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subdivision apply. shall increased by five percent adjusted to the next higher whole dollar amount.

(c). Effective April first, nineteen hundred eighty-seven, the basic annual salary of officers and employees to whom the provisions of this subdivision apply. shall be increased by five percent adjusted to the next higher whole dollar amount.

3. For such officers and employees in positions allocated to salary grades M/C 17 and below, the following increases shall apply:

(a) Effective June sixth, nineteen hundred eighty-five for those on the institutional payroll and June thirteenth, nineteen hundred eightyfive for those on the administrative payroll, the basic annual salary of officers and employees to whom the provisions of this subdivision apply and who were on the payroll on March thirty-first, nineteen hundred eighty-five shall be increased by five percent' adjusted to the next higher whole dollar amount.

(b) Effective April first, nineteen hundred eighty-six, the basic annual salary of officers and employees to whom the provisions of this subdivision apply shall be increased by five and one-half percent adjusted to the next higher whole dollar amount.

(c) Effective April first, nineteen hundred eighty-seven, the basic annual salary of officers and employees to whom the provisions of this subdivision apply shall be increased by six percent adjusted to the next higher whole dollar amount.

(a) Officers and employees in salary grades M/C 18 and above to whom the provisions of this section apply whose basic annual salary at the time of the annual performance evaluation equals or exceeds the job rate of the salary grade of their position may receive lump sum merit payments in accordance with rules and regulations promulgated by the director of the budget within the appropriations available therefor.

(b). Commencing April first, nineteen hundred eighty-five, during, each fiscal year, an amount of one and one-third percent of the total basic annual salaries March thirty-first of the preceding fiscal year of the officers and employees to whom the provisions of this section apply shall be available for merit payments, and performance award payments and increases in lieu of such payments for officers and employees titled to such payments pursuant to paragraph (a) of this subdivision, subdivision eight of section one hundred thirty of the civil service law as added by section

two

of this act and subdivision nine of this section.

(c). Commencing April first, nineteen hundred eighty-five, during each fiscal year, an additional amount of one-tenth of one percent of the total basic annual salaries March thirty-first of the preceding fiscal year of the officers and employees to whom the provisions of this section and section twenty of this act apply shall be available for special achievement awards which shall provide lump sum payments in recog" nition of specific and identifiable achievements by officers and employees to whom the provisions of this section and section twenty, of this acţ shall apply including officers and employees covered by subdivision nine of this section and which shall be implemented pursuant to rules and regulations promulgated by the director of employee relations.

(d) Officers and employees whose basic annual salary is or was less than the job rate of the salary, grade of their position but was not or is not less than ninety-eight percent of such job rate shall for the purposes of paragraph (a) of this subdivision and subdivision nine of this section be deemed to be or have been at the job rate as appropriate.

Te) The amounts provided pursuant to this subdivision, unless otherwise expressly provided herein, shall be in addition to and shall not be part of the employee's basic annual salary; provided, however, that any amounts payable pursuant to this subdivision shall be’included pensation for retirement purposes.

5. If an unencumbered position is one which, if encumbered, would be subject to the provisions of this section, the salary of such position shall be increased by the salary increase amounts specified in this section. If a position is created and is filled by the appointment of an officer employee who is subject to the provisions of this section, the salary otherwise provided for such position shall be increased in the same manner though such position had been in existence but unencumbered. Notwithstand the provisions of this section, the direcEXPLANATION—Matter in italics is new; matter in brackets [ ] is old law

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tor of the budget may reduce the salary of any such position which is or becomes vacant.

6. The increases in salary payable pursuant to this section shall apply on a prorated basis to officers and employees otherwise eligible to receive increase in salary pursuant to this act who are paid on an hourly or per diem basis, employees serving on a part-time seasonal basis and employees paid on any basis other than at an annual salary rate; except that the provisions of subdivision four of this section shall not apply to employees serving on a seasonal basis, except as determined by the director of the budget.

7. Notwithstanding any of the foregoing provisions of this section, the provisions of this section shall not apply to the following except as otherwise provided by law:

(a) officers or employees paid on a fee schedule basis;

(b) officers employees whose salaries are prescribed by section forty, sixty or one hundred sixty-nine of the executive law;

(c) officers or employees in collective negotiating units established pursuant to article fourteen of the civil service law.

