(2) Except for the Secretary, retirement is mandatory as provided in § 24-401(c) of the State Personnel and Pensions Article.

(b) (1) The Secretary may apply for disability retirement on behalf of a police employee in accordance with § 29-103 of the State Personnel and Pensions Article.

(2) This subsection does not prevent a police employee from exercising the individual’s rights under § 21-111 of the State Personnel and Pensions Article.

(c) (1) Notwithstanding any other provision of law, a police employee, on retirement in good standing, may keep or acquire the handgun issued by the State to that police employee if:

(i) the police employee reimburses the Department for the replacement value of the handgun; and

(ii) the Secretary authorizes the transaction.

(2) The Secretary shall adopt regulations necessary to carry out this subsection.