North Carolina § 143-345 - 22. Allocation of suggestion program funds; nonmonetary recognition.

§ 143-345. 22. Allocation of suggestion program funds; nonmonetary recognition.

If a State employee's suggestion or innovation results in a monetary savings or increased revenue to the State, the funds saved or increased shall be distributed according to the following scale or subject to guidelines as set forth by the funding source: Twenty percent (20%) of the annualized savings or increased revenues, up to a maximum of twenty thousand dollars ($20,000) for any one State employee, to constitute gainsharing. If a team of State employees is the suggester, the bonus provided in this subdivision shall be divided equally among the team members, except that no team member shall receive in excess of twenty thousand dollars ($20,000), nor shall the team receive an aggregate amount in excess of one hundred thousand dollars ($100,000). These funds shall not revert. Thirty percent (30%) allocated as follows: Fifteen percent (15%) to the implementing agency for nonrecurring budget items to be used (i) by the implementing agency to provide equipment, supplies, training, and limited but appropriate recognition for the division, section, or group responsible for the implementation of the cost-saving measure and (ii) to meet other similar needs within the agency. Ten percent (10%) to the Office of State Human Resources for augmenting funding for the management and administration of NC-Thinks. These funds shall not revert. Five percent (5%) to the State employee education and training fund administered by the Office of State Human Resources under G.S. 143-342.21(i). These funds shall not revert when nonreversion is otherwise allowed by law or policy. The remainder to the General Fund for nonrecurring budget items when allowed by law or policy. Of the pool of funds identified in subsection (a) of this section, only the General Fund appropriations shall be subject to reversion, except during declared budget emergencies. Under nonemergency budget conditions, NC-Thinks funds arising from savings at The University of North Carolina, the North Carolina Community Colleges System, the Highway Trust Fund, enterprise funds, and receipt-supported organizations shall be exempt from the General Fund reversion requirements. The budget of a State agency shall not be reduced in the following fiscal year by an amount similar to the monetary savings or increased revenues realized by NC-Thinks. The agency budget shall be reduced in subsequent years only if structural or organizational changes are made that warrant the reductions, including the transfer of responsibility for an activity or service to another agency or the elimination of some function of State government. If a suggestion or innovation results in improved quality of services to the public or to other State agencies, departments, and institutions, but not in monetary savings to the State, the suggester shall receive a nonmonetary award in the form of a certificate, leave with pay, or other similar recognition. History (1997-513, s. 2; 1998-181, s. 6; 2001-424, s. 7.2(d); 2010-97, s. 11; 2011-224, s. 2; 2013-382, s. 9.1(c).) Editor's Note. - The number of this section was assigned by the Revisor of Statutes, the number in Session Laws 1997-513, s. 2, having been 143-345.12. Session Laws 2013-382, s. 9.1(b), provides: "The following entities and positions created by Chapter 126 of the General Statutes are hereby renamed by this act: "(1) The State Personnel Commission is renamed the 'North Carolina Human Resources Commission.' "(2) The Office of State Personnel is renamed the 'North Carolina Office of State Human Resources.' "(3) The State Personnel Director is renamed the 'Director of the North Carolina Office of State Human Resources.'" Session Laws 2013-382 was effective August 21, 2013. Session Laws 2013-382, s. 9.1(c), provides in part: "Modification of References. - The Revisor of Statutes shall delete any references in the General Statutes to the State Personnel Act, State Personnel Commission, the State Personnel Director, and the Office of State Personnel (or any derivatives thereof) and substitute references to the North Carolina Human Resources Act, the State Human Resources Commission, the Director of the Office of State Human Resources, and the Office of Human Resources (or the appropriate derivative thereof) to effectuate the renaming set forth in this section wherever conforming changes are necessary." Session Laws 2013-382, s. 9.2, provides: "No action or proceeding pending on the effective date of this section, brought by or against the State Personnel Commission, the Director of the Office of State Personnel, or the Office of State Personnel, shall be affected by any provision of this section, but the same may be prosecuted or defended in the new name of the Commission, Director, and Office. In these actions and proceedings, the renamed Commission, Director, or Office shall be substituted as a party upon proper application to the courts or other public bodies." Session Laws 2013-382, s. 9.3, provides: "Any business or other matter undertaken or commanded by the former State Personnel Commission, State Personnel Director, or Office of State Personnel regarding any State program, office, or contract or pertaining to or connected with their respective functions, powers, obligations, and duties that are pending on the date this act becomes effective may be conducted and completed by the Commission, Director, or Office in the same manner and under the same terms and conditions and with the same effect as if conducted and completed by the formerly named commission, director, or office." Effect of Amendments. - Session Laws 2010-97, s. 11, effective July 20, 2010, in subdivision (a)(2)b., substituted "NC-Thinks" for "the SEIBP"; in subsection (a1), substituted "NC-Thinks" for "SEIBP"; and in subsection (b), substituted "NC-Thinks" for "the State Employee Incentive Bonus Program." Session Laws 2011-224, s. 2, effective July 1, 2011, and applicable to employee suggestions made on or after that date, in the section catchline, substituted "suggestion program funds" for "incentive bonus funds"; in subdivision (a)(2)a., substituted "Fifteen percent (15%)" for "Ten percent (10%)"; in subdivision (a)(2)b., substituted "Office of State Personnel" for "Department of Administration"; in subdivision (a)(2)c., substituted "Five percent (5%)" for "Ten percent (10%)" in the first sentence, and added "when nonreversion is otherwise allowed by law or policy" in the last sentence; and in subdivision (a)(3), added "when allowed by law or policy." Session Laws 2013-382, s. 9.1(c), effective August 21, 2013, substituted "Office of State Human Resources" for "Office of State Personnel" in subdivisions (a)(2)b and (a)(2)c. Opinions of Attorney General Allocation of Savings That Result from Sources Funded Under Special Funds Statutes. - The allocation of savings that result from sources funded under the special funds statutes should be distributed in accordance with the specific statutory provisions creating the particular special fund; however, in those allocations where the special fund is silent as to proceeds of this type, this section is controlling and the savings must be distributed to the General Fund. See opinion of Attorney General to T. Brooks Skinner, Jr., General Counsel, N. C. Department of Administration, 2001 N.C. AG LEXIS 21 (6/5/2001).