OFFICE OF PERSONNEL Budget Formulation Considerations The new personnel system for the District of Columbia was established by the District of Columbia Government Comprehensive Merit Personnel Act (hereafter referred to as the Act), which was adopted by the D.C. Council on November 22, 1978. After approval by the Mayor and consideration by the Congress of the United States, the Act became effective on March 3, 1979. The Act requires the separation of the District's personnel system The Act also requires the establishment of a new D.C. Office of Personnel, and the transfer to that Office all personnel positions, staff and related resources previously assigned to the agencies subordinate to the Mayor. The act authorizes a broadening of the scope of collective bargaining with labor organizations to include compensation and many other conditions of employment not previously subject to negotiation. The Act creates a Public Employee Relations Board to replace the Board of Labor Relations, and a new Office of Employee Appeals. The Mayor is required to issue extensive regulations to carry out the several Titles of the Act. Program Service Implications of FY 1981 Budget Decisions Implementation of the Act is a large and complex project. The numer- General SCHEDULE 1 OPERATING functions include, but are not limited to the examining program for new employees, the disability compensation program, the establishment of pay rates and employee benefits, and the development of personnel policy. Personnel functions formerly performed by the District must be redefined and new administrative procedures developed. Agreements are being negotiated with Federal agencies under which they will continue to provide personnel services to the District during the transition period, will provide assistance to the District in establishing the independent system, and will transfer to the District the resources allocated to them for performance of the functions being transferred. Assignment of the new personnel functions and the transfer of existing District personel functions and resources to the new D.C. Office of Personnel has required the design and establishment of a major new organization in the Executive Office of the Mayor. An entirely new central office structure has been designed, together with a restructured field operation. The specific functions, the staffing requirements and the support costs have been defined for each of the new components of the Office of Personnel. All of these mandated responsibilities are being carried out with the least possible increase in the cost of personal administration by the District of Columbia Government. As described in the following sections, a number of steps have been taken to make the most effective use of the positions and funds being transferred to the new Office of Personnel from the agencies subordinate to the Mayor. As a result of these cost containment actions, the appropriation request for FY 1981 is only the existing positions and funds being transferred to it; no increase is requested. Implementation Strategy and Cost Reduction Opportunities Implementation of the personnel system mandated by D.C. Law 2-139, prevents cost reduction below current funded levels. However, in order to contain the cost, a number of actions have been taken: (1) Early Optional PAGE 18-1 Retirement. Authority has been granted for personnel office employees to Program Priorities for FY 1981 The personnel program reflected in the budget consists of statutorily mandated activities. They include the maintenance of current activities Fund General and the carrying out of the new functions, which affect the welfare of each District employee, and the effectiveness of every District operation. SCHEDULE 1 OPERATING Given the nature of the personnel functions, and the actions being taken Federal Funds Summary This request assumes that there will be no change in the amount of This request also assumes no change in the annual allotment of the The request assumes that the supplemental private and Federal loans PAGE BE-2 |