HomeMy WebLinkAboutCOM 0295.001 2010-2012BRENDA J. FORD
Council Member
District 7 - Central Kona
DATE: August 2, 2011
Phone: (808) 323 -4277
Fax: (808) 329- 4786
E -Mail: bford @co.hawaii.hi.us
HAWAII COUNTY COUNCIL
County of Hawaii
West Hawaii Civic Center
74 -5044 Ane Keohokalole Hwy.
Kailua -Kona, Hawaii 96740
TO: Dominic Yagong, Council Chairperson
and Members of the Hawai`i County Council
FROM: Brenda J. Ford, Council Member ��
•■•
SUBJECT: Proposed Amendments to Resolution No. 117 -11 Relating to Furlough and Salary
Reduction of Exempt Legislative Branch Employees
For you consideration, please find attached proposed amendments to Resolution No. 117 -11. The
proposed amendments, illustrated via Ramseyer format with respect to the contents of Resolution
No. 117 -11, read as follows:
1. The page number at the bottom of page 1 is amended to remove bolding as follows:
2. A new third WHEREAS clause is added to page 3 to read as follows:
"WHEREAS, the County of Hawai`i entered into a supplemental agreement, which is
attached as "Exhibit B ", with the Hawai`i Government Employees Association for 24
furlough days over the two year contract period; and"
3. A new fourth WHEREAS clause is added to page 3 to read as follows:
"WHEREAS, pursuant to an information sheet written by Sharon Toriano, Deputy Director,
Human Resources, with a distribution date of July 15, 2011, was provided to employees with
their paychecks and is attached as "Exhibit C ". The information sheet stated that until a
supplemental agreement is executed, the County of Hawai`i legislative branch will
implement the following interim measures:
Serving the Interests of the People of Our Island
Hawai `i County is an Equal Opportunity Provider and Employer
Comm. No. Z TS
Ref. To: P'W; ii C4 c;
Ref. Date AUG 3 201
(a) the EUTF Premium Payments ratio is now to be split in the following manner —
Employer Contribution 60% and Employee Contribution 40% which was the ratio in
effect on June 30, 2009;
(b) Additionally, the salary schedule in effect on June 30, 2009 is applied and returns
employees to the pay level they had before the two - days - per -month furloughs were
implemented ; and
4. The BE IT RESOLVED clause on page 3 is amended as follows:
" BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF HAWAII that
pursuant to the provisions of HRS Chapter 89C, the county council does hereby order[;
effective July 1, 2011, ]that all officers and employees in the legislative branch, who are
appointed or excluded from bargaining units [82-]03, 04,[ 09,] and 13 shall be furloughed
twenty -three (23) days for the period of [July]August 1, 2011 to June 30, 2013,
[preferably ]on the first Friday of every month or on another day, if applicable or necessary.
Pursuant to the memorandum from Council Chairperson Dominic Yagong, dated July 20,
2011, one day of unpaid administrative leave shall be granted to all appointed or excluded
employees of the legislative branch on July 29, 2011 as explained in attached Exhibit
"[G]D ". The number of days of unpaid furlough and administrative leave shall total
twenty -four (24). The unpaid days off are specified in the attached Exhibit "[B]E "."
5. Exhibits A through C are removed and replaced with new exhibits designated A through E.
A draft copy of Resolution No. 117 -11, Draft 2, incorporating these amendments and new Exhibits A
through E are attached to this communication.
BJF /sao
Att.
A RESOLUTION APPROVING THE COST ADJUSTMENTS NCH OF BENEFITS
HE COUNTY OF
EXCLUDED EMPLOYEES OF THE LEGISLATIVE
AS RELATED TO ALL CHANGES TO THE FURLOUGH AND SALARY
REDUCTION.
WHEREAS, Hawai`i Revised Statutes ( "HRS ") Chapter 89C -1 grants the appropriate
authorities the necessary flexibility to make adjustments as provided in this chapter; provided
that nothing in this chapter shall be construed to interfere with or diminish authority already
provided to them in regard to the wages, hours, benefits,
and employees; and conditions of
employment for their respective excluded public
WHEREAS, HRS 89C -1.51 defines:
"Appropriate authority" means the governor, the respective mayors, the chief justice of
the supreme court, the board of education, he ombudsman, the director Lof the
[systems] corporation board, the auditor,
legislative reference bureau. These individuals or boards may make adjustments for their
respective excluded employees.
Excluded employee" or "employee" means any individual who is employed by an
appropriate authority and is not included appropriate
ve bargaining ov g ageunit
under HRS section
HRS 89 -6 and, therefore, is not entitled o collec
chapter 89; and
WHEREAS, HRS 89C -2 provides that each appropriate authority may make adjustments
for their respective excluded employees subject to the following guidelines and limitations:
(1) The compensation of excluded employees, whose pay is presently limited or fixed
by legislative action, or prescribed by a salary commission, shall not be adjusted
under this chapter and shall continue to be limited or fixed by the respective
legislative body or salary commission;
(2) The compensation of excluded employees exempt from civil service coverage,
whose pay is set at the discretion of the appointing authority, shall continue to be
adjusted at the discretion of the appointing authority from funds allowed for this
purpose;
Any adjustment made for excluded civil service employees shall be consistent
with the merit principle and shall not diminish any rights provided under HRS
chapter 76;
(3)
1
(4) For excluded employees under the same classification systems as employees
within collective bargaining units, adjustments shall be not less than those
provided under collective bargaining agreements for employees hired on a
comparable basis;
For excluded employees other than those under paragraph (4), adjustments shall,
to the extent practicable, uniformly apply to every excluded employee within a
homogeneous grouping, such as, cabinet members or managerial employees, to
ensure fairness. This does not preclude variable adjustments based on
performance or other job criteria and specific adjustments warranted based on the
nature of work performed or working conditions; and
(6) No adjustment shall be made in benefits provided under HRS chapter 88 unless
specifically authorized by that chapter, or with respect to any other matter that the
legislature may specifically prohibit or limit by law; and
WHEREAS, HRS section 89C -3 provides that:
(a) Each jurisdiction shall provide adjustments for its respective excluded civil service
employees based on recommendations from its respective personnel director.
