0001|                           SENATE BILL 559
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0002|     43rd legislature - STATE OF NEW MEXICO - first session, 1997
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0003|                            INTRODUCED BY
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0004|                          RICHARD M. ROMERO
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0005|     
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0006|                                   
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0007|     
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0008|                                   
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0009|     
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0010|                                AN ACT
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0011|     RELATING TO PUBLIC WORKS CONTRACTS; AMENDING A SECTION OF THE
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0012|     PUBLIC WORKS MINIMUM WAGE ACT TO ALLOW PAYMENT OF WAGES ON A
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0013|     TWICE-MONTHLY BASIS; AMENDING THE DEFINITION OF WAGES.
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0014|     
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0015|     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0016|          Section 1.  Section 13-4-11 NMSA 1978 (being Laws 1965,
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0017|     Chapter 35, Section 1, as amended) is amended to read:
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0018|          "13-4-11.  MINIMUM WAGES ON PUBLIC WORKS <s>[WEEKLY
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<s></s>0019| <s>    PAYMENT]</s> <u>TWICE-MONTHLY PAYMENTS</u>--POSTING WAGE SCALE--
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0020|     WITHHOLDING FUNDS.--Every contract or project in excess of
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0021|     twenty thousand dollars ($20,000) to which the state or any
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0022|     political subdivision thereof is a party for construction,
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0023|     alteration, demolition or repair or any combination of these,
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0024|     including painting and decorating, of public buildings, public
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0025|     works or public roads of the state and <s>[which]</s> <u>that</u>
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0001|     requires or involves the employment of mechanics, laborers or
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0002|     both shall contain a provision stating the minimum wages to be
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0003|     paid to various classes of laborers and mechanics, which shall
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0004|     be based upon the wages that will be determined by the director
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0005|     of the labor and industrial division of the labor department to
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0006|     be prevailing for the corresponding classes of laborers and
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0007|     mechanics employed on contract work of a similar nature in the
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0008|     state or locality, and every contract or project shall contain
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0009|     a stipulation that the contractor, subcontractor, employer or
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0010|     any person acting as a contractor shall pay all mechanics and
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0011|     laborers employed on the site of the project, unconditionally
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0012|     and not less often than <s>[once a week]</s> <u>twice a month</u> and
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0013|     without subsequent unlawful deduction or rebate on any account,
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0014|     the full amounts accrued at time of payment computed at wage
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0015|     rates not less than those stated in the minimum wage rates
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0016|     issued for the project.
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0017|               A.  For the purpose of making wage determinations,
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0018|     the director of the labor and industrial division of the labor
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0019|     department shall conduct a continuing program for the obtaining
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0020|     and compiling of wage-rate information and shall encourage the
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0021|     voluntary submission of wage-rate data by contractors,
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0022|     contractors' associations, labor organizations, interested
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0023|     persons and public officers.  Before making a determination of
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0024|     wage rates for any project, <s>[he]</s> <u>the director</u> shall give
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0025|     due regard to the information thus obtained.  Whenever the
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0001|     director deems that the data at hand are insufficient to make a
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0002|     wage determination, he may have a field survey conducted for
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0003|     the purpose of obtaining sufficient information upon which to
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0004|     make determination of wage rates.  Any interested person shall
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0005|     have the right to submit to the director written data, views
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0006|     and arguments why the wage determination should be changed.
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0007|               B.  The scale of wages to be paid shall be posted by
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0008|     the contractor or person acting as a contractor in a prominent
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0009|     and easily accessible place at the site of the work; and it is
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0010|     further provided that there may be withheld from the
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0011|     contractor, subcontractor, employer or any person acting as a
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0012|     contractor so much of accrued payments as may be considered
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0013|     necessary by the contracting officer to pay to laborers and
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0014|     mechanics employed on the project the difference between the
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0015|     rates of wages required by the director of the labor and
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0016|     industrial division of the labor department to be paid to
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0017|     laborers and mechanics on the work and the rates of wages
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0018|     received by such laborers and mechanics and not refunded to the
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0019|     contractor, subcontractor, employer or any person acting as a
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0020|     contractor or their agents.
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0021|               C.  The director of the labor and industrial
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0022|     division of the labor department shall have authority to issue
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0023|     rules and regulations necessary to administer and accomplish
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0024|     the purposes of the Public Works Minimum Wage Act."
