HB 1 and SF 2: SUPPLEMENTAL APPROPRIATIONS [state employee compensation amendments] -1997 General Session

Governor Geringer’s 1996-98 budget did not include an appropriation for state employee salary increases. However, an amendment to the 1996 budget bill provided an appropriation of $2.5 million for that purpose. State employees performing their jobs satisfactorily received $45/month increases beginning in April 1997.

In 1997, no salary increases were included in Governor Geringer’s supplemental budget represented in HB 1 and SF 2. The Senate amended the supplemental budget to provide that 50% of monies left in agency budgets at the end of the biennium in June 1998 would revert to the State Employee Compensation Commission (SECC) for raises.

The SECC is comprised of two legislators, one executive branch appointee, and two private industry representatives appointed by the governor and legislature. The SECC provides recommendations to the governor on state employee compensation issues.

The Senate also amended the bill to require the SECC to report to the Legislature on proposed modifications of the state employee pay plan.

However, the House deleted the Senate’s amendment directing the reversions to the SECC for raises on a 33-24 vote (3 excused), leaving no funds for raises.

Proponents of the amendment to delete all funding for raises (mistakenly) argued that, contrary to legislative direction, the SECC had recommended across-the-board increases rather than performance-based increases.

When this misunderstanding was straightened out, another House amendment restored funds for state employee raises, but lowered the percentage of unspent agency budgets to revert to the SECC from 50% to 30%.

Proponents argued that allocating 50% of reversions to state employee salary increases was too much. Those who supported the 50% level disagreed, but were faced with voting for 30% or nothing. The 30% amendment passed on third reading in the House, 50-9 (1 excused).

The nine representatives opposing the amendment to restore 30% of reversion funds for state employee salary increases were: Budd Betts (R-H22, Dubois), John Eyre (R-H18, Lyman), John Hines (R-H31, Gillette), George McMurtrey (R-H52, Rozet), Frank Philp (R-H34, Shoshoni), Tom Rardin (R-H46, Laramie), Bill Stafford (R-H3, Chugwater), Bob Tanner (R-H57, Casper), and Jeff Wasserburger (R-H32, Gillette).

Rep. Charles Hessenthaler (R-H26, Byron) was excused.

In conference committee, the House and Senate compromised on an amendment providing that 40% of the funds left in agency budgets at the end of the biennium would revert to the SECC for salary increases. They also kept the amendment requiring the SECC to report to the Legislature on its actions.