Auburn-Lewiston Airport: Social Security

MAINE STATE LEGISLATURE The following document is provided by the LAW AND LEGISLATIVE DIGITAL LIBRARY at the Maine State Law and Legislative Reference Library http://legislature.maine.gov/lawlib Reproduced from scanned originals with text recognition applied (searchable text may contain some errors and/or omissions) RICHARD S. COHl:lN ATTORNEY GENERAL P.R. Gingrow S·rl\'r1,: 01<· MA1N1<; DJ.::PAH.'l'MC:NT OJl THC: Arl'Oli.Nl.1:Y GC:Nlm.AL AUGUS'l'A, MAINE 04333 June 15, 1979 Assistant Executive Director Maine State. Retirement System State Office Building Augus~a, Maine 04333 Re: Auburn-Lewiston Airport: Social Security. Dear Mr. Gingrow: STEPHEN L. DlAMONO JOHN S. GLEASON JOHN M. R. PATERSON ROBERT J. STOLT DEPUTY ATTORNEYS GENERAL You have.inquired whether the. Auburn-Lewiston Municipal Airport, Inc. qualifies as a "politi.cal subdivision," as defined in 5 M.R.S.A. § 1222 (61 so ,that it may provide Social Security coverage to its employees in accordance with c. 103 0£ 'l'itle 5. Subsection (6) provides, in relevant part: "The term 'political subdivision' includes an instrumentality of • • .• one. or more of (the) political subdivisions (of the State of Maine) •.• but only if such instrumentality is a juristic entity which is legally·separate and distinct from the ••• subdivision and only if its employees are not by virtue of their relation to such juristic entity employees of the ••• subdivision." The Airport is clearly an instrumentality of the citic!:.> of Auburn and Lewiston. By joint agreement of the two cities, the Airport has the responsibility and the authority to carry out functions and provide services which the cities might them- selves perfo:r:-m. By virtue of its incorporation, the Airport is a "juristic entity which. is legally separate and distinct from" the cities. The joint operation of the Airport began sometime prior to 1976; in'that year, the arrangement was ·formalized by an Agreement entered into pursuant to c. 203, Title 30 .M.R.S.A. ( nterlocal Cooperation). In 1979 the Airport was incorpor- ated as a nonprofit corporation under Title 13-B, M.R.S.A. Page 2 Airport employees are carried on ·the payroll of one of the cities; the cities alternate annually. The carrying city is reimbursed for these costs by the Airport. The employees are hired and fired by and work entirely under the supervision and control of the Ai'rport Board. The fact that the employees are carried on the cities' payrolls is, by itself, in these circum- stances, insufficient· to constitute ·them employees of the cities. Thus, _the Airport meets the definitional criteria of sub-§ (6) and may provide Social Security coverage· in accordance with c. 103. Very truly··yot,rs, .:lie'{) b'( // ~ KAY R.H. EVANS Assistant Attorney General KRHE/ec