Legislature(2017 - 2018)SENATE FINANCE 532
04/04/2017 01:30 PM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| SB6 | |
| SB31 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | SB 31 | TELECONFERENCED | |
| += | SB 6 | TELECONFERENCED | |
SENATE BILL NO. 31
"An Act relating to compensation, merit increases, and
pay increments for certain public officials, officers,
and employees not covered by collective bargaining
agreements; and providing for an effective date."
2:35:58 PM
LESLIE RIDLE, DEPUTY COMMISSIONER, DEPARTMENT OF
ADMINISTRATION, introduced herself.
KATE SHEEHAN, DIRECTOR, DIVISION OF PERSONNEL and LABOR
RELATIONS, DEPARTMENT OF ADMINISTRATION, introduced
herself.
Ms. Sheehan discussed the question and answer memo dated
April 4, 2017 (copy on file):
1. Senator Bishop asked how long it would take an
employee to get to the end of the alphabet?
It would take approximately 39 years to get to
the end of the alphabet, assuming that an
employee remained at the same range and on the
same base salary schedule the entire time.
2. Senator Von Imhof asked how long it would take to
double an employee's initial salary?
It would generally take 37-40 years to double the
initial salary (remaining at the same range and
schedule) and assuming no COLAs.
However, assuming an annual COLA of 1 percent,
the employee's initial salary would be doubled in
about 23-24 years. Assuming an annual COLA of
1.33 percent (to somewhat mimic a 1-1-2
agreement), the salary would double in about 20-
21 years. Again, this assumes that the employee
stays at the same range and on the same schedule.
3. Senator Bishop asked what the attrition rate is for
non-covered employees?
Please see the attached report titled "Copy of EX
EE and PX Separation Rates".
4. Senator Bishop asked the total salary cost for non-
covered employees?
The payroll of the non-covered people in the
salary bill is $370 million with the University
(but excluding the Legislature, Courts and AMHS).
5. Senator Dunleavy asked the total of personal
services for the State?
Salaries of employees for which we have budget
position detail is $1.8 billion (excludes
University, Legislature, Courts and AMHS).
Salaries of ALL employees is $2.4 billion
(includes University, Legislature, Courts and
AMHS).
6. Senator Bishop asked the number of employees at
each range and each step?
Please see the attached report titled "Copy of XE
Emp Counts". You will notice on this report that
there are terms such as "inapplicable" and many
employees at a range 0. "Inapplicable" refers to
employees that do not use a standard schedule
(e.g. Governor and commissioners).
There are several instances where PCNs at a range 0 appear
to be filled by multiple employees:
o 07-4550 Sub Teacher AVTEC 35 entries
o 01-501SF, 01-501SA, 01-501SG Election
Translator 18 entries
o 01-505YF, 01-505YJ, 01-505YW, 01-505YN Election
Official 11 entries
o 05-0065 Sub Teacher Mt. Edgecumbe 64 entries
Senator Dunleavy asked for an "At Ease."
2:40:47 PM
AT EASE
2:41:31 PM
RECONVENED
2:41:33 PM
Senator Dunleavy noted that the governor could hire beyond
step F, with the proper written determination of
extraordinary need. He also noticed that there were no
restrictions for hiring between steps A through E. Ms.
Sheehan remarked that the personnel rules governed whether
someone could be hired above step A. She stated that one
could be hired through step F, if there were exceptional
qualifications and/or recruitment difficulties.
Senator Dunleavy wondered whether the governor was required
to make a written determination for hiring between steps A
through E. Ms. Sheehan replied that the governor did not
need to make a written determination for hiring between A
through A. She stated that any hiring at a pay increment
for steps J or higher would need a written determination.
Senator Dunleavy surmised that there would still be a
salary override, but no written explanation was required
for steps A through E. Ms. Sheehan responded that the
appointing authority must show that there were recruitment
difficulties and/or exceptional qualifications.
