(REPRINTED WITH ADOPTED AMENDMENTS)
FIRST REPRINT S.B. 85
Senate Bill No. 85–Senators Carlton, Titus, Wiener and Amodei
February 7, 2001
____________
Referred to Committee on Commerce and Labor
SUMMARY—Provides for study of disparity in compensation for state employees. (BDR S‑452)
FISCAL NOTE: Effect on Local Government: No.
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EXPLANATION
– Matter in bolded italics is new; matter
between brackets [omitted material] is material to be omitted.
Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).
AN ACT relating to employment; requiring the Governor to create a commission to study disparity of compensation paid to employees of this state; requiring the commission to report to the Legislature and the Governor; and providing other matters properly relating thereto.
Whereas, The Nevada Legislature in 1983, pursuant to the adoption of Assembly Concurrent Resolution No. 48, directed the Department of Personnel to study the criteria for determining salaries for persons in the classified service of this state; and
Whereas, As a result of that study, certain adjustments were made in the method for determining the salaries of persons employed by this state, but other recommendations regarding fair pay for persons employed by this state were not enacted; and
Whereas, The rate of turnover in state government has increased dramatically in recent years and that excessive rate of turnover has affected the productivity and services provided by state agencies to the residents of this state, and has increased the costs associated with recruiting qualified persons for employment by this state; and
Whereas, The difficulty in recruiting qualified persons for employment by this state impedes the agencies of this state in successfully complying with their duties and objectives; and
Whereas, Many state agencies have initiated costly formal training programs to provide their employees with the opportunity to gain the required knowledge, skills and abilities needed for their positions, but, because of the increased rate of turnover, have lost those trained employees to other employment outside of state service; and
Whereas, The high rate of turnover has reduced the continuity in service provided by state agencies to the residents of this state; and
Whereas, The purpose of the classification and compensation plan for persons employed by this state is to provide internal equity among the
various positions in state employment and to allow this state to maintain a competitive position with other employers in the public and private sector; and
Whereas, Current methods used to determine the compensation paid to persons employed by this state who hold the same positions of employment, or who hold positions of employment that are not similar but which require equivalent composites of skill, effort, responsibility and working conditions, have proven to be only partially effective; and
Whereas, It is the obligation of this state to provide the best service possible to its residents and to spend the taxpayers’ money in the most efficient means possible; now, therefore
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
1-1 Section 1. The purposes of this Act and the Fair Pay Commission for
1-2 State Employees are to:
1-3 1. Determine whether there is any disparity in compensation paid to
1-4 persons employed by this state;
1-5 2. Investigate the cause and extent of any disparate compensation paid
1-6 to the various persons employed by this state;
1-7 3. Develop reliable data concerning the causes and the extent of such
1-8 disparate compensation;
1-9 4. Educate the members of the public concerning the cause and extent
1-10 of any disparate compensation paid to persons employed by this state based
1-11 on differing genders, races or national origins; and
1-12 5. Make recommendations to the Governor and to the Legislature on
1-13 methods of eliminating and preventing disparate compensation paid to
1-14 persons employed by this state.
1-15 Sec. 2. 1. Not later than 60 days after July 1, 2001, the Governor
1-16 shall create a Fair Pay Commission for State Employees, consisting of 13
1-17 members appointed as follows:
1-18 (a) Nine members appointed by the Governor as follows:
1-19 (1) Two members who represent business interests in this state and
1-20 who are appointed from a list of persons nominated to serve on the
1-21 Commission by business organizations and trade associations in this state;
1-22 (2) Three members who represent employee organizations that
1-23 represent persons employed by this state;
1-24 (3) Two members from institutions of higher learning who have
1-25 experience and expertise in collecting and analyzing data concerning
1-26 disparities in compensation and whose research has already been used in
1-27 efforts to promote the elimination of those disparities;
1-28 (4) One member who represents the Department of Personnel; and
1-29 (5) One member who represents the general public.
1-30 (b) One member appointed by the Speaker of the Assembly.
1-31 (c) One member appointed by the Minority Leader of the Assembly.
1-32 (d) One member appointed by the Majority Leader of the Senate.
