Chap. 421.
Chap. 421.   An Act providing that the commissioner of savings
BANK LIFE INSURANCE SHALL NOT BE A SALARIED OFFICER OF ANY SAVINGS AND INSURANCE BANK.
Be it enacted, etc., as follows:
Section 1. Section 9 of chapter 26 of the General Laws, as amended by section 1 of chapter 260 of the acts of 1947, is hereby amended by striking out the second sentence and inserting in place thereof the following two sentences: — The commissioner of savings bank life insurance shall be designated by the governor. He shall be one of the board of trustees of the corporation who shall not be a salaried officer of any savings and insurance bank.
Section 2. Said chapter 26 is hereby further amended by striking out section 10, as most recently amended by section 2 of chapter 260 of the acts of 1946, and inserting in place thereof the following section: —
Section 10. The governor shall annually appoint a trustee of the General Insurance Guaranty Fund for seven years from July first in the year of his appointment. Such trustee shall serve without compensation and shall be selected from persons who are trustees of savings banks or of savings and insurance banks; provided, however, (1) that at all times the trustees of the said Fund shall include two, but no more than two persons each of whom, in addition to being a trustee of a savings and insurance bank, is also a salaried officer of such bank engaged in full-time service to the bank and (2) that at no time shall the trustees of said Fund include any person who is an officer, employee, or agent of any life insurer other than a savings and insurance bank. The trustees shall elect from their own number a vice-president and a treasurer. The vice-president shall act as the commissioner of savings bank life insurance and the president of the board of trustees in the absence or disability of the president. The trustees shall also elect a clerk, who need not be a trustee. Each such officer shall hold office for one year and until his successor is appointed.
Subject to the approval of the governor, the trustees shall appoint, and may remove, a deputy commissioner of savings bank life insurance, an insurance actuary to be called the state actuary, and a physician to be called the state medical director. The said deputy commissioner shall be the executive officer of the trustees and as such officer shall administer the work of the division in accordance with their instructions from time to time. Under the administration, direction, and control of the trustees, the state actuary shall exercise the powers and perform the duties assigned to him by section fifteen ,of chapter one hundred and seventy-eight, and the state medical director shall exercise the powers and perform the duties assigned to him by section sixteen of said chapter one hundred and seventy-eight. The trustees shall also appoint from time to time, and may remove, such assistants to the said officers and such clerks, other employees, and consultants as the business of the division shall require.
No such officer or assistant to such officer shall acquire tenure in his office or position by virtue of any provision of law; nor shall any such officer, assistant to such officer, clerk, or other employee be subject to
Acts, 1972. —Chap. 421.                     257
chapter thirty-one, except, however, that any such clerk or other employee who shall have performed the duties of his position for at least one year may be discharged from such position only in the manner provided by sections forty-three and forty-five of chapter thirty-one.                                                                                              ,
The trustees shall determine the classification, specifications, and salary range of every such office and position, the title thereof except as provided above in this section, and the terms of employment of any consultant; provided, however, that no such salary shall be fixed at less than the minimum salary nor more than the maximum salary in the general salary schedule appearing for the time being in chapter thirty; and provided further, that a copy of every such determination shall be filed by the trustees with the governor, the commissioner of administration, the comptroller, and the joint committee on ways and ' means and that notice of every personnel action taken by the trustees shall be filed with the said commissioner and the comptroller.
Section 3. Sections eleven and twelve of said chapter twenty-six are hereby repealed.
Section 4.   The first sentence of section 15 of chapter 178 of the General Laws, as appearing in section 4 of chapter 330 of the acts of 1935, is hereby amended by striking out, in line 1, the word "eleven and inserting in place thereof the word: — ten.
Section 5. Section 16 of said chapter 178, as amended by section 4 of chapter 260 of the acts of 1947, is hereby further amended by striking out, in line 2, the word "twelve" and inserting in place thereof the word: —ten.
Section 6. Said chapter 178 is hereby further amended by striking out section 17, as most recently amended by section 1 of chapter 391 of the acts of 1939, and inserting in place thereof the following section: —
Section 17. In each fiscal year, on or before the tenth^ day of each month, the savings and insurance banks shall pay to the trustees of the General Insurance Guaranty Fund, to be applied by the said trustees to the maintenance of the division of savings bank life insurance, a sum equal to one twelfth of the total expenditures authorized for each year in the annual budget and any supplement or supplements thereto which the said trustees shall have adopted for the said division, including an amount equal to the cost to the commonwealth for pensions or retirement allowance paid during the preceding month to retired employees of said division or their survivors as certified by the state board of retirement; provided, that the division shall reimburse the board each month for the amount so certified. Such sum shall be apportioned by the said trustees_ among the savings and insurance banks in proportion to their premium income, or on such other basis as the trustees shall deem equitable and proper, and the said banks shall be assessed therefor in accordance with such apportionment; provided, however, that during the ten-year period next following receipt by a savings and insurance bank of a license to issue insurance policies and annuity contracts the trustees may waive, in whole or in part, the assessment for said expenditures for said bank. The said trustees shall withdraw from interest income of the General Insurance Guaranty Fund any sums so apportioned to any
258              Acts, 1972. —Chaps. 422, 423.
bank which are exempt from assessment hereunder, and shall apply such sums to the maintenance of the said division in accordance with the said budget. Any sums paid hereunder and remaining unexpended at the end of any fiscal year shall be deducted from the sums otherwise required to be paid hereunder during the next fiscal year.
Section 7. Any officer or employee in the division of savings bank insurance who holds an office or position classified under chapter thirty-one of the General Laws, or who is subject to the provisions of section nine A of chapter thirty of the General Laws shall continue to serve in his office or position without impairment of his civil service, retirement, seniority or other rights and his term of office shall not be deemed to have been interrupted within the meaning of said chapter thirty-one or said section nine A notwithstanding any change in his title or duties made as a result of this act; provided that no such officer or employee shall be lowered in rank or compensation.
Section 8. This act shall take effect on July first, nineteen hundred and seventy-three; provided, however, that proviso (1) of section ten of chapter twenty-six of the General Laws, inserted by section two of this act, shall take effect on July first, nineteen hundred and seventy-six.                                               Approved June 8,1972.