SB218INTRODUCED
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SB218
TE8E915-1
By Senators Figures, Sessions, Williams, Albritton
RFD: County and Municipal Government
First Read: 07-Mar-24
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5 TE8E915-1 03/01/2024 PMG (L)tgw 2024-1001
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First Read: 07-Mar-24
SYNOPSIS:
Under existing law, certain officers and
employees of the Alabama State Port Authority are
subject to the state Merit System.
This bill would explicitly provide that the port
authority is a body corporate with the ability to
employ non-merit system employees.
A BILL
TO BE ENTITLED
AN ACT
Relating to the Alabama State Port Authority; to amend
Sections 33-1-2, 33-1-3, 33-1-5, 33-1-5.1, and 33-1-5.2, Code
of Alabama 1975; to provide that the port authority is a body
corporate with the ability to employ non-merit system
employees.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Sections 33-1-2, 33-1-3, 33-1-5, 33-1-5.1,
and 33-1-5.2, Code of Alabama 1975, are amended to read as
follows:
"§33-1-2
(a) There shall be a state agency known as the Alabama
State Port Authority, hereinafter sometimes referred to as the
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State Port Authority, hereinafter sometimes referred to as the
port authority. Notwithstanding any other provision of law,
whenever any act, section of this code, or any other provision
of law refers to the Alabama State Docks Department, it shall
be deemed a reference to the Alabama State Port Authority.
(b) The port authority shall promote, supervise,
control, manage, and direct the state docks and all other
state lands included within the jurisdiction of this chapter
and shall maintain and operate all the improvements and
facilities authorized by this chapter . The port authority is a
body corporate and shall be constituted as provided in this
chapter, and it shall maintain and operate all the
improvements and facilities authorized by this chapter ."
"§33-1-3
The chief executive officer of the port authority shall
be known as the Director of the Alabama State Port Authority.
The director may not have any financial interest in any harbor
facilities or property that the port authority or its
predecessors have acquired or may acquire or manage, and may
not have any financial or personal interest in any business or
enterprise of any sort which interferes or is inconsistent
with his or her duties as director. The duties of the director
shall be as follows:
(1) Exercise the chief executive authority of the port
authority, and exercise, consistent with this chapter and
other applicable law, all the powers, authority, and duties
vested by this chapter or other applicable law in the port
authority.
(2) Appoint, with the advice and consent of the board
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(2) Appoint, with the advice and consent of the board
of directors of the port authority, no more than 11
individuals as executive level employees. These individuals
shall be non-merit system employees and may replace current
Merit System executive level employees who retire or otherwise
leave the employment of the port authority. The director shall
fix the salaries of these non-merit system executive level
employees giving due consideration to the salaries of
comparable positions in other states and in private
industries. These non-merit system executive level employees,
though not participants in the classified service of the state
under the Merit System Act, shall be entitled to the other
benefits, including, but not limited to, retirement, sick and
annual leave, and insurance benefits afforded other state
employees, except that the board of directors of the port
authority may provide and fund an alternate benefit package
for them. Regardless of whether the port authority funds an
alternate benefit package, the port authority shall pay to the
State Employees' Insurance Fund the monthly employer
contribution as defined by Section 36-29-1 for each of its
non-merit system executive level employees.
(3) Employ, with the advice and consent of the board of
directors of the port authority, all individuals necessary to
the efficient operation of the Alabama State Port Authority,
including a secretary-treasurer and other employees as Merit
System or non-merit system employees , fix their compensation
and other conditions of employment and tenure in office, and
be responsible for the efficient discharge of their duties.
