Colorado § 24-50-104 - Job evaluation and compensation - state employee reserve fund - created - study - report - definitions.

§ 24-50-104. Job evaluation and compensation - state employee reserve fund - created - study - report - definitions.

(1) Total compensation philosophy.

(a) (I) It is the policy of the state to provide innovative total compensation that meets or exceeds total compensation provided by public or private sector employers or a combination of both, to officers and employees in the state personnel system to ensure the recruitment, motivation, and retention of a qualified and competent workforce. For purposes of this section, "total compensation" includes, but is not limited to, salary, group benefit plans, retirement benefits, step pay, incentives, premium pay practices, and leave as specified in statute or in policies of the state personnel director. For purposes of this section, "group benefit plans" means group benefit coverages as described in section 24-50-603 (9). Any monetary components of total compensation are subject to available appropriations by the general assembly.

(II) The state personnel director shall establish technically and professionally sound survey methodologies to assess total compensation practices, levels, and costs. Except as provided in subsection (1)(a)(III) of this section, for purposes of this subsection (1)(a), to determine and maintain salaries, state contributions for group benefit plans, and step pay that meet or exceed total compensation provided by public or private sector employment or a combination of both, the state personnel director shall quadrennially review the results of appropriate surveys by public or private organizations, including surveys by the state personnel director set forth in subsection (4)(b)(I) of this section. Any surveys provided on a confidential basis shall not be revealed except to the state auditor's office and the private firm conducting the audit required in subsection (4)(b) of this section. The state personnel director shall adopt appropriate procedures to determine and maintain other elements of total compensation, including the payment of incentive awards to employees in the state personnel system. The state personnel director's review and determination of total compensation practices shall not be subject to appeal except as otherwise authorized by law or state personnel director procedures.

(II.5) When establishing pay plans in accordance with subsection (5) of this section and recommending compensation for state employees in accordance with subsection (4) of this section, the state personnel director shall develop, after negotiations with the certified employee organization pursuant to section 24-50-1112, an equitable pay structure for employees in the state personnel system that provides consistent and predictable salary increases in compliance with any federal or state laws and keeps the state employee workforce competitive with market compensation. The requirements of this subsection (1)(a)(II.5) do not apply to employees of the state auditor, in accordance with subsection (1)(h) of this section.

(III) (A) The methodologies used for purposes of determining and maintaining compensation for state law enforcement officers employed by the Colorado state patrol shall be the same as the methodologies established pursuant to subsection (1)(a)(II) of this section; except that the amount of salary shall be at least ninety-nine percent of the actual average salary provided to the top three law enforcement agencies within the state that have both more than one hundred commissioned officers and the highest actual average salary.

(B) As used in this subparagraph (III), "state law enforcement officer" means the chief and any commissioned or noncommissioned officer and trooper of the Colorado state patrol.

(b) The state personnel director shall use a systematic approach to objectively determine classes of positions and the uniform alignment of classes and occupational groups for all jobs in the state personnel system. The state personnel director shall conduct timely, ongoing, and technically sound evaluation and analyses of jobs in order to group similar duties and responsibilities into clearly distinguished classes and occupational groups that relate to the compensation structure through the assignment of appropriate pay grades. If the state personnel director proposes or the department of personnel recommends any changes to classes or occupational groups or to the pay grades for such classes or groups as a result of the evaluation and analyses required under this paragraph (b), the director shall notify all affected employees and employee organizations of such changes. Upon request of any affected employee or employee organization, the state personnel director shall meet and confer in good faith with such employee or organization regarding the proposed or recommended changes prior to finalizing and implementing any such change.

(c) (I) The state personnel director shall establish a step pay system in order to provide periodic salary increases for employees in the state personnel system; except that the step pay system does not apply to employees of the state auditor, in accordance with subsection (1)(h) of this section. The purpose of the step pay system is to provide salary increases for employees based on salary placement within the appropriate salary range.

(A) to (E) (Deleted by amendment, L. 2024).

(I.1) to (I.9) Repealed.

(II) In addition to any other requirements set forth in this subsection (1)(c)(II), the department of personnel shall develop the step pay system so that it:

(A) Is simple and understandable to employees in the state personnel system;

(B) (Deleted by amendment, L. 2003, p. 1931, § 5, effective May 22, 2003.)

(C) Is developed with input from employees in the state personnel system, managers, and other affected parties; and

(D) to (G) Repealed.

(H) Minimizes employee pay disruptions resulting from implementation or modification of step pay.

(III) (Deleted by amendment, L. 2003, p. 1931, § 5, effective May 22, 2003.)

(IV) The state personnel director shall encourage state departments and institutions of higher education to implement performance evaluations of employees that are as objective as possible and that, as soon as possible and wherever feasible, include an assessment from multiple sources of each employee's performance. Such sources shall include, where applicable, the employee's self-assessment; the employee's superiors, subordinates, and peers; and any other applicable sources of an employee's performance. The state personnel director shall adopt procedures to establish a process to resolve employee disputes related to performance evaluations that do not result in corrective or disciplinary action against the employee. Each program established by a state department or institution of higher education pursuant to this subsection (1)(c)(IV) is subject to the director's approval.

(c.5) (I) The state personnel director shall provide for the evaluation of employee performance. Each employee shall be evaluated at least once a year.

(II) Repealed.

(III) The head of each principal department and each state-supported institution of higher education, respectively, shall determine annually on May 1 whether each supervisor in the department or institution has completed the mandatory performance evaluation required for each employee in the state personnel system during the preceding twelve months. If any evaluations have still not been completed by July 1, the supervisor may be subject to demotion. If a supervisor has not timely completed annual performance evaluations for two consecutive years, the supervisor shall be demoted to a nonsupervisory position.

