VII - 7.24 USM POLICY ON CALL-UP TO ACTIVE MILITARY DUTY
DURING
A NATIONAL OR INTERNATIONAL CRISIS OR CONFLICT FOR USM
EXEMPT AND NONEXEMPT STAFF EMPLOYEES ON REGULAR STATUS.
(Approved by the Board of Regents, October 5, 2001; Amended
December 6, 2002; Amended October 17, 2003; Amended September 10,
2004)
I. PURPOSE AND APPLICABILITY
The purpose of this policy is to provide procedures
consistent with the health and retirement benefits programs
administered by the State of Maryland; the USM policy on
return to work; and the USM policies on tuition remission,
upon call-up to active military duty during a national or
international crisis or conflict by order of the President
of the United States. The policy is not intended to take
precedence over Article 65, Section 42, of the Annotated
Code of Maryland and Federal law for orders to active
military duty made by the Governor of the State of Maryland.
For the period of July 1, 2003 through June 30, 2005, to the
extent that there is any inconsistency between Section II of
this Policy VII-7.24 and Section II.C. of Policy VII-7.23,
Policy VII-7.23 shall take precedence.
The policy applies to full-time and part-time USM Exempt and
Nonexempt Staff employees on Regular Status.
II. CONTINUATION OF HEALTH BENEFITS
A. Military Reserves - Paid Leave
1. Upon call-up to active military duty during a national or
international crisis or conflict, an employee shall submit a copy
of the military orders to his immediate supervisor and may elect
to use accrued leave to remain on the payroll. In the absence of
such an election, or upon the exhaustion of accrued leave, the
employee shall be placed on Leave Without Pay Status.
2. While on the active payroll, a reservist shall have the same
benefit deductions, unless the reservist files an Active Employee
Enrollment Form to cancel any or all benefits within 60 days of
entry into Active Duty. A copy of the military orders must be
submitted with the Active Employee Enrollment Form. If the
Active Employee Enrollment Form is not completed to cancel any or
all deductions, the same deductions shall continue as long as the
employee remains on active payroll.
3. Personal Accidental Death and Dismemberment (PA&D) plan
shall not provide benefits to anyone injured in military service.
Benefits shall be provided, as appropriate, to a spouse or child
if the employee has family coverage. A military reservist with
PA&D "individual" coverage should cancel deductions while on paid
leave status, as PA&D plan shall not honor any claims for the
employee while on military duty. The employee can elect to
continue PA&D "Family" coverage.
4. While on active military service, any medical care provided
to the employee is through the military. All of the State
medical plans have blanket exclusions for medical care rendered
while a person is on active duty while serving in the military;
this is a standard exclusion clause.
5. Dependents of military personnel on active duty are
automatically covered by CHAMPUS, a federal military health
program. An employee called to active duty may elect to
discontinue state health benefits coverage for his or her
dependents, relying upon CHAMPUS for dependent health care
coverage. In the alternative, the employee may elect to continue
state health benefits coverage for his or her dependents. As the
dependents are not on active military duty, the state health
benefits coverage shall be the primary coverage for these
dependents.
B. Military Reserves - Leave without Pay
1. If the military reservist goes on a Leave Without Pay
status, the employee may elect to continue benefits as a
"Military LAW" employee. The employee should complete the
"COBRA/LAW/Contractual/Part-time" Enrollment Form. The
Institution Benefits Coordinator and Fiscal Officer should
complete the agency verification portion of the form and identify
the employee as "Military LAW" on the form. The Fiscal Officer
should also complete the appropriate fiscal designation portion
of the form.
2. Subsidization for Health, Prescription and Dental Plans:
While on active military duty, the employee contribution and
State contribution for health benefits shall continue if the
reservist elects to continue health, prescription and dental
plans. Accordingly, the employee shall not be billed for these
three types of benefits plans, if they choose to continue them
while on Military LAW. Therefore, it is critical that the Fiscal
Officer completes the fiscal designation portion of the form, as
the USM shall be charged for the full amount of the premiums
(employee plus State portions) for the health, prescription and
dental plans.
3. Employee-Pay-All Plans (State Life Insurance, Flexible
Spending Accounts, PA&D, State Long Term Care, USM Life
Insurance, USM Long Term Disability, etc.). These types of
benefits plans are "Employee-Pay-All" and are not subsidized. An
employee who elects to continue these benefits shall be billed by
the State and coupons shall be provided for payment to the State.
