35-A §3216. Transition; utility employees - Maine Statutes

Title 35-A: PUBLIC UTILITIES HEADING: PL 1987, C. 141, PT. A, §6 (NEW)

Part 3: ELECTRIC POWER HEADING: PL 1987, C. 141, PT. A, §6 (NEW)

Chapter 32: ELECTRIC INDUSTRY RESTRUCTURING HEADING: PL 1997, C. 316, §3 (NEW)

§3216. Transition; utility employees

1. Definitions. As used in this section, unless the context otherwise indicates, the following terms have the following meanings.

A. "Eligible employees" means all full-time and part-time employees of an electric utility:

(1) Who are not officers of the utility;

(2) Who are employed by the utility on January 1, 1998; and

(3) Who are laid off due to retail competition.

Absent other just cause, a layoff after March 1, 2000 is deemed to have been due to retail competition. The commission by rule shall establish a date after which a layoff is deemed not to have been due to retail competition. An employee is not an eligible employee by reason of the transfer of the employee's job duties or assignment within a company or within affiliated companies at similar levels of compensation. [1999, c. 398, Pt. M, §1 (AMD); 1999, c. 398, Pt. M, §3 (AFF).]

B. "Retail competition" means:

(1) Retail access; or

(2) The sale or merger of any generation asset that occurs prior to March 1, 2000. [1997, c. 316, §3 (NEW).]

[ 1999, c. 398, Pt. M, §1 (AMD); 1999, c. 398, Pt. M, §3 (AFF) .]

2. Substantive plan. Prior to the beginning of retail access, each investor-owned electric utility shall prepare a plan for providing transition services and benefits for eligible employees. The plan must:

A. Include a program to assist eligible employees in maintaining fringe benefits and obtaining employment that makes use of their potential; [1997, c. 316, §3 (NEW).]

B. For 2 years after the beginning of retail access, provide to eligible employees retraining services and out-placement services and benefits, including intensive vocational-interests-and-aptitude screening; [1997, c. 316, §3 (NEW).]

C. Provide full tuition for 2 years at the University of Maine or a vocational or technical school in the State or other reasonable retraining services of value equal to full in-state tuition for 2 years at the University of Maine, at the discretion of the eligible employee; [1997, c. 316, §3 (NEW).]

D. For 24 months or until permanent replacement coverage is obtained through reemployment, whichever comes first, provide continued health care insurance at the benefit and contribution levels existing during employment with the utility; and [1997, c. 316, §3 (NEW).]

E. Provide severance pay equal to 2 weeks of current base pay for each year of full-time and one week of current base pay for each year of part-time employment. [1999, c. 398, Pt. M, §2 (AMD); 1999, c. 398, Pt. M, §3 (AFF).]

The plan may include provisions for providing early retirement benefits.

[ 1999, c. 398, Pt. M, §2 (AMD); 1999, c. 398, Pt. M, §3 (AFF) .]

3. Procedural requirements. Each investor-owned utility shall file with the commission a plan for providing transition services and benefits for eligible employees that conforms to the requirements of subsection 2. A plan must be filed prior to the utility finalizing any transaction that would result in an eligible employee being laid off or at least 90 days prior to the start of retail access, whichever is first. Prior to filing the plan with the commission, the utility shall inform its employees and their certified representatives of the provisions of the proposed plan and, in accordance with applicable law, shall confer with those employees or their certified representatives regarding the impact of the proposed plan on those employees and measures to minimize any resulting hardships on those employees.

While a plan is in effect, an investor-owned utility shall file notice with the commission of any closure or relocation of facilities and any action or reorganization that will result in layoffs. The notice must include a description of the actions, the reasons for them and an assessment of their effects on the utility's employees.

[ 1997, c. 316, §3 (NEW) .]

4. Collective bargaining. If an investor-owned electric utility company or one or more of its subsidiary or parent companies is party to a collective bargaining agreement recognized by federal or state law, and if as a result of retail competition any of those companies creates, acquires or merges with any other entity, that entity shall continue to recognize and bargain with the union representing the employees of the company at the time of the creation, acquisition or merger and shall refrain from making unilateral changes in the employees' terms and conditions of employment. In addition, any successor employer is bound to the terms of the collective bargaining agreement to the extent permitted by federal law. Nothing in this section prevents any company, corporation or other business from entering into any collective agreement as allowed by state or federal law.

[ 1997, c. 316, §3 (NEW) .]

5. Cost recovery. The commission shall allocate the reasonable accrual increment cost of the services and benefits required under this section to ratepayers through charges collected by the transmission and distribution utility. All charges collected must be transferred to a system benefits administrator in the transmission and distribution utility and used to provide services and benefits pursuant to the requirements of this section.

[ 1997, c. 316, §3 (NEW) .]

6. Rules. The commission shall adopt rules necessary to implement this section. Rules adopted under this section are routine technical rules pursuant to Title 5, chapter 375, subchapter II-A.

[ 1997, c. 316, §3 (NEW) .]

SECTION HISTORY

1997, c. 316, §3 (NEW). 1999, c. 398, §§M1,2 (AMD). 1999, c. 398, §M3 (AFF).