(IV) The state personnel director shall adopt procedures for the implementation of the provisions of this paragraph (c.5). Nothing in this paragraph (c.5) shall be construed to limit the ability of the state personnel director to provide for additional sanctions for noncompliance with the provisions of this paragraph (c.5).

(V) Repealed.

(c.7) Repealed.

(d) (Deleted by amendment, L. 2000, p. 1117, § 1, effective May 26, 2000.)

(e) The state personnel director shall sustain an employee's base salary in the event such employee's position is placed in a lower pay range due to an allocation of such employee's position, a system maintenance study of all positions in a class, a general job evaluation study of the state personnel system, or the quadrennial compensation survey for a period not to exceed three years from the effective date of such placement.

(f) Initial hiring shall typically be at the minimum rate in the pay grade. On a showing of recruiting difficulty or other unusual condition, the appointing authority may authorize the appointment of a person at a higher base salary within the pay grade.

(g) Benefits shall include insurance, retirement, and leaves of absence with or without pay and may include jury duty, military duty, or educational leaves. The state personnel director shall prescribe procedures for the types, amounts, and conditions for all leave benefits, subject to the provisions governing the benefits provided in subsection (7) of this section. The general assembly shall approve any changes to leave benefits granted by statute before such changes are implemented. The state personnel director shall prescribe by procedure any nonstatutory benefits.

(h) The state personnel director may, following consultation with the state auditor and consistent with article III and sections 13, 14, and 15 of article XII of the state constitution, establish special procedures for classifying those employees of the state auditor's office who are within the state personnel system in order to take into consideration the special situations, circumstances, and duties unique to such employees. Such special procedures shall incorporate the directives, requirements, and elements of sections 13, 14, and 15 of article XII of the state constitution, including, but not limited to, the grading and compensation of persons in the state personnel system according to standards of efficient service that are the same for all persons having like duties.

(i) (Deleted by amendment, L. 2003, p. 1926, § 1, effective May 22, 2003.)

(j) and (k) Repealed.

(2) Records. To facilitate the reporting of estimated costs required of the state personnel director pursuant to paragraph (c) of subsection (4) of this section, the records of all positions in the state personnel system shall be current and included in the state personnel data system by January 1 of each year.

(3) Repealed.

(4) Quadrennial compensation process.

(a) The purpose of the quadrennial compensation process is to determine any necessary adjustments to state employee salaries, state contributions for group benefit plans, and step pay. The quadrennial compensation survey, based on an analysis of surveys by public or private organizations, including surveys by the state personnel director, shall include a fair sample of public and private sector employers and jobs, including areas outside the Denver metropolitan area. In order to establish confidence in the selection of surveys, the state personnel director shall meet and confer in good faith with management and state employee representatives.

(b) (I) On October 1, 2025, and on October 1 of each fourth year thereafter, the state personnel director shall prepare a quadrennial compensation report based on the analysis of surveys conducted pursuant to subsection (4)(a) of this section. The purpose of the quadrennial compensation report shall be to reflect all adjustments necessary to maintain the salary structure, state contributions for group benefit plans, and step pay for the upcoming fiscal year. The state personnel director shall also include a detailed analysis of salary ranges for all employees in the state personnel system and how employees' salaries are distributed within these ranges. The state personnel director shall also publish the report. Notwithstanding the requirement in section 24-1-136 (11)(a)(I), the requirement to submit the report required in this subsection (4)(b)(I) continues indefinitely. The state auditor is responsible for contracting with a private firm to conduct a performance audit of the procedures and application of data, including any survey conducted by the state personnel director. Beginning January 1, 2005, through January 1, 2021, and beginning on January 1, 2026, the audits shall be conducted every four years. A report shall be submitted to the governor and the general assembly by the December 30 immediately following the completion of the audit.

(II) Repealed.

(c) By September 15, 2017, and by September 15 of each year thereafter through September 15, 2021, and on or before October 1, 2022, and on or before October 1 of each year thereafter, the state personnel director shall submit recommendations and estimated costs for state employee compensation for the next fiscal year, covering salaries, state contributions for group benefit plans, and step pay, to the governor and the joint budget committee of the general assembly. The recommendations shall reflect a consideration of the results of the quadrennial compensation survey, fiscal constraints, the ability to recruit and retain state employees, appropriate adjustments with respect to state employee compensation, and those costs resulting from implementation of section 24-50-110 (1)(a). The recommendations for state contributions for group benefit plans shall specify the annual group benefit plan year established pursuant to section 24-50-604 (1)(m). The compensation report shall include the results of the surveys of public or private employers and jobs. The state personnel director shall also publish such report. This subsection (4)(c) is exempt from the provisions of section 24-1-136 (11), and the periodic reporting requirements of this section are effective until changed by the general assembly acting by bill.

(d) (I) For fiscal years commencing prior to the 2003-04 fiscal year and after the 2003-04 fiscal year, the recommended changes to salaries and any adjustments to the recommended changes made by the general assembly in the annual general appropriation act shall be effective on July 1 of the ensuing fiscal year unless the general assembly, acting by bill, establishes a different effective date for that fiscal year or the governor orders otherwise pursuant to section 24-50-109.5 and such order is adopted by the general assembly through a joint resolution declaring a fiscal emergency and approved by the governor in accordance with section 39 of article V of the Colorado constitution.

(II) For the 2003-04 and 2004-05 budget years, to the extent such changes are funded, the recommended changes in state contributions for group benefit plans and any adjustments to the recommended changes made by the general assembly in the annual general appropriation act for the next fiscal year shall be effective January 1 of the next fiscal year. For the 2005-06 fiscal year and each fiscal year thereafter, to the extent such changes are funded, the recommended changes in state contributions for group benefit plans and any adjustments to the recommended changes made by the general assembly in the annual general appropriation act for the next fiscal year shall be effective on the first day of the annual group benefit plan year established pursuant to section 24-50-604 (1)(m).

