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S1363aaH....................................by COMMERCE AND HUMAN RESOURCES STATE EMPLOYEE COMPENSATION PLAN - Repeals, amends and adds to existing law to increase the maximum award that may be granted to certain nonclassified officers and employees for meritorious service and for suggestions resulting in taxpayer savings; to provide exceptions to the maximum award; to require reporting of all awards granted in the preceding fiscal year and reporting of changes made pursuant to an employee's suggestion and resulting savings; to provide for recruitment and retention awards and to require reporting of such awards; to provide for other pay to certain nonclassified officers and employees and to require reporting; to provide criteria for reimbursement of moving expenses and to require reporting; to provide that the State Controller's Office is responsible for the establishment and maintenance of specific pay codes; to clarify compensatory time for classified and nonclassified employees who are designated as executive; to provide an exception to the limitation on use of appropriations made for expenses other than personnel costs; to provide for limitations on the amount of legislative appropriations for personnel costs which can be transferred to other object codes; to expand the definition of "holiday" to distinguish nonexecutive employees from employees classified as executive exempt; to clarify the rulemaking authority of the Division of Human Resources regarding rules for disciplinary dismissal, demotion, suspension or other discipline for cause and for shift differential pay; to provide a state employee compensation philosophy; to establish the Idaho compensation plan; to provide for specified annual surveys, reports and recommendations; to provide other pay delivery options; to provide state overtime policy; to clarify provisions relating to cash compensation and compensatory time; to clarify computation of vacation time for classified officers and employees; and to redefine "severance pay." 02/08 Senate intro - 1st rdg - to printing 02/09 Rpt prt - to Com/HuRes 02/15 Rpt out - rec d/p - to 2nd rdg 02/16 2nd rdg - to 3rd rdg 02/22 3rd rdg - PASSED - 34-0-1 AYES -- Andreason, Brandt(Harper), Broadsword, Bunderson, Burkett, Burtenshaw, Cameron, Coiner, Compton, Corder, Darrington, Davis, Fulcher, Gannon, Geddes, Goedde, Hill, Jorgenson, Kelly, Langhorst, Little, Lodge, Malepeai, Marley, McGee, McKenzie, Pearce, Richardson, Schroeder, Stegner, Stennett, Sweet, Werk, Williams NAYS -- None Absent and excused -- Keough Floor Sponsors - Andreason, Stegner, McGee & Kelly Title apvd - to House 02/23 House intro - 1st rdg - to Com/HuRes 03/10 Rpt out - to Gen Ord 03/13 Rpt out amen - to 1st rdg as amen 03/14 1st rdg - to 2nd rdg as amen 03/15 2nd rdg - to 3rd rdg as amen 03/22 3rd rdg as amen - PASSED - 69-1-0 AYES -- Anderson, Andrus, Barraclough, Bastian, Bayer, Bedke, Bell, Bilbao, Black, Block, Boe, Bolz, Brackett, Bradford, Cannon, Chadderdon, Clark, Collins, Crow, Deal, Denney, Edmunson, Ellsworth, Eskridge, Field(18), Field(23), Garrett, Hart, Harwood, Henbest, Henderson, Jaquet, Kemp, Lake, LeFavour, Loertscher, Martinez, Mathews, McGeachin, McKague, Miller, Mitchell, Moyle, Nielsen, Nonini, Pasley-Stuart, Pence, Raybould, Ring, Ringo, Roberts, Rusche, Rydalch, Sali, Sayler, Schaefer, Shepherd(2), Shepherd(8), Shirley, Skippen, Smith(30), Smith(24), Smylie, Snodgrass, Stevenson, Trail, Wills, Wood, Mr. Speaker NAYS -- Barrett Absent and excused -- None Floor Sponsors - Schaefer, Roberts & Garrett Title apvd - to Senate 03/24 Senate concurred in House amens - to engros 03/27 Rpt engros - 1st rdg - to 2nd rdg as amen 03/28 2nd rdg - to 3rd rdg as amen 03/29 3rd rdg as amen - PASSED - 35-0-0 AYES -- Andreason, Brandt, Broadsword, Bunderson, Burkett(Clark), Burtenshaw, Cameron, Coiner, Compton, Corder, Darrington, Davis, Fulcher, Gannon, Geddes, Goedde, Hill, Jorgenson, Kelly, Keough, Langhorst, Little, Lodge, Malepeai, Marley, McGee, McKenzie, Pearce, Richardson, Schroeder, Stegner, Stennett, Sweet, Werk, Williams NAYS -- None Absent and excused -- None Floor Sponsors - Andreason, McGee & Kelly Title apvd - to enrol 03/30 Rpt enrol - Pres signed 03/31 Sp signed 04/03 To Governor 04/07 Governor signed Session Law Chapter 380 Effective: 07/01/06
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-eighth Legislature Second Regular Session - 2006IN THE SENATE SENATE BILL NO. 1363 BY COMMERCE AND HUMAN RESOURCES COMMITTEE 1 AN ACT 2 RELATING TO THE STATE PERSONNEL SYSTEM AND NONCLASSIFIED STATE OFFICERS AND 3 EMPLOYEES; AMENDING SECTION 33-2101A, IDAHO CODE, TO DELETE A CODE REFER- 4 ENCE; AMENDING SECTION 33-2109A, IDAHO CODE, TO PROVIDE CORRECT CODE REF- 5 ERENCES AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 59-1603, IDAHO 6 CODE, TO DELETE A CODE REFERENCE, TO PROVIDE CORRECT TERMINOLOGY, TO 7 INCREASE THE MAXIMUM AWARD THAT MAY BE GRANTED TO CERTAIN NONCLASSIFIED 8 OFFICERS AND EMPLOYEES FOR MERITORIOUS SERVICE AND FOR SUGGESTIONS RESULT- 9 ING IN TAXPAYER SAVINGS, TO PROVIDE EXCEPTIONS TO THE MAXIMUM AWARD UNDER 10 EXTRAORDINARY CIRCUMSTANCES, TO REQUIRE REPORTING OF ALL AWARDS GRANTED IN 11 THE PRECEDING FISCAL YEAR AND REPORTING OF CHANGES MADE PURSUANT TO AN 12 EMPLOYEE'S SUGGESTION AND RESULTING SAVINGS, TO PROVIDE FOR RECRUITMENT 13 AND RETENTION AWARDS TO CERTAIN NONCLASSIFIED OFFICERS AND EMPLOYEES AND 14 TO REQUIRE REPORTING OF SUCH AWARDS GRANTED IN THE PRECEDING FISCAL YEAR, 15 TO PROVIDE FOR OTHER PAY TO CERTAIN NONCLASSIFIED OFFICERS AND EMPLOYEES 16 AND TO REQUIRE REPORTING OF SUCH AWARDS GRANTED IN THE PRECEDING FISCAL 17 YEAR, TO PROVIDE FOR NONMERIT PAY AND TO REQUIRE REPORTING OF SUCH AWARDS 18 GRANTED IN THE PRECEDING FISCAL YEAR, TO PROVIDE CRITERIA FOR REIMBURSE- 19 MENT OF MOVING EXPENSES, TO REQUIRE REPORTING OF ALL MOVING REIMBURSEMENTS 20 GRANTED IN THE PRECEDING FISCAL YEAR AND TO PROVIDE THAT THE STATE 21 CONTROLLER'S OFFICE IS RESPONSIBLE FOR THE ESTABLISHMENT AND MAINTENANCE 22 OF SPECIFIC PAY CODES; AMENDING SECTION 59-1606, IDAHO CODE, TO DELETE AN 23 INCORRECT CODE REFERENCE; AMENDING SECTION 59-1607, IDAHO CODE, TO PROVIDE 24 PROPER TERMINOLOGY AND TO CLARIFY COMPENSATORY TIME FOR CLASSIFIED AND 25 NONCLASSIFIED EMPLOYEES WHO ARE DESIGNATED AS EXECUTIVE; AMENDING SECTION 26 67-3511, IDAHO CODE, TO PROVIDE AN EXCEPTION TO THE LIMITATION ON USE OF 27 APPROPRIATIONS MADE FOR EXPENSES OTHER THAN PERSONNEL COSTS, TO PROVIDE 28 FOR LIMITATIONS ON THE AMOUNT OF LEGISLATIVE APPROPRIATIONS FOR PERSONNEL 29 COSTS WHICH CAN BE TRANSFERRED TO OTHER OBJECT CODES AND TO MAKE TECHNICAL 30 CORRECTIONS; AMENDING SECTION 67-5302, IDAHO CODE, TO PROVIDE CORRECT REF- 31 ERENCES, TO REFORMAT THE SECTION AND TO EXPAND THE DEFINITION OF "HOLIDAY" 32 TO DISTINGUISH NONEXECUTIVE EMPLOYEES FROM EMPLOYEES CLASSIFIED AS EXECU- 33 TIVE EXEMPT; AMENDING SECTION 67-5309, IDAHO CODE, TO CLARIFY RULEMAKING 34 AUTHORITY OF THE DIVISION OF HUMAN RESOURCES REGARDING RULES FOR DISCI- 35 PLINARY DISMISSAL, DEMOTION, SUSPENSION OR OTHER DISCIPLINE FOR CAUSE AND 36 FOR SHIFT DIFFERENTIAL PAY AND TO SPECIFY ADDITIONAL RULEMAKING AUTHORITY; 37 REPEALING SECTION 67-5309A, IDAHO CODE, RELATING TO PERSONNEL BENEFITS; 38 AMENDING CHAPTER 53, TITLE 67, IDAHO CODE, BY THE ADDITION OF A NEW SEC- 39 TION 67-5309A, IDAHO CODE, TO PROVIDE A STATE EMPLOYEE COMPENSATION PHI- 40 LOSOPHY; REPEALING SECTION 67-5309B, IDAHO CODE, RELATING TO ESTABLISHING 41 SALARIES; AMENDING CHAPTER 53, TITLE 67, IDAHO CODE, BY THE ADDITION OF A 42 NEW SECTION 67-5309B, IDAHO CODE, TO ESTABLISH THE IDAHO COMPENSATION 43 PLAN; REPEALING SECTION 67-5309C, IDAHO CODE, RELATING TO PAY GRADES AND 44 MERIT INCREASES; AMENDING CHAPTER 53, TITLE 67, IDAHO CODE, BY THE ADDI- 45 TION OF A NEW SECTION 67-5309C, IDAHO CODE, TO PROVIDE FOR SPECIFIED 46 ANNUAL SURVEYS, REPORTS AND RECOMMENDATIONS; AMENDING CHAPTER 53, TITLE 2 1 67, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 67-5309D, IDAHO CODE, TO 2 PROVIDE OTHER PAY DELIVERY OPTIONS; REPEALING SECTION 67-5326, IDAHO CODE, 3 RELATING TO OVERTIME AND HOURS OF WORK; AMENDING SECTIONS 67-5328, 4 67-5329, 67-5330 AND 67-5331, IDAHO CODE, TO PROVIDE STATE OVERTIME POL- 5 ICY, TO CLARIFY PROVISIONS RELATING TO CASH COMPENSATION AND COMPENSATORY 6 TIME, TO REFORMAT SECTION 67-5328, IDAHO CODE, TO REDESIGNATE SECTIONS 7 67-5329, 67-5330 AND 67-5331, IDAHO CODE, TO PROVIDE CORRECT TERMINOLOGY 8 AND TO PROVIDE CORRECT CODE REFERENCES; AMENDING SECTIONS 67-5333 AND 9 67-5339, IDAHO CODE, TO REFORMAT SECTION 67-5333, IDAHO CODE, TO REDESIG- 10 NATE SECTION 67-5339, IDAHO CODE, AND TO PROVIDE CORRECT CODE REFERENCES; 11 AMENDING SECTIONS 67-5334, 67-5335 AND 67-5337, IDAHO CODE, TO CLARIFY 12 COMPUTATION OF VACATION TIME FOR CLASSIFIED OFFICERS AND EMPLOYEES ACCORD- 13 ING TO THEIR DEFINITIONS UNDER THE FEDERAL FAIR LABOR STANDARDS ACT, TO 14 MAKE TECHNICAL CORRECTIONS, TO REFORMAT SECTION 67-5334, IDAHO CODE, AND 15 TO REDESIGNATE SECTIONS 67-5335 AND 67-5337, IDAHO CODE; AMENDING CHAPTER 16 53, TITLE 67, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 67-5337, IDAHO 17 CODE, TO PROVIDE FOR MOVING EXPENSE REIMBURSEMENT; AMENDING SECTION 18 67-5342, IDAHO CODE, TO REDEFINE "SEVERANCE PAY"; AND DECLARING AN EMER- 19 GENCY. 20 Be It Enacted by the Legislature of the State of Idaho: 21 SECTION 1. That Section 33-2101A, Idaho Code, be, and the same is hereby 22 amended to read as follows: 23 33-2101A. JUNIOR COLLEGE SHALL MEAN COMMUNITY COLLEGE. Notwithstanding 24 any other provision of law, in sections 21-805, 21-806, 21-809, 23-404, 25 31-808, 33-101, 33-107, 33-107B, 33-601, 33-1252, 33-2101, 33-2102, 33-2103, 26 33-2104, 33-2105, 33-2106, 33-2107, 33-2107A, 33-2107B, 33-2107C, 33-2108, 27 33-2109A, 33-2110, 33-2110A, 33-2110B, 33-2111, 33-2112, 33-2113, 33-2114, 28 33-2115, 33-2116, 33-2117, 33-2118, 33-2119, 33-2121, 33-2122, 33-2123, 29 33-2124, 33-2125, 33-2126, 33-2130, 33-2135, 33-2137, 33-2138, 33-2139, 30 33-2141, 33-2142, 33-2143, 33-2144, 33-2211, 33-3716, 33-3717, 33-4001, 31 33-4003, 33-4004, 33-4006, 33-4201, 33-4306, 33-4315, 46-314, 50-1721, 32 57-1105A, 59-1324, 59-1371, 59-1374, 67-2320, 67-2322, 67-5309Cand 67-5332, 33 Idaho Code, the term "junior college" shall mean and shall be denoted as 34 "community college." 35 SECTION 2. That Section 33-2109A, Idaho Code, be, and the same is hereby 36 amended to read as follows: 37 33-2109A. USE OF UNUSED SICK LEAVE. Upon separation from employment with 38 thejuniorcommunity college district by retirement, in accordance with chap- 39 ter 13, title 59, Idaho Code, or with chapter 1, title 33, Idaho Code, an 40 employee shall be accorded credit for unused sick leave as provided in section 41 67-53393, Idaho Code. Eachjuniorcommunity college district shall contribute 42 to the sick leave account for the purposes of this section, as provided in 43 subsection (32)(c) of section 67-53393, Idaho Code. 44 SECTION 3. That Section 59-1603, Idaho Code, be, and the same is hereby 45 amended to read as follows: 46 59-1603. CONFORMITY WITH CLASSIFIED POSITIONS. (1) To the extent possi- 47 ble, each nonclassified position in the executive department will be paid a 48 salary or wage comparable to classified positions with similar duties, respon- 3 1 sibilities, training, experience and other qualifications. Temporary employees 2 and agricultural inspectors referred to in subsections (n) and (p) of section 3 67-5303, Idaho Code, shall not be entitled to sick leave accruals provided in 4 section 59-1605, Idaho Code, vacation leave provided in section 59-1606, Idaho 5 Code, nor holiday pay defined in subsection (15) of section 67-5302, Idaho 6 Code, unless contributions are being made to the public employee retirement 7 system in accordance with chapter 13, title 59, Idaho Code, and rules promul- 8 gated by the retirement board. Vacation and sick leave accruals, but not holi- 9 day pay, shall be awarded retroactively, if necessary, to the date such 10 employees become eligible for retirement system membership. 11 (2) To the extent possible, each nonclassified position in the legisla- 12 tive department will be paid a salary or wage comparable to classified posi- 13 tions with similar duties, responsibilities, training, experience and other 14 qualifications. 15 (3) The supreme court shall determine the schedules of salary and compen- 16 sation for all officers and employees of the judicial department which are not 17 otherwise fixed by law. To the extent possible, the supreme court shall adopt 18 schedules which are compatible with the state's accounting system. The judi- 19 cial department may also maintain personnel records and files under such sys- 20 tem as is ordered by the supreme court. 21 (4) The state board of education shall determine the schedules of salary 22 and compensation, and prescribe policies for overtime and compensatory time 23 off from duty, for all officers and employees of the state board of education 24 who are not subject to the provisions of chapter 53, title 67, Idaho Code, and 25 which are not otherwise fixed by law. To the extent possible, the state board 26 of education shall adopt schedules and policies which are compatible with the 27 state's accounting system. The state board of education may also maintain per- 28 sonnel records and files under a system of its own, if approved by the state 29 controller. 30 (5) Members of the legislature, the lieutenant governor, other officers 31 whose salaries are fixed by law, and members of part-time boards, commissions 32 and committees shall be paid according to law. 33 (6) Any schedule of salary and compensation, if not the schedule pre-34scribed by section 67-5309C(a), Idaho Code,must be approved by the appointing 35 authority and be communicated to the state controller in writing at least 36 thirty (30) days in advance of the effective date of the schedule. 37 (7) In addition to salary increases provided by any compensation schedule 38 adopted pursuant to paragraph (6) of this section, nonclassified officers and 39 employees, except those who are elected officials or whose salaries are fixed 40 by law, may be granteda lump sum bonusan award not to exceedonefive thou- 41 sand dollars ($15,000) in any given fiscal year based upon an affirmative 42 certification of meritorious service. Exceptions to theonefive thousand dol- 43 lar ($15,000) limit provided in this section may be granted under extraordi- 44 nary circumstances if approved in advance by thestate board of examiners45 appointing authority. Appointing authorities shall submit a report to the 46 division of financial management and the legislative services office by Octo- 47 ber 1 on all awards granted in the preceding fiscal year. 48 (8) In addition to salary increases provided by any compensation sched- 49 ule, nonclassified officers and employees holding permanent status, except 50 those who are elected officials or whose salaries are fixed by law, may be 51 granted anlump sum bonusaward not to exceedonefive thousand dollars 52 ($15,000) in any given fiscal year based upon suggestions or recommendations 53 made by the employee which resulted in taxpayer savings as a result of cost 54 savings or greater efficiencies to the department, office or institution or to 55 the state of Idaho in excess of the amount of thebonusaward. Exceptions to 4 1 theonefive thousand dollar ($15,000) limit provided in this subsection may 2 be granted in extraordinary circumstances if approved in advance by thestate3board of examinersappointing authority. The appointing authority shall as 4 near as practicable utilize the criteria in conformance with rules promulgated 5 by the division of human resources pursuant to section 67-5309D, Idaho Code. 6 Appointing authorities shall submit a report to the division of financial man- 7 agement and the legislative services office by October 1 on all employee sug- 8 gestion awards granted in the preceding fiscal year. Such report shall include 9 any changes made as a direct result of an employee's suggestion and savings 10 resulting therefrom. 11 (9) Each appointing authority, including the elective offices in the 12 executive department, the legislative department, the judicial department, and 13 the state board of education and the board of regents, shall comply with all 14 reporting requirements necessary to produce the list of employee positions 15 prescribed by section 67-3519, Idaho Code. 16 (10) The adjutant general, with the approval of the governor, shall pre- 17 scribe personnel policies for all officers and employees of the national guard 18 which are not otherwise fixed by law. Such policies will include an employee 19 grievance procedure with appeal to the adjutant general. The adjutant general 20 shall determine schedules of salary and compensation which are, to the extent 21 possible, comparable to the schedules used for federal civil service employees 22 of the national guard and those employees serving in military status. Sched- 23 ules adopted shall be compatible with the state's accounting system to the 24 extent possible. 25 (11) In addition to salary increases provided by any compensation sched- 26 ule, nonclassified officers and employees, except those who are elected offi- 27 cials or whose salaries are fixed by law, may be granted award pay for 28 recruitment or retention purposes based upon affirmative certification of mer- 29 itorious service after completion of at least six (6) months of service. 30 Appointing authorities shall submit a report to the division of financial man- 31 agement and the legislative services office by October 1 on all such awards 32 granted in the preceding fiscal year. 33 (12) In addition to salary increases provided by any compensation sched- 34 ule, nonclassified officers and employees, except those who are elected offi- 35 cials or whose salaries are fixed by law, may be granted other pay as provided 36 in this subsection. Appointing authorities shall submit a report to the divi- 37 sion of financial management and the legislative services office by October 1 38 on all such awards granted in the preceding fiscal year. 39 (a) Shift differential pay up to twenty-five percent (25%) of hourly 40 rates depending on local market rates in order to attract and retain qual- 41 ified staff. 42 (b) Geographic differential pay in areas of the state where recruitment 43 and retention are difficult due to economic conditions and cost of living. 44 (13) In unusual circumstances, when a distribution has been approved for 45 classified employees pursuant to section 67-5309D, Idaho Code, each appointing 46 authority, including the elective offices in the executive branch, the legis- 47 lative branch, the judicial branch, and the state board of education and the 48 board of regents of the university of Idaho, may grant nonclassified employees 49 nonmerit pay in the same proportion as received by classified employees in 50 that department or institution. Appointing authorities shall submit a report 51 to the division of financial management and the legislative services office by 52 October 1 on all such awards granted in the preceding fiscal year. 53 (14) Each appointing authority, shall as nearly as practicable, utilize 54 the criteria for reimbursement of moving expenses in conformance with section 55 67-5337, Idaho Code, and rules promulgated by the division of human resources 5 1 pursuant thereto. Appointing authorities shall submit a report to the division 2 of financial management and the legislative services office by October 1 on 3 all moving reimbursements granted in the preceding fiscal year. 4 (15) Specific pay codes shall be established and maintained in the state 5 controller's office to ensure accurate reporting and monitoring of all pay 6 actions authorized in this section. 7 SECTION 4. That Section 59-1606, Idaho Code, be, and the same is hereby 8 amended to read as follows: 9 59-1606. VACATION TIME. (1) Eligible nonclassified officers and employees 10 in the executive department and in the legislative department shall accrue 11 vacation leave and take vacation leave at the same rate and under the same 12 conditions as is provided in sections67-5334,and 67-5335,Idaho Code, for 13 classified officers and employees. 14 (a) The state board of examiners shall adopt comparative tables and 15 charts to compute vacation time on daily, weekly, bi-weekly, calendar 16 month and annual periods. 17 (2) Eligible nonclassified officers and employees in the judicial depart- 18 ment shall accrue vacation leave as determined by order of the supreme court. 19 Leave policies established by the supreme court must be communicated to 20 the state controller in writing at least one hundred eighty (180) days in 21 advance of the effective date of the policies. 22 (3) The state board of education shall determine the vacation leave poli- 23 cies for all officers and employees of the state board of education who are 24 not subject to the provisions of chapter 53, title 67, Idaho Code. To the 25 extent possible, the state board of education shall adopt policies which are 26 compatible with the state's accounting system. 27 Any policy and procedures determined by the state board of education must 28 be communicated to the state controller in writing at least one hundred eighty 29 (180) days in advance of the effective date of the policy and procedures. 30 SECTION 5. That Section 59-1607, Idaho Code, be, and the same is hereby 31 amended to read as follows: 32 59-1607. HOURS OF WORK -- OVERTIME. (1) It is the policy of the legisla- 33 ture of the state of Idaho that all classified and nonclassified officers and 34 employees of state government shall be treatedequallysubstantially similar 35 with reference to hours of employment, holidays and vacation leave, except as 36 provided in this chapter. The policy of this state shall not restrict the 37 extension of regular work hour schedules on an overtime basis, which shall be 38 the same for classified and nonclassified employees, in those activities and 39 duties where such extension is necessary and authorized by the appointing 40 authority. 