Oklahoma 2023 Regular Session

Oklahoma Senate Bill SB302 Compare Versions

Version 1 (Old)

Version 2 (New)

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3		-	ENGR. H. A. to ENGR. S. B. NO. 302 Page 1 1
	3	+	SB302 HFLR Page 1
	4	+	BOLD FACE denotes Committee Amendments. 1
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28		-	ENGROSSED HOUSE AMENDME NT
29		-	TO
30		-	ENGROSSED SENATE BILL NO . 302 By: Thompson (Roger) of the
	29	+	HOUSE OF REPRESENTATIVES - FLOOR VERSION
	30	+
	31	+	STATE OF OKLAHOMA
	32	+
	33	+	1st Session of the 59th Legislature (2023)
	34	+
	35	+	ENGROSSED SENATE
	36	+	BILL NO. 302 By: Thompson (Roger) of the
31	37		Senate
32	38
33	39		and
34	40
35	41		Osburn of the House
36	42
37	43
38	44
	45	+	[ payroll systems - conversion - payroll fund -
	46	+	deadline - implementation sched ule - payment of
	47	+	wages - exception - codification - effective date -
39	48
40		-	[ payroll systems - conversion - payroll fund -
41		-	deadline - implementation sched ule - payment of wages
42		-	- exception - codification - effective date -
43	49		emergency ]
44	50
45	51
	52	+	BE IT ENACTED BY THE PEOPLE OF TH E STATE OF OKLAHOMA:
	53	+	SECTION 1. NEW LAW A new section of law to be co dified
	54	+	in the Oklahoma Statutes as Section 34.67a of Title 62, unless there
	55	+	is created a duplication in numbering, reads as follows:
	56	+	No later than July 31, 202 5, every executive state agency, as
	57	+	defined in Section 34.69 of Title 62 of the Oklahoma Statutes , shall
	58	+	convert to a payroll system that provides p ayment to employees every
	59	+	two weeks. The Director of the Office of Management and Enterprise
	60	+	Services shall determine the order and timeline by which executive
	61	+	state agencies shall transition to this sche dule.
46	62
47		-
48		-	AMENDMENT NO. 1. Page 1, Line 11, strike the enacting clause
49		-	Passed the House of Representatives the 27th day of April, 2023.
50		-
51		-
52		-
53		-
54		-
55		-	Presiding Officer of the House of
56		-	Representatives
57		-
58		-
59		-	Passed the Senate the ____ day of __________, 2023.
60		-
61		-
62		-
63		-
64		-
65		-	Presiding Officer of the Senate
66		-
67		-
68		-	ENGR. S. B. NO. 302 Page 1 1
	63	+	SB302 HFLR Page 2
	64	+	BOLD FACE denotes Committee Amendments. 1
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93		-	ENGROSSED SENATE
94		-	BILL NO. 302 By: Thompson (Roger) of the
95		-	Senate
96		-
97		-	and
98		-
99		-	Osburn of the House
100		-
101		-
102		-
103		-
104		-
105		-	[ payroll systems - conversion - payroll fund -
106		-	deadline - implementation sched ule - payment of wages
107		-	- exception - codification - effective date -
108		-	emergency ]
109		-
110		-
111		-
112		-
113		-	BE IT ENACTED BY THE PEOPLE OF TH E STATE OF OKLAHOMA:
114		-	SECTION 1. NEW LAW A new section of law to be co dified
115		-	in the Oklahoma Statutes as Section 34.67a of Title 62, unless there
116		-	is created a duplication in numbering, reads as follows:
117		-	No later than July 31, 202 5, every executive state agency, as
118		-	defined in Section 34.69 of Title 62 of the Oklahoma Statutes , shall
119		-	convert to a payroll system that provides p ayment to employees every
120		-	two weeks. The Director of the Office of Management and Enterprise
121		-	Services shall determine the order and timeline by which executive
122		-	state agencies shall transition to this sche dule.
