Agenda - 06-19-2012 - 5p - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: June 19, 2012 Action Agenda Item No. 5- � SUBJECT: Reconciliation of Longevity Over /Underpayments Since January 1, 2004 DEPARTMENT: Finance and Administrative PUBLIC HEARING: (Y /N) No Services ATTACHMENT(S): 1. Orange County Personnel Ordinance, Article IV, Section 28 -48 INFORMATION CONTACT: Clarence Grier, Finance and Administrative Services Director, (919) 245 -2453 Sharon Goode Laisure, Interim Human Resources Director, (919) 245 -2552 PURPOSE: To approve approximately $15,500 in longevity overpayments issued from FY 2006 -07 through FY 2011 -12, to 12 employees and not require repayment, and to approve the issuance of longevity payments totaling $1,066 to two employees who were underpaid longevity from FY 2004 -05 through 2007 -08. BACKGROUND: In July 2003, the County implemented the Munis business system to store personnel data, such as employment dates, prior Orange County service, and pay rates, and to process payroll. As staff transitions occurred, institutional knowledge regarding original configurations in Munis was lost and staff began utilizing date fields (which store information for Longevity Pay calculations) in a different manner than originally intended. The variation in the way data was entered and stored only affected some employees with prior Orange County service who worked for Orange County, left employment and were rehired. Currently, there are 58 active permanent employees with a break in service due to separate periods of employment with Orange County. Of these employees, 29 have ten or more years of Orange County service and are eligible to receive Longevity Pay in accordance with Article IV, Section 28-48 of the Orange County Personnel Ordinance (Attachment 1). Human Resources and Financial Services staff identified discrepancies in Munis longevity reports generated by each department. Munis created a Support Team that was tasked with determining how the County's business system was designed to pay longevity. The Team identified the original payment configuration and reported it is unusual for Munis to calculate longevity payments in this manner for an organization. Due to the way staff have entered employment dates for employees with prior Orange County service, Munis's longevity calculation method resulted in paying some employees improperly (at either a higher rate than eligible and /or on the incorrect date). This resulted in overpayments to approximately 6 employees each year since 2007 (just under 2% of all employees who have received Longevity Pay each year) for an average total of $3,000 per year.