HB 1671

SENATE BILL REPORT
HB 1671

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Reported By Senate Committee On:
Labor, Commerce, Research & Development, March 22, 2007

Title: An act relating to reclassifications, class studies, and salary adjustments.

Brief Description: Modifying provisions relating to reclassifications, class studies, and salary adjustments.

Majority Report: Do pass.Signed by Senators Kohl-Welles, Chair; Keiser, Vice Chair; Clements, Ranking Minority Member, Franklin and Holmquist.

Background: When the Legislature passed the Personnel Service Reform Act in 2002, the Department of Personnel (DOP) was given statutory authority to adopt rules and establish training for state employees. Prior to this act, the Washington Personnel Resources Board (WPRB) had the authority to perform these functions.

Currently, the law requires the Director of DOP to adopt only those job classification revisions, class studies, and salary adjustments that are due to documented recruitment and retention difficulties, salary compression or inversion, increased duties and responsibilities, or inequities. Inequities are defined as similar work assigned to different job classes with a salary disparity greater than 7.5 percent.

The Office of Financial Management (OFM) is required to review an agency's fiscal impact statement and concur that the agency can absorb the biennialized cost of the reclassification, class study, or salary adjustment within the agency's current authorized level of funding.

The WRPB may approve other reclassifications, class studies, and salary adjustments. The WRPB must prioritize requests for reclassifications, class studies, and salary adjustments for the next fiscal biennium and submit the prioritized list to the Governor's Office and the fiscal committees of the Legislature.

In the biennial budget, the Legislature may establish a level of funding to be applied to the WRPB's prioritized list. Upon enactment of the budget, the WRPB may approve reclassifications, class studies, and salary adjustments only to the level of funding provided.

Summary of Bill: The Director of DOP is authorized to define the criteria for revisions, class studies, and salary adjustments. The definition of inequities based on the 7.5 percent salary disparity is removed to allow other inequities to be considered.

The WRPB's process for prioritizing reclassifications, class studies, and salary adjustments is removed. Obsolete language from the 1999-2001 biennium is removed.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: This bill cleans up the statute and makes mostly technical changes related to the Personnel System Reform Act. This bill does not expand the authority for the Director of Department of Personnel. It does allow the Director more flexibility in defining the criteria for reclassifications, class studies and salary adjustments.