BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                          AB 1025 (Skinner)
          
          Hearing Date: 8/15/2011         Amended: 4/13/2011
          Consultant: Bob Franzoia        Policy Vote: G O 13-0
          _________________________________________________________________
          ____
          BILL SUMMARY: AB 1025, relating to the Board of Pilot 
          Commissioners, would do the following:
          - Delete all references to inland pilots from existing law which 
          requires the board to adopt a training program for pilot 
          trainees.
          - Recast the requirement that the executive director of the 
          board assign a commission investigator to inspect a reported 
          safety standard violation to instead require the executive 
          director to investigate the report by personal inspection, or by 
          assigning a commission investigator to inspect for compliance, 
          and report findings and recommendations to the board regarding 
          safety standard violations.
          - Require an examination fee to be charged to each applicant to 
          the pilot trainee training program who participates in any 
          written or simulator examinations established by the board for 
          the purposes of determining admission to the pilot trainee 
          training program.
          - Require that the fee be charged only to those who actually 
          participate in an examination and not exceed the board's 
          administrative costs.
          - Require the moneys collected from the applicant to be paid to 
          the board and deposited into the Board of Pilot Commissioners' 
          Special Fund, a continuously appropriated fund, and be used only 
          to fund the pilot trainee training program.
          - Require the board's assistant director to be appointed by the 
          Secretary of Business, Transportation and Housing and serve at 
          the pleasure of the secretary as a career executive.
          By increasing the amount of revenue deposited into a 
          continuously appropriated fund and by authorizing the 
          expenditure of money in that fund for a new purpose, this bill 
          would make an appropriation.
          _________________________________________________________________
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2011-12      2012-13      2013-14     Fund
           Revision of personnel  $2         $4          $4        Special*








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          classification                          (potentially up to $25 
          annually)                                     

          * Board of Pilot Commissioner's Special Fund
          _________________________________________________________________
          ____

          STAFF COMMENTS: For 2011-12, the board is budgeted for one 
          assistant director position with a salary range (2009-10) of 
          $6,605 to $7,143.  The proposed salary is $82,728.  The proposed 
          executive director salary is $119,616 ($9,215 to $9,968).

          This bill would reclassify the assistant director position as a 
          career executive.  As of March 2008, the career executive 
          assignment (CEA) salary ranges are:
          CEA 1:        $6,173 to $7,838
          CEA 2:        $7,815 to $8,616
          CEA 3:        $8,594 to $9,476
          CEA 4         $9,018 to $9,939
          CEA 5:        $9,544 to $10,520 ($13,381 for attorneys, 
          engineers and physicians)

          Newly appointed CEAs receive the minimum of the range or five 
          percent over their most recent state salary.  CEAs may receive a 
          five percent annual increase at the hiring department's 
          discretion, up to the maximum of the range.  If the assistant 
          director salary is at the top of the range ($7,143), the 
          position would have a salary of $7,500 ($7,143 + $357) which 
          would be in the CEA 1 range.  Staff notes creating a CEA in 
          statute bypasses State Personnel Board and Department of 
          Personnel Administration (DPA) review and determination of 
          whether workload and responsibilities justify a CEA level 
          classification and the appropriate compensation level.  It is 
          unclear if the secretary could bypass DPA compensation 
          restrictions and set the compensation at a higher CEA level, 
          which, without exceeding the executive director's salary, could 
          be up to the minimum range CEA 5.

          This bill refers to a career executive.  Staff recommends this 
          bill be amended to refer to career executive assignment.
          











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