(III) (Deleted by amendment, L. 2006, p. 543, § 1, effective July 1, 2006.)

(IV) (Deleted by amendment, L. 2010, (HB 10-1181), ch. 351, p. 1624, § 13, effective June 7, 2010.)

(e) (Deleted by amendment, L. 2006, p. 543, § 1, effective July 1, 2006.)

(f) Any moneys appropriated pursuant to this subsection (4) shall not be used to achieve parity for employees outside the state personnel system.

(5) Pay plans.

(a) The state personnel director shall establish pay plans as technically and professionally necessary and shall establish any procedures and directives required to implement the state's innovative total compensation philosophy as defined in subsection (1) of this section.

(b) No employee in any pay plan may exceed an established maximum salary amount for such plan, except as provided in subsection (1)(e) of this section. The maximum monthly salary for any employee whose position is assigned to a nonmedical pay plan in effect prior to July 1, 1991, shall be calculated based on the 1991 maximum of five thousand seven hundred ninety-four dollars, plus the subsequent adjustments made under this subsection (5)(b) since July 1, 1991; except that classes in the medical pay plan requiring licensure as a physician or dentist shall be subject to a maximum monthly salary calculated on the basis of the 1991 maximum of seven thousand eight hundred twelve dollars, plus the subsequent adjustments made under this subsection (5)(b) since July 1, 1991. Effective July 1, 2010, the maximum monthly salary in the medical pay plan shall be seventeen thousand nine hundred twenty-seven dollars, plus any subsequent adjustments made under this subsection (5)(b). Such amounts shall be adjusted by the state personnel director in accordance with the change in the employment cost index for the preceding calendar year or the percentage increase in state general fund appropriations in relation to such appropriations for the preceding fiscal year, whichever is greater. In no event shall such amounts exceed the maximum found in the market as determined by the annual recommendations submitted by the state personnel director. The maximum monthly salary for the senior executive service plan shall not exceed the maximum monthly salary of any nonmedical pay plan by more than twenty-five percent.

(c) The state personnel director shall establish criteria for inclusion in the senior executive service and shall review each nominated position before it is placed in the pay plan for the senior executive service. The head of the department or agency or state auditor for employees of the state auditor's office shall make appointments to the senior executive service based on competitive selection and is responsible for the management of the employees in such plan. Any person in the senior executive service has no right to any position within the state.

(d) In the medical pay plans, there are no anniversary-based step increases. The salaries in such pay plans are based on the negotiation of an annual contract between the employee and the department head or the state auditor, when appropriate, and the amount of such salaries may increase, decrease, or remain unchanged from year to year. Any employee dismissed for failure to perform under such contract may only appeal directly to the state personnel board.

(e) In the pay plans for the senior executive service and those positions specified in section 13 (2)(a)(XI) of article XII of the state constitution, there are no anniversary-based step increases. The salaries in such pay plans are based on policies set forth by the state personnel director. The amount of such salaries may increase, decrease, or remain unchanged from year to year.

(6) Job evaluation.

(a) System maintenance studies involving the assignment of classes to increased pay grades shall be incorporated into the annual total compensation request reported to the general assembly and shall be effective on July 1 of each year unless otherwise ordered by the governor acting pursuant to section 24-50-109.5.

(b) (I) The state personnel director shall allocate individual positions to the proper classes based on an objective evaluation of the job assignment.

(II) Any employee directly affected by the allocation of the employee's position to a class in a lower pay grade under subparagraph (I) of this paragraph (b) may file a written appeal with the state personnel director within ten days after receiving the notice of allocation of positions. The state personnel director, or the director's designee, shall review the appeal in summary fashion on the basis of written material that may be supplemented by oral argument at the sole discretion of the director or designee. At the director's discretion, an advisory panel of qualified job evaluators may be convened to assist the director in making a decision. Except as otherwise provided in subparagraph (III) of this paragraph (b), the director shall issue a written decision within ninety calendar days after the receipt of a timely appeal. If the director does not issue a decision within ninety calendar days after receipt of a timely appeal, the original allocation decision shall be final. An allocation decision may be overturned only if the director finds it to have been arbitrary, capricious, or contrary to rule or law. The state personnel director shall establish a process for timely resolving appeals within the ninety-day period and the criteria for selection of and method of service upon an advisory panel. Any decision shall be subject to judicial review pursuant to section 24-4-106.

(III) When an employee who has filed an appeal with the state personnel director pursuant to subparagraph (II) of this paragraph (b) also files an appeal with the state personnel board pursuant to section 24-50-123 or the Colorado civil rights division pursuant to section 24-50-125.3, the ninety-day period specified in subparagraph (II) of this paragraph (b) shall be tolled until there is a final agency action by the board only if the appeal filed with the board or the civil rights division arises out of the same incident as the appeal filed with the director, is filed before the expiration of the ninety-day period, and is filed before the director has issued a written decision.

(7) Leaves.

(a) No employee may retain accumulated sick leave in excess of forty-five days at the end of any fiscal year; except that any employee who had accumulated sick leave prior to July 1, 1988, shall retain such leave and may accumulate a maximum of forty-five additional days. Any excess accumulation may be converted to annual leave at the rate of five days of sick leave to one day of annual leave up to a total of two days per fiscal year. A medical certificate form from a health-care provider shall be required for absences of more than three full consecutive working days, or the use of sick leave shall be denied.

(b) The procedures of the state personnel director shall provide that no more than two days of paid leave per fiscal year shall be granted for organ, tissue, or bone marrow donation for transplants. Such leave may not be accumulated.

(c) The state personnel director may establish procedures to allow the transfer of annual leave between employees when one employee, or an immediate family member of the employee, experiences an unforeseeable life-altering event beyond the employee's control. The recipient of any annual leave shall have a minimum of one year of state service and exhausted all applicable paid leave, including any compensatory time.

