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COMMITTEE REPORT
April 3, 2002
H. 4855
S. Printed 4/3/02--H.
Read the first time March 5, 2002.
To whom was referred a Joint Resolution (H. 4855) to provide a special procedure applicable only for Fiscal Year 2002-2003 for mandatory employee furloughs, to provide the circumstances under which such furloughs may be ordered, to limit total, etc., respectfully
That they have duly and carefully considered the same and recommend that the same do pass with amendment:
Amend the joint resolution, as and if amended, in SECTION 1, by inserting immediately after /if/ on line 32 / in fiscal year 2001-2002 or 2002-2003/ so that when amended, SECTION 1 reads:
/ SECTION 1. Notwithstanding Section 8-11-195 of the 1976 Code, or any other provision of law, if in fiscal year 2002-2003 the general funds appropriated for a state agency, institution, or department are less than the general funds appropriated for that state agency, institution, or department in the preceding fiscal year, or if in fiscal year 2001-2002 or 2002-2003 the General Assembly or the State Budget and Control Board implements a midyear across-the-board budget reduction, agency heads may institute employee furlough programs of not more than ten working days in the fiscal year. The furlough must be inclusive of all employees regardless of source of funds or place of work and must include employees in classified positions and unclassified positions and agency heads. Scheduling of furlough day, or portions of days is at the discretion of the agency head, but the agency may not close completely during its regular hours of operation. During this furlough, affected employees are entitled to participate in the same state benefits as otherwise available to them except for receiving their salaries. For those benefits which require employer and employee contributions including, but not limited to, contributions to the South Carolina Retirement Systems or the optional retirement program, state agencies, institutions, and departments are responsible for making both employer and employee contributions if coverage would otherwise be interrupted. For those benefits which require only employee contributions, the employee remains solely responsible for making those contributions. Placement of an employee on furlough under this provision does not constitute a grievance or appeal under the State Employee Grievance Procedure Act. If the reduction for the state agency, institution, or department is due solely to the General Assembly by law transferring or deleting a program, this joint resolution does not apply. The implementation of a furlough program authorized by this joint resolution must be on an agency-by-agency basis. Agencies may allocate the employee's reduction in pay over the balance of the fiscal year for payroll purposes regardless of the pay period within which the furlough occurs. /
Amend title to read:
/ TO PROVIDE A SPECIAL PROCEDURE APPLICABLE ONLY FOR FISCAL YEARS 2001-2002 AND 2002-2003 FOR MANDATORY EMPLOYEE FURLOUGHS, TO PROVIDE THE CIRCUMSTANCES UNDER WHICH SUCH FURLOUGHS MAY BE ORDERED, TO LIMIT TOTAL FURLOUGH DAYS IN THE FISCAL YEAR TO TEN DAYS, TO REQUIRE FURLOUGHS TO APPLY AGENCY-WIDE, TO PROHIBIT AN AGENCY'S CLOSING DURING ITS REGULAR HOURS OF OPERATION TO IMPLEMENT FURLOUGHS, TO PROVIDE FOR THE PAY AND BENEFITS FOR FURLOUGH EMPLOYEES, AND TO PROVIDE THAT FURLOUGHS ARE NOT GROUNDS FOR A GRIEVANCE. /
ROBERT W. HARRELL, JR. for Committee.
EXPLANATION OF IMPACT:
It is estimated that for each statewide day of furlough there is a total and general fund cost savings (including appropriate employer contributions) of approximately $12.4 million and $6.5 million, respectively. This is based on the total of all funds budgeted for personal service for Fiscal Year 2001-02 adjusted to include the pay plan allocation for FY 2002 less the base reduction and 4% midyear reduction transfers affecting personal service.
SPECIAL NOTES:
The Board of Economic Advisors is the appropriate agency to address any revenue impact of this legislation.
Approved By:
Don Addy
Office of State Budget
TO PROVIDE A SPECIAL PROCEDURE APPLICABLE ONLY FOR FISCAL YEAR 2002-2003 FOR MANDATORY EMPLOYEE FURLOUGHS, TO PROVIDE THE CIRCUMSTANCES UNDER WHICH SUCH FURLOUGHS MAY BE ORDERED, TO LIMIT TOTAL FURLOUGH DAYS IN THE FISCAL YEAR TO TEN DAYS, TO REQUIRE FURLOUGHS TO APPLY AGENCY-WIDE, TO PROHIBIT AN AGENCY'S CLOSING DURING ITS REGULAR HOURS OF OPERATION TO IMPLEMENT FURLOUGHS, TO PROVIDE FOR THE PAY AND BENEFITS FOR FURLOUGH EMPLOYEES, AND TO PROVIDE THAT FURLOUGHS ARE NOT GROUNDS FOR A GRIEVANCE.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Notwithstanding Section 8-11-195 of the 1976 Code, or any other provision of law, if in fiscal year 2002-2003 the general funds appropriated for a state agency, institution, or department are less than the general funds appropriated for that state agency, institution, or department in the preceding fiscal year, or if the General Assembly or the State Budget and Control Board implements a midyear across-the-board budget reduction, agency heads may institute employee furlough programs of not more than ten working days in the fiscal year. The furlough must be inclusive of all employees regardless of source of funds or place of work and must include employees in classified positions and unclassified positions and agency heads. Scheduling of furlough day, or portions of days is at the discretion of the agency head, but the agency may not close completely during its regular hours of operation. During this furlough, affected employees are entitled to participate in the same state benefits as otherwise available to them except for receiving their salaries. For those benefits which require employer and employee contributions including, but not limited to, contributions to the South Carolina Retirement Systems or the optional retirement program, state agencies, institutions, and departments are responsible for making both employer and employee contributions if coverage would otherwise be interrupted. For those benefits which require only employee contributions, the employee remains solely responsible for making those contributions. Placement of an employee on furlough under this provision does not constitute a grievance or appeal under the State Employee Grievance Procedure Act. If the reduction for the state agency, institution, or department is due solely to the General Assembly by law transferring or deleting a program, this joint resolution does not apply. The implementation of a furlough program authorized by this joint resolution must be on an agency-by-agency basis. Agencies may allocate the employee's reduction in pay over the balance of the fiscal year for payroll purposes regardless of the pay period within which the furlough occurs.
SECTION 2. This joint resolution takes effect upon approval by the Governor.
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