BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  ACR 178|
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                                 THIRD READING


          Bill No:  ACR 178
          Author:   Niello (R)
          Amended:  As introduced
          Vote:     21

           
          WITHOUT REFERENCE TO COMMITTEE OR FILE
           
          ASSEMBLY FLOOR  :  76-0 (Consent), 8/17/10 - See last page  
            for vote


           SUBJECT  :    State employee merit awards

           SOURCE  :     Department of Personnel Administration


           DIGEST :    This resolution authorizes the payment of State  
          Merit Awards approved by the Department of Personnel  
          Administration to five individuals whose proposals resulted  
          in eliminating or reducing state expenditures or improving  
          state operations.

           ANALYSIS  :    Existing law establishes the State Merit Award  
          Program which provides cash awards and honorary awards to  
          active and retired state employees who propose ideas that  
          are implemented and result in savings to the state, an  
          improvement in state operations, or improvements in the  
          safety of a state program.  The program is administered by  
          the Department of Personnel Administration (DPA).

          This resolution authorizes the following State Merit  
          Awards:
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          1.A payment of $2,662 to Lorraine Plummer, an employee of  
            the California Department of Corrections and  
            Rehabilitation, for designing an electronic medical  
            billing system to automatically calculate discounts for  
            standardized health services as allocated by the  
            California Medical Fee Schedule, which resulted in a  
            first year savings of $76,615.07.

          2.A payment of $7,547 to Randy Villareal, an employee of  
            the Department of Food and Agriculture, for suggesting  
            that all marketed cotton in the San Joaquin Quality  
            Cotton District carry the State Feed Code in lieu of bale  
            and module tags.  Eliminating bale and module tags saved  
            printing costs of the tags and the need for a state  
            vehicle, and also saved salaries and benefits for a  
            Biologist, an Agricultural Technician II and two  
            Agricultural Aides, which resulted in first year savings  
            of $126,647.00.

          3.A payment of $8,947 to Shirley Pertle, an employee of the  
            Employment Development Department, for suggesting  
            automating the mailing process at the Work Opportunity  
            Tax Credit processing center, resulting in reduced  
            postage rates and decreased overtime which resulted in  
            first year savings of $139,468.

          4.A payment of $11,433 to be shared equally between John  
            Yessen and Eric Zimmerman, employees of the California  
            Department of Corrections and Rehabilitation, for using a  
            folding/inserting machine to prepare outgoing  
            correspondence mail from the Office of Selection and  
            Standards which processes Correctional Officer  
            applications and secured a state surplus machine, at no  
            cost to the department, as an alternative to purchasing a  
            new machine, resulting in reduced workload volume,  
            reduced staff hours, and elimination of the need to hire  
            an outside agency for mass mailings, which resulted in  
            first year savings of $164,433.

          Comments

           According to the sponsor, the Department of Personnel  
          Administration, "The State Merit Award Program has provided  

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          tremendous value to taxpayers through innovative  
          suggestions made by State employees which have resulted in  
          millions of dollars in savings.  ACR 178 would recognize  
          three individuals whose combined suggestions have resulted  
          in a first year savings to the State of $$507,063."

          The state employees specified in this resolution have  
          already received awards of $5,000 from their respective  
          departments, as authorized under the Government code, for  
          suggesting procedures or ideas that have been implemented  
          and resulted in savings or improved efficiencies.  This  
          resolution authorizes awards to these individuals in excess  
          of the $5,000.

          DPA states, "This resolution will not create budgetary  
          increases.  Per Merit Award Program regulations, awards to  
          employees for adopted suggestions are paid from the funds  
          or appropriations available to the state agencies  
          benefiting from the adopted suggestions unless payment from  
          another source is authorized by the Department of Finance.   
          The affected departments have achieved significant savings  
          from the suggestion.  A portion of these savings may be  
          used to funds he awards.

           FISCAL EFFECT  :    Fiscal Com.:  Yes

           SUPPORT  :   (Verified  8/24/10)

          Department of Personnel Administration (source)


           ASSEMBLY FLOOR  : 
          AYES:  Adams, Ammiano, Anderson, Arambula, Bass, Beall,  
            Bill Berryhill, Tom Berryhill, Block, Blumenfield,  
            Bradford, Brownley, Buchanan, Caballero, Carter, Chesbro,  
            Conway, Cook, Coto, Davis, De La Torre, De Leon, DeVore,  
            Eng, Evans, Feuer, Fletcher, Fong, Fuentes, Fuller,  
            Furutani, Gaines, Galgiani, Garrick, Gatto, Gilmore,  
            Hagman, Hall, Harkey, Hayashi, Hernandez, Hill, Huber,  
            Huffman, Jeffries, Jones, Knight, Lieu, Logue, Bonnie  
            Lowenthal, Ma, Mendoza, Miller, Monning, Nava, Nestande,  
            Niello, Nielsen, V. Manuel Perez, Portantino, Ruskin,  
            Salas, Saldana, Silva, Skinner, Smyth, Solorio, Audra  
            Strickland, Swanson, Torlakson, Torres, Torrico, Tran,  

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                                                               ACR 178
                                                                Page  
          4

            Villines, Yamada, John A. Perez
          NO VOTE RECORDED:  Blakeslee, Charles Calderon, Norby,  
            Vacancy


          CPM:cm  8/24/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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