8. Officers and employees to whom the provisions of this section apply who are incumbents of positions which are not allocated to salary, grades specified in paragraph d of subdivision one of section one hundred thirty of the civil service law and whose salary is not

prescribed in any other statute shall receive the salary increase specified in subdivision three of this section if their position has been equated to salary grade M/C 17 or below by the director of the budget or if in the opinion of the director of the budget, their position would be equated to salary grade M/C 17 or below were an equation made. All other such officers and employees who are incumbents of positions which are not allocated to salary grades specified in such paragraph d and whose salary is not prescribed in any other statute shall receive the salary increase specified in subdivision two of this section.

9. In order to provide for the officers and employees to whom this section applies who are not allocated to salary grades performance advancements, merit payments, performance awards and in lieu payments, and special achievement awards in proporţion to those provided to persons to whom this section applies who are allocated to salary grades, the director of the budget is authorized to add appropriate adjustments to the compensation which such officers and employees are otherwise entitled to receive. The director of the budget shall issue certificates which shall contain schedules of positions and the salaries or payments thereof for which adjustments or payments are made pursuant to the provisions of this subdivision, and copy of each such certificate shall be filed with the state comptroller, the department of civil service, the chairman of the senate finance committee and the chairman of the assembly ways and means committee.

10. Notwithstanding the foregoing, provisions of this section, any increase in compensation provided by this section may be withheld in whole or in part from any individual officer or employee when the individual's performance is rated unsatisfactory and in the opinion of the director of the budget, such increase is not warranted or is not appropriate.

11. Notwithstanding the provisions of subdivisions two and three of this section, during the period between April first,, nineteen hundred eighty-six and March thirty-first, nineteen hundred eighty-eight, the rates of compensation for officers and employees to whom the

provisions of such subdivision apply may be increased, decreased, enhanced or remain the same, or the classification of officers and employees to whom the provisions of such subdivisions apply may be increased, decreased, enhanced or remain the same in accordance with the directions of the director of classification and compensation and as approved by the director of the budget. Changes in compensation or classification provided for in this section may result from the state job classifica

and nineteen hundred eighty-six an amount equal to one percent of the total of basic annual salaries on March thirty-first of the preceding, fiscal year of the officers and employees to whom the provisions of this sec. tion apply shall be available for the purpose of implementing salary adjustments determined to be appropriate as a result of the studies concerning classification and compensation and comparable worth.

The governor's executive budget submitted to the legislature for fiscal year nineteen hundred eighty-six-eighty-seven and fiscal year nineteen hundred eighty-seven-eighty-eight shall include a statement setting forth the rate or compensation which may be increased, de

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creased, enhanced or remain the same in accordance with the directions of the director of classification and compensation and pursuant to terms of an agreement negotiated between the state and an employee organization representing such employees pursuant to article fourteen of the civil service law, and as approved by the director of the budget, as authorized in this section. Budget bills submitted to the legislature making appropriations for the support of state government for fiscal year nineteen hundred eighty-six-eighty-seven and fiscal

year

nineteen hundred eighty-seven-eighty-eight shall set forth as a separate item of appropriation, with a sub-schedule by each agency, all appropriations proposed to be made for the aforementioned fiscal years which are authorized pursuant to this section.

$ 20. Compensation for certain state officers and employees in the division of state police. 1. The provisions of this section shall apply to officers and employees whose salaries are provided for by paragraph (a) of subdivision one of section two hundred fifteen of the executive law.

2. Effective June thirteenth, nineteen, hundred eighty-five, April first, nineteen hundred eighty-six and April first, nineteen hundred eighty-seven, the basic annual salary, of officers and employees to whom the provisions of this section apply shall be increased by five percent, five percent and five percent, respectively, with each such increase adjusted to the next higher whole dollar amount.

3. Officers and employees to whom the provisions of this section apply may receive merit payments in accordance with rules and regulations promulgated by the director of the budget provided, however, that commencing April first, nineteen hundred eighty-five, during each fiscal year, an amount not to exceed one percent of the total of the basic annual' salaries on March thirty-first of the preceding fiscal year of the officers and employees to whom the provisions of this section apply shall be available for the payment of such merit payments. Such payments shall be lump sum payments and shall be in addition to and shall not be part of the officer's or employee's basic annual salary; provided,, however, that any

amounts payable pursuant to this section shall be included as compensation for retirement purposes.

