DAR File No. 28684

Human Resource Management, Administration

R477-10

Employee Development

NOTICE OF PROPOSED RULE

DAR File No.: 28684
Filed: 04/28/2006, 10:52
Received by: NL

RULE ANALYSIS

Purpose of the rule or reason for the change:

Amendments to this rule eliminate the highest level performer program, make substantial changes to the state policy on corrective action, and clarify what monies are reimbursed to an employee who participates in an agency educational assistance program.

Summary of the rule or change:

Amendments to Section R477-10-1 delete the option for an agency to establish a highest level performer program. Amendments to Section R477-10-2 are a significant change in state policy. Agencies will now be required to consult with the Department of Human Resource Management (DHRM) prior to imposing corrective action. A written plan will now be just one of several options for corrective action. Criteria are provided in rule that define an appropriate written plan. Other options for corrective action are deleted; referral for personal counseling, career counseling and outplacement, and a period of constant review. Agency management will also be required to notify an employee who successfully completes corrective action that discipline will be imposed if the employee reverts back to the behavior that resulted in the corrective action. Amendments to Section R477-10-5 clarify that an employee will not be reimbursed for educational expenses paid with scholarships, subsidies, or grants while participating in the state-sponsored education assistance program.

State statutory or constitutional authorization for this rule:

Sections 67-19-6 and 67-19-12.4

Anticipated cost or savings to:

the state budget:

A small savings may accrue to the state because an employee will no longer be eligible for educational reimbursement for expenses paid with scholarships, subsidies or grants.

local governments:

This rule only affects the executive branch of state government and will have no impact on local governments. DHRM has authority to write rules only to the extent allowed by the Utah Personnel Management Act, Title 67, Chapter 19. This act limits the provisions of career service and these rules to employees of the executive branch of state government.

other persons:

This rule only affects the executive branch of state government and will have no impact on other persons. DHRM has authority to write rules only to the extent allowed by the Utah Personnel Management Act, Title 67, Chapter 19. This act limits the provisions of career service and these rules to employees of the executive branch of state government.

Compliance costs for affected persons:

This rule only affects agencies of the executive branch of state government. DHRM has authority to write rules only to the extent allowed by the Utah Personnel Management Act, Title 67, Chapter 19. This act limits the provisions of career service and these rules to employees of the executive branch of state government.

Comments by the department head on the fiscal impact the rule may have on businesses:

Rules published by DHRM have no direct effect on businesses or any entity outside state government. DHRM has authority to write rules only to the extent allowed by the Utah Personnel Management Act, Title 67, Chapter 19. This act limits the provisions of career service and these rules to employees of the executive branch of state government. The only possible impact may be a very slight, indirect effect if an agency passes costs or saving on to business through fees. However, it is anticipated that the minimal costs associated with these changes will be absorbed by agency budgets and will have no affect on business. Jeff Herring, Executive Director

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Direct questions regarding this rule to:

Linda Cooper or Conroy Whipple at the above address, by phone at 801-538-3208 or 801-538-3067, by FAX at 801-538-3081 or 801-538-3081, or by Internet E-mail at LKCOOPER@utah.gov or cwhipple@utah.gov

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

06/14/2006

This rule may become effective on:

07/01/2006

Authorized by:

Jeff Herring, Executive Director

RULE TEXT

R477. Human Resource Management, Administration.

R477-10. Employee Development.

R477-10-1. Performance Evaluation.

Agency management shall develop an employee performance management system consistent with these rules and subject to approval by the Executive Director, DHRM. The Executive Director, DHRM, may authorize exceptions to provisions of this rule consistent with R477-2-2. For this rule, the word employee refers to a career service employee, unless otherwise indicated.

(1) An acceptable performance management system shall satisfy the following criteria:

(a) Performance standards and expectations for each employee shall be specifically written in a performance plan by August 30 of each fiscal year.

(b) Managers or supervisors provide employees with regular verbal and written feedback based on the standards of performance and conduct outlined in the performance plan.

(c) Each employee shall be informed concerning the actions to be taken, time frames, and the supervisor's role in providing assistance to improve performance and increase the value of service.

(d) Each employee shall have the right to include written comment with his performance evaluation.

(e) Agency management shall select a performance management rating system or a combination of systems by August 30 to be effective for the entire fiscal year. The rating system shall be one or more of the following:

TABLE

SYSTEM      # RATING               POINTS

 1           Pass                   2

             Fail                   0

 2           Exceptional            3

             Successful             2

             Unsuccessful           0

 3           Exceptional            3

             Highly Successful      2.5

             Successful             2

             Unsuccessful           0

 4           Exceptional            3

             Highly Successful      2.5

             Successful             2

             Marginal               1

             Unsuccessful           0

[(2) In addition to the above ratings, agency management may establish a rating category for highest level performers under the following conditions:

(a) Each employee who receives this rating shall receive a performance rating of 4.

(b) Agencies shall devise and publish the criteria they will use to select the highest level performers by August 30 of each year. Selection criteria for non-supervisory employees shall be comparable to the Utah Code 67-19c-101(3)(c). Selection criteria for supervisory or management employees shall be comparable to "The Manager of the Year Award."

