Bill Text - SB74 (2023)

Relative to the department of administrative services.


Revision: April 3, 2023, 10:40 a.m.

SB 74-FN - AS AMENDED BY THE SENATE

 

03/09/2023   0666s

2023 SESSION

23-0967

06/08

 

SENATE BILL 74-FN

 

AN ACT relative to the department of administrative services.

 

SPONSORS: Sen. Carson, Dist 14

 

COMMITTEE: Executive Departments and Administration

 

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ANALYSIS

 

I.  This bill makes several changes to statutes related to the department of administrative services.

 

II.  This bill repeals 7 statutes relative to department of administrative services and exception, department of transportation, temporary, seasonal and part-time state employees, and positions made permanent, retroactive accumulation, application of statute, adjustment of salaries of classified state employees, salary increases for nurses, and overtime for nurses at certain institutions.

 

III.  This bill is a request of the department of administrative services.

 

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

03/09/2023   0666s 23-0967

06/08

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Twenty Three

 

AN ACT relative to the department of administrative services.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  Division of Personnel.  Amend introductory paragraph RSA 21-I:42 to read as follows:

21-I:42 Division of Personnel.  There is hereby established within the department of administrative services the division of personnel, under the supervision of an unclassified director of personnel appointed under RSA 21-I:2, who shall be the only individual in the executive branch to refer to themselves as the director of personnel and hold such a title, whether in whole or in part, and who shall report to the commissioner and be responsible for the following functions in accordance with applicable laws:

2  Division of Personnel.  Amend RSA 21-I:42, I and VI to read as follows:

I.  Managing a centralized [personnel operation] human resources processing operations unit which shall provide for the recruitment, appointment, compensation, promotion, transfer, layoff, removal and discipline of state employees.

VI.  Developing a program for the recruitment, selection, placement, and retention of qualified applicants in the state service.  [The department shall obtain the approval of the fiscal committee of the general court prior to developing or implementing the program.  Upon approval, the program may include:

(a)  Expenditures by state agencies for recruitment and retention incentives, including but not limited to:

(1)  Bonuses for newly hired applicants who have not been employed by the state for a period of time to be determined by the director, but no less than one year, immediately preceding the date of hire; and

(2)  Referral fees for active employees of the state in good standing, excluding those employed in human resources jobs within their own agencies and hiring manager positions.

(b)  Any recruitment or retention incentives received by a state employee pursuant to this paragraph shall not be considered gifts under RSA 15-B.

(c)  Referral of applicants by current employees of the state for the purpose of receiving a referral fee pursuant to this paragraph shall not be considered a misuse of position under RSA 21-G:23, provided that any rules adopted by the director pursuant to RSA 21-I:43, II or any directives issued by the director pursuant to RSA 21-I:42, XV require that the benefits of a referral program shall be equally available to all state employees, except as specified in subparagraph (a)(2), and subject to uniform criteria established by the director.

(d)  Any expenditures made for recruitment or retention incentives pursuant to this paragraph shall be considered a matter of legislatively-enacted public policy that is designed to benefit employees and the state, and that is confined exclusively to the public employer by statute as provided in RSA 273-A:1, XI, and which shall not be subject to collective bargaining.  Nothing in this paragraph shall be construed to invalidate any portion of a collective bargaining agreement entered into by the state.

(e)  Any expenditures for recruitment or retention incentives or bonuses pursuant to this paragraph shall require the approval of the fiscal committee of the general court. ]

3  New Paragraph; Classified Service and Exemptions.  Amend RSA 21-I:49 by inserting after paragraph X the following new paragraph:

XI.  Those appointed to unclassified or non-classified positions by a chief executive officer of each department and institution and independent agency.

