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HomeMy WebLinkAboutRES 117 Draft 02 2010-2012COUNTY OF HAWAII STATE OF HAWAII RESOLUTION NO. 117 11 (DRAFT 2) A RESOLUTION APPROVING THE COST ADJUSTMENTS AND BENEFITS FOR EXCLUDED EMPLOYEES OF THE LEGISLATIVE BRANCH OF THE COUNTY OF HAWAII 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 other terms and conditions of employment for their respective excluded public officers and employees; and 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, the board of regents, the Hawai`i health [systems] corporation board, the auditor, the ombudsman, and the director of the 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 in an appropriate bargaining unit under section HRS 89 -6 and, therefore, is not entitled to collective bargaining coverage under HRS 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; (4) For excluded employees under the same classification systems as employees within collective bargaining units, adjustments shall be not less than those (3) (5) 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: (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, 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 ". 3 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. Dated at Hilo , Hawai`i, this 3rd day of August , 2011. INTRODUCED BY: COUNCIL MEMBER, COUNTY OF HAWAII COUNTY COUNCIL County of Hawai Hilo, Hawai`i I hereby certify that the foregoing RESOLUTION was by the vote indicated to the right hereof adopted by the COUNCIL of the County of Hawaii on Anal IS t 3, 2011 ATTEST: COUNTY CLERK CHAIRPERSON & PRESIDIN 4 ROLL CALL VOTE Reference: C -295.2 /Waived FC RESOLUTION NO. 117 11 (DRAFT 2) AYES NOES ABS EX BLAS X FORD X HOFFMANN X IKEDA X ONISHI X PILAGO X SMART X ' YAGONG X YOSHIMOTO X 7 0 2 0 Reference: C -295.2 /Waived FC RESOLUTION NO. 117 11 (DRAFT 2) Exhibit "A" NOW, THEREFORE, I William P. Kenoi, Mayor of the County of Hawaii, 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: Moil), 1%o / Deputy Corporation Counsel County of Hawaii Hilo, Hawaii this day of ,2011 3 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 HAWAI'I 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 altemative 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: UNION: HAWAII GOVERNMENT EMPLOYEES AS • TION William P. Kenoi, its R -ndy Perreira, its Mayor Date: Executive Director Date: APPROVED AS TO FORM AND LEGALITY — -Lincoln . hid,:. its Corporation Counsel Date: 7-//' /// Hawaii County is an Eva( Opportwtity provider and Employer. July 2011 S M T W T F S 1 2_. 3 4 5 1 2 3 4 5 6 7 8 9 9 H 11 12 13 14 15 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 X 30 31 28 29 30 31 Holiday: Jul 4 Independence Day October 2011 S M T W T F S 1 2_. 3 4 5 4 1 2 3 4 5 6 X 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 24 25 26 27 28 Holiday: None January 2012 S M T W T F S 1 2_. 3 4 5 4 7 6 H: 8 9 10 11 12 8 9 10 11 12 13 14 15 ',16 17 18 19 20 21 20 H..; 22 23 24 25 26 22 23 24 25 26 27 28 29 30 31 30 FY 11 -12 FURLOUGH SCHEDULE Aucust2011 S S M T W T F S 2 1 2 3 4 X 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 14 15 16 17 18 H 20 21 22 23 24 25 26 27 28 29 30 31 27 28 29 30 Holiday: Aug 19, Statehood Day November 2011 S M T W T FS S 1 2 1 2 3 X 5 6 7 8 9 10 <1,1 12 12 13 14 15 16 -H 18 13 14 15 16 17 18 19 20 21 22 23 24 25 26 26 27 28 29 H 27 28 29 30 Holiday: Nov 11, Veterans' Day Nov 24. Thanksgiving Day February 2012 S M T W T FS S 1 2 3 1 2 X 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 29 H 29 30 31 30 31 26 27 28 29 Holiday: Jan 2, New Year's Day Holiday: Jan 16, Dr. Martin Luther K na. Jr. Da April 2012 S M T W T F S 1 2 3 4 5 •.L 7 8 X 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 29 30 31 30 31 Holiday: ApnI 6, Good Friday = Designated as a Furlough day County offices will be closed Feb 20. Presidents' Day May 2012 S M T W T F S 1 2 3 >i< 5 8 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 !.28: 29 30 31 30 31 H . Holiday: May 28, Memorial Day = State Holiday ATTACHMENT Al September 2011 S M T W T F S 1 X 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 H Holiday: Sep 5, Labor Day December 2011 S M T W T F S 1 X 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 '.26: 27 28 29 30 31 H Holiday: Dec 26, Christmas Day March 2012 S M T W T F S 1X X 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26,. 