Any non-merit system employees employed under this section,
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Any non-merit system employees employed under this section,
though not participants in the classified service of the state
under the state Merit System, shall be entitled to the other
benefits, including, but not limited to, retirement, sick and
annual leave, and insurance benefits afforded other state
employees, except that the board of directors of the port
authority may provide and fund an alternate benefit package
for them. Regardless of whether the port authority funds an
alternate benefit package for them, the port authority shall
pay to the State Employees' Insurance Fund the monthly
employer contribution as defined by Section 36-29-1 for each
of its full-time non-merit system employees. "
"§33-1-5
(a) All employees and officers of the Alabama State
Port Authority, except the director, executive level non-merit
system employees hired or employed pursuant to Section 33-1-3,
and those exempt under Section 36-26-10, shall be subject to
the provisions of the state Merit System law with respect to
the method of selection, classification, and compensation of
state employees. Sections 33-1-5.1 and 33-1-5.2 shall apply to
the director and the non-merit system executive level
employees hired or employed pursuant to Section 33-1-3 ,
including their spouses and dependents ; however, nothing in
Act 2000-598 shall be construed to alter or modify Sections
33-1-5.1 and 33-1-5.2 .
(b) Persons employed by the Alabama State Docks
Department on August 1, 2000, shall continue to have precisely
the same rights and benefits as they now have under the Merit
System and under the State Employees' Retirement System and
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System and under the State Employees' Retirement System and
all other benefits that they had on August 1, 2000.
(c)(b) The Alabama State Port Authority may employ port
police officers at the Port of Mobile, who shall be employed
pursuant to the state Merit System or pursuant to Section
33-1-3. Port police officers employed pursuant to this
subsection are constituted peace officers of the State of
Alabama with full police power and jurisdiction to enforce the
laws of the state and the rules and regulations which may be
promulgated adopted by the port authority on property owned by
or otherwise within the jurisdiction of the Alabama State Port
Authority and the approaches thereto. Port police officers
shall meet the minimum standards for law enforcement officers
provided by law.
(d)(c) Notwithstanding any other provision of law to
the contrary, the board of directors of the port authority
shall have the authority to may adopt and implement an
employee compensation plan applicable to the director, the
non-merit system executive level employees hired or employed
pursuant to Section 33-1-3 , and those employees employed
pursuant to the state Merit System that provides for
compensation to the employees solely out of funds of the
Alabama State Port Authority in addition to any other
compensation payable to any employees under existing law as an
incentive for achieving goals specified by the plan. The
employee compensation plan may compensate Merit System
employees in excess of, and in addition to, the normal
compensation received by the Merit System employee. The
compensation plan shall complement the existing pay plan
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compensation plan shall complement the existing pay plan
applicable to Merit System employees.
(d) Nothing in this section shall be construed to
change, alter, diminish, or amend the state Merit System laws
or regulations which shall continue to apply to all Merit
System employees employed by the port authority."
"§33-1-5.1
(a) The Alabama State Port Authority may establish and
fund retirement plans for various employees of the Alabama
State Port Authority including , but not limited to , those
employees who are employed by the port authority under Section
Sections 33-1-3 and 36-26-19, those employees who are "exempt"
under Section 36-26-19, those employees who are employed by
the port authority under Section 33-1-16 as locomotive
engineers, locomotive firemen, switchmen, and switch engine
foremen, and hostlers engaged in the operation of the terminal
railroads provided for by said that section, and those
employees of the port authority who are not otherwise covered
under the State Employees' Retirement System and pay the costs
of the establishment and funding of the retirement plans from
the revenues of the port authority.
(b) The retirement plans and benefits shall be in
amounts as defined in individual labor contracts and deemed
appropriate and desirable by the port authority for the
benefit of those employees of the port authority who are not
otherwise covered under the State Employees' Retirement System
and who have been declared eligible for disability or
retirement benefits by the U.S. Social Security Administration
or under the U.S. Railroad Retirement Act.
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or under the U.S. Railroad Retirement Act.
(c) The port authority may establish and fund the
retirement plans solely out of the revenues of the port
authority and may execute contracts to establish the
retirement funds and provide the benefits under the plan
provided by this section. The general administration and
responsibility for the proper operation of the retirement
plans and for making effective the provisions of this section
are vested in the port authority , and the port authority may
establish committees as deemed necessary and appropriate. The
port authority may designate, appoint, and discharge
administrators and trustees under the plans and engage
actuarial and other services as required to transact the
business of the retirement plans. All of the The benefits to
be provided under this section may be included in one or more
contracts issued by the same or different administrators,
trustees, and companies and may cover groups of employees
under separate contracts as deemed necessary and appropriate
by the port authority. The port authority shall establish the
plans and shall award such execute a contract or contracts on
a basis as determined by the benefits afforded, the costs to
be incurred and paid for solely out of the revenues of the
port authority as the port authority deems necessary and
appropriate.