(d) An employee certified as a disaster service volunteer of the American red cross may be granted paid leave for specialized disaster relief services. Such leave shall not exceed five days for a local disaster or fifteen days for a national disaster in a twelve-month period. Such leave may not be accumulated. During this period of leave, an employee shall not be deemed to be an employee for purposes of the "Workers' Compensation Act of Colorado", as provided in articles 40 to 47 of title 8, C.R.S. The leave authorized by this paragraph (d) shall run concurrent with and shall not be in addition to any paid leave of absence required by law for service by a member in a Colorado civil air patrol mission as provided in section 28-1-104, C.R.S., or for qualified volunteer service in a disaster as provided in section 24-33.5-825.

(7.5) Repealed.

(8) Payroll.

(a) Salaries paid on a monthly basis shall be paid as of the last working day of the month; except that:

(I) Salaries for the month of June shall be paid on the first working day of July; and

(II) For state personnel employees in the department of transportation hired before August 5, 1998, as amended, salaries for the month of December shall be paid on the first working day in January, unless any such employee informs the controller of the department of transportation of the employee's desire to be paid in the same manner as other employees in the state personnel system as provided in this subsection (8), in which case, the employee shall be paid in such manner.

(a.5) Salaries paid on a monthly basis for the month of June shall be paid on the first working day of July. This subsection (8)(a.5) does not apply to institutions of higher education.

(a.6) For state employment positions that are not otherwise covered by subsection (8)(a) of this section, whether or not the positions are in the state personnel system:

(I) and (II) (Deleted by amendment, L. 2015.)

(III) Salaries paid on a biweekly basis shall be paid fourteen days after the last day of the fourteen-day pay period.

(b) and (c) Repealed.

(d) Monthly salaries shall be converted to annual salary as the basis for calculating amounts due for periods other than monthly.

(e) The state personnel director or the director's designee shall regulate, approve, and review all payroll deductions other than those expressly authorized by statute or state-sponsored for all state employees. The state personnel director may assess a charge to the organization that receives the benefit from such a payroll deduction to offset the cost to the state for this service.

(f) No payroll deduction shall be made on behalf of a state employee without prior written authorization from the state personnel director or the director's designee. The state personnel director or the director's designee may authorize a payroll deduction only after receiving a written request for such payroll deduction from the employee, a department or agency representative, or an organization.

(g) Repealed.

(9) Liability.

(a) Except for gross negligence or fraud, no state employee responsible for calculating pay shall be in any manner liable for overpayment or underpayment of salaries.

(b) No employee whose salary may be increased by an allocation of the employee's position to a class in a higher pay grade shall have any claim against the state unless the final allocation decision is made effective more than one year from the time the written allocation request was received by the appropriate personnel office. In such case, the employee is entitled to the difference between the salary of the old grade and the new salary for such period over twelve months.

(10) Total compensation study including retirement benefits.

(a) By January 15, 2015, by October 1, 2025, and by October 1 every fourth year thereafter, the state personnel director shall submit to the governor and the joint budget committee, along with the quadrennial compensation report required pursuant to subsection (4)(b) of this section, an addendum with a total compensation study that includes retirement benefits. Notwithstanding the requirement in section 24-1-136 (11)(a)(I), the requirement to submit the addendum required in this subsection (10) continues indefinitely.

(b) The state personnel director shall contract with a third-party compensation consulting firm with actuarial expertise and national standing to perform the total compensation study that includes retirement benefits required pursuant to paragraph (a) of this subsection (10). The study must compare total and component costs and values of the state's total compensation against similar workforce structures, including private companies and other states.

(c) For purposes of the addendum to the quadrennial compensation report required pursuant to this subsection (10), the public employees' retirement association created in article 51 of this title 24 shall provide access to official association member information and data under a confidentiality agreement with the third-party compensation consulting firm.

(d) The state personnel director shall notify the joint budget committee of the general assembly if he or she determines that the amount appropriated by the general assembly for the purpose of the study required pursuant to this subsection (10) is insufficient to procure a vendor to complete the scope of the work required.

(11) Repealed.

