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PRIVATE & SPECIAL LAWS
First Special Session of the 118th

CHAPTER 12
H.P. 234 - L.D. 298

An Act to Establish the Administrative Operating Budget for the Maine State Retirement System for the Fiscal Year Ending June 30, 1998

     Emergency preamble. Whereas, Acts of the Legislature do not become effective until 90 days after adjournment unless enacted as emergencies; and

     Whereas, the 90-day period may not terminate until after the beginning of the next fiscal year; and

     Whereas, certain obligations and expenses incident to the operation of the Maine State Retirement System will become due and payable before the 90-day period may terminate; and

     Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

     Sec. 1. Allocation of funds. Administrative operating expenses of the Maine State Retirement System for the fiscal year ending June 30, 1998 must be paid from the system's expense fund in accordance with the following schedule.

          1997-98
MAINE STATE RETIREMENT SYSTEM

MAINE STATE RETIREMENT SYSTEM     __________
TOTAL     $7,453,214

     Sec. 2. Attribution of costs. The expenses identified in section 1 of this Act are attributed as follows.

          1997-98
General Fund                    $4,530,063
Non-General Fund               1,651,706
Participating Local District and Other          1,271,445

TOTAL     $7,453,214

     Sec. 3. Transfers of allocations; year-end balances. Transfers of allocations and carry forwards of unexpended balances must be carried out in accordance with the Maine Revised Statutes, Title 5, section 17103, subsection 13.

     Sec. 4. Collective bargaining agreements approval. As required by the Maine Revised Statutes, Title 5, section 17103, subsection 14, collective bargaining agreements covering fiscal year 1997-98 to fiscal year 1999-2000 between the Maine State Retirement System and the Maine State Employees Association for the retirement system's administrative services, professional-technical and supervisory bargaining units are approved. The allocations made in section 1 of this Act and the attributions made in section 2 of this Act include the amounts required to fund the collective bargaining agreements in fiscal year 1997-98. The amounts required to fund the collective bargaining agreements in fiscal year 1998-99 must be included in the retirement system's administrative operating budget for that fiscal year and be approved by the Legislature. Amounts required to fund the collective bargaining agreements in fiscal year 1999-2000 are subject to a specific appropriation request to be submitted to the 119th Legislature for review and approval.

     Sec. 5. Authorization to expend retirement system reserve administrative operating funds.

     1. Fiscal year 1997-98 reserve funds. Of the amount authorized to be expended in section 1 of this Act, $500,000 for the administrative costs of the retirement system associated with the teachers' retirement program must be provided from the system's reserve administrative operating funds and $131,251 to fund the system's collective bargaining agreements in fiscal year 1997-98 must be provided from the system's reserve administrative operating funds.

     2. Administrative records automation project. In addition to the amount authorized to be expended in section 1 of this Act, the retirement system is authorized to expend from its reserve administrative operating funds up to $1,200,000 for the purpose of establishing and operating a project, staffed on a temporary basis, for the primary purposes of becoming better prepared to meet potential administrative impacts that may result from decisions of the federal courts in Parker v. Wakelin and Dzialo v. Perrier and of improving and expediting the retirement system's long-term program to automate its data receipt, retention, retrieval and processing operations.

     Emergency clause. In view of the emergency cited in the preamble, this Act takes effect July 1, 1997.

Effective July 1, 1997.

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