BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session ACR 98 (Beth Gaines) - State employee merit awards ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: July 16, 2015 |Policy Vote: P.E. & R. 5 - 0 | | | | |--------------------------------+--------------------------------| | | | |Urgency: |Mandate: | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: June 20, 2016 |Consultant: Robert Ingenito | | | | ----------------------------------------------------------------- This bill meets the criteria for referral to the Suspense File. Bill Summary: ACR 98 would authorize the payment of State Merit Awards approved by the California Department of Human Resources (CalHR) to three state employees in two departments whose proposals resulted in the reduction of state expenditures or improvement in state operations. Fiscal Impact: The resolution would authorize the payment of $64,709.67 to three state employees. Awards are paid by the individual departments from the savings generated from implementation of the award recipients' respective suggestions. No appropriation of additional funds is necessary. Background: Current law authorizes CalHR to make merit awards to current or retired state employees who (1) propose procedures or ideas that ACR 98 (Beth Gaines) Page 1 of ? are subsequently adopted and that result in eliminating or reducing state expenditures or improving operations, provided the proposals are placed in effect, (2) perform special acts or special services in the public interest, or (3) by their superior accomplishments, make exceptional contributions to the efficiency, economy or other improvement in the operations of the state government. The awards are made pursuant to standards and procedures established by CalHR. Current law authorizes awards to be paid from the appropriation available to the impacted state agency, and requires that any award over $5,000 have legislative approval. Proposed Law: This bill would authorize the payment of state merit awards approved by CalHR to three individuals whose proposals resulted in eliminating or reducing state expenditures or improving state operations. Specifically, this resolution provides that the following merit awards be made: A payment of $21,640 to an employee of the Department of Corrections and Rehabilitation (CDCR), for suggesting that the department automate the Earliest Possible Release Date and the Minimum Eligible Parole Date and creating an Excel spreadsheet to do so. The spreadsheet simplified the process of calculating release dates, reduced the chance of error, and increased productivity. Automating this process has resulted in annual savings to the State of $133,198. The employee's award totals $26,640, $5,000 of which has already been paid. A payment of $4,646.67 to an employee of the Department of Health Care Services (DHCS), for suggesting and reformatting specified consumer guides that are mailed monthly to Medi-Cal beneficiaries to help them choose the best health care plans for themselves and their families. Reformatting the guides resulted in less paper being used, less mailing weight and decreased printing costs that saved the State $48,233.36 annually. The employee's award totals $9,646.67, $5,000 of which has ready been paid. A payment of $38,423 to an employee of CDCR for ACR 98 (Beth Gaines) Page 2 of ? suggesting that two institutions, the California State Prison, Corcoran and the California Substance Abuse Treatment Facility, Corcoran, eliminate their contracted trash service and instead utilize existing staff and resources to share trash collection costs and services. This suggestion resulted in annual savings to the State of $434,226. The employee's award totals $43,423, $5,000 of which has already been paid. Related Legislation: ACR 61 (Gaines, Chapter 138, Statutes of 2013), ACR 178 (Niello, Chapter 159, Statutes of 2010), and ACR 116 (Blakeslee, Chapter 85, Statutes of 2006) are examples of concurrent resolutions authorizing previous awards made to state employees. -- END --