CONSOLIDATE EXECUTIVE BRANCH

HUMAN RESOURCE OPERATIONS

House Bill 4148

Sponsor:  Rep. Philip LaJoy

Committee:  Employment Relations, Training, and Safety

Complete to 6-13-05

A SUMMARY OF HOUSE BILL 5190 AS INTRODUCED 2-2-05

The bill would create a new act, the Consolidated Human Resource Operations Act, to create a new office within the Department of Civil Service with the responsibility for leading state efforts to consolidate and reorganize all human resource operations within the executive branch of state government.  The bill specifies that upon completion of the organization and reorganization, all human resource operations authority, power, duties, functions, responsibilities, personnel, equipment, and budgeting resources in the executive branch, including payroll and benefit administration would have to be conducted within the newly created Office of Human Resource Operations.

Executive Branch.  The bill would define the term “executive branch” so as to exclude the Department of Attorney General and the Department of State.

Executive Director/Business Plan.  Under the bill, the state personnel director would be required to hire an executive director [for the new office] with expertise in human resource operations within 120 days after the bill takes effect.  The executive director would then create, develop, and implement a business plan and otherwise assist the office in consolidating and reorganizing human resource operations in the executive department into the office by September 30, 2005.  The business plan would have to outline and describe the duties, responsibilities, authority, powers, functions, personnel, equipment, and budgetary resources involved in the human resource operations of the executive branch of government as they are consolidated and recognized into the office, and specifically describe how redundancies were to be eliminated and how efficiencies were to be increased.  The business plan would also have to include a timetable for the consolidation and reorganization and an organization chart of human resource operations as they were consolidated and reorganized.

Office of Human Resource Operations.   Not later than September 30, 2005, the office would have to 1) develop standard operating procedures and policies that all executive branch human resource employees would have to follow as they conducted human resource activities; 2) develop service level agreements within the executive branch to ensure quality human resource activities; 3) determine the true costs of providing human resource services before the consolidation and reorganization; and 4) develop specific measurements to determine the true costs of human resource services after the consolidation and reorganization.  All executive branch departments and state agencies would have to cooperate with the office in completing its mission of providing quality human resource services.

Reports to Legislature.  The executive director of the Office of Human Resource Operations would be required to provide the House Committee on Employment Relations, Training and Safety and the Senate Committee on Government Operations with a report as to the progress of consolidating and reorganizing human resource operations every three months, beginning three months after the bill’s effective date, until the completion of the consolidation and reorganization.  Upon completion of this task, the executive director would have to provide the legislative committees with a report on the total savings achieved and the reduction in state employees, if any, due to the consolidation and reorganization.  The executive director would also have to report on the current status of human resource services in the office every six months for 18 months following consolidation and reorganization.

FISCAL IMPACT:

Initially there would be costs to the state for the establishment of the Office of Human Resource Operations, stemming from organizational expenses such as staff salaries and fringe benefits, office supplies, equipment, rent, utilities, telephones, printing, travel, etc.  The amount of additional costs is indeterminate and would depend upon how the bill was implemented and how existing resources were used.  When human resource operations in the executive branch were consolidated and reorganized, there would be a cost savings.  The amount of savings is indeterminate and depends on how the consolidation and reorganization was structured and the degree to which existing resources were utilized. 

                                                                                           Legislative Analyst:   E.Best/Chris Couch

                                                                                                  Fiscal Analyst:   Robin Risko

■ This analysis was prepared by nonpartisan House staff for use by House members in their deliberations, and does not constitute an official statement of legislative intent.