00 CS FOR SENATE BILL NO. 180(FIN) 01 "An Act implementing pay differentials based on geographic areas for certain state 02 employees and for members of the Alaska State Defense Force; relating to cost-of-living 03 differentials for state aid to municipalities; and providing for an effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 26.05.260(i) is amended to read: 06 (i) When active state service is authorized by the governor or by the adjutant 07 general as the governor's designee, members of the Alaska State Defense Force are 08 entitled to receive, for each day of active service under AS 26.05.070, pay and 09 allowances as provided in this subsection. Pay is equal to that provided under 10 AS 39.27.011 - 39.27.021 [AS 39.27.011 - 39.27.020] for equivalent assignments of 11 state officials or employees, including adjustments under AS 39.27.025, if applicable. 12 Allowances shall be paid to the same extent, in the same manner, and under the same 13 conditions as provided for state officials and employees under AS 39.20.110 - 14 39.20.170. However, pay or allowances are not authorized for training or community 01 service activities of members of the Alaska State Defense Force. 02 * Sec. 2. AS 29.60.160(a) is amended to read: 03 (a) Payments to a municipality or other eligible recipient under AS 29.60.110 04 - 29.60.130 shall reflect area cost-of-living differentials. Payments shall be based on 05 the sum of per capita, per mile, and per bed or facility grants due each municipality or 06 other recipient multiplied by the appropriate area cost-of-living differential. The area 07 cost-of-living differential for each recipient shall be determined annually by election 08 district under the provisions of AS 39.27.020 and 39.27.030 [AS 39.27.030]. 09 Application of the area cost-of-living differential may not result in distribution of an 10 amount less than the amount of the payment determined without reference to 11 application of this section. 12 * Sec. 3. AS 29.60.290(b) is amended to read: 13 (b) The area cost-of-living differential payable to each municipality under this 14 section shall be determined annually by election district under the provisions of 15 AS 39.27.020 and 39.27.030 [AS 39.27.030]. Except as provided in AS 29.60.300, 16 application of the area cost-of-living differential may not result in a payment that is 17 less than the minimum payment determined under (a) of this section. For purposes of 18 this subsection, the election districts used are those designated by the proclamation of 19 reapportionment and redistricting of December 7, 1961, and retained for the house of 20 representatives by proclamation of the governor September 3, 1965. 21 * Sec. 4. AS 39.27.020 is amended by adding a new subsection to read: 22 (d) The pay step differentials in this section apply to a person who has been 23 employed by the state at any time through June 30, 2002, whenever that person is 24 employed by the state. A person who begins state employment for the first time on or 25 after July 1, 2002, is subject to AS 39.27.021 whenever that person is employed by the 26 state. 27 * Sec. 5. AS 39.27 is amended by adding a new section to read: 28 Sec. 39.27.021. Pay differentials by election district and in other states 29 and countries. (a) The following pay differentials apply only to state employees 30 beginning state employment for the first time on or after July 1, 2002, and are 31 approved as an amendment to the basic salary schedules provided in AS 39.27.011: 01 Percentage Pay Geographic Areas 02 Differential (Election Districts) 03 0 1, 2, 3, 4, 7, 8, 9, and 10 04 4 16a (Fairbanks South of the Arctic Circle 05 except the duty stations of Tok and Delta 06 Junction) 07 5 5 08 9 11 09 11 6 10 16 16b (the duty stations of Tok and Delta 11 Junction) 12 20 15b (the duty station of Nenana) 13 27 12 and 13 14 30 15a (Yukon-Kuskokwim except the duty 15 station of Nenana) and 19 16 34 18 17 38 14 18 42 16c (Fort Yukon - North of the Arctic 19 Circle) and 17. 20 (b) The basic salary schedule set out in AS 39.27.011 is amended for positions 21 in other states to provide that those positions shall be compensated using a pay step 22 differential of minus six pay steps. 23 (c) The director of the division of personnel shall establish salary differentials 24 for positions in foreign countries. The differentials shall be adjusted annually, 25 effective July 1, to maintain equitable relationships between salaries for positions in 26 foreign countries and salaries for positions in Alaska. 27 * Sec. 6. AS 39.27.030 is amended to read: 28 Sec. 39.27.030. Cost-of-living survey. Subject to an appropriation for this 29 purpose, the director shall conduct a survey, at least every five years, to review the pay 30 differentials established in AS 39.27.020 and 39.27.021. The survey may address 31 factors, as determined by the director, that are also relevant in review of state salary 01 schedules, entitlement for beneficiaries of state programs, and payments for state 02 service providers. The survey must reflect the costs of living in various election 03 districts of the state, and Seattle, Washington, by using the cost of living in Anchorage 04 as a base. [IN THIS SECTION, "ELECTION DISTRICT" HAS THE MEANING 05 GIVEN IN AS 39.27.020(b).] 06 * Sec. 7. AS 39.27.045 is amended to read: 07 Sec. 39.27.045. Definitions [DEFINITION]. In AS 39.27.020 - 39.27.030, 08 (1) "director" means the director of the division of personnel; 09 (2) "election district" means an election district designated in the 10 governor's proclamation of reapportionment and redistricting of December 7, 11 1961. 12 * Sec. 8. AS 39.35.675(d) is amended to read: 13 (d) In this section, "cost-of-living differential" means an adjustment to salary 14 based on the cost of living in the geographic region where the employee works and 15 includes a pay step differential under AS 39.27.020 or a pay differential under 16 AS 39.27.021. 17 * Sec. 9. AS 44.31.020 is amended to read: 18 Sec. 44.31.020. Duties of department. The Department of Labor and 19 Workforce Development shall 20 (1) enforce the laws, and adopt regulations under them concerning 21 employer-employee relationships, including the safety, hours of work, wages, and 22 conditions of workers, including children; 23 (2) accumulate, analyze, and report labor statistics; 24 (3) operate systems of workers' compensation and unemployment 25 insurance; 26 (4) gather data reflecting the cost of living in the various election 27 districts of the state upon request of the director of personnel under AS 39.27.030; in 28 this paragraph, "election district" has the meaning given in AS 39.27.045 29 [AS 39.27.020(b)]; 30 (5) operate the federally funded employment and training programs 31 under 29 U.S.C. 1501 - 1792b (Job Training Partnership Act); and 01 (6) administer the state's program of adult basic education. 02 * Sec. 10. This Act takes effect July 1, 2002.