It is enacted by the General Assembly as follows:

SECTION 1. Sections 36-4-16.2, 36-4-16.3 of the General Laws in Chapter 36-4 entitled "Merit System" are hereby amended to read as follows:

{ADD 36-4-16.2. Duties and responsibilities of the board. -- ADD} It shall be the duty of the board to establish a pay plan for unclassified employees of the state, including such rules and regulations as are necessary to implement and complement the plan. Upon establishment of the pay plan, it will be the duty of the board to allocate all new unclassified positions to existing grades within the plan, and to review at least once annually all existing unclassified positions and to reallocate such positions within the pay plan as they deem proper {ADD ; provided, however, that no new unclassified position shall be created or allocated or reallocated to any grade within the plan unless the proposed action shall have been twice considered by the board at two consecutive public meetings ADD}

{ADD 36-4-16.3. Salaries of unclassified personnel. -- ADD} The personnel administrator shall initially submit to the board a proposed pay plan and regulations for all unclassified employees of the state, and periodically thereafter submit such revisions as to update the plan and its regulations. State agency and department heads shall be allowed to make recommendations to the initial pay plan submitted, and after reasonable opportunity has been given to employees, appointing authorities, and the general public, and after incorporating any modification, change, or amendment it considers desirable, the board shall approve and adopt the plan and regulations with such changes as it deems necessary and order their application to the positions in the unclassified service. The unclassified pay plan board shall submit the plan and regulations to the governor who shall approve and adopt the plan with such changes as he or she deems necessary and order their application to the position in the unclassified service. When the pay plan and regulations have been adopted they shall constitute the official pay schedule for the positions in the unclassified service. Thereafter, no person in the unclassified service shall be paid a salary that is greater than the maximum or less than the minimum rates fixed by the approved pay plan and regulations or by amendments thereto, nor shall salary adjustments for unclassified employees made by the board during its review exceed {DEL the lessor of (a) DEL} two (2) grades per year at the maximum of the grade; {DEL or (b) eight percent (8%) of the current salary DEL} provided, however, that unclassified employees shall be entitled to all monetary additives accorded other state employees, including, but not limited to longevity and incentive training awards.

SECTION 2. This act shall take effect upon passage.