41 (2) The appointing authority of any department shall determine the neces- 42 sity for overtime work and shall provide for cash compensation or compensatory 43 time off for such overtime work for eligible classified and nonclassified 44 officers and employees. 45 (3) Classified and nonclassified officers and employees who fall within 46 one (1) or more of the following categories are ineligible for cash compensa- 47 tion or compensatory time for overtime work: 48 (a) Elected officials; or 49 (b) Those included in the definition of section 67-5303(j), Idaho Code. 50 (4) Classified and nonclassified employees who are designated as execu- 51 tive, as provided insection 67-5302, Idaho Code, who are designated as exempt6 1under any other complete exemption inthe federallawfair labor standards 2 act, and who are not included in the definition of subsection (3) of this sec- 3 tion, shall be ineligible for compensatory time or cash compensation for over- 4 time work, but such classified and nonclassified employees shall be allowed5compensatory time off from duty for overtime work. Such compensatory time6shall be earned and allowed on a one (1) hour for one (1) hour basis not to7exceed two hundred forty (240) hours. Accrued compensatory time off earned8under this section shall not be transferable, and shall be forfeited at the9time of transfer to another appointing authority or upon separation from state10service. Unused compensatory time balances in excess of two hundred forty 11 (240) hours as of the date of enactment of this act shall be forfeited on 12 December 31, 2008. Unused compensatory time balances of two hundred forty 13 (240) hours or less shall be forfeited on December 31, 2006. 14 (5) Classified and nonclassified officers and employees who are desig- 15 nated as administrative or professional as provided insection 67-5302, Idaho16Code, or who are designated as exempt under any other complete exemption in17 the federallawfair labor standards act, and who are not included in the def- 18 inition of subsection (3) of this section, shall be ineligible for cash com- 19 pensation for overtime work unless cash payment is authorized by the state 20 board of examiners for overtime accumulated during unusual or emergency situa- 21 tions, but such classified and nonclassified officers and employees shall be 22 allowed compensatory time off from duty for overtime work. Such compensatory 23 time shall be earned and allowed on a one (1) hour for one (1) hour basis, 24 shall not be transferable, and shall be forfeited at the time of transfer to 25 another appointing authority or upon separation from state service. 26 (6) Classified and nonclassified officers and employees who are not des- 27 ignated as executive, administrative or professional as provided insection2867-5302, Idaho Code, who are not designated as exempt under any other complete29exemption inthe federallawfair labor standards act, and who are not 30 included in the definition of subsection (3) of this section, shall be eligi- 31 ble for cash compensation or compensatory time off from duty for overtime 32 work, subject to the restrictions of applicable federal law. Compensatory time 33 off may be provided in lieu of cash compensation at the discretion of the 34 appointing authority after consultation, in advance, with the employee. Com- 35 pensatory time off shall be paid at the rate of one and one-half (1 1/2) hours 36 for each overtime hour worked. Compensatory time off which has been earned 37 during any one-half (1/2) fiscal year but not taken by the end of the succeed- 38 ing one-half (1/2) fiscal year, shall be paid in cash on the first payroll 39 following the close of such succeeding one-half (1/2) fiscal year. Compensa- 40 tory time not taken at the time of transfer to another appointing authority or 41 upon separation from state service shall be liquidated at the time of such 42 transfer or separation by payment in cash. 43 SECTION 6. That Section 67-3511, Idaho Code, be, and the same is hereby 44 amended to read as follows: 45 67-3511. TRANSFER OF LEGISLATIVE APPROPRIATIONS. (1) No appropriations 46 made by the Idaho legislature may be transferred from one object code to 47 another except with the consent of the state board of examiners upon applica- 48 tion duly made by the head of any department, office or institution of the 49 state (including the elected officers in the executive department and the 50 state board of education). No appropriation made for expenses other than per- 51 sonnel costs shall be expended for personnel costs of the particular depart- 52 ment, office or institution for which it is appropriated, provided however, 53 that employee suggestion awards made pursuant to sections 59-1603 and 7 1 67-5309D, Idaho Code, may be made from the object code in which the savings 2 were realized. 3 (2) Legislative appropriations may be transferred from one program to 4 another within an agency upon application duly made by the head of any depart- 5 ment, office or institution of the state and approval of the application by 6 the administrator of the division of financial management and the board of 7 examiners provided the requested transfer is not more than tenper centper- 8 cent (10%) cumulative change from the appropriated amount for any program 9 affected by the transfer. Requests for transfers above tenper centpercent 10 (10%) cumulative change must, in addition to the above, be approved by legis- 11 lative appropriation. Legislative appropriations shall not be transferred from 12 one fund to another fund unless expressly approved by the legislature. 13 (3) All moneys appropriated to any agency of the state of Idaho for the 14 purpose of capital outlay shall be used for that purpose and not for any other 15 purpose. 16 (4) The joint finance-appropriations committee may limit the amount of 17 legislative appropriations for personnel costs which can be transferred to 18 other object codes. 19 SECTION 7. That Section 67-5302, Idaho Code, be, and the same is hereby 20 amended to read as follows: 21 67-5302. DEFINITIONS. As used in this chapter, and other applicable sec- 22 tions of the Idaho Code, each of the terms defined in this section shall have 23 the meaning given in this section unless a different meaning is clearly 24 required by the context. Such terms and their definitions are: 25 (1) "Administrative employee" means any person, nonclassified or classi- 26 fied appointed to a position which meets the following criteria: 271.(a) (ai) Responsible office or nonmanual work directly related to the 28 management policies of a department or section; or 29 (bii) Responsible work that is directly related to academic instruc- 30 tion or training carried on in the administration of a school system 31 or educational establishment; and 322.(b) The employee must customarily and regularly exercise discretion and 33 independent judgment, as distinguished from using skills and following 34 procedures. The employee must have the authority to make important deci- 35 sions; and 363.(c) The employee must: 37 (ai) Regularly assist a bona fide executive or administrative 38 employee; or 39 (bii) Perform work under general supervision along specialized or 40 technical lines requiring special training, experience or knowledge; 41 or 42 (ciii) Execute under only general supervision special assignments; 43 and 444.(d) The employee is classified to a position allocated to the pay grade 45 equivalent to two hundred sixty (260) points or higher pursuant to the 46 rating system established bysection 67-5309C, Idaho Coderule. 475.(e) Final designation of a classified position as "administrative" 48 within this definition shall be made by the administrator of the division 49 of human resources. 50 (2) "Administrator" means the administrator of the division of human 51 resources in the governor's office. 52 (3) "Appointing authority" means the officer, board, commission, person 53 or group of persons authorized by statute or lawfully delegated authority to 8 1 make appointments to or employ personnel in any department. 2 (4) "Class" means a group of positions sufficiently similar as to the 3 duties performed, degree of supervision exercised or required, minimum 4 requirements of training, experience or skill, and other characteristics, that 5 the same title, the same tests of fitness and the same schedule of compensa- 6 tion may be applied to each position in the group. 7 (5) "Classified officer or employee" means any person appointed to or 8 holding a position in any department of the state of Idaho which position is 9 subject to the provisions of the merit examination, selection, retention, 10 promotion and dismissal requirements of chapter 53, title 67, Idaho Code. 11 (6) "Commission" means the Idaho personnel commission. 12 (7) "Compensatory time" means approved time off from duty provided in 13 compensation for overtime hours worked. 14 (8) "Department" means any department, agency, institution or office of 15 the state of Idaho. 16 (9) "Disabled veteran" means an individual who has served on military 17 duty in the armed forces of the United States during any period of war recog- 18 nized by the United States department of veterans affairs for the purposes of 19 awarding federal veterans benefits as may be defined in title 38, U.S. code, 20 chapter 1, section 101(11), or during any other conflict recognized by the 21 award of a campaign or service medal of the United States; and has been sepa- 22 rated therefrom under honorable conditions; and has established the present 23 existence of a service-connected disability; and is receiving compensation, 24 disability retirement benefits, or pension under a public statute as adminis- 25 tered by the department of veterans affairs or a military department. 26 (10) "Earned administrative leave" means hours which exceed the regularly 27 scheduled hours but do not result in overtime. These hours may accrue after 28 hours worked and hours on paid leave exceed forty (40) hours in one (1) work 29 week. 30 (11) "Eligible" means a person who has been determined to be qualified for 31 a classified position and whose name has been placed on the register of eligi- 32 bles. 33 (12) "Executive employee" means any person, nonclassified or classified, 34 appointed to a position equivalent to a bureau chief or above as provided in 35 section 67-2402, Idaho Code, or any employee meeting the following criteria: 361.(a) An individual whose primary duty is management of a department, 37 division or section; and 382.(b) Who customarily and regularly directs the work of at least two (2) 39 or more other employees therein; and 403.(c) Who has the authority to hire and fire, or to recommend hiring and 41 firing; or whose recommendation on these and other actions affecting 42 employees is given particular weight; and 434.(d) Who customarily and regularly exercises discretionary powers; and 445.(e) Who is classified to a position allocated to the pay grade equiva- 45 lent to two hundred sixty (260) points or higher pursuant to the rating 46 system established bysection 67-5309C, Idaho Coderule. 476.(f) Final designation of a classified position as "executive" in this 48 definition shall be made by the administrator. 49 (13) "Exempt employee" means any employee, classified or nonclassified, 50 who is determined to be an executive, professional or administrative employee 51 as defined herein, or who qualifies for any other exemption from cash compen- 52 sation for overtime under applicable federal law. Final designation of a clas- 53 sified position as exempt shall be made by the administrator. 54 (14) "Full-time employee" means any employee working a forty (40) hour 55 work week. 9 1 (15) "Holiday" means the following: 2 January 1 (New Year's Day); 3 Third Monday in January (Martin Luther King, Jr.-Idaho Human Rights 4 Day); 5 Third Monday in February (Washington's Birthday); 6 Last Monday in May (Memorial Day); 7 July 4 (Independence Day); 8 First Monday in September (Labor Day); 9 Second Monday in October (Columbus Day); 10 November 11 (Veterans Day); 11 Fourth Thursday in November (Thanksgiving); 12 December 25 (Christmas). 13 In addition, the term "holiday" shall mean any day so designated by the Presi- 14 dent of the United States or the governor of this state for a public fast, 15 thanksgiving or holiday. 16 In the event that a holiday occurs on a Saturday, the preceding Friday 17 shall be a holiday, and if the holiday falls on a Sunday, the following Monday 18 shall be a holiday. 19 A holiday is a day of exemption from work granted to nonexecutive employ- 20 ees during which said employees shall be compensated as if they actually 21 worked. Employees classified as executive exempt are entitled to ten (10) paid 22 holidays per year. If such an employee works on one (1) of the official holi- 23 days listed in this subsection, then such employee may take an alternative day 24 off but shall not receive additional compensation. 25 (16) "Hours worked" means those hours actually spent in the performance of 26 the employee's job on any day including holidays, and shall not include vaca- 27 tion or sick leave or other approved leave of absence. 28 (17) "Nonclassified employee" means any person appointed to or holding a 29 position in any department of the state of Idaho, which position is exempted 30 from the provisions of chapter 53, title 67, Idaho Code, as provided for in 31 section 67-5303, Idaho Code. 32 (18) "Normal work week" means any forty (40) hours worked during a partic- 33 ular one hundred sixty-eight (168) hour period as previously established by 34 the employee's appointing authority. 35 (19) "Open competitive examination" means an examination which may be 36 taken by qualified applicants to compete on an equal basis for listing on the 37 register of eligibles. 38 (20) "Overtime work" means time worked on holidays and time worked in 39 excess of forty (40) hours in a period of one hundred sixty-eight (168) con- 40 secutive hours, except that in the case of those employees engaged in law 41 enforcement, correctional and fire protection activities characterized by 42 irregular shift work schedules, time worked in excess of one hundred sixty 43 (160) hours in a period of twenty-eight (28) consecutive days shall constitute 44 overtime work within the meaning of this chapter. 45 (21) "Participating department" means any department of the state of Idaho 46 which employs persons in classified positions subject to the merit examina- 47 tion, selection, retention, promotion and dismissal requirements of this chap- 48 ter. 49 (22) "Part-time employee" means any employee whose usually scheduled work 50 is less than forty (40) hours in a period of one hundred sixty-eight (168) 51 consecutive hours. 52 (23) "Personnel system" means the procedure for administering employees in 53 accordance with this chapter. 54 (24) "Political office" means a public office for which partisan politics 55 is a basis for nomination, election or appointment. 10 1 (25) "Political organization" means a party which sponsors candidates for 2 election to political office. 3 (26) "Position" means a group of duties and responsibilities legally 4 assigned or delegated by one (1) or more appointing authorities and requiring 5 the employment of one (1) person. 6 (27) "Professional employee" means any person, nonclassified or classi- 7 fied, appointed to a position which meets the following criteria: 81.(a) The employee's primary duty must be either: 9 (ai) Work requiring knowledge of an advanced type in a field of 10 science or learning, customarily obtained by a prolonged course of 11 specialized instruction and study; or 12 (bii) Work that is original and creative in character in a recog- 13 nized field of artistic endeavor and the result of which depends pri- 14 marily on his invention, imagination, or talent; or 15 (ciii) Work as a teacher certified or recognized as such in a school 16 system or educational institution by which he is employed; and 172.(b) The employee must consistently exercise discretion and judgment; 18 and 193.(c) The employee must do work that is predominantly intellectual and 20 varied, as distinguished from routine or mechanical duties; and 214.(d) The employee is classified to a position allocated to the pay grade 22 equivalent to two hundred sixty (260) points or higher pursuant to the 23 rating system establishedin section 67-5309C, Idaho Codeby rule. 245.(e) Final designation of a classified position as "professional" within 25 this definition shall be made by the administrator. 26 (28) "Provisional appointment" means appointment to a classified position 27 pending the establishment of a register for such position and employment shall 28 not be continued in this status longer than thirty (30) days after establish- 29 ment of a register. 30 (29) "Qualifying examination" means an examination or evaluation given to 31 a selected person to determine eligibility for reclassification or appointment 32 to a position in a classification. 33 (30) "Register" means a list of names of persons who have been determined 34 to be eligible for employment in a classified position as determined on the 35 basis of examination and merit factors as established by the administrator. 36 (31) "Seasonal appointment" means an appointment to a position which is 37 permanent in nature, but which has intermittent work periods throughout the 38 year. 39 (32) "Service rating" means a recorded evaluation of work performance and 40 promotional potential of an employee by his supervisor. 41 (33) "Temporary appointment" means appointment to a position which is not 42 permanent in nature, and in which employment will not exceed one thousand 43 three hundred eighty-five (1,385) hours during any twelve (12) month period. 44 No person holding a temporary appointment may work in excess of one thousand 45 three hundred eighty-five (1,385) hours during a twelve (12) month period of 46 time for any one (1) department, except upon petition by the appointing 47 authority of the department of lands that demonstrates good cause, the admin- 48 istrator of the division of human resources may extend the one thousand three 49 hundred eighty-five (1,385) hour limit for employees of the department who are 50 required to perform fire suppression activities. 51 (34) "Vacation leave" means a period of exemption from work granted to 52 employees during which time said employees shall be compensated. The term 53 shall not include compensatory time for overtime work. 54 (35) "Veteran" means any person who has served in the active service of 55 the armed forces of the United States during any period of war recognized by 11 1 the United States department of veterans affairs for the purpose of awarding 2 federal veterans benefits as may be defined in title 38, U.S. code, chapter 1, 3 section 101(11), or during any other conflict recognized by the award of a 4 campaign or service medal of the United States, and who has been discharged 5 under other than dishonorable conditions. 6 SECTION 8. That Section 67-5309, Idaho Code, be, and the same is hereby 7 amended to read as follows: 8 67-5309. RULES OF THE DIVISION OF HUMAN RESOURCES AND THE PERSONNEL COM- 9 MISSION. The administrator of the division of human resources shall have the 10 power and authority to adopt, amend, or rescind such rules as may be necessary 11 for proper administration of this chapter. Such rules shall include: 12 (a) A rule requiring the administrator, after consulting with each 13 department to develop, adopt, and make effective, a job classification system 14 for positions covered by this chapter, based upon an analysis of the duties 15 and responsibilities of the positions. The job classification shall include an 16 appropriate title for each class, and a description of duties and responsibil- 17 ities of positions in the classes and the requirements of minimum training, 18 experience and other qualifications, suitable for the performance of duties of 19 the position. 20 (b) A rule describing the relevant labor markets and benchmark job clas- 21 sifications used in the administrator's salary surveys. 22 (c) A rule requiring that all classes of positions which are common to 23 the departments concerned shall have the same titles, minimum requirements and 24 compensation ranges. 25 (d) A rule providing for review by the administrator of the personnel 26 system including classifications and compensation policies and procedures. 27 (e) A rule that, notwithstanding the procedure for examination and rank- 28 ing of eligibles on a register provided in subsection (f) of this section, an 29 agency may appoint an individual directly into an entrance or promotional pro- 30 bation if the division of vocational rehabilitation, Idaho commission for the 31 blind and visually impaired or the industrial commission certifies, with the 32 concurrence of division of human resources staff, that the individual (1) has 33 a disability or handicap as defined under state or federal law; (2) is quali- 34 fied to perform the essential functions of a particular classified position 35 with or without reasonable accommodation; and (3) lacks competitiveness in the 36 examination process due to the disability or handicap. The probationary period 37 as provided in subsection (j) of this section shall be the sole examination 38 for such individuals. 