(b) In formulating recommendations to the appropriate authority, the respective director
shall:
(5)
(1) Establish procedures that allow excluded civil service employees and employee
organizations representing them to provide input on adjustments that are relevant
and important to them for the director's approval;
(2) Ensure that adjustments for excluded civil service employees result in
compensation and benefit packages that are at least equal to the compensation and
benefit packages provided under collective bargaining agreements for
counterparts and subordinates within the employer's jurisdiction; and
Ensure that proposed adjustments are consistent with chapter 76 and equivalent or
not less than adjustments provided within the employer's jurisdiction; and
WHEREAS, HRS section 89C -4 provides that each appropriate authority shall determine
the adjustments that are relevant for their respective excluded employees who are exempt from
civil service in consideration of the compensation and benefit packages provided for other
employees in comparable agencies...; and
WHEREAS, HRS section 89C -5 provides that:
(a) Adjustments that do not require appropriations by the respective legislative bodies may
be implemented without legislative action.
(b) All other adjustments requiring appropriations shall be submitted to the respective
legislative body for appropriations, at such time and in such manner as the legislative body may
require. The legislative body shall appropriate funds of the amount requested or funds of a
different amount after discussing the reasons with the appropriate authority.
(c) No adjustment shall be made and no funds shall be used for purposes of this chapter
unless the legislative body has appropriated the funds necessary to implement the adjustment;
and
(3)
2
WHEREAS, HRS section 89C -6 provides that adjustments made in accordance with this
chapter shall take precedence over all contrary local ordinances, executive orders, legislation, or
rules adopted by the State or a county, or any department, agency, board, or commission thereof,
including the personnel departments or the merit appeals boards; and
WHEREAS, pursuant to the Mayor's Executive Order No. 156, signed and dated July
18, 2011 and effective July 1, 2011, a copy of which is attached hereto as Exhibit "A" and made
a part hereof, and the provisions of HRS Chapter 89C, all changes related to the furlough or
salary reduction of all officers and employees in the executive branch, who are appointed or
elected officials, excluded from bargaining units 02, 03, 04, and 13, in the Excluded Managerial
Compensation Plan (EMCP)...shall be furloughed twenty -four (24) days, or shall receive the
equivalent of a one (1) day furlough reduction per month during the period July 1, 2011 to June
30, 2013; and
WHEREAS, the County of Hawai`i entered into a supplemental agreement, which is
attached as "Exhibit B ", with the Hawai`i Government Employees Association for 24 furlough
days over the two year contract period; and
WHEREAS, pursuant to an information sheet written by Sharon Toriano, Deputy
Director, Human Resources, with a distribution date of July 15, 2011, was provided to
employees with their paychecks and is attached as "Exhibit C ". The information sheet stated that
until a supplemental agreement is executed, the County of Hawai`i legislative branch will
implement the following interim measures:
(a) the EUTF Premium Payments ratio is now to be split in the following manner —
Employer Contribution 60% and Employee Contribution 40% which was the
ratio in effect on June 30, 2009;
(b) Additionally, the salary schedule in effect on June 30, 2009 is applied and
returns employees to the pay level they had before the two - days - per -month
furloughs were implemented ; and
WHEREAS, the legislative branch wishes to be consistent with the Mayor's Executive
Order No. 156; now, therefore,
3
BE IT RESOLVED BY THE COUNCIL OF THE COUNTY OF HAWAII
that pursuant to the provisions of HRS Chapter 89C, the county council does hereby
order that all officers and employees in the legislative branch, who are appointed or
excluded from bargaining units 03, 04, and 13 shall be furloughed twenty -three (23) days
for the period of August 1, 2011 to June 30, 2013, on the first Friday of every month or
on another day, if applicable or necessary. Pursuant to the memorandum from Council
Chairperson Dominic Yagong, dated July 20, 2011, one day of unpaid administrative
leave shall be granted to all appointed or excluded employees of the legislative branch on
July 29, 2011 as explained in attached Exhibit "D ". The number of days of unpaid
furlough and administrative leave shall total twenty -four (24). The unpaid days off are
specified in the attached Exhibit "E ".
BE IT FURTHER RESOLVED that all furlough provisions applicable to any
bargaining unit employee shall also apply to employees excluded from that bargaining
unit.
BE IT FURTHER RESOLVED that the Director of the Department of Human
Resources shall be responsible for the uniform administration of these adjustments and
any interpretation concerning the applicability of such adjustments to County Officers
and Employees who are excluded from collective bargaining.
BE IT FINALLY RESOLVED that the County Clerk shall forward copies of this
resolution to the Honorable Mayor William P. Kenoi, the Director of the Department of
Human Resources and the Director of the Department of Finance.
4
Exhibit "A"
NOW, THEREFORE, I William P. Kenoi, Mayor of the County of Hawai'i,
pursuant to the provisions of HRS Chapter 89C, do hereby order, effective July 1,
2011, the furlough or salary reduction of all officers and employees in the
executive branch, who are appointed or elected officials, excluded from
bargaining units 02, 03, 04, and 13, or in the excluded managerial compensation
plan (EMCP), as follows:
EMPLOYEES shall be furloughed twenty -four (24) days, or shall receive the
equivalent of a one (1) day furlough reduction per month during the period July
1, 2011 to June 30, 2013, as specified in the attachments to this executive order.
All provisions of Attachments I, II and III applicable to bargaining unit employees
shall also apply to employees excluded from those bargaining units.
1. Attachment I - Applicable to employees excluded from bargaining units
2, 3, 4, and 13 and EMCP units 31 and 35 in the Police Department's
Communications Section, the Fire Department's Ocean Safety Division,
and the Fire Department's Communications Center, and the Department
of Environmental Management's Wastewater Division.
2. Attachment II - Applicable to employees excluded from bargaining units
2, 3, 4, and 13; EMCP units 31 and 35 not designated in item #1 above;
and all appointed and elected officials except for Fire and Police Chiefs,
Deputy Fire and Deputy Police Chiefs.
