasons or on sick leave, if the employee is expected to return to work within 120 days after receiving notice of an interview for the position.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-304" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <level label="1"> <text>Employment by the State does not affect any right or obligation of a citizen under the Constitution and laws of the United States or under the Constitution and laws of the State.</text> </level> <level label="2"> <text>Except as otherwise provided in this section or by federal law, a State employee:</text> <level label="i"> <text>may freely participate in any political activity and express any political opinion; and</text> </level> <level label="ii"> <text>may not be required to provide any political service.</text> </level> </level> </level> <level label="b"> <text>Notwithstanding any other law of the State effective on or before June 30, 1973, the restrictions imposed by subsection (c) of this section are the only restrictions on the political activities of an employee, except for:</text> <level label="1"> <text>the restrictions imposed on employees of a local board of elections by § 2-301 of the Election Law Article; and</text> </level> <level label="2"> <text>the restrictions imposed on employees of the Department of Legislative Services by guidelines adopted under § 2-1205 of the State Government Article.</text> </level> </level> <level label="c"> <text>An employee may not:</text> <level label="1"> <text>engage in political activity while on the job during working hours; or</text> </level> <level label="2"> <text>advocate the overthrow of the government by unconstitutional or violent means.</text> </level> </level> <level label="d"> <level label="1"> <text>In this subsection, “political contribution” means a contribution as defined in § 1-101 of the Election Law Article.</text> </level> <level label="2"> <text>A public official or an employee of the State may not require any State employee to make a political contribution.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-305" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>This section applies to all employees of all units in the Executive, Judicial, and Legislative branches of State government, including all units with independent personnel systems except for the Department of Transportation and the University System of Maryland.</text> </level> <level label="b"> <text>During any stage of a State employee's complaint, grievance, or other administrative or legal action that concerns State employment, the employee may not be subjected to coercion, discrimination, interference, reprisal, or restraint by or initiated on behalf of the employer solely as a result of that employee's pursuit of the grievance, complaint, or action.</text> </level> <level label="c"> <text>A State employee may not intentionally take or assist in taking an act of coercion, discrimination, interference, reprisal, or restraint against another employee solely as a result of that employee's pursuit of a grievance, complaint, or other administrative or legal action that concerns State employment.</text> </level> <level label="d"> <text>An employee who violates subsection (c) of this section is subject to disciplinary action, including the termination of State employment.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-306" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Alcohol concentration” has the meaning stated in § 11–103.2 of the Transportation Article.</text> </level> <level label="3"> <text>“Probation before judgment” means an entry of probation by a court in accordance with § 6–220 of the Criminal Procedure Article.</text> </level> <level label="4"> <text>“State Substance Abuse Policy” means the policy against substance abuse in State government, as set out in Executive Order Number 01.01.1991.16 and any subsequent Executive Order.</text> </level> <level label="5"> <text>“Workplace” means any place where an employee is performing work for the State of Maryland.</text> </level> </level> <level label="b"> <text>This section may not be construed to eliminate or alter in any way any requirement of an employee to report to an appointing authority an offense, conviction, or probation before judgment under the State Substance Abuse Policy.</text> </level> <level label="c"> <text>Except as provided in subsection (d) of this section, an appointing authority may not consider probation before judgment for a substance abuse offense to be a conviction for purposes of the State Substance Abuse Policy.</text> </level> <level label="d"> <text>An appointing authority may impose appropriate disciplinary action, including termination, against an employee under the State Substance Abuse Policy, if:</text> <level label="1"> <text>the employee receives probation before judgment in a substance abuse offense; and</text> </level> <level label="2"> <text>the appointing authority can demonstrate a relationship between that substance abuse offense and the employee’s job responsibilities.</text> </level> </level> <level label="e"> <text>An employee who consumes an alcoholic beverage in the workplace:</text> <level label="1"> <text>shall be in violation of the State Substance Abuse Policy and subject to disciplinary action; and</text> </level> <level label="2"> <text>may not drive a State vehicle or operate State construction equipment during the employee’s normal workday.</text> </level> </level> <level label="f"> <level label="1"> <text>Employees who are called in to work outside of their regularly scheduled hours shall be provided the opportunity to acknowledge they have consumed alcohol within the previous four hours.</text> </level> <level label="2"> <text>The employees who make an acknowledgment under paragraph (1) of this subsection may not be subject to disciplinary action and may not be assigned to perform a safety–sensitive function.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-307" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>A State employee may not directly supervise the employee's parent, spouse, sibling, or child.</text> </level> <level label="b"> <text>A State employee may not use, threaten to use, or attempt to use political influence or the influence of any State employee or officer in gaining an unfair advantage in any personnel decision affecting the employee, including a decision about promotion, transfer, leave of absence, or increased pay, or in disciplinary actions.</text> </level> <level label="c"> <text>A State employee may not use, threaten to use, or attempt to use personal influence in providing an unfair advantage to another individual in any personnel decision, including a decision about hiring, promotion, transfer, leave of absence, or increased pay, or in disciplinary actions.</text> </level> <level label="d"> <text>An employee who violates this section is subject to disciplinary action, including the termination of State employment.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-308" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Appropriate official” means:</text> <level label="i"> <text>for the Executive Branch, the Secretary;</text> </level> <level label="ii"> <text>for the Judicial Branch, the State Court Administrator;</text> </level> <level label="iii"> <text>for the Legislative Branch, the President of the Senate and the Speaker of the House, acting jointly; or</text> </level> <level label="iv"> <text>for each public institution of higher education, the President of the institution.</text> </level> </level> <level label="3"> <text>“Public institution of higher education” means:</text> <level label="i"> <text>a public senior higher education institution, as defined in § 10–101 of the Education Article; and</text> </level> <level label="ii"> <text>a community college.</text> </level> </level> <level label="4"> <text>“Telework” means to work at a location other than a traditional office setting or an employee’s usual and customary worksite, including:</text> <level label="i"> <text>the employee’s home;</text> </level> <level label="ii"> <text>a satellite office; and</text> </level> <level label="iii"> <text>a telework center.</text> </level> </level> </level> <level label="b"> <text>This section applies to:</text> <level label="1"> <text>all employees in:</text> <level label="i"> <text>the Judicial, Legislative, and Executive branches of State government; and</text> </level> <level label="ii"> <text>each public institution of higher education; and</text> </level> </level> <level label="2"> <level label="i"> <text>all units in the Judicial, Legislative, and Executive branches of State government, including units with independent personnel systems; and</text> </level> <level label="ii"> <text>each public institution of higher education.</text> </level> </level> </level> <level label="c"> <text>Each appropriate official shall:</text> <level label="1"> <text>establish a telework program applicable to the appropriate official’s branch of government or public institution of higher education; and</text> </level> <level label="2"> <text>adopt a telework policy and telework guidelines applicable to the appropriate official’s branch of government or public institution of higher education.</text> </level> </level> <level label="d"> <level label="1"> <text>Each appropriate official may:</text> <level label="i"> <text>designate the positions for which an employee would be eligible to telework; and</text> </level> <level label="ii"> <text>beginning fiscal year 2023, negotiate criteria for designated telework positions if the employees affected by telework policies are represented by an exclusive representative.</text> </level> </level> <level label="2"> <text>Each appropriate official shall, to the extent practicable, maximize the number of eligible employees participating in the telework program established under subsection (c) of this section.</text> </level> </level> <level label="e"> <level label="1"> <text>Each appropriate official shall issue guidelines to ensure the adequacy of information and security protection for information and information systems used while teleworking.</text> </level> <level label="2"> <text>The appropriate official for each unit in the Executive Branch shall develop the guidelines under paragraph (1) of this subsection in coordination with the Department of Information Technology.</text> </level> <level label="3"> <text>Guidelines issued under this section shall, at a minimum, include requirements necessary to:</text> <level label="i"> <text>control access to and protect unit information and information systems;</text> </level> <level label="ii"> <text>limit the introduction of vulnerabilities to unit information systems;</text> </level> <level label="iii"> <text>protect information systems not under control of the unit that are used for teleworking;</text> </level> <level label="iv"> <text>safeguard wireless and other communications capabilities that are used for teleworking; and</text> </level> <level label="v"> <text>prevent inappropriate use of official time or resources in violation of a unit’s policies.</text> </level> </level> <level label="4"> <text>An employee determined to be eligible to participate in a telework program established under subsection (c) of this section shall receive and acknowledge the guidelines issued under this section before participating in the telework program.</text> </level> </level> <level label="f"> <level label="1"> <text>On or before December 1 each year, the Department shall report to the Senate Budget and Taxation Committee and the House Appropriations Committee, in accordance with § 2–1257 of the State Government Article, on the number of eligible and participating employees in the applicable telework program established under subsection (c) of this section.</text> </level> <level label="2"> <text>Each appropriate official shall submit to the Department any information the Department determines is necessary to complete the report required under paragraph (1) of this subsection.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-309" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>This section applies to all units in the Executive Branch of State government, including units with independent personnel systems.</text> </level> <level label="b"> <text>A unit subject to this section may not limit, to less than 60 days, the aggregate number of days of accrued sick leave that two employees who are responsible for the care and nurturing of a child may use, without certification of illness or disability, to care for the child during the period immediately following:</text> <level label="1"> <text>the birth of the employees’ child; or</text> </level> <level label="2"> <text>the placement of the child with the employees for adoption.</text> </level> </level> <level label="c"> <text>In implementing the federal Family and Medical Leave Act of 1993, a unit subject to this section may not limit, to less than 24 weeks, the aggregate number of weeks of family and medical leave that two employees who are married to one another may use during a 12–month period for:</text> <level label="1"> <text>the birth of the employees’ child;</text> </level> <level label="2"> <text>the placement of a child with the employees for adoption or foster care;</text> </level> <level label="3"> <text>the serious health condition of the employees’ child, if the child is a minor; or</text> </level> <level label="4"> <text>the care of the employees’ adult child, if the adult child is incapable of self–care.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-310" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>The State, through its appropriate officers and employees, shall provide:</text> <level label="1"> <text>a reasonable break time for an employee to express breast milk for her nursing child after the child’s birth each time the employee needs to express the milk; and</text> </level> <level label="2"> <text>on notice, a place, other than a bathroom, that is shielded from view and free from coworkers and the public and that may be used by an employee to express breast milk.</text> </level> </level> <level label="b"> <text>The State may not be required to compensate an employee receiving reasonable break time under subsection (a)(1) of this section for any time spent expressing breast milk at work.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-311" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <text>In this section, “limitation” includes:</text> <level label="1"> <text>a temporary disability for job–related purposes caused or contributed to by pregnancy or childbirth; and</text> </level> <level label="2"> <text>a restriction on the ability of an employee to perform job functions caused or contributed to by pregnancy or childbirth.