Rep. COBB-HUNTER proposes the following Amendment No.     to H.5201 as introduced by Ways & Means

(Doc Name H:\LEGWORK\HOUSE\AMEND\H-WM\001\117.109 2.5% BPI CH.DOCX):

EXPLANATION: Amend 117.109 Employee Compensation to delete merit pay and instead provide a 2.5% base pay increase to all state employees

Cost = $52.5M; $42M already in budget; additional $10.5m from income tax relief

Amend the bill, as and if amended, Part IB, Section 117, GENERAL PROVISIONS, page 503, paragraph 117.109, lines 16-36, and page 504, lines 1-31, by striking the proviso in its entirety and inserting

/ 117.109. (GP: Employee Compensation) The amounts appropriated to F300-Statewide Employee Benefits for Employee Pay Increases must be allocated by the Department of Administration, Executive Budget Office to the various state agencies to provide for employee pay increases in accordance with the following plan:

(1) With respect to classified and non-judge judicial classified employees, effective on the first pay date that occurs on or after July first of the current fiscal year, the compensation of all classified employees shall be increased by two and one-half percent, except that employees of institutions of higher education and technical colleges that earn a base salary of $100,000 or more shall not be eligible to receive the increase in compensation.

(2) With respect to unclassified and non-judge judicial unclassified employees or unclassified executive compensation system employees not elsewhere covered in this act, effective on the first pay date that occurs on or after July first of the current fiscal year the compensation of all unclassified employees shall be increased by two and one-half percent, except that employees of institutions of higher education and technical colleges that earn a base salary of $100,000 or more shall not be eligible to receive the increase in compensation. Any employee subject to the provisions of this paragraph shall not be eligible for compensation increases provided in paragraphs 1, 3, 4, 5, or 6.

With respect to unclassified employees of institutions of higher education and technical colleges eligible in this item, institutions and technical colleges are authorized to allot the total funds for compensation increases among individual employees without uniformity. The funds provided for compensation increases for any employee subject to the provisions of this item are based on an annual average two percent increase and may be based on performance.

(3) Effective on the first pay date that occurs on or after July first of the current fiscal year, agency heads not covered by the Agency Head Salary Commission, shall receive an annualized base pay increase of two and one-half percent.

(4) With respect to local health care providers compensation increases shall be two and one-half percent effective on the first pay date that occurs on or after July first of the current fiscal year. With respect to Area Agencies on Aging funded by the Department on Aging, compensation shall be increased by two and one-half percent effective on the first pay date that occurs on or after July first of the current fiscal year. With respect to local councils on aging or local providers of services funded by the Department on Aging through Area Agencies on Aging, no pay increases will be allowed. School Bus Driver salary and fringe funding to school districts shall be increased by two and one-half percent.

(5) Effective on the first pay date that occurs on or after July first of the current fiscal year, the Chief Justice and other judicial officers shall receive an annualized base pay increase of two and one-half percent.

(6) Effective on the first pay date that occurs on or after July first of the current fiscal year, county auditors and county treasurers shall receive an annualized base pay increase of two and one-half percent.

(7) For Fiscal Year 2019-20 2020-21, the Executive Budget Office is directed to review Executive Branch agencies to determine whether their budgets warrant an other fund authorization increase due to the two and one-half percent compensation increase for all full-time employees. If so warranted, the Executive Budget Office shall work with the Office of the Comptroller General to increase such authorization for the affected agencies.

The Department of Administration shall allocate associated compensation increases for retirement employer contributions based on the retirement rate of the retirement system in which individual employees participate.

The Executive Director of the State Fiscal Accountability Authority is authorized to use excess appropriations for the current fiscal year designated for statewide employer contributions for other statewide purposes. At the discretion of the Executive Director of the State Fiscal Accountability Authority, such action may be considered a permanent transfer into the receiving agency's base budget.

Funds appropriated in Part IA, F300, Section 106, Statewide Employee Benefits may be carried forward from the prior fiscal year into the current fiscal year./

Amend totals and titles to conform.