Notwithstanding the foregoing, Attachment II shall not be applicable to
the following classes of work - Student Helper I, Student Helper II, Student
Intern, Activity Aide, Activity Technician III, Recreation Educator, School
Crossing Guard, Home Delivered Meals Worker, and Senior Community
Service Aide. Subject to future executive order, these employees shall not
be furloughed nor receive any salary reduction during the period July 1,
2011 to June 30, 2013.
3. Attachment 111 - Applicable to employees excluded from bargaining units
2, 3, 4, and 13 and EMCP units 31 and 35; and all appointed and elected
officials except for Fire and Police Chiefs, Deputy Fire and Deputy Police
Chiefs.
2
Exhibit "A"
The director of human resources shall be responsible for the uniform
administration of these adjustments and any interpretation concerning the
applicability of such adjustments to County Officers and Employees who are
excluded from collective bargaining.
APPROVED AS TO FORM
AND LEGALITY:
Molly f• o /
Deputy Corporation Counsel
County of Hawaii
Hilo, Hawaii this
day of
3
, 2011
William P. Kenoi
Mayor, County of Hawaii
EXHIBIT B
COUNTY OF HAWAII
FURLOUGH PROGRAM
July 1, 2011 to June 30, 2013
HGEA Employees BU02, 03, 04, and 13 and Counterparts
Appointed and Elected Officials
SUPPLEMENTAL AGREEMENT
BARGAINING UNITS 02, 03, 04, AND 13
COUNTY OF HAWAII FURLOUGH PLAN
This SUPPLEMENTAL AGREEMENT is entered into this day of
, 2011 by and between the County of Hawaii (hereinafter "COUNTY ") and
the Hawaii Government Employees Association, AFSCME, Local 152, AFL -CIO,
(hereinafter "UNION ") on behalf of Employees in Bargaining Units 02, 03, 04, and 13
(hereinafter "EMPLOYEE" or "EMPLOYEES ").
WHEREAS, the Public Employer and the UNION reached an agreement in
negotiations for bargaining units 02, 03, 04 and 13 for the contract period July 1, 2011
to and including June 30, 2013;
WHEREAS, the negotiated agreement provides for a temporary five (5) percent
across the board reduction of the base pay for the employees included in bargaining
units 02, 03, 04 and 13 for the contract period July 1, 2011 through June 30, 2013;
WHEREAS, a Memorandum of Agreement dated was executed to
implement the temporary five (5) percent across the board reduction by amending the
salary schedule in effect on June 30, 2009;
WHEREAS, the negotiated agreement also provides employees with six (6)
hours per month of Supplemental Time Off with pay to be used within the contract
period of July 1, 2011 to and including June 30, 2013;
WHEREAS, a Memorandum of Agreement dated was executed to
implement the six (6) hours per month Supplemental Time Off; and
WHEREAS, the COUNTY and the UNION (collectively referred to as the
PARTIES) wish to implement alternative cost reductions.
NOW, THEREFORE, in lieu of the 5% reduction in pay Memorandum of
Agreement dated and six (6) hours of Supplemental Time Off
per month Memorandum of Agreement dated effective July 1,
2011 to and including June 30, 2013, the PARTIES mutually agree to the following
Furlough Plan:
A. Summary
1. The Salary schedule in effect on June 30, 2009 shall remain in effect for the
contract period July 1, 2011 to and including June 30, 2013.
2. EMPLOYEES shall be furloughed twenty -four (24) days during the period
July 1, 2011 to and including June 30, 2013. All COUNTY Departments and
Agencies shall observe the Furlough schedule in Attachments Al and A2,
subject to the alternative scheduling allowed in Section F below.
3. For the purposes of this SUPPLEMENTAL AGREEMENT, a furlough means
the placement of an EMPLOYEE temporarily and involuntarily in a non -pay
and non -duty status by the COUNTY because of lack of work or funds, or
other non - disciplinary reasons.
B. Salaries/Wages
1. Full -time EMPLOYEES' pay will be automatically adjusted by one (1) work
day (eight (8) hours times hourly rate of pay) on the July 31, 2011 paycheck.
2. Thereafter, full -time EMPLOYEES' pay will be automatically adjusted by
one -half (1/2) work day (four (4) hours times hourly rate of pay) each pay
period starting with the August 15, 2011 paycheck, and ending with the
June 30, 2013 paycheck.
3. EMPLOYEES who work less than full -time shall have their pay adjusted on a
prorated basis based on the EMPLOYEES' full -time equivalency (FTE).
C. Employment Status
1. Furloughs shall be applicable to all EMPLOYEES, regardless of the means of
financing for their positions.
2. Furloughs shall not constitute a break in service.
3. This plan does not assure continued employment during the period specified
herein.
D. Leaves /Benefits
1. EMPLOYEES shall not be permitted to substitute vacation, sick,
compensatory time off or any other paid leave for the Furlough day(s).
2. Any Furlough days which have been taken by an EMPLOYEE shall not be
included in computing whether an EMPLOYEE is entitled to overtime pay
(i.e., in determining whether an EMPLOYEE has worked more than forty
(40) hours in a week, any Furlough days /hours taken shall not count as part
of those forty (40) hours).
3. If an EMPLOYEE has a pre- approved or scheduled paid leave for a period
which includes a Furlough day, the COUNTY shall not charge the
EMPLOYEE with paid leave for the Furlough day.
4. A Furlough day, by itself, will not adversely impact the earning and accrual
of vacation and sick leave credits, service anniversary date, step movement
date, the COUNTY'S contribution to the Hawaii Employer -Union Health
Benefits Trust Fund, and creditable service for retention point computation
under the Layoff and Reduction -In -Force articles of the applicable collective
bargaining agreements.
E. Hours of Work/Overtime
1. Unless authorized by an appointing authority, EMPLOYEES shall not work
overtime or additional hours to compensate for Furlough days.
2 Should the parties agree to have an EMPLOYEE work an alternative work
week (e.g., four (4) days a week, ten (10) hours a day work schedule) during
the duration of this SUPPLEMENTAL AGREEMENT, the EMPLOYEE shall
revert to a normal five (5) days a week, eight (8) hours a day work schedule
during weeks that a Furlough day is designated.
