TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager
SUBJECT: Project Pay
BRIEFING ITEM
RECOMMENDED ACTION(S):
Title
Consider receiving a report on current and projected usage of Project Pay. [Requested by Director Shaw - 10/9/19]
Body
STRATEGIC IMPORTANCE:
Goal - High-Performing Workforce
Initiative - Employee Recruitment, Training and Retention
Project Pay assists with retaining current employees who take on additional project duties outside their scope of work, by providing additional compensation.
BUDGETARY/FISCAL IMPACT:
This report has no fiscal impact, as it is informational. Project Pay compensation, once approved for an employee, is up to ten percent (10%) of his/her base salary. The costs of project pay over the last two years are provided in the attachments.
BACKGROUND/RATIONALE:
Project Pay can be authorized for both unrepresented employees and AFSCME employees and is incorporated into Section 2.8 of Board Policy 296 and Article 17.7 of the District’s Collective Bargaining Agreement with AFSCME. The definition of Project Pay is similar for both unrepresented and AFSCME employees, and it is defined, in general, as additional compensation for project-based work outside of the usual scope of work. In addition, the work should be of significant complexity and impact.
In January of 2019, the Project Pay Standard Operating Procedure and Request Form was revised to create uniformity with the process of requesting and approving Project Pay. Project Pay is generally not budgeted for, as it is not guaranteed and considered discretionary. The current process requires Budget signature to ensure available funds, as well as executive and Human Resources approval. The final approval is granted by the General Manager. Project Pay must be renewed every six months if the requesting manager would like it to continue.
In the last two (2) years, a total of twenty-three (23) employees have been approved for Project Pay. Currently, there are twelve (12) employees on Project Pay, six of which are expected to continue. The Project Pay for these six employees will need to be renewed and approved in January 2020 for continuation.
ADVANTAGES/DISADVANTAGES:
There are no advantages or disadvantages to this report, as it is informational only.
ALTERNATIVES ANALYSIS:
There is no alternative analysis, as this report is informational only.
PRIOR RELEVANT BOARD ACTION/POLICIES:
None.
ATTACHMENTS:
1. Project Pay Current and Last 2 Years
2. Board Policy 296 Section 2.8
3. AFSCME Contract Article 17.7 Project Pay
4. Project Pay SOP
5. Request for Project Pay
Prepared by:
Emily Cruz, Senior Human Resources Administrator
In Collaboration with:
Anne Kennedy Hayes, Management Analyst
Approved/Reviewed by:
Denise C. Standridge, General Counsel
Claudia L. Allen, Chief Financial Officer
Nathaniel Kramer, Acting Executive Director of Human Resources