4  Appeals.  Amend RSA 21-I:58, I to read as follows:

I.  Any [permanent] full-time employee having completed the applicable probationary period who is affected by any application of the personnel rules, except for those rules enumerated in RSA 21-I:46, I and the application of rules in classification decisions appealable under RSA 21-I:57, may appeal to the personnel appeals board within 15 calendar days of the action giving rise to the appeal.  The appeal shall be heard in accordance with the procedures provided for adjudicative proceedings in RSA 541-A.  If the personnel appeals board finds that the action complained of was taken by the appointing authority for any reason related to politics, religion, age, sex, gender identity, race, color, ethnic background, marital status, or disabling condition, or on account of the person's sexual orientation, or was taken in violation of a statute or of rules adopted by the director, the employee shall be reinstated to the employee's former position or a position of like seniority, status, and pay.  The employee shall be reinstated without loss of pay, provided that the sum shall be equal to the salary loss suffered during the period of denied compensation less any amount of compensation earned or benefits received from any other source during the period.  "Any other source" shall not include compensation earned from continued casual employment during the period if the employee held the position of casual employment prior to the period, except to the extent that the number of hours worked in such casual employment increases during the period.  In all cases, the personnel appeals board may reinstate an employee or otherwise change or modify any order of the appointing authority, or make such other order as it may deem just.

5  Division of Personnel.  Amend RSA 21-I:42, III to read as follows:

III.  [Allocating] The position of every employee in the classified service to one of the classifications in the classification plan.

6  New Positions and Reclassifications of Positions.  Amend RSA 21-I:54, I, II, and III to read as follows:

I.  Notwithstanding any provision of law to the contrary, no new position in the classified service for employment of over one calendar year shall be established except upon approval of the governor and council.  A request from a department head for additional personnel beyond those considered as line items in the budget as enacted as a budgetary amount, if said employment is for a period in excess of one calendar year, shall be considered a new position requiring the approval as specified in this section.  In addition, a request made either to the division of personnel or the governor and council for the reclassification or reallocation of positions to a different [class series] occupational group shall be considered as a request for a new position and shall require the approval of the governor and council, except as provided in RSA 21-I:56, IV.

II.  The division of personnel shall submit to the general court on or before January 15 of each legislative year a report containing a list of all new positions created subsequent to the report made to the preceding session of the general court giving the reason for the action taken in each case and stating clearly the effect of such action upon the amounts for personnel services appropriated by the preceding general court.  The report shall also include a list of all reclassifications [or reallocations] of positions allowed during the previous year by either the director or the personnel appeals board.  The report shall state how many employees were affected by each reclassification [or reallocation] and the cost of each reclassification or reallocation.

III.  The director shall make a decision on any request for reclassification [or reallocation] from department heads or position incumbents within 45 days of receipt of a completed request for reclassification or reallocation as defined by rules adopted under RSA 21-I:43, II(u).  Except as otherwise provided by law, rule, or bargaining agreement negotiated under the provisions of RSA 273-A, no [increases in salary] changes in compensation shall be allowed for any request until a final decision is made by the director, or if the director's decision is appealed, by the personnel appeals board.  [Increases in salary] Changes in compensation due to reclassification [or reallocation] shall become effective at the beginning of the next pay period following the final decision of the director or the board.

7  Allocation of Review.  Amend RSA 21-I:57 to read as follows:

21-I:57  [Allocation] Classification Review.  The employee or the department head, or both, affected by the [allocation] classification of a position in a classification plan shall have an opportunity to request a review of that [allocation] classification in accordance with rules adopted by the director under RSA 541-A, provided such request is made within 15 days of the allocation.  If a review is requested by an employee, the director shall contact the employee's department head to determine how the employee's responsibilities and duties relate to the responsibilities and duties of similar positions throughout the state.  The employee or department head, or both, shall have the right to appeal the director's decision to the personnel appeals board in accordance with rules adopted by the board under RSA 541-A.  If the board determines that an individual is not properly classified in accordance with the classification plan or the director's rules, it shall issue an order requiring the director to make a correction.