3. EMPLOYEES shall neither volunteer to work nor work from a remote location
(e.g., work from home, checking and reading email, consultative calls) on
Furlough days.
F. Alternatives
Alternative Furlough days in lieu of the Furlough schedule in Attachments Al and
A2 may be allowed as follows:
1. In the event of an emergency or unforeseen operational necessity, an
appointing authority may revoke a Furlough day and identify another day as a
Furlough day within the same pay period.
2. Should an EMPLOYEE'S scheduled day off fall on a Furlough day designated
in Attachments Al and A2, an appointing authority shall identify another day
as a Furlough day for the EMPLOYEE on another scheduled work day.
3. The Department Heads identified in Attachment B may develop alternative
Furlough schedules for EMPLOYEES in the designated work groups listed in
Attachment B to maintain effective and orderly operations.
In the event of an alternative Furlough day allowed pursuant to this paragraph, all
other provisions of this SUPPLEMENTAL AGREEMENT shall remain applicable.
This SUPPLEMENTAL AGREEMENT is effective July 1, 2011, to and including
June 30, 2013.
IN WITNESS WHEREOF, the parties hereto, by their authorized representative,
have executed this SUPPLEMENTAL AGREEMENT on the day and year first written
• above.
COUNTY:
William P.Renoi, its
Mayor
Date:
APPROVED AS TO
FORM AND LEGALITY
Lincoln :.hid.: its
Corporation Counsel
Date: 7 /M ///
UNION:
HAWAII GOVERNMENT EMPLOYEES
AS TION
R - ndy Perreira, its
Executive Director
Date:
Hawaii County is an. Equa[ Opportunity Provider and Employer.
July 2011
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Holiday:
Jul 4 Independence Day
October 2011
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January 2012
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FY 11 -12 FURLOUGH SCHEDULE
August 2011
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Holiday:
Aug 19, Statehood Day
November 2011
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Holiday:
Nov 11, Veterans' Day
Nov 24, Thanksgiving Day
2012
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Holiday: Jan 2, New Year's Day Holiday:
Jan 16, Dr. Martin Luther King, Jr. Da
April 2012
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Holiday: April 6, Good Friday
= Designated as a Furlough day
County offices will be closed
Feb 20, Presidents' Day
May 2012
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Holiday:
May 28, Memorial Day
= State Holiday
ATTACHMENT Al
September 2011
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H,:
Holiday:
Sep 5, Labor Day
December 2011
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Holiday:
Dec 26, Christmas Day
March 2012
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Holiday:
Mar 26, Prince Kuhio Day
June 2012
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Holiday: Jun 1 , King Kamehameha Day
July 2012
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Holiday: Jul 4 Independence Day
October 2012
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Holiday:
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January 2013
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FY 12 -13 FURLOUGH SCHEDULE
August 2012
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Holiday:
Aug 17, Statehood Day
November 2012
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Holiday:
Nov 6, Election Day
Nov 12, Veterans' Day
Nov 22, Thanksgiving Da
February 2013
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Holiday: Jan 1, New Years Day Holiday: Feb 18, Presidents' Day
Jan 21, Dr. Martin Luther King. Jr. Day
April 2013
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Holiday: None
= Designated as a Furlough day
County offices will be closed
May 2013
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Holiday:
May 27, Memorial Day
= State Holiday
ATTACHMENT A2
September 2012
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oliday:
Sep 3, Labor Day
December 2012
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ohday:
Dec 25, Christmas Day
March 2013
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ouaay:
Mar 26, Prince Kuhio Day
Mar 29, Good Frida
June 2013
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oliday: Jun 11, King Kamehameha Day
r- I i 0
COUNTY OF HAWAII
ALTERNATE FURLOUGH SCHEDULES
HGEA
EFFECTIVE JULY 1, 2011 THROUGH JUNE 30, 2103
DEPARTMENT
• Civil Defense
• Elections Program
• Environmental Management — Solid Waste
• Finance — VRL, Driver Licensing - Ka'u
• Liquor Control
• Parks and Recreation — Aquatics, Zoo, Golf, Parks,
Recreation
• Police — Word Processing Center, Communications,
Criminal Investigations Division, Area I & II Police,
Chief's Office and Administration
• Prosecuting Attorneys
• Public Works — Construction Project Managers,
Inspectors & Engineers
NOTE: Alternate work schedules for BU:02 (Blue Collar Supervisors) members may be necessary
pending the outcome of negotiations with UPW
July 15. 2011
County of Hawai'i - FURLOUGH PROGRAM
HGEA Employees BU02, 03, 04, and 13 and Counterparts, Appointed and Elected officials
HR REPRESENTATIVES Reference Sheet (07/15/11)
July 1, 2011 to June 30, 2013
No#
TOPIC
QUESTION
RESPONSE
1
Work on a
furlough day due
to emergency.
If you have to come to work on a furlough day,
like for public safety emergencies, is it paid at
OT, regular salary or none at all.
An emergency is typically an unforeseen, unplanned event which may result in an employee
being called back to duty on their designated furlough day which is a "non duty" day (see
Q1). Consequently, work performed on the furlough day will be paid at the overtime rate of
pay. NOTE: Employees whose furlough has been revoked due to an emergency or
pressing operational need shall NOT be placed on furlough on another designated day (see
49).
2
Furlough schedule
What is a non - "alternate furlough schedule "?
The County of Hawaii Furlough Calendar has been referred to as the Furlough schedule.
Employees who are not following the County Furlough Calendar have requested an
"alternate furlough schedule." We are not familiar with the terminology "non- alternate
furlough schedule ".
3
Furlough
transaction - Form
13
Will a form 13 be required to be entered into
FRESH for furlough days taken?
NO. One Form 13 will be generated for employees at the beginning of the furlough period
(July 1, 2010). There is no entry required in the Eden (FRESH) HR Module. Furlough days
taken will be recorded in the Eden (FRESH) Payroll Module via activity entry and also
recorded in departmental attendance records - see Finance Payroll Instructions.
4
Short Pay periods
Following the current definition of a short pay
period, the period from July 1 — Dec. 31, 2010,
will go from one (1) to seven (7) short pay
periods, causing more OT for Payroll and the
department clerks. Will we be working OT
hours, or on furlough days to get it done in
time?
