MARVIN MANDEL, Governor

3983

In accordance with Article II, Section 17 of the
Maryland Constitution, I have today vetoed House Bill
152.

By Chapter 784, Acts of 1973, the General Assembly
provided for the State's assumption of the assessment
function, which, up to then, had been a county
responsibility. The State assumption of this function
was phased in over a three—year period, beginning with
the annual salaries and incidental expenses of the
supervisors of assessments effective July 1, 1973, the
annual salaries and administrative costs of the assessors
effective July 1, 1974, and all remaining costs relating
to personnel, administration, operation, and maintenance
of the assessment system effective July 1, 1975,

Sections 246B, 246C, and 246D of Article 81, as
added by Chapter 784, provided, as to each category of
employee (supervisor, assessor, and clerical) an election
either to remain in the local merit, health benefit, and
retirement systems or to join the State merit, health
benefit, and retirement systems. If they elect to join
the State systems, the Act provides that they shall be
placed in a position most closely comparable to their
former position, "without diminution or loss of any
benefits" to which they were formerly entitled.

Either not considered with respect to Chapter 784
or, in some instances, arising after its enactment was
the fact that in fifteen subdivisions, these employees
were entitled to participation in group life insurance
provided as a fringe benefit by the subdivisions.
Shortly after the implementation of Chapter 784
commenced, a question arose as to whether the State had
the obligation of either replacing that life insurance
benefit or reimbursing the subdivisions for their cost in
maintaining it.

On May 9, 1974, the Attorney General ruled that the
locally provided life insurance benefit was not an
obligation assumed by the State. Thus, any assessment
office employee who elected to join the State systems
would lose the life insurance benefit, and, for those
employees who opted to remain in the local system, the
cost of that benefit would continue to be borne by the
subdivision.

House Bill 152, as introduced, amended those
sections enacted by Chapter 784 dealing with the transfer
of assessment employees to provide that employees
electing to remain in the local system could continue to
receive the life insurance benefits provided by those
systems, with the State bearing the expense of these
benefits. The bill was amended to provide further that
employees electing to join the State systems would also