123	89		SECTION 2. AMENDATORY 62 O.S. 2021, Section 34.69, is
124	90		amended to read as follows:
125	91		Section 34.69. A. There is hereby created in the State
126	92		Treasury a Payroll Fund whic h shall be used by the Director of the
	93	+	Office of Management and Enterprise Services and the State Trea surer
	94	+	to issue a consolidated payroll for each executive state agency of
	95	+	the state. Payrolls of executive state agencies shall be charged
	96	+	against the Payroll Fund created herein. Each executive state
	97	+	agency shall prepare summary distributions of the amounts of
	98	+	payrolls to be charged agains t each fund within the State Treasury
	99	+	and the Director shall transfer monies from each fund in the State
	100	+	Treasury to the Payroll Fund amounts as shown on payroll
	101	+	distribution summaries, and shall charge such amounts to the acc ount
	102	+	affected thereby.
	103	+	B. As of July 1, 2010, the Office of Management and Enterprise
	104	+	Services shall make available and each executive state agency shall
	105	+	make available to all state employees a centralized web -based system
	106	+	to access their personal employment and co mpensation-related
	107	+	information. The provisions of this subsection as it pertains to
	108	+	executive agencies may be waived by the Director of the Office of
	109	+	Management and Enterprise Services in the event that la ck of timely
	110	+	access prevents employees from utiliz ing the centralized system. As
	111	+	used in subsections B, C and D of this section, “executive state
	112	+	agency” shall mean any state agency, authority, board, commission or
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128		-	ENGR. S. B. NO. 302 Page 2 1
	114	+	SB302 HFLR Page 3
	115	+	BOLD FACE denotes Committee Amendments. 1
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153		-	Office of Management and Enterprise Services and the State Trea surer
154		-	to issue a consolidated payroll for each executive state agency of
155		-	the state. Payrolls of executive state agencies shall be charged
156		-	against the Payroll Fund created herein. Each executive state
157		-	agency shall prepare summary distributions of the amounts of
158		-	payrolls to be charged agains t each fund within the State Treasury
159		-	and the Director shall transfer monies from each fund in the State
160		-	Treasury to the Payroll Fund amounts as shown on payroll
161		-	distribution summaries, and shall charge such amounts to the acc ount
162		-	affected thereby.
163		-	B. As of July 1, 2010, the Office of Management and Enterprise
164		-	Services shall make available and each executive state agency shall
165		-	make available to all state employees a centralized web -based system
166		-	to access their personal employment a nd compensation-related
167		-	information. The provisions of this subsection as it pertains to
168		-	executive agencies may be waived by the Director of the Office of
169		-	Management and Enterprise Services in the event that la ck of timely
170		-	access prevents employees from u tilizing the centralized system. As
171		-	used in subsections B, C and D of this section, “executive state
172		-	agency” shall mean any state agency, authority, board, commission or
173	140		other entity organized within the execut ive department of state
174	141		government. Executive sta te agency shall not mean any government
175	142		entity organized or created within the legislative or judicial
	143	+	departments of state government , or institutions within The Oklahoma
	144	+	State System for Higher Education .
	145	+	C. Except for institutions within The Oklahom a State System for
	146	+	Higher Education, executive state agencies converting to a multi-
	147	+	monthly payroll system that provides payment to employees every two
	148	+	weeks shall consult with the Office of Management and En terprise
	149	+	Services on the timing of the agency ’s conversion. The system
	150	+	conversion shall be implemented no later than July 31, 2025.
	151	+	1. All state employees hired during the six (6) months prior to
	152	+	an executive state agency ’s conversion to a multi -monthly payroll
	153	+	shall be placed on either the biweekly p ayroll system or
	154	+	supplemental payroll upon the date of hire.
	155	+	2. In the six (6) months prior to an executive state agency ’s
	156	+	conversion to multi-monthly payroll, the executive state agency
	157	+	shall offer either mu lti-monthly or supplemental payroll to any
	158	+	employee who chooses to participa te. The provisions of this
	159	+	paragraph shall not apply to employees placed on the multi -monthly
	160	+	payroll pursuant to paragraph 1 of this subsection.
	161	+	D. Six (6) months prior to an ex ecutive state agency converting
	162	+	to the multi-monthly payroll system, it shal l create employee
	163	+	payroll conversion banks for the purpose of providing a one -time
176	164
177		-	ENGR. S. B. NO. 302 Page 3 1
	165	+	SB302 HFLR Page 4
	166	+	BOLD FACE denotes Committee Amendments. 1
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202		-	departments of state government , or institutions within The Oklahoma
203		-	State System for Higher Education .