39 (f) A rule requiring fair and impartial selection of appointees to all 40 positions other than those defined as nonclassified in this chapter, on the 41 basis of open competitive merit examinations or evaluations. An application 42 for an examination will be accepted after the closing date of the examination 43 from a person who was serving in the armed forces, or undergoing hospitaliza- 44 tion of no more than one (1) year following discharge, during any period in 45 which the examination was open; the application must be submitted within one 46 hundred twenty (120) days of separation from the armed forces or hospitaliza- 47 tion and prior to the expiration of the register established as a result of 48 the examination. A disabled veteran may file an application at any time for 49 any position for which the division maintains a register or for which a regis- 50 ter is about to be established, provided he or she has not already been exam- 51 ined twice for the same position and grade for which application is made, does 52 not have current eligibility on that register, or is not serving in a compet- 53 itive position in the same grade for which application is made. Examinations 12 1 may be assembled or unassembled and may include various examining techniques 2 such as rating of training and experience, written tests, oral interviews, 3 recognition of professional licensing, performance tests, investigations and 4 any other measure of ability to perform the duties of the position. Examina- 5 tions shall be scored objectively. Five (5) points shall be added to the 6 earned rating of any war veteran as defined in section 65-506, Idaho Code, and 7 the widow or widower of any war veteran as defined in section 65-506, Idaho 8 Code, as long as he or she remains unmarried. Pursuant to section 65-506, 9 Idaho Code, ten (10) points shall be added to the earned rating of any dis- 10 abled veteran, the widow or widower of any disabled veteran as long as he or 11 she remains unmarried or the spouse of any disabled veteran who is physically 12 unable to perform the work in the position to which the spouse seeks to apply 13 the preference. Employment registers shall be established in order of final 14 score except that the names of all five (5) point preference eligibles result- 15 ing from any merit system or civil service examination shall be placed on the 16 register in accordance with their augmented rating, and the names of all ten 17 (10) point preference eligibles shall be placed at the top of the register 18 above the names of all nonpreference eligibles. Certification of eligibility 19 for appointment to vacancies shall be in accordance with a formula which lim- 20 its selection by the hiring department from among the ten (10) top ranking 21 available eligibles plus the names of all individuals with scores identical to 22 the tenth ranking eligible on the register. A register with at least five (5) 23 eligibles shall be adequate. Selective certification shall be permitted when 24 justified by the hiring department, under rules to be made by the division 25 defining adequate justification based on the duties and requirements of the 26 positions. Such examinations need not be held until after the rules have been 27 adopted, the service classified and a pay plan established, but shall be held 28 not later than one (1) year after departments commence participation in the 29 personnel system. 30 (g) A rule that, whenever practicable, a vacancy in a classified position 31 shall be filled by the promotion of a qualified permanent employee of the 32 agency in which the vacancy occurs. An interagency promotion shall be made 33 through competitive examination and all qualified state employees shall have 34 the opportunity to compete for such promotions. If an employee's name appears 35 within certifiable range on a current register for a higher class of position, 36 he shall be eligible for a transfer and promotion. 37 (h) A rule for development and maintenance of a system of service ratings 38 and the use of such ratings by all departments in connection with promotions, 39 demotions, retentions, separations and reassignments. The rule shall require 40 that an evaluation of each classified employee shall be made after each two 41 thousand eighty (2,080) hour period of credited state service, and that a copy 42 of the evaluation shall be filed with the division. 43 (i) A rule prohibiting disqualification of any person from taking an 44 examination, from appointment to a position, from promotion, or from holding a 45 position because of race or national origin, color, sex, age, political or 46 religious opinions or affiliations, and providing for right of appeal. 47 (j) A rule establishing a probation period not to exceed one thousand 48 forty (1,040) hours of credited state service for all appointments and promo- 49 tions, except that peace officers as defined in section 19-5101, Idaho Code, 50 shall be subject to a probation period of two thousand eighty (2,080) hours of 51 credited state service, and for the appointing authority to provide the 52 employee and the administrator a performance evaluation indicating satisfac- 53 tory or unsatisfactory performance not later than thirty (30) days after the 54 expiration of the probationary period. The rule shall provide that if the 55 appointing authority fails to provide a performance evaluation within thirty 13 1 (30) days after the expiration of the probationary period, the employee shall 2 be deemed to have satisfactorily completed the probation unless the appointing 3 authority receives approval from the administrator to extend the probationary 4 period for good cause for an additional specified period not to exceed one 5 thousand forty (1,040) hours of credited state service. If an employee is per- 6 forming in an unsatisfactory manner during the entrance probationary period, 7 the appointing authority shall ask the employee to resign, and if no resigna- 8 tion is submitted, shall terminate the employment of such employee without the 9 right of grievance or appeal. 10 (k) A rule concerning provisional appointments. 11 (l) A rule concerning temporary appointments. 12 (m) A rule governing the employment of consultants and persons retained 13 under independent contract. 14 (n) A rule for the disciplinary dismissal, demotion, suspension or other 15 discipline of employees only for cause with reasons given in writing. Such 16 rule shall provide that any of the following reasons shall be proper cause for 17 the disciplinary dismissal, demotion or suspension of any employee in the 18 state classified service: 19 1. Failure to perform the duties and carry out the obligations imposed by 20 the state constitution, state statutes and rules of the employee's depart- 21 ment, or rules of the administrator or the division. 22 2. Inefficiency, incompetency, or negligence in the performance of 23 duties, or job performance that fails to meet established performance 24 standards. 25 3. Physical or mental incapability for performing assigned duties. 26 4. Refusal to accept a reasonable and proper assignment from an autho- 27 rized supervisor. 28 5. Insubordination or conduct unbecoming a state employee or conduct det- 29 rimental to good order and discipline in the employee's department. 30 6. Intoxication on duty. 31 7. Careless, negligent, or improper use or unlawful conversion of state 32 property, equipment or funds. 33 8. Use of any influence which violates the principles of the merit system 34 in an attempt to secure a promotion or privileges for individual advan- 35 tage. 36 9. Conviction of official misconduct in office, or conviction of any fel- 37 ony, or conviction of any other crime involving moral turpitude. 38 10. Acceptance of gifts in exchange for influence or favors given in the 39 employee's official capacity. 40 11. Habitual pattern of failure to report for duty at the assigned place 41 and time. 42 12. Habitual improper use of sick leave privileges. 43 13. Unauthorized disclosure of confidential information from official 44 records. 45 14. Absence without leave. 46 15. Misstatement or deception in the application for the position. 47 16. Failure to obtain or maintain a current license or certificate law- 48 fully required as a condition for performing the duties of the job. 49 17. Prohibited participation in political activities. 50 (o) A rule to establish procedures for maintenance of a record of the 51 employment history and appropriate information relating to performance of all 52 employees under the personnel system. For the purposes of this rule, the state 53 shall be considered one (1) employer. 54 (p) Rules to provide for recruitment programs in cooperation with depart- 55 ment heads and the employment security agency in keeping with current employ- 14 1 ment conditions and labor market trends. 2 (q) Rules to establish procedures for examinations as necessary for the 3 purpose of maintaining current registers from which to fill employment vacan- 4 cies. 5 (r) Other rules not inconsistent with the foregoing provisions of this 6 section as may be necessary and proper for the administration and enforcement 7 of this chapter. 8 (s) A rule concerning "project exempt" appointments. 9 (t) Rules relating to leave for state employees from official duties 10 including, but not limited to, sick leave, military leave, jury duty, leaves 11 of absence without compensation and such other forms of absence from perfor- 12 mance of duties in the course of state employment as may be necessary. 13 (u) A rule providingfor five percent (5%)up to twenty-five percent 14 (25%) shift differential pay based on local market practices. 15 (v) A rule to establish guidelines for awarding employee suggestion 16 awards set forth in sections 59-1603 and 67-5309D, Idaho Code. 17 (w) A rule to establish the reimbursement of moving expenses for a cur- 18 rent or newly-hired state employee. 19 (x) A rule to allow, at the request of the hiring agency, temporary and 20 acting appointment service time to count toward fulfilling entrance probation- 21 ary requirements as established in section 67-5309(j), Idaho Code. 22 SECTION 9. That Section 67-5309A, Idaho Code, be, and the same is hereby 23 repealed. 24 SECTION 10. That Chapter 53, Title 67, Idaho Code, be, and the same is 25 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 26 ignated as Section 67-5309A, Idaho Code, and to read as follows: 27 67-5309A. STATE EMPLOYEE COMPENSATION PHILOSOPHY. (1) It is hereby 28 declared to be the intent of the legislature of the state of Idaho that the 29 goal of a total compensation system for state employees shall be to fund a 30 competitive employee compensation and benefit package that will attract quali- 31 fied applicants to the work force; retain employees who have a commitment to 32 public service excellence; motivate employees to maintain high standards of 33 productivity; and reward employees for outstanding performance. 34 (2) The foundation for this philosophy recognizes that state government 35 is a service enterprise in which the state work force provides the most criti- 36 cal role for Idaho citizens. Maintaining a competitive compensation system is 37 an integral, necessary and expected cost of providing the delivery of state 38 services and is based on the following compensation standards: 39 (a) The state's overall compensation system, which includes both a salary 40 and a benefit component, when taken as a whole shall be competitive with 41 relevant labor market averages. 42 (b) Advancement in pay shall be based on job performance and market 43 changes. 44 (c) Pay for performance shall provide faster salary advancement for 45 higher performers based on a merit increase matrix developed by the divi- 46 sion of human resources. 47 (d) All employees below the state's midpoint market average in a salary 48 range who are meeting expectations in the performance of their jobs shall 49 move through the pay range toward the midpoint market average. 50 (3) It is hereby declared to be legislative intent that regardless of 51 specific budgetary conditions from year to year, it is vital to fund necessary 52 compensation adjustments each year to maintain market competitiveness in the 15 1 compensation system. In order to provide this funding commitment in difficult 2 fiscal conditions, it may be necessary to increase revenues, or to prioritize 3 and eliminate certain functions or programs in state government, or to reduce 4 the overall number of state employees in a given year, or any combination of 5 such methods. 6 SECTION 11. That Section 67-5309B, Idaho Code, be, and the same is hereby 7 repealed. 8 SECTION 12. That Chapter 53, Title 67, Idaho Code, be, and the same is 9 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 10 ignated as Section 67-5309B, Idaho Code, and to read as follows: 11 67-5309B. IDAHO COMPENSATION PLAN. (1) The administrator of the division 12 of human resources shall establish benchmark job classifications and shall 13 assign all classifications to a pay grade utilizing the Hay profile method in 14 combination with market data. Pay grades established or revised by the admin- 15 istrator shall appropriately weigh Hay points and market data to ensure inter- 16 nal equity and market equity within the classified service. 17 (2) It shall be the responsibility of each department director to prepare 18 a department salary administration plan and corresponding budget plan that 19 supports the core mission of the department and is consistent with the provi- 20 sions of section 67-5309A, Idaho Code. 21 (3) Advancement in pay shall be based on performance and market changes 22 and be provided in a variety of delivery methods, including ongoing increases, 23 temporary increases and market related payline moves. Market related payline 24 moves may advance all eligible employees as well as the structure to avoid 25 compression in the salary system. 26 (4) Pay for performance shall provide faster salary advancement for 27 higher performers based on a merit increase matrix developed by the division 28 of human resources. Such matrix shall be based upon the employee's proximity 29 to the state midpoint market average, and the employee's relative performance. 30 Such matrix may be adapted by each agency to meet its specific needs when 31 approved by the division of human resources. 32 (5) No employee shall advance in a salary range without a performance 33 evaluation on file certifying that the employee meets the performance criteria 34 of the assigned position. 35 (6) Each employee's work performance shall be evaluated through a format 36 and process approved by the department and the division of human resources. 37 The employee shall be evaluated after one thousand forty (1,040) hours of 38 credited state service from the date of initial appointment or promotion, and 39 thereafter be evaluated after each two thousand eighty (2,080) hours of cred- 40 ited state service. Employees may be eligible for advancement in pay if certi- 41 fied as meeting the performance requirements of this section. However, such 42 in-grade advancement shall not be construed as a vested right. The department 43 director shall designate in writing whether such in-grade advancement is tem- 44 porary, conditional or permanent. It shall be the specific responsibility of 45 the employee's immediate supervisor to effect the evaluation process. Such 46 evaluation shall be approved by the department director or the director's des- 47 ignee. 48 (7) All supervisors who evaluate state employees shall receive training 49 in the evaluation format and process to assure fairness and consistency in the 50 evaluation process. 51 (8) Notwithstanding any other provision of Idaho Code, it is hereby 52 declared to be the policy of the legislature of the state of Idaho that all 16 1 classified employees of like classification and pay grade allocation shall be 2 treated in a substantially similar manner with reference to personnel bene- 3 fits. 4 SECTION 13. That Section 67-5309C, Idaho Code, be, and the same is hereby 5 repealed. 6 SECTION 14. That Chapter 53, Title 67, Idaho Code, be, and the same is 7 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 8 ignated as Section 67-5309C, Idaho Code, and to read as follows: 9 67-5309C. ANNUAL SURVEYS, REPORTS AND RECOMMENDATIONS. (1) The adminis- 10 trator of the division of human resources shall conduct or approve annual sal- 11 ary and benefit surveys within relevant labor markets to determine salary 12 ranges and benefit packages that represent competitive labor market average 13 rates and benefits provided by private industry and other governmental units. 14 (2) A report of the results of the annual salary and benefit surveys and 15 recommendations for changes to meet the requirements of section 67-5309A, 16 Idaho Code, together with their estimated costs of implementation, shall be 17 submitted to the governor and the legislature not later than the first day of 18 December of each year. The recommendation shall include, at a minimum, four 19 (4) components to address the compensation philosophy described in section 20 67-5309A, Idaho Code, and shall include specific funding recommendations for 21 each component: 22 (a) A recommendation for market related changes necessary to address sys- 23 tem wide structure adjustments to stay competitive with relevant labor 24 markets. Such recommendation may include a market related payline adjust- 25 ment for all eligible employees, as well as the structure, to avoid com- 26 pression in the salary system. 27 (b) A recommendation for market related changes necessary to address spe- 28 cific occupational inequities. 29 (c) A recommendation for a merit increase component to recognize and 30 reward state employees in the performance of public service to the citi- 31 zens of Idaho. 32 (d) A recommendation for any changes to the employee benefit package, 33 including any adjustments to the overall design of the benefit package 34 and/or employee contributions. 35 (3) The governor shall submit his own recommendations on proposed changes 36 in salaries and benefits to the legislature prior to the seventh legislative 37 day of each session. Such recommendation shall address, at a minimum, the four 38 (4) components and subsequent funding for each component required in this sec- 39 tion. 40 (4) The legislature may, by concurrent resolution, accept, modify or 41 reject the governor's recommendations, but any such action by the legislature, 42 at a minimum, shall address the four (4) components and subsequent funding of 43 each component required in this section. The failure of the legislature to 44 accept, modify or reject the recommendations prior to adjournment sine die 45 shall constitute approval of the governor's recommendations, and such recom- 46 mendations shall be funded through appropriations provided by law. The admin- 47 istrator of the division of human resources shall implement necessary and 48 authorized changes to salary and pay schedule by rule. The director of the 49 department of administration shall implement necessary and authorized changes 50 to benefits by rule. 51 SECTION 15. That Chapter 53, Title 67, Idaho Code, be, and the same is 17 1 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 2 ignated as Section 67-5309D, Idaho Code, and to read as follows: 3 67-5309D. OTHER PAY DELIVERY OPTIONS. (1) In addition to pay increases 4 authorized in section 67-5309B, Idaho Code, the department director may grant 5 a classified employee holding permanent status bonus pay not to exceed five 6 thousand dollars ($5,000) in any given fiscal year based upon exemplary per- 7 formance. Exceptions to the five thousand dollar ($5,000) limit provided in 8 this subsection (1) may be granted in extraordinary circumstances if approved 9 in advance by the department director. Departments shall submit a report to 10 the division of financial management and the legislative services office by 11 October 1 on all bonuses granted in the preceding fiscal year. 12 (2) In addition to pay increases authorized in section 67-5309B, Idaho 13 Code, the department director may grant a classified employee holding perma- 14 nent status an award payment based upon suggestions or recommendations made by 15 the employee which resulted in taxpayer savings as a result of cost savings or 16 greater efficiencies to the department or to the state of Idaho in excess of 17 the amount of the award, and in compliance with the rules for employee sugges- 18 tion awards promulgated by the division of human resources. The award may be 19 an amount up to twenty-five percent (25%) of the amount determined to be the 20 dollar savings to the state, but not in excess of five thousand dollars 21 ($5,000). Exceptions to the five thousand dollar ($5,000) limit provided in 22 this subsection (2) may be granted in extraordinary circumstances if approved 23 in advance by the department director. Departments shall submit a report to 24 the division of financial management and the legislative services office by 25 October 1 on all employee suggestion awards granted in the preceding fiscal 26 year. Such report shall include any changes made as a direct result of an 27 employee's suggestion and savings resulting therefrom. 28 (3) In addition to pay increases authorized in section 67-5309B, Idaho 29 Code, the department director may grant award pay to a classified employee 30 holding permanent status for recruitment or retention purposes upon completion 31 of at least six (6) months of achieving performance standards. Departments 32 shall submit a report to the division of financial management and the legisla- 33 tive services office by October 1 on all such awards granted in the preceding 34 fiscal year. 35 (4) In addition to pay increases authorized in section 67-5309B, Idaho 36 Code, department directors may provide a classified employee holding permanent 37 status other nonperformance related pay as provided in this subsection (4). 