Ms. Sheehan continued to discuss the document:
7. Senator Dunleavy asked for the number of non-
covered employees on salary overrides and advanced
step placement?
Attached is a report titled "Executive Branch
Employees with Rate Overrides" as well as the
report which shows all non-covered employees
hired above A step. If a job class isn't listed,
then that position did not include anyone hired
above A step.
Regarding the override report, there are many
reasons why an employee may be paid on a rate
override such as commissioner's pay since it is
set by the State Officers Compensation Commission
and doesn't necessarily correlate to a range or
step on the salary schedule.
Regarding the report of non-covered employees
hired above A step, it's also important to note
that some of these employees had earned that step
at that range already so can be appointed back at
that same step under the Personnel Rules.
Therefore, these may not all be due to the
advanced step placement rules.
To provide some clarification, advanced step
placements, for partially-exempt employees, can
be granted in three ways:
o Under the Personnel Rules for recruitment
difficulties (2 AAC 07.320)
o Under the Personnel Rules for exceptional
qualifications (employees can be placed on
the highest merit
step, F step, if both recruitment
difficulties and exceptional qualifications
are found)
o AS 39.27.011(k) allows the Governor to
authorize a step higher than F if the
determination is made that the action serves
a critical governmental interest of the
state, the employee possesses exceptional
qualification, recruitment difficulties
exist, or the action is necessary due to
competitive salaries in the relevant labor
market.
Senator Dunleavy wondered whether the document contained
the salary overrides. Ms. Sheehan replied in the
affirmative.
Senator Dunleavy queried the estimator in the packet. Ms.
Sheehan replied that there were over 2000 salary overrides.
Ms. Sheehan continued:
8. The Committee requested to know the number of
hires since the hiring restriction went into
effect in January, 2016?
Please see the report titled "State Employment
Statistics for 2016".
2:46:35 PM
Vice-Chair Bishop asked for a restatement. Ms. Sheehan
replied that the last report was the State Employee
Statistics for 2016. She noted that the department was down
804 employees, but reduced by 2500 positions.
Vice-Chair Bishop queried the department exemptions of the
hiring freeze. Ms. Sheehan agreed to provide that
information.
Senator Dunleavy wondered whether the discussion was for a
"restriction" or a "freeze." Ms. Sheehan replied that it
was a restriction.
Senator Dunleavy asked whether hiring was occurring. Ms.
Sheehan replied in the affirmative.
Vice-Chair Bishop noted the exempt positions that were not
included in the restriction.
Senator von Imhof asked for more information about the
employee reduction of 804 and the 2500 positions. Ms.
Sheehan agree to provide that information.
Senator Dunleavy queried a definition of "people." Ms.
Sheehan agreed to provide that information.
Vice-Chair Bishop requested a breakdown by department.
Senator Dunleavy agreed.
2:50:09 PM
JULI LUCKY, STAFF, SENATOR ANNA MACKINNON, explained the
fiscal notes.
Vice-Chair Bishop wondered whether the employees had
received a pay freeze or cut before the bill. Ms. Sheehan
replied that there were not any freezes on merit increases
or pay increments. She remarked that the administration did
not give any cost of living allowances.
2:53:53 PM
AT EASE
2:54:04 PM
RECONVENED
SB 31 was HEARD and HELD in committee for further
consideration.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 31 DOA Response 4.4.17.pdf |
SFIN 4/4/2017 1:30:00 PM |
SB 31 |
| SB 31 Q3 Backup.pdf |
SFIN 4/4/2017 1:30:00 PM |
SB 31 |
| SB 31 Q6 Backup.pdf |
SFIN 4/4/2017 1:30:00 PM |
SB 31 |
| SB 31 Q7.1.pdf |
SFIN 4/4/2017 1:30:00 PM |
SB 31 |
| SB 31 Q7.2.pdf |
SFIN 4/4/2017 1:30:00 PM |
SB 31 |
| SB 31 Q8.pdf |
SFIN 4/4/2017 1:30:00 PM |
SB 31 |