4. Notwithstanding the foregoing provisions of this section, any, increase in compensation provided by this section may be withheld in whole or in part from any individual officer or employee when the individual's performance is rated unsatisfactory and in the opinion of the director of the budget, such increase is not warranted or is not appropriate.

§ 21. Compensation for certain state employees in the state university and certain employees of contract colleges at Cornell and Alfred universities. 1. Effective June sixth, nineteen hundred eighty-five, for employees on the institutional payroll, and June thirteenth, nineteen hundred eighty-five, for employees on the administrative payroll, April first, nineteen hundred eighty-six and April first, nineteen hundred eighty-seven, the basic annual salary of incumbents of positions in the professional service in the state university which are designated, stipulated, or excluded from negotiating units as managerial or confidential as defined pursuant to article fourteen of the civil service law, may be increased pursuant to plans approved by the state university trustees and the director of the budget. Such increases in basic annual salary rates,, exclusive of amounts for meritorious service pursuant to subdivision three of this section, shall not exceed in the aggregate five percent, five percent and five percent, respectively, of the total basic annual salary rates in effect on March thirty-first of the preceding fiscal year for incumbents of positions subject to this subdivision.

2. Effective June sixth, nineteen hundred eighty-five for employees on the institutional payroll and June thirteenth, nineteen hundred eightyfive, for employees on the administrative payroll, April first, nineteen hundred eighty-six and April first, nineteen hundred eighty-seven, the basic annual salary of incumbents of positions in the institutions under the management and control of Cornello and Alfred universities as representatives of the board of trustees of the state university which in the opinion of the director of employee relations would be designated managerial or confidential were they subject to article fourteen of the civil service law may be increased pursuant to plans approved by the state university trustees and the director of the budget. Such increases in basic annual salary rates, exclusive of amounts for meritorious EXPLANATION-Matter in italics is new; matter in brackets [ ] is old law

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vice pursuant to subdivision three of this section, shall not exceed in the aggregate five percent five percent and five percent,, respectively, of the total basic annual salary rates in effect on March thirty-first of the preceding fiscal year for incumbents of positions subject to this subdivision.

3. (a). During the fiscal years commencing April first, nineteen hundred eighty-five, April first, nineteen hundred eighty-six and April first, nineteen hundred eighty-seven, the state university trustees, in their discretion, with the approval of the director of the budget may provide within the appropriations available therefor, amounts for distribution in whole or in part for meritorious service to incumbents of positions in the professional service in the state university which are designated, stipulated, or excluded from negotiating units as managerial

confidential defined pursuant to article fourteen of the civil service law.

(b) During the fiscal years commencing April first, nineteen hundred eighty-five, April first, nineteen hundred eighty-six and April first, nineteen hundred eighty-seven, Cornell and Alfred universities, in their discretion, with the approval of the state university trustees and the director of the budget, may provide within the appropriations available therefor, amounts for distribution in whole or in part for meritorious service to incumbents of positions in the institutions under the management and control of Cornell and Alfred universities as representatives of the board of trustees of the state university which in the opinion of the director of employee relations would be designated managerial or confidential were they subject to article fourteen of the civil service law.

4. During the period June sixth, nineteen hundred eighty-five for employees on the institutional payroll and June thirteenth, nineteen hundred eighty-five for employees on the administrative payroll through March thirty-first, nineteen hundred eighty-eight, the basic annual salaries of incumbents of positions in the non-professional service,, except those positions in the Cornell service and maintenance unit which are subject

to

the terms of a collective bargaining agreement between Cornell university and the employee organization representing employees in such positions, in institutions under the management and control of Cornell and Alfred universities as representatives of the board of trustees of the state university may be increased pursuant to plans promulgated by the director of the budget. Such plans, may include new salary schedules which shall supersede the salary schedules then in effect applicable to such employees. Such plans shall provide for increases in basic annual salaries. Such increases in basic annual salary rates, exclusive of performance advancement payments or merit recogni, tion payments, shall not exceed in the aggregate five percent, five and one-half percent and six percent, respectively, of the total

basic annual salary rates in effect on March thirty-first of the preceding fiscal year of the incumbents of positions subject to this subdivision. Such plans may provide, within the appropriations available therefor, an amount for distribution in whole or in part for meritorious service by Cornell university and Alfred university, in their discretion, with the approval of the state university trustees and the director of the budget to the incumbents of such positions. During the fiscal years commencing April first, nineteen hundred eighty-five, April first, nineteen hundred eighty-six and April first, nineteen hundred eighty-seven, such plans may provide for lump sum payments. Any such lump sum payment shall be in addition to and shall not be part of the employee's basic annual salary, provided, however, that any such lump sum amount shall be included compensation for retirement purposes.