38 Departments shall submit a report to the division of financial management and 39 the legislative services office by October 1 on all such awards granted in the 40 preceding fiscal year. 41 (a) Shift differential pay up to twenty-five percent (25%) of hourly 42 rates depending on local market rates in order to attract and retain qual- 43 ified staff. 44 (b) Geographic differential pay in areas of the state where recruitment 45 and retention of qualified staff are difficult due to economic conditions 46 and cost of living. 47 (5) When necessary to obtain or retain qualified personnel in a particu- 48 lar classification, upon petition of the department to the administrator con- 49 taining acceptable reasons therefor, a higher temporary pay grade may be 50 authorized by the administrator which, if granted, shall be reviewed annually 51 to determine the need for continuance. 52 (6) In unusual circumstances, with prior approval from the administrators 53 of the division of human resources and the division of financial management, 54 agencies may grant nonperformance related pay to employees, which in no case 18 1 may exceed five percent (5%) of an employee's base pay. Departments shall sub- 2 mit a report to the division of financial management and the legislative ser- 3 vices office by October 1 on all such awards granted in the preceding fiscal 4 year. 5 (7) Specific pay codes shall be established and maintained in the state 6 controller's office to ensure accurate reporting and monitoring of all pay 7 actions authorized in this section. 8 SECTION 16. That Section 67-5326, Idaho Code, be, and the same is hereby 9 repealed. 10 SECTION 17. That Sections 67-5328, 67-5329, 67-5330 and 67-5331, Idaho 11 Code, be, and the same are hereby amended to read as follows: 12 67-5328.OVERTIME COMPENSATION -- ELIGIBILITYSTATE POLICY -- OVERTIME. 13 (1) It is hereby declared to be the policy of the legislature of the state of 14 Idaho that all classified employees shall be treated substantially similar 15 with reference to hours of employment. The policy of this state as declared in 16 this act shall not restrict the extension of regular work hour schedules on an 17 overtime basis in those activities and duties where such extension is neces- 18 sary and authorized, provided that overtime work performed under such exten- 19 sion is compensated for as hereinafter provided. 20 (2) The appointing authority of any department shall determine the neces- 21 sity for overtime work and shall provide for cash compensation or compensatory 22 time off for such overtime work for eligible classified officers and employ- 23 ees, subject to the restrictions of applicable federal law. 2467-5329. CASH FOR OVERTIME -- COMPENSATORY TIME.25 (13) Cash for overtime and compensatory time shall be paid based on the 26 following criteria: 27 (a) Classified and nonclassified officers and employees who fall within 28 one (1) or more of the following categories are ineligible for cash com- 29 pensation or compensatory time for overtime work: 30 (ai) Elected officials; or 31 (bii) Those included in the definition of section 67-5303(j), Idaho 32 Code. 33 (2b) Classified and nonclassified employees who are designated as execu- 34 tive, as provided insection 67-5302, Idaho Code, who are designated as35exempt under any other complete exemption inthe federallawfair labor 36 standards act, and who are not included in the definition of subsection 37 (13)(a) of this section, shall be ineligible for compensatory time or cash 38 compensation for overtime work, but such classified and nonclassified39employees shall be allowed compensatory time off from duty for overtime40work. Such compensatory time shall be earned and allowed on a one (1) hour41for one (1) hour basis not to exceed two hundred forty (240) hours.42Accrued compensatory time off earned under this section shall not be43transferable, and shall be forfeited at the time of transfer to another44appointing authority or upon separation from state service. Unused compen- 45 satory time balances in excess of two hundred forty (240) hours as of the 46 date of enactment of this act shall be forfeited on December 31, 2008. 47 Unused compensatory time balances of two hundred forty (240) hours or less 48 shall be forfeited on December 31, 2006. 49 (3c) Classified and nonclassified employees who are designated as admin- 50 istrative or professional, as provided insection 67-5302, Idaho Code, or51who are designated as exempt under any other complete exemption inthe 52 federallawfair labor standards act, and who are not included in the def- 19 1 inition of either subsection (13)(a) or (3)(b) of this section, shall be 2 ineligible for cash compensation for overtime work unless cash payment is 3 authorized by the state board of examiners for overtime accumulated during 4 unusual or emergency situations, but such classified and nonclassified 5 employees shall be allowed compensatory time off from duty for overtime 6 work. Such compensatory time shall be earned and allowed on a one (1) hour 7 for one (1) hour basis, shall not be transferable, and shall be forfeited 8 at the time of transfer to another appointing authority or upon separation 9 from state service. 10 (4d) Classified employees who are not designated as executive, adminis- 11 trative or professional as provided insection 67-5302, Idaho Code, who12are not designated as exempt under any other complete exemption inthe 13 federallawfair labor standards act, and who are not included in the def- 14 inition of subsection (13)(a) of this section, shall be eligible for cash 15 compensation or compensatory time off from duty for overtime work, subject 16 to the restrictions of applicable federal law. Compensatory time off may 17 be provided in lieu of cash compensation at the discretion of the appoint- 18 ing authority after consultation, in advance, with the employee. Compensa- 19 tory time off shall be paid at the rate of one and one-half (1 1/2) hours 20 for each overtime hour worked. Compensatory time off which has been earned 21 during any one-half (1/2) fiscal year but not taken by the end of the suc- 22 ceeding one-half (1/2) fiscal year, shall be paid in cash on the first 23 payroll following the close of such succeeding one-half (1/2) fiscal year. 24 Compensatory time not taken at the time of transfer to another appointing 25 authority or upon separation from state service shall be liquidated at the 26 time of such transfer or separation by payment in cash. 2767-5330. RATE OF OVERTIME COMPENSATION WHEN PAID IN CASH.28 (4) Cash compensation for overtime, when paid, shall be at one and one- 29 half (1 1/2) times the hourly rate of that officer's or employee's salary or 30 wage, except for those employees whose positions fall within the definitions 31 of executive, administrative or professional as stated in section 67-5302, 32 Idaho Code, who will be paid at their regular hourly rate of pay as provided 33 for in subsection67-5329, Idaho Code(3) of this section. 3467-5331. OVERTIME COMPENSATION -- WHEN PAID.35 (5) Except as provided for in subsection67-5329, Idaho Code(3) of this 36 section, compensation for authorized overtime work shall be made at the com- 37 pletion of the pay period next following the pay period in which the overtime 38 work occurred and shall be added to the regular salary payment. 39 SECTION 18. That Sections 67-5333 and 67-5339, Idaho Code, be, and the 40 same are hereby amended to read as follows: 41 67-5333. SICK LEAVE.COMPUTATION.(1) Sick leave shall be computed as 42 follows: 43 (a) The rate per hour at which sick leave shall accrue to classified 44 officers and employees earning credited state service shall be at the rate 45 represented by the proportion 96/2080. Sick leave shall accrue without 46 limit, and shall be transferable from department to department. 47 (2b) Sick leave shall not accrue to any officer or employee on any kind 48 of leave of absence without pay, suspension without pay or layoff. Sick 49 leave shall accrue while an officer or employee is on approved leave with 50 pay, on approved vacation leave, on approved military leave with pay, and 51 on approved sick leave, but not when compensatory time or earned adminis- 52 trative leave is taken. 53 (3c) All accrued sick leave shall be forfeited at the time of separation 20 1 from state service and no officer or employee shall be reimbursed for 2 accrued sick leave at the time of separation, except as provided in 3 subsection67-5339, Idaho Code(2) of this section. If such officer or 4 employee returns to credited state service within three (3) years of such 5 separation, all sick leave credits accrued at the time of separation shall 6 be reinstated, except to the extent that unused sick leave was utilized 7 for the purposes specified in subsection67-5339, Idaho Code(2) of this 8 section. 9 (4d) Sick leave shall be taken on a workday basis. Regularly scheduled 10 days off and officially designated holidays falling within a period of 11 sick leave shall not be counted against sick leave. Sick leave shall not 12 be taken in advance of being earned. 13 (5e) In cases where absences for sick leave exceed three (3) consecutive 14 working days, the appointing authority may require verification by a phy- 15 sician or other authorized practitioner. 16 (6f) If an absence for illness or injury extends beyond the sick leave 17 accrued to the credit of the officer or employee, the officer or employee 18 may be granted leave without pay. 19 (7g) The administrator shall prescribe additional requirements for sick 20 leave for classified officers and employees on a part-time or irregular 21 schedule, for maintaining sick leave records, for funeral leave, and such 22 other applicable purposes as necessary. 2367-5339. USE OF UNUSED SICK LEAVE.24 (12) Unused sick leave may be used as follows: 25 (a) Upon separation from state employment by retirement in accordance 26 with chapter 13, title 59 or chapter 1, title 33, Idaho Code, an 27 employee's unused sick leave shall be determined based on accumulated sick 28 leave earned subsequent to July 1, 1976, and shall be reported by the 29 employer to the public employee retirement system. Upon separation from 30 state employment by retirement in accordance with chapter 20, title 1, 31 Idaho Code, an employee's unused sick leave shall be determined based on 32 accumulated sick leave earned subsequent to July 1, 2000, and shall be 33 reported by the employer to the public employee retirement system. A sum 34 equal to one-half (1/2), or the maximum amount allowed bysubsection (2)35 paragraph (b) of this subsection (2), whichever is the lesser, of the mon- 36 etary value of such unused sick leave, calculated at the rate of pay for 37 such employee at the time of retirement, shall be transferred from the 38 sick leave account provided bysubsection (3)paragraph (c) of this 39 subsection (2) and shall be credited to such employee's retirement 40 account. Such sums shall be used by the Idaho public employee retirement 41 board to pay premiums for such group health, accident, and life insurance 42 programs as may be maintained by the state, to the extent of the funds 43 credited to the employee's account pursuant to this section. Upon an 44 employee's death, any unexpended sums remaining in the account shall 45 revert to the sick leave account. 46 (2b) For the purposes of determining the monetary value of unused sick 47 leave, the maximum unused sick leave which may be considered, shall be: 48 (ai) During the first ten thousand four hundred (10,400) hours of 49 credited state service, the maximum unused sick leave which may be 50 considered shall be four hundred twenty (420) hours; 51 (bii) During the second ten thousand four hundred (10,400) hours of 52 credited state service, the maximum unused sick leave which may be 53 considered shall be four hundred eighty (480) hours; 54 (ciii) During the third ten thousand four hundred (10,400) hours of 55 credited state service, the maximum unused sick leave which may be 21 1 considered shall be five hundred forty (540) hours; and 2 (div) Thereafter, the maximum unused sick leave which may be consid- 3 ered shall be six hundred (600) hours. 4 (3c) Each employer in state government shall contribute to a sick leave 5 account maintained by the public employee retirement system exclusively 6 for the purpose of the provisions of this section. The rate of such con- 7 tribution each pay period shall consist of a percentage of employees' sal- 8 aries as determined by the board, and such rate shall remain in effect 9 until next determined by the board. Any excess balance in the sick leave 10 account shall be invested, and the earnings therefrom shall accrue to the 11 sick leave account except the amount required by the board to defray 12 administrative expenses. All moneys payable to the sick leave account are 13 hereby perpetually appropriated to the board, and shall not be included in 14 its departmental budget. The state insurance fund and public health dis- 15 tricts shall be considered employers in state government for purposes of 16 participation under this section. 17 SECTION 19. That Sections 67-5334, 67-5335 and 67-5337, Idaho Code, be, 18 and the same are hereby amended to read as follows: 19 67-5334. VACATION TIME.COMPUTATION.(1) Vacation time shall be computed 20 as follows: 21 (a) Vacation time shall not accrue to any officer or employee on any kind 22 of leave of absence without pay, suspension without pay or layoff. Vaca- 23 tion leave shall accrue while an officer or employee is on approved leave 24 with pay, on approved vacation leave, on approved military leave with pay, 25 and on approved sick leave, but not when compensatory time or earned 26 administrative leave is taken. 27 (2b) The rate per hour at which vacation leave shall accrue to eligible 28 classified officers and employees earning credited state service who are 29 covered and nonexempt under the federal fair labor standards act shall be 30 at the rate represented by the proportion 96/2080 during the first ten 31 thousand four hundred (10,400) hours of credited state service; at the 32 rate represented by the proportion 120/2080 during the second ten thousand 33 four hundred (10,400) hours of credited state service; at the rate repre- 34 sented by the proportion 144/2080 during the third ten thousand four hun- 35 dred (10,400) hours of credited state service; and at the rate represented 36 by the proportion 168/2080 thereafter. 37 (c) Classified officers and employees earning credited state service and 38 defined as an exempt "professional," "administrative," or "computer 39 worker" under the federal fair labor standards act shall be at the rate 40 represented by the proportion 120/2080 during the first ten thousand four 41 hundred (10,400) hours of credited state service; at the rate represented 42 by the proportion 144/2080 during the second ten thousand four hundred 43 (10,400) hours of credited state service; and at the rate represented by 44 the proportion 168/2080 thereafter. 45 (d) Classified officers and employees earning credited state service and 46 defined as an exempt "executive" under the federal fair labor standards 47 act shall be at the rate represented by the proportion 200/2080. 4867-5335. VACATION TIME -- ELIGIBILITY -- MAXIMUM TIME -- RIGHT TO ANNUAL49VACATION.50 (12) Eligibility and use of vacation time shall be determined as follows: 51 (a) An appointing authority shall permit each officer or employee to take 52 vacation leave to the extent such leave has accrued. 53 (2b) Vacation leave may be accrued and accumulated only as follows, 22 1 unless amounts in excess of the permitted accumulations have been 2 expressly authorized in writing by the board of examiners during unusual 3 or emergency situations: 4 During the first ten thousand four hundred (10,400) hours of credited 5 state service, vacation leave may be accrued and accumulated to a maximum of 6 one hundred ninety-two (192) hours; employees classified as "executive" under 7 the federal fair labor standards act may accrue and accumulate vacation leave 8 to a maximum of two hundred (200) hours during this period; 9 During the second ten thousand four hundred (10,400) hours of credited 10 state service, vacation leave may be accrued and accumulated to a maximum of 11 two hundred forty (240) hours; 12 During the third ten thousand four hundred (10,400) hours of credited 13 state service, vacation leave may be accrued and accumulated to a maximum of 14 two hundred eighty-eight (288) hours; 15 After thirty-one thousand two hundred (31,200) hours of credited state 16 service, vacation leave may be accrued and accumulated to a maximum of three 17 hundred thirty-six (336) hours. 18 (3c) Vacation leave shall be transferable from department to department 19 only to the extent that it is accrued and accumulated. 20 (4d) Vacation leave shall not be earned, accrued or accumulated during 21 any pay period in which the maximum accruals and accumulations provided by 22 this section have been met. 23 (5e) Vacation leave not taken shall be compensated for at the time of 24 separation only to the maximum accruals and accumulations allowed by this 25 section. 26 (6f) Vacation leave shall be taken on a workday basis. Regularly sched- 27 uled days off and officially designated holidays falling within a period 28 of vacation leave shall not be counted against vacation leave. Vacation 29 leave shall not be taken in advance of being earned and shall only be 30 taken in pay periods subsequent to being earned. 31 (7g) With the approval of the appointing authority for both the transfer- 32 ring and receiving officer or employee, an officer or employee may trans- 33 fer accrued vacation leave, up to a maximum of forty (40) hours per fiscal 34 year, to another officer or employee for purposes of sick leave in the 35 event the receiving officer or employee or a family member suffers from a 36 serious illness or injury. The amount transferred shall be converted to 37 sick leave. An officer or employee shall not be allowed to receive more 38 than one hundred sixty (160) hours of transferred leave per fiscal year, 39 and a transfer shall not occur until the receiving employee has exhausted 40 all of his or her accrued sick and vacation leave. An officer or employee 41 shall not be eligible to transfer vacation leave unless his or her balance 42 exceeds eighty (80) hours, and in no event may an officer or employee 43 transfer an amount of accrued leave which would result in an accrued bal- 44 ance of less than eighty (80) hours. 4567-5337. CASH FOR UNUSED VACATION TIME.46 (3) Upon separation from state employment and to the limits allowed by 47 subsection67-5335, Idaho Code(2) of this section, all classified officers 48 and employees shall receive a lump sum payment for accrued but unused vacation 49 leave at the hourly rate of pay of that officer or employee. 50 SECTION 20. That Chapter 53, Title 67, Idaho Code, be, and the same is 51 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 52 ignated as Section 67-5337, Idaho Code, and to read as follows: 53 67-5337. MOVING EXPENSE REIMBURSEMENT. In order for the state to attract 23 1 and retain professional staff, it may be necessary to defray normal intrastate 2 and interstate moving expenses. The head of any department, office or institu- 3 tion of the state shall have the authority to decide whether or not to reim- 4 burse moving expenses for current or newly-hired state employees on a case-by- 5 case basis up to ten percent (10%) of the employee's base salary or fifteen 6 thousand dollars ($15,000), whichever is less, and in compliance with rules 7 for the reimbursement of moving expenses promulgated by the division of human 8 resources. Exceptions to the maximum moving expense reimbursement may be 9 granted if approved in advance by the department director. Agencies shall sub- 10 mit a report to the division of financial management and the legislative ser- 11 vices office by October 1 on all moving expense reimbursements granted in the 12 preceding fiscal year. 13 SECTION 21. That Section 67-5342, Idaho Code, be, and the same is hereby 14 amended to read as follows: 15 67-5342. SEVERANCE PAY FOR STATE EMPLOYEES. Upon termination from state 16 service, no classified or exempt employee shall be eligible for severance pay 17 and no employer shall provide or pay severance pay to such an employee or 18 former employee. As used in this section, "severance pay" shall mean money, 19 exclusive of wages or salary, vacation leave payoff, compensatory time leave 20 and earned administrative leave payoff, paid to a classified or exempt 21 employee who resigns from state service of his own volition and not under 22 duress. 23 SECTION 22. An emergency existing therefor, which emergency is hereby 24 declared to exist, this act shall be in full force and effect on and after its 25 passage and approval.
