House File 2497

                                       HOUSE FILE       
                                       BY  COMMITTEE ON STATE GOVERNMENT

                                       (SUCCESSOR TO HSB 694)


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

                                      A BILL FOR

  1 An Act providing for a sick leave and vacation incentive program
  2    for state employees and providing an effective date.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 6587HV 80
  5 ec/sh/8

PAG LIN

  1  1    Section 1.  2004 SICK LEAVE AND VACATION INCENTIVE PROGRAM.
  1  2    1.  As used in this section, unless the context provides
  1  3 otherwise:
  1  4    a.  "Credited service" means service under the Iowa public
  1  5 employees' retirement system, as service is defined in section
  1  6 97B.1A, and membership service under the public safety peace
  1  7 officers' retirement, accident, and disability system, as
  1  8 defined in section 97A.1.
  1  9    b.  "Eligible employee" means an employee for which, but
  1 10 for participation in the program, the sum of the number of
  1 11 years of credited service and the employee's age in years as
  1 12 of December 31, 2004, equals or exceeds seventy=five.
  1 13    c.  "Employee" means an employee of the executive branch of
  1 14 this state, including an employee of a judicial district
  1 15 department of correctional services if the district elects to
  1 16 participate in the program, an employee of the state board of
  1 17 regents if the board elects to participate in the program, and
  1 18 an employee of the department of justice.  However, "employee"
  1 19 does not mean an elected official.
  1 20    d.  "Participant" means a person who timely submits an
  1 21 election to participate, and does participate, in the sick
  1 22 leave and vacation incentive program established under this
  1 23 section.
  1 24    e.  "Program" means the sick leave and vacation incentive
  1 25 program established under this section.
  1 26    f.  "Regular annual salary" means an amount equal to the
  1 27 eligible employee's regular biweekly rate of pay as of the
  1 28 date of separation from employment multiplied by twenty=six.
  1 29    g.  "Sick leave and vacation incentive benefit" means an
  1 30 amount equal to the entire value of an eligible employee's
  1 31 accumulated but unused vacation plus the lesser of seventy=
  1 32 five percent of the value of the eligible employee's
  1 33 accumulated and unused sick leave or seventy=five percent of
  1 34 the employee's regular annual salary.
  1 35    2.  To become a participant in the program, an eligible
  2  1 employee shall do all of the following:
  2  2    a.  Submit by May 21, 2004, a written application, on forms
  2  3 prescribed by the department of administrative services,
  2  4 seeking participation in the program.
  2  5    b.  Agree to waive any and all rights to receive payments
  2  6 of sick leave balances under section 70A.23 and accrued
  2  7 vacation balances in a form other than as provided in this
  2  8 section.
  2  9    c.  Agree to waive all rights to file suit against the
  2 10 state of Iowa, including all of its departments, agencies, and
  2 11 other subdivisions, based on state or federal claims arising
  2 12 out of the employment relationship.
  2 13    d.  Acknowledge, in writing, that participation in the
  2 14 program waives any right to accept permanent part=time or
  2 15 permanent full=time employment with the state other than as an
  2 16 elected official on or after the date the eligible employee
  2 17 separates from employment as provided in this section.
  2 18    e.  Agree to separate from employment with the state on or
  2 19 after July 2, 2004, but no later than August 12, 2004.
  2 20    3.  a.  Upon acceptance to participate in the program and
  2 21 separation from employment with the state on or after July 2,
  2 22 2004, but no later than August 12, 2004, a participant shall
  2 23 receive a sick leave and vacation incentive benefit.  The
  2 24 state shall pay to the participant a portion of the sick leave
  2 25 and vacation incentive benefit each fiscal year for a period
  2 26 of five years commencing with the fiscal year ending June 30,
  2 27 2005.
  2 28    b.  A participant in the program shall be eligible to
  2 29 continue participation in the group plan or under the group
  2 30 contract at the participant's own expense in the same manner
  2 31 as a retired employee pursuant to section 509A.13.  In
  2 32 addition, a participant shall be deemed an eligible retired
  2 33 state employee for purposes of eligibility for continuation of
  2 34 group insurance covering spouses as provided in section
  2 35 509A.13A.
  3  1    4.  a.  The department of administrative services shall
  3  2 administer the program, including the determination of
  3  3 eligibility for participation in the program, and shall adopt
  3  4 administrative rules to administer the program.  The
  3  5 department may adopt rules on an emergency basis under section
  3  6 17A.4, subsection 2, and section 17A.5, subsection 2,
  3  7 paragraph "b", to implement this section and the rules shall
  3  8 be effective immediately upon filing unless a later date is
  3  9 specified in the rules.
  3 10    b.  Records of the Iowa public employees' retirement system
  3 11 may be released for the purposes of administering and
  3 12 monitoring the program subject to the requirements of section
  3 13 97B.17, subsection 5.
  3 14    c.  The department of administrative services, in
  3 15 collaboration with the department of management, shall present
  3 16 an interim report to the general assembly, including copies to
  3 17 the legislative services agency and the fiscal committee of
  3 18 the legislative council, by October 1, 2004, concerning the
  3 19 operation of the program.  The department shall also submit an
  3 20 annual update concerning the program by October 1 of each year
  3 21 for four years, commencing October 1, 2005.  The reports shall
  3 22 include information concerning the number of program
  3 23 participants, the cost of the program including any payments
  3 24 made to participants, the number of state employment positions
  3 25 eliminated pursuant to the program, and the number of
  3 26 positions vacated by a program participant that have been
  3 27 refilled.
  3 28    5.  The legislative council shall provide an incentive
  3 29 program for employees of the legislative branch consistent
  3 30 with the program provided in this section for executive branch
  3 31 employees.  The legislative council shall collaborate with the
  3 32 department of administrative services to establish the program
  3 33 as required under this subsection as nearly identical as
  3 34 possible to the program provided executive branch employees
  3 35 under this section.  The program provided pursuant to this
  4  1 subsection shall establish the same guidelines used to
  4  2 establish an eligible employee and benefit calculations as
  4  3 provided under the program for executive branch employees.
  4  4    Sec. 2.  SPAN OF CONTROL.  The department of administrative
  4  5 services, in consultation with the department of management
  4  6 and after discussion and collaboration with executive branch
  4  7 agencies, shall pursue a goal of increasing the ratio of the
  4  8 number of employees per supervisor for executive branch
  4  9 agencies in the aggregate to twelve employees for one
  4 10 supervisor by December 31, 2005.
  4 11    Sec. 3.  EFFECTIVE DATE.  This Act, being deemed of
  4 12 immediate importance, takes effect upon enactment.
  4 13 HF 2497
  4 14 ec/es/25