</text> </level> </level> <level label="b"> <text>This section applies to all units in the Executive, Judicial, and Legislative branches of State government, including all units with independent personnel systems.</text> </level> <level label="c"> <text>A unit of State government, through its appropriate officers and employees, shall provide reasonable accommodations to an employee with a limitation caused or contributed to by pregnancy or childbirth, including by:</text> <level label="1"> <text>changing the employee’s job duties;</text> </level> <level label="2"> <text>changing the employee’s work hours;</text> </level> <level label="3"> <text>relocating the employee’s work area;</text> </level> <level label="4"> <text>providing mechanical or electrical aids;</text> </level> <level label="5"> <text>transferring the employee to a less strenuous or less hazardous position; or</text> </level> <level label="6"> <text>providing leave.</text> </level> </level> <level label="d"> <text>A unit of State government may not:</text> <level label="1"> <text>require an employee to take leave, whether paid or unpaid, if the employer can provide another reasonable accommodation for the employee’s limitation caused or contributed to by pregnancy or childbirth; or</text> </level> <level label="2"> <text>require an employee to accept an accommodation that the employee chooses not to accept if:</text> <level label="i"> <text>the employee does not have a limitation caused or contributed to by pregnancy or childbirth; or</text> </level> <level label="ii"> <text>the accommodation is not necessary for the employee to perform the essential duties of the employee’s job.</text> </level> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-312" title_number="2" title_name="State Employment Generally" subtitle_number="3" subtitle_name="State Employment Policies"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Gender–affirming treatment” has the meaning stated in § 15–151 of the Health – General Article.</text> </level> <level label="3"> <text>“Legally protected health care” means:</text> <level label="i"> <text>all reproductive health services, medications, and supplies related to the direct provision or support of the provision of care related to pregnancy, contraception, assisted reproduction, and abortion that is lawful in the State; or</text> </level> <level label="ii"> <text>all gender–affirming treatment, including medications and supplies, related to the direct provision or support of the provision of care related to gender–affirming treatment that is lawful in the State.</text> </level> </level> </level> <level label="b"> <text>This section does not apply to an interstate investigation or proceeding described under subsection (c) of this section if:</text> <level label="1"> <text>the interstate investigation or proceeding concerns conduct that would be subject to civil liability, criminal liability, or administrative sanction if committed in the State; or</text> </level> <level label="2"> <text>the subject of the interstate investigation or proceeding submits a written request to provide information or assistance to the investigation or proceeding.</text> </level> </level> <level label="c"> <text>An agency of the State or a political subdivision of the State, an agent or employee of the State or a political subdivision of the State acting in the agent’s or employee’s official capacity, or a private party providing services on behalf of the State or a political subdivision of the State, may not provide information, expend time or money, or use State facilities, State property, State equipment, State personnel, or other State resources in furtherance of any interstate investigation or proceeding seeking to impose civil or criminal liability on, or administrative sanction against, a person for any activity relating to legally protected health care if the activity would not be subject to civil or criminal liability or professional sanction in the State.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-401" title_number="2" title_name="State Employment Generally" subtitle_number="4" subtitle_name="State Compensation Generally and Payroll"> <level label="a"> <text>Except as otherwise provided by law, compensation for State employees is determined under a pay plan.</text> </level> <level label="b"> <text>The pay plans for the State Personnel Management System are described in Title 8 of this article.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-402" title_number="2" title_name="State Employment Generally" subtitle_number="4" subtitle_name="State Compensation Generally and Payroll"> <level label="a"> <text>Except as provided in subsection (b) of this section and notwithstanding any other law, the Central Payroll Bureau of the Office of the State Comptroller shall provide for the payment of all wages to:</text> <level label="1"> <text>each officer and employee of the State who is paid from funds appropriated by the General Assembly; and</text> </level> <level label="2"> <text>whether or not paid from funds appropriated by the General Assembly, each officer and employee of:</text> <level label="i"> <text>the University System of Maryland;</text> </level> <level label="ii"> <text>Morgan State University;</text> </level> <level label="iii"> <text>St. Mary’s College of Maryland; and</text> </level> <level label="iv"> <text>Baltimore City Community College.</text> </level> </level> </level> <level label="b"> <text>The Central Payroll Bureau shall maintain all supporting payroll records for the payment of wages under this section.</text> </level> <level label="c"> <level label="1"> <text>In this subsection:</text> <level label="i"> <text>“wage” means all compensation that is due to an employee; and</text> </level> <level label="ii"> <text>“wage” includes:</text> <level label="1"> <text>a bonus;</text> </level> <level label="2"> <text>a commission;</text> </level> <level label="3"> <text>a fringe benefit;</text> </level> <level label="4"> <text>overtime wages;</text> </level> <level label="5"> <text>premium pay; or</text> </level> <level label="6"> <text>any other remuneration promised for service.</text> </level> </level> </level> <level label="2"> <text>The Central Payroll Bureau shall:</text> <level label="i"> <text>establish regular pay periods; and</text> </level> <level label="ii"> <text>except as provided in paragraph (3) of this subsection, pay each employee at least once every 2 weeks or twice each month.</text> </level> </level> <level label="3"> <text>The Central Payroll Bureau may pay an administrative, an executive, or a professional employee less frequently than required under paragraph (2)(ii) of this subsection.</text> </level> </level> <level label="d"> <text>Each appointing authority shall accurately and timely calculate and report to the Central Payroll Bureau the payroll information for each employee.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-403" title_number="2" title_name="State Employment Generally" subtitle_number="4" subtitle_name="State Compensation Generally and Payroll"> <level label="a"> <level label="1"> <text>Subject to subsection (b) of this section, on the written request of an employee to pay dues to an organization by payroll deduction, the Central Payroll Bureau shall:</text> <level label="i"> <text>deduct the dues from the employee's wages; and</text> </level> <level label="ii"> <text>timely pay over the amount deducted to the organization.</text> </level> </level> <level label="2"> <text>An employee may cancel a payroll deduction of organization dues by written notification to the Central Payroll Bureau.</text> </level> </level> <level label="b"> <text>The Central Payroll Bureau may deduct dues under this section only for:</text> <level label="1"> <text>an organization that has a membership of 1,000 or more State employees;</text> </level> <level label="2"> <text>an organization for which the potential field of membership is limited to fewer than 1,000 State employees, if the Governor has approved the deduction for that organization; or</text> </level> <level label="3"> <text>an organization for which payment of dues by payroll deduction was authorized on or before June 29, 1983.</text> </level> </level> <level label="c"> <text>The State Comptroller shall adopt regulations to carry out this section.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-404" title_number="2" title_name="State Employment Generally" subtitle_number="4" subtitle_name="State Compensation Generally and Payroll"> <level label="a"> <level label="1"> <text>This section applies to income tax that is imposed by a state other than this State.</text> </level> <level label="2"> <text>This section does not apply to any income tax that is imposed by a political subdivision of another state.</text> </level> </level> <level label="b"> <text>Subject to subsection (c) of this section, the Central Payroll Bureau shall:</text> <level label="1"> <text>withhold income tax imposed by another state from the wages of a State officer or employee who is a resident of that state; and</text> </level> <level label="2"> <text>pay over the amount withheld to the appropriate tax collecting agency of that state.</text> </level> </level> <level label="c"> <text>This section applies only if:</text> <level label="1"> <text>Maryland State income tax is not required to be withheld from the wages of the officer or employee under Title 10, Subtitle 9, Part II of the Tax - General Article; and</text> </level> <level label="2"> <text>the state where the officer or employee resides:</text> <level label="i"> <text>withholds Maryland State income tax from the wages of Maryland residents who are employed by that state; and</text> </level> <level label="ii"> <text>pays over the amount withheld to the Maryland State Comptroller.</text> </level> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-405" title_number="2" title_name="State Employment Generally" subtitle_number="4" subtitle_name="State Compensation Generally and Payroll"> <level label="a"> <text>In addition to the payment of wages by cash or check, the State Treasurer, on warrant of the State Comptroller, may pay a wage by direct deposit.</text> </level> <level label="b"> <text>Except as provided in subsection (c) of this section, the payment of wages by direct deposit shall be made in accordance with regulations adopted by the State Treasurer, with the concurrence of the State Comptroller.</text> </level> <level label="c"> <text>The regulations adopted by the State Treasurer under subsection (b) of this section:</text> <level label="1"> <text>may not require the payment of wages by direct deposit for any employee who:</text> <level label="i"> <text>is hired prior to the effective date of the regulations; or</text> </level> <level label="ii"> <text>requests an exemption to the payment of wages by direct deposit; and</text> </level> </level> <level label="2"> <text>shall require that, when an employee is hired, the employee be notified of the right to request an exemption.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-406" title_number="2" title_name="State Employment Generally" subtitle_number="4" subtitle_name="State Compensation Generally and Payroll"> <level label="a"> <text>Each appointing authority shall provide each employee, at the time of hiring, notice of:</text> <level label="1"> <text>the employee’s rate of pay;</text> </level> <level label="2"> <text>the regular pay periods; and</text> </level> <level label="3"> <text>the employee’s leave benefits.</text> </level> </level> <level label="b"> <text>The Central Payroll Bureau of the Office of the State Comptroller shall provide for each employee, for each pay period, a statement of the gross earnings of the employee and any deductions from the gross earnings.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-407" title_number="2" title_name="State Employment Generally" subtitle_number="4" subtitle_name="State Compensation Generally and Payroll"> <level label="a"> <text>If an appointing authority does not report payroll information in accordance with § 2–402 of this subtitle, the employee or the employee’s exclusive representative may initiate a grievance under the grievance procedure established under:</text> <level label="1"> <text>Title 12, Subtitle 2 of this article;</text> </level> <level label="2"> <text>Title 13, Subtitle 2 of the Education Article;</text> </level> <level label="3"> <text>Title 14, Subtitle 3 of the Education Article;</text> </level> <level label="4"> <text>§ 14–408 of the Education Article;</text> </level> <level label="5"> <text>§ 16–510(a) of the Education Article;</text> </level> <level label="6"> <text>§ 2–103.4 of the Transportation Article;</text> </level> <level label="7"> <text>any other applicable grievance procedure; or</text> </level> <level label="8"> <text>any other applicable collective bargaining agreement.</text> </level> </level> <level label="b"> <level label="1"> <text>Except as provided in paragraph (2) of this subsection, and notwithstanding any statutory or regulatory deadline in any grievance procedure listed under subsection (a) of this section, a grievance under subsection (a) of this section shall be initiated within 20 days after the failure to pay occurred.</text> </level> <level label="2"> <text>If the failure to pay is not known to, or discovered by, the employee within 20 days after the failure to pay occurs, a grievance under subsection (a) of this section may be initiated no later than 6 months after the date on which the failure to pay occurred.</text> </level> </level> <level label="c"> <level label="1"> <text>Subject to paragraphs (2) and (3) of this subsection, if a grievance is initiated in accordance with subsection (a) of this section, an employee is entitled to wages and damages unless the wage is withheld as a result of a bona fide dispute.</text> </level> <level label="2"> <text>If the grievance was filed:</text> <level label="i"> <text>in the first 3 business days of a pay period, then damages shall start in the following regular pay period; or</text> </level> <level label="ii"> <text>after the third business day of a pay period, then the damages shall start in the second regular pay period following the pay period in which the employee was not paid the employee’s full wage.