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