State Long-Term Care, USM Life Insurance and USM Long Term
Disability continuation payments shall be paid directly to the
vendor. The premium payments while on the Military LAW will be
post-tax and will not affect the employee's W-2 status.
4. When active duty is completed and the employee returns to
USM employment, the employee must file an Active Employee
Enrollment Form (with the discharge papers attached to the form)
within 60 days of the discharge date to start benefit deductions
from his/her University paycheck.
III. STATE RETIREMENT AND PENSION SYSTEMS
A. All employees called up for military service should complete
MD Retirement Agency Form 46, "Application to be Placed on a
Qualified Approved Leave of Absence." Although Form 46 is not
formally for a leave of absence, it should be used to notify the
Retirement Agency of the member's military activation. If a
member has already been called up and cannot complete the form,
the USM institution can submit it on behalf of the called-up
employee.
B. If an employee returns to work within one year of release
from active duty and did not accept other permanent employment,
the employee will be reinstated in the pension/retirement system
and will receive service credit for the term of the military
service. The employee does not need ten years of creditable
service to claim service for military action that interrupts
membership. The employee shall submit Form 43, "Claim of
Retirement Credit for Active Duty Military Service" with the
proper military documentation when the employee returns to work.
C. Service credit will be given for up to five years of
military service that interrupts membership. This is in addition
to the five years for military credit for service prior to
membership.
D. An employee is not required to make up missed contributions.
The member's missed contributions and employer's contribution
costs are included in the annual valuation done by the actuary to
determine the cost to employers.
E. Filing Date for Form 46 "Application to be Placed on a
Qualified Approved Leave of Absence":
1. Military Leave Without Pay - the filing date on Form 46
shall be the date that the employee begins active duty.
2. Military Leave With Pay - the filing date on Form 46 shall
be the date that the employee has exhausted all accrued leave and
begins Leave Without Pay.
F. Military Reserves -Killed in the Line of Duty or
Disability while on Leave With Pay
An employee who is killed in the line of duty or who
sustains serious injuries, making it impossible for the
member to return to work, and such death or injury occurs
while on Leave With Pay Status, is entitled to the same
death and disability benefits as an active employee.
Surviving beneficiaries shall receive a lump sum payment
of the annual salary plus contributions or, if the spouse
law comes into effect a monthly check for life. If
disabled during active duty military service, an employee
still on Leave With Pay Status, may file for an ordinary
disability benefit but not an accidental disability
benefit.
G. Military Reserves - Disability or Killed in the Line of Duty
while on Leave Without Pay
An employee killed in the line of duty, or who sustains
serious injuries making it impossible to return to work,
and such death or injury occurs while on Leave Without
Pay Status, will not receive a death benefit or have the
right to file for a disability benefit from the State
Retirement Agency. If the employee should die, only the
employee's contributions with interest will be paid to
the beneficiary.
IV. OPTIONAL RETIREMENT PROGRAM - LEAVE WITH AND WITHOUT PAY
A. The activation date of approved military leave should be the
date that the employee is activated.
B. As a condition of membership in the Optional Retirement
Program, no death benefit or right to file for a disability
benefit from the State Retirement Agency is available.
C. While still on the payroll, employer contributions to the
employee's ORP and State service credit shall continue.
D. No State service credit shall accrue, nor employer
contributions shall be made, while the employee is on Leave
Without Pay. Upon return to work, USM employer contributions
shall resume.
V. USM TUITION REMISSION BENEFIT
A. An employee who is currently in a degree-seeking program and
using tuition remission may continue to use tuition remission if
called to active duty and stationed locally.
B. An eligible spouse/dependent currently in a degree-seeking
program and using tuition remission may continue to use tuition
remission.
C. If an employee is killed in the line of duty,
spouse/dependent tuition remission benefits shall be provided in
accordance with the USM Policy on Tuition Remission for Spouse
and Dependents.
D. If an employee does not return to USM service, tuition
remission for the employee, spouse and dependents shall
terminate.
VI.
REPORTING BACK TO WORK
The period an individual has to report back to work after
military service is based on USERRA /US Department of Labor
regulations.
IMPLEMENTATION PROCEDURES
Each Chief Executive Officer shall identify his/her
designee(s) as appropriate for this policy; shall develop
procedures as necessary to implement this policy; shall
communicate this policy and applicable procedures to his/her
institutional community; shall forward a copy of such
designations and procedures to the Chancellor.
REPLACEMENT FOR:
N/A
REFERENCE:
Annotated Code Of Maryland, State Personnel and Pension Article,
Section 9-1107; Section subject to abrogation on June 30, 2005.