Sec. E-21. Restructuring of state departments and agencies. The Commissioner of Administrative and Financial Services shall submit legislation to the Second Regular Session of the 121st Legislature to address restructuring of State Government agencies, consolidation of services and other efficiencies in order to achieve cost savings.

Sec. E-22. Merit increases; savings. Savings achieved as a result of merit increases not being awarded in the Judicial branch of government may be replaced by other Personal Services savings by agreement of the State and the bargaining agents representing state employees.

Sec. E-23. General Fund Salary Plan; lapsed balances. Notwithstanding any other provision of law, $150,000 of unencumbered balance forward in fiscal year 2003-04 in the General Fund Salary Plan, General Fund account in the Department of Administrative and Financial Services lapses to the General Fund in fiscal year 2003-04.

PART F

Sec. F-1. 5 MRSA §1541, sub-§10-A is enacted to read:

10-A.__Internal control standards.__To implement the following internal control standards that define the minimum level of quality acceptable for internal control systems in operation throughout the various state agencies and departments and constitute the criteria against which such internal control systems must be evaluated by the State Controller.__Internal control systems for the various state agencies and departments must be developed in accordance with the following internal control guidelines established by the State Controller.

A.__Internal control systems of state agencies and departments are to be clearly documented and readily available for examination. Documentation of a state agency's or department's internal control systems must include internal control procedures, internal control accountability systems and identification of the operating cycles. Documentation of the state agency's or department's internal