840 CMR 8.00: APPLICABILITY OF $30,000 SALARY CAP

8.05: Effect of Cap on Retirement Allowance

(1) If upon retirement a member to whom the $30,000 cap applied has service
in a capped system, and no service in an uncapped system, the maximum salary
upon which the retirement allowance may be based is $30,000 whether the
member is retired for superannuation or for ordinary or accidental disability.
The amount of regular compensation to be used in calculating the retirement
allowance of such members shall not exceed $30,000.

(2) If upon retirement a member to whom the $30,000 cap applied has service
in both a capped system and an uncapped system, the retirement allowance
shall be based upon the number of years of section 50 restricted service and the
number of years of non-section 50 restricted service. For this purpose, all
service of a member in a system that remains a capped system at the time of
retirement shall be included in section 50 restricted service, regardless of the
member's actual rate of regular compensation, if the $30,000 cap was
applicable to the member at the time of the service. All service of a member in
a system that is uncapped at the time of retirement shall be included in
non-section 50 restricted service. The retirement allowance of any such
member shall be the sum of the allowance calculated based upon the years of
section 50 restricted service and the allowance calculated based upon the years
of non-section 50 restricted service.

(3) If the retirement allowance of a member, or eligible beneficiary of a
member, is affected by service in a system that remained capped at the time of
retirement and the system later becomes uncapped, the retirement allowance
shall be recalculated as of the date the system becomes uncapped. Any service
in a system that has become uncapped since the time of retirement shall be
included in non-section 50 restricted service for purposes of this recalculation.
No member or beneficiary shall be required to make any additional
contributions as a condition of such recalculation.

REGULATORY AUTHORITY

840 CMR 8.00: M.G.L. c. 7, § 50; c. 32, § 21.

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