</text> </level> </level> <level label="3"> <text>The damages under paragraph (1) of this subsection:</text> <level label="i"> <text>may not begin until at least 1 regular pay period has elapsed since the employee was not paid the employee’s full wage due for a pay period;</text> </level> <level label="ii"> <text>shall increase per pay period by 30% of the wage that the appointing authority failed to report;</text> </level> <level label="iii"> <text>shall continue until the pay period when the appointing authority reports the missing wages and damages, if any, to the Central Payroll Bureau; and</text> </level> <level label="iv"> <text>may not exceed 3 times the amount of wage due that the appointing authority failed to report for a pay period.</text> </level> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-501" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>In this subtitle the following terms have the meanings indicated.</text> </level> <level label="b"> <level label="1"> <text>“County board” means the board of education of a county.</text> </level> <level label="2"> <text>“County board” includes the Baltimore City Board of School Commissioners.</text> </level> </level> <level label="c"> <text>“Program” means the State Employee and Retiree Health and Welfare Benefits Program.</text> </level> <level label="d"> <text>“Satellite organization” means any organization or entity whose employees are eligible to participate in the State Employee and Retiree Health and Welfare Benefits Program as a separate account.</text> </level> <level label="e"> <text>“Wellness program” means a program that is designed to:</text> <level label="1"> <text>promote health or prevent or detect disease or illness;</text> </level> <level label="2"> <text>improve clinical outcomes;</text> </level> <level label="3"> <text>prevent or reduce acute admissions and readmissions to health care facilities;</text> </level> <level label="4"> <text>improve treatment compliance for chronic conditions;</text> </level> <level label="5"> <text>promote healthy behaviors; or</text> </level> <level label="6"> <text>prevent or control injury.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-501.1" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <text>In this subtitle, the terms “spouse”, “family”, “immediate family”, “dependent”, and any other terms that denote the spousal relationship shall be construed to include a party to a domestic partnership, as defined in § 6–101 of the Health – General Article.</text> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-502" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>There is a State Employee and Retiree Health and Welfare Benefits Program, to be developed and administered by the Secretary.</text> </level> <level label="b"> <level label="1"> <text>The Program:</text> <level label="i"> <text>subject to the regulations adopted under § 2–503 of this subtitle, shall encompass all units in the Executive, Judicial, and Legislative branches of State government, including any unit with an independent personnel system;</text> </level> <level label="ii"> <text>shall include the health insurance benefit options established by the Secretary; and</text> </level> <level label="iii"> <text>except as provided in paragraph (2) of this subsection, may include any other benefit option that the Secretary considers appropriate.</text> </level> </level> <level label="2"> <text>The Program may not contain any of the benefits provided under Division II or Title 35 or Title 37 of this article.</text> </level> </level> <level label="c"> <text>The provisions of the Program that apply to spouses shall apply to parties who have entered into a domestic partnership, as defined in § 6–101 of the Health – General Article.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-502.1" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>In this section, “Maryland Rx Program” means a purchasing pool for pharmacy benefits that meets the requirements of this section.</text> </level> <level label="b"> <text>The Department shall establish a Maryland Rx Program to achieve savings on the cost of prescription drugs for:</text> <level label="1"> <text>the State Employee and Retiree Health and Welfare Benefits Program; and</text> </level> <level label="2"> <text>any local government or other entity identified under this subtitle that satisfies the conditions for participation established by the Department.</text> </level> </level> <level label="c"> <text>The Maryland Rx Program shall seek savings through:</text> <level label="1"> <text>a preferred list of covered prescription drugs;</text> </level> <level label="2"> <text>rebates from drug manufacturers;</text> </level> <level label="3"> <text>negotiated discounts; and</text> </level> <level label="4"> <text>other cost-saving measures.</text> </level> </level> <level label="d"> <level label="1"> <text>Each entity that participates in the Maryland Rx Program shall be responsible for the cost of drugs purchased by or on behalf of the entity.</text> </level> <level label="2"> <text>The cost of drugs purchased by or on behalf of the State Employee and Retiree Health and Welfare Benefits Program shall be paid in accordance with the State budget and the provisions of this subtitle.</text> </level> </level> <level label="e"> <text>The State may:</text> <level label="1"> <text>provide start-up funds for the Maryland Rx Program; and</text> </level> <level label="2"> <text>recoup any start-up funds from savings achieved for participating entities through the Maryland Rx Program.</text> </level> </level> <level label="f"> <text>The Department may charge an administrative fee to an entity sufficient to offset the administrative costs resulting from the entity’s participation in the Maryland Rx Program.</text> </level> <level label="g"> <text>The Department shall use a reverse auction, as provided for in § 2–502.2 of this subtitle, to select a pharmacy benefit manager or other entity to administer the Maryland Rx Program.</text> </level> <level label="h"> <text>The Department shall adopt regulations to implement this section.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-502.2" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <level label="1"> <text>In this section the following terms have the meanings indicated.</text> </level> <level label="2"> <text>“Market check” means a technology–driven evaluation of prescription drug pricing based on benchmarks derived from pharmacy benefits managers’ reverse auction processes conducted in the United States over the immediately preceding 12 months.</text> </level> <level label="3"> <text>“Pharmacy benefits manager” has the meaning stated in § 15–1601 of the Insurance Article.</text> </level> <level label="4"> <text>“Price” means the projected cost of a bid for providing services over the duration of the contract.</text> </level> <level label="5"> <text>“Reverse auction” means an automated bidding process conducted online that starts with an opening price and allows qualified bidders to counteroffer a lower price for multiple rounds of bidding.</text> </level> </level> <level label="b"> <text>It is the intent of the General Assembly to optimize prescription drug savings by the State through:</text> <level label="1"> <text>adoption of a reverse auction process for the selection of a pharmacy benefits manager for the Program;</text> </level> <level label="2"> <text>electronic review and validation of pharmacy benefits manager claims invoices as the foundation for reconciling pharmacy bills;</text> </level> <level label="3"> <text>market checks of the incumbent pharmacy benefits manager’s prescription drug pricing; and</text> </level> <level label="4"> <text>limiting independent pharmacies from unsustainable reimbursement practices while preventing a reduction in employee benefits.</text> </level> </level> <level label="c"> <level label="1"> <text>At least 3 months before a pharmacy benefits manager reverse auction is scheduled to be completed, the Department shall procure, through a competitive sealed proposal conducted in accordance with § 13–104 of the State Finance and Procurement Article, a technology platform, and any associated professional services necessary to operate the platform, to:</text> <level label="i"> <text>evaluate the qualifications of prospective pharmacy benefits managers for the Program;</text> </level> <level label="ii"> <text>automatically adjudicate prescription drug claims; and</text> </level> <level label="iii"> <text>collect data on pharmacy reimbursement.</text> </level> </level> <level label="2"> <text>The platform procured under paragraph (1) of this subsection shall have the capability to:</text> <level label="i"> <text>host and conduct an online automated reverse auction;</text> </level> <level label="ii"> <text>automate repricing of diverse and complex pharmacy benefits manager prescription drug pricing proposals to enable direct comparisons of the price of bids using all annual claims data available for state–funded health plans or multiple health plan prescription drug purchasing groups using code–based classification of prescription drugs from nationally accepted drug sources;</text> </level> <level label="iii"> <text>produce an automated report and analysis of bids, including the ranking of bids based on the comparative costs and qualitative aspects of the costs within 48 hours after the close of each round of reverse auction bidding;</text> </level> <level label="iv"> <text>after the close of a reverse auction, perform electronic, line by line, claim by claim review of all invoiced pharmacy benefits manager claims within 12 hours of receipt and identify all deviations from the specific terms of the services contract resulting from the reverse auction process; and</text> </level> <level label="v"> <text>if available, after the close of a reverse auction, perform comparisons of the financial effects on the State of alternative drug–pricing metrics, such as the national average drug acquisition cost and average wholesale price.</text> </level> </level> <level label="3"> <text>A responsive offeror under paragraph (2) of this subsection may not subcontract any part of the reverse auction or a review described under paragraph (2)(iv) of this subsection.</text> </level> <level label="4"> <text>The Department shall consult with the Department of Information Technology and Department of General Services in conducting the procurement required under paragraph (1) of this subsection.</text> </level> <level label="5"> <text>The Department may not award a contract under paragraph (1) of this subsection to:</text> <level label="i"> <text>a pharmacy benefits manager;</text> </level> <level label="ii"> <text>a subsidiary or affiliate of a pharmacy benefits manager; or</text> </level> <level label="iii"> <text>a vendor that is managed by a pharmacy benefits manager or receives, directly or indirectly, remuneration from a pharmacy benefits manager for aggregating clients into a contractual relationship with a pharmacy benefits manager.</text> </level> </level> <level label="6"> <text>The Department may structure a contract awarded under this subsection to require the pharmacy benefits manager selected under § 2–502.1(g) of this subtitle to pay the cost of the technology platform and associated professional services contracted under this subsection by assessing a per–prescription fee paid by the pharmacy benefits manager directly to the technology platform vendor.</text> </level> </level> <level label="d"> <level label="1"> <text>In consultation with the vendor selected under subsection (c) of this section, and with consideration of recommendations that may be offered by the Maryland Prescription Drug Affordability Board, the Department shall specify the terms of a participant bidding agreement that all bidders must accept as a prerequisite for participation in the reverse auction, including:</text> <level label="i"> <text>common definitions;</text> </level> <level label="ii"> <text>prescription drug classifications;</text> </level> <level label="iii"> <text>rules that may include retail pricing rules such as maximum allowable cost price lists and dispensing fees;</text> </level> <level label="iv"> <text>whether the vendor will be assessed a platform vendor fee described under subsection (c)(6) of this section; and</text> </level> <level label="v"> <text>any other contract terms the Department determines are necessary to further the intent of the General Assembly as established in subsection (b) of this section.</text> </level> </level> <level label="2"> <text>The terms of a participant bidding agreement specified under paragraph (1) of this subsection may not be modified except by affirmative approval by the Department.</text> </level> </level> <level label="e"> <level label="1"> <level label="i"> <text>The Department may perform annual market checks of pharmacy benefits manager services during the term of a pharmacy benefits manager contract to ensure continuing competitiveness of prescription drug pricing over the life of the contract.</text> </level> <level label="ii"> <text>A market check performed under this paragraph shall include an evaluation of the effect of alternative drug–pricing metrics, such as the national average drug acquisition cost and average wholesale price, on the cost of prescription drugs and savings to the State.</text> </level> </level> <level label="2"> <text>The Department shall make regular, periodic payment of invoices within the time periods specified in a contract based on the automated adjudication of invoiced claims using the technology platform to validate that claims payments comply with the terms of the contract.</text> </level> </level> <level label="f"> <level label="1"> <text>The following health plans in the State may use the reverse auction process established under this section individually or collectively as a joint purchasing group with the Program:</text> <level label="i"> <text>a State–funded health plan other than the Program;</text> </level> <level label="ii"> <text>a self–funded county, municipal, or other local government employee health plan;</text> </level> <level label="iii"> <text>a public school employee health plan; and</text> </level> <level label="iv"> <text>a health plan of a public institution of higher education.</text> </level> </level> <level label="2"> <text>A health plan that participates in a reverse auction purchasing group under paragraph (1) of this subsection shall:</text> <level label="i"> <text>retain full autonomy over determination of the entity’s prescription drug formulary and pharmacy benefit designs; but</text> </level> <level label="ii"> <text>agree, before participating in the reverse auction, to accept the prescription drug pricing plan that is selected through the reverse auction process.