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-eighth Legislature Second Regular Session - 2006Moved by Garrett Seconded by Schaefer IN THE HOUSE OF REPRESENTATIVES HOUSE AMENDMENTS TO S.B. NO. 1363 1 AMENDMENTS TO SECTION 3 2 On page 3 of the printed bill, in line 40, delete "five" and insert: 3 "two"; in line 41, delete "5" and insert: "2"; in line 42, delete "five" and 4 insert: "two"; in line 43, delete "5" and insert: "2"; in line 44, delete 5 "state board of examinersappoint-" and insert: "state board of examiners."; 6 in line 45, delete "ing authority."; in line 49, delete "holding permanent 7 status" and insert: ",holding permanent status,"; in line 51, delete "five" 8 and insert: "two"; and in line 52, delete "5" and insert: "2". 9 On page 4, in line 1, delete "five" and insert: "two", and also in line 1, 10 delete "5" and insert: "2"; in line 2, delete "state" and insert: "state"; and 11 in line 3, delete "board of examinersappointing authority." and insert: 12 "board of examiners.". 13 AMENDMENT TO SECTION 5 14 On page 5, in line 32, delete "--" and insert: "--AND"; and in line 51, 15 delete "section 67-5302, Idaho Code," and insert: "section 67-5302, Idaho 16 Code,". 17 On page 6, delete line 1, and insert: "under any other complete exemption18in federal law,"; in line 2, delete "act,"; in line 10, following "service." 19 insert: "Such salaried employees shall report absences in excess of one-half 20 (1/2) day."; in line 27, delete "section" and insert: "this section,"; and 21 delete line 29, and insert: "exemption in federal law,and who are not". 22 AMENDMENT TO SECTION 7 23 On page 8, in line 37, delete "section" and insert: "sectionbureau". 24 AMENDMENT TO SECTION 8 25 On page 12, in line 31, delete "permanent" and insert: "permanent". 26 AMENDMENT TO SECTION 14 27 On page 16, in line 50, delete "by rule". 28 AMENDMENTS TO SECTION 15 29 On page 17, in line 5, delete "holding permanent status", and also in line 30 5, delete "five" and insert: "two"; in line 6, delete "5" and insert: "2"; in 31 line 7, delete "five" and insert: "two", and also in line 7, delete "5" and 32 insert: "2"; in line 9, delete "department director" and insert: "state board 33 of examiners"; in line 13, delete "holding perma-"; in line 14, delete "nent 34 status"; in line 20, delete "five" and insert: "two"; in line 21, delete 35 "($5,000). Exceptions to the five thousand dollar ($5,000)" and insert: 36 "($2,000). Exceptions to the two thousand dollar ($2,000)"; in line 23, delete 37 "department director" and insert: "state board of examiners"; in line 30, 38 delete "holding permanent status"; in line 36, delete "holding permanent"; in 2 1 line 37, delete "status"; and following line 46, insert: 2 "(c) Employees in the same classification who are similarly situated 3 shall be treated consistently in respect to shift differential and geo- 4 graphic pay differential.". 5 AMENDMENTS TO SECTION 17 6 On page 18, in line 12, delete "STATE POLICY --" and insert: "HOURS OF 7 WORK AND"; in line 34, delete "section 67-5302, Idaho Code," and insert: 8 "section 67-5302, Idaho Code,"; delete line 35, and insert: "exempt under any9other complete exemption in federal law,"; in line 36, delete "standards 10 act,"; and in line 44, following "service." insert: "Such salaried employees 11 shall report absences in excess of one-half (1/2) day.". 12 On page 19, in line 11, delete "section" and insert: "this section,"; in 13 line 12, delete "the"; and in line 13, delete "federallawfair labor stan- 14 dards act," and insert: "federal law,". 15 AMENDMENTS TO SECTION 19 16 On page 21, in line 46, delete "the federal fair labor standards" and 17 insert: "section 67-5302, Idaho Code,"; in line 47, delete "act"; and on page 18 22, in line 7, delete "the federal fair labor standards act" and insert: "sec- 19 tion 67-5302, Idaho Code,". 20 AMENDMENT TO THE BILL 21 On page 23, delete lines 23, 24 and 25. 22 CORRECTIONS TO TITLE 23 On page 1, in line 31, following "ERENCES" insert: "AND TERMINOLOGY"; in 24 line 33, following "IDAHO CODE," insert: "TO PROVIDE CORRECT TERMINOLOGY,". 25 On page 2, in line 12, delete "ACCORD-"; delete line 13 and insert: ", 26 TO"; in line 17, following "REIMBURSEMENT;" insert: "AND"; in line 18, follow- 27 ing "PAY" delete the remainder of the line and insert: ".""; and delete line 28 19.
]]]] LEGISLATURE OF THE STATE OF IDAHO ]]]] Fifty-eighth Legislature Second Regular Session - 2006IN THE SENATE SENATE BILL NO. 1363, As Amended in the House BY COMMERCE AND HUMAN RESOURCES COMMITTEE 1 AN ACT 2 RELATING TO THE STATE PERSONNEL SYSTEM AND NONCLASSIFIED STATE OFFICERS AND 3 EMPLOYEES; AMENDING SECTION 33-2101A, IDAHO CODE, TO DELETE A CODE REFER- 4 ENCE; AMENDING SECTION 33-2109A, IDAHO CODE, TO PROVIDE CORRECT CODE REF- 5 ERENCES AND TO MAKE TECHNICAL CORRECTIONS; AMENDING SECTION 59-1603, IDAHO 6 CODE, TO DELETE A CODE REFERENCE, TO PROVIDE CORRECT TERMINOLOGY, TO 7 INCREASE THE MAXIMUM AWARD THAT MAY BE GRANTED TO CERTAIN NONCLASSIFIED 8 OFFICERS AND EMPLOYEES FOR MERITORIOUS SERVICE AND FOR SUGGESTIONS RESULT- 9 ING IN TAXPAYER SAVINGS, TO PROVIDE EXCEPTIONS TO THE MAXIMUM AWARD UNDER 10 EXTRAORDINARY CIRCUMSTANCES, TO REQUIRE REPORTING OF ALL AWARDS GRANTED IN 11 THE PRECEDING FISCAL YEAR AND REPORTING OF CHANGES MADE PURSUANT TO AN 12 EMPLOYEE'S SUGGESTION AND RESULTING SAVINGS, TO PROVIDE FOR RECRUITMENT 13 AND RETENTION AWARDS TO CERTAIN NONCLASSIFIED OFFICERS AND EMPLOYEES AND 14 TO REQUIRE REPORTING OF SUCH AWARDS GRANTED IN THE PRECEDING FISCAL YEAR, 15 TO PROVIDE FOR OTHER PAY TO CERTAIN NONCLASSIFIED OFFICERS AND EMPLOYEES 16 AND TO REQUIRE REPORTING OF SUCH AWARDS GRANTED IN THE PRECEDING FISCAL 17 YEAR, TO PROVIDE FOR NONMERIT PAY AND TO REQUIRE REPORTING OF SUCH AWARDS 18 GRANTED IN THE PRECEDING FISCAL YEAR, TO PROVIDE CRITERIA FOR REIMBURSE- 19 MENT OF MOVING EXPENSES, TO REQUIRE REPORTING OF ALL MOVING REIMBURSEMENTS 20 GRANTED IN THE PRECEDING FISCAL YEAR AND TO PROVIDE THAT THE STATE 21 CONTROLLER'S OFFICE IS RESPONSIBLE FOR THE ESTABLISHMENT AND MAINTENANCE 22 OF SPECIFIC PAY CODES; AMENDING SECTION 59-1606, IDAHO CODE, TO DELETE AN 23 INCORRECT CODE REFERENCE; AMENDING SECTION 59-1607, IDAHO CODE, TO PROVIDE 24 PROPER TERMINOLOGY AND TO CLARIFY COMPENSATORY TIME FOR CLASSIFIED AND 25 NONCLASSIFIED EMPLOYEES WHO ARE DESIGNATED AS EXECUTIVE; AMENDING SECTION 26 67-3511, IDAHO CODE, TO PROVIDE AN EXCEPTION TO THE LIMITATION ON USE OF 27 APPROPRIATIONS MADE FOR EXPENSES OTHER THAN PERSONNEL COSTS, TO PROVIDE 28 FOR LIMITATIONS ON THE AMOUNT OF LEGISLATIVE APPROPRIATIONS FOR PERSONNEL 29 COSTS WHICH CAN BE TRANSFERRED TO OTHER OBJECT CODES AND TO MAKE TECHNICAL 30 CORRECTIONS; AMENDING SECTION 67-5302, IDAHO CODE, TO PROVIDE CORRECT REF- 31 ERENCES AND TERMINOLOGY, TO REFORMAT THE SECTION AND TO EXPAND THE DEFINI- 32 TION OF "HOLIDAY" TO DISTINGUISH NONEXECUTIVE EMPLOYEES FROM EMPLOYEES 33 CLASSIFIED AS EXECUTIVE EXEMPT; AMENDING SECTION 67-5309, IDAHO CODE, TO 34 PROVIDE CORRECT TERMINOLOGY, TO CLARIFY RULEMAKING AUTHORITY OF THE DIVI- 35 SION OF HUMAN RESOURCES REGARDING RULES FOR DISCIPLINARY DISMISSAL, DEMO- 36 TION, SUSPENSION OR OTHER DISCIPLINE FOR CAUSE AND FOR SHIFT DIFFERENTIAL 37 PAY AND TO SPECIFY ADDITIONAL RULEMAKING AUTHORITY; REPEALING SECTION 38 67-5309A, IDAHO CODE, RELATING TO PERSONNEL BENEFITS; AMENDING CHAPTER 53, 39 TITLE 67, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 67-5309A, IDAHO 40 CODE, TO PROVIDE A STATE EMPLOYEE COMPENSATION PHILOSOPHY; REPEALING SEC- 41 TION 67-5309B, IDAHO CODE, RELATING TO ESTABLISHING SALARIES; AMENDING 42 CHAPTER 53, TITLE 67, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 43 67-5309B, IDAHO CODE, TO ESTABLISH THE IDAHO COMPENSATION PLAN; REPEALING 44 SECTION 67-5309C, IDAHO CODE, RELATING TO PAY GRADES AND MERIT INCREASES; 45 AMENDING CHAPTER 53, TITLE 67, IDAHO CODE, BY THE ADDITION OF A NEW SEC- 46 TION 67-5309C, IDAHO CODE, TO PROVIDE FOR SPECIFIED ANNUAL SURVEYS, 2 1 REPORTS AND RECOMMENDATIONS; AMENDING CHAPTER 53, TITLE 67, IDAHO CODE, BY 2 THE ADDITION OF A NEW SECTION 67-5309D, IDAHO CODE, TO PROVIDE OTHER PAY 3 DELIVERY OPTIONS; REPEALING SECTION 67-5326, IDAHO CODE, RELATING TO OVER- 4 TIME AND HOURS OF WORK; AMENDING SECTIONS 67-5328, 67-5329, 67-5330 AND 5 67-5331, IDAHO CODE, TO PROVIDE STATE OVERTIME POLICY, TO CLARIFY PROVI- 6 SIONS RELATING TO CASH COMPENSATION AND COMPENSATORY TIME, TO REFORMAT 7 SECTION 67-5328, IDAHO CODE, TO REDESIGNATE SECTIONS 67-5329, 67-5330 AND 8 67-5331, IDAHO CODE, TO PROVIDE CORRECT TERMINOLOGY AND TO PROVIDE CORRECT 9 CODE REFERENCES; AMENDING SECTIONS 67-5333 AND 67-5339, IDAHO CODE, TO 10 REFORMAT SECTION 67-5333, IDAHO CODE, TO REDESIGNATE SECTION 67-5339, 11 IDAHO CODE, AND TO PROVIDE CORRECT CODE REFERENCES; AMENDING SECTIONS 12 67-5334, 67-5335 AND 67-5337, IDAHO CODE, TO CLARIFY COMPUTATION OF VACA- 13 TION TIME FOR CLASSIFIED OFFICERS AND EMPLOYEES, TO MAKE TECHNICAL CORREC- 14 TIONS, TO REFORMAT SECTION 67-5334, IDAHO CODE, AND TO REDESIGNATE SEC- 15 TIONS 67-5335 AND 67-5337, IDAHO CODE; AMENDING CHAPTER 53, TITLE 67, 16 IDAHO CODE, BY THE ADDITION OF A NEW SECTION 67-5337, IDAHO CODE, TO PRO- 17 VIDE FOR MOVING EXPENSE REIMBURSEMENT; AND AMENDING SECTION 67-5342, IDAHO 18 CODE, TO REDEFINE "SEVERANCE PAY." 19 Be It Enacted by the Legislature of the State of Idaho: 20 SECTION 1. That Section 33-2101A, Idaho Code, be, and the same is hereby 21 amended to read as follows: 22 33-2101A. JUNIOR COLLEGE SHALL MEAN COMMUNITY COLLEGE. Notwithstanding 23 any other provision of law, in sections 21-805, 21-806, 21-809, 23-404, 24 31-808, 33-101, 33-107, 33-107B, 33-601, 33-1252, 33-2101, 33-2102, 33-2103, 25 33-2104, 33-2105, 33-2106, 33-2107, 33-2107A, 33-2107B, 33-2107C, 33-2108, 26 33-2109A, 33-2110, 33-2110A, 33-2110B, 33-2111, 33-2112, 33-2113, 33-2114, 27 33-2115, 33-2116, 33-2117, 33-2118, 33-2119, 33-2121, 33-2122, 33-2123, 28 33-2124, 33-2125, 33-2126, 33-2130, 33-2135, 33-2137, 33-2138, 33-2139, 29 33-2141, 33-2142, 33-2143, 33-2144, 33-2211, 33-3716, 33-3717, 33-4001, 30 33-4003, 33-4004, 33-4006, 33-4201, 33-4306, 33-4315, 46-314, 50-1721, 31 57-1105A, 59-1324, 59-1371, 59-1374, 67-2320, 67-2322, 67-5309Cand 67-5332, 32 Idaho Code, the term "junior college" shall mean and shall be denoted as 33 "community college." 34 SECTION 2. That Section 33-2109A, Idaho Code, be, and the same is hereby 35 amended to read as follows: 36 33-2109A. USE OF UNUSED SICK LEAVE. Upon separation from employment with 37 thejuniorcommunity college district by retirement, in accordance with chap- 38 ter 13, title 59, Idaho Code, or with chapter 1, title 33, Idaho Code, an 39 employee shall be accorded credit for unused sick leave as provided in section 40 67-53393, Idaho Code. Eachjuniorcommunity college district shall contribute 41 to the sick leave account for the purposes of this section, as provided in 42 subsection (32)(c) of section 67-53393, Idaho Code. 43 SECTION 3. That Section 59-1603, Idaho Code, be, and the same is hereby 44 amended to read as follows: 45 59-1603. CONFORMITY WITH CLASSIFIED POSITIONS. (1) To the extent possi- 46 ble, each nonclassified position in the executive department will be paid a 47 salary or wage comparable to classified positions with similar duties, respon- 48 sibilities, training, experience and other qualifications. Temporary employees 3 1 and agricultural inspectors referred to in subsections (n) and (p) of section 2 67-5303, Idaho Code, shall not be entitled to sick leave accruals provided in 3 section 59-1605, Idaho Code, vacation leave provided in section 59-1606, Idaho 4 Code, nor holiday pay defined in subsection (15) of section 67-5302, Idaho 5 Code, unless contributions are being made to the public employee retirement 6 system in accordance with chapter 13, title 59, Idaho Code, and rules promul- 7 gated by the retirement board. Vacation and sick leave accruals, but not holi- 8 day pay, shall be awarded retroactively, if necessary, to the date such 9 employees become eligible for retirement system membership. 10 (2) To the extent possible, each nonclassified position in the legisla- 11 tive department will be paid a salary or wage comparable to classified posi- 12 tions with similar duties, responsibilities, training, experience and other 13 qualifications. 14 (3) The supreme court shall determine the schedules of salary and compen- 15 sation for all officers and employees of the judicial department which are not 16 otherwise fixed by law. To the extent possible, the supreme court shall adopt 17 schedules which are compatible with the state's accounting system. The judi- 18 cial department may also maintain personnel records and files under such sys- 19 tem as is ordered by the supreme court. 20 (4) The state board of education shall determine the schedules of salary 21 and compensation, and prescribe policies for overtime and compensatory time 22 off from duty, for all officers and employees of the state board of education 23 who are not subject to the provisions of chapter 53, title 67, Idaho Code, and 24 which are not otherwise fixed by law. To the extent possible, the state board 25 of education shall adopt schedules and policies which are compatible with the 26 state's accounting system. The state board of education may also maintain per- 27 sonnel records and files under a system of its own, if approved by the state 28 controller. 29 (5) Members of the legislature, the lieutenant governor, other officers 30 whose salaries are fixed by law, and members of part-time boards, commissions 31 and committees shall be paid according to law. 32 (6) Any schedule of salary and compensation, if not the schedule pre-33scribed by section 67-5309C(a), Idaho Code,must be approved by the appointing 34 authority and be communicated to the state controller in writing at least 35 thirty (30) days in advance of the effective date of the schedule. 36 (7) In addition to salary increases provided by any compensation schedule 37 adopted pursuant to paragraph (6) of this section, nonclassified officers and 38 employees, except those who are elected officials or whose salaries are fixed 39 by law, may be granteda lump sum bonusan award not to exceedonetwo thou- 40 sand dollars ($12,000) in any given fiscal year based upon an affirmative cer- 41 tification of meritorious service. Exceptions to theonetwo thousand dollar 42 ($12,000) limit provided in this section may be granted under extraordinary 43 circumstances if approved in advance by the state board of examiners. 44 Appointing authorities shall submit a report to the division of financial man- 45 agement and the legislative services office by October 1 on all awards granted 46 in the preceding fiscal year. 47 (8) In addition to salary increases provided by any compensation sched- 48 ule, nonclassified officers and employees,holding permanent status,except 49 those who are elected officials or whose salaries are fixed by law, may be 50 granted anlump sum bonusaward not to exceedonetwo thousand dollars 51 ($12,000) in any given fiscal year based upon suggestions or recommendations 52 made by the employee which resulted in taxpayer savings as a result of cost 53 savings or greater efficiencies to the department, office or institution or to 54 the state of Idaho in excess of the amount of thebonusaward. Exceptions to 55 theonetwo thousand dollar ($12,000) limit provided in this subsection may be 4 1 granted in extraordinary circumstances if approved in advance by the state 2 board of examiners. The appointing authority shall as near as practicable uti- 3 lize the criteria in conformance with rules promulgated by the division of 4 human resources pursuant to section 67-5309D, Idaho Code. Appointing authori- 5 ties shall submit a report to the division of financial management and the 6 legislative services office by October 1 on all employee suggestion awards 7 granted in the preceding fiscal year. Such report shall include any changes 8 made as a direct result of an employee's suggestion and savings resulting 9 therefrom. 10 (9) Each appointing authority, including the elective offices in the 11 executive department, the legislative department, the judicial department, and 12 the state board of education and the board of regents, shall comply with all 13 reporting requirements necessary to produce the list of employee positions 14 prescribed by section 67-3519, Idaho Code. 15 (10) The adjutant general, with the approval of the governor, shall pre- 16 scribe personnel policies for all officers and employees of the national guard 17 which are not otherwise fixed by law. Such policies will include an employee 18 grievance procedure with appeal to the adjutant general. The adjutant general 19 shall determine schedules of salary and compensation which are, to the extent 20 possible, comparable to the schedules used for federal civil service employees 21 of the national guard and those employees serving in military status. Sched- 22 ules adopted shall be compatible with the state's accounting system to the 23 extent possible. 24 (11) In addition to salary increases provided by any compensation sched- 25 ule, nonclassified officers and employees, except those who are elected offi- 26 cials or whose salaries are fixed by law, may be granted award pay for 27 recruitment or retention purposes based upon affirmative certification of mer- 28 itorious service after completion of at least six (6) months of service. 29 Appointing authorities shall submit a report to the division of financial man- 30 agement and the legislative services office by October 1 on all such awards 31 granted in the preceding fiscal year. 32 (12) In addition to salary increases provided by any compensation sched- 33 ule, nonclassified officers and employees, except those who are elected offi- 34 cials or whose salaries are fixed by law, may be granted other pay as provided 35 in this subsection. Appointing authorities shall submit a report to the divi- 36 sion of financial management and the legislative services office by October 1 37 on all such awards granted in the preceding fiscal year. 38 (a) Shift differential pay up to twenty-five percent (25%) of hourly 39 rates depending on local market rates in order to attract and retain qual- 40 ified staff. 41 (b) Geographic differential pay in areas of the state where recruitment 42 and retention are difficult due to economic conditions and cost of living. 43 (13) In unusual circumstances, when a distribution has been approved for 44 classified employees pursuant to section 67-5309D, Idaho Code, each appointing 45 authority, including the elective offices in the executive branch, the legis- 46 lative branch, the judicial branch, and the state board of education and the 47 board of regents of the university of Idaho, may grant nonclassified employees 48 nonmerit pay in the same proportion as received by classified employees in 49 that department or institution. Appointing authorities shall submit a report 50 to the division of financial management and the legislative services office by 51 October 1 on all such awards granted in the preceding fiscal year. 52 (14) Each appointing authority, shall as nearly as practicable, utilize 53 the criteria for reimbursement of moving expenses in conformance with section 54 67-5337, Idaho Code, and rules promulgated by the division of human resources 55 pursuant thereto. Appointing authorities shall submit a report to the division 5 1 of financial management and the legislative services office by October 1 on 2 all moving reimbursements granted in the preceding fiscal year. 3 (15) Specific pay codes shall be established and maintained in the state 4 controller's office to ensure accurate reporting and monitoring of all pay 5 actions authorized in this section. 6 SECTION 4. That Section 59-1606, Idaho Code, be, and the same is hereby 7 amended to read as follows: 8 59-1606. VACATION TIME. (1) Eligible nonclassified officers and employees 9 in the executive department and in the legislative department shall accrue 10 vacation leave and take vacation leave at the same rate and under the same 11 conditions as is provided in sections67-5334,and 67-5335,Idaho Code, for 12 classified officers and employees. 13 (a) The state board of examiners shall adopt comparative tables and 14 charts to compute vacation time on daily, weekly, bi-weekly, calendar 15 month and annual periods. 16 (2) Eligible nonclassified officers and employees in the judicial depart- 17 ment shall accrue vacation leave as determined by order of the supreme court. 18 Leave policies established by the supreme court must be communicated to 19 the state controller in writing at least one hundred eighty (180) days in 20 advance of the effective date of the policies. 21 (3) The state board of education shall determine the vacation leave poli- 22 cies for all officers and employees of the state board of education who are 23 not subject to the provisions of chapter 53, title 67, Idaho Code. To the 24 extent possible, the state board of education shall adopt policies which are 25 compatible with the state's accounting system. 26 Any policy and procedures determined by the state board of education must 27 be communicated to the state controller in writing at least one hundred eighty 28 (180) days in advance of the effective date of the policy and procedures. 29 SECTION 5. That Section 59-1607, Idaho Code, be, and the same is hereby 30 amended to read as follows: 31 59-1607. HOURS OF WORK--AND OVERTIME. (1) It is the policy of the leg- 32 islature of the state of Idaho that all classified and nonclassified officers 33 and employees of state government shall be treatedequallysubstantially simi- 34 lar with reference to hours of employment, holidays and vacation leave, except 35 as provided in this chapter. The policy of this state shall not restrict the 36 extension of regular work hour schedules on an overtime basis, which shall be 37 the same for classified and nonclassified employees, in those activities and 38 duties where such extension is necessary and authorized by the appointing 39 authority. 40 (2) The appointing authority of any department shall determine the neces- 41 sity for overtime work and shall provide for cash compensation or compensatory 42 time off for such overtime work for eligible classified and nonclassified 43 officers and employees. 