(1) The following criteria must be met for the director to adopt revisions or salary adjustments to the classification plan:

(a) The office of financial management has reviewed the fiscal impact statement of the affected employer and concurs that the biennial cost of the revision or salary adjustment is absorbable within the employer's current authorized level of funding for the current fiscal biennium and subsequent fiscal biennia; and

(b) The revision or salary adjustment is due to one of the following causes, as defined by the director in the classification and pay guidelines:

(i) Documented recruitment or retention difficulties;

(ii) Salary compression or inversion;

(iii) Classification plan maintenance;

(iv) Higher level duties and responsibilities; or

(v) Inequities.

(2) The provisions of subsection (1) of this section do not apply to the higher education hospital special pay plan or to any adjustments to the classification plan that are due to emergency conditions requiring the establishment of positions necessary for the preservation of the public health, safety, or general welfare.