</text> </level> </level> </level> <level label="g"> <text>A pharmacy benefits manager that submits a bid under a reverse auction process under this section or enters into a contract with the Department or a health plan described under subsection (f)(1) of this section shall provide the Department and health plan access to complete pharmacy claims data necessary for the Department and health plan to:</text> <level label="1"> <text>conduct the reverse auction; and</text> </level> <level label="2"> <text>carry out administrative and management duties.</text> </level> </level> <level label="h"> <level label="1"> <text>A prospective bidder or offeror, a bidder, or an offeror may submit a protest as provided under Title 15, Subtitle 2 of the State Finance and Procurement Article.</text> </level> <level label="2"> <text>If the pharmacy benefits manager selected under § 2–502.1(g) of this subtitle asserts that the Department has underpaid on a claim, the pharmacy benefits manager may submit a contract claim as provided under Title 15, Subtitle 2 of the State Finance and Procurement Article.</text> </level> </level> <level label="i"> <level label="1"> <text>If the Department and the Department of General Services determine that the implementation of this section is not administratively feasible for the benefit year beginning after December 31, 2020, the Department may delay implementation of this section to the benefit year beginning after December 31, 2021.</text> </level> <level label="2"> <text>For purposes of carrying out the provisions of subsections (c) and (d) of this section before January 1, 2021, the Board of Public Works may approve a request from the Department for an exemption from specific provisions of Division II of the State Finance and Procurement Article.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-503" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>The Secretary shall:</text> <level label="1"> <text>adopt regulations for the administration of the Program;</text> </level> <level label="2"> <text>ensure that the Program complies with:</text> <level label="i"> <text>all federal and State laws governing employee benefit plans; and</text> </level> <level label="ii"> <text>§§ 15–826, 15–826.1, 15–826.2, and, as applicable to contraceptive drugs and devices, 15–831(a) through (d) of the Insurance Article;</text> </level> </level> <level label="3"> <text>each year, recommend to the Governor the State share of the costs of the Program; and</text> </level> <level label="4"> <text>make ongoing eligibility determinations to ensure that participation in the Program does not impede, undermine, or conflict with federal compliance obligations or government and cafeteria plan status.</text> </level> </level> <level label="b"> <level label="1"> <text>The Secretary may arrange as the Secretary considers appropriate any benefit option for inclusion in the Program.</text> </level> <level label="2"> <text>The Secretary shall include in the Program an option to purchase up to $200,000 of additional life insurance coverage for employees who:</text> <level label="i"> <text>fly in a helicopter in the course of their employment with the State;</text> </level> <level label="ii"> <text>scuba dive in the course of their employment with the State; or</text> </level> <level label="iii"> <text>as a result of their employment with the State, face a significant likelihood of receiving a less favorable life insurance rating than an individual employed in a nonhazardous position.</text> </level> </level> <level label="3"> <level label="i"> <text>The Secretary shall include a wellness program in the Program.</text> </level> <level label="ii"> <text>The wellness program shall:</text> <level label="1"> <text>be developed in consultation with the Secretary of Health;</text> </level> <level label="2"> <text>promote the goals of the Maryland Department of Health State Health Improvement Process; and</text> </level> <level label="3"> <text>aim to achieve savings in the Program over time that exceed the costs of the wellness program.</text> </level> </level> </level> </level> <level label="c"> <text>The Secretary shall specify by regulation the types or categories of State employees who:</text> <level label="1"> <text>are eligible to enroll and participate in the Program with State subsidies;</text> </level> <level label="2"> <text>are eligible to enroll and participate in the Program without State subsidies; and</text> </level> <level label="3"> <text>are not eligible to enroll or participate in the Program.</text> </level> </level> <level label="d"> <level label="1"> <text>The regulations adopted by the Secretary shall include provisions for the enrollment and participation of employees of all:</text> <level label="i"> <text>organizations and entities that were participating in the Program as satellite organizations on January 1, 1993; and</text> </level> <level label="ii"> <text>employee organizations that qualify for payroll deductions under the provisions of § 2–403 of this title.</text> </level> </level> <level label="2"> <text>Employees of organizations and entities covered by this section may participate:</text> <level label="i"> <text>without State subsidies; and</text> </level> <level label="ii"> <text>with payment by the organization or entity of administrative costs resulting from the participation of its employees in the Program.</text> </level> </level> <level label="3"> <text>The regulations adopted by the Secretary under this subsection shall provide that an employee organization specified in paragraph (1)(ii) of this subsection:</text> <level label="i"> <text>may not enroll or participate in the Program unless the organization has notified the Secretary, in writing, on or before July 1, 1994 of the organization’s intent to enroll and participate in the Program during calendar year 1994; and</text> </level> <level label="ii"> <text>may not enroll or participate in the Program on or after January 1, 1995 unless the organization has participated in the Program during calendar year 1994.</text> </level> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-504" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <text>Each year the Governor shall include money in the State budget to pay the State share of the costs of the Program.</text> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-507" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>Subject to the regulations adopted under § 2–503 of this subtitle, a State employee may enroll and participate in any of the health insurance or other benefit options established under the Program.</text> </level> <level label="b"> <text>The surviving spouse of a State employee who died while employed by the State may enroll and participate in the health insurance benefit options established under the Program as long as the surviving spouse:</text> <level label="1"> <text>is receiving an allowance under Title 29, Subtitle 2 of this article; or</text> </level> <level label="2"> <text>is the sole primary designated beneficiary and receiving a periodic distribution of benefits under an optional retirement program under Title 30 of this article.</text> </level> </level> <level label="c"> <text>The surviving child or dependent parent of a State Police officer who died while employed by the State may enroll and participate in the health insurance benefit options established under the Program as long as the child or parent is receiving an allowance under Title 29, Subtitle 2 of this article.</text> </level> <level label="d"> <text>The surviving child or dependent parent of a correctional officer who at the time of death was a member of the Correctional Officers’ Retirement System and who died while employed by the State may enroll and participate in the health insurance benefit options established under the Program as long as the child or parent is receiving an allowance under Title 29, Subtitle 2 of this article.</text> </level> <level label="e"> <text>The surviving child or dependent parent of a State employee who at the time of death was a member of the Employees’ Retirement System, Employees’ Pension System, Teachers’ Retirement System, or Teachers’ Pension System and who was killed or died while employed by the State may enroll and participate in the health insurance benefit options established under the Program as long as the child or parent is receiving an allowance under Title 29, Subtitle 2 of this article.</text> </level> <level label="f"> <text>The surviving child or dependent parent of an individual who at the time of death was a member of the Judges’ Retirement System and who died while employed by the State may enroll and participate in the health insurance benefit options established under the Program as long as the child or parent is receiving an allowance under Title 29, Subtitle 2 of this article.</text> </level> <level label="g"> <level label="1"> <text>This subsection applies to an individual receiving an allowance under § 29–203(b), § 29–204(b), § 29–204.1, § 29–204.2, or § 29–204.3 of this article.</text> </level> <level label="2"> <text>An individual described under paragraph (1) of this subsection who elects to participate in the health insurance benefit options established under the Program shall be entitled to the maximum allowable State subsidy provided for a State retiree.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-508" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <level label="1"> <text>In this section the following words have the meanings indicated.</text> </level> <level label="2"> <text>“Creditable service” means:</text> <level label="i"> <text>any period during which an individual was employed by the State in the Executive, Legislative, or Judicial Branch and enrolled as a member of one of the several systems under Division II of this article or the Optional Retirement Program under Title 30 of this article;</text> </level> <level label="ii"> <text>service while an employee was employed by the Domestic Relations Division of the Anne Arundel County Circuit Court, prior to transfer on or before July 1, 2002, into the State Personnel Management System, in accordance with § 2–510 of the Courts Article; or</text> </level> <level label="iii"> <text>service while a member of the Maryland Transit Administration Retirement Plan under § 7–206 of the Transportation Article.</text> </level> </level> <level label="3"> <level label="i"> <text>“Retiree” means:</text> <level label="1"> <text>a former State employee who receives a retirement allowance under Division II of this article;</text> </level> <level label="2"> <text>a former employee of the Medical System Corporation, as defined in § 13–301 or § 13–401 of the Education Article, who receives a retirement allowance from the Employees’ Retirement System of the State of Maryland or the Employees’ Pension System of the State of Maryland under Title 22 or Title 23 of this article; or</text> </level> <level label="3"> <text>a former employee of the Maryland Transit Administration who receives a Maryland Transit Administration retirement allowance under § 7–206 of the Transportation Article.</text> </level> </level> <level label="ii"> <text>“Retiree” does not include:</text> <level label="1"> <text>a member of the faculty or staff of a community college;</text> </level> <level label="2"> <text>a teacher or a staff member employed by a county board of education; or</text> </level> <level label="3"> <text>an individual who retired under an optional program under Title 30 of this article.</text> </level> </level> </level> <level label="4"> <text>“State service” means service with the State by:</text> <level label="i"> <text>an employee while a member of the Employees’ Retirement System or the Employees’ Pension System under Title 22 or Title 23 of this article;</text> </level> <level label="ii"> <text>a member of the Judges’ Retirement System under Title 27 of this article;</text> </level> <level label="iii"> <text>a teacher while a member of the Teachers’ Retirement System or Teachers’ Pension System under Title 22 or Title 23 of this article;</text> </level> <level label="iv"> <text>a correctional officer, while a member of the Correctional Officers’ Retirement System under Title 25 of this article;</text> </level> <level label="v"> <text>an employee of the Medical System Corporation, as defined in § 13–301 or § 13–401 of the Education Article, while a member of the Employees’ Retirement System of the State of Maryland or the Employees’ Pension System of the State of Maryland under Title 22 or Title 23 of this article;</text> </level> <level label="vi"> <text>a State Police officer while a member of the State Police Retirement System under Title 24 of this article;</text> </level> <level label="vii"> <text>a law enforcement officer while a member of the Law Enforcement Officers’ Pension System under Title 26 of this article; or</text> </level> <level label="viii"> <text>an employee while a member of the Maryland Transit Administration Plan under § 7–206 of the Transportation Article.</text> </level> </level> </level> <level label="b"> <level label="1"> <text>This subsection applies to a retiree who:</text> <level label="i"> <text>began State service on or before June 30, 2011; or</text> </level> <level label="ii"> <level label="1"> <text>began State service on or after July 1, 2011; and</text> </level> <level label="2"> <text>is a retiree of the Judges’ Retirement System.</text> </level> </level> </level> <level label="2"> <text>A retiree may enroll and participate in the health insurance benefit options established under the Program if the retiree:</text> <level label="i"> <text>ended State service with at least 10 years of creditable service and within 5 years before the age at which a vested retirement allowance normally would begin;</text> </level> <level label="ii"> <text>ended State service with at least 16 years of creditable service;</text> </level> <level label="iii"> <text>ended State service on or before June 30, 1984;</text> </level> <level label="iv"> <text>retired directly from State service with a State retirement allowance on or after July 1, 1984, and had at least 5 years of creditable service;</text> </level> <level label="v"> <text>retired directly from State service with a State disability retirement allowance on or after July 1, 1984; or</text> </level> <level label="vi"> <text>retired directly from State service in the Judges’ Retirement System at the mandatory retirement age required by Article IV, § 3 of the Maryland Constitution with less than 5 years of creditable service.