44 (3) Classified and nonclassified officers and employees who fall within 45 one (1) or more of the following categories are ineligible for cash compensa- 46 tion or compensatory time for overtime work: 47 (a) Elected officials; or 48 (b) Those included in the definition of section 67-5303(j), Idaho Code. 49 (4) Classified and nonclassified employees who are designated as execu- 50 tive, as provided in section 67-5302, Idaho Code,who are designated as exempt51under any other complete exemption in federal law,and who are not included in 6 1 the definition of subsection (3) of this section, shall be ineligible for com- 2 pensatory time or cash compensation for overtime work, but such classified and3nonclassified employees shall be allowed compensatory time off from duty for4overtime work. Such compensatory time shall be earned and allowed on a one (1)5hour for one (1) hour basis not to exceed two hundred forty (240) hours.6Accrued compensatory time off earned under this section shall not be transfer-7able, and shall be forfeited at the time of transfer to another appointing8authority or upon separation from state service. Such salaried employees shall 9 report absences in excess of one-half (1/2) day. Unused compensatory time bal- 10 ances in excess of two hundred forty (240) hours as of the date of enactment 11 of this act shall be forfeited on December 31, 2008. Unused compensatory time 12 balances of two hundred forty (240) hours or less shall be forfeited on Decem- 13 ber 31, 2006. 14 (5) Classified and nonclassified officers and employees who are desig- 15 nated as administrative or professional as provided insection 67-5302, Idaho16Code, or who are designated as exempt under any other complete exemption in17 the federallawfair labor standards act, and who are not included in the def- 18 inition of subsection (3) of this section, shall be ineligible for cash com- 19 pensation for overtime work unless cash payment is authorized by the state 20 board of examiners for overtime accumulated during unusual or emergency situa- 21 tions, but such classified and nonclassified officers and employees shall be 22 allowed compensatory time off from duty for overtime work. Such compensatory 23 time shall be earned and allowed on a one (1) hour for one (1) hour basis, 24 shall not be transferable, and shall be forfeited at the time of transfer to 25 another appointing authority or upon separation from state service. 26 (6) Classified and nonclassified officers and employees who are not des- 27 ignated as executive, administrative or professional as provided in this sec- 28 tion,67-5302, Idaho Code, who are not designated as exempt under any other29complete exemption in federal law,and who are not included in the definition 30 of subsection (3) of this section, shall be eligible for cash compensation or 31 compensatory time off from duty for overtime work, subject to the restrictions 32 of applicable federal law. Compensatory time off may be provided in lieu of 33 cash compensation at the discretion of the appointing authority after consul- 34 tation, in advance, with the employee. Compensatory time off shall be paid at 35 the rate of one and one-half (1 1/2) hours for each overtime hour worked. Com- 36 pensatory time off which has been earned during any one-half (1/2) fiscal year 37 but not taken by the end of the succeeding one-half (1/2) fiscal year, shall 38 be paid in cash on the first payroll following the close of such succeeding 39 one-half (1/2) fiscal year. Compensatory time not taken at the time of trans- 40 fer to another appointing authority or upon separation from state service 41 shall be liquidated at the time of such transfer or separation by payment in 42 cash. 43 SECTION 6. That Section 67-3511, Idaho Code, be, and the same is hereby 44 amended to read as follows: 45 67-3511. TRANSFER OF LEGISLATIVE APPROPRIATIONS. (1) No appropriations 46 made by the Idaho legislature may be transferred from one object code to 47 another except with the consent of the state board of examiners upon applica- 48 tion duly made by the head of any department, office or institution of the 49 state (including the elected officers in the executive department and the 50 state board of education). No appropriation made for expenses other than per- 51 sonnel costs shall be expended for personnel costs of the particular depart- 52 ment, office or institution for which it is appropriated, provided however, 53 that employee suggestion awards made pursuant to sections 59-1603 and 7 1 67-5309D, Idaho Code, may be made from the object code in which the savings 2 were realized. 3 (2) Legislative appropriations may be transferred from one program to 4 another within an agency upon application duly made by the head of any depart- 5 ment, office or institution of the state and approval of the application by 6 the administrator of the division of financial management and the board of 7 examiners provided the requested transfer is not more than tenper centper- 8 cent (10%) cumulative change from the appropriated amount for any program 9 affected by the transfer. Requests for transfers above tenper centpercent 10 (10%) cumulative change must, in addition to the above, be approved by legis- 11 lative appropriation. Legislative appropriations shall not be transferred from 12 one fund to another fund unless expressly approved by the legislature. 13 (3) All moneys appropriated to any agency of the state of Idaho for the 14 purpose of capital outlay shall be used for that purpose and not for any other 15 purpose. 16 (4) The joint finance-appropriations committee may limit the amount of 17 legislative appropriations for personnel costs which can be transferred to 18 other object codes. 19 SECTION 7. That Section 67-5302, Idaho Code, be, and the same is hereby 20 amended to read as follows: 21 67-5302. DEFINITIONS. As used in this chapter, and other applicable sec- 22 tions of the Idaho Code, each of the terms defined in this section shall have 23 the meaning given in this section unless a different meaning is clearly 24 required by the context. Such terms and their definitions are: 25 (1) "Administrative employee" means any person, nonclassified or classi- 26 fied appointed to a position which meets the following criteria: 271.(a) (ai) Responsible office or nonmanual work directly related to the 28 management policies of a department or section; or 29 (bii) Responsible work that is directly related to academic instruc- 30 tion or training carried on in the administration of a school system 31 or educational establishment; and 322.(b) The employee must customarily and regularly exercise discretion and 33 independent judgment, as distinguished from using skills and following 34 procedures. The employee must have the authority to make important deci- 35 sions; and 363.(c) The employee must: 37 (ai) Regularly assist a bona fide executive or administrative 38 employee; or 39 (bii) Perform work under general supervision along specialized or 40 technical lines requiring special training, experience or knowledge; 41 or 42 (ciii) Execute under only general supervision special assignments; 43 and 444.(d) The employee is classified to a position allocated to the pay grade 45 equivalent to two hundred sixty (260) points or higher pursuant to the 46 rating system established bysection 67-5309C, Idaho Coderule. 475.(e) Final designation of a classified position as "administrative" 48 within this definition shall be made by the administrator of the division 49 of human resources. 50 (2) "Administrator" means the administrator of the division of human 51 resources in the governor's office. 52 (3) "Appointing authority" means the officer, board, commission, person 53 or group of persons authorized by statute or lawfully delegated authority to 8 1 make appointments to or employ personnel in any department. 2 (4) "Class" means a group of positions sufficiently similar as to the 3 duties performed, degree of supervision exercised or required, minimum 4 requirements of training, experience or skill, and other characteristics, that 5 the same title, the same tests of fitness and the same schedule of compensa- 6 tion may be applied to each position in the group. 7 (5) "Classified officer or employee" means any person appointed to or 8 holding a position in any department of the state of Idaho which position is 9 subject to the provisions of the merit examination, selection, retention, 10 promotion and dismissal requirements of chapter 53, title 67, Idaho Code. 11 (6) "Commission" means the Idaho personnel commission. 12 (7) "Compensatory time" means approved time off from duty provided in 13 compensation for overtime hours worked. 14 (8) "Department" means any department, agency, institution or office of 15 the state of Idaho. 16 (9) "Disabled veteran" means an individual who has served on military 17 duty in the armed forces of the United States during any period of war recog- 18 nized by the United States department of veterans affairs for the purposes of 19 awarding federal veterans benefits as may be defined in title 38, U.S. code, 20 chapter 1, section 101(11), or during any other conflict recognized by the 21 award of a campaign or service medal of the United States; and has been sepa- 22 rated therefrom under honorable conditions; and has established the present 23 existence of a service-connected disability; and is receiving compensation, 24 disability retirement benefits, or pension under a public statute as adminis- 25 tered by the department of veterans affairs or a military department. 26 (10) "Earned administrative leave" means hours which exceed the regularly 27 scheduled hours but do not result in overtime. These hours may accrue after 28 hours worked and hours on paid leave exceed forty (40) hours in one (1) work 29 week. 30 (11) "Eligible" means a person who has been determined to be qualified for 31 a classified position and whose name has been placed on the register of eligi- 32 bles. 33 (12) "Executive employee" means any person, nonclassified or classified, 34 appointed to a position equivalent to a bureau chief or above as provided in 35 section 67-2402, Idaho Code, or any employee meeting the following criteria: 361.(a) An individual whose primary duty is management of a department, 37 division orsectionbureau; and 382.(b) Who customarily and regularly directs the work of at least two (2) 39 or more other employees therein; and 403.(c) Who has the authority to hire and fire, or to recommend hiring and 41 firing; or whose recommendation on these and other actions affecting 42 employees is given particular weight; and 434.(d) Who customarily and regularly exercises discretionary powers; and 445.(e) Who is classified to a position allocated to the pay grade equiva- 45 lent to two hundred sixty (260) points or higher pursuant to the rating 46 system established bysection 67-5309C, Idaho Coderule. 476.(f) Final designation of a classified position as "executive" in this 48 definition shall be made by the administrator. 49 (13) "Exempt employee" means any employee, classified or nonclassified, 50 who is determined to be an executive, professional or administrative employee 51 as defined herein, or who qualifies for any other exemption from cash compen- 52 sation for overtime under applicable federal law. Final designation of a clas- 53 sified position as exempt shall be made by the administrator. 54 (14) "Full-time employee" means any employee working a forty (40) hour 55 work week. 9 1 (15) "Holiday" means the following: 2 January 1 (New Year's Day); 3 Third Monday in January (Martin Luther King, Jr.-Idaho Human Rights 4 Day); 5 Third Monday in February (Washington's Birthday); 6 Last Monday in May (Memorial Day); 7 July 4 (Independence Day); 8 First Monday in September (Labor Day); 9 Second Monday in October (Columbus Day); 10 November 11 (Veterans Day); 11 Fourth Thursday in November (Thanksgiving); 12 December 25 (Christmas). 13 In addition, the term "holiday" shall mean any day so designated by the Presi- 14 dent of the United States or the governor of this state for a public fast, 15 thanksgiving or holiday. 16 In the event that a holiday occurs on a Saturday, the preceding Friday 17 shall be a holiday, and if the holiday falls on a Sunday, the following Monday 18 shall be a holiday. 19 A holiday is a day of exemption from work granted to nonexecutive employ- 20 ees during which said employees shall be compensated as if they actually 21 worked. Employees classified as executive exempt are entitled to ten (10) paid 22 holidays per year. If such an employee works on one (1) of the official holi- 23 days listed in this subsection, then such employee may take an alternative day 24 off but shall not receive additional compensation. 25 (16) "Hours worked" means those hours actually spent in the performance of 26 the employee's job on any day including holidays, and shall not include vaca- 27 tion or sick leave or other approved leave of absence. 28 (17) "Nonclassified employee" means any person appointed to or holding a 29 position in any department of the state of Idaho, which position is exempted 30 from the provisions of chapter 53, title 67, Idaho Code, as provided for in 31 section 67-5303, Idaho Code. 32 (18) "Normal work week" means any forty (40) hours worked during a partic- 33 ular one hundred sixty-eight (168) hour period as previously established by 34 the employee's appointing authority. 35 (19) "Open competitive examination" means an examination which may be 36 taken by qualified applicants to compete on an equal basis for listing on the 37 register of eligibles. 38 (20) "Overtime work" means time worked on holidays and time worked in 39 excess of forty (40) hours in a period of one hundred sixty-eight (168) con- 40 secutive hours, except that in the case of those employees engaged in law 41 enforcement, correctional and fire protection activities characterized by 42 irregular shift work schedules, time worked in excess of one hundred sixty 43 (160) hours in a period of twenty-eight (28) consecutive days shall constitute 44 overtime work within the meaning of this chapter. 45 (21) "Participating department" means any department of the state of Idaho 46 which employs persons in classified positions subject to the merit examina- 47 tion, selection, retention, promotion and dismissal requirements of this chap- 48 ter. 49 (22) "Part-time employee" means any employee whose usually scheduled work 50 is less than forty (40) hours in a period of one hundred sixty-eight (168) 51 consecutive hours. 52 (23) "Personnel system" means the procedure for administering employees in 53 accordance with this chapter. 54 (24) "Political office" means a public office for which partisan politics 55 is a basis for nomination, election or appointment. 10 1 (25) "Political organization" means a party which sponsors candidates for 2 election to political office. 3 (26) "Position" means a group of duties and responsibilities legally 4 assigned or delegated by one (1) or more appointing authorities and requiring 5 the employment of one (1) person. 6 (27) "Professional employee" means any person, nonclassified or classi- 7 fied, appointed to a position which meets the following criteria: 81.(a) The employee's primary duty must be either: 9 (ai) Work requiring knowledge of an advanced type in a field of 10 science or learning, customarily obtained by a prolonged course of 11 specialized instruction and study; or 12 (bii) Work that is original and creative in character in a recog- 13 nized field of artistic endeavor and the result of which depends pri- 14 marily on his invention, imagination, or talent; or 15 (ciii) Work as a teacher certified or recognized as such in a school 16 system or educational institution by which he is employed; and 172.(b) The employee must consistently exercise discretion and judgment; 18 and 193.(c) The employee must do work that is predominantly intellectual and 20 varied, as distinguished from routine or mechanical duties; and 214.(d) The employee is classified to a position allocated to the pay grade 22 equivalent to two hundred sixty (260) points or higher pursuant to the 23 rating system establishedin section 67-5309C, Idaho Codeby rule. 245.(e) Final designation of a classified position as "professional" within 25 this definition shall be made by the administrator. 26 (28) "Provisional appointment" means appointment to a classified position 27 pending the establishment of a register for such position and employment shall 28 not be continued in this status longer than thirty (30) days after establish- 29 ment of a register. 30 (29) "Qualifying examination" means an examination or evaluation given to 31 a selected person to determine eligibility for reclassification or appointment 32 to a position in a classification. 33 (30) "Register" means a list of names of persons who have been determined 34 to be eligible for employment in a classified position as determined on the 35 basis of examination and merit factors as established by the administrator. 36 (31) "Seasonal appointment" means an appointment to a position which is 37 permanent in nature, but which has intermittent work periods throughout the 38 year. 39 (32) "Service rating" means a recorded evaluation of work performance and 40 promotional potential of an employee by his supervisor. 41 (33) "Temporary appointment" means appointment to a position which is not 42 permanent in nature, and in which employment will not exceed one thousand 43 three hundred eighty-five (1,385) hours during any twelve (12) month period. 44 No person holding a temporary appointment may work in excess of one thousand 45 three hundred eighty-five (1,385) hours during a twelve (12) month period of 46 time for any one (1) department, except upon petition by the appointing 47 authority of the department of lands that demonstrates good cause, the admin- 48 istrator of the division of human resources may extend the one thousand three 49 hundred eighty-five (1,385) hour limit for employees of the department who are 50 required to perform fire suppression activities. 51 (34) "Vacation leave" means a period of exemption from work granted to 52 employees during which time said employees shall be compensated. The term 53 shall not include compensatory time for overtime work. 54 (35) "Veteran" means any person who has served in the active service of 55 the armed forces of the United States during any period of war recognized by 11 1 the United States department of veterans affairs for the purpose of awarding 2 federal veterans benefits as may be defined in title 38, U.S. code, chapter 1, 3 section 101(11), or during any other conflict recognized by the award of a 4 campaign or service medal of the United States, and who has been discharged 5 under other than dishonorable conditions. 6 SECTION 8. That Section 67-5309, Idaho Code, be, and the same is hereby 7 amended to read as follows: 8 67-5309. RULES OF THE DIVISION OF HUMAN RESOURCES AND THE PERSONNEL COM- 9 MISSION. The administrator of the division of human resources shall have the 10 power and authority to adopt, amend, or rescind such rules as may be necessary 11 for proper administration of this chapter. Such rules shall include: 12 (a) A rule requiring the administrator, after consulting with each 13 department to develop, adopt, and make effective, a job classification system 14 for positions covered by this chapter, based upon an analysis of the duties 15 and responsibilities of the positions. The job classification shall include an 16 appropriate title for each class, and a description of duties and responsibil- 17 ities of positions in the classes and the requirements of minimum training, 18 experience and other qualifications, suitable for the performance of duties of 19 the position. 20 (b) A rule describing the relevant labor markets and benchmark job clas- 21 sifications used in the administrator's salary surveys. 22 (c) A rule requiring that all classes of positions which are common to 23 the departments concerned shall have the same titles, minimum requirements and 24 compensation ranges. 25 (d) A rule providing for review by the administrator of the personnel 26 system including classifications and compensation policies and procedures. 27 (e) A rule that, notwithstanding the procedure for examination and rank- 28 ing of eligibles on a register provided in subsection (f) of this section, an 29 agency may appoint an individual directly into an entrance or promotional pro- 30 bation if the division of vocational rehabilitation, Idaho commission for the 31 blind and visually impaired or the industrial commission certifies, with the 32 concurrence of division of human resources staff, that the individual (1) has 33 a disability or handicap as defined under state or federal law; (2) is quali- 34 fied to perform the essential functions of a particular classified position 35 with or without reasonable accommodation; and (3) lacks competitiveness in the 36 examination process due to the disability or handicap. The probationary period 37 as provided in subsection (j) of this section shall be the sole examination 38 for such individuals. 