(d) The contract or contracts shall provide for
retirement benefits for the retired employees of the port
authority not covered by the retirement plan of the State of
Alabama and State Employees' Retirement System as defined by
the rules and regulations of the port authority, on terms
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the rules and regulations of the port authority, on terms
deemed appropriate by the port authority. The port authority
shall adopt rules and regulations prescribing the conditions
under which retiring employees may participate in or withdraw
from the plans.
(e) The port authority may adopt and promulgate rules
and regulations for the administration of the retirement
plans.
(f) The benefits provided for hereunder in this section
shall not exceed the retirement benefits provided for other
employees of the state under established state retirement
plans.
(g) The port authority may develop a retirement
incentive program for all employees of the port authority who
are eligible to retire from state service and who retire prior
to September 30, 1997. The port authority shall promulgate any
administrative regulations necessary to carry out the program
in a fair and equitable manner. The costs of any retirement
incentive program shall be paid out of the revenues of the
port authority. Retirement incentive monies paid to an
employee shall not exceed a sum in excess of one thousand
dollars ($1,000) per year of creditable state service of the
employee, which shall be paid in addition to any other
benefits or entitlements. An employee choosing to participate
in this program will not be eligible to participate in any
other early retirement incentive program offered by the State
of Alabama in 1997.
(h) The port authority shall prepare a cost-benefit
analysis for the program and annually on the first legislative
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analysis for the program and annually on the first legislative
day of each regular session of the Legislature submit a report
to the members of the Alabama Legislature and the Governor on
the financial benefits of the retirement incentive program. "
"§33-1-5.2
(a) The Alabama State Port Authority is hereby
authorized to may provide and establish a plan of life and
health insurance for the salaried officers and employees of
the Alabama state docks State Port Authority who work full
time for the Alabama state docks port authority and receive
their compensation on a bi-weekly basis and also a plan of
health insurance for the spouses and dependent children of
such officers and employees and to pay the costs and premiums
of such life and health insurance from the revenues of the
Alabama State Port Authority.
(b) Such The health insurance plan may provide for
group hospitalization, surgical, medical , and dental insurance
against the financial costs of hospitalization, surgical,
medical, and dental treatment and care, and may also include,
among other things, prescribed drugs, medicines, prosthetic
appliances, hospital in-patient and out-patient service
benefits, including major medical benefits, or such other
coverage or benefits as may be deemed appropriate and
desirable by the port authority. The life insurance plan shall
be a group plan with the face amount of such the life
insurance coverage on such salaried officers and employees
limited to such amounts as may be deemed appropriate and
desirable by the port authority.
(c) The port authority is hereby authorized to may
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(c) The port authority is hereby authorized to may
execute a contract or contracts to provide the benefits under
the life and health insurance coverage provided by this
section. Such The contract or contracts may be executed with
one or more agents or corporations licensed to transact life
and health insurance business in this state. All of the The
benefits to be provided under this section may be included in
one or more similar contracts issued by the same or different
companies. Before entering into any contract ,hereby
authorized said the port authority shall invite competitive
bids from qualified insurers who wish to offer plans for the
life and health insurance coverage provided by this section.
(d) The benefits provided for herein in this section
shall not exceed the benefits provided to employees of the
Alabama State Port Authority subject to collective bargaining
agreements.
(e) Regardless of whether the port authority provides,
establishes, and funds an alternate health insurance plan
under this section, the port authority shall pay to the State
Employees' Insurance Fund the monthly employer contribution as
defined by Section 36-29-1 for each of its full-time
employees, whether Merit, non-merit, or exempt. "
Section 2. This act shall become effective on October
1, 2024.
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