</text> </level> </level> <level label="3"> <level label="i"> <text>The surviving spouse or dependent child of a deceased retiree who was eligible to enroll may enroll and participate in the health insurance benefit options established under the Program as long as the spouse or child is receiving a periodic allowance under Division II of this article or the Maryland Transit Administration Retirement Plan under § 7–206 of the Transportation Article.</text> </level> <level label="ii"> <text>Subparagraph (i) of this paragraph does not apply to a deceased retiree’s spouse or dependent child who receives an Option 1, Option 4, or Option 7 benefit under Division II of this article or a lump–sum payment of benefits under the Maryland Transit Administration Retirement Plan under § 7–206 of the Transportation Article.</text> </level> </level> <level label="4"> <level label="i"> <text>If a retiree receives a State disability retirement allowance or has 16 or more years of creditable service, the retiree or the retiree’s surviving spouse or dependent child is entitled to the same State subsidy allowed a State employee.</text> </level> <level label="ii"> <text>In all other cases, if a retiree has at least 5 years of creditable service, the retiree or the retiree’s surviving spouse or dependent child is entitled to 1/16 of the State subsidy allowed a State employee for each year of the retiree’s creditable service up to 16 years.</text> </level> <level label="iii"> <text>Notwithstanding subparagraph (ii) of this paragraph and subsection (a)(4)(i) of this section, if a retiree is an additional employee or agent of the State Racing Commission, for the purposes of determining a retiree’s State subsidy, creditable service shall be determined with respect to service as an additional employee or agent beginning from the initial date of employment or January 1, 1986, whichever is later.</text> </level> <level label="iv"> <level label="1"> <text>This paragraph applies only to a retiree of the Judges’ Retirement System who retired directly from State service at the mandatory retirement age required by Article IV, § 3 of the Maryland Constitution with less than 5 years of creditable service.</text> </level> <level label="2"> <text>Notwithstanding subparagraph (ii) of this paragraph, a retiree of the Judges’ Retirement System or the retiree’s surviving spouse or dependent child is entitled to 1/16 of the State subsidy allowed a State employee for each year of the retiree’s creditable service.</text> </level> </level> </level> </level> <level label="c"> <level label="1"> <level label="i"> <text>Except as provided in subparagraph (ii) of this paragraph, this subsection applies to a retiree who begins State service on or after July 1, 2011.</text> </level> <level label="ii"> <text>This subsection does not apply to:</text> <level label="1"> <text>a retiree of the Judges’ Retirement System; or</text> </level> <level label="2"> <text>a former Governor of Maryland who began serving as Governor on or after January 21, 2015.</text> </level> </level> </level> <level label="2"> <text>A retiree may enroll and participate in the health insurance benefit options established under the Program if the retiree:</text> <level label="i"> <text>ends State service with at least 25 years of creditable service;</text> </level> <level label="ii"> <text>ends State service with at least 10 years of creditable service within 5 years before the age at which a vested retirement allowance normally would begin;</text> </level> <level label="iii"> <text>retires directly from State service with a State retirement allowance and has 10 years of creditable service; or</text> </level> <level label="iv"> <text>retires directly from State service with a State disability retirement allowance.</text> </level> </level> <level label="3"> <level label="i"> <text>The surviving spouse or dependent child of a deceased retiree who was eligible to enroll may enroll and participate in the health insurance benefit options established under the Program as long as the spouse or child is receiving a periodic allowance under Division II of this article or the Maryland Transit Administration Retirement Plan under § 7–206 of the Transportation Article.</text> </level> <level label="ii"> <text>Subparagraph (i) of this paragraph does not apply to a deceased retiree’s spouse or dependent child who receives an Option 1, Option 4, or Option 7 benefit under Division II of this article or a lump–sum payment of benefits under the Maryland Transit Administration Retirement Plan under § 7–206 of the Transportation Article.</text> </level> </level> <level label="4"> <level label="i"> <text>If a retiree receives a State disability retirement allowance or has 25 or more years of creditable service, the retiree or the retiree’s surviving spouse or dependent child is entitled to the same State subsidy allowed a State employee.</text> </level> <level label="ii"> <text>In all other cases, if a retiree has at least 10 years of creditable service, the retiree or the retiree’s surviving spouse or dependent child is entitled to 1/25 of the State subsidy allowed a State employee for each year of the retiree’s creditable service up to 25 years.</text> </level> <level label="iii"> <text>Notwithstanding subparagraph (ii) of this paragraph and subsection (a)(4)(i) of this section, if a retiree is an additional employee or agent of the State Racing Commission, for the purposes of determining a retiree’s State subsidy, creditable service shall be determined with respect to service as an additional employee or agent beginning from the initial date of employment.</text> </level> </level> </level> <level label="d"> <level label="1"> <text>Notwithstanding subsections (b) and (c) of this section and §§ 2–509 and 2–509.1 of this subtitle, the State may establish separate health insurance benefit options for retirees that differ from those for active State employees.</text> </level> <level label="2"> <text>Subject to § 2–509.1 of this subtitle, on or after July 1, 2011, the health insurance benefit option for retirees shall include a prescription drug benefit that:</text> <level label="i"> <text>has the same co–payments, coinsurance, and deductible that apply to the prescription drug benefit for active State employees;</text> </level> <level label="ii"> <text>requires:</text> <level label="1"> <text>retirees who qualify for the maximum State subsidy to pay 25% of the premium for the prescription drug benefit; and</text> </level> <level label="2"> <text>retirees who qualify for a partial State subsidy to pay 25% of the premium for the prescription drug benefit plus the proportional additional amount required under subsections (b)(4)(ii) and (c)(4)(ii) of this section; and</text> </level> </level> <level label="iii"> <text>requires retirees to pay out–of–pocket limits equal to:</text> <level label="1"> <text>$1,500 for the retiree only; and</text> </level> <level label="2"> <text>$2,000 for the retiree and the retiree’s family.</text> </level> </level> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-508.1" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>A former Governor of Maryland who began serving as Governor on or after January 21, 2015, may enroll and participate in the health insurance benefit options established under the Program if the former Governor:</text> <level label="1"> <text>is at least 62 years old;</text> </level> <level label="2"> <text>is receiving a normal service retirement allowance under Division II of this article; or</text> </level> <level label="3"> <text>is receiving a disability retirement allowance under Division II of this article.</text> </level> </level> <level label="b"> <text>The surviving spouse of a deceased Governor or former Governor may enroll and participate in the health insurance benefit options established under the Program as long as the spouse is receiving a periodic allowance under Division II of this article.</text> </level> <level label="c"> <text>A former Governor described in subsection (a)(1) or (2) of this section or the surviving spouse of a deceased Governor or former Governor is entitled to 1/16 of the State subsidy allowed a State employee for each year served as Governor.</text> </level> <level label="d"> <text>A former Governor described in subsection (a)(3) of this section or the surviving spouse of a deceased former Governor is entitled to the same State subsidy allowed a State employee.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-509" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <level label="1"> <text>This subsection applies to a retiree of an optional retirement program under Title 30 of this article who began service as an employee of the State in the Executive, Legislative, or Judicial Branch of government on or before June 30, 2011.</text> </level> <level label="2"> <level label="i"> <text>Subject to subparagraph (ii) of this paragraph, an individual may enroll and participate in the health insurance benefit options established under the Program if the individual retired under an optional program under Title 30 of this article and:</text> <level label="1"> <text>ended service with a State institution of higher education with at least 10 years of service and was at least age 57;</text> </level> <level label="2"> <text>ended service with a State institution of higher education with at least 16 years of service; or</text> </level> <level label="3"> <text>retired directly from and had at least 5 years of service with a State institution of higher education with a periodic distribution of benefits on or after July 1, 1984.</text> </level> </level> <level label="ii"> <level label="1"> <text>For purposes of this subsection only, years of service shall be calculated as follows:</text> </level> <level label="A"> <text>except as provided in subsubparagraph 2 of this subparagraph, a year of service means a period of 12 months during which an employee was a participant in an optional retirement program under Title 30 of this article and the participant’s employer made contributions to the participant’s account in the Program;</text> </level> <level label="B"> <text>if an employee’s work year is an academic year of at least 9 but less than 12 months, a year of service means a period equal to the academic year during which an employee was a participant in an optional retirement program under Title 30 of this article and the participant’s employer made contributions to the participant’s account in the Program; or</text> </level> <level label="C"> <text>any period during which an individual was employed by the State in the Executive, Legislative, or Judicial Branch and enrolled as a member of one of the several systems under Division II of this article.</text> </level> <level label="2"> <text>To determine eligibility for health insurance benefits under this section, each year of service shall be multiplied by the participant’s percentage of full–time employment for that year of service.</text> </level> </level> <level label="iii"> <text>The surviving spouse or dependent child of a deceased individual who was eligible to enroll may enroll and participate in the health insurance benefit options established under the Program as long as the spouse or child is receiving a periodic distribution of benefits under an optional retirement program under Title 30 of this article.</text> </level> </level> <level label="3"> <level label="i"> <text>An enrollee under this section who was in service with a State institution of higher education at the time of the retirement is entitled to the same State subsidy allowed a retiree under § 2–508(b)(4) of this subtitle. However, except as provided in subparagraph (ii) of this paragraph, the subsidy shall apply only to the costs of coverage for the enrollee and may not apply to any additional costs of coverage for the enrollee’s spouse or children.</text> </level> <level label="ii"> <text>If the enrollee has 25 or more years of service as an employee of the State in the Executive, Legislative, or Judicial Branch of government, the enrollee or the enrollee’s surviving spouse or dependent child is entitled to the same State subsidy allowed a retiree with 16 or more years of creditable service under § 2–508(b)(4)(i) of this subtitle.</text> </level> </level> </level> <level label="b"> <level label="1"> <text>This subsection applies to a retiree of an optional retirement program under Title 30 of this article who begins service as an employee of the State in the Executive, Legislative, or Judicial Branch of government on or after July 1, 2011.</text> </level> <level label="2"> <level label="i"> <text>Subject to subparagraph (ii) of this paragraph, an individual may enroll and participate in the health insurance benefit options established under the Program if the individual retired under an optional program under Title 30 of this article and:</text> <level label="1"> <text>ended service with a State institution of higher education with at least 10 years of service and was at least age 57;</text> </level> <level label="2"> <text>ended service with a State institution of higher education with at least 25 years of service; or</text> </level> <level label="3"> <text>retired directly from and had at least 10 years of service with a State institution of higher education with a periodic distribution of benefits on or after July 1, 2011.</text> </level> </level> <level label="ii"> <level label="1"> <text>For purposes of this paragraph only, years of service shall be calculated as follows:</text> </level> <level label="A"> <text>except as provided in subsubparagraph 2 of this subparagraph, a year of service means a period of 12 months during which an employee was a participant in an optional retirement program under Title 30 of this article and the participant’s employer made contributions to the participant’s account in the Program;</text> </level> <level label="B"> <text>if an employee’s work year is an academic year of at least 9 but less than 12 months, a year of service means a period equal to the academic year during which an employee was a participant in an optional retirement program under Title 30 of this article and the participant’s employer made contributions to the participant’s account in the Program; or</text> </level> <level label="C"> <text>any period during which an individual was employed by the State in the Executive, Legislative, or Judicial Branch and enrolled as a member of one of the several systems under Division II of this article.</text> </level> <level label="2"> <text>To determine eligibility for health insurance benefits under this section, each year of service shall be multiplied by the participant’s percentage of full–time employment for that year of service.