27 28 29 30 31 H. Holiday: Mar 26. Prince Kuhio Day June 2012 S M T W T F S X 2 3 4 5 6 7 8 9 10 _ :11':' 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 oliday: Jun 1 , King Kamehameha Day July 2012 S M T W T F S 1 2 3 4 5 X 7 7 8 9 H 11 X 13 14 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 30 31 31 25 26 27 28 29 30 Holiday: Jul 4 Independence Day October 2012 S M T W T F S 1 2 3 4 X 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 23 24 25 27 28 29 30 31 31 Holiday: None January 2013 S M T W T F S :..; 1 H 2 3 X 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 19 H. 21 22 23 24 25 27 28 29 30 31 31 25 26 27 28 29 30 FY 12 -13 FURLOUGH SCHEDULE August 2012 S M T W T F S :..; 2 1 2 X 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 17 H:: 19 20 21 H 23 19 20 21 22 23 24 25 26 27 28 29 30 31 25 26 27 28 29 30 oliday: Aug 17, Statehood Day November 2012 S M T W T F S :..; 2 3 4 X 2 4 4 - 6 7 8 9 11 .12; 13 14 15 16 17 17 H:: 19 20 21 22 23 18 19 20 21 22 23 24 24 25 26 27 11 H 25 26 27 28 29 30 oliday. Nov 6, Election Day Nov 12, Veterans' Day Nov 22, ThanksgNing Da February 2013 S M T W T F S 1 2 3 4 X 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18: 19 20 21 22 23 28 H` 30 29 30 31 29 24 25 26 27 28 H 30 31 Holiday: Jan 1, New Years Day Holiday. Jan 21, Dr. Martin Luther King, Jr. Dav April 2013 S M T W T F S 1 2 3 4 X 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 29 30 31 29 30 H''I H Holiday: None = Designated as a Furlough day County offices will be closed Feb 18, Presidents' Day May 2013 S M T W T F S 1 2 X 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 ; 27' 28 29 30 31 29 30 H''I H Holiday: May 27, Memorial Day = State Holiday ATTACHMENT A2 September 2012 S M T W T F S X 1 2 3 4 5 6 X 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 28 27 28 29 30 H''I H oIlaay: ep 3, Labor Day December 2012 S M T W T F S X 1 2 3 4 5 6)( 8 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 H''I H 30 31 ohday: Dec 25, Christmas Day March 2013 S M T W T F S X 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 .28 27 28 "28 30 30 H H 31 oIktay: sr 26, Prince Kuhlo Day Mar 29, Good Fri Juno 2013 S M T W T F S 1 2 3 4 5 6 X 8 9 10 11 , H. 12 13 14 15 18 17 18 19 20 21 22 23 24 25 26 27 28 29 30 oliday: Jun 1 , King Kamehameha Day h l t IIVICIV 10 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 Hawaii - 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 Q9)- 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 altemate 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 2 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 Departments 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 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 I 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 Ilawai'i County Council July 20, 2011 Exhibit "D" Hawaii County Council County of Hawaii 25 Aupuni Street 1/ilo. llawai'i 96720 To: All Legislative Branch Exempt Staff (Nvva u. Front: Dominic Yagong, Council Chairperson Entail: dyagong!i,Jco.hawait.hi.us Phone: (808) 961 -8264 Fax: (8081 961 -8912 Re: Furlough and Medical Expenses for All Exempt Legislative Branch Employees On July 13, 2011 Mayor William P. Kenoi announced that a supplemental agreement had been reached with the Hawaii 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 Hawaii 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 lawai'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 Hawaii 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 1-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 ol'timcshects 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 of7he People of Our island /Iau ai'i 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