WSR 26-14-068 (26-14)

FINANCIAL MANAGEMENT

[Filed June 26, 2026, 11:06 a.m.]

Proposal is exempt under RCW 34.05.310(4) or 34.05.330(1).

Title of Rule and Other Identifying Information: WAC 357-28-035 What must be addressed in the employer's salary determination policy?, and 357-28-250 Must employers inform employees whether they are eligible to receive overtime compensation or not?

Hearing Location(s): On August 13, 2026, at 8:30 a.m., via Zoom meeting (with call-in option) at https://ofm-wa-gov.zoom.us/j/81638721176?pwd=fZiSV1cxiwljSEPvpDaghZNKBmEhVW.1, ID 816 3872 1176; or phone 253-215-8782, Passcode 497654.

Date of Intended Adoption: August 20, 2026.

Submit Written Comments to: Brandy Chinn, Office of Financial Management (OFM), 1500 Jefferson Street S.E., P.O. Box 47500, Olympia, WA 98504, email brandy.chinn@ofm.wa.gov, by 11:59 p.m. August 6, 2026.

Assistance for Persons with Disabilities: Contact OFM, TTY 711 or 1-800-833-6384, by 11:59 p.m., August 6, 2026.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The proposed amendments to WAC 357-28-035 and 357-28-250 are to provide clarity on what must be addressed in employers' salary determination policies (SDP).

Reasons Supporting Proposal: WAC 357-28-030 requires employers to develop a written SDP that is subject to the director's approval. OFM, state human resources conducted a review of chapter 357-28 WAC and identified opportunities to clarify what must be addressed in employers' SDP. This effort was prompted by employer feedback and a need to clarify requirements related to SDPs and based on the understanding that employers may have made updates to their policies over the years without requesting director's approval. We are proposing to amend WAC 357-28-035 to include informing employees who are dispatched to emergency response duty under an incident command system of any temporary eligibility to receive overtime compensation in accordance with WAC 357-28-250. The amendment to WAC 357-28-250 is housekeeping in nature.

Statutory Authority for Adoption: RCW 41.06.133.

Statute Being Implemented: RCW 41.06.133.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: OFM, governmental.

Name of Agency Personnel Responsible for Drafting, Implementation, and Enforcement: Brandy Chinn, 1500 Jefferson Street S.E., Olympia, WA 98504, 360-878-2901.

A school district fiscal impact statement is not required under RCW 28A.305.135.

A cost-benefit analysis is not required under RCW 34.05.328. Rules are related to internal government operations and are not subject to violation by a nongovernmental party. See RCW 34.05.328 (5)(b)(ii) for exemption.

This rule proposal, or portions of the proposal, is exempt from requirements of the Regulatory Fairness Act because the proposal:

Is exempt under RCW 19.85.025(3) as the rules relate only to internal governmental operations that are not subject to violation by a nongovernment party.

Scope of exemption for rule proposal:

Legal Affairs Counsel

AMENDATORY SECTION(Amending WSR 26-08-084, filed 3/31/26, effective 5/1/26)

WAC 357-28-035What must be addressed in the employer's salary determination policy?

The employer's salary determination policy must minimally address the following:

(1) Setting base salary for new employees;

(2) Adjusting timing and/or amount of regularly scheduled increment increases in accordance with WAC 357-28-070;

(3) Adjusting base salary to address issues related to recruitment, retention, or other business-related reasons in accordance with WAC 357-28-090;

(4) Increasing base salary in accordance with WAC 357-28-110 when an employee is promoted to a position in a new class;

(5) Increasing base salary in accordance with WAC 357-28-110 when an employee is promoted to a permanent position while in a nonpermanent appointment;

(6) Setting base salary in accordance with WAC 357-28-140 when an employee transfers to a new position;

(7) Setting base salary in accordance with WAC 357-28-135 when an employee is appointed from an internal or statewide layoff list to a position with a lower range maximum than the position from which the employee was laid off;

(8) Setting base salary higher than step M in accordance with WAC 357-28-120 for an employee occupying a position that is reallocated to a class with the same or lower salary range;

(9) Setting base salary in accordance with WAC 357-28-155 when an employee is demoted for any other reason than accepting a demotion in lieu of layoff or the demotion is a result of reasonable accommodation;

(10) Setting base salary in accordance with WAC 357-28-150 when an employee is reverted following a voluntary demotion;

(11) Authorizing additional pay to support recruitment and/or retention for a specific position in accordance with WAC 357-28-095;

(12) Setting base salary and progression based on recruitment and retention rather than years of experience for the nurse special pay salary schedules, if applicable;

(13) Compensation for employees being called back to work in accordance with WAC 357-28-185;

(14) When an employee must receive shift premium in accordance with WAC 357-28-190;

(15) When an employee must receive holiday premium in accordance with WAC 357-28-200;

(16) When an employee must receive standby pay in accordance with WAC 357-28-205;

(17) Informing employees who are dispatched to emergency response duty under an incident command system of any temporary eligibility to receive overtime compensation in accordance with WAC 357-28-250;

(18) When an employee must receive overtime compensation in accordance with WAC 357-28-255;

(((18)))(19) Setting base salary in accordance with WAC 357-19-340 when an employee returns to a permanent position from a project position;

(((19)))(20) Setting base salary in accordance with WAC 357-19-353 when a WGS employee returns to a permanent position from an acting WMS appointment; and

(((20)))(21) Setting base salary in accordance with WAC 357-19-395 when an employee returns to a permanent position from a nonpermanent appointment.

AMENDATORY SECTION(Amending WSR 05-01-205, filed 12/21/04, effective 7/1/05)

WAC 357-28-250Must employers inform employees whether they are eligible to receive overtime compensation or not?

(1) Employers must inform employees of whether or not their positions are eligible to receive overtime, including any subsequent change to their eligibility for overtime compensation.

(2) When employees are dispatched to emergency response duty under an incident command system as defined in RCW 38.52.010, employers must inform employees of any temporary eligibility to receive overtime compensation. Employees must be informed in accordance with the employer's salary determination policy as approved by the director.