HOUSE BILL REPORT

ESSB 5933

As Amended by the House

BYSenate Committee on Economic Development & Labor (originally sponsored by Senators Williams and Murray)

Establishing an annual leave sharing program for state employees.

House Committe on State Government

Majority Report:  Do pass with amendments.  (8)

      Signed by Representatives R. Fisher, Chair; Anderson, Vice Chair; Hankins, R. King, Morris, O'Brien, Rector and Sayan.

Minority Report:  Do not pass.  (2)

      Signed by Representatives McLean, Ranking Republican Member; and Silver.

House Staff:Barbara McLain (786-7135)

AS PASSED HOUSE APRIL 6, 1989

BACKGROUND:

Federal Leave Transfer Program.  The concept of leave sharing first received national recognition in 1987 when Congress authorized an experimental program in which federal employees could donate accrued annual or sick leave to another employee of the same agency suffering from a personal emergency.  The experimental program was limited to three individual cases of personal emergency.

In March 1988 the program was extended to September 30, 1989. The program has also been a) expanded to make all federal employees with a personal emergency eligible to receive leave, and b) limited to the transfer of only annual leave.  Personal emergency is defined as a medical or family emergency that is likely to require the employee's absence without available paid leave for more than 10 workdays.  There is no limit on the amount of leave an employee can receive, but donors may only transfer one half of a year's accrual of annual leave.  Inter- agency transfer of leave is allowed if the recipient agency's director feels not enough leave can be generated internally to meet the emergency.

Alaska and Connecticut.  Most employees in both Alaska and Connecticut are covered by collective bargaining agreements.  In both states, these agreements may include provisions allowing members of a bargaining unit to donate leave to another member in need.  Some of the key requirements of leave sharing in Connecticut are:  a)  leave donations are limited to annual and personal leave and to cases of long term illness or injury, and b) the employee receiving leave must have exhausted all of his or her own leave and be on leave without pay status.

City of Alexandria, Virginia.  Alexandria has a shared leave program that operates as a "leave bank" into which employees can donate annual leave on a quarterly basis.  The leave bank is used only for catastrophic illnesses, and determinations regarding who will receive leave are made by a review board.  Employees are not eligible to draw from the bank unless they have made a contribution of at least one day's leave during that year.  The bank has 8,010 hours of leave available; since 1986 four employees have used the bank.

SUMMARY:

Leave Sharing Program.  Any employee of the state, including employees of school districts and Educational Service Districts (ESD's), who accrues sick or annual leave and for whom leave records are maintained is eligible to participate in the program.

Agency heads are given the discretionary authority to permit state employees to receive shared annual leave from other state employees.  If both agency heads approve, leave may be transferred between employees of more than one agency except that leave transferred between employees of school districts or ESD's must remain within the district.

The State Personnel Board, Higher Education Personnel Board, and other personnel authorities each adopt rules administering the program which: a) govern the employees under their respective jurisdictions, b) provide for the equivalent treatment of employees between jurisdictions, c) allow for the transfer of leave between any state agency, and d) ensure that the program does not significantly increase the cost of providing annual leave.  The Superintendent of Public Instruction adopts rules governing employees of school districts and ESD's, but school districts and ESD's have discretion to establish and administer the program.

These authorities may also adopt temporary emergency procedures to allow donation and receipt of shared leave starting with the effective date of the bill.  Sufficient data on the program must be maintained to allow legislative review.

Limitations on Receiving Shared Leave.  The following limitations are placed on receiving leave:

            othe employee, a relative, or household member must be suffering from a severe or extraordinary illness or injury which has caused or is likely to cause the employee either to go on leave without pay status or terminate state employment;

            othe employee's absence and use of shared leave must be justified and he or she must have followed agency rules regarding the use of sick leave;

            othe employee must have depleted or will shortly deplete his or her annual and sick leave reserves; and

            othe employee must have attempted to obtain and been found ineligible for Workers Compensation benefits.

The agency head is to determine the amount of leave an employee may receive, however, it cannot exceed a total of 261 days. Unused leave is to be returned to the donors on a pro rata basis.

Limitations on Donating Leave.  The following limitations are placed on transferring leave to another employee:

            oleave may only be transferred to a specific employee who has been authorized by the agency head to receive such leave;

            oA 10-day minimum balance must be maintained for any annual leave to be transferred; and

            oleave is to be transferred to the recipient employee at the rate of pay of the employee receiving the leave.

Salary, Wages, Benefits and FTE's.  Employees using shared leave continue to be classified as state employees and receive the same treatment in terms of salary, wages, and benefits as they would normally receive on annual or sick leave.

Salary and wages are to be paid by the recipient employee's agency and, where two agencies are involved, the appropriate transfers of leave and funds are to be made.  The Office of Financial Management may adjust an agency's appropriation if necessary in order for the agency to spend funds transferred under this program.

Transferred leave cannot be used to calculate an agency's allocation of full-time equivalent staff positions.

Fiscal Note:      Requested March 23, 1989.

Effective Date:The bill contains an emergency clause and takes effect immediately.

House Committee ‑ Testified For:    Senator Al Williams, prime sponsor; Scott Sigmon, Washington Federation of State Employees; Susan Levy, Washington Federation of Teachers; and Judy Hartman, Washington Education Association.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    At the federal level, leave sharing is very popular and well-liked.  It enables employees to help and support one another.  There is no real cost to the state because it is a voluntary program for donors of leave and for agency heads to approve such a donation.

House Committee - Testimony Against:      None Presented.