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H.B. 311





Sponsor: Brian R. Allen

12    This act affects sections of Utah Code Annotated 1953 as follows:
13    AMENDS:
14         67-19-6.5, as last amended by Chapters 79, 194 and 243, Laws of Utah 1996
15         67-19-12, as last amended by Chapters 192 and 283, Laws of Utah 1996
16         67-19-12.3, as enacted by Chapter 283, Laws of Utah 1996
17         67-19-15, as last amended by Chapter 128, Laws of Utah 1994
18         67-19-15.7, as last amended by Chapter 136, Laws of Utah 1995
19         67-19-16, as last amended by Chapter 130, Laws of Utah 1995
20         67-20-8, as enacted by Chapter 128, Laws of Utah 1995
21    REPEALS:
22         67-19-40, as enacted by Chapter 253, Laws of Utah 1991
23    Be it enacted by the Legislature of the state of Utah:
24        Section 1. Section 67-19-6.5 is amended to read:
25         67-19-6.5. Human Resources Advisory Committee created -- Responsibilities.
26        (1) [There is created] If a formal request is received from the Legislative Management
27    Committee or if the governor determines that an advisory committee is needed to study or advise

1    the director on human resource issues, the governor shall direct that a Human Resources Advisory
2    Committee be created, composed of:
3        (a) five nonpartisan members appointed by the governor;
4        (b) one member from the House appointed by the speaker of the House;
5        (c) one member of the Senate appointed by the president of the Senate; and
6        (d) the director, who shall serve as an ex officio member of the committee.
7        (2) The members appointed by the governor shall be Utah citizens who are responsible for
8    human resource functions in organizations other than the state.
9        (3) The director and the legislative members shall serve as nonvoting members of the
10    committee.
11        (4) The department shall provide staff and support services to the committee.
12        [(5) (a) Except as required by Subsection (b), the voting members of the committee shall
13    be appointed for terms of four years and shall serve until their successors are appointed and
14    qualified.]
15        [(b) Notwithstanding the requirements of Subsection (a), the governor shall, at the time
16    of appointment or reappointment, adjust the length of terms to ensure that the terms of committee
17    members are staggered so that approximately half of the committee is appointed every two years.]
18        (5) Members of the committee shall serve until the purposes of the committee are
19    accomplished or until the committee is dissolved.
20        (6) The legislative members of the committee shall serve terms of two years as follows:
21        (a) the senator's term shall begin on July 1 of each even-numbered year; and
22        (b) the representative's term shall begin on July 1 of each odd-numbered year.
23        (7) The committee shall choose a chair and a vice chair from among the voting members.
24        (8) Three voting members of the committee are a quorum to transact business.
25        (9) (a) (i) Members who are not government employees shall receive no compensation or
26    benefits for their services, but may receive per diem and expenses incurred in the performance of
27    the member's official duties at the rates established by the Division of Finance under Sections
28    63A-3-106 and 63A-3-107.
29        (ii) Members may decline to receive per diem and expenses for their service.
30        (b) (i) State government officer and employee members who do not receive salary, per
31    diem, or expenses from their agency for their service may receive per diem and expenses incurred

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1    in the performance of their official duties from the committee at the rates established by the
2    Division of Finance under Sections 63A-3-106 and 63A-3-107.
3        (ii) State government officer and employee members may decline to receive per diem and
4    expenses for their service.
5        (c) Legislators on the committee shall receive compensation and expenses as provided by
6    law and legislative rule.
7        (10) The committee shall:
8        (a) meet at the call of the director or of the chair;
9        (b) keep minutes of its meetings;
10        (c) comply with the procedures and requirements of Title 52, Chapter 4, Open and Public
11    Meetings;
12        (d) advise the director on human resource policies for state employees;
13        (e) advise the governor and the Appropriations Interim Committee of the Legislature on
14    human resource policies for state employees if requested to do so by them or by the director; and
15        (f) study the following through the taking of testimony and by other lawful means:
16        (i) basic pay policy;
17        (ii) pay plan design;
18        (iii) the concept of pay for performance;
19        (iv) total quality management; and
20        (v) the funding, administration, implications, principles, techniques, and implementation
21    of the subjects specified in Subsections (i) through (iv).
22        (11) When a vacancy occurs in the membership for any reason, the appointing authority
23    shall appoint a replacement [shall be appointed for the unexpired term].
24        (12) Decisions and recommendations of the committee are advisory only.
25        Section 2. Section 67-19-12 is amended to read:
26         67-19-12. State pay plans -- Applicability of section -- Exemptions from section --
27     Duties of director.
28        (1) (a) This section, and the rules adopted by the department to implement this section,
29    apply to each career and noncareer state employee not specifically exempted under Subsection (2).
30        (b) If not exempted under Subsection (2), a state employee is considered to be in classified
31    service.

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1        (2) [(a)] The following state employees are exempt from this section:
2        [(i)] (a) members of the Legislature and legislative employees;
3        [(ii)] (b) members of the judiciary and judicial employees;
4        [(iii)] (c) elected members of the executive branch and their direct staff who [are
5    merit-exempt employees] meet career service exempt criteria as defined in Subsection
6    67-19-15(1)(k);
7        [(iv)] (d) certificated employees of the State Board of Education;
8        [(v)] (e) officers, faculty, and other employees of state institutions of higher education;
9        [(vi)] (f) employees in any position [for which the salary is set by statute] that is
10    determined by statute to be exempt from this Subsection (2);
11        [(vii)] (g) attorneys in the Office of the Attorney General;
12        [(viii)] (h) department heads and other persons appointed by the governor pursuant to
13    statute; and
14        [(ix)] (i) employees of the Department of Community and Economic Development whose
15    positions are designated as executive/professional positions by the executive director of the
16    Department of Community and Economic Development with the concurrence of the director[;].
17        [(x) deputy, division, and assistant directors and administrative assistants who report
18    directly to a department head or his equivalent; and]
19        [(xi) any other person whose appointment is required by law to be approved by the
20    governor.]
21        [(b) The executive director shall determine the salary range and other employment benefits
22    for appointees under Subsection (2)(a)(xi).]
23        (3) (a) The director shall prepare, maintain, and revise a position classification plan for
24    each employee position not exempted under Subsection (2) to provide equal pay for equal work.
25        (b) Classification of positions shall be based upon similarity of duties performed and
26    responsibilities assumed, so that the same [qualifications may reasonably be required for,] job
27    requirements and the same salary range may be applied equitably to, each position in the same
28    class.
29        (c) The director shall allocate or reallocate the position of each employee in classified
30    service to one of the classes in the classification plan.
31        (d) (i) The department shall conduct periodic studies and desk audits to provide that the

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1    classification plan remains reasonably current and reflects the duties and responsibilities assigned
2    to and performed by employees.
3        (ii) The director shall determine the schedule for studies and desk audits after considering
4    factors such as changes in duties and responsibilities of positions or agency reorganizations.
5        (4) (a) With the approval of the governor, the director shall develop and adopt pay plans
6    for each position in classified service.
7        (b) The director shall design each pay plan to achieve, to the degree that funds permit,
8    comparability of state salary ranges to salary ranges used by private enterprise and other public
9    employment for similar work.
10        (c) The director shall adhere to the following in developing each pay plan:
11        (i) Each pay plan shall consist of sufficient salary ranges to permit adequate salary
12    differential among the various classes of positions in the classification plan.
13        (ii) The director shall assign each class of positions in the classification plan to a salary
14    range and shall set the width of the salary range to reflect the normal growth and productivity
15    potential of employees in that class. The width of the ranges need not be uniform for all classes
16    of positions in the plan, but each range shall contain merit steps in increments of 2.75% salary
17    increases.
18        (iii) The director shall issue rules for the administration of pay plans. The rules may
19    provide for exceptional performance increases and for a program of incentive awards for
20    cost-saving suggestions and other commendable acts of employees. The director shall issue rules
21    providing for salary adjustments.
22        (iv) Merit step increases shall be granted, if funds are available, to employees who receive
23    a rating of "successful" or higher in an annual evaluation of their productivity and performance.
24        (v) By October 15 of each year, the director shall submit market comparability adjustments
25    to the state budget officer for consideration to be included as part of the affected agency's base
26    budgets.
27        (vi) By October 31 of each year, the director shall recommend a compensation package
28    to the governor.
29        (vii) Adjustments shall incorporate the results of a total compensation market survey of
30    salary ranges and benefits of a reasonable cross section of comparable benchmark positions in
31    private and public employment in the state. The survey may also study comparable unusual

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1    positions requiring recruitment outside Utah in the surrounding western states. The director may
2    cooperate with other public and private employers in conducting the survey.
3        (viii) The director shall establish criteria to assure the adequacy and accuracy of the survey
4    and shall use methods and techniques similar to and consistent with those used in private sector
5    surveys. Except as provided under Section 67-19-12.3, the survey shall include a reasonable cross
6    section of employers. The director may cooperate with or participate in any survey conducted by
7    other public and private employers.
8        (ix) The establishing of a salary range is a nondelegable activity subject to Subsection
9    67-19-8(1) and is not appealable under the grievance procedures of Sections 67-19-30 through
10    67-19-32, Title 67, Chapter 19a, Grievance and Appeal Procedures, or otherwise.
11        (x) The governor shall:
12        [(i)] (A) consider salary adjustments recommended under Subsection (4)(c)(vi) in
13    preparing the executive budget and shall recommend the method of distributing the adjustments;
14        [(ii)] (B) submit compensation recommendations to the Legislature; and
15        [(iii)] (C) support the recommendation with schedules indicating the cost to individual
16    departments and the source of funds.
17        (xi) If funding is approved by the Legislature in a general appropriations act, the
18    adjustments take effect on the July 1 following the enactment.
19        (5) (a) The director shall regularly evaluate the total compensation program of state
20    employees in the classified service.
21        (b) The department shall determine if employee benefits are comparable to those offered
22    by other private and public employers using information from:
23        (i) the most recent edition of the Employee Benefits Survey Data conducted by the U.S.
24    Chamber of Commerce Research Center; or
25        (ii) the most recent edition of a nationally recognized benefits survey.
26        (6) (a) The director shall submit proposals for a state employee compensation plan to the
27    governor by October 31 of each year, setting forth findings and recommendations affecting state
28    employee compensation.
29        (b) The governor shall consider the director's proposals in preparing budget
30    recommendations for the Legislature.
31        (c) The governor's budget proposals to the Legislature shall include a specific

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1    recommendation on state employee compensation.
2        Section 3. Section 67-19-12.3 is amended to read:
3         67-19-12.3. Peace officer and correctional officer pay plans.
4        (1) The pay plans for peace officers, as defined under Section 77-1a-1, and correctional
5    officers, as defined under Section 77-1a-2, employed by the state shall [be in accordance with the
6    provisions under] comply with Section 67-19-12, except that[: (1)] the market [compatibility
7    survey for the state's] comparability of state salary ranges for peace officers and correctional
8    officers shall be based on a total compensation [for the rank corresponding to peace officers]
9    survey of salary ranges and benefits of the three largest law enforcement agencies of any political
10    subdivision of the state[;].
11        (2) For peace officers classified as conservation officers or park rangers, the survey shall
12    be from the contiguous western states.
13        [(2) the market compatibility survey for the state's correctional officers shall be total
14    compensation for the rank corresponding to correctional officers of the three largest employing
15    agencies of correctional officers of any political subdivision of the state; and]
16        [(3) when determining compensation, the director shall consider the total compensation
17    under Subsection (2) and (3), internal comparisons, and other factors in order to allow the state to
18    recruit and retain the highest qualified peace officers and correctional officers.]
19        Section 4. Section 67-19-15 is amended to read:
20         67-19-15. Career service -- Exempt positions -- Schedules for civil service positions
21     -- Coverage of career service provisions.
22        (1) Except as otherwise provided by law or by rules and regulations established for
23    federally aided programs, the following positions are exempt from the career service provisions
24    of this chapter:
25        (a) the governor, members of the Legislature, and all other elected state officers,
26    designated as Schedule AA;
27        (b) the agency heads [of departments appointed by the governor,] enumerated in Section
28    67-22-2, and commissioners designated as Schedule AB;
29        (c) all employees and officers in the office and at the residence of the governor, designated
30    as Schedule AC;
31        (d) employees who are in a confidential relationship to [a department] an agency head or

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1    commissioner and who report directly to, and are supervised by, a department head, commissioner,
2    or deputy director of [a department] an agency or its equivalent, designated as Schedule AD;
3        (e) unskilled employees in positions requiring little or no specialized skill or training,
4    designated as Schedule AE;
5        (f) part-time professional noncareer persons who are paid for any form of medical and
6    other professional service and who are not engaged in the performance of administrative duties,
7    designated as Schedule AF;
8        (g) attorneys in the attorney general's office who are under their own career service pay
9    plan, designated as Schedule AG;
10        (h) teaching staff of all state institutions and patients and inmates employed in state
11    institutions, designated as Schedule AH;
12        (i) persons [employed in a professional or scientific capacity to make or conduct a
13    temporary and special inquiry, investigation, or examination on behalf of the Legislature or a
14    legislative committee or by authority of the governor] appointed to a position vacated by an
15    employee who has a right to return under federal or state law or policy, designated as Schedule AI;
16        (j) noncareer employees compensated for their services on a seasonal or contractual basis
17    who are hired for limited periods of less than nine consecutive months or who are employed on
18    less than 1/2 time basis, designated as Schedule AJ;
19        (k) those employees in a personal and confidential relationship to elected officials,
20    designated as Schedule AK;
21        (l) employees appointed to perform work [on projects] of a limited duration not exceeding
22    two years or to perform work with time-limited funding, designated as Schedule AL;
23        (m) employees of the Department of Community and Economic Development whose
24    positions are designated as executive/professional positions by the executive director of the
25    Department of Community and Economic Development with the concurrence of the director,
26    designated as Schedule AM;
27        (n) employees of the Legislature, designated as Schedule AN;
28        (o) employees of the judiciary, designated as Schedule AO;
29        (p) all judges in the judiciary, designated as Schedule AP;
30        (q) members of state and local boards and councils appointed by the governor and
31    governing bodies of [departments] agencies, other local officials serving in an ex officio capacity,

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1    officers, faculty, and other employees of state universities and other state institutions of higher
2    education, designated as Schedule AQ; [and]
3        (r) employees who make statewide policy, designated as Schedule AR[.]; and
4        (s) any other employee whose appointment is required by statute to be career service
5    exempt, designated as Schedule AS.
6        (2) The civil service shall consist of two schedules as follows:
7        (a) (i) Schedule A is the schedule consisting of positions exempted by Subsection (1).
8        (ii) Removal from any appointive position under Schedule A, unless otherwise regulated
9    by statute, is at the pleasure of the appointing officers without regard to tenure.
10        (b) Schedule B is the competitive career service schedule, consisting of all positions filled
11    through competitive selection procedures as defined by the director.
12        (3) (a) The director, after consultation with the heads of concerned executive branch
13    departments and agencies and with the approval of the governor, shall allocate positions to the
14    appropriate schedules under this section.
15        (b) Agency heads shall make requests and obtain approval from the director before
16    changing the schedule assignment and tenure rights of any position.
17        (c) Unless the director's decision is reversed by the governor, when the director denies an
18    agency's request, the director's decision is final.
19        (4) (a) Compensation for employees of the Legislature shall be established by the directors
20    of the legislative offices in accordance with Section 36-12-7.
21        (b) Compensation for employees of the judiciary shall be established by the state court
22    administrator in accordance with Section 78-3-24.
23        (c) Compensation for officers, faculty, and other employees of state universities and
24    institutions of higher education shall be established as provided in Title 53B, Chapters 1 and 2.
25        (d) Unless otherwise provided by law, compensation for all other Schedule A employees
26    shall be established by their appointing authorities, within ranges approved by, and after
27    consultation with the director of the Department of Human Resources.
28        (5) All employees of the Office of State Auditor, the Office of State Treasurer, the Office
29    of the Attorney General, excluding attorneys who are under their own career service system, and
30    employees who are not exempt under this section are covered by the career service provisions of
31    this chapter.

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1        Section 5. Section 67-19-15.7 is amended to read:
2         67-19-15.7. Promotion -- Reclassification -- Voluntary acceptance of lower positions
3     -- Market adjustment.
4        (1) (a) Each employee who is promoted or whose position is reclassified to the next higher
5    salary range shall be placed at the merit step within the new range corresponding to a salary
6    increase of between 2.75% and 11%.
7        (b) The employee may not be placed higher than the highest merit step in the new salary
8    range.
9        (2) Each employee who is promoted or whose position is reclassified to a salary range
10    higher than the next higher range shall be placed at the merit step within the new range
11    corresponding to a salary increase of between 5.5% and 11%. The employee may not be placed
12    lower than the lowest merit step in the new salary range.
13        (3) Each employee who voluntarily accepts a position in the next lower salary range shall
14    be placed at the merit step within the new range corresponding to a salary decrease of 2.75% or
15    as close to 2.75% as possible. The employee may not be placed lower than the lowest merit step
16    in the new salary range.
17        (4) Each employee who voluntarily accepts a position in a salary range lower than the next
18    lower range shall be placed at the merit step within the new range corresponding to a salary
19    decrease of 5.5% or as close to 5.5% as possible. The employee may not be placed higher than
20    the highest merit step in the new salary range.
21        (5) (a) Each employee whose salary range is approved by the Legislature for a selective
22    salary adjustment consistent with Subsection 67-19-12(4)(c)(viii) shall be adjusted to the new
23    range at the beginning of the next fiscal year.
24        (b) Employees shall be placed at the step value on the new range consistent with the
25    appropriation authorized by the Legislature.
26        (6) (a) Department-initiated revisions in the state classification system that result in
27    consolidation or reduction of class titles, or broadening of pay ranges may not be regarded as a
28    reclassification of the position or promotion of the employee.
29        (b) These revisions are exempt from the provisions of Subsections (1) and (2).
30        Section 6. Section 67-19-16 is amended to read:
31         67-19-16. Appointments to Schedule B positions -- Examinations -- Hiring lists --

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1     Probationary service -- Dismissal.
2        (1) Each appointment to a position under Schedule B shall be made from [registers] hiring
3    lists of applicants who have been selected by competitive procedures as defined by the director.
4        (2) [(a)] The director shall publicly announce [vacancy notices for] information regarding
5    career service positions:
6        [(i)] (a) for periods of time to be determined by the director; and
7        [(ii)] (b) in a manner designed to attract the highest number of qualified applicants.
8        [(b) The director shall ensure that vacancy notices for career service positions are publicly
9    announced for at least five days.]
10        (3) The director shall make rules establishing standards for the development, approval, and
11    implementation of examining instruments.
12        (4) [(a)] Applicants for employment to Schedule B positions shall be [certified from
13    registers based upon procedures established in rules] eligible for appointment based upon rules
14    established by the director.
15        [(b) The director shall make rules establishing procedures for certifying applicants from
16    registers.]
17        (5) (a) The agency head shall make appointments to fill vacancies from [appropriate
18    registers] hiring lists for probationary periods as defined by rule.
19        (b) The director shall make rules establishing probationary periods.
20        (6) A person serving a probationary period may not use the grievance procedures provided
21    in this chapter and in Title 67, Chapter 19a, Grievance and Appeal Procedures, and may be
22    dismissed at any time by the appointing officer without hearing or appeal.
23        (7) Career service status shall be granted upon the successful completion of the
24    probationary period.
25        Section 7. Section 67-20-8 is amended to read:
26         67-20-8. Volunteer experience credit.
27        (1) State agencies shall designate positions for which approved volunteer experience
28    satisfies the [minimum qualifications] job requirements for purposes of employment.
29        (2) When evaluating applicants for those designated positions, state agencies shall consider
30    documented approved volunteer experience in the same manner as similar paid employment.
31        (3) The Department of Human Resource Management shall make statewide rules

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1    governing the:
2        (a) designation of volunteer positions; and
3        (b) a uniform process to document the approval, use, and hours worked by volunteers.
4        Section 8. Repealer.
5        This act repeals:
6        Section 67-19-40, State benefits for service members activated due to Operation
7     Desert Shield and Operation Desert Storm.

Legislative Review Note
    as of 2-3-97 12:04 PM

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

Office of Legislative Research and General Counsel

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