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HB 112: "An Act relating to compensation for certain public officials, officers, and employees not covered by a collective bargaining agreement; establishing a two-week pay period for state employees who are not covered by a collective bargaining agreement; and providing for an effective date."

00                             HOUSE BILL NO. 112                                                                          
01 "An Act relating to compensation for certain public officials, officers, and employees not                              
02 covered by a collective bargaining agreement; establishing a two-week pay period for                                    
03 state employees who are not covered by a collective bargaining agreement; and                                           
04 providing for an effective date."                                                                                       
05 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
06    * Section 1.  AS 18.56.070 is amended to read:                                                                     
07            Sec. 18.56.070. Personnel exempt from State Personnel Act. The executive                               
08       director and employees [PERSONNEL] of the corporation are in the exempt service                           
09       under [EXEMPT FROM] AS 39.25.                                                                                 
10    * Sec. 2.  AS 24.10.060(c) is amended to read:                                                                     
11            (c)  Except as provided in (e) of this section for hourly employees, all                                     
12       employees of the legislature are employed subject to                                                              
13                 (1)  classification and wage plans based on the merit principle and                                     
14       adapted to the special needs of the legislature, including limitations on pay                                 
01       increments comparable to the limitations on pay increments under                                              
02       AS 39.27.011(h); and                                                                                          
03                 (2)  the general state laws regarding leave and retirement.                                             
04    * Sec. 3. AS 31.25.065 is amended to read:                                                                         
05            Sec. 31.25.065. Personnel exempt from State Personnel Act. The executive                               
06       director and employees [PERSONNEL] of the corporation are in the exempt service                           
07       under [EXEMPT FROM] AS 39.25.                                                                                 
08    * Sec. 4.  AS 39.25.110(11) is amended to read:                                                                    
09                 (11)  the executive director and employees [OFFICERS AND                                            
10       EMPLOYEES] of the following boards, commissions, and authorities:                                                 
11                      (A)  [REPEALED]                                                                                    
12                      (B)  Alaska Permanent Fund Corporation;                                                            
13                      (C)  Alaska Industrial Development and Export Authority;                                           
14                      (D)  Alaska Commercial Fisheries Entry Commission;                                                 
15                      (E)  Alaska Commission on Postsecondary Education;                                                 
16                      (F)  Alaska Aerospace Corporation;                                                                 
17                      (G)  [REPEALED]                                                                                    
18                      (H)  Alaska Gasline Development Corporation and subsidiaries                                       
19            of the Alaska Gasline Development Corporation;                                                           
20                      (I)  Alaska Housing Finance Corporation;                                                       
21                      (J)  Alaska Energy Authority;                                                                
22    * Sec. 5. AS 39.25.110(18) is amended to read:                                                                     
23                 (18)  the executive director and employees of the Alaska Seafood                                    
24       Marketing Institute;                                                                                              
25    * Sec. 6. AS 39.25.110(26) is amended to read:                                                                     
26                 (26)  professionally credentialed investment officers [IN THE                                       
27       DEPARTMENT OF REVENUE];                                                                                           
28    * Sec. 7. AS 39.25.110 is amended by adding new subsections to read:                                               
29            (b)  The maximum salary of a position under (a) of this section except for                                   
30       (a)(1) - (3) and (a)(40) is $300,000 a year.                                                                      
31            (c)  An agency or department with exempt positions in (a) of this section may                                
01       adopt a salary schedule for the positions. The salary schedule shall be submitted for                             
02       approval to the director of the office of management and budget.                                                  
03            (d)  All salary increases and bonuses for exempt positions not subject to an                                 
04       approved salary schedule under (c) of this section must be approved by the director of                            
05       the office of management and budget.                                                                              
06    * Sec. 8. AS 39.25.120(c) is amended to read:                                                                      
07            (c)  The following positions in the state service constitute the partially exempt                            
08       service:                                                                                                          
09                 (1)  deputy and assistant commissioners of the principal departments of                                 
10 the executive branch, including the assistant adjutant general of the Department of                                     
11       Military and Veterans' Affairs;                                                                                   
12 (2)  the directors of the major divisions of the principal departments of                                               
13 the executive branch and the regional directors of the Department of Transportation                                     