Source: L. 72: R&RE, p. 161, § 1. C.R.S. 1963: § 26-1-4. L. 73: pp. 420, 421-423, 426, §§ 1, 1-5, 17. L. 75: (5)(e) and (5)(f) amended, p. 823, § 1, effective January 31; (5)(e) amended, p. 825, § 1, effective July 1. L. 79: (1)(a) amended, p. 944 § 1, effective June 21; (5)(e) amended, p. 945, § 1, effective June 29. L. 80: (5)(e) amended, p. 598, § 1, effective February 14; (6) amended, p. 600, § 1, effective July 1. L. 81: (2), (4)(a), (5)(a), (5)(b), (5)(e), and (5)(f) amended, (3)(g) and (8)(c) added, and (5)(c) R&RE, pp. 1196-1199, §§ 4, 7, 5, 8, 6, effective July 1; (5)(e) amended, p. 887, § 2, effective January 1, 1982. L. 83: (4)(d) R&RE, (4)(e) added, (5)(a), (5)(b), (5)(c)(II), (5)(e), (6), and (8)(a) amended, and (8)(b) and (8)(c) repealed, pp. 848, 849, 852, §§ 2, 3, 4, 7, effective May 31; (5)(e)(I) amended, p. 2055, § 33, effective October 14. L. 84: (2)(a), (5)(a), (5)(b), and (6) amended, (3), (4), and (5)(c) to (5)(f) R&RE, and (5)(g) added, pp. 705, 710, 707,709, §§ 3, 6, 4, 5, effective July 1. L. 85: (5)(g)(III) R&RE, p. 841, § 1, effective June 8; (3)(g), (4)(d)(I), (5)(f), (5)(g)(I), and (6) amended, p. 836, § 1, effective July 1. L. 86: (5)(b)(I) amended and (5)(b)(I.1) added, p. 418, § 38, effective March 26; (1)(a) amended, p. 1219, § 24, effective May 30; (5)(g)(IV) added, p. 591, § 2, effective July 1. L. 87: (4)(d)(II), (5)(a), (5)(b)(I)(A), (5)(b)(I.1)(A), (5)(b)(II), (5)(c), (5)(e), and (5)(g)(I) amended, p. 1032, § 1, effective July 1. L. 88: (5)(g)(I) and (9) amended and (5)(g)(V) added, pp. 953, 954, §§ 1, 2, effective May 24. L. 89: (5)(g)(VI) added, p. 1064 § 1, effective June 1; (2)(a), (5)(b)(I)(A), (8)(a), (9)(a), and IP (9)(b) amended, (2)(c) added, and (5)(b)(I)(B) repealed, pp. 487, 491, §§ 17, 23, effective July 1; (4)(d)(II) and (5)(g)(I) amended, p. 1062, § 1, effective July 1; (5)(b)(I.1) repealed and (9)(c) amended, p. 1646, §§ 23, 24, effective July 1; (9)(c) added, p. 664, § 4, effective July 1. L. 91: (9)(d) added, p. 903, § 1, effective March 11; (4)(d)(II) added, p. 842, § 1, effective April 17; (1)(a) amended, p. 1063, § 26, effective July 1; (5)(g)(VII) and (5)(g)(VIII) added and (6) amended, pp. 853, 854, §§ 1, 2, effective July 1. L. 92: (5)(g)(VII), (5)(g)(VIII), (6)(d), (6)(e)(I), and (6)(e)(V) amended and (5)(g)(IX) added, p. 1129, § 1, effective April 29; (5)(a), (5)(b)(I)(A), and (5)(e) amended, p. 1078, § 1, effective July 1; (8)(a) amended, p. 1046, § 1, effective July 1. L. 93: (3)(a), (3)(b), (3)(g), and (4) amended and (3)(h) added, pp. 299, 296, §§ 1, 2, effective April 7; (5)(g)(VII), (6)(e)(I), (6)(e)(V), and (8)(a) amended, (5)(g)(X) added, and (8)(a)(II) repealed, p. 2118, § 1, effective July 1. L. 94: (2)(c)(II) amended, p. 1136, § 2, effective May 19; (4)(d)(II), (5)(g)(I), and (8)(a)(I) amended and (8)(d) added, p. 1684, § 1, effective July 1. L. 96: (1)(b) and (1)(c) repealed, p. 1507, § 26, effective June 1; (8)(a)(I) and (8)(a)(III) amended and (8)(a)(IV) and (8)(a)(V) added, p. 1304, § 1, effective August 7. L. 98: Entire section R&RE, p. 668, § 1, effective August 5. L. 99: (1)(c) amended, p. 594, § 1, effective August 4. L. 2000: (1)(c), (1)(d), (1)(f), and (1)(i) amended, p. 1117, § 1, effective May 26; (7.5) added, p. 778, § 1, effective July 1; (1)(a)(II) amended and (1)(a)(III) added, p. 1982, § 2, effective August 2. L. 2001: (4)(c) amended, p. 701, § 1, effective May 31. L. 2002: (1)(a)(III)(A) amended, p. 1091, § 1, effective August 7. L. 2003: (8)(a) amended and (8)(a.5) and (8)(a.6) added, p. 52, § 1, effective March 5; (4)(c) amended and (4)(d) and (4)(e) added, p. 1494, § 1, effective May 1; (1)(a)(I), (1)(a)(II), (1)(a)(III)(A), (1)(c)(I), IP(1)(c)(II), (1)(c)(II)(B), (1)(c)(II)(D), (1)(c)(II)(E), (1)(c)(III), (1)(c)(IV), (1)(e), (1)(i), (3), (4)(a), (4)(b), (4)(c), and (4)(d)(II) amended, (1)(c)(II)(F), (1)(c)(II)(G), and (4)(f) added, and (1)(c.5) added with relocated provisions, pp. 1926, 1931, 1929, 1930, §§ 1, 5, 2, 3, 4, effective May 22. L. 2004: (1)(c.7) added, p. 1240, § 2, effective August 4; (4)(c), (4)(d), and (4)(e) amended, p. 1557, § 1, effective August 4. L. 2006: (4)(d)(I), (4)(d)(III), and (4)(e) amended and (4)(d)(IV) added, p. 543, § 1, effective July 1; (1)(c.5)(II) amended, p. 279, § 1, effective August 7. L. 2007: (3)(a.5) added, p. 184, § 18, effective March 22; (5)(b) amended, p. 1898, § 1, effective July 1, 2008. L. 2008: (4)(b) amended, p. 1269, § 6, effective August 5. L. 2009: (7)(c) amended, (HB 09-1008), ch. 78, p. 286, § 1, effective April 2; (7)(d) amended, (HB 09-1315), ch. 312, p. 1693, § 2, effective August 5. L. 2010: (5)(b) amended, (SB 10-167), ch. 296, p. 1377, § 4, effective May 26; (1)(a)(I) amended, (HB 10-1427), ch. 408, p. 2019, § 1, effective June 10; (3) repealed, (4)(a), (4)(d)(IV), and (6)(b)(II) amended, and (6)(b)(III) added, (HB 10-1181), ch. 351, pp. 1623, 1624, §§ 12, 13, effective June 7. L. 2012: (8)(a.6) amended, (HB12-1246), ch. 123, p. 417, § 1, effective April 16; (1)(a)(I), (I)(a)(II), (1)(c)(I), IP(1)(c)(II), (1)(c)(II)(D), (1)(c)(II)(F), (1)(c)(IV), (1)(c.5)(V), (1)(c.7), (4)(a), (4)(b)(I), and (4)(c) amended, (1)(c)(I.1), (1)(c)(I.2), (1)(c)(I.3), (1)(c)(I.5), (1)(c)(I.7), (1)(c)(I.9), and (1)(j) added, and (1)(c)(II)(E) and (1)(c)(II)(G) repealed, (HB 12-1321), ch. 260, p. 1342, § 6, effective September 1. L. 2013: (5)(c) and (5)(d) amended and (5)(e) added, (HB 13-1298), ch. 315, p. 1659, § 1, effective May 28; (1)(a)(III) and (7)(d) amended, (HB 13-1300), ch. 316, p. 1684, § 63, effective August 7. L. 2014: (10) added, (SB 14-214), ch. 322, p. 1404, § 1, effective June 4. L. 2015: (1)(j)(II) amended, (SB 15-169), ch. 17, p. 41, § 1, effective March 13; (8) amended, (HB 15-1392), ch. 320, p. 1302, § 1, effective June 5. L. 2016: (8)(c)(II) amended and (8)(g) added, (SB 16-215), ch. 248, p. 1018, § 1, effective June 8. L. 2017: (1)(j)(III) amended, (SB 17-265), ch. 167, p. 614, § 1, effective April 28; (4)(c) amended, (HB 17-1298), ch. 255, p. 1069, § 1, effective May 25; (1)(c.5)(V)(B) added by revision, (HB 17-1058), ch. 18, pp. 60, 61, §§ 7, 12(2). L. 2019: (1)(j)(III)(C) added, (SB 19-208), ch. 140, p. 1743, § 1, effective May 3. L. 2020: (1)(j)(II)(A), (1)(j)(III)(A), (1)(j)(IV), and (5)(c) amended, (1)(j)(III)(D) and (1)(k) added, and (1)(j)(VI) repealed, (HB 20-1153), ch. 109, p. 438 § 3, effective June 16; (1)(j)(III)(E) added, (HB 20-1381), ch. 171, p. 785, § 2, effective June 29. L. 2022: (11) added, (HB 22-1196), ch. 6, p. 108, § 1, effective March 1; (1)(a)(I), (1)(a)(II), (1)(a)(III)(A), (1)(g), (4)(c), and (5)(a) amended, (HB 22-1266), ch. 49, p. 234, § 1, effective March 30; (1)(a)(II), (1)(e), (4)(a), (4)(b)(I), (4)(c), (5)(b), (10)(a), and (10)(c) amended and (4)(b)(II) repealed, (HB 22-1337), ch. 133, p. 901, § 2, effective April 25; (4)(c) amended, (SB 22-212), ch. 421, p. 2990, § 104, effective August 10. L. 2023: (1)(j)(III)(F) added, (SB 23-215), ch. 72, p. 271, § 1, effective April 17; IP(8)(a), (8)(a.5), IP(8)(a.6), and (8)(a.6)(III) amended and (8)(b), (8)(c), and (8)(g) repealed, (SB 23-180), ch. 138, p. 582, § 1, effective August 7. L. 2024: (1)(j)(III)(G) added, (HB 24-1415), ch. 84, p. 281, § 1, effective April 18; (1)(j)(III)(D) repealed and (1)(k) amended, (HB 24-1414), ch. 119, p. 388, § 1, effective April 19; (1)(a)(I), (1)(a)(II), (1)(c)(I), IP(1)(c)(II), (1)(c)(II)(C), (1)(c)(IV), (1)(c.5)(I), (1)(j)(II)(A), (4)(a), (4)(b)(I), (4)(c), (5)(d), and (5)(e) amended, (1)(a)(II.5) and (1)(c)(II)(H) added, and (1)(c)(I.1), (1)(c)(I.2), (1)(c)(I.3), (1)(c)(I.5), (1)(c)(I.7), (1)(c)(I.9), (1)(c)(II)(D), (1)(c)(II)(F), (1)(c.5)(II), and (1)(c.7) repealed, (HB 24-1467), ch. 430, p. 3010, § 2, effective June 5. L. 2025: (1)(j)(III)(A) amended and (1)(j)(III)(H), (1)(j)(III.5), and (1)(j)(VII) added, (SB 25-264), ch. 129, p. 504, § 28, effective April 25. L. 2026: (7)(a) amended, (HB 26-1413), ch. 288, p. 1583, § 1, effective July 1.

Editor's note: (1) Amendments to subsection (5)(e) by House Bill 75-1160 and House Bill 75-1751 were harmonized. Amendments to subsection (5)(e) by Senate Bill 81-308 and House Bill 81-1365 were harmonized.

(2) (a) Subsection (5)(g)(IX) provided for the repeal of subsection (5)(g)(IX), effective July 1, 1993. (See L. 92, p. 1129.)

(b) Subsection (5)(g)(X) provided for the repeal of subsection (5)(g)(X), effective July 1, 1994. (See L. 93, p. 2118.)

(c) Subsection (8)(d)(V) provided for the repeal of subsection (8)(d), effective July 1, 1994. (See L. 94, p. 1684.)

(d) Subsection (7.5)(h) provided for the repeal of subsection (7.5), effective July 1, 2005. (See L. 2000, p. 778.)

(e) Subsection (1)(j)(II)(B) provided for the repeal of subsection (1)(j)(II)(B), effective July 1, 2016. (See L. 2015, p. 41.)

(3) Subsection (1)(c.5) is similar to former § 24-50-118 as it existed prior to 2003.

(4) Subsection (1)(c.5)(V)(B) provided for the repeal of subsection (1)(c.5)(V), effective January 1, 2020. (See L. 2017, p. 60.)

(5) Amendments to subsection (1)(a)(II) by HB 22-1266 and HB 22-1337 were harmonized.

(6) Amendments to subsection (4)(c) by SB 22-212, HB 22-1266, and HB 22-1337 were harmonized.

(7) For the amendments in HB 24-1414 in effect from April 19, 2024, to July 31, 2024, see chapter 119, Session Laws of Colorado 2024. (L. 2024, p. 388.)

(8) Subsection (1)(k)(III) provided for the repeal of subsection (1)(k), effective July 31, 2024. (See L. 2024, p. 388.)

(9) Subsection (11)(e) provided for the repeal of subsection (11), effective January 1, 2025. (See L. 2022, p. 108.)

(10) Subsection (1)(j)(VII) provided for the repeal of subsection (1)(j), effective July 1, 2025. (See L. 2025, p.504.)

(11) For the amendments in SB 25-264 in effect from April 25, 2025, to July 1, 2025, see chapter 129, Session Laws of Colorado 2025. (L. 2025, p. 504.)

Cross references: (1) For the legislative declaration in the 2010 act amending subsection (5)(b), see section 1 of chapter 296, Session Laws of Colorado 2010.

(2) In 2012, subsections (1)(a)(I), (I)(a)(II), (1)(c)(I), IP(1)(c)(II), (1)(c)(II)(D), (1)(c)(II)(F), (1)(c)(IV), (1)(c.5)(V), (1)(c.7), (4)(a), (4)(b)(I), and (4)(c) were amended, (1)(c)(I.1), (1)(c)(I.2), (1)(c)(I.3), (1)(c)(I.5), (1)(c)(I.7), (1)(c)(I.9), and (1)(j) were added, and (1)(c)(II)(E) and (1)(c)(II)(G) were repealed by the "Modernization of the State Personnel System Act". For the short title and the legislative declaration, see sections 1 and 2 of chapter 260, Session Laws of Colorado 2012.

(3) For the legislative declaration in HB 20-1153, see section 1 of chapter 109, Session Laws of Colorado 2020.

(4) For the legislative declaration in HB 24-1467, see section 1 of chapter 430, Session Laws of Colorado 2024.

ANNOTATION

Law reviews. For article, "The Fair Labor Standards Act: Criminal and Civil Liability", see 14 Colo. Law. 1802 (1985).

Annotator's note. The following annotations include cases decided under this section as it existed prior to its 1998 repeal and reenactment.

Former subsection (3)(g) unconstitutional under § 13(1) of art. XII, Colo. Const. because the statute's wording of "upward allocation of a position" read together with "movement of the incumbent employee with his position" is nothing but a euphemistic description of a promotion and as such must comply with the requirements of § 13(1) of art. XII, Colo. Const. for competitive tests. Colo. Ass'n of Pub. Employees v. Lamm, 677 P.2d 1350 (Colo. 1984) (decided prior to 1984 repeal and reenactment of subsection (3)).

Subparagraph (1)(a)(II) allows the state personnel director to supplement independent third party salary and benefits surveys, but does not allow the director to determine prevailing practices without using such independent third party surveys. Colo. Ass'n of Pub. Employees v. Colo. Dept. of Pers., 991 P.2d 827 (Colo. App. 1999).

Former subparagraph (2)(c)(I) language that the "state personnel director shall be responsible for the development, implementation, and administration of a total compensation program" did not grant the state personnel director any specific authority, but merely outlined general responsibilities, and did not relieve the director of the duty to comply with former subsection (5)(a) of this section. Colo. Ass'n of Pub. Employees v. Colo. Dept. of Pers., 991 P.2d 827 (Colo. App. 1999).

Subparagraph (5)(b)(I)(A) of this section requires the state personnel director to meet and confer with both the total compensation advisory council and state employee representatives. Colo. Ass'n of Pub. Employees v. Colo. Dept. of Pers., 991 P.2d 827 (Colo. App. 1999).

Challenges to salary survey results. Summary procedure employed by the department of personnel in processing state employees' challenge to salary and fringe benefits survey did not violate due process. Anderson v. State Dept. of Pers., 756 P.2d 969 (Colo. 1988) (decided under law in effect prior to 1984 amendment to subsection (5)(g) making salary recommendations not appealable).

Study conducted by the department pursuant to the department's responsibility to revise and maintain the classification system was not conducted as a salary survey, the department was not required to comply with the specific procedures applicable to salary and fringe benefit surveys under subsection (5), and plaintiffs' due process rights were not violated. The data used was sufficiently current, and reliance on it was not arbitrary and capricious nor contrary to law. Blake v. Dept. of Pers., 876 P.2d 90 (Colo. App. 1994).

Out-of-state employee compensation data is not prohibited by the constitution from being used to determine appropriate salary levels for state employees. Blake v. Dept. of Pers., 876 P.2d 90 (Colo. App. 1994).

Director's authority under paragraphs (f) and (g) of subsection (3) of this section, regarding allocation of individual positions, derives from director's duty under section 14 of article XII of the state constitution to administer day-to-day activities of state personnel system and is distinctly separate from personnel board's authority under section 13 of the said article to hear appeals from disciplinary decisions. Therefore, paragraph (g) does not intrude upon the board's exclusive jurisdiction. Renteria v. State Dept. of Pers., 811 P.2d 797 (Colo. 1991).

Director's decisions are vested with a presumption of validity. Bernstein v. Livingston, 633 P.2d 519 (Colo. App. 1981).

Burden of proof is on employee in appeal under subsection (3)(g) of this section to show that decision was arbitrary, capricious, or contrary to rule or law. Renteria v. State Dept. of Pers., 811 P.2d 797 (Colo. 1991).

Failure to provide employee with performance evaluations pursuant to § 24-50-118 does not furnish basis on which to invalidate reallocation decision. Renteria v. State Dept. of Pers., 811 P.2d 797 (Colo. 1991).