5. For the purposes of this section, the basic annual salary of employees is that salary which is obtained' through direct appropriation of state moneys for the purpose of paying wages. Nothing in this part shall prevent increasing amounts paid to incumbents of such positions in the professional service in addition to the basic annual salary; provided, however, that the amounts required for such increase, and the cost of fringe benefits attributable to such increase, as determined by the comptroller, are made available to the state in accordance with the procedures established by the state university, with the approval of the director of the budget, for such purposes.

6. Notwithstanding the foregoing provisions of this section, any, increase in compensation provided by this section may be withheld' in whole or in part from any individual officer or employee when the individual's

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performance is rated unsatisfactory and in the opinion of the director of the budget, such increase is not warranted or is not appropriate.

$ 22. Flexible benefits program. The director of employee relations is authorized to establish a committee to study and make recommendations concerning a flexible benefits program which would be applicable to employees as defined in subdivision one of section eleven of chapter four hundred sixty of the laws of nineteen hundred eighty-two as amended by section eighteen of this act, and employees and officers of public authorities, legislative commissions, and public benefit corporations annual employees of the legislative branch and judges and justices of the unified court system and non-judicial employees of the unified court system who elect to participate in the benefits of the employee benefit program provided by paragraph (a) of subdivision two of section eleven of chapter four hundred sixty of the laws of nineteen hundred eighty-two as amended by section eighteen of this act, and provide for the implementation of such recommendations subject to'the approval of the director of the budget. $ 23. Locational

compensation for certain state officers and employees., 1. This section shall apply to all state officers and employees except the following:

(a) officers and employees of the legislature and the judiciary,, including officers and employees of boards, bodies and commissions which are deemed to be part of the legislature or judiciary for the purpose of section forty-nine of the state finance law;

(b) officers and employees whose salaries are prescribed by or determined in accordance with section forty, sixty, one hundred sixty-nine, two hundred fifteen or two hundred sixteen of the executive law;

(c), incumbents of allocated or unallocated positions in the professional service in the state university and in institutions under the management and control of Cornell and' Alfred universities as representatives of the board of trustees of the state university;

lo) partiters and employees whdoneesin recognized or certified collective negotiating units pursuant to article fourteen of the civil service law.

2. Notwithstanding the provisions of section fifteen of chapter three hundred thirty-three of the laws of nineteen hundred sixty-nine as amended to the contrary, officers and employees subject to this section whose official station as determined in accordance with the regulation's of the comptroller is located (a) in the county of Monroe and who

the payroll on March thirty-first, nineteen hundred eighty-five, shall receive locational pay, at the rate of two hundred dollars per year provided they continue to be otherwise eligible except that such officers and employees who were not on the payroll on such March thirtyfirst but who were on the payroll at any time during the period April first, nineteen hundred eighty-five through the day when basic annual salaries are first paid pursuant to this act, who received locational pay shall be deemed to have been eligible for such locational pay received and shall cease to be eligible for locational pay no later than the day when basic annual salaries are first paid pursuant to this act

(b) in the city of New York, or in the county of Rockland, Westchester, Nassau or Suffolk shall receive locational pay at the rate of two hundred three dollars effective April first nineteen hundred eighty-five, four hundred six dollars effective April first, nineteen hundred eighty-six and six hundred two dollars effective April first, nineteen hundred eighty-seven. Such locational pay shall be in addition to and shall not be a part of an employee's basic annual salary, and shall not affect or impair any advancements or other rights or benefits to which employee may be entitled by law, provided, however, that locational pay shall be included as compensation for purposes of putation of overtime pay and for retirement purposes.

§ 24. Use of appropriations. The comptroller is authorized to pay any amounts required during the fiscal year commencing April first, nineteen hundred eighty-five by the foregoing provisions of this act for any state department or agency from any appropriation or other funds availa EXPLANATION–Matter in italics is new; matter in brackets [ ] is old law

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