14       and Public Facilities;                                                                                            
15 (3)  attorney members of the staff of the Department of Law, of the                                                     
16 public defender agency, and of the office of public advocacy in the Department of                                       
17       Administration;                                                                                                   
18 (4)  one private secretary for each head of a principal department in the                                               
19       executive branch;                                                                                                 
20 (5)  employees of councils, boards, or commissions established by                                                       
21 statute in the Office of the Governor or the office of the lieutenant governor, unless a                                
22       different classification is provided by statute;                                                                  
23 (6)  not more than two special assistants to the commissioner of each of                                                
24 the principal departments of the executive branch, but the number may be increased if                                   
25 the partially exempt service is extended under AS 39.25.130 to include the additional                                   
26       special assistants;                                                                                               
27 (7)  the principal executive officer of the following boards, councils, or                                              
28       commissions:                                                                                                      
29                      (A)  Alaska Public Broadcasting Commission;                                                        
30                      (B)  Professional Teaching Practices Commission;                                                   
31                      (C)  Parole Board;                                                                                 
01                      (D)  Board of Nursing;                                                                             
02                      (E)  Real Estate Commission;                                                                       
03                      (F)  Alaska Royalty Oil and Gas Development Advisory Board;                                        
04                      (G)  Alaska State Council on the Arts;                                                             
05                      (H)  Alaska Police Standards Council;                                                              
06                      (I)  Alaska Commission on Aging;                                                                   
07                      (J)  Alaska Mental Health Board;                                                                   
08                      (K)  State Medical Board;                                                                          
09                      (L)  Governor's Council on Disabilities and Special Education;                                     
10                      (M)  Advisory Board on Alcoholism and Drug Abuse;                                                  
11                      (N)  Statewide Suicide Prevention Council;                                                         
12 (O)  State Board of Registration for Architects, Engineers, and                                                         
13            Land Surveyors;                                                                                              
14                      (P)  Alaska Health Care Commission;                                                                
15                      (Q)  Board of Pharmacy;                                                                            
16                 (8)  Alaska Pioneers' Home and Alaska Veterans' Home managers;                                          
17                 (9)  hearing examiners in the Department of Revenue;                                                    
18 (10)  the comptroller in the division of treasury, Department of                                                        
19       Revenue;                                                                                                          
20 (11)  airport managers in the Department of Transportation and Public                                                   
21       Facilities employed at the Anchorage and Fairbanks International Airports;                                        
22 (12)  the deputy director of the division of insurance in the Department                                                
23       of Commerce, Community, and Economic Development;                                                                 
24 (13)  the executive director and staff of the Alaska Public Offices                                                     
25       Commission;                                                                                                       
26 (14)  the rehabilitation administrator of the division of workers'                                                      
27       compensation;                                                                                                     
28 (15)  guards employed by the Department of Public Safety for                                                            
29       emergencies;                                                                                                      
30                 (16)  marine pilot coordinator of the Board of Marine Pilots;                                           
31 (17)  guards employed by the Department of Corrections, other than in                                                   
01       state correctional facilities, to carry out the responsibility of the commissioner of                             
02       corrections under AS 33.30.071(b);                                                                                
03                 (18)  hearing officers and administrative law judges of the Regulatory                                  
04       Commission of Alaska;                                                                                             
05                 (19)  the compact administrator appointed under AS 33.36.130;                                           
06                 (20)  the chief administrative law judge and administrative law judges                                  
07       of the office of administrative hearings;                                                                         
08                 (21)  the executive secretary of the Board of Public Accountancy;                                   
09                 (22)  persons employed in a professional capacity to make a                                         
10 temporary or special inquiry, study, or examination as authorized by the                                            
11       governor;                                                                                                     
12                 (23)  labor relations analysts in the Department of Administration.                                 
