OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http: //www.cga.ct.gov/ofa

sHB-5312

AN ACT CREATING A PROCESS FOR FAMILY CHILD CARE PROVIDERS AND PERSONAL CARE ATTENDANTS TO COLLECTIVELY BARGAIN WITH THE STATE.

AMENDMENT

LCO No.: 4499

File Copy No.: 586

House Calendar No.: 186

Senate Calendar No.: 417

OFA Fiscal Note

State Impact: See Below

Municipal Impact: None

Explanation

The amendment eliminates longevity payments for non-union state employees. This provision is estimated to save approximately $11.9 million for all appropriated funds in FY 13 and in FY 14. Savings would also be achieved by the respective pension systems by excluding these payments from pension calculations. This may result in a lower annual required contribution. The extent of the actual annual savings to the pension system would be recognized in future actuarial valuations.

The amendment also prohibits longevity payments in future collective bargaining agreements as of FY 13. Contracts for two bargaining units will expire at the end of FY 12. Contracts for the majority of unionized state employees expire at the end of FY 16. Assuming collective bargaining approval, savings would be achieved to the extent that longevity payments are eliminated in new contracts for these units. Longevity payments for unionized state employees are estimated to be approximately $16.8 million for all appropriated funds in FY 13.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.