1-33 (e) One member appointed by the Minority Leader of the Senate.
2-1 2. The Commission shall apply for and receive gifts, grants and
2-2 donations from any public or private source to assist the Commission in
2-3 carrying out its duties. Any money received by the Commission pursuant to
2-4 this subsection must be:
2-5 (a) Accounted for separately; and
2-6 (b) Used, subject to any limitations contained in the gift, grant or
2-7 donation, to carry out the duties of the Commission.
2-8 3. The account created pursuant to subsection 2 must be administered
2-9 by the Director of the Department of Personnel.
2-10 4. The members of the Commission shall serve without compensation
2-11 or reimbursement of expenses until the balance in the account created
2-12 pursuant to subsection 2 is sufficient, as determined by the Director of the
2-13 Department of Personnel, to pay the expenses of the Commission. Once the
2-14 Director of the Department of Personnel has determined that the expenses
2-15 of the Commission may be paid from the account, each member is entitled
2-16 to receive:
2-17 (a) If the member is a legislator, for each day or a portion of a day
2-18 during which the member attends a meeting of the Commission or is
2-19 otherwise engaged in the business of the Commission, except during a
2-20 regular or special session of the Legislature, the:
2-21 (1) Compensation provided for a majority of the members of the
2-22 Legislature during the first 60 days of the preceding session;
2-23 (2) Per diem allowance provided for state officers and employees
2-24 generally; and
2-25 (3) Travel expenses provided pursuant to NRS 218.2207.
2-26 (b) If the member is not a legislator:
2-27 (1) A salary of $80 per day while attending a meeting of the
2-28 Commission or while otherwise engaged in the business of the
2-29 Commission; and
2-30 (2) The per diem allowance and travel expenses provided for state
2-31 officers and employees generally while engaged in the business of the
2-32 Commission.
2-33 5. The Commission shall:
2-34 (a) Appoint a chairman from among its members; and
2-35 (b) Meet at the times and places specified by the call of the chairman.
2-36 Sec. 3. 1. The Fair Pay Commission for State Employees shall
2-37 conduct a complete study of:
2-38 (a) The total compensation paid to persons employed by this state;
2-39 (b) The manner in which the amount of the compensation paid to those
2-40 employees is determined;
2-41 (c) The methods used to prepare, maintain and revise a classification
2-42 plan for all positions in the classified service of this state and for
2-43 determining the similarity of duties and responsibilities so that the same
2-44 qualifications may reasonably be required for, and the same schedule of
2-45 pay may be equitably applied to, all positions in the same class;
2-46 (d) The extent of any disparities in compensation paid to employees
2-47 who hold the same job or who hold jobs that are not similar but which
2-48 require equivalent composites of skill, effort, responsibility and working
2-49 conditions;
3-1 (e) The factors that cause or tend to cause the disparities described in
3-2 paragraph (d);
3-3 (f) The consequences of the disparities described in paragraph (d),
3-4 including, without limitation, the effect of such disparities on the economy
3-5 and on the families of the persons who receive disparately low
3-6 compensation; and
3-7 (g) Actions that are likely to lead to the elimination and prevention of
3-8 such disparities.
3-9 2. The study required by subsection 1 must include an external market
3-10 review comparing compensation paid to persons employed by this state to
3-11 compensation paid to employees of local governments, school districts and
3-12 private businesses who are employed in similar positions or in positions
3-13 that are not similar but require equivalent composites of skill, effort,
3-14 responsibility and working conditions.
3-15 3. The Commission shall, not later than 18 months after its members
3-16 are appointed, submit a report to the Legislature and to the Governor. The
3-17 report must:
3-18 (a) Include the results of the study;
3-19 (b) Include the results of the review required by subsection 2; and
3-20 (c) Provide recommendations for actions that would promote the
3-21 elimination and prevention of disparate compensation paid to persons
3-22 employed by this state based on differing genders, races or national origins,
3-23 including, without limitation, recommendations for legislation.
3-24 Sec. 4. This Act becomes effective on July 1, 2001, and expires by
3-25 limitation on July 1, 2003.
3-26 H