As a general rule, overtime is subject to approval and should be managed so as to
minimize payroll expense and maximize the savings from the furlough. Payroll processing
demands are to be anticipated and considered when assigning the furlough day. Work
schedule adjustments may be done to ensure that payroll is processed accurately and by
deadline. Be advised that Departments electing to deviate from the County furlough
calendar of first and third Friday of each month should have already submitted their
proposed alternate furlough schedule to Human Resources.
5
Reassignment of
the Furlough day
with > 48 hours
notice.
If the employee is asked to come in during a
furlough day (with more than 48 hours notice)
and needs to re- schedule the furlough day, is
it up to the employer or can the employee
request when they want to take their furlough
day.
A furlough is the placement of an employee temporarily and involuntarily on a non -pay and
no -duty status by the Employer because of lack of funds. While an employee may request
a specific date as his /her furlough day, ultimately management shall assign the furlough
day.
6
Reassignment of
the Furlough day
with > 48 hours
notice.
For an employee whose furlough day is
cancelled with > 48 hours advance notice and
is reassigned a different furlough day, is there
a timeframe by which the furlough day needs
to be scheduled.
The supplemental agreement reads: In the event of an emergency or unforeseen
operational necessity, an appointing authority may revoke a furlough day and identify
another day as a furlough day within the same pay period. On a case by case basis
alternate schedules were requested and submitted to HGEA (e.g. Elections Program). As a
rule of thumb, Employee's whose furlough day has been revoked due to an emergency or
pressing operational need with < 48 hours advance notice shall NOT be placed on furlough
on another designated day.
1
July 15, 2011
HR REPRESENTATIVES Reference Sheet (07/15/11)
July 1, 2011 to June 30, 2013
No#
TOPIC
QUESTION
RESPONSE
7
Work performed
on a rescheduled
furlough day.
What if a supervisor forgets that it is his /her
furlough day and works on this date?
Employee's are responsible for knowing their work schedule and the employer is
responsible for informing them of their work schedule including assigned furlough days. An
employee should not be allowed to work on a furlough day unless advance approval has
been obtained by his /her supervisor especially since overtime may result.
8
Posting of Work
Schedules
If the work schedule for July 2010 is not
posted two weeks in advance in accordance
with Article 22, will Overtime penalty apply?
YES. The terms and conditions of the Collective Bargaining Agreement applies.
9
LWOP -
adjustment to
vacation and sick
leave allowance
When an employee encounters leave without
pay, it normally impacts vacation and sick
leave accruals. How will we adjust this for
furlough days? If you look at the contract
language (HGEA), there is a schedule
w /amount of hours that the employee needs to
work in order to earn the 14 hours. We have
some employees who are already not earning
the 14 hours due to LWOP, so will the
furloughs further contribute to that or will we
need to adjust the schedule provided?
A furlough day in itself will not affect the earning of vacation or sick leave (ref -HGEA Q17
and UPW Q27). When determining the vacation and sick allowance to be credited, the
employee will receive credit for the furlough day(s) provided he /she had no leave without
pay (LWOP) during the leave period. Refer to Furlough Payroll Instructions distributed
on 06/23/10: HGEA #11 or UPW #7.
10
TA pay on
furlough days.
In a situation where TA was offered and
accepted for a period of a month or longer, the
employer has historically, provided TA pay for
both productive and non- productive (vacation,
CTO, sick leave) hours. Is there a change in
past practice given the furlough (see Q11)?
YES. Departments are to inform affected employees that he /she will not receive TA pay on
a furlough day. Additionally and for the period of July 1, 2010 to June 30, 2011, TA shall be
offered on a day to day basis as compared to an extended period of time.
11
Overtime
If an employee is a Monday through Friday
worker and is furloughed on Friday, does OT
start on Saturday, work on day off? Or is
Saturday paid at straight time, since he /she
did not work the 40 hours (or was on paid
leave for the 40 hours prior to Saturday.
YES. A Mon. - Fri. employee is scheduled "Off' on Saturday and Sunday. Consequently
and in accordance with the Collective Bargaining Agreement, overtime will be paid for work
performed on employee's scheduled day off.
12
CTO Cash Out
Will employee's be allowed to cash out CTO
hours during the next FY?
In accordance with your Department's established guideline and /or procedures, employees
may elect to "cash out" their CTO. While budget concerns and fiscal constraints may result
in a request(s) being denied. To date, no County wide "freeze" on "cash out" of CTO has
been directed.
2
July 15, 2011
HR REPRESENTATIVES Reference Sheet (07/15/11)
July 1, 2011 to June 30, 2013
No#
TOPIC
QUESTION
RESPONSE
13
Retroactive Step
Movements - pay
raises in the next
FY
If the economy improves, will there be retroactive
Step Movements /pay raises in the next fiscal year
if the economy improves?
Step movement and pay increases are subject to negotiation.
14
Hourly Paid
Employees
Are the hourly paid employees participating in
the furlough?
Employees paid on an hourly basis shall have their scheduled work hours reduced in
accordance with their FTE. For example, a full -time employee would be scheduled 8 hours
less per pay period. For part-time employees - the number of furlough days will be prorated
based on the employees' full -time equivalency (FTE).
15
TDI
An employee is qualified for TDI but is not
entitled to TDI on a furlough day, how do we
figure in his furlough days?
See A #35 in HGEA FAQ. An employee shall not be entitled to TDI on a furlough day since
it is a non -pay, non -duty day and the employee would not have earned any wages on that
day.
16
Shortage Pay
Does the furlough reduction in pay apply to
shortage pay.
Yes.
3
HGEA FAQ
07/15/11
COUNTY OF HAWAII - FURLOUGH PROGRAM
July 1, 2011 to June 30, 2013
FREQUENTLY ASKED QUESTIONS AND ANSWERS
HGEA Employees BU02, 03, 04, and 13 and Counterparts
Appointed and Elected Officials
NOTE: The following questions and answers are specifically intended to address frequently
asked questions and furlough related issues that apply only to HGEA BU:02, BU:03, BU:04,
and BU:13 employees of the County of Hawaii. The negotiated agreement and laws shall
take precedence over any statement herein which may conflict with collective bargaining
agreements or law. This listing of frequently asked questions may be amended to include
additional questions or to further clarify information.