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0025|          Section 2.  Section 13-4-12 NMSA 1978 (being Laws 1965,
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0001|     Chapter 35, Section 2, as amended) is amended to read:
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0002|          "13-4-12.  DEFINITION OF THE TERM "WAGES".--
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0003|               A.  As used in Section 13-4-11 NMSA 1978, "wages",
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0004|     "scale of wages", "wage rates", "minimum wages" and "prevailing
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0005|     wages" include:
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0006|                    (1)  the basic hourly rate of pay, <u>including
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<u></u>0007| <u>    payments made directly to an employee to enable the employee to
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<u></u>0008| <u>    purchase health insurance</u>; and
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0009|                    (2)  the amount of:
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0010|                         (a)  the rate of contribution irrevocably
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0011|     made by a contractor, subcontractor, employer or any person
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0012|     acting as a contractor to a trustee or a third person pursuant
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0013|     to a fund, plan or program; and
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0014|                         (b)  the rate of costs to a contractor,
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0015|     subcontractor, employer or any person acting as a contractor
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0016|     which reasonably may be anticipated in providing benefits to
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0017|     laborers and mechanics pursuant to an enforceable commitment to
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0018|     carry out a financially responsible plan or program which was
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0019|     communicated in writing to the laborers and mechanics affected
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0020|     for:  1) medical or hospital care; 2) pensions on retirement or
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0021|     death; 3) compensation for injuries or illness resulting from
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0022|     occupational activity; or 4) insurance to provide for any of
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0023|     the foregoing; and for: 5) unemployment benefits; 6) life
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0024|     insurance; 7) disability and sickness insurance; 8) accident
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0025|     insurance; 9) vacation and holiday pay; 10) costs of
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0001|     apprenticeship or other similar programs; or for 11) other bona
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0002|     fide fringe benefits; but only where the contractor,
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0003|     subcontractor, employer or any person acting as a contractor is
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0004|     not required by other federal, state or local law to provide
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0005|     any of the foregoing or similar benefits.
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0006|               B.  The obligation of a contractor, subcontractor,
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0007|     employer or person acting as a contractor to make payment in
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0008|     accordance with the prevailing wage determinations of the
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0009|     director of the labor and industrial division of the labor
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0010|     department, insofar as Section 13-4-11 NMSA 1978 or other
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0011|     sections of legislative acts incorporating Section 13-4-11 NMSA
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0012|     1978 are concerned, may be discharged by:
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0013|                    (1)  the making of payments in cash;
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0014|                    (2)  the making of contributions of a type
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0015|     referred to in Subparagraph (a) of Paragraph (2) of Subsection
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0016|     A of this section; or
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0017|                    (3)  the assumption of an enforceable
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0018|     commitment to bear the costs of a plan or program of a type
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0019|     referred to in Subparagraph (b) of Paragraph (2) of Subsection
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0020|     A of this section or any combination thereof where the
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0021|     aggregate of any payments or contributions and costs therefor
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0022|     is not less than the rate of pay described in Section 13-4-11
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0023|     NMSA 1978 plus the amount referred to in this section.
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0024|               C.  The provisions of this section shall not affect
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0025|     existing contracts or contracts resulting from bids outstanding
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0001|     on July 15, 1965."
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0002|                                    
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0003|   
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0004|                      FORTY-THIRD LEGISLATURE
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0005|                        FIRST SESSION, 1997             SB 559/a
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0006|   
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0007|   
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0008|                                               February 26, 1997
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0009|   
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0010|   
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0011|   Mr. President:
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0012|   
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0013|       Your CORPORATIONS & TRANSPORTATION COMMITTEE, to
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0014|   whom has been referred
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0015|   
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0016|                          SENATE BILL 559
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0017|   
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0018|   has had it under consideration and reports same with
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0019|   recommendation that it DO PASS, amended as follows:
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0020|   
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0021|       1.  On page 1, line 13, strike "TWICE-MONTHLY" and insert in
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0022|   lieu thereof "BIWEEKLY", and before the semicolon insert "UNDER
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0023|   CERTAIN PUBLIC WORKS CONTRACTS OR PROJECTS".
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0024|   
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0025|       2.  On page 1, line 19, strike the underscored "TWICE-
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0001|   MONTHLY".
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0002|   
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0003|       3.  On page 2, line 11, remove the brackets and line-through
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0004|   and on line 12, strike the underscored "twice a month" and insert
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0005|   in lieu thereof "for contracts and projects of two hundred fifty
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0006|   thousand dollars ($250,000) or more or biweekly for contracts or
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0007|   projects of less than that amount".
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0008|   
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0009|       4.  On page 4, line 4, strike the comma and the underscored
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0010|   word, strike all of line 5 and strike line 6 up to the semicolon.
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0011|   
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0012|       5.  On page 5, line 3, after the period, insert "For
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0013|   purposes of this section, a written agreement between a
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0014|   contractor, subcontractor, employer or person acting as a
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0015|   contractor and his employee providing for a direct payment to the
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0016|   employee for any of the benefits listed in this subparagraph
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0017|   shall be deemed to be an enforceable commitment to carry out a
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0018|   financially responsible plan or program pursuant to this
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0019|   subparagraph.".,
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0020|   
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0021|   
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0022|   
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0023|   
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0024|   
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0025|   
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0001|   
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0002|   
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0003|   
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0004|   
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0005|   and thence referred to the PUBLIC AFFAIRS COMMITTEE. 
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0006|                
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0007|                                Respectfully submitted,
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0008|   
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0009|   
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0010|   
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0011|                                
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0012|   __________________________________
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0013|                                Roman M. Maes, III, Chairman 
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0014|   
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0015|   
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0016|   
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0017|   Adopted_______________________   Not
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0018|   Adopted_______________________
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0019|             (Chief Clerk)                          (Chief Clerk)
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0020|   
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0021|   
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0022|                     Date ________________________
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0023|   
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0024|   
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0025|   The roll call vote was <u> 9 </u> For <u> 1 </u> Against
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0001|           Yes:    9
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0002|           No:     Griego
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0003|                Excused:     None
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0004|           Absent: None
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0005|   
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0006|   
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0007|   S0559CT1                                            .117550.1
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