39 (f) A rule requiring fair and impartial selection of appointees to all 40 positions other than those defined as nonclassified in this chapter, on the 41 basis of open competitive merit examinations or evaluations. An application 42 for an examination will be accepted after the closing date of the examination 43 from a person who was serving in the armed forces, or undergoing hospitaliza- 44 tion of no more than one (1) year following discharge, during any period in 45 which the examination was open; the application must be submitted within one 46 hundred twenty (120) days of separation from the armed forces or hospitaliza- 47 tion and prior to the expiration of the register established as a result of 48 the examination. A disabled veteran may file an application at any time for 49 any position for which the division maintains a register or for which a regis- 50 ter is about to be established, provided he or she has not already been exam- 51 ined twice for the same position and grade for which application is made, does 52 not have current eligibility on that register, or is not serving in a compet- 53 itive position in the same grade for which application is made. Examinations 12 1 may be assembled or unassembled and may include various examining techniques 2 such as rating of training and experience, written tests, oral interviews, 3 recognition of professional licensing, performance tests, investigations and 4 any other measure of ability to perform the duties of the position. Examina- 5 tions shall be scored objectively. Five (5) points shall be added to the 6 earned rating of any war veteran as defined in section 65-506, Idaho Code, and 7 the widow or widower of any war veteran as defined in section 65-506, Idaho 8 Code, as long as he or she remains unmarried. Pursuant to section 65-506, 9 Idaho Code, ten (10) points shall be added to the earned rating of any dis- 10 abled veteran, the widow or widower of any disabled veteran as long as he or 11 she remains unmarried or the spouse of any disabled veteran who is physically 12 unable to perform the work in the position to which the spouse seeks to apply 13 the preference. Employment registers shall be established in order of final 14 score except that the names of all five (5) point preference eligibles result- 15 ing from any merit system or civil service examination shall be placed on the 16 register in accordance with their augmented rating, and the names of all ten 17 (10) point preference eligibles shall be placed at the top of the register 18 above the names of all nonpreference eligibles. Certification of eligibility 19 for appointment to vacancies shall be in accordance with a formula which lim- 20 its selection by the hiring department from among the ten (10) top ranking 21 available eligibles plus the names of all individuals with scores identical to 22 the tenth ranking eligible on the register. A register with at least five (5) 23 eligibles shall be adequate. Selective certification shall be permitted when 24 justified by the hiring department, under rules to be made by the division 25 defining adequate justification based on the duties and requirements of the 26 positions. Such examinations need not be held until after the rules have been 27 adopted, the service classified and a pay plan established, but shall be held 28 not later than one (1) year after departments commence participation in the 29 personnel system. 30 (g) A rule that, whenever practicable, a vacancy in a classified position 31 shall be filled by the promotion of a qualifiedpermanentemployee of the 32 agency in which the vacancy occurs. An interagency promotion shall be made 33 through competitive examination and all qualified state employees shall have 34 the opportunity to compete for such promotions. If an employee's name appears 35 within certifiable range on a current register for a higher class of position, 36 he shall be eligible for a transfer and promotion. 37 (h) A rule for development and maintenance of a system of service ratings 38 and the use of such ratings by all departments in connection with promotions, 39 demotions, retentions, separations and reassignments. The rule shall require 40 that an evaluation of each classified employee shall be made after each two 41 thousand eighty (2,080) hour period of credited state service, and that a copy 42 of the evaluation shall be filed with the division. 43 (i) A rule prohibiting disqualification of any person from taking an 44 examination, from appointment to a position, from promotion, or from holding a 45 position because of race or national origin, color, sex, age, political or 46 religious opinions or affiliations, and providing for right of appeal. 47 (j) A rule establishing a probation period not to exceed one thousand 48 forty (1,040) hours of credited state service for all appointments and promo- 49 tions, except that peace officers as defined in section 19-5101, Idaho Code, 50 shall be subject to a probation period of two thousand eighty (2,080) hours of 51 credited state service, and for the appointing authority to provide the 52 employee and the administrator a performance evaluation indicating satisfac- 53 tory or unsatisfactory performance not later than thirty (30) days after the 54 expiration of the probationary period. The rule shall provide that if the 55 appointing authority fails to provide a performance evaluation within thirty 13 1 (30) days after the expiration of the probationary period, the employee shall 2 be deemed to have satisfactorily completed the probation unless the appointing 3 authority receives approval from the administrator to extend the probationary 4 period for good cause for an additional specified period not to exceed one 5 thousand forty (1,040) hours of credited state service. If an employee is per- 6 forming in an unsatisfactory manner during the entrance probationary period, 7 the appointing authority shall ask the employee to resign, and if no resigna- 8 tion is submitted, shall terminate the employment of such employee without the 9 right of grievance or appeal. 10 (k) A rule concerning provisional appointments. 11 (l) A rule concerning temporary appointments. 12 (m) A rule governing the employment of consultants and persons retained 13 under independent contract. 14 (n) A rule for the disciplinary dismissal, demotion, suspension or other 15 discipline of employees only for cause with reasons given in writing. Such 16 rule shall provide that any of the following reasons shall be proper cause for 17 the disciplinary dismissal, demotion or suspension of any employee in the 18 state classified service: 19 1. Failure to perform the duties and carry out the obligations imposed by 20 the state constitution, state statutes and rules of the employee's depart- 21 ment, or rules of the administrator or the division. 22 2. Inefficiency, incompetency, or negligence in the performance of 23 duties, or job performance that fails to meet established performance 24 standards. 25 3. Physical or mental incapability for performing assigned duties. 26 4. Refusal to accept a reasonable and proper assignment from an autho- 27 rized supervisor. 28 5. Insubordination or conduct unbecoming a state employee or conduct det- 29 rimental to good order and discipline in the employee's department. 30 6. Intoxication on duty. 31 7. Careless, negligent, or improper use or unlawful conversion of state 32 property, equipment or funds. 33 8. Use of any influence which violates the principles of the merit system 34 in an attempt to secure a promotion or privileges for individual advan- 35 tage. 36 9. Conviction of official misconduct in office, or conviction of any fel- 37 ony, or conviction of any other crime involving moral turpitude. 38 10. Acceptance of gifts in exchange for influence or favors given in the 39 employee's official capacity. 40 11. Habitual pattern of failure to report for duty at the assigned place 41 and time. 42 12. Habitual improper use of sick leave privileges. 43 13. Unauthorized disclosure of confidential information from official 44 records. 45 14. Absence without leave. 46 15. Misstatement or deception in the application for the position. 47 16. Failure to obtain or maintain a current license or certificate law- 48 fully required as a condition for performing the duties of the job. 49 17. Prohibited participation in political activities. 50 (o) A rule to establish procedures for maintenance of a record of the 51 employment history and appropriate information relating to performance of all 52 employees under the personnel system. For the purposes of this rule, the state 53 shall be considered one (1) employer. 54 (p) Rules to provide for recruitment programs in cooperation with depart- 55 ment heads and the employment security agency in keeping with current employ- 14 1 ment conditions and labor market trends. 2 (q) Rules to establish procedures for examinations as necessary for the 3 purpose of maintaining current registers from which to fill employment vacan- 4 cies. 5 (r) Other rules not inconsistent with the foregoing provisions of this 6 section as may be necessary and proper for the administration and enforcement 7 of this chapter. 8 (s) A rule concerning "project exempt" appointments. 9 (t) Rules relating to leave for state employees from official duties 10 including, but not limited to, sick leave, military leave, jury duty, leaves 11 of absence without compensation and such other forms of absence from perfor- 12 mance of duties in the course of state employment as may be necessary. 13 (u) A rule providingfor five percent (5%)up to twenty-five percent 14 (25%) shift differential pay based on local market practices. 15 (v) A rule to establish guidelines for awarding employee suggestion 16 awards set forth in sections 59-1603 and 67-5309D, Idaho Code. 17 (w) A rule to establish the reimbursement of moving expenses for a cur- 18 rent or newly-hired state employee. 19 (x) A rule to allow, at the request of the hiring agency, temporary and 20 acting appointment service time to count toward fulfilling entrance probation- 21 ary requirements as established in section 67-5309(j), Idaho Code. 22 SECTION 9. That Section 67-5309A, Idaho Code, be, and the same is hereby 23 repealed. 24 SECTION 10. That Chapter 53, Title 67, Idaho Code, be, and the same is 25 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 26 ignated as Section 67-5309A, Idaho Code, and to read as follows: 27 67-5309A. STATE EMPLOYEE COMPENSATION PHILOSOPHY. (1) It is hereby 28 declared to be the intent of the legislature of the state of Idaho that the 29 goal of a total compensation system for state employees shall be to fund a 30 competitive employee compensation and benefit package that will attract quali- 31 fied applicants to the work force; retain employees who have a commitment to 32 public service excellence; motivate employees to maintain high standards of 33 productivity; and reward employees for outstanding performance. 34 (2) The foundation for this philosophy recognizes that state government 35 is a service enterprise in which the state work force provides the most criti- 36 cal role for Idaho citizens. Maintaining a competitive compensation system is 37 an integral, necessary and expected cost of providing the delivery of state 38 services and is based on the following compensation standards: 39 (a) The state's overall compensation system, which includes both a salary 40 and a benefit component, when taken as a whole shall be competitive with 41 relevant labor market averages. 42 (b) Advancement in pay shall be based on job performance and market 43 changes. 44 (c) Pay for performance shall provide faster salary advancement for 45 higher performers based on a merit increase matrix developed by the divi- 46 sion of human resources. 47 (d) All employees below the state's midpoint market average in a salary 48 range who are meeting expectations in the performance of their jobs shall 49 move through the pay range toward the midpoint market average. 50 (3) It is hereby declared to be legislative intent that regardless of 51 specific budgetary conditions from year to year, it is vital to fund necessary 52 compensation adjustments each year to maintain market competitiveness in the 15 1 compensation system. In order to provide this funding commitment in difficult 2 fiscal conditions, it may be necessary to increase revenues, or to prioritize 3 and eliminate certain functions or programs in state government, or to reduce 4 the overall number of state employees in a given year, or any combination of 5 such methods. 6 SECTION 11. That Section 67-5309B, Idaho Code, be, and the same is hereby 7 repealed. 8 SECTION 12. That Chapter 53, Title 67, Idaho Code, be, and the same is 9 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 10 ignated as Section 67-5309B, Idaho Code, and to read as follows: 11 67-5309B. IDAHO COMPENSATION PLAN. (1) The administrator of the division 12 of human resources shall establish benchmark job classifications and shall 13 assign all classifications to a pay grade utilizing the Hay profile method in 14 combination with market data. Pay grades established or revised by the admin- 15 istrator shall appropriately weigh Hay points and market data to ensure inter- 16 nal equity and market equity within the classified service. 17 (2) It shall be the responsibility of each department director to prepare 18 a department salary administration plan and corresponding budget plan that 19 supports the core mission of the department and is consistent with the provi- 20 sions of section 67-5309A, Idaho Code. 21 (3) Advancement in pay shall be based on performance and market changes 22 and be provided in a variety of delivery methods, including ongoing increases, 23 temporary increases and market related payline moves. Market related payline 24 moves may advance all eligible employees as well as the structure to avoid 25 compression in the salary system. 26 (4) Pay for performance shall provide faster salary advancement for 27 higher performers based on a merit increase matrix developed by the division 28 of human resources. Such matrix shall be based upon the employee's proximity 29 to the state midpoint market average, and the employee's relative performance. 30 Such matrix may be adapted by each agency to meet its specific needs when 31 approved by the division of human resources. 32 (5) No employee shall advance in a salary range without a performance 33 evaluation on file certifying that the employee meets the performance criteria 34 of the assigned position. 35 (6) Each employee's work performance shall be evaluated through a format 36 and process approved by the department and the division of human resources. 37 The employee shall be evaluated after one thousand forty (1,040) hours of 38 credited state service from the date of initial appointment or promotion, and 39 thereafter be evaluated after each two thousand eighty (2,080) hours of cred- 40 ited state service. Employees may be eligible for advancement in pay if certi- 41 fied as meeting the performance requirements of this section. However, such 42 in-grade advancement shall not be construed as a vested right. The department 43 director shall designate in writing whether such in-grade advancement is tem- 44 porary, conditional or permanent. It shall be the specific responsibility of 45 the employee's immediate supervisor to effect the evaluation process. Such 46 evaluation shall be approved by the department director or the director's des- 47 ignee. 48 (7) All supervisors who evaluate state employees shall receive training 49 in the evaluation format and process to assure fairness and consistency in the 50 evaluation process. 51 (8) Notwithstanding any other provision of Idaho Code, it is hereby 52 declared to be the policy of the legislature of the state of Idaho that all 16 1 classified employees of like classification and pay grade allocation shall be 2 treated in a substantially similar manner with reference to personnel bene- 3 fits. 4 SECTION 13. That Section 67-5309C, Idaho Code, be, and the same is hereby 5 repealed. 6 SECTION 14. That Chapter 53, Title 67, Idaho Code, be, and the same is 7 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 8 ignated as Section 67-5309C, Idaho Code, and to read as follows: 9 67-5309C. ANNUAL SURVEYS, REPORTS AND RECOMMENDATIONS. (1) The adminis- 10 trator of the division of human resources shall conduct or approve annual sal- 11 ary and benefit surveys within relevant labor markets to determine salary 12 ranges and benefit packages that represent competitive labor market average 13 rates and benefits provided by private industry and other governmental units. 14 (2) A report of the results of the annual salary and benefit surveys and 15 recommendations for changes to meet the requirements of section 67-5309A, 16 Idaho Code, together with their estimated costs of implementation, shall be 17 submitted to the governor and the legislature not later than the first day of 18 December of each year. The recommendation shall include, at a minimum, four 19 (4) components to address the compensation philosophy described in section 20 67-5309A, Idaho Code, and shall include specific funding recommendations for 21 each component: 22 (a) A recommendation for market related changes necessary to address sys- 23 tem wide structure adjustments to stay competitive with relevant labor 24 markets. Such recommendation may include a market related payline adjust- 25 ment for all eligible employees, as well as the structure, to avoid com- 26 pression in the salary system. 27 (b) A recommendation for market related changes necessary to address spe- 28 cific occupational inequities. 29 (c) A recommendation for a merit increase component to recognize and 30 reward state employees in the performance of public service to the citi- 31 zens of Idaho. 32 (d) A recommendation for any changes to the employee benefit package, 33 including any adjustments to the overall design of the benefit package 34 and/or employee contributions. 35 (3) The governor shall submit his own recommendations on proposed changes 36 in salaries and benefits to the legislature prior to the seventh legislative 37 day of each session. Such recommendation shall address, at a minimum, the four 38 (4) components and subsequent funding for each component required in this sec- 39 tion. 40 (4) The legislature may, by concurrent resolution, accept, modify or 41 reject the governor's recommendations, but any such action by the legislature, 42 at a minimum, shall address the four (4) components and subsequent funding of 43 each component required in this section. The failure of the legislature to 44 accept, modify or reject the recommendations prior to adjournment sine die 45 shall constitute approval of the governor's recommendations, and such recom- 46 mendations shall be funded through appropriations provided by law. The admin- 47 istrator of the division of human resources shall implement necessary and 48 authorized changes to salary and pay schedule by rule. The director of the 49 department of administration shall implement necessary and authorized changes 50 to benefits. 51 SECTION 15. That Chapter 53, Title 67, Idaho Code, be, and the same is 17 1 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 2 ignated as Section 67-5309D, Idaho Code, and to read as follows: 3 67-5309D. OTHER PAY DELIVERY OPTIONS. (1) In addition to pay increases 4 authorized in section 67-5309B, Idaho Code, the department director may grant 5 a classified employee bonus pay not to exceed two thousand dollars ($2,000) in 6 any given fiscal year based upon exemplary performance. Exceptions to the two 7 thousand dollar ($2,000) limit provided in this subsection (1) may be granted 8 in extraordinary circumstances if approved in advance by the state board of 9 examiners. Departments shall submit a report to the division of financial man- 10 agement and the legislative services office by October 1 on all bonuses 11 granted in the preceding fiscal year. 12 (2) In addition to pay increases authorized in section 67-5309B, Idaho 13 Code, the department director may grant a classified employee an award payment 14 based upon suggestions or recommendations made by the employee which resulted 15 in taxpayer savings as a result of cost savings or greater efficiencies to the 16 department or to the state of Idaho in excess of the amount of the award, and 17 in compliance with the rules for employee suggestion awards promulgated by the 18 division of human resources. The award may be an amount up to twenty-five per- 19 cent (25%) of the amount determined to be the dollar savings to the state, but 20 not in excess of two thousand dollars ($2,000). Exceptions to the two thousand 21 dollar ($2,000) limit provided in this subsection (2) may be granted in 22 extraordinary circumstances if approved in advance by the state board of exam- 23 iners. Departments shall submit a report to the division of financial manage- 24 ment and the legislative services office by October 1 on all employee sugges- 25 tion awards granted in the preceding fiscal year. Such report shall include 26 any changes made as a direct result of an employee's suggestion and savings 27 resulting therefrom. 28 (3) In addition to pay increases authorized in section 67-5309B, Idaho 29 Code, the department director may grant award pay to a classified employee for 30 recruitment or retention purposes upon completion of at least six (6) months 31 of achieving performance standards. Departments shall submit a report to the 32 division of financial management and the legislative services office by Octo- 33 ber 1 on all such awards granted in the preceding fiscal year. 34 (4) In addition to pay increases authorized in section 67-5309B, Idaho 35 Code, department directors may provide a classified employee other nonperfor- 36 mance related pay as provided in this subsection (4). Departments shall submit 37 a report to the division of financial management and the legislative services 38 office by October 1 on all such awards granted in the preceding fiscal year. 39 (a) Shift differential pay up to twenty-five percent (25%) of hourly 40 rates depending on local market rates in order to attract and retain qual- 41 ified staff. 42 (b) Geographic differential pay in areas of the state where recruitment 43 and retention of qualified staff are difficult due to economic conditions 44 and cost of living. 45 (c) Employees in the same classification who are similarly situated shall 46 be treated consistently in respect to shift differential and geographic 47 pay differential. 48 (5) When necessary to obtain or retain qualified personnel in a particu- 49 lar classification, upon petition of the department to the administrator con- 50 taining acceptable reasons therefor, a higher temporary pay grade may be 51 authorized by the administrator which, if granted, shall be reviewed annually 52 to determine the need for continuance. 