§ 143-345.21. State employee incentive bonus.
§ 143‑345.21. State employee incentive bonus.
(a) A State employee or team of State employees may receive anincentive bonus or bonuses in reward for suggestions or innovations resultingin monetary savings to the State, increased revenues to the State, or improvedquality of services delivered to the public.
(b) Repealed by Session Laws 2001‑424, s. 7.2(c).
(b1) The amount of savings generated by suggestions andinnovations shall be determined after a 12‑month period ofimplementation. No incentive bonus shall be paid prior to the expiration of 12months, and payment may be delayed further as reasonably required to ensurethat a complete cost implementation cycle is evaluated fully.
(c) Any savings are to be calculated using the actualexpenditures for a program, activity, or service compared to the budgetedamount for the same, if an amount has been budgeted for the program, activity,or service. The savings calculation shall include the amount of any reversionsin excess of the baseline reversion. Any savings realized through the StateEmployee Incentive Bonus Program shall be weighed against continued service tothe public and the assurance that there is not a negative impact on Stateprograms.
(d) If a suggestion or innovation affects a program, activity,or service for which no separate budgeted amount has been made, the StateCoordinator, in conjunction with the agency evaluator or agency fiscal officer,or both for that suggestion or innovation, shall determine the budgetary impactof the suggestion or innovation.
(e) Federal and local government funds and corporate andfoundation grant funds are excluded from the SEIBP.
(f) The Department of Administration shall establish the SEIBPreserve fund in which all savings for all suggestions shall be deposited asearned. Each participating agency shall be responsible for transferring savingsto the SEIBP reserve fund. The funds may be encumbered as needed to ensurepayment to the General Fund, to the suggester, and for distribution as requiredby G.S. 143‑345.22. The Department of Administration shall provide theSEIBP reserve fund summary at the close of each fiscal year to the Office ofState Budget and Management and to the participating agencies. The Office ofState Budget and Management shall have oversight responsibility for ensuringthat the required reversions and transfers are made to the General Fund, andthat all encumbered funds are accounted for and paid as required by law.
(g) No distribution of suggester awards shall occur untilreversion requirements to the General Fund are met and distributions asrequired by G.S. 143‑345.22 are satisfied and verified by the Office ofState Budget and Management. When all of the requirements of G.S. 143‑345.22are fulfilled, the Department of Administration shall transfer to thesuggester's agency funds required to award the suggester. The suggester'sagency shall make the suggestion award and ensure that all taxes andwithholding requirements are met.
(h) Implementation costs may be prorated over a maximum of threeyears for suggestions or innovations that are capital intensive, involveleading‑edge technology, or involve unconventional processes that requirelonger than 12 months for implementation. The amount of the average annualsavings minus the average annual implementation cost shall be used as the basisfor the agency to recommend a suggester award. The State Review Committee shallconsult the Office of State Budget and Management to make the final awarddetermination in these cases.
(i) There is established in the Department of Administration anonreverting fund to be administered by the Office of State Personnel for thetraining and education of permanent State employees to address specific missioncritical needs and objectives. Funds shall be credited from the SEIBP to thefund as provided by this Article. (1997‑513, s.2; 1998‑181, s. 5; 2001‑424, s. 7.2(c).)