8  Terms Defined.  Amend RSA 98-A:1 to read as follows:

I.  "Temporary [appointment] employee" shall mean [an appointment made to fill a temporary position on a full-time basis for the period of appointment] any person who is appointed to fill a position on a full-time or part-time basis for a limited duration.

II.  "Seasonal [appointment] employee" shall mean [an appointment made] any person who is appointed to fill a seasonal position on a full-time or part-time basis [for the period of appointment.  A seasonal appointment is one which may reasonably be] for a limited duration that is anticipated as likely to recur each year for a varying number of months.

III.  ["The equivalent of 6 months or more " shall mean the equivalent of 130 or more regularly scheduled work days, not necessarily consecutive, provided that whenever an employee of the lottery commission is employed on any day on a per diem basis he or she shall be deemed to have worked one day.]  "Permanent employee" shall mean any person in a full-time position, including full-time temporary and seasonal positions, who completes a 12-month initial probationary period.

IV.  "Full-time basis" shall refer to employment calling for not less than 37 1/2 hours work in a normal calendar week or calling for not less than 40 hours work in a normal calendar week with respect to positions for which 40 hours are customarily required unless otherwise collectively bargained.

V.  "Part-time basis" shall refer to employment calling for less than 37 1/2 hours work in a normal calendar week or calling for less than 40 hours work in a normal calendar week with respect to positions for which 40 hours are customarily required unless otherwise collectively bargained.

9  New Paragraphs; Terms Defined.  Amend RSA 98-A:1 by inserting after paragraph V the following new paragraphs:

VI.  "Temporary position" shall mean a full-time position authorized by the director of personnel and expected to last less than 6 months.

VII.  "Permanent position" shall mean a full-time position that, for positions lasting more than 12 months, is authorized by the legislature, or for positions lasting from 6 to 12 months, is authorized by the director of personnel.

VIII.  "Seasonal position" shall mean a full-time or part-time position, the need for which may reasonably be anticipated as likely to recur each year for a varying period of months.

10  Requirements.  Amend RSA 98-A:2 to read as follows:

98-A:2  Requirements.  All [temporary] appointments to temporary positions in state service shall be [made] filled in the first instance from appropriate state [personnel registers] layoff lists.  If applicants from such [registers] lists are not available any individual meeting the minimum qualifications of the position may be certified by the director of personnel.  [Seasonal appointments]  Appointments to seasonal positions shall be [made] filled from the appropriate state [personnel register] layoff lists.  If after the director of personnel has made a reasonable effort to certify [eligibles] eligible individuals for seasonal [appointments] positions from an existing eligible [register] layoff list, [he] and they [shall] find it impracticable to make a certification, [he] they may authorize the seasonal [appointment] position to be [made of] filled by an individual designated by the appointing authority.

11  Working on a Part-Time Basis.  Amend RSA 98-A:6 to read as follows:

98-A:6  Working on a Part-Time Basis.  An individual working on a part-time basis shall not be eligible to utilize either sick or annual leave [but at each anniversary of employment should the total working time during the preceding year amount to the equivalent of 6 months or more he or she shall be paid all accumulated annual leave not in excess of that which may be allowed in rules adopted by the division of personnel].

12  Health and Dental Benefits.  Amend RSA 98-A:6-d to read as follows:

98-A:6-d  Health and Dental Benefits.  Any individual employed in state service [under] in a temporary or seasonal [appointment] position, as defined in this chapter, who has not been deemed permanent and whose employment calls for 30 hours or more work in a normal calendar week, but whose position is not anticipated to have a duration of 6 months or more, shall be entitled to elect to participate at his or her own expense in the group health and dental insurance plans afforded full-time state employees.  The costs of health and dental benefits which any such individual elects to receive pursuant to this section shall be withheld from such individual's salary as a payroll deduction.  The department of administrative services shall be authorized to invoice the individual for any amounts not paid through a payroll deduction.