204		-	C. Except for institutions within The Oklah oma State System for
205		-	Higher Education, executive state agencies converting to a multi-
206		-	monthly payroll system that provides payment to employees every two
207		-	weeks shall consult with the Office of Management and En terprise
208		-	Services on the timing of the agency ’s conversion. The system
209		-	conversion shall be implemented no later than July 31, 2025.
210		-	1. All state employees hired during the six (6) months prior to
211		-	an executive state agency ’s conversion to a multi -monthly payroll
212		-	shall be placed on either the biweekly payroll system or
213		-	supplemental payroll upon the date of hire.
214		-	2. In the six (6) months prior to an executive state agency ’s
215		-	conversion to multi-monthly payroll, the executive state agency
216		-	shall offer either mu lti-monthly or supplemental payroll to any
217		-	employee who chooses to participa te. The provisions of this
218		-	paragraph shall not apply to employees placed on the multi -monthly
219		-	payroll pursuant to paragraph 1 of this subsection.
220		-	D. Six (6) months prior to an ex ecutive state agency converting
221		-	to the multi-monthly payroll system, it shal l create employee
222		-	payroll conversion banks for the purpose of providing a one -time
223	191		payroll payment to an employee for the gap in payroll payments
224	192		created by the conversion to the m ulti-monthly system.
	193	+	1. Each executive state a gency shall allow its employe es to
	194	+	accumulate funds up to a maximum of eighty (80) hours for the
	195	+	conversion bank from the following sources:
	196	+	a. earned compensatory time, if the agency normally
	197	+	provides its employees compensatory time,
	198	+	b. earned annual leave,
	199	+	c. earned sick leave up to a maximum of forty (40) hours,
	200	+	and
	201	+	d. shared leave as approved by the appointing authority.
	202	+	2. During the six-month period leading up to an executive state
	203	+	agency’s conversion to the multi-monthly payroll system, all
	204	+	executive state agencies shall inform , in writing or by electronic
	205	+	means, all their employees of their leave and compensatory time
	206	+	balances on a monthly basis.
	207	+	E. D. The Office of Management and Enterprise Services shal l
	208	+	establish procedures and a full implementation schedule concerning
	209	+	the conversion.
	210	+	SECTION 3. AMENDATORY 40 O.S. 2021, Section 165.2, as
	211	+	amended by Section 2, Chapter 156, O.S.L. 2022 (40 O.S. Supp. 2022,
	212	+	Section 165.2), is amende d to read as follows:
	213	+	Section 165.2. Every employer in this state shall pay all wages
	214	+	due their employees, other than exempt employees and employees of
225	215
226		-	ENGR. S. B. NO. 302 Page 4 1
	216	+	SB302 HFLR Page 5
	217	+	BOLD FACE denotes Committee Amendments. 1
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251		-	1. Each executive state agency shall allow its employe es to
252		-	accumulate funds up to a maximum of eighty (80) hours for the
253		-	conversion bank from the following sources:
254		-	a. earned compensatory time, if the agency normally
255		-	provides its employees compensatory time,
256		-	b. earned annual leave,
257		-	c. earned sick leave up to a maximum of forty (40) hours,
258		-	and
259		-	d. shared leave as approved by the appointing authority.
260		-	2. During the six-month period leading up to an executive state
261		-	agency’s conversion to the multi-monthly payroll system, all
262		-	executive state agencies shall inform , in writing or by electronic
263		-	means, all their employees of their leave and compensatory time
264		-	balances on a monthly basis.
265		-	E. D. The Office of Management and Enterprise Services shal l
266		-	establish procedures and a full implementation schedule concerning
267		-	the conversion.
268		-	SECTION 3. AMENDATORY 40 O.S. 2021, Section 165.2, as
269		-	amended by Section 2, Chapter 156, O.S.L. 2022 (40 O.S. Supp. 2022,
270		-	Section 165.2), is amende d to read as follows:
271		-	Section 165.2. Every employer in this state shall pay all wages
272		-	due their employees, other than exempt employees and employees of
273	242		nonprivate foundations qualified purs uant to 26 U.S.C. 509(a)(1) and
274	243		26 U.S.C. 170(b)(1)(A)(vi), at leas t twice each calendar month on
	244	+	regular paydays designated in advance by the employer. Except as
	245	+	provided in Section 1 of this act, State state, county and municipal
	246	+	employees, exempt employees, school district employees, technology
	247	+	center school district employees and employees of nonprivate
	248	+	foundations qualified pursuant t o 26 U.S.C. 509(a)(1) and 26 U.S.C.