</text> </level> </level> <level label="iii"> <text>The surviving spouse or dependent child of a deceased individual who was eligible to enroll may enroll and participate in the health insurance benefit options established under the Program as long as the spouse or child is receiving a periodic distribution of benefits under an optional retirement program under Title 30 of this article.</text> </level> </level> <level label="3"> <level label="i"> <text>An enrollee under this subsection who was in service with a State institution of higher education at the time of the retirement is entitled to the same State subsidy allowed a retiree under § 2–508(c)(4) of this subtitle. However, except as provided in subparagraph (ii) of this paragraph, the subsidy shall apply only to the costs of coverage for the enrollee and may not apply to any additional costs of coverage for the enrollee’s spouse or children.</text> </level> <level label="ii"> <text>If the enrollee has 25 or more years of service as an employee of the State in the Executive, Legislative, or Judicial Branch of government, the enrollee or the enrollee’s surviving spouse or dependent child is entitled to the same State subsidy allowed a retiree with 25 or more years of creditable service under § 2–508(c)(4)(i) of this subtitle.</text> </level> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-509.1" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <level label="1"> <text>Except as provided in subsection (b) of this section, the State shall continue to include a prescription drug benefit plan in the health insurance benefit options established under the Program and available to retirees under §§ 2–508 and 2–509 of this subtitle notwithstanding the enactment of the federal Medicare Prescription Drug, Improvement, and Modernization Act of 2003 or any other federal law permitting states to discontinue prescription drug benefit plans to retirees of a state.</text> </level> <level label="2"> <text>Except as provided in subsection (b) of this section:</text> <level label="i"> <text>a retiree may elect to cover the retiree’s spouse or dependent child under the State prescription drug benefit plan under §§ 2–508 and 2–509 of this subtitle; and</text> </level> <level label="ii"> <text>if a surviving spouse or surviving dependent child of a retiree is eligible to enroll in the State prescription drug benefit plan under § 2–508 or § 2–509 of this subtitle, the surviving spouse or surviving dependent child may elect to enroll in the State prescription drug benefit plan.</text> </level> </level> </level> <level label="b"> <text>Except as provided in subsection (c) of this section, on January 1, 2019, the State shall discontinue prescription drug benefits for:</text> <level label="1"> <text>a Medicare–eligible retiree;</text> </level> <level label="2"> <text>the Medicare–eligible spouse or surviving spouse of a retiree; and</text> </level> <level label="3"> <text>a Medicare–eligible dependent child or surviving dependent child of a retiree.</text> </level> </level> <level label="c"> <level label="1"> <text>If a retiree is eligible to participate in the prescription drug benefit plan under Medicare, but the retiree’s spouse or dependent child is not eligible to participate in a Medicare prescription drug benefit plan, the retiree may elect to cover the retiree’s spouse or dependent child under the State prescription drug benefit plan.</text> </level> <level label="2"> <text>If the surviving spouse or surviving dependent child of a retiree is eligible to enroll in the State prescription drug benefit plan under § 2–508 or § 2–509 of this subtitle, but is not eligible to participate in the prescription drug benefit plan under Medicare, the surviving spouse or surviving dependent child may elect to enroll in the State prescription drug benefit plan.</text> </level> </level> <level label="d"> <level label="1"> <text>This subsection applies only to a retiree, a retiree’s spouse or surviving spouse, and a retiree’s dependent child or surviving dependent child:</text> <level label="i"> <text>who is enrolled in a prescription drug benefit plan under Medicare;</text> </level> <level label="ii"> <text>if the retiree is retired on or before December 31, 2019; and</text> </level> <level label="iii"> <text>if the retiree is eligible under § 2–508 or § 2–509 of this subtitle to enroll and participate in the health insurance benefit options established under the Program.</text> </level> </level> <level label="2"> <level label="i"> <text>Subject to subparagraph (ii) of this paragraph, on or before January 1, 2020, the Department shall establish a Maryland State Retiree Prescription Drug Coverage Program that reimburses a participant for out–of–pocket costs that exceed the limits established for non–Medicare–eligible retirees in § 2–508(d)(2)(iii) of this subtitle.</text> </level> <level label="ii"> <text>The Department may establish an out–of–pocket limit higher than the limits established in subparagraph (i) of this paragraph for a retiree who qualifies for a partial State subsidy.</text> </level> </level> <level label="3"> <text>The Maryland State Retiree Prescription Drug Coverage Program established under paragraph (2) of this subsection may include:</text> <level label="i"> <text>a health reimbursement account established in accordance with § 105(h) of the Internal Revenue Code; or</text> </level> <level label="ii"> <text>another program that provides assistance with prescription drug costs.</text> </level> </level> <level label="4"> <text>A retiree, a retiree’s spouse or surviving spouse, and a retiree’s dependent child or surviving dependent child may enroll in the Maryland State Retiree Prescription Drug Coverage Program during the open enrollment period or any special enrollment period for retiree health insurance benefit options.</text> </level> </level> <level label="e"> <level label="1"> <text>This subsection applies only to a retiree, a retiree’s spouse or surviving spouse, and a retiree’s dependent child or surviving dependent child:</text> <level label="i"> <text>who is enrolled in a prescription drug benefit plan under Medicare; and</text> </level> <level label="ii"> <text>if the retiree:</text> <level label="1"> <text>began State service on or before June 30, 2011;</text> </level> <level label="2"> <text>retired on or after January 1, 2020; and</text> </level> <level label="3"> <text>is eligible under § 2–508 or § 2–509 of this subtitle to enroll and participate in the health insurance benefit options established under the Program.</text> </level> </level> </level> <level label="2"> <level label="i"> <text>Subject to subparagraph (ii) of this paragraph, on or before January 1, 2020, the Department shall establish a Maryland State Retiree Catastrophic Prescription Drug Assistance Program that reimburses a participant for out–of–pocket costs after the participant has entered catastrophic coverage under a prescription drug benefit plan under Medicare.</text> </level> <level label="ii"> <text>The Department may establish a maximum reimbursement amount for a retiree who qualifies for a partial State subsidy.</text> </level> </level> <level label="3"> <text>The Maryland State Retiree Catastrophic Prescription Drug Assistance Program under paragraph (2) of this subsection may provide reimbursements through:</text> <level label="i"> <text>a health reimbursement account established in accordance with § 105(h) of the Internal Revenue Code; or</text> </level> <level label="ii"> <text>another program that provides assistance with prescription drug costs.</text> </level> </level> <level label="4"> <text>A retiree, a retiree’s spouse or surviving spouse, and a retiree’s dependent child or surviving dependent child may enroll in the Maryland State Retiree Catastrophic Prescription Drug Assistance Program during the open enrollment period or any special enrollment period for retiree health insurance benefit options.</text> </level> </level> <level label="f"> <level label="1"> <text>This subsection applies only to a retiree, a retiree’s spouse or surviving spouse, and a retiree’s dependent child or surviving dependent child:</text> <level label="i"> <text>who is enrolled in:</text> <level label="1"> <text>the Maryland State Retiree Prescription Drug Coverage Program established under subsection (d) of this section; or</text> </level> <level label="2"> <text>the Maryland State Retiree Catastrophic Prescription Drug Assistance Program established under subsection (e) of this section; and</text> </level> </level> <level label="ii"> <text>if the retiree is eligible under § 2–508 or § 2–509 of this subtitle to enroll and participate in the health insurance benefit options established under the Program.</text> </level> </level> <level label="2"> <level label="i"> <text>On or before January 1, 2020, the Department shall establish a Maryland State Retiree Life–Sustaining Prescription Drug Assistance Program that reimburses a participant for out–of–pocket costs for a life–sustaining prescription drug that is:</text> <level label="1"> <text>covered by the prescription drug benefit plan in the health insurance benefit options established under the Program; and</text> </level> <level label="2"> <text>not covered by the prescription drug benefit plan under Medicare in which the participant is enrolled.</text> </level> </level> <level label="ii"> <text>The Department shall develop a list of the prescription drugs that qualify for reimbursement under subparagraph (i) of this paragraph.</text> </level> <level label="iii"> <text>The Department may establish maximum reimbursement amounts for a retiree who qualifies for a partial State subsidy.</text> </level> </level> <level label="3"> <text>The Maryland State Retiree Life–Sustaining Prescription Drug Assistance Program established under paragraph (2) of this subsection may provide reimbursements through:</text> <level label="i"> <text>a health reimbursement account established in accordance with § 105(h) of the Internal Revenue Code; or</text> </level> <level label="ii"> <text>another program that provides assistance with prescription drug costs.</text> </level> </level> <level label="4"> <text>A retiree, a retiree’s spouse or surviving spouse, and a retiree’s dependent child or surviving dependent child shall be automatically enrolled in the Maryland State Retiree Life–Sustaining Prescription Drug Assistance Program on enrollment in:</text> <level label="i"> <text>the Maryland State Retiree Prescription Drug Coverage Program established under subsection (d) of this section; or</text> </level> <level label="ii"> <text>the Maryland State Retiree Catastrophic Prescription Drug Assistance Program established under subsection (e) of this section.</text> </level> </level> </level> <level label="g"> <level label="1"> <text>Subject to paragraph (2) of this subsection, not later than July 1 of each year, the Secretary shall provide written certified notice of the change in the State prescription drug benefit plan under this section to the individuals who will become eligible in the next calendar year to enroll in the:</text> <level label="i"> <text>Maryland State Retiree Prescription Drug Coverage Program;</text> </level> <level label="ii"> <text>Maryland State Retiree Catastrophic Prescription Drug Assistance Program; or</text> </level> <level label="iii"> <text>Maryland State Retiree Life–Sustaining Prescription Drug Assistance Program.</text> </level> </level> <level label="2"> <text>The notice shall include information regarding:</text> <level label="i"> <text>coverage options available in the Medicare prescription drug benefit plan, including options that are similar to the prescription drug benefit plan in the health insurance benefit options established under the Program;</text> </level> <level label="ii"> <text>the potential for significant penalties if an individual does not promptly choose a Medicare prescription drug benefit plan immediately on termination of the individual’s participation in the State prescription drug benefit plan;</text> </level> <level label="iii"> <text>the programs available under subsections (d), (e), and (f) of this section; and</text> </level> <level label="iv"> <text>any additional resources made available by the Department in accordance with this section.</text> </level> </level> </level> <level label="h"> <level label="1"> <text>The Department shall ensure Medicare–eligible retirees have access to one–on–one counseling services to assist retirees in selecting a Medicare prescription drug benefit plan.</text> </level> <level label="2"> <text>The Department shall develop a plan to communicate to Medicare–eligible retirees the availability of:</text> <level label="i"> <text>the programs under subsections (d), (e), and (f) of this section; and</text> </level> <level label="ii"> <text>services and information regarding prescription drug benefit plans under Medicare.</text> </level> </level> <level label="3"> <text>On or before December 31, 2019, the Department shall submit a report to the Senate Budget and Taxation Committee and the House Appropriations Committee, in accordance with § 2–1257 of the State Government Article, on the plan developed under paragraph (2) of this subsection.</text> </level> <level label="4"> <text>The report required under paragraph (3) of this subsection shall include:</text> <level label="i"> <text>options for providing one–on–one counseling, including:</text> <level label="1"> <text>in–person, over–the–phone, or web–based counseling;</text> </level> <level label="2"> <text>the times at which one–on–one counseling will be available;</text> </level> <level label="3"> <text>a plan to ensure equitable geographic access to one–on–one counseling; and</text> </level> <level label="4"> <text>entering into a statewide contract with an employee benefits administrator or similar entity to provide one–on–one counseling services;</text> </level> </level> <level label="ii"> <text>plans for holding seminars in every county of the State to provide information regarding eligibility for and available benefits under the programs established under subsections (d), (e), and (f) of this section;</text> </level> <level label="iii"> <text>plans for providing access to a web–based overview and interactive website that provide information on:</text> <level label="1"> <text>Medicare prescription drug benefit plans; and</text> </level> <level label="2"> <text>subsidy and financial assistance programs for low–income individuals; and</text> </level> </level> <level label="iv"> <text>plans for providing a toll–free hotline for reporting issues and concerns regarding the services provided in accordance with this paragraph.