53 (6) In unusual circumstances, with prior approval from the administrators 54 of the division of human resources and the division of financial management, 18 1 agencies may grant nonperformance related pay to employees, which in no case 2 may exceed five percent (5%) of an employee's base pay. Departments shall sub- 3 mit a report to the division of financial management and the legislative ser- 4 vices office by October 1 on all such awards granted in the preceding fiscal 5 year. 6 (7) Specific pay codes shall be established and maintained in the state 7 controller's office to ensure accurate reporting and monitoring of all pay 8 actions authorized in this section. 9 SECTION 16. That Section 67-5326, Idaho Code, be, and the same is hereby 10 repealed. 11 SECTION 17. That Sections 67-5328, 67-5329, 67-5330 and 67-5331, Idaho 12 Code, be, and the same are hereby amended to read as follows: 13 67-5328.OVERTIME COMPENSATION -- ELIGIBILITYHOURS OF WORK AND OVERTIME. 14 (1) It is hereby declared to be the policy of the legislature of the state of 15 Idaho that all classified employees shall be treated substantially similar 16 with reference to hours of employment. The policy of this state as declared in 17 this act shall not restrict the extension of regular work hour schedules on an 18 overtime basis in those activities and duties where such extension is neces- 19 sary and authorized, provided that overtime work performed under such exten- 20 sion is compensated for as hereinafter provided. 21 (2) The appointing authority of any department shall determine the neces- 22 sity for overtime work and shall provide for cash compensation or compensatory 23 time off for such overtime work for eligible classified officers and employ- 24 ees, subject to the restrictions of applicable federal law. 2567-5329. CASH FOR OVERTIME -- COMPENSATORY TIME.26 (13) Cash for overtime and compensatory time shall be paid based on the 27 following criteria: 28 (a) Classified and nonclassified officers and employees who fall within 29 one (1) or more of the following categories are ineligible for cash com- 30 pensation or compensatory time for overtime work: 31 (ai) Elected officials; or 32 (bii) Those included in the definition of section 67-5303(j), Idaho 33 Code. 34 (2b) Classified and nonclassified employees who are designated as execu- 35 tive, as provided in section 67-5302, Idaho Code,who are designated as36exempt under any other complete exemption in federal law,and who are not 37 included in the definition of subsection (13)(a) of this section, shall be 38 ineligible for compensatory time or cash compensation for overtime work,39but such classified and nonclassified employees shall be allowed compensa-40tory time off from duty for overtime work. Such compensatory time shall be41earned and allowed on a one (1) hour for one (1) hour basis not to exceed42two hundred forty (240) hours. Accrued compensatory time off earned under43this section shall not be transferable, and shall be forfeited at the time44of transfer to another appointing authority or upon separation from state45service. Such salaried employees shall report absences in excess of one- 46 half (1/2) day. Unused compensatory time balances in excess of two hundred 47 forty (240) hours as of the date of enactment of this act shall be for- 48 feited on December 31, 2008. Unused compensatory time balances of two hun- 49 dred forty (240) hours or less shall be forfeited on December 31, 2006. 50 (3c) Classified and nonclassified employees who are designated as admin- 51 istrative or professional, as provided insection 67-5302, Idaho Code, or52who are designated as exempt under any other complete exemption inthe 19 1 federallawfair labor standards act, and who are not included in the def- 2 inition of either subsection (13)(a) or (3)(b) of this section, shall be 3 ineligible for cash compensation for overtime work unless cash payment is 4 authorized by the state board of examiners for overtime accumulated during 5 unusual or emergency situations, but such classified and nonclassified 6 employees shall be allowed compensatory time off from duty for overtime 7 work. Such compensatory time shall be earned and allowed on a one (1) hour 8 for one (1) hour basis, shall not be transferable, and shall be forfeited 9 at the time of transfer to another appointing authority or upon separation 10 from state service. 11 (4d) Classified employees who are not designated as executive, adminis- 12 trative or professional as provided in this section,67-5302, Idaho Code,13who are not designated as exempt under any other complete exemption in14federal law,and who are not included in the definition of subsection 15 (13)(a) of this section, shall be eligible for cash compensation or com- 16 pensatory time off from duty for overtime work, subject to the restric- 17 tions of applicable federal law. Compensatory time off may be provided in 18 lieu of cash compensation at the discretion of the appointing authority 19 after consultation, in advance, with the employee. Compensatory time off 20 shall be paid at the rate of one and one-half (1 1/2) hours for each over- 21 time hour worked. Compensatory time off which has been earned during any 22 one-half (1/2) fiscal year but not taken by the end of the succeeding one- 23 half (1/2) fiscal year, shall be paid in cash on the first payroll follow- 24 ing the close of such succeeding one-half (1/2) fiscal year. Compensatory 25 time not taken at the time of transfer to another appointing authority or 26 upon separation from state service shall be liquidated at the time of such 27 transfer or separation by payment in cash. 2867-5330. RATE OF OVERTIME COMPENSATION WHEN PAID IN CASH.29 (4) Cash compensation for overtime, when paid, shall be at one and one- 30 half (1 1/2) times the hourly rate of that officer's or employee's salary or 31 wage, except for those employees whose positions fall within the definitions 32 of executive, administrative or professional as stated in section 67-5302, 33 Idaho Code, who will be paid at their regular hourly rate of pay as provided 34 for in subsection67-5329, Idaho Code(3) of this section. 3567-5331. OVERTIME COMPENSATION -- WHEN PAID.36 (5) Except as provided for in subsection67-5329, Idaho Code(3) of this 37 section, compensation for authorized overtime work shall be made at the com- 38 pletion of the pay period next following the pay period in which the overtime 39 work occurred and shall be added to the regular salary payment. 40 SECTION 18. That Sections 67-5333 and 67-5339, Idaho Code, be, and the 41 same are hereby amended to read as follows: 42 67-5333. SICK LEAVE.COMPUTATION.(1) Sick leave shall be computed as 43 follows: 44 (a) The rate per hour at which sick leave shall accrue to classified 45 officers and employees earning credited state service shall be at the rate 46 represented by the proportion 96/2080. Sick leave shall accrue without 47 limit, and shall be transferable from department to department. 48 (2b) Sick leave shall not accrue to any officer or employee on any kind 49 of leave of absence without pay, suspension without pay or layoff. Sick 50 leave shall accrue while an officer or employee is on approved leave with 51 pay, on approved vacation leave, on approved military leave with pay, and 52 on approved sick leave, but not when compensatory time or earned adminis- 53 trative leave is taken. 20 1 (3c) All accrued sick leave shall be forfeited at the time of separation 2 from state service and no officer or employee shall be reimbursed for 3 accrued sick leave at the time of separation, except as provided in 4 subsection67-5339, Idaho Code(2) of this section. If such officer or 5 employee returns to credited state service within three (3) years of such 6 separation, all sick leave credits accrued at the time of separation shall 7 be reinstated, except to the extent that unused sick leave was utilized 8 for the purposes specified in subsection67-5339, Idaho Code(2) of this 9 section. 10 (4d) Sick leave shall be taken on a workday basis. Regularly scheduled 11 days off and officially designated holidays falling within a period of 12 sick leave shall not be counted against sick leave. Sick leave shall not 13 be taken in advance of being earned. 14 (5e) In cases where absences for sick leave exceed three (3) consecutive 15 working days, the appointing authority may require verification by a phy- 16 sician or other authorized practitioner. 17 (6f) If an absence for illness or injury extends beyond the sick leave 18 accrued to the credit of the officer or employee, the officer or employee 19 may be granted leave without pay. 20 (7g) The administrator shall prescribe additional requirements for sick 21 leave for classified officers and employees on a part-time or irregular 22 schedule, for maintaining sick leave records, for funeral leave, and such 23 other applicable purposes as necessary. 2467-5339. USE OF UNUSED SICK LEAVE.25 (12) Unused sick leave may be used as follows: 26 (a) Upon separation from state employment by retirement in accordance 27 with chapter 13, title 59 or chapter 1, title 33, Idaho Code, an 28 employee's unused sick leave shall be determined based on accumulated sick 29 leave earned subsequent to July 1, 1976, and shall be reported by the 30 employer to the public employee retirement system. Upon separation from 31 state employment by retirement in accordance with chapter 20, title 1, 32 Idaho Code, an employee's unused sick leave shall be determined based on 33 accumulated sick leave earned subsequent to July 1, 2000, and shall be 34 reported by the employer to the public employee retirement system. A sum 35 equal to one-half (1/2), or the maximum amount allowed bysubsection (2)36 paragraph (b) of this subsection (2), whichever is the lesser, of the mon- 37 etary value of such unused sick leave, calculated at the rate of pay for 38 such employee at the time of retirement, shall be transferred from the 39 sick leave account provided bysubsection (3)paragraph (c) of this 40 subsection (2) and shall be credited to such employee's retirement 41 account. Such sums shall be used by the Idaho public employee retirement 42 board to pay premiums for such group health, accident, and life insurance 43 programs as may be maintained by the state, to the extent of the funds 44 credited to the employee's account pursuant to this section. Upon an 45 employee's death, any unexpended sums remaining in the account shall 46 revert to the sick leave account. 47 (2b) For the purposes of determining the monetary value of unused sick 48 leave, the maximum unused sick leave which may be considered, shall be: 49 (ai) During the first ten thousand four hundred (10,400) hours of 50 credited state service, the maximum unused sick leave which may be 51 considered shall be four hundred twenty (420) hours; 52 (bii) During the second ten thousand four hundred (10,400) hours of 53 credited state service, the maximum unused sick leave which may be 54 considered shall be four hundred eighty (480) hours; 55 (ciii) During the third ten thousand four hundred (10,400) hours of 21 1 credited state service, the maximum unused sick leave which may be 2 considered shall be five hundred forty (540) hours; and 3 (div) Thereafter, the maximum unused sick leave which may be consid- 4 ered shall be six hundred (600) hours. 5 (3c) Each employer in state government shall contribute to a sick leave 6 account maintained by the public employee retirement system exclusively 7 for the purpose of the provisions of this section. The rate of such con- 8 tribution each pay period shall consist of a percentage of employees' sal- 9 aries as determined by the board, and such rate shall remain in effect 10 until next determined by the board. Any excess balance in the sick leave 11 account shall be invested, and the earnings therefrom shall accrue to the 12 sick leave account except the amount required by the board to defray 13 administrative expenses. All moneys payable to the sick leave account are 14 hereby perpetually appropriated to the board, and shall not be included in 15 its departmental budget. The state insurance fund and public health dis- 16 tricts shall be considered employers in state government for purposes of 17 participation under this section. 18 SECTION 19. That Sections 67-5334, 67-5335 and 67-5337, Idaho Code, be, 19 and the same are hereby amended to read as follows: 20 67-5334. VACATION TIME.COMPUTATION.(1) Vacation time shall be computed 21 as follows: 22 (a) Vacation time shall not accrue to any officer or employee on any kind 23 of leave of absence without pay, suspension without pay or layoff. Vaca- 24 tion leave shall accrue while an officer or employee is on approved leave 25 with pay, on approved vacation leave, on approved military leave with pay, 26 and on approved sick leave, but not when compensatory time or earned 27 administrative leave is taken. 28 (2b) The rate per hour at which vacation leave shall accrue to eligible 29 classified officers and employees earning credited state service who are 30 covered and nonexempt under the federal fair labor standards act shall be 31 at the rate represented by the proportion 96/2080 during the first ten 32 thousand four hundred (10,400) hours of credited state service; at the 33 rate represented by the proportion 120/2080 during the second ten thousand 34 four hundred (10,400) hours of credited state service; at the rate repre- 35 sented by the proportion 144/2080 during the third ten thousand four hun- 36 dred (10,400) hours of credited state service; and at the rate represented 37 by the proportion 168/2080 thereafter. 38 (c) Classified officers and employees earning credited state service and 39 defined as an exempt "professional," "administrative," or "computer 40 worker" under the federal fair labor standards act shall be at the rate 41 represented by the proportion 120/2080 during the first ten thousand four 42 hundred (10,400) hours of credited state service; at the rate represented 43 by the proportion 144/2080 during the second ten thousand four hundred 44 (10,400) hours of credited state service; and at the rate represented by 45 the proportion 168/2080 thereafter. 46 (d) Classified officers and employees earning credited state service and 47 defined as an exempt "executive" under section 67-5302, Idaho Code, shall 48 be at the rate represented by the proportion 200/2080. 4967-5335. VACATION TIME -- ELIGIBILITY -- MAXIMUM TIME -- RIGHT TO ANNUAL50VACATION.51 (12) Eligibility and use of vacation time shall be determined as follows: 52 (a) An appointing authority shall permit each officer or employee to take 53 vacation leave to the extent such leave has accrued. 22 1 (2b) Vacation leave may be accrued and accumulated only as follows, 2 unless amounts in excess of the permitted accumulations have been 3 expressly authorized in writing by the board of examiners during unusual 4 or emergency situations: 5 During the first ten thousand four hundred (10,400) hours of credited 6 state service, vacation leave may be accrued and accumulated to a maximum of 7 one hundred ninety-two (192) hours; employees classified as "executive" under 8 section 67-5302, Idaho Code, may accrue and accumulate vacation leave to a 9 maximum of two hundred (200) hours during this period; 10 During the second ten thousand four hundred (10,400) hours of credited 11 state service, vacation leave may be accrued and accumulated to a maximum of 12 two hundred forty (240) hours; 13 During the third ten thousand four hundred (10,400) hours of credited 14 state service, vacation leave may be accrued and accumulated to a maximum of 15 two hundred eighty-eight (288) hours; 16 After thirty-one thousand two hundred (31,200) hours of credited state 17 service, vacation leave may be accrued and accumulated to a maximum of three 18 hundred thirty-six (336) hours. 19 (3c) Vacation leave shall be transferable from department to department 20 only to the extent that it is accrued and accumulated. 21 (4d) Vacation leave shall not be earned, accrued or accumulated during 22 any pay period in which the maximum accruals and accumulations provided by 23 this section have been met. 24 (5e) Vacation leave not taken shall be compensated for at the time of 25 separation only to the maximum accruals and accumulations allowed by this 26 section. 27 (6f) Vacation leave shall be taken on a workday basis. Regularly sched- 28 uled days off and officially designated holidays falling within a period 29 of vacation leave shall not be counted against vacation leave. Vacation 30 leave shall not be taken in advance of being earned and shall only be 31 taken in pay periods subsequent to being earned. 32 (7g) With the approval of the appointing authority for both the transfer- 33 ring and receiving officer or employee, an officer or employee may trans- 34 fer accrued vacation leave, up to a maximum of forty (40) hours per fiscal 35 year, to another officer or employee for purposes of sick leave in the 36 event the receiving officer or employee or a family member suffers from a 37 serious illness or injury. The amount transferred shall be converted to 38 sick leave. An officer or employee shall not be allowed to receive more 39 than one hundred sixty (160) hours of transferred leave per fiscal year, 40 and a transfer shall not occur until the receiving employee has exhausted 41 all of his or her accrued sick and vacation leave. An officer or employee 42 shall not be eligible to transfer vacation leave unless his or her balance 43 exceeds eighty (80) hours, and in no event may an officer or employee 44 transfer an amount of accrued leave which would result in an accrued bal- 45 ance of less than eighty (80) hours. 4667-5337. CASH FOR UNUSED VACATION TIME.47 (3) Upon separation from state employment and to the limits allowed by 48 subsection67-5335, Idaho Code(2) of this section, all classified officers 49 and employees shall receive a lump sum payment for accrued but unused vacation 50 leave at the hourly rate of pay of that officer or employee. 51 SECTION 20. That Chapter 53, Title 67, Idaho Code, be, and the same is 52 hereby amended by the addition thereto of a NEW SECTION, to be known and des- 53 ignated as Section 67-5337, Idaho Code, and to read as follows: 23 1 67-5337. MOVING EXPENSE REIMBURSEMENT. In order for the state to attract 2 and retain professional staff, it may be necessary to defray normal intrastate 3 and interstate moving expenses. The head of any department, office or institu- 4 tion of the state shall have the authority to decide whether or not to reim- 5 burse moving expenses for current or newly-hired state employees on a case-by- 6 case basis up to ten percent (10%) of the employee's base salary or fifteen 7 thousand dollars ($15,000), whichever is less, and in compliance with rules 8 for the reimbursement of moving expenses promulgated by the division of human 9 resources. Exceptions to the maximum moving expense reimbursement may be 10 granted if approved in advance by the department director. Agencies shall sub- 11 mit a report to the division of financial management and the legislative ser- 12 vices office by October 1 on all moving expense reimbursements granted in the 13 preceding fiscal year. 14 SECTION 21. That Section 67-5342, Idaho Code, be, and the same is hereby 15 amended to read as follows: 16 67-5342. SEVERANCE PAY FOR STATE EMPLOYEES. Upon termination from state 17 service, no classified or exempt employee shall be eligible for severance pay 18 and no employer shall provide or pay severance pay to such an employee or 19 former employee. As used in this section, "severance pay" shall mean money, 20 exclusive of wages or salary, vacation leave payoff, compensatory time leave 21 and earned administrative leave payoff, paid to a classified or exempt 22 employee who resigns from state service of his own volition and not under 23 duress.
STATEMENT OF PURPOSE RS15966 This legislation would repeal and re-enact three existing sections of Idaho Code to establish a State Employee Compensation Philosophy and a State Compensation Plan, and to specify issues to be addressed in an Annual Survey, Report and Recommendation. A key component in all this is the compensation philosophy which provides that employees below the state's mid-point market average shall move through the pay range toward mid-point market average. This legislation would also amend current law as it relates to bonuses and employee suggestion awards, and authorizes a number of other pay delivery options to give agencies and institutions some flexibility to help facilitate retention and recruitment of employees. It amends the budget laws to allow employee suggestion awards to be paid from the area in which savings were realized. It codifies the payment of moving expenses. It amends current overtime laws to prohibit executive employees from earning compensatory time or earned administrative leave. It amends current vacation leave laws to increase the minimum vacation leave for professional and administrative employees from 12 to 15 days per year, and moves executive employees from 12 to 25 days per year. Finally, it authorizes the Joint Finance Appropriations Committee to limit the amount of personnel costs which can be transferred to cover operating expenses or capital outlay. FISCAL IMPACT Over the past ten years, base salary increase in the marketplace have averaged at least 3.7% annually, so to catch up and keep up with average market rates, funding for merit increases must average more than 3.7% per year. If the state were to spend 7.7% per year for five years or 5.7% per year over ten years, salaries would most likely be at market. The cost of these salary increases will grow each year as the salary base grows. Other components of this legislation (e.g. employee suggestion awards or reimbursement of moving expenses) would be paid from existing budgets. Programming changes necessary to implement this legislation would create a fiscal impact to the State Controller's Office. Contact Name: Sen. John Andreason Phone: 332-1333 Name: Rep. Robert Schaefer Phone: 332-1000 S 1363