SECTION 1. Section l  of Chapter 268A of the Massachusetts General Laws is hereby amended by striking out subsection (n) and replacing it with the following thereof:

(n) "Special municipal employee", a municipal employee who is not a mayor, a member of the board of aldermen, a member of the city council, or a selectman in a town with a population in excess of ten thousand persons and whose position has not been expressly classified by the city council, or board of aldermen if there is no city council, or board of selectmen, as any category other than special employee under the terms and provisions of this chapter; provided, however, that a selectman in a town with a population of ten thousand or fewer persons shall be a special municipal employee without being expressly so classified. All employees who hold equivalent offices, positions, employment or membership in the same municipal agency shall have the same classification; provided, however, no municipal employee shall be classified as a "special municipal employee" unless he occupies a position for which no compensation is provided or which, by its classification in the municipal agency involved or by the terms of the contract or conditions of employment, permits personal or private employment during normal working hours, or unless he in fact does not earn compensation as a municipal employee for an aggregate of more than eight hundred hours during the preceding three hundred and sixty-five days. For this purpose compensation by the day shall be considered as equivalent to compensation for seven hours per day. A special municipal employee shall be in such status on days for which he is not compensated as well as on days on which he earns compensation. All employees of any city or town wherein no such classification has been made shall be deemed to be "municipal employees" and shall be subject to all the provisions of this chapter with respect thereto without exception.

SECTION 2. Section 11  of Chapter 268A of the Massachusetts General Laws is hereby amended by adding after subsection (c), the following subsection:

(d) Classification of Special Municipal Employee: For the purposes of this chapter, a special municipal employee shall be automatically designated to individuals who meet the qualifications outlined in (n). The classification of special municipal employee shall be automatically conferred upon qualifying individuals upon the fulfillment of the requirements outlined in (n)

SECTION 3. Effective Date: This bill shall take effect on January 1st of the year following its passage.