</text> </level> </level> </level> <level label="i"> <text>Subject to the requirements of § 13–108 of the State Finance and Procurement Article, the Department may make an emergency procurement for:</text> <level label="1"> <text>staff required to carry out the provisions of this section; and</text> </level> <level label="2"> <text>a third party to administer health reimbursement accounts established under this section.</text> </level> </level> <level label="j"> <text>The Department shall submit quarterly reports to the Governor and, in accordance with § 2–1257 of the State Government Article, the House Appropriations Committee, the Senate Budget and Taxation Committee, and the Joint Committee on Pensions, on:</text> <level label="1"> <text>the status of establishing the programs under subsections (d), (e), and (f) of this section, including:</text> <level label="i"> <text>the status of procuring any contracts necessary to operate the programs; and</text> </level> <level label="ii"> <text>the prescription drugs determined to qualify for reimbursement under the Maryland State Retiree Life–Sustaining Prescription Drug Assistance Program under subsection (f) of this section;</text> </level> </level> <level label="2"> <text>the availability of one–on–one counseling services required under subsection (h) of this section;</text> </level> <level label="3"> <text>the details of the health reimbursement accounts or other programs to provide assistance with prescription drug costs for individuals enrolled in the programs under subsections (d), (e), and (f) of this section, including:</text> <level label="i"> <text>the specific out–of–pocket costs eligible for reimbursement;</text> </level> <level label="ii"> <text>the required process for receiving reimbursement;</text> </level> <level label="iii"> <text>the method of reimbursement;</text> </level> <level label="iv"> <text>the timing of reimbursement; and</text> </level> <level label="v"> <text>a plan to use debit cards to process reimbursements in a convenient and efficient manner; and</text> </level> </level> <level label="4"> <text>in total and by category for the previous quarter, the number of issues and concerns reported to the hotline.</text> </level> </level> <level label="k"> <text>The Department shall adopt regulations to implement the provisions of this section.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-510" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>This section applies only to former Baltimore City Jail employees, as described in § 23–201(a)(9) of this article.</text> </level> <level label="b"> <text>On retirement, a former Baltimore City Jail employee who elected to become a member of the State Retirement and Pension System may elect to enroll and participate in one of the following:</text> <level label="1"> <text>the health insurance benefit options established under the Program, subject to the same terms and conditions as those provided for retirees under § 2–508 of this subtitle; or</text> </level> <level label="2"> <text>the Baltimore City Health Insurance Program for retirees, subject to the same terms and conditions as those provided for members of the Employees’ Retirement System of the City of Baltimore.</text> </level> </level> <level label="c"> <text>On retirement, a former Baltimore City Jail employee who elected to remain a member of the Employees’ Retirement System of the City of Baltimore:</text> <level label="1"> <text>shall receive from the City of Baltimore the same health insurance benefits granted to other members of the City’s retirement system; and</text> </level> <level label="2"> <text>may not receive any health insurance benefits allowed a State retiree under the Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-511" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>This section applies to employees of:</text> <level label="1"> <text>the Maryland Environmental Service;</text> </level> <level label="2"> <text>the Northeast Maryland Waste Disposal Authority;</text> </level> <level label="3"> <text>the Baltimore Metropolitan Council;</text> </level> <level label="4"> <text>the Maryland Automobile Insurance Fund;</text> </level> <level label="5"> <text>the City of Hyattsville; and</text> </level> <level label="6"> <text>the Chesapeake Bay Commission.</text> </level> </level> <level label="b"> <text>Subject to the regulations adopted under § 2–503 of this subtitle, an employee or, while receiving an allowance under the Employees’ Retirement System of the State of Maryland or the Employees’ Pension System of the State of Maryland, an employee’s surviving spouse:</text> <level label="1"> <text>may enroll and participate in the health insurance or other benefit options established under the Program; and</text> </level> <level label="2"> <text>except as provided in subsection (d) of this section, is subject to the same terms and conditions as those provided under § 2–507 of this subtitle.</text> </level> </level> <level label="c"> <text>While receiving an allowance under the Employees’ Retirement System of the State of Maryland or the Employees’ Pension System of the State of Maryland, a former employee or a former employee’s surviving spouse or dependent child:</text> <level label="1"> <text>may enroll and participate in the health insurance benefit options established under the Program; and</text> </level> <level label="2"> <text>except as provided in subsection (d) of this section, is subject to the same terms and conditions as those provided under § 2–508 of this subtitle, with the employee’s service with the Maryland Environmental Service, Northeast Maryland Waste Disposal Authority, the Baltimore Metropolitan Council, the Maryland Automobile Insurance Fund, the City of Hyattsville, and the Chesapeake Bay Commission being included as part of the employee’s State service.</text> </level> </level> <level label="d"> <level label="1"> <level label="i"> <text>The State may charge the Maryland Environmental Service, the Northeast Maryland Waste Disposal Authority, the Baltimore Metropolitan Council, the Chesapeake Bay Commission, and the Maryland Automobile Insurance Fund, or any successor agency, the respective participant’s total cost resulting from participation in the Program under this section.</text> </level> <level label="ii"> <text>The respective employer share of the cost of the Program under this paragraph shall be based on the State subsidy allowed under this subtitle.</text> </level> </level> <level label="2"> <level label="i"> <text>The State may charge the City of Hyattsville the participant’s total cost resulting from participation in the Program under this section.</text> </level> <level label="ii"> <text>The City of Hyattsville shall determine the extent to which the City will subsidize participation in the Program.</text> </level> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-512" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>In this section, “qualifying nonprofit organization” means an organization that:</text> <level label="1"> <level label="i"> <text>receives State funds from the Maryland Department of Health that cover more than one–third of the organization’s operating expenses; and</text> </level> <level label="ii"> <text>is:</text> <level label="1"> <text>described in § 501(c)(3) of the Internal Revenue Code; and</text> </level> <level label="2"> <text>exempt from income tax under § 501(a) of the Internal Revenue Code;</text> </level> </level> </level> <level label="2"> <text>is the Legal Aid Bureau, Inc.;</text> </level> <level label="3"> <text>is a corporation, a limited liability company, or any other entity that is wholly owned by the Legal Aid Bureau, Inc.; or</text> </level> <level label="4"> <text>is the Maryland Crime Victims’ Resource Center.</text> </level> </level> <level label="b"> <text>The Secretary shall adopt regulations for the enrollment and participation of employees of a qualifying nonprofit organization to participate in the Program as a satellite organization.</text> </level> <level label="c"> <text>A qualifying nonprofit organization that participates in the Program as a satellite organization shall:</text> <level label="1"> <text>pay to the State:</text> <level label="i"> <text>a premium in the amount determined by the Secretary; and</text> </level> <level label="ii"> <text>any costs, as determined by the Secretary, for the administration of this Program; and</text> </level> </level> <level label="2"> <text>determine the extent to which the organization will subsidize participation by its employees in the Program.</text> </level> </level> <level label="d"> <text>The participation of a satellite organization in the Program may not impede, undermine, or conflict with the Program’s federal compliance obligations or governmental and cafeteria plan status, as defined in 26 U.S.C. § 125.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-513" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <level label="1"> <text>Subject to paragraph (2) of this subsection, an employee of a county, municipal corporation, or county board may enroll and participate in the health insurance benefit options established under the Program with the approval of the governing body of the county, municipal corporation, or county board.</text> </level> <level label="2"> <text>An employee of a county board may enroll and participate in the health insurance benefit options under paragraph (1) of this subsection subject to any additional authorization required under the terms and conditions of the employee’s employment.</text> </level> </level> <level label="b"> <text>The governing body of the county, municipal corporation, or county board shall:</text> <level label="1"> <text>pay to the State the total costs resulting from the participation of its employees in the Program; and</text> </level> <level label="2"> <text>determine the extent to which the county or municipal corporation will subsidize participation by its employees in the Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-514" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>In addition to regular open enrollment periods, the Program shall provide special open enrollment for health insurance benefit options established under the Program for a nonparticipating State employee after the death of a spouse who was not a State employee.</text> </level> <level label="b"> <text>Evidence of insurability may not be required under this section if the State employee was covered under a group health insurance policy at the time of the death of the employee's spouse.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-515" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>This section applies to the Tri-County Council for Southern Maryland, the Tri-County Council for Western Maryland, the Tri-County Council for the Lower Eastern Shore of Maryland, and the Mid-Shore Regional Council.</text> </level> <level label="b"> <text>An employee of a council subject to this section may enroll and participate in the health insurance benefit options established under the Program with the approval of the council.</text> </level> <level label="c"> <text>A council subject to this section shall:</text> <level label="1"> <text>pay to the State the total costs resulting from the participation of its employees in the Program; and</text> </level> <level label="2"> <text>determine the extent to which the council will subsidize participation of its employees in the Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-515.1" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>This section applies to the Southern Maryland Regional Library, the Eastern Shore Regional Library, and the Western Maryland Regional Library.</text> </level> <level label="b"> <text>An employee of a regional library subject to this section may enroll and participate in the health insurance benefit options established under the Program with the approval of the library.</text> </level> <level label="c"> <text>A regional library subject to this section shall:</text> <level label="1"> <text>pay to the State the total costs resulting from the participation of its employees in the Program; and</text> </level> <level label="2"> <text>determine the extent to which the regional library will subsidize participation of its employees in the Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-515.2" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>The Maryland Small Business Retirement Savings Board may enroll and participate in the Program as a satellite organization.</text> </level> <level label="b"> <text>The Board shall:</text> <level label="1"> <text>pay to the State the total costs resulting from the participation of its employees in the Program and a monthly administrative fee determined by the Secretary; and</text> </level> <level label="2"> <text>determine the extent to which the Board will subsidize participation of its employees in the Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-515.3" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>This section applies to the Maryland Agricultural and Resource–Based Industry Development Corporation and the Maryland Clean Energy Center.</text> </level> <level label="b"> <text>If the Secretary determines that an entity subject to this section is an eligible entity, an employee of the entity may enroll and participate in the health insurance benefit options established under the Program with the approval of the entity.</text> </level> <level label="c"> <text>An entity subject to this section shall:</text> <level label="1"> <text>pay to the State the total costs resulting from the participation of its employees in the Program; and</text> </level> <level label="2"> <text>determine the extent to which the entity will subsidize participation of its employees in the Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-516" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>In this section, “Fund” means the State Employees and Retirees Health and Welfare Benefits Fund established under this section.</text> </level> <level label="b"> <level label="1"> <text>A special reserve fund is established to retain certain State revenues and State general and special funds for the purpose of funding the State Employee and Retiree Health and Welfare Benefits Program established under this subtitle.</text> </level> <level label="2"> <text>The Fund is a continuing, nonlapsing fund that is not subject to § 7–302 of the State Finance and Procurement Article.