GENERAL
1. What is a furlough?
Al. A furlough is the placement of an employee temporarily and involuntarily on a non -pay
and non -duty status by the COUNTY because of lack of work or funds, or other non -
disciplinary reasons. Such placement is in increments of one day.
2. To whom does the furlough plan apply to?
A2. The furlough applies to all Bargaining Unit 02, 03, 04, & 13 employees of the County
of Hawaii, and their excluded counterparts, appointed, and elected officials, other than
those Unit 02, 03, 04, & 13 employees covered under a separate furlough program.
3. When will the furlough be effective and how many days will employees be
furloughed?
A3. The total number of furlough days per fiscal year shall be as follows:
• During the period of July 1, 2011 through June 30, 2013 — maximum of 24 days
For part-time employees — the number of furlough days will be prorated based on the
employees' full -time equivalency (FTE).
4. How is pay affected by the furloughs and when does it start?
A4. Full -time EMPLOYEES' pay will be automatically adjusted by one (1) work day (eight
(8) hours times hourly rate of pay inclusive of any shortage pay) on the July 31, 2011
paycheck.
HGEA
07/15/11
Page 2
Thereafter, Full -time EMPLOYEES' pay will be automatically adjusted by one -half
(1/2) work day (four (4) hours times hourly rate of pay inclusive of any shortage pay)
each pay period starting with the August 15, 2011 paycheck, and ending with the
June 30, 2013 paycheck.
Example: For employees who work other than an eight (8) hour work day, such as
a ten (10) hour shift, four (4) hours will be deducted from each pay check for a
total equal to the number of furlough hours during the fiscal year.
5. Can furloughs be observed in partial day increments?
A5. No. Full -time employees must observe the full day of furlough. Furloughs for
part-time employees who normally work at least twenty (20) hours per week will
be on a prorated basis.
6. Will a furlough be counted as a break in service or break in employment?
A6. No.
7. If an employee is hired after the furlough program goes into effect, will he /she
be subject to the furlough program?
A7. Yes. New employees hired during the furlough period will be included in the furlough
program.
8. Will the furlough affect an employee's status as a full -time employee?
A8. No, the employee's FTE (Full -Time Equivalency)* will remain the same.
*Definition of Full -Time Equivalency (FTE): Full time is defined as an 8 -hour workday;
regularly scheduled work hours less than 8 are prorated. Basically, 1.00 FTE means an
employee is employed on a full -time basis, .50 FTE means an employee is employed on
a half -time basis, and so forth.
9. What happens when an employee is required to report to work on a scheduled
furlough day?
A9. In the event of an emergency or pressing operational need, the supervisor may
revoke the furlough. If an employee is required to work on a scheduled furlough day
with less than forty -eight (48) hours advance notice, the following provisions will
apply: BU 02, 03, 04, Article 23.C.2; Article 25.C.2.
Employees whose furlough has been revoked due to an emergency or pressing
operational need with less than forty -eight (48) hours advance notice shall not be
placed on furlough on another designated day.
HGEA
07/15/11
Page 3
10. Will furlough days be counted as creditable service?
A10. Yes, furlough days will be creditable for purposes such as seniority, service awards,
and reduction -in -force retention points.
11. Will employees on temporary assignment (TA), still get TA pay on a furlough
day?
A11. No, as the employee is not performing the temporary assignment work on that
furlough day.
12. Will the furlough impact the calculation of differentials and premium pay?
Al2. No, the calculation of differentials and premium pay are not affected by the furloughs.
Employees are not to include furlough days when submitting /making claims for
differentials or premium pay that are applicable on a day -to -day basis.
Examples:
1) Working condition differential
2) Night differential
3) Hazard pay differential
4) Meal allowance
13. Will the furlough impact employees' automatic payroll deductions (e.g. EUTF,
Deferred Compensation, HUI, etc.)?
A13. They may. Therefore, it is recommended that employees review their automatic
payroll deductions to ensure that their adjusted income will be sufficient to cover all
of their deductions.
14. Will the furlough impact or change the classification of an employee's
position?
A14. No.
15. Can furlough days be taken in advance?
A15. No, employees shall observe the schedule furlough days except when specifically
cancelled due to operational necessity.
HGEA
07/15/11
Page 4
16. Will any of the contract provisions change as a result of this furlough
program?
A16. No, contractual provisions will not be affected by the furloughs.
LEAVE
17. Will furloughs affect the number of hours of vacation or sick leave earned for
full -time and part -time employees?
A17. No, a furlough day in itself will not affect the earning of vacation or sick leave.
18. Can an employee substitute vacation or sick leave for a furlough day?
Q18. No. A furlough day is a non -pay and non -duty day; it cannot be converted to a paid
day by use of vacation or sick leave.
19. How will the furlough impact an employee on vacation or sick leave for a full
calendar month?
Q19. Employees may not use paid vacation or sick leave on furlough days, therefore, the
employee's leave request should only include scheduled work days.
20. How will the furlough impact an employee out on family leave for a full
calendar month?
A20. The furlough will not impact an employee out on unpaid family leave (e.g. the
appropriate number of furlough days will be credited as being observed). If the
employee is substituting paid sick leave or vacation leave for the family leave period,
the employee's leave request should only include scheduled work days, not furlough
days.
21. Will the furlough affect the number of donated leave days an employee may
receive under the County of Hawai`i's Leave Sharing Program?
A21. It may. Only absences on scheduled work days need to be accounted for with
donated leave. For example, an employee who requests leave donations to enable
an absence for the entire month of August 2011 will receive 21 leave days instead of
23 (1 furlough day and 1 holiday). In this example, the employee will be paid for
each work day and the holiday and not paid for the furlough day.
HGEA
07/15/11
Page 5
22. Will furloughs affect the method for calculating lump sum vacation payout
when an employee retires or otherwise separates from service?