13    * Sec. 9. AS 39.27.011(h) is amended to read:                                                                      
14 (h)  Pay increments, computed at the rate of 3.25 percent of the employee's                                             
15 base salary, shall be provided to the employee after the [AN] employee has remained                             
16 in the final step of [WITHIN] a given range for three [TWO] years, and every three                          
17 [TWO] years thereafter, if, at the time the employee becomes eligible for the                                           
18 increment, the employee's current annual rating by the employee's supervisors is                                        
19       designated as "good" or higher.                                                                                   
20    * Sec. 10. AS 39.27.012 is amended to read:                                                                    
21 Sec. 39.27.012. Temporary salary schedules; pay periods. The director of                                          
22 the division of personnel may establish salary schedules providing lesser amounts than                                  
23 those in the basic salary schedule in order to meet salary limit requirements for receipt                               
24 and expenditure of federal funds. [SALARY RATES ESTABLISHED UNDER                                                       
25 AUTHORITY OF THIS SECTION DO NOT AFFECT THE SALARIES OF                                                                 
26 EMPLOYEES PROVIDED FOR BY A COLLECTIVE BARGAINING                                                                       
27 AGREEMENT NEGOTIATED UNDER THE AUTHORITY OF AS 23.40.070 -                                                              
28       23.40.260 (PUBLIC EMPLOYMENT RELATIONS ACT).]                                                                   
29    * Sec. 11. AS 39.27.012 is amended by adding new subsections to read:                                              
30 (b)  The director of the division of personnel may establish a two-week pay                                             
31 period for biweekly payment of a monthly salary under AS 39.27.011. The director                                        
01       shall determine the amount paid biweekly based on                                                                 
02                 (1)  an annual salary equal to the monthly salary multiplied by 12;                                     
03                 (2)  a rate of hourly pay equal to the annual salary divided by 1,975.50,                               
04       for an employee subject to a normal work week of 37.5 hours, or the annual salary                                 
05       divided by 2,088, for an employee subject to a normal workweek of 40 hours;                                       
06                 (3)  a rate of daily pay equal to the hourly pay multiplied by the number                               
07       of hours in the employee's normal work day;                                                                       
08                 (4)  a rate of weekly pay equal to the hourly rate multiplied by 37.5, for                              
09       an employee subject to a normal work week of 37.5 hours, or the hourly rate                                       
10       multiplied by 40, for an employee subject to a normal work week of 40 hours; and                                  
11 (5)  a rate of biweekly pay equal to the hourly rate multiplied by 75, for                                              
12 an employee subject to a normal work week of 37.5 hours, or the hourly rate                                             
13       multiplied by 80, for an employee subject to a normal work week of 40 hours.                                      
14 (c)  This section does not apply to an employee in a bargaining unit                                                    
15 represented by an organization under AS 23.40.070 - 23.40.260 (Public Employment                                        
16       Relations Act).                                                                                                   
17    * Sec. 12.  AS 39.25.110(9) is repealed.                                                                           
18    * Sec. 13. The uncodified law of the State of Alaska is amended by adding a new section to                         
19 read:                                                                                                                   
20 APPLICABILITY. This Act does not apply to individual employment contracts                                               
21 entered into before July 1, 2019.                                                                                       
22    * Sec. 14. The uncodified law of the State of Alaska is amended by adding a new section to                         
23 read:                                                                                                                   
24 TRANSITION. Agencies and departments shall submit to the director of the office of                                      
25 management and budget a list of all exempt positions and salaries of exempt positions that                              
26 exist on the effective date of this Act for review and approval. Agencies and departments may                           
27 also submit proposed salary schedules for exempt positions.                                                             
28    * Sec. 15. The uncodified law of the State of Alaska is amended by adding a new section to                         
29 read:                                                                                                                   
30 TRANSITION: REGULATIONS. The commissioner of administration or the                                                      
31 personnel board may adopt regulations necessary to implement the respective changes made                                
01 by this Act. The regulations are not subject to AS 44.62 (Administrative Procedure Act).                                
02    * Sec. 16. This Act takes effect July 1, 2019.