	249	+	170(b)(1)(A)(vi) shall be paid a minimum of once each calendar
	250	+	month. The amount due such employees shall be paid in lawful money
	251	+	of the United States including payment by electronic means, and the
	252	+	employee shall not be deemed to have waived any right or rights
	253	+	mentioned in this section because of any contract to the contrary.
	254	+	Each employer in this state, in its discretion, may pay al l wages
	255	+	due to an employee by deposit on the payday at a financial
	256	+	institution of the e mployee’s choice or, if the employee does not
	257	+	consent or designate a financial institution, to a payroll card
	258	+	account. With each payment of wages earned by such employee, the
	259	+	employer shall issue to such employee a brief itemized statement of
	260	+	any and all deductions therefrom. An interval of not more than
	261	+	eleven (11) days may elapse between the end of the pay period worked
	262	+	and the regular payday designated by the employer. The em ployer
	263	+	shall be allowed three (3) days after such p ayday in which to comply
	264	+	with this section.
275	265
276		-	ENGR. S. B. NO. 302 Page 5 1
	266	+	SB302 HFLR Page 6
	267	+	BOLD FACE denotes Committee Amendments. 1
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301		-	regular paydays designated in advance by the employer. Except as
302		-	provided in Section 1 of this act, State state, county and municipal
303		-	employees, exempt employees, school district employees, technology
304		-	center school district employees and employees of nonprivate
305		-	foundations qualified pursuant t o 26 U.S.C. 509(a)(1) and 26 U.S.C.
306		-	170(b)(1)(A)(vi) shall be paid a minimum of once each calendar
307		-	month. The amount due such employees shall be paid in lawful money
308		-	of the United States including payment by electronic means , and the
309		-	employee shall not be deemed to have waived any right or rights
310		-	mentioned in this section because of any contract to the contrary.
311		-	Each employer in this state, in its discretion, may pay al l wages
312		-	due to an employee by deposit on the payday at a financial
313		-	institution of the e mployee’s choice or, if the employee does not
314		-	consent or designate a financial institution, to a payroll card
315		-	account. With each payment of wages earned by such employee, the
316		-	employer shall issue to such employee a brief ite mized statement of
317		-	any and all deductions therefrom. An interval of not more than
318		-	eleven (11) days may elapse between the end of the pay period worked
319		-	and the regular payday designated by the employer. The em ployer
320		-	shall be allowed three (3) days after s uch payday in which to comply
321		-	with this section.
322	292		No such employer shall issue, in payment of or as evidence of
323	293		indebtedness due an employee any check, cashier’s check, draft, time
324	294		check, store order, scrip, or other acknowledgment of indebtedness
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326		-	ENGR. S. B. NO. 302 Page 6 1
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351	295		unless the same is payable or redeemabl e upon demand without
352	296		discount and for face value in lawful money of the United States.
353	297		If an employer pays an employee with a check which is subsequently
354	298		returned to the employee or an agent thereof by reason of the
355	299		refusal of the bank upon which such ch eck was drawn to honor the
356	300		same due to insufficient funds or a stop payment notice, the
357	301		employer shall reimburse the employee for any fees or costs incurred
358	302		by the employee due to the refusal to honor the check within
359	303		fourteen (14) days of the employer’s notice of the bank’s refusal to
360	304		honor the check.
361	305		SECTION 4. This act shall become effective July 1, 2023.
362	306		SECTION 5. It being immediately necessary for the preservation
363	307		of the public peace, health or safety, an emergency is hereby
364	308		declared to exist, by reason whereof this act shall take effect and
365	309		be in full force from and after its passage and approval.
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392		-	Passed the Senate the 8th day of March, 2023.
393		-
394		-
395		-
396		-	Presiding Officer of the Senate
397		-
398		-
399		-	Passed the House of Representatives the ____ day of _ _________,
400		-	2023.
401		-
402		-
403		-
404		-	Presiding Officer of the House
405		-	of Representatives
406		-
407		-
	311	+	COMMITTEE REPORT BY: COMMITTEE ON APPROPRIATIONS AND BUDGET, dated
	312	+	04/19/2023 - DO PASS, As Amended.