House File 140 



                                       HOUSE FILE       
                                       BY  BAUDLER


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to the awarding of bonuses to appointed state
  2    officers and state employees, employees of entities created
  3    for the joint exercise of governmental powers, and employees
  4    of entities receiving government funds pursuant to a service
  5    contract with the state, and providing an effective date.
  6 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  7 TLSB 1019YH 82
  8 ec/gg/14

PAG LIN



  1  1    Section 1.  Section 7J.1, subsection 2, paragraph c, Code
  1  2 2007, is amended to read as follows:
  1  3    c.  Notwithstanding any provision of law to the contrary,
  1  4 the governor may set the salary of a director of a charter
  1  5 agency under the pay plan for exempt positions in the
  1  6 executive branch of government.  In addition However, the
  1  7 governor may shall not authorize the payment of a bonus pay,
  1  8 as defined in section 70A.1, to a director of a charter agency
  1  9 in an amount not in excess of fifty percent of the director's
  1 10 annual rate of pay, based upon the governor's evaluation of
  1 11 the director's performance in relation to the goals set forth
  1 12 in the annual performance agreement.
  1 13    Sec. 2.  Section 7J.1, subsection 2, paragraph d, Code
  1 14 2007, is amended by striking the paragraph.
  1 15    Sec. 3.  Section 8F.3, subsection 1, Code 2007, is amended
  1 16 by adding the following new paragraph:
  1 17    NEW PARAGRAPH.  e.  Information that the recipient entity's
  1 18 policies prohibit the use of any of the moneys received
  1 19 pursuant to a service contract to provide bonus pay, as
  1 20 defined in section 70A.1, to officers or employees of the
  1 21 recipient entity.
  1 22    Sec. 4.  Section 28E.5, Code 2007, is amended by adding the
  1 23 following new subsection:
  1 24    NEW SUBSECTION.  5A.  The requirement that employees of the
  1 25 joint or cooperative undertaking not receive bonus pay, as
  1 26 defined in section 70A.1.
  1 27    Sec. 5.  Section 70A.1, subsection 1, Code 2007, is amended
  1 28 to read as follows:
  1 29    1.  a.  Salaries specifically provided for in an
  1 30 appropriation Act of the general assembly shall be in lieu of
  1 31 existing statutory salaries, for the positions provided for in
  1 32 the Act, and all salaries, including longevity where
  1 33 applicable by express provision in the Code, shall be paid
  1 34 according to the provisions of chapter 91A and shall be in
  1 35 full compensation of all services, including any service on
  2  1 committees, boards, commissions or similar duty for Iowa
  2  2 government, except for members of the general assembly.  A
  2  3 state employee on an annual salary shall not be paid for a pay
  2  4 period an amount which exceeds the employee's annual salary
  2  5 transposed into a rate applicable to the pay period by
  2  6 dividing the annual salary by the number of pay periods in the
  2  7 fiscal year.  Salaries for state employees covered by the
  2  8 overtime payment provisions of the federal Fair Labor
  2  9 Standards Act shall be established on an hourly basis.  In
  2 10 addition, unless otherwise authorized by law or required
  2 11 pursuant to a collective bargaining agreement, a state
  2 12 employee shall not receive bonus pay for or during the time
  2 13 period beginning on or after the effective date of this Act.
  2 14    b.  For purposes of this section, "bonus pay" means any
  2 15 additional remuneration provided an employee in the form of a
  2 16 bonus, including but not limited to a retention bonus,
  2 17 recruitment bonus, exceptional job performance pay,
  2 18 extraordinary job performance pay, exceptional performance
  2 19 pay, extraordinary duty pay, or extraordinary or special duty
  2 20 pay, and any extra benefit not otherwise provided to other
  2 21 similarly situated employees.
  2 22    Sec. 6.  Section 99G.10, subsection 5, Code 2007, is
  2 23 amended to read as follows:
  2 24    5.  The authority may establish incentive programs for
  2 25 authority employees.  However, the incentive programs shall
  2 26 not provide for bonus pay, as defined in section 70A.1, for
  2 27 authority employees.
  2 28    Sec. 7.  2006 Iowa Acts, chapter 1185, section 12,
  2 29 unnumbered paragraph 3, is amended to read as follows:
  2 30    A person whose salary is established pursuant to the
  2 31 section of this division of this Act that addresses the salary
  2 32 ranges of state officers and who is a full=time, year=round
  2 33 employee of the state shall not receive any other remuneration
  2 34 from the state or from any other source for the performance of
  2 35 that person's duties unless the additional remuneration is
  3  1 first approved by the governor or authorized by law.  However,
  3  2 this provision does not exclude the reimbursement for
  3  3 necessary travel and expenses incurred in the performance of
  3  4 duties or fringe benefits normally provided to employees of
  3  5 the state.
  3  6    Sec. 8.  EFFECTIVE DATE.  This Act, being deemed of
  3  7 immediate importance, takes effect upon enactment.
  3  8                           EXPLANATION
  3  9    This bill prohibits the granting of bonuses to state
  3 10 employees and employees of entities under Code chapter 28E,
  3 11 and the use of government moneys to provide bonuses to
  3 12 employees of an entity that enters into a service contract
  3 13 with the state.
  3 14    Code section 7J.1, concerning charter agencies, is amended
  3 15 to prohibit the payment of bonuses to a director of a charter
  3 16 agency or to employees of a charter agency.
  3 17    Code section 8F.3, concerning contractual requirements for
  3 18 entities entering into a service contract with a state agency,
  3 19 is amended to provide that the entity entering into the
  3 20 contract shall have policies in place prohibiting the use of
  3 21 any of the moneys received pursuant to the service contract to
  3 22 provide bonuses to officers or employees of the entity.
  3 23    Code section 28E.5, concerning agreements entered into for
  3 24 purposes of a joint or cooperative undertaking, is amended to
  3 25 provide that the agreement not permit payment of bonuses to
  3 26 employees of the joint or cooperative undertaking.
  3 27    Code section 70A.1, concerning salaries and benefits of
  3 28 state employees, is amended to provide that no bonuses shall
  3 29 be paid to state employees unless otherwise authorized by law
  3 30 or a collective bargaining agreement.  The amendment to the
  3 31 Code section also defines bonus pay as any additional
  3 32 remuneration or extra benefits provided to an employee.
  3 33    Code section 99G.10, concerning the lottery authority, is
  3 34 amended to provide that employees of the authority not receive
  3 35 bonus pay.
  4  1    2006 Iowa Acts, chapter 1185, concerning the pay of
  4  2 appointed state officers, is amended to eliminate the ability
  4  3 of the officer to receive additional remuneration if approved
  4  4 by the governor or otherwise authorized by law.
  4  5    The bill takes effect upon enactment.
  4  6 LSB 1019YH 82
  4  7 ec:rj/gg/14