(3)](2) Each state employee shall receive a performance evaluation effective on or before the beginning of the first pay period of each fiscal year.

(a) A probationary employee shall receive a performance evaluation at the end of the probationary period and again prior to the beginning of the first pay period of the fiscal year.

[(4)](3) The employee shall sign the evaluation. Signing the evaluation only means that the employee has reviewed the evaluation. Refusal to sign the evaluation shall constitute insubordination, subject to discipline.

(a) The evaluation form shall include a space for the employee's comments. The employee may comment in writing, either in the space provided or on a separate attachment.

R477-10-2. Corrective Action.

When an employee's performance does not meet established standards due to failure to maintain skills, incompetence, or inefficiency, and after consulting with DHRM, agency management [shall]may take appropriate, and documented[, and clearly labeled] corrective action in accordance with the following rules:

(1) The supervisor shall discuss the substandard performance with the employee [to discover the reasons and to develop ]and determine[ an] appropriate[ written] corrective action[ plan]. [The]If a written corrective action plan is developed or a written warning issued, the employee shall sign the[ written corrective action] plan or the warning to certify that it has been reviewed. Refusal to sign the corrective action plan or warning shall constitute insubordination subject to discipline.[ An employee shall have the right to submit written comment to accompany the corrective action plan.]

(2) An employee shall have the right to submit written comment to accompany the corrective action plan.

([a]3) Corrective actions shall include one or more of the following:

(a) a written plan to include the following elements;

(i) a designated period of time for improvement;

(ii) performance expectations;

(iii) closer supervision to include regular feedback of the employee's progress;

(iv) disciplinary action for failure to improve; and,

(v) written performance evaluation at the conclusion of the corrective action plan.

([i]b) closer supervision;

([ii]c) training;[

(iii) referral for personal counseling by an agency head's approved designee;]

([iv]d) reassignment;

([v]e) use of appropriate leave;[

(vi) career counseling and outplacement;

(vii) period of constant review;]

([viii]f) opportunity for remediation;

([ix]g) written warnings.

[(2) The supervisor shall designate an appropriate corrective action period and shall provide periodic evaluation of the employee's progress.

(3) At the conclusion of corrective action, a formal performance evaluation shall be written and documented in the personnel record.

(4) When the corrective action plan is completed and the employee has not demonstrated improved performance that is satisfactory, the employee shall be disciplined according to R477-11. The written record of the corrective action shall satisfy the requirement of Section 67-19-18(1).](4) Following successful completion of corrective action, the supervisor shall notify the employee of disciplinary consequences for a recurrence of the deficient work performance.[

(5) DHRM shall provide assistance to agency management upon request.]

R477-10-5. Education Assistance.

State agencies may assist an employee in the pursuit of educational goals by granting administrative leave to attend classes, a subsidy of educational expenses, or both.

(1) Prior to granting education assistance, agencies shall establish policies which shall include the following conditions:

(a) The educational program will provide a benefit to the state.

(b) The employee shall successfully complete the required course work or the educational requirements of a program.

(c) The employee shall agree to repay any assistance received if the employee resigns from state employment within 12 months of completing educational work.

(d) Education assistance shall not exceed $5,250 per employee in any one calendar year unless approved in advance by the agency head.

(e) The employee shall disclose all [sources of funding being received]scholarships, subsidies and grant monies provided to the employee for the educational program.

(i) Except for funding that must be repaid by the employee, the amount reimbursed by the State may not include funding received from[ other] sources in R477-10-5(1)(e).

(2) Agency management shall be responsible for determining the taxable or nontaxable status of educational assistance reimbursements.

(3) Agencies may offer educational assistance to law enforcement and correctional officers consistent with section 67-19-12.2 and with these criteria:

(a) The program shall comply with R477-10-5(1) and R477-10-5(2).

(b) The program shall be published and available to all qualified employees. To qualify:

(i) The employee's job duties shall satisfy the conditions of subsection 67-19-12.2 (1).

(ii) The employee shall have completed probation.

(iii) The employee shall maintain a grade point average of at least 3.0 or equivalent from an accredited college or university.

(c) The program may provide additional compensation for an employee who completes a higher degree on or after April 30, 2001, in a subject area directly related to the employee's duties. If this policy is adopted, then:

(i) Two steps shall be given for an associate's degree.

(ii) Two steps shall be given for a bachelor's degree.

(iii) Two steps shall be given for a master's degree.

KEY: educational tuition, employee performance evaluations, employee productivity, training programs

Date of Enactment or Last Substantive Amendment: [July 2, 2005]2006

Notice of Continuation: June 11, 2002

Authorizing, and Implemented or Interpreted Law: 67-19-6; 67-19-12.4

ADDITIONAL INFORMATION

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For questions regarding the content or application of this rule, please contact Linda Cooper or Conroy Whipple at the above address, by phone at 801-538-3208 or 801-538-3067, by FAX at 801-538-3081 or 801-538-3081, or by Internet E-mail at LKCOOPER@utah.gov or cwhipple@utah.gov

For questions about the rulemaking process, please contact the Division of Administrative Rules (801-538-3764). Please Note: The Division of Administrative Rules is NOT able to answer questions about the content or application of these administrative rules.