A22. No. The employee's lump sum vacation payout will be calculated in the normal
manner, using the employee's base pay (no adjustment for furlough).
23. Will an employee who is on military leave be subject to furlough?
A23: No.
RETIREMENT
24. Will a furlough affect an employee's ERS membership service credits?
A24. No, provided the employee is on paid status at least 15 calendar days during the
month (14 calendar days in February).
25. Will a furlough affect the calculation of an employee's retirement pension?
A25. It may. The pension benefits are based on actual pay. The "average final
compensation" for service and disability retirement benefit purposes is the average of
the employee's three (3) or five (5) highest paid years of creditable government
service. A salary adjustment due to furloughs may lower the "average final
compensation" level only if it is considered in the "high three" or "high five."
26. Will employees in the Hybrid Plan or Contributory Plan be allowed to
temporarily cancel their contributions during the furlough period?
A26. No.
27. Will an employee's "ordinary death" benefits be affected if he /she dies
on a furlough day?
A27. No. Death benefits are payable to all Employees' Retirement System members,
including those on furlough, as long as the member died while still employed and
meets (for certain plans) the minimum service eligibility requirements.
28. Will the employee's contributions to the Employees' Retirement System for the
Contributory or Hybrid Plan be based on the employee's base pay or adjusted
gross pay?
HGEA
07/15/11
Page 6
A28. Employee contributions will be based on the adjusted gross pay.
DEFFERED COMPENSATION
29. Will an employee's contributions to the deferred compensation be affected?
A29. It may. If an employee is deferring a set percentage of his /her pay, rather than a
dollar amount, the total annual contribution amount may decrease. The maximum
annual deferral amount/limit is defined by the Internal Revenue Service.
Employees may want to adjust the amount of their contributions. To discuss their
options, employees may contact ING, the Island Savings Plan Administrator at 1-
888- 712 -5642.
HEALTH BENEFITS
30. Will an employee's health benefits continue while on a furlough?
A30. Yes, provided the employee continues to pay his /her premium contribution on a
timely basis. Employees who do not have sufficient monthly earnings to pay for their
insurance premiums will be sent a Notice of Premium shortage by the Employer -
Union Health Benefits Trust Fund (EUTF).
31. If a part -time employee is currently receiving health benefits, will the furlough
cause him /her to lose health benefits coverage?
A31. Possibly. The employee must continue to pay his /her premium contributions, in
order to prevent Toss of health benefits coverage as a result of the furlough. The
County of Hawaii will not change the employee's FTE (Full -Time Equivalency)
designation which is one of the factors used to determine health benefits eligibility.
As stated previously, health benefits coverage will continue as long as the requisite
employee premium contributions are made on a timely basis.
FLEXIBLE SPENDING PLAN — INSURANCE PREMIUMS CONVERSION PLAN (PCP)*
32. Will employees enrolled in the Flexible Spending Plan be allowed to cancel
or change their enrollment during the furlough period?
A32. No, the furlough is not an IRS - qualifying change in status event that would allow
an employee to change /cancel his /her enrollment and payroll deductions.
However, changes are allowable during the regular open enrollment period.
HGEA
07/15/11
Page 7
*Note: The PCP is a voluntary benefit program that provides an opportunity for
most health plan participants to deduct their health plan premiums on a pre -tax
basis.
FLEXIBLE SPENDING PLAN — MEDICAL EXPENSE AND DEPENDENT CARE PLANS
33: If an employee participating in the Medical Expense and /or Dependent Care
Plan(s) doesn't have enough in his /her paycheck to cover his /her
deductions, what should they do?
A33: Contact their departmental human resource representative.
34: Will employees enrolled in the Medical Expense and /or Dependent Care
Plan(s) be allowed to cancel or change their enrollment during the furlough
period?
A34: No, the furlough is not an IRS - qualifying change in status event that would allow
an employee to change /cancel his /her enrollment and payroll deductions.
However, changes are allowable during the regular open enrollment period.
TEMPORARY DISABILITY INSURANCE BENEFITS
35: Will the furloughs affect the computation of Temporary Disability
Insurance (TDI) benefits or an employee's eligibility for TDI?
A35: No. The computation of the weekly benefit amount and determination of
eligibility are not affected by the furloughs. However, an employee shall not
be entitled to TDI on a furlough day since it is a non -pay, non -duty day and the
employee would not have earned any wages on that day. (HRS §392- 21(b).
ADDITIONAL FAQ
36. Will employees on leave without pay for disciplinary reasons be subject to
furlough?
A36. Yes. Suspension periods will not be lessened by the furlough. If an employee is
suspended for five (5) days and the period includes a designated furlough day, the
employee would be on a leave without pay status for a total of six (6) days.
37. Can employees choose their own furlough days?
A37. No, employees will follow the same furlough schedule. All County offices will be
closed on designated furlough days *.
HGEA
07/15/11
Page 8
*An alternate Furlough Plan has been approved for employees in positions where
operations must remain open for the safety of the public.
38. Can employees take a furlough day on a holiday?
A38. No, employees will follow the same furlough schedule with certain exceptions.
Employees cannot select furlough days or substitute a holiday for a designated
furlough day.
39. Will the furlough affect employees' step movement date?
A39. No, except for employees already on leave without pay status.
40. While on furlough, can employees perform his/her duties elsewhere (e.g.
telecommute, access computer remotely ?)
A40. No. Employees are not authorized to work on designated furlough days, other than
in the event of an emergency or other pressing operational need and the furlough
has been revoked by the supervisor.
41. Can employees volunteer or come in to work on their own time while on
furlough?
A41. No. Employees are not authorized to volunteer or come into work on designated
furlough days, paid or unpaid.
42. If the furlough falls on a pay day will employees be paid the day before?
A42. No. Payroll dates and pay ($) distribution will remain the same however, on furlough
days offices will be closed and therefore no one will be available to mail or physically
distribute pay statements or checks. Employees are encouraged to sign up for direct
deposit to eliminate any delay in receiving an actual check if a pay day falls on a
designated furlough day
43. If 1 am promoted or reallocated, how will the furlough reduction adjustment be
calculated?