13  Salary Schedules.  Amend RSA 99:1-a to read as follows:

99:1-a  Salary Schedules.  The department of administrative services shall develop and implement a compensation structure for the executive branch. [such salary] It shall implement pay schedules within such structure as authorized by collective bargaining agreements between the state and an employee organization and subject to appropriation.  The department shall apply the appropriate [salary] pay schedules to all unrepresented employees.  The department shall post base [salary] pay schedules on its public Internet website.  The department shall also apply the appropriate benefits authorized by collective bargaining agreements between the state and an employee organization to all unrepresented employees aligned with such employee organization.

14  Attendants.  Amend RSA 99:3-a to read as follows:

99:3-a  Attendants.  Employees in the several attendant classifications within state institutions who have successfully completed an in-service training program approved by the personnel commission shall receive a [one-salary] one-step grade increase to a new classification of psychiatric aide.

15  Salary Adjustment Fund.  Amend RSA 99:4 to read as follows:

99:4  Salary Adjustment Fund.  Whereas the appropriations for personal services in state departments and institutions include an annual increment for each position, and whereas upon occasion due to vacancies and personnel turnover, [salaries] pay, increment increases and longevity as provided by the appropriations are not needed for said positions, each quarter the department of administrative services shall transfer said amount from the departmental or institutional appropriation to a special account to be known as the [salary] pay adjustment fund.  This fund shall lapse at the end of each fiscal year and revert to the appropriate fund.  Under no circumstances will this fund be used for temporary positions or new positions.  Upon the certification of the director of personnel, subject to the approval of governor and council, the [salary] pay adjustment fund shall be available for transfer to departments and institutions in amounts that are deemed necessary to comply with RSA 98.

16  Salary Adjustment.  Amend RSA 99:4-a to read as follows:

99:4-a  [Salary] Pay Adjustment.  In the event [the authority granted to the director of the department of data processing by RSA 8-C:7 to increase the salary for a classified position in order to recruit personnel is exercised] the director of personnel has approved beginning compensation at a step higher than the minimum step for original appointments of employees at an agency, the appointing authority for that agency may file a written request to the director of personnel that the [salaries] pay of all classified personnel in the same classification [may] be increased [by the director of personnel] to the same amount if the director of personnel determines that such approvals for new hires will result in difficulties with retention of similarly situated current employees.  Any such retention step increase shall be subject to collective bargaining requirements pursuant to RSA 273-A.  A request for any such retention-based step increases shall specify the group of employees to which the proposed increase shall apply, and shall include all similarly situated current employees within an agency, division, or bureau, taking into consideration job title, scope of duties, and physical work location.  Any increase so made shall be a charge against the salary adjustment fund or if the department in which the position occurs is financed by a special fund, such increase shall be a charge against such special fund.  Any step increase granted under this section shall not change the anniversary date of employees receiving the increase.

17  Certain Legislative Salary Increases.  Amend RSA 99:4-b to read as follows:

99:4-b  Certain Legislative [Salary] Pay Increases.  The amount of all [salary] pay increases granted to the legislative budget assistant, the director of legislative services, or to any employee of either or both offices shall be a charge against the [salary] pay adjustment fund.

18  Military Service.  Amend RSA 99:6 to read as follows:

99:6  Military Service.  Any person who has left state service to enter the armed forces of the United States [in World War I or World War II] in accordance with USERRA, and who, upon termination of such honorable military service, returned to state service without employment elsewhere may count [the] that time [so] spent in such military service as continuous state service to obtain benefits provided under RSA 94:4 and 99:5.

19  Increases for Recruitment Purposes.  Amend RSA 99:8 to read as follows:

99:8  Increases for Recruitment Purposes.  Upon request of the appointing authority, the governor and council are hereby authorized and empowered, notwithstanding any other provisions of the law to the contrary, upon a finding by them and a recommendation from the director of personnel that a [substantial number of vacancies exist in any class of authorized positions which vacancies require] an increase in [salaries] pay is needed for successful recruitment of qualified personnel in any job title therefor, to increase [salaries] pay of such classified positions, any such increases to be a charge against the [salary] pay adjustment fund.

