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H.B. 164

             1     

ANNUAL LEAVE ACCRUAL FOR STATE

             2     
EMPLOYEES

             3     
1999 GENERAL SESSION

             4     
STATE OF UTAH

             5     
Sponsor: James R. Gowans

             6      AN ACT RELATING TO STATE OFFICERS AND EMPLOYEES; ALLOWING STATE
             7      EMPLOYEES TO CONVERT EXCESS ACCUMULATED ANNUAL LEAVE INTO
             8      DEFERRED COMPENSATION PLAN CONTRIBUTIONS; AND GRANTING RULEMAKING
             9      AUTHORITY TO THE DEPARTMENT OF HUMAN RESOURCE MANAGEMENT TO
             10      IMPLEMENT THE PROGRAM.
             11      This act affects sections of Utah Code Annotated 1953 as follows:
             12      ENACTS:
             13          67-19-12.7, Utah Code Annotated 1953
             14      Be it enacted by the Legislature of the state of Utah:
             15          Section 1. Section 67-19-12.7 is enacted to read:
             16          67-19-12.7. Accumulated annual leave -- Conversion to deferred compensation plan.
             17          (1) The division shall make rules in accordance with Title 63, Chapter 46a, Utah
             18      Administrative Rulemaking Act, governing procedures whereby, after an employee has
             19      accumulated 144 hours of unused annual leave, the employee may, in each calendar year, convert
             20      up to 40 hours of annual leave into a deferred compensation plan qualified under Section 401(k)
             21      or Section 457 of the Internal Revenue Code which is selected by the employee and sponsored by
             22      the Utah State Retirement Board.
             23          (2) Any hours converted under Subsection (1), shall be converted at the hourly pay rate
             24      of the employee at the time of conversion.
             25          (3) An employee may not convert any annual leave hours under Subsection (1) which
             26      would:
             27          (a) exceed the monetary amount set by federal law which may be contributed to a deferred


             28      compensation plan; or
             29          (b) cause the employee's balance of accumulated annual leave to drop below 144 hours.




Legislative Review Note
    as of 1-26-99 9:22 AM


A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel


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