Personnel analyst's alleged lack of authority to make preliminary reallocation decision does not furnish basis on which to invalidate decision. Renteria v. State Dept. of Pers., 811 P.2d 797 (Colo. 1991).

A 1991 amendment to subsection (6) does not render moot a claim by state employees that former version of the subsection was unconstitutional. Dempsy v. Romer, 825 P.2d 44 (Colo. 1992); Dept. of Corr. Employees v. Romer, 879 P.2d 485 (Colo. App. 1994).

Authority granted under subsection (6) to state personnel director to establish pay plans justified by salary survey does not prevent the general assembly from establishing maximum monthly salary levels. Dempsy v. Romer, 825 P.2d 44 (Colo. 1992).

The statutory scheme set forth in this section does not unconstitutionally transfer legislative authority of appropriation to the state personnel director. The state constitution grants to the general assembly primary responsibility for determining the amount of revenue to be expended in the state. To construe this section as authorizing the state personnel director to control the appropriation process as it is impacted by classification and reclassification of state employees would alter the check and balance system of governmental fiscal responsibility. Dempsy v. Romer, 825 P.2d 44 (Colo. 1992).

This section does not authorize the state personnel director to establish specific levels of compensation for state employees. The authority in subsection (6) granted the state personnel director to develop pay plans is limited by subsections (3), (4), and (5). When construed as a whole, this section clearly prohibits the director from developing pay plans compensating state employees in excess of levels established by the legislature. Dempsy v. Romer, 825 P.2d 44 (Colo. 1992).

State personnel department required to follow the statutory mandates of former subsection (4)(d)(II), where a downward adjustment in personnel salaries was a reorganization with a "fiscal impact" in that it reduced the funds expended on revenue department salaries. Alexander v. Colo. Dept. of Pers., 952 P.2d 814 (Colo. App. 1997), rev'd on other grounds, 970 P.2d 459 (Colo. 1998). (decided under law in effect prior to 1998 repeal and reenactment).

Governor, by communicating his or her approval of reorganization of statewide system of pay grades and salary rates in a letter to the joint budget committee and by submitting with the letter the annual salary and fringe benefits survey for implementing the reorganization, satisfied statutory requirements for indicating governor's approval of reorganization. Colo. Dept. of Pers. v. Alexander, 970 P.2d 459 (Colo. 1998) (decided under law in effect prior to 1998 repeal and reenactment).

This section does not prohibit the general assembly from establishing specific monthly salary levels for specific grades of employees. Dempsy v. Romer, 825 P.2d 44 (Colo. 1992).

This section does not violate equal protection standards. The monthly maximum salary level limit set forth in subsection (6) represents a reasonable exercise of the legislature's responsibility for maintaining the fiscal integrity of the state personnel system and does not discriminate between members of specific classes or grades of employees. Dempsy v. Romer, 825 P.2d 44 (Colo. 1992).

Challenge to occupational grouping of port of entry officers under subsection (3)(d). Where personnel director, by process of elimination, placed port of entry officers in the Office Support & Related Services grouping, which did not typify the primary duties performed by the officers, the director failed to comply with the statutory mandate included in subsections (3) and (5) and was ordered to modify or create an occupational grouping to accommodate the officers. Bostron v. Colo. Dept. of Pers., 860 P.2d 595 (Colo. App. 1993).

The classifications authorized in subsections (4) and (5) of this section bear a rational relationship to the state's interest in maintaining the fiscal integrity of the personnel system. Plaintiffs are not deprived of their right to equal protection of the law. Dept. of Corr. Employees v. Romer, 879 P.2d 485 (Colo. App. 1994).

Subsection (5)'s requirement that the director of the department of personnel use wage surveys conducted by nonstate public or private agencies does not violate the doctrine of separation of powers by interfering with the department of personnel's power as established in the constitution. Dept. of Corr. Employees v. Romer, 879 P.2d 485 (Colo. App. 1994).

Subsection (5)(c) does not provide that entry into senior executive service alone waives all future rights to return to a position outside the senior executive service. Subsection (5)(c) prohibits an employee's return to an outside position only while the employee serves in the senior executive service. Kirkmeyer v. Dept. of Local Affairs, 313 P.3d 562 (Colo. App. 2011).

Plaintiff whose senior executive service contract has expired lacks standing to attack subsection (5)(c) on its face because the statutory preclusion of an outside position applies to employees only while in the senior executive service, not to an employee whose senior executive service contract has expired, and plaintiff neither seeks relief for any injury suffered while she was in the senior executive service nor any longer holds a senior executive service position. Kirkmeyer v. Dept. of Local Affairs, 313 P.3d 562 (Colo. App. 2011).

Department of corrections does not have to verify the qualifications of all certified employees before implementing layoff. Halverstadt v. Dept. of Corr., 911 P.2d 654 (Colo. App. 1995).

For longevity salary increments under previous statutory provision, see Colo. Ass'n of Pub. Employees, v. Colo. Civil Serv. Comm'n, 31 Colo. App. 369, 505 P.2d 54 (1972).

Subsection (8)(c) gives the state personnel director discretion to grant or deny automatic payroll deductions. State employees and their labor organizations who alleged that an executive order and resulting personnel policy deprived them of the right to even be considered for automatic payroll deductions of union dues and that the employees had unsuccessfully requested such deductions, therefore, asserted both a legally protected right and injury in fact and had standing to sue the governor. Ainscough v. Owens, 90 P.3d 851 (Colo. 2004).

Applied in Spahn v. State Dept. of Pers., 44 Colo. App. 446, 615 P.2d 66 (1980); Eliopulos v. State Pers. Bd., 705 P.2d 1035 (Colo. App. 1985) (decided under law in effect prior to 1984 repeal and reenactment).