20  N.H. State Prison and N.H. Hospital.  Amend RSA 99:10 to read as follows:

99:10 N.H.  State Prison and N.H. Hospital.  Classified employees at the state prison and the New Hampshire hospital who are continuously exposed to inmates or forensic patients daily in the normal course of their duties shall be paid, in addition to their regular salary, hazardous duty pay in the amount of $25 per week unless otherwise collectively bargained.  The appointing authorities at the department of corrections and the department of health and human services may recommend that an employee receive hazardous duty pay, subject to final approval by the director of personnel.  

21  Differentials; Direct Care Employees.  Amend RSA 99:11, II to read as follows:

99:11  Differentials; Direct Care Employees.

II.  Any direct care employee of the Laconia developmental services, certified capable of administering medication under RSA 326-B:17, VII, shall receive a salary increase [of one grade in the salary scale] while authorized by the superintendent to administer medication.

III.  The appointing authority at the department of health and human services may recommend that an employee receive a direct care pay differential, subject to final approval by the director of personnel.  

22  Repeal.  The following are repealed:

I.  RSA 21-I:55, relative to department of administrative services, exception, and department of transportation.

II.  RSA 98-A:3, relative to temporary, seasonal and part-time state employees, and positions made permanent.

III.  RSA 98-A:4, relative to retroactive accumulation.

IV.  RSA 98-A:7, relative to temporary, seasonal and part-time state employees application of statute.

V.  RSA 99:9, I and II, relative to adjustment of salaries of classified state employees.

VI.  RSA 99:12, relative to salary increases for nurses.

VII.  RSA 99:13, relative to overtime for nurses at certain institutions.

VIII.  RSA 21-I:30, I, relative to medical and surgical benefits, is repealed.

23  Effective Date.  This act shall take effect 60 days after its passage.

 

LBA

23-0967

Amended 4/3/23

 

SB 74-FN- FISCAL NOTE

AS AMENDED BY THE SENATE (AMENDEMENT #2023-0666s)

 

AN ACT relative to the department of administrative services.

 

FISCAL IMPACT:      [ X ] State              [    ] County               [    ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2023

FY 2024

FY 2025

FY 2026

   Appropriation

$0

$0

$0

$0

   Revenue

$0

$0

$0

$0

   Expenditures

$0

Indeterminable Increase

Indeterminable Increase

Indeterminable Increase

Funding Source:

  [ X ] General            [    ] Education            [ X ] Highway           [ X ] Other - Other Various Agency Funds

 

 

 

 

 

METHODOLOGY:

This bill makes various changes to the Director of Personnel (DOP) within the Department of Administrative Services.  It also adds a provision allowing DOP to address instances where a new hire's rate of pay, in the same position, is higher than a current employee(s).  In certain circumstances the current employee's agency's appointing authority may make a written request to the DOP and request a review if the new hire's higher step negatively affects the retention of the similarly situated employee(s) within the agency and unit.  This new provision is subject to the collective bargaining requirements in RSA 273-A.  

 

The Department of Administrative Services states this bill could have an indeterminable impact on State expenditures to the extent any of the current 8,882 full-time classified employees and 2,217 part-time and seasonal classified employees in the executive Branch pursue the DOP, in circumstances where the provisions apply, and are approved for a higher increment of pay (step).  The DAS states they have no way to predict how many employees would pursue this route or how many State Agencies, during the hiring process, would hire an employee at a higher pay level than an existing employee in the same agency and what the consequential step increase would be for those current employees.  

 

It is assumed any fiscal impact would occur after FY 2023.

 

AGENCIES CONTACTED:

Department of Administrative Services