Sec. K-1. Merger. The Department of Human Services and the Department of Behavioral and Developmental Services shall merge into a single department to perform the duties of both departments. The departments shall commence merger activities immediately. The departments shall cooperate with any other entities of State Government involved in accomplishing this merger. The merger must:

1. Streamline services to clients;

2. Provide central points of contact for clients needing multiple services;

3. Coordinate use of contracts for service;

4. Maximize funding sources;

5. Minimize administrative overhead;

6. Eliminate duplication of services and administrative activities; and

7. Otherwise create efficiencies and cost-savings in the provision of services.

The departments shall participate in producing a plan to implement the merger, which must be submitted along with any necessary implementing legislation to the Second Regular Session of the 121st Legislature by January 1, 2004.

PART L

Sec. L-1. 12 MRSA §7017, sub-§1-A is enacted to read:

1-A.__Inflation adjustment.__Beginning in fiscal year 2004- 05, and every biennium thereafter, the commissioner may adjust any or all fees for licenses and permits and other fees collected by the department pursuant to this Part to maintain parity with the Consumer Price Index as defined in Title 36, section 5402, subsection 1.__The adjustment must equal the percentage change in the annual average Consumer Price Index over the 2 most recent calendar years.__The adjustment must then be rounded to yield a fee change to the closest 50¢.

Sec. L-2. 12 MRSA §7017, sub-§9, as enacted by PL 2001, c. 690, Pt. A, §1, is amended to read: