Senator Evan J. Vickers proposes the following substitute bill:


1     
STATE EMPLOYMENT AMENDMENTS

2     
2022 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Kay J. Christofferson

5     
Senate Sponsor: Evan J. Vickers

6     

7     LONG TITLE
8     General Description:
9          This bill enacts and amends provisions related to the employment and management of
10     state personnel.
11     Highlighted Provisions:
12          This bill:
13          ▸     requires the Division of Human Resource Management (division) to provide
14     training for supervisors of state agency employees;
15          ▸     requires a supervisor to attend the training;
16          ▸     requires the division to establish a pay for performance management system;
17          ▸     requires the division to make rules allowing an employee to receive a wage that
18     exceeds the employee's salary range if necessary to recognize the employee's
19     performance;
20          ▸     requires a state agency, no later than July 1, 2023, to evaluate and pay employees
21     based on performance;
22          ▸     provides that a state employee hired in a supervisor position on or after July 1,
23     2022, is exempt from the career service system;
24          ▸     allows a state employee in a supervisor position who holds career service status
25     before July 1, 2022, to retain the employee's career service status or convert to

26     career-service exempt status by July 1, 2023;
27          ▸     prohibits the Career Service Review Office from taking jurisdiction of a matter that
28     an employer has not had an opportunity to address;
29          ▸     clarifies the process for filing a grievance;
30          ▸     repeals longevity and promotion salary increases for certain state employees;
31          ▸     except in certain circumstances, requires an employee to submit a grievance within
32     10 working days; and
33          ▸     makes conforming changes.
34     Money Appropriated in this Bill:
35          None
36     Other Special Clauses:
37          This bill provides a special effective date.
38     Utah Code Sections Affected:
39     AMENDS:
40          63A-17-102, as renumbered and amended by Laws of Utah 2021, Chapter 344
41          63A-17-106, as renumbered and amended by Laws of Utah 2021, Chapter 344
42          63A-17-301, as last amended by Laws of Utah 2021, Chapter 382 and renumbered and
43     amended by Laws of Utah 2021, Chapter 344
44          63A-17-307, as renumbered and amended by Laws of Utah 2021, Chapter 344
45          63I-2-263, as last amended by Laws of Utah 2021, First Special Session, Chapter 4
46          67-19a-202, as last amended by Laws of Utah 2021, Chapter 344
47          67-19a-302, as repealed and reenacted by Laws of Utah 2018, Chapter 390
48          67-19a-401, as last amended by Laws of Utah 2018, Chapter 390
49     ENACTS:
50          63A-17-112, Utah Code Annotated 1953
51     

52     Be it enacted by the Legislature of the state of Utah:
53          Section 1. Section 63A-17-102 is amended to read:
54          63A-17-102. Definitions.
55          As used in this chapter:
56          (1) "Agency" means any department or unit of Utah state government with authority to

57     employ personnel.
58          (2) "Career service" means positions under schedule B as defined in Section
59     63A-17-301.
60          (3) "Career service employee" means an employee who has successfully completed a
61     probationary period of service in a position covered by the career service.
62          (4) "Career service status" means status granted to employees who successfully
63     complete probationary periods for competitive career service positions.
64          (5) "Classified service" means those positions subject to the classification and
65     compensation provisions of Section 63A-17-307.
66          (6) "Controlled substance" means controlled substance as defined in Section 58-37-2.
67          (7) (a) "Demotion" means a disciplinary action resulting in a reduction of an
68     employee's current actual wage.
69          (b) "Demotion" does not mean:
70          (i) a nondisciplinary movement of an employee to another position without a reduction
71     in the current actual wage; or
72          (ii) a reclassification of an employee's position under the provisions of Subsection
73     63A-17-307(3) and rules made by the department.
74          (8) "Director" means the director of the division.
75          (9) "Disability" means a physical or mental disability as defined and protected under
76     the Americans with Disabilities Act, 42 U.S.C. Section 12101 et seq.
77          (10) "Division" means the Division of Human Resource Management, created in
78     Section 63A-17-105.
79          (11) "Employee" means any individual in a paid status covered by the career service or
80     classified service provisions of this chapter.
81          (12) "Examining instruments" means written or other types of proficiency tests.
82          (13) "Human resource function" means those duties and responsibilities specified:
83          (a) under Section 63A-17-106;
84          (b) under rules of the division; and
85          (c) under other state or federal statute.
86          (14) "Market comparability adjustment" means a salary range adjustment determined
87     necessary through a market survey of salary data and other relevant information.

88          (15) "Probationary employee" means an employee serving a probationary period in a
89     career service position but who does not have career service status.
90          (16) "Probationary period" means that period of time determined by the division that an
91     employee serves in a career service position as part of the hiring process before career service
92     status is granted to the employee.
93          (17) "Probationary status" means the status of an employee between the employee's
94     hiring and the granting of career service status.
95          (18) "Structure adjustment" means a division modification of salary ranges.
96          (19) "Temporary employee" means career service exempt employees described in
97     Subsection 63A-17-301(1)[(q)](r).
98          (20) "Total compensation" means salaries and wages, bonuses, paid leave, group
99     insurance plans, retirement, and all other benefits offered to state employees as inducements to
100     work for the state.
101          Section 2. Section 63A-17-106 is amended to read:
102          63A-17-106. Responsibilities of the director.
103          (1) The director shall have full responsibility and accountability for the administration
104     of the statewide human resource management system.
105          (2) Except as provided in Section 63A-17-201, an agency may not perform human
106     resource functions without the consent of the director.
107          (3) Statewide human resource management rules adopted by the division in accordance
108     with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, shall take precedence if there
109     is a conflict with agency rules, policies, or practices.
110          (4) The division may operate as an internal service fund agency in accordance with
111     Section 63J-1-410 for the human resource functions the division provides.
112          (5) The director shall:
113          (a) develop, implement, and administer a statewide program of human resource
114     management that will:
115          (i) aid in the efficient execution of public policy;
116          (ii) foster careers in public service for qualified employees; and
117          (iii) render assistance to state agencies in performing their missions;
118          (b) design and administer the state pay plan;

119          (c) design and administer the state classification system and procedures for determining
120     schedule assignments;
121          (d) design and administer the state recruitment and selection system;
122          (e) administer agency human resource practices and ensure compliance with federal
123     law, state law, and state human resource rules, including equal employment opportunity;
124          (f) consult with agencies on decisions concerning employee corrective action and
125     discipline;
126          (g) maintain central personnel records;
127          (h) perform those functions necessary to implement this chapter unless otherwise
128     assigned or prohibited;
129          (i) perform duties assigned by the governor, executive director, or statute;
130          (j) adopt rules for human resource management according to the procedures of Title
131     63G, Chapter 3, Utah Administrative Rulemaking Act;
132          (k) establish and maintain a management information system that will furnish the
133     governor, the Legislature, and agencies with current information on authorized positions,
134     payroll, and related matters concerning state human resources;
135          (l) conduct research and planning activities to:
136          (i) determine and prepare for future state human resource needs;
137          (ii) develop methods for improving public human resource management; and
138          (iii) propose needed policy changes to the governor;
139          (m) study the character, causes, and extent of discrimination in state employment and
140     develop plans for its elimination through programs consistent with federal and state laws
141     governing equal employment opportunity in employment;
142          (n) when requested by charter schools or counties, municipalities, and other political
143     subdivisions of the state, provide technical service, training recommendations, or advice on
144     human resource management at a charge determined by the director;
145          (o) establish compensation policies and procedures for early voluntary retirement;
146          (p) confer with the heads of other agencies about human resource policies and
147     procedures;
148          (q) submit an annual report to the executive director, the governor, and the Legislature;
149     and

150          (r) assist with the development of a vacant position report required under Subsection
151     63J-1-201(2)(b)(vi).
152          (6) (a) After consultation with the executive director, the governor, and the heads of
153     other agencies, the director shall establish and coordinate statewide training programs,
154     including [and subject to available funding, the development of manager and supervisor
155     training] training described in Subsection (6)(e).
156          (b) The programs developed under this Subsection (6) shall have application to more
157     than one agency.
158          (c) The division may not establish training programs that train employees to perform
159     highly specialized or technical jobs and tasks.
160          (d) The division shall ensure that any training program described in this Subsection (6)
161     complies with Title 63G, Chapter 22, State Training and Certification Requirements.
162          (e) (i) As used in this Subsection (6)(e):
163          (A) "Employee" means the same as that term is defined in Section 63A-17-112.
164          (B) "Supervisor" means an individual in a position at an agency, as defined in Section
165     63A-17-112, that requires the regular supervision and performance evaluation of an employee.
166          (ii) A supervisor shall attend the training:
167          (A) within six months of being promoted or hired to the position of supervisor; and
168          (B) at least annually.
169          (iii) Training attendance and the effective use of training information and principles
170     shall be considered in an evaluation of a supervisor's job performance.
171          (iv) The training shall include:
172          (A) effective employee management and evaluation methods based on the pay for
173     performance management system described in Section 63A-17-112;
174          (B) instruction to improve supervisor and employee communications;
175          (C) best practices for recognizing and retaining high-performing employees;
176          (D) best practices for addressing poor-performing employees; and
177          (E) any other information and principles identified by the division to improve
178     management or organizational effectiveness.
179          (7) (a) (i) The division may collect fees for training as authorized by this Subsection
180     (7).

181          (ii) Training funded from General Fund appropriations shall be treated as a separate
182     program within the department budget.
183          (iii) All money received from fees under this section will be accounted for by the
184     department as a separate user driven training program.
185          (iv) The user training program includes the costs of developing, procuring, and
186     presenting training and development programs, and other associated costs for these programs.
187          (b) (i) Funds remaining at the end of the fiscal year in the user training program are
188     nonlapsing.
189          (ii) Each year, as part of the appropriations process, the Legislature shall review the
190     amount of nonlapsing funds remaining at the end of the fiscal year and may, by statute, require
191     the department to lapse a portion of the funds.
192          Section 3. Section 63A-17-112 is enacted to read:
193          63A-17-112. Pay for performance management system -- Employees paid for
194     performance.
195          (1) As used in this section:
196          (a) (i) "Agency" means, except as provided in Subsection (1)(a)(ii), the same as that
197     term is defined in Section 63A-17-102.
198          (ii) "Agency" does not include the State Board of Education, the Office of the State
199     Treasurer, Office of the State Auditor, Office of the State Attorney General, Utah System of
200     Higher Education, the Legislature, the judiciary, or, as defined Section 63E-1-102, an
201     independent entity.
202          (b) (i) "Employee" means an employee of an agency.
203          (ii) "Employee" does not include an individual in a schedule AB, as described in
204     Section 63A-17-301, position.
205          (c) "Pay for performance" means a plan for incentivizing an employee for meeting or
206     exceeding production or performance goals, in which the plan is well-defined before work
207     begins, eligible work groups are defined, specific goals and targets for the employee are
208     determined, measurement procedures are in place, and specific incentives are provided when
209     goals and targets are met.
210          (d) "Pay for performance management system" means the system described in
211     Subsection (2).

212          (2) The division shall establish and, in accordance with Title 63G, Chapter 3, Utah
213     Administrative Rulemaking Act, make rules for the administration of a pay for performance
214     management system.
215          (3) The pay for performance management system shall include:
216          (a) guidelines and criteria for an agency to adopt pay for performance policies and
217     administer pay based on an employee's performance in furtherance of the agency's mission;
218          (b) employee performance ratings;
219          (c) requirements for written employee performance standards and expectations;
220          (d) supervisor verbal and written feedback based on the standards of performance and
221     behavior outlined in an employee's performance plan; and
222          (e) quarterly written evaluation of an employee's performance.
223          (4) In consultation with the division, no later than July 1, 2023, each agency shall:
224          (a) adopt pay for performance policies based on the performance management system;
225     and
226          (b) subject to available funds and as necessary, adjust an employee's wage to reflect:
227          (i) subject to Subsection (5), for a classified service employee, the salary range of the
228     position classified plan for the employee's position; and
229          (ii) an increase, decrease, or no change in the employee's wage:
230          (A) commensurate to an employee's performance as reflected by the employee's
231     evaluation conducted in accordance with the pay for performance management system; and
232          (B) in an amount that is in accordance with the guidelines and criteria established for a
233     wage change in the pay for performance management system.
234          (5) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the
235     division shall make rules authorizing a classified service employee to receive a wage that
236     exceeds the salary range of the classified service employee's position classified plan if
237     warranted based on the classified employee's performance rating.
238          Section 4. Section 63A-17-301 is amended to read:
239          63A-17-301. Career service -- Exempt positions -- Schedules for civil service
240     positions -- Coverage of career service provisions.
241          (1) Except as [otherwise provided by law or by rules and regulations established for
242     federally aided programs] provided in Subsection (3)(d), the following positions are exempt

243     from the career service provisions of this chapter and are designated under the following
244     schedules:
245          (a) schedule AA includes the governor, members of the Legislature, and all other
246     elected state officers;
247          (b) schedule AB includes appointed executives and board or commission executives
248     enumerated in Section 67-22-2;
249          (c) schedule AC includes all employees and officers in:
250          (i) the office and at the residence of the governor;
251          (ii) the Public Lands Policy Coordinating Office;
252          (iii) the Office of the State Auditor; and
253          (iv) the Office of the State Treasurer;
254          (d) schedule AD includes employees who:
255          (i) are in a confidential relationship to an agency head or commissioner; and
256          (ii) report directly to, and are supervised by, a department head, commissioner, or
257     deputy director of an agency or its equivalent;
258          (e) schedule AE includes each employee of the State Board of Education that the State
259     Board of Education designates as exempt from the career service provisions of this chapter;
260          (f) schedule AG includes employees in the Office of the Attorney General who are
261     under their own career service pay plan under Sections 67-5-7 through 67-5-13;
262          (g) schedule AH includes:
263          (i) teaching staff of all state institutions; and
264          (ii) employees of the Utah Schools for the Deaf and the Blind who are:
265          (A) educational interpreters as classified by the division; or
266          (B) educators as defined by Section 53E-8-102;
267          (h) schedule AN includes employees of the Legislature;
268          (i) schedule AO includes employees of the judiciary;
269          (j) schedule AP includes all judges in the judiciary;
270          (k) schedule AQ includes:
271          (i) members of state and local boards and councils appointed by the governor and
272     governing bodies of agencies;
273          (ii) a water commissioner appointed under Section 73-5-1;

274          (iii) other local officials serving in an ex officio capacity; and
275          (iv) officers, faculty, and other employees of state universities and other state
276     institutions of higher education;
277          (l) schedule AR includes employees in positions that involve responsibility:
278          (i) for determining policy;
279          (ii) for determining the way in which a policy is carried out; or
280          (iii) of a type not appropriate for career service, as determined by the agency head with
281     the concurrence of the director;
282          (m) schedule AS includes any other employee:
283          (i) whose appointment is required by statute to be career service exempt;
284          (ii) whose agency is not subject to this chapter; or
285          (iii) whose agency has authority to make rules regarding the performance,
286     compensation, and bonuses for its employees;
287          (n) schedule AT includes employees of the Division of Technology Services,
288     designated as executive/professional positions by the director of the Division of Technology
289     Services with the concurrence of the director of the division;
290          (o) schedule AU includes patients and inmates employed in state institutions;
291          (p) employees of the Department of Workforce Services, designated as schedule AW:
292          (i) who are temporary employees that are federally funded and are required to work
293     under federally qualified merit principles as certified by the director; or
294          (ii) for whom substantially all of their work is repetitive, measurable, or transaction
295     based, and who voluntarily apply for and are accepted by the Department of Workforce
296     Services to work in a pay for performance program designed by the Department of Workforce
297     Services with the concurrence of the director of the division; [and]
298          (q) subject to Subsection (6), schedule AX includes employees in positions that:
299          (i) require the regular supervision and performance evaluation of one or more other
300     employees; and
301          (ii) are not designated exempt from career service under any other schedule described
302     in this Subsection (1); and
303          [(q)] (r) for employees in positions that are temporary, seasonal, time limited, funding
304     limited, or variable hour in nature, under schedule codes and parameters established by the

305     division by administrative rule.
306          (2) The civil service shall consist of two schedules as follows:
307          (a) (i) Schedule A is the schedule consisting of positions under Subsection (1).
308          (ii) Removal from any appointive position under schedule A, unless otherwise
309     regulated by statute, is at the pleasure of the appointing officers without regard to tenure.
310          (b) Schedule B is the competitive career service schedule, consisting of:
311          (i) all positions filled through competitive selection procedures as defined by the
312     director; or
313          (ii) positions filled through a division approved on-the-job examination intended to
314     appoint a qualified person with a disability, or a veteran in accordance with Title 71, Chapter
315     10, Veterans Preference.
316          (3) (a) The director, after consultation with the heads of concerned executive branch
317     departments and agencies and with the approval of the governor, shall allocate positions to the
318     appropriate schedules under this section.
319          (b) Agency heads shall make requests and obtain approval from the director before
320     changing the schedule assignment and tenure rights of any position.
321          (c) Unless the director's decision is reversed by the governor, when the director denies
322     an agency's request, the director's decision is final.
323          (d) (i) An agency may file with the division a request to reschedule a position that
324     would otherwise be scheduled as a schedule A position.
325          (ii) The division shall review a request filed under Subsection (3)(d)(i) and approve the
326     request only if the exception is necessary to conform to a requirement imposed as a condition
327     precedent to receipt of federal funds or grant of a tax benefit under federal law.
328          (4) (a) Compensation for employees of the Legislature shall be established by the
329     directors of the legislative offices in accordance with Section 36-12-7.
330          (b) Compensation for employees of the judiciary shall be established by the state court
331     administrator in accordance with Section 78A-2-107.
332          (c) Compensation for officers, faculty, and other employees of state universities and
333     institutions of higher education shall be established as provided in Title 53B, Chapter 1,
334     Governance, Powers, Rights, and Responsibilities, and Title 53B, Chapter 2, Institutions of
335     Higher Education.

336          (d) Unless otherwise provided by law, compensation for all other schedule A
337     employees shall be established by their appointing authorities, within ranges approved by, and
338     after consultation with the director.
339          (5) An employee who is in a position designated schedule AC and who holds career
340     service status on June 30, 2010, shall retain the career service status if the employee:
341          (a) remains in the position that the employee is in on June 30, 2010; and
342          (b) does not elect to convert to career service exempt status in accordance with a rule
343     made by the division.
344          (6) (a) An employee who is hired for a schedule AX position on or after July 1, 2022,
345     is exempt from career service status.
346          (b) An employee who before July 1, 2022, is a career service employee employed in a
347     schedule B position that is rescheduled to a schedule AX position on July 1, 2022, shall
348     maintain the employee's career service status for the duration of the employee's employment in
349     the same position unless the employee voluntarily converts to career service exempt status
350     before July 1, 2023.
351          (c) (i) Subject to Subsection (6)(c)(ii), an employee is exempt from career service
352     status if:
353          (A) before July 1, 2022, the employee was a probationary employee in a schedule B
354     position and had not completed the probationary period; and
355          (B) on July 1, 2022, the schedule B position in which the probationary employee is
356     employed is rescheduled as a scheduled AX position.
357          (ii) An employee described in Subsection (6)(c)(i):
358          (A) is not a probationary employee on or after July 1, 2022; and
359          (B) is exempt from career service status on and after July 1, 2022, unless the employee
360     changes employment to a schedule B position.
361          (d) The division shall disseminate to each employee described in Subsection (6)(b)
362     information on financial and other incentives for voluntary conversion to career-service exempt
363     status.
364          (e) An agency, as defined in Section 63A-17-112, may adopt a policy, created in
365     consultation with the division, for agency review of recommendations that schedule AX
366     employees be suspended or dismissed from employment.

367          Section 5. Section 63A-17-307 is amended to read:
368          63A-17-307. State pay plans -- Applicability of section -- Exemptions -- Duties of
369     director.
370          (1) (a) This section, and the rules adopted by the division to implement this section,
371     apply to each career and noncareer employee not specifically exempted under Subsection (2).
372          (b) If not exempted under Subsection (2), an employee is considered to be in classified
373     service.
374          (2) The following employees are exempt from this section:
375          (a) members of the Legislature and legislative employees;
376          (b) members of the judiciary and judicial employees;
377          (c) elected members of the executive branch and employees designated as schedule AC
378     as provided under Subsection 63A-17-301(1)(c);
379          (d) employees of the State Board of Education;
380          (e) officers, faculty, and other employees of state institutions of higher education;
381          (f) employees in a position that is specified by statute to be exempt from this
382     Subsection (2);
383          (g) employees in the Office of the Attorney General;
384          (h) department heads and other persons appointed by the governor under statute;
385          (i) schedule AS employees as provided under Subsection 63A-17-301(1)(m);
386          (j) department deputy directors, division directors, and other employees designated as
387     schedule AD as provided under Subsection 63A-17-301(1)(d);
388          (k) employees that determine and execute policy designated as schedule AR as
389     provided under Subsection 63A-17-301(1)(l);
390          (l) teaching staff, educational interpreters, and educators designated as schedule AH as
391     provided under Subsection 63A-17-301(1)(g);
392          (m) temporary employees described in Subsection 63A-17-301(1)[(q)](r);
393          (n) patients and inmates designated as schedule AU as provided under Subsection
394     63A-17-301(1)(o) who are employed by state institutions; and
395          (o) members of state and local boards and councils and other employees designated as
396     schedule AQ as provided under Subsection 63A-17-301(1)(k).
397          (3) (a) The director shall prepare, maintain, and revise a position classification plan for

398     each employee position not exempted under Subsection (2) to provide equal pay for equal
399     work.
400          (b) Classification of positions shall be based upon similarity of duties performed and
401     responsibilities assumed, so that the same job requirements and the same salary range, subject
402     to Section 63A-17-112, may be applied equitably to each position in the same class.
403          (c) The director shall allocate or reallocate the position of each employee in classified
404     service to one of the classes in the classification plan.
405          (d) (i) The division shall conduct periodic studies and interviews to provide that the
406     classification plan remains reasonably current and reflects the duties and responsibilities
407     assigned to and performed by employees.
408          (ii) The director shall determine the need for studies and interviews after considering
409     factors such as changes in duties and responsibilities of positions or agency reorganizations.
410          (4) (a) With the approval of the executive director and the governor, the director shall
411     develop and adopt pay plans for each position in classified service.
412          (b) The director shall design each pay plan to achieve, to the degree that funds permit,
413     comparability of state salary ranges to the market using data obtained from private enterprise
414     and other public employment for similar work.
415          (c) The director shall adhere to the following in developing each pay plan:
416          (i) each pay plan shall consist of sufficient salary ranges to:
417          (A) permit adequate salary differential among the various classes of positions in the
418     classification plan; and
419          (B) reflect the normal growth and productivity potential of employees in that class.
420          (ii) The director shall issue rules for the administration of pay plans.
421          (d) The establishing of a salary range is a nondelegable activity and is not appealable
422     under the grievance procedures of Part 6, Grievance Provisions, Title 67, Chapter 19a,
423     Grievance Procedures, or otherwise.
424          (e) The director shall issue rules providing for:
425          (i) agency approved salary adjustments within approved salary ranges, including an
426     administrative salary adjustment; and
427          [(ii) legislatively approved salary adjustments within approved salary ranges, including
428     a merit increase, subject to Subsection (4)(f), or general increase; and]

429          [(iii)] (ii) structure adjustments that modify salary ranges, including a cost of living
430     adjustment or market comparability adjustment.
431          [(f) A merit increase shall be granted on a uniform and consistent basis to each
432     employee who receives a rating of "successful" or higher in an annual evaluation of the
433     employee's productivity and performance.]
434          (5) (a) On or before October 31 of each year, the director shall submit an annual
435     compensation plan to the executive director and the governor for consideration in the executive
436     budget.
437          (b) The plan described in Subsection (5)(a) may include recommendations, including:
438          (i) salary increases that generally affect employees, including a general increase or
439     merit increase;
440          (ii) salary increases that address compensation issues unique to an agency or
441     occupation;
442          (iii) structure adjustments, including a cost of living adjustment or market
443     comparability adjustment; or
444          (iv) changes to employee benefits.
445          (c) (i) (A) Subject to Subsection (5)(c)(i)(B) or (C), the director shall incorporate the
446     results of a salary survey of a reasonable cross section of comparable positions in private and
447     public employment in the state into the annual compensation plan.
448          (B) The salary survey for a law enforcement officer, as defined in Section 53-13-103, a
449     correctional officer, as defined in Section 53-13-104, or a dispatcher, as defined in Section
450     53-6-102, shall at minimum include the three largest political subdivisions in the state that
451     employ, respectively, comparable positions.
452          (C) The salary survey for an examiner or supervisor described in Title 7, Chapter 1,
453     Part 2, Department of Financial Institutions, shall at minimum include the Federal Deposit
454     Insurance Corporation, Federal Reserve, and National Credit Union Administration.
455          (ii) The director may cooperate with or participate in any survey conducted by other
456     public and private employers.
457          (iii) The director shall obtain information for the purpose of constructing the survey
458     from the Division of Workforce Information and Payment Services and shall include employer
459     name, number of persons employed by the employer, employer contact information and job

460     titles, county code, and salary if available.
461          (iv) The division shall acquire and protect the needed records in compliance with the
462     provisions of Section 35A-4-312.
463          (d) The director may incorporate any other relevant information in the plan described
464     in Subsection (5)(a), including information on staff turnover, recruitment data, or external
465     market trends.
466          (e) The director shall:
467          (i) establish criteria to assure the adequacy and accuracy of data used to make
468     recommendations described in this Subsection (5); and
469          (ii) when preparing recommendations use accepted methodologies and techniques
470     similar to and consistent with those used in the private sector.
471          (f) (i) Upon request and subject to Subsection (5)(f)(ii), the division shall make
472     available foundational information used by the division or director in the drafting of a plan
473     described in Subsection (5)(a), including:
474          (A) demographic and labor market information;
475          (B) information on employee turnover;
476          (C) salary information;
477          (D) information on recruitment; and
478          (E) geographic data.
479          (ii) The division may not provide under Subsection (5)(f)(i) information or other data
480     that is proprietary or otherwise protected under the terms of a contract or by law.
481          (g) The governor shall:
482          (i) consider salary and structure adjustments recommended under Subsection (5)(b) in
483     preparing the executive budget and shall recommend the method of distributing the
484     adjustments;
485          (ii) submit compensation recommendations to the Legislature; and
486          (iii) support the recommendation with schedules indicating the cost to individual
487     departments and the source of funds.
488          (h) If funding is approved by the Legislature in a general appropriations act, the
489     adjustments take effect on the July 1 following the enactment unless otherwise indicated.
490          (6) (a) The director shall issue rules for the granting of incentive awards, including

491     awards for cost saving actions, awards for commendable actions by an employee, or a
492     market-based award to attract or retain employees.
493          (b) An agency may not grant a market-based award unless the award is previously
494     approved by the division.
495          (c) In accordance with Subsection (6)(b), an agency requesting the division's approval
496     of a market-based award shall submit a request and documentation, subject to Subsection
497     (6)(d), to the division.
498          (d) In the documentation required in Subsection (6)(c), the requesting agency shall
499     identify for the division:
500          (i) any benefit the market-based award would provide for the agency, including:
501          (A) budgetary advantages; or
502          (B) recruitment advantages;
503          (ii) a mission critical need to attract or retain unique or hard to find skills in the market;
504     or
505          (iii) any other advantage the agency would gain through the utilization of a
506     market-based award.
507          (7) (a) The director shall regularly evaluate the total compensation program of state
508     employees in the classified service.
509          (b) The division shall determine if employee benefits are comparable to those offered
510     by other private and public employers using information from:
511          (i) a study conducted by a third-party consultant; or
512          (ii) the most recent edition of a nationally recognized benefits survey.
513          Section 6. Section 63I-2-263 is amended to read:
514          63I-2-263. Repeal dates, Title 63A to Title 63N.
515          (1) Section 63A-3-111 is repealed June 30, 2021.
516          (2) Section 63A-17-303 is repealed July 1, 2023.
517          (3) Subsection 63A-17-304(1)(c) is repealed July 1, 2022.
518          [(2)] (4) Title 63C, Chapter 19, Higher Education Strategic Planning Commission is
519     repealed July 1, 2021.
520          [(3)] (5) Title 63C, Chapter 22, Digital Wellness, Citizenship, and Safe Technology
521     Commission is repealed July 1, 2023.

522          [(4)] (6) Section 63G-1-502 is repealed July 1, 2022.
523          [(5)] (7) The following sections regarding the World War II Memorial Commission are
524     repealed on July 1, 2022:
525          (a) Section 63G-1-801;
526          (b) Section 63G-1-802;
527          (c) Section 63G-1-803; and
528          (d) Section 63G-1-804.
529          [(6)] (8) Section 63H-7a-303 is repealed July 1, 2024.
530          [(7)] (9) Subsection 63J-1-206(3)(c), relating to coronavirus, is repealed July 1, 2021.
531          [(8)] (10) Sections 63M-7-213 and 63M-7-213.5 are repealed on January 1, 2023.
532          [(9)] (11) Section 63M-7-217 is repealed on July 1, 2022.
533          [(10)] (12) Title 63N, Chapter 13, Part 3, Facilitating Public-private Partnerships Act,
534     is repealed January 1, 2024.
535          [(11)] (13) Title 63N, Chapter 15, COVID-19 Economic Recovery Programs, is
536     repealed December 31, 2021.
537          Section 7. Section 67-19a-202 is amended to read:
538          67-19a-202. Powers -- Scope of authority.
539          (1) The office shall serve as the final administrative body to review a grievance from a
540     career service employee and an agency of a decision regarding:
541          (a) a dismissal;
542          (b) a demotion;
543          (c) a suspension;
544          (d) a reduction in force;
545          (e) a dispute concerning abandonment of position;
546          (f) a wage grievance if an employee is not placed within the salary range of the
547     employee's current position;
548          (g) a violation of a rule adopted under Title 63A, Chapter 17, Utah State Personnel
549     Management Act; or
550          (h) except as provided by Subsection [(4)] (5), equitable administration of the
551     following benefits:
552          (i) long-term disability insurance;

553          (ii) medical insurance;
554          (iii) dental insurance;
555          (iv) post-retirement health insurance;
556          (v) post-retirement life insurance;
557          (vi) life insurance;
558          (vii) defined contribution retirement;
559          (viii) defined benefit retirement; and
560          (ix) a leave benefit.
561          (2) The office shall serve as the final administrative body to review a grievance by a
562     reporting employee alleging retaliatory action.
563          (3) The office shall serve as the final administrative body to review, without an
564     evidentiary hearing, the findings of an abusive conduct investigation described in Section
565     67-26-202 of a state executive branch agency employee.
566          (4) The office may not take jurisdiction of a matter that an employer has not had an
567     opportunity to address.
568          [(4)] (5) The office may not review or take action on:
569          (a) a personnel matter not listed in Subsections (1) through (3);
570          (b) a personnel matter listed in Subsections (1) through (3) that alleges discrimination
571     or retaliation related to a claim of discrimination that is a violation of a state or federal law for
572     which review and action by the office is preempted by state or federal law; or
573          (c) a personnel matter related to a claim for which an administrative review process is
574     provided by statute and administered by:
575          (i) the Utah State Retirement Systems under Title 49, Utah State Retirement and
576     Insurance Benefit Act;
577          (ii) the Public Employees' Benefit and Insurance Program under Title 49, Chapter 20,
578     Public Employees' Benefit and Insurance Program Act; or
579          (iii) the Public Employees' Long-Term Disability Program under Title 49, Chapter 21,
580     Public Employees' Long-Term Disability Act.
581          [(5)] (6) The time limits established in this chapter supersede the procedural time limits
582     established in Title 63G, Chapter 4, Administrative Procedures Act.
583          Section 8. Section 67-19a-302 is amended to read:

584          67-19a-302. Levels of procedure.
585          (1) The administration of all grievances under Subsection 67-19a-202(1) occurs on the
586     following four levels:
587          (a) Level 1 - the supervisor;
588          (b) Level 2 - the division director or the director's designee;
589          (c) Level 3 - the agency director or the director's designee; and
590          (d) Level 4 - the office.
591          (2) (a) Except as provided in Subsection (2)(b), Section 67-19a-402.5, and Section
592     67-19a-501, and subject to applicable time limits as provided in this chapter, an employee:
593          (i) shall file a grievance [or complaint at Level 1 and proceed through the levels of
594     procedure within the applicable time limits provided in this chapter.] at the lowest level
595     described in Subsection (1) that has not already issued a decision, taken action, or declined to
596     address the subject of the grievance; and
597          (ii) may proceed for further review of a grievance in accordance with Section
598     67-19a-402.
599          (b) If a supervisor or division director is a subject of a grievance or complaint, the
600     employee may proceed directly to Level 2 or Level 3, respectively.
601          (c) An employee may not file a grievance that asks the same manager or a lower-level
602     manager to reconsider a previously made decision.
603          (3) A career service employee may advance all grievances to Level 3.
604          (4) In accordance with Section 67-19a-402.5 and subject to Section 67-21-4, a
605     reporting employee may file a grievance alleging retaliatory action directly at Level 4.
606          Section 9. Section 67-19a-401 is amended to read:
607          67-19a-401. Time limits for submission and advancement of grievance by
608     aggrieved employee -- Voluntary termination of employment -- Group grievances.
609          [(1) When a career service employee files a grievance at Level 1, as described in
610     Section 67-19a-302, the employee shall advance the grievance through the proper levels of
611     procedure specified in this chapter.]
612          [(2) The] (1) An aggrieved career service employee and the person to whom the
613     grievance is directed may agree in writing to waive or extend grievance steps specified under
614     Subsection 67-19a-402(1), (2), or (3) or the time limits specified for those grievance steps, as

615     outlined in Section 67-19a-402.
616          [(3)] (2) Any writing made under Subsection [(2)] (1) shall be submitted to the
617     administrator.
618          [(4)] (3) Except as provided under Subsections (5) and (6) [and (7)], if the employee
619     fails to advance the grievance to the next procedural step within the time limits established in
620     this part:
621          (a) the employee waives the right to advance the grievance or to obtain judicial review
622     of the grievance; and
623          (b) the grievance is considered to be settled based on the decision made at the last
624     procedural step.
625          [(5)] (4) An employee may file a grievance for review under this chapter, except as
626     provided in Subsections (5) and (6) [and (7)], if the employee submits the grievance within
627     [30] 10 working days after:
628          (a) the most recent event giving rise to the grievance; or
629          (b) the employee has knowledge of the most recent event giving rise to the grievance.
630          [(6)] (5) (a) An employee may file with the office a motion for an enlargement of a
631     time limit described in Subsection [(5)] (4).
632          (b) In determining whether to grant a motion described in Subsection [(6)] (5)(a), the
633     office shall consider, giving reasonable deference to the employee, whether:
634          (i) the employee filed the motion before the time limit the employee seeks to enlarge;
635     or
636          (ii) the enlargement is necessary to remedy the employee's excusable neglect.
637          [(7)] (6) The provisions of Subsections (3) and (4) [and (5)] do not apply if the
638     employee meets the requirements for excusable neglect as that term is defined in Section
639     67-19a-101.
640          [(8)] (7) (a) If several employees allege the same grievance, the employees may submit
641     a group grievance by following the procedures and requirements of this chapter.
642          (b) In submitting a group grievance, each aggrieved employee shall sign the grievance.
643          (c) The administrator may not treat a group grievance as a class action, but may select
644     one aggrieved employee's grievance and address that grievance as a test case.
645          Section 10. Effective date.

646          This bill takes effect on May 4, 2022, except that the amendments to:
647          (1) Sections 63A-17-102, 63A-17-301, 63A-17-307 take effect July 1, 2022; and
648          (2) Sections 63A-17-106 and 63A-17-112 take effect July 1, 2023.