Senate Committee Moves Salary and Furlough Legislation

The Senate Ways & Means Committee moved two bills from committee to Rules this afternoon.

Substitute Senate Bill 6382  and Senate Bill 6503 were passed out of Senate Ways & Means to Senate Rules for consideration.  The original bill was not considered. Instead a substitute bill was heard and acted upon.

Substitute Senate Bill 6382 extends the current prohibition of  salary and wage increases for exempt and Washington Management Service (WMS) employees of state agencies and institutions of higher learning  through June 30, 2011. An employer may grant a salary increase to a position for which it has a demonstrated difficulty retaining qualified personnel, provided that the increase can be paid within existing resources and without adversely impacting the delivery of client services. Any agency ;giving a salary increase for an exempt or WMS position must submit a reort to the fiscal committees of the Legislature by July 31, 2011, describing the increases given and the reasons for the increases. The prohibition on salary increases is expanded to include awards of cash or cash equivalents given in recognition for performance or longevity.

Senate Bill 6503 also passed out of Senate Ways & Means.  The final version of SB 6503 to pass out of committee was different from the original bill in four major ways:

1.  State agencies are directed to acheive a $69.154 million reduction in employee compensation costs from the near G-F through mandatory and voluntary furloughs, leave without pay, reduced work hours, voluntary retirements and separations, layoffs, and other methods. Agency compensation reduction plans must be submitted by May 15 and approved by OFM by June 1. Agencies that fail to submit an approved compensation reduction plan will be subject to 13 specified agency closure dates beginning in June 2010.

2. Additional exemptions are provided along with those originally outlined in the bill. None of the new exemptions are higher education related.

3.  OFM may designate alternative closure dates if necessary for a particular agency and various technical changes were made to facilitate implementation and collective bargaining.

4. Removes requirement that collective bargaining take place with a single consolidated union.

Senate Rules   is expected to act on SB 6382  ans SB 6503 quickly, moving the bills to the Senate Floor for action tomorrow.