</text> </level> <level label="3"> <text>The State Treasurer shall separately hold and the Comptroller shall account for the Fund.</text> </level> <level label="4"> <level label="i"> <text>The Fund shall be invested and reinvested in the same manner as other State funds.</text> </level> <level label="ii"> <text>Any investment earnings shall be credited to the Fund.</text> </level> </level> </level> <level label="c"> <text>The Fund consists of money appropriated for State Employee and Retiree Health Insurance or authorized to be transferred to that purpose in the State budget.</text> </level> <level label="d"> <level label="1"> <text>Except as otherwise provided in this section, the Fund shall be retained in reserve and may not be spent for any purpose.</text> </level> <level label="2"> <text>Subject to the budget amendment procedure provided for in § 7–209 of the State Finance and Procurement Article, money credited to the Fund may be used only for the purpose of funding the State costs of the State Employee and Retiree Health and Welfare Benefits Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-517" title_number="2" title_name="State Employment Generally" subtitle_number="5" subtitle_name="Health and Welfare Benefits Program"> <level label="a"> <text>In this section, “carrier” means:</text> <level label="1"> <text>a health insurer;</text> </level> <level label="2"> <text>a nonprofit health service plan;</text> </level> <level label="3"> <text>a health maintenance organization; and</text> </level> <level label="4"> <text>a dental plan organization.</text> </level> </level> <level label="b"> <text>This section does not apply to a fixed indemnity health insurance policy or contract if the premiums are paid solely by an individual.</text> </level> <level label="c"> <level label="1"> <text>A carrier shall provide, at the request of the Department, information about individuals who are eligible for benefits under the Program or are Program recipients so that the Department may determine whether the individual is receiving health care coverage from the carrier and the nature of that coverage.</text> </level> <level label="2"> <text>A carrier shall provide the information required under this subsection in a manner prescribed by the Department, in accordance with the standard data elements for standard transactions required under 42 U.S.C. § 1320d–4 as adopted by the Secretary of Health and Human Services.</text> </level> </level> <level label="d"> <text>A carrier shall accept the Program’s right of recovery and the assignment to the Program of any right of an individual or other entity to payment from the carrier for an item or service for which payment has been made under the Program if the carrier has a legal obligation to make payment for the item or service.</text> </level> <level label="e"> <text>A carrier may not reject, deny, limit, cancel, refuse to renew, increase the rates of, affect the terms or conditions of, or otherwise affect a health insurance policy or contract for a reason based wholly or partly on:</text> <level label="1"> <text>the eligibility of an individual to receive benefits under the Program; or</text> </level> <level label="2"> <text>the receipt by an individual of benefits under the Program.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-601" title_number="2" title_name="State Employment Generally" subtitle_number="6" subtitle_name="Reinstatements to State Employment"> <level label="a"> <text>Except as provided for in subsection (c)(2) of this section, a former nontemporary State employee who returns to State employment in a position in the State Personnel Management System within 3 years from separation is reinstated.</text> </level> <level label="b"> <text>A reinstated State employee shall have unused accumulated sick leave restored.</text> </level> <level label="c"> <level label="1"> <text>A former nontemporary employee who is reinstated in a position in the State Personnel Management System shall receive credit for time employed before separation for the purpose of determining the employee's:</text> <level label="i"> <text>step in the pay grade applicable to the employee's class;</text> </level> <level label="ii"> <text>rate of annual leave accrual; and</text> </level> <level label="iii"> <text>seniority rights.</text> </level> </level> <level label="2"> <text>A former nontemporary State employee who returns to a position in an independent personnel system in accordance with the reinstatement provisions of that system shall receive benefits allowed by that personnel system.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-701" title_number="2" title_name="State Employment Generally" subtitle_number="7" subtitle_name="Reinstatement of Veterans"> <level label="a"> <text>In this subtitle the following words have the meanings indicated.</text> </level> <level label="b"> <level label="1"> <text>“Returning veteran” means an individual who left State employment to perform service in the uniformed services and who seeks reinstatement to State employment.</text> </level> <level label="2"> <text>“Returning veteran” does not include an individual who left State employment while serving as a temporary employee.</text> </level> </level> <level label="c"> <text>“Service in the uniformed services” has the meaning stated in 38 U.S.C. § 4303.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-702" title_number="2" title_name="State Employment Generally" subtitle_number="7" subtitle_name="Reinstatement of Veterans"> <text>This subtitle applies to all units in the Executive, Judicial, and Legislative branches of State government, including any unit with an independent personnel system.</text> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-703" title_number="2" title_name="State Employment Generally" subtitle_number="7" subtitle_name="Reinstatement of Veterans"> <level label="a"> <text>A returning veteran who was inducted into the armed forces is eligible for reinstatement under this subtitle if the veteran:</text> <level label="1"> <text>performed military service of a nature and length that meet the requirements of the Uniformed Services Employment and Reemployment Rights Act of 1994, 38 U.S.C. § 4301 et seq., and any subsequent federal law governing reemployment of a returning veteran;</text> </level> <level label="2"> <text>received a certificate of satisfactory completion of military service; and</text> </level> <level label="3"> <text>except as otherwise provided in § 2–704 of this subtitle, submits an application for reinstatement within 90 days after the veteran is discharged from that military service.</text> </level> </level> <level label="b"> <text>A returning veteran who enlisted in the armed forces is eligible for reinstatement under this subtitle if the veteran:</text> <level label="1"> <text>performed military service of a nature and length that meet the requirements of the Uniformed Services Employment and Reemployment Rights Act of 1994, 38 U.S.C. § 4301 et seq., and any subsequent federal law governing reemployment of a returning veteran;</text> </level> <level label="2"> <text>was released from service under honorable conditions; and</text> </level> <level label="3"> <text>except as otherwise provided in § 2–704 of this subtitle, submits an application for reinstatement within 90 days after the end of the enlistment period.</text> </level> </level> <level label="c"> <text>A returning veteran who was called to active duty in the uniformed services is eligible for reinstatement under this subtitle if the veteran:</text> <level label="1"> <text>performed service in the uniformed services of a nature and length that meet the requirements of the Uniformed Services Employment and Reemployment Rights Act of 1994, 38 U.S.C. § 4301 et seq., and any subsequent federal law governing reemployment of a returning veteran;</text> </level> <level label="2"> <text>was relieved from active duty under honorable conditions; and</text> </level> <level label="3"> <text>except as otherwise provided in § 2–704 of this subtitle, submits an application for reinstatement within 90 days after the veteran is relieved from that duty.</text> </level> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-704" title_number="2" title_name="State Employment Generally" subtitle_number="7" subtitle_name="Reinstatement of Veterans"> <text>An otherwise eligible returning veteran who was hospitalized at the time of discharge, end of enlistment, or relief from active duty may apply for reinstatement if:</text> <level label="1"> <text>the application is submitted within 90 days after the returning veteran is discharged from the hospital; and</text> </level> <level label="2"> <text>the hospitalization does not last more than 1 year from the date of discharge, end of enlistment, or relief from active duty.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-705" title_number="2" title_name="State Employment Generally" subtitle_number="7" subtitle_name="Reinstatement of Veterans"> <level label="a"> <text>A returning veteran who meets the requirements of this subtitle shall be reinstated:</text> <level label="1"> <text>to the class previously held by the returning veteran within the principal department or other independent unit in which the returning veteran had been employed; or</text> </level> <level label="2"> <text>to a position of equal responsibilities, qualifications, and rate of pay.</text> </level> </level> <level label="b"> <text>If, because of a disability sustained during service in the uniformed services, a returning veteran is not qualified to perform the duties of the position that the veteran previously held, the returning veteran shall be reinstated to a position that:</text> <level label="1"> <text>has duties that the veteran is qualified to perform; and</text> </level> <level label="2"> <text>provides the rate of pay, seniority, and status that are the same as or as similar as the circumstances of the case allow to those of the position previously held by the veteran.</text> </level> </level> <level label="c"> <text>Subsections (a) and (b) of this section need not be implemented if the circumstances in State government have changed to the extent that implementation is impossible or unreasonable.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-706" title_number="2" title_name="State Employment Generally" subtitle_number="7" subtitle_name="Reinstatement of Veterans"> <level label="a"> <text>A returning veteran who is reinstated under this subtitle is entitled to start at the salary and rate of leave accrual that the veteran would have attained if employment with this State had been continuous.</text> </level> <level label="b"> <text>In calculating seniority, status, and length of State employment of a returning veteran who is reinstated under this subtitle, the period from the day the veteran entered service in the uniformed services to the day that the veteran is reinstated shall be added to the period of the veteran’s State employment.</text> </level> <level label="c"> <text>A returning veteran who is reinstated under this subtitle is entitled to:</text> <level label="1"> <text>all benefits and privileges, including rate of pay, that result from the additional seniority and status credited under subsection (b) of this section;</text> </level> <level label="2"> <text>pension and retirement rights as determined under Title 38, Subtitle 1 of this article; and</text> </level> <level label="3"> <text>any service status that the veteran had when the veteran entered service in the uniformed services, with adjustments to reflect the additional seniority credited under subsection (b) of this section.</text> </level> </level> <level label="d"> <text>A returning veteran who is reinstated to a position under this subtitle may not be discharged from that position within 1 year after reinstatement without substantial cause and, if the position is a skilled service or professional service position, with the exception of special appointments, only for the reasons and in the manner provided for skilled service or professional service employees.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-707" title_number="2" title_name="State Employment Generally" subtitle_number="7" subtitle_name="Reinstatement of Veterans"> <level label="a"> <text>A member of a reserve component is eligible for the reinstatement rights and benefits specified in §§ 2–705 and 2–706(a), (b), and (c) of this subtitle if the reservist:</text> <level label="1"> <text>performed active duty for training of a nature and length that meet the requirements for eligibility under Title 38 U.S.C. § 4301 et seq.;</text> </level> <level label="2"> <text>was released from that duty after satisfactory service; and</text> </level> <level label="3"> <text>except as provided in subsection (b) of this section, submits an application for reinstatement within 31 days after the reservist was released from that duty.</text> </level> </level> <level label="b"> <text>An otherwise eligible member of a reserve component who was hospitalized at the time the reservist was scheduled to be released from active duty for training may apply for reinstatement if:</text> <level label="1"> <text>the application is submitted within 31 days after the reservist is discharged from the hospital; and</text> </level> <level label="2"> <text>the hospitalization:</text> <level label="i"> <text>is connected to the reservist’s active duty for training; and</text> </level> <level label="ii"> <text>does not last more than 1 year from the date on which the reservist was scheduled to be released from that duty.</text> </level> </level> </level> <level label="c"> <text>A member of a reserve component who is reinstated to a position under this section may not be discharged from that position within 6 months after reinstatement without substantial cause and, if the position is a skilled service or professional service position, with the exception of special appointments, only for the reasons and in the manner provided for skilled service or professional service employees.</text> </level> </section> <section article="gsp" article_name="State Personnel and Pensions" number="2-801" title_number="2" title_name="State Employment Generally" subtitle_number="8" subtitle_name="Hiring Prohibitions"> <level label="a"> <text>This section applies to all units in the Executive, Judicial, and Legislative branches of State government, including any unit with an independent personnel system.</text> </level> <level label="b"> <text>An appointing authority may not hire an individual who has been terminated with prejudice from State service.</text> </level> </section>