LEGISLATIVE SERVICES AGENCY OFFICE OF FISCAL AND MANAGEMENT ANALYSIS 200 W. Washington St., Suite 301 Indianapolis, IN 46204 (317) 233-0696 iga.in.gov FISCAL IMPACT STATEMENT LS 6004 NOTE PREPARED: Sep 8, 2023 BILL NUMBER: HB 1018 BILL AMENDED: SUBJECT: Designation of Juneteenth as State Holiday. FIRST AUTHOR: Rep. Smith V BILL STATUS: As Introduced FIRST SPONSOR: FUNDS AFFECTED:XGENERAL IMPACT: State & Local XDEDICATED FEDERAL Summary of Legislation: The bill establishes Juneteenth as a state holiday. It makes conforming changes. Effective Date: Upon passage. Explanation of State Expenditures: The bill’s impact on state expenditures is indeterminate. While a majority of state business operations would be closed during the proposed Juneteenth holiday, the day’s professional business, in most cases, could likely be shifted to other days of operation. Like other state holidays, state employees receive compensation for the day. However, state expenditures would not experience a substantial increase, as state employees would receive compensation for the day whether it fell on a regular workday or a holiday. Additional Information: Compensation varies based on whether the state employee is exempt or non-exempt. Most state employees are considered exempt. Non-exempt employees who are required to work on days designated as state holidays may choose to receive compensatory time or monetary payment. If compensatory time is chosen, compensatory time is paid at a straight rate. A premium rate would only apply if the non- exempt employee had already worked in excess of 40 hours. A premium rate is calculated at time and a half. For compensatory premium time, non-exempt employees earn 90 minutes of compensatory time for each hour worked in excess of 40 per calendar week. If non-exempt employees do not used their compensatory time by the end of the current quarter, it must be paid out. There are about 22,000 non-exempt employees working for the State. During Independence Day, about 900 non-exempt employees worked with six non-exempt employees receiving premium pay. For this holiday, HB 1018 1 these employees chose compensatory time in lieu of monetary payment. Explanation of State Revenues: Explanation of Local Expenditures: Local units could experience a decrease in their expenditures. Business that would otherwise be conducted on Juneteenth could likely be transferred to other days of operation. Explanation of Local Revenues: State Agencies Affected: All. Local Agencies Affected: All. Information Sources: Keith Beesley, State Personnel Department; August 2023 State Personnel Staffing Table;https://www.in.gov/spd/policies-and-procedures/hours-of-work-and-overtime/; https://www.in.gov/spd/benefits/state-holidays/; 31 IAC 5-7 Fiscal Analyst: Jasmine Noel, 317-234-1360; Camille Tesch, 317-232-5293. HB 1018 2