A43. Adjustment for furlough will be based on the employee's hourly rate including shortage
pay as of the effective date of promotion or reallocation.
HGEA
07/15/11
Page 9
44. For employees on temporary assignment (TA), will their salary adjustment be
based on the regular base pay or the TA pay?
A44. Salary adjustment will be based on the employee's regular hourly rate.
45. If a furlough day occurs prior to or after an observed holiday, will employees be
paid for the holiday?
A45. Yes.
46. How will the furlough affect child support payments being deducted from an
employee's paycheck?
A46. The amount deducted for child support is set by court or administrative order. If the
paycheck does not cover the amount required to satisfy child support obligations, the
portion that is not deducted will be considered a delinquency and payment will need to
be sent directly to the Child Support Enforcement Agency at P.O. Box 1860, Honolulu,
Hawaii 96805 -1860.
47. If an employee's adjusted income due to furlough is not enough to cover health
benefit premium contributions, can employees elect to change or cancel their
health benefits coverage?
A47. No, furlough is not considered a qualifying event for changes or cancellation.
Changes or cancellations must be done during EUTF open enrollment.
48. What will happen to an employee's assigned parking if they do not have enough
in their paycheck to cover parking deductions?
A48. The employee's parking assignment will continue, provided they make any necessary
out -of- pocket payments for shortages to the Department of Public Works. The
Department of Public Works will notify departments of any shortages of parking
deductions. Contact Public Works Administration at 961 -8321 for additional
information regarding parking assignments and payments.
49. Are furloughed employees eligible for unemployment compensation?
A49. Eligibility for unemployment compensation is determined by the Department of Labor
and Industrial Relations, Unemployment Insurance Division, State of Hawaii
Department of Labor and Industrial Relations. For questions regarding
unemployment, contact the Hilo Unemployment Claims office at 808 - 974 -4086 or the
Kona Unemployment Claims office at 808 - 322 -4822.
EXHIBIT C
To: HGEA Employees in Bargaining Units (BU) 02, 03, 04, and 13
Until a supplemental agreement is executed, the County of Hawai'i will
implement the following interim measures.
Salary/Wages:
EUTF Premium Payments:
The salary schedule in effect on June 30, 2009
has been applied. In other words this returns
you to the pay before furloughs were
implemented.
No change to current ratio:
Employer Contribution 60%
Employee Contribution 40%
To: UPW Employees in Bargaining Unit 01
Until a new collective bargaining agreement is executed, the County of Hawai'i
will implement the following interim measures.
Salary/Wages:
EUTF Premium Payments:
The salary schedule in effect on June 30, 2009
has been applied. In other words this returns
you to the pay before furloughs were
implemented.
No change to current ratio:
Employer Contribution 60%
Employee Contribution 40%
To: HFFA Bargaining Unit 11 and SHOPO Bargaining Unit 12 Employees
Until a new agreement has been
the following interim measures.
Salary/Wages:
EUTF Premium Payments:
Distribution Date: July 15, 2011
executed, the County of Hawai'i will implement
The salary schedule in effect on June 30, 2011
has been applied. .
No change to current ratio:
Employer Contribution 60%
Employee Contribution 40%
DOMINIC YAGONG
Chairperson
llai+'ai'i County Council
.lulu 20, 2011
Exhibit "D"
Hawai`i County Council
County of Hawaii
25 Aupuni Sheet
Milo. Hawaii 96720
To: All Legislative Branch Exempt Staff
From: Dominic Yagong, Council Chairperson
Re: Furlough and Medical Expenses for All Exempt Legislative Branch Employees
Email: dyagong(n?co.hawaiihi.us
Phone: (808) 961 -8264
Fax: (808) 961 -8912
On July 13, 2011 Mayor William Y. Kenoi announced that a supplemental agreement had been reached
with the Ilawaii Government Employees Association (HGEA) for the contract period July 1, 2011 to
June 30, 2013. Mayor Kenoi also issued Executive Order No. 156 bringing the exempt employees in the
executive branch in line with the new supplemental HGEA agreement.
That agreement calls for 12 furlough days a year set to begin on July 29, 2011. Council action is required
in order to bring the legislative branch in line with this new HGEA agreement.
Because this matter cannot be heard before the Hawai`i County Council prior to July 29, 2011 I am taking
the following action as Chairperson to bring the legislative branch in line with the rest of the County of
1 Iawai`i.
1. An unpaid day of administrative leave is scheduled for July 29, 2011. Exempt legislative
branch employees should not report to work on July 29, 2011.
2, A resolution will be considered by the Hawai`i County Council on August 3, 2011 to authorize
23 furlough days to occur on the first Friday of each month beginning August 5, 2011. These
furlough days, plus the one day of unpaid administrative leave scheduled for July 29, 2011,
equals the 24 furlough days agreed upon by the Mayor and I-IGEA in the supplemental
agreement. This resolution will also set the division of the medical premium rates at 60% paid
by the county and 40% paid by the employee.
Our Accountant Joyce Unoki will be sending out instructions via email later this week for the completion
of timeshects to reflect this unpaid day off.
Should you have any questions please feel free to contact my office at extension 8538.
Warmest Aloha.
I)Y:sao
Serving the Interests of the People of Our Eland
/Iau�ai'1 County is an Equal Opportunity Provider and Employer
EXHIBIT "E"
COUNTY OF HAWAI'I
FURLOUGH PROGRAM
JULY 1, 2011 TO JUNE 30, 2013
LEGISLATIVE BRANCH
YEAR
MONTH
DATE OF
FURLOUGH
2011
July
29th*
2011
August
5th
2011
September
2nd
2011
October
7th
2011
November
4th
2012
December
2nd
2012
January
6th
2012
February
3rd
2012
March
2nd
2012
April
9th
2012
May
4th
2012
June
1st
2012
July
6th
2012
August
3rd
2012
September
7th
2012
October
5th
2012
November
2nd
2012
December
7th
2012
January
4th
2013
February
1st
2013
March
1st
2013
April
5th
2013
May
3rd
2013
June
7th
*The July 29, 2011 "furlough day" was
converted to an unpaid administrative leave day
per July 20, 2011 memo from Council Chairperson