Req. No. 7904 Page 1 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
STATE OF OKLAHOMA
1st Session of the 59th Legislature (2023)
COMMITTEE SUBSTITUTE
FOR
HOUSE BILL NO. 2376 By: Kannady
COMMITTEE SUBSTITUTE
An Act relating to state government; amending 74 O.S.
2021, Sections 840-1.3, as amended by Section 2,
Chapter 243, O.S.L. 2022, 840-2.18, as amended by
Section 14, Chapter 243, O.S.L. 2022, and 840-2.20,
as amended by Section 16, Chapter 243, O.S.L. 2022
(74 O.S. Supp. 2022, Section s 840-1.3, 840-2.18, and
840-2.20), which relate to the Oklahoma Personnel
Act; modifying definitions; modifying provisions
related to longevity payments; modifying leave
benefits; increasing accumulation limits; authorizing
option for payment of certain leave; modifying
provisions related to computation of service;
providing an effective date; and declaring an
emergency.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLA HOMA:
SECTION 1. AMENDATORY 74 O.S. 2021, Section 840 -1.3, as
amended by Section 2, Chapter 243, O.S.L. 2022 (74 O.S. Supp . 2022,
Section 840-1.3), is amended to read as follows:
Section 840-1.3 As used in this act, unless otherwise provided
in Sections 840-1.1 through 840-6.9 of this title:
1. "Agency" means any office, department, board, commission or
institution of the executive branch of state government, except as
Req. No. 7904 Page 2 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
otherwise provided by subparagraph b of paragraph 2 of subsection E
of Section 840-2.18 of this title and except as otherwise provided
by paragraph 10 of subsection A of Section 840-2.20 of this title;
2. "Employee" or "state employee" means an elected or appointed
officer or employee of an agency unless otherwise indicated;
3. "Appointing authority" means the chief administrative
officer of an agency;
4. "Job-related organization" means a membership association
which collects annual dues, conducts annual meetings and provides
job-related education for its members and which includes state
employees, including any association for which payroll deductions
for membership dues are authorized pursuant to paragraph 5 of
subsection B of Section 34.70 of Title 62 of the Oklahoma Statutes;
5. "Progressive discipline" means a system designed to ensure
the consistency, impartiality and predictability of discipline and
the flexibility to vary penalties if justified b y aggravating or
mitigating conditions;
6. "Supervisor" means an officer or employee who has been
assigned authority and responsibility for evaluating the performa nce
of subordinates;
7. "Director" means the appointing authority of the Office o f
Management and Enterprise Services;
8. "Office" means the Office of Management and Enterp rise
Services; and
Req. No. 7904 Page 3 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
9. "Veteran" means a person who has been honorably discharged
from the Armed Forces of the Un ited States.
SECTION 2. AMENDATORY 74 O.S. 2021, Section 840-2.18, as
amended by Section 14, Chapter 243, O.S.L. 2022 (74 O.S. Supp. 2022,
Section 840-2.18), is amended to read as follows:
Section 840-2.18 A. A longevity pay plan is hereby adopted .
This plan applies to all state employees, excluding members of
boards and commissions, institutions unde r the administrative
authority of the State Regents for Higher Education, employees of
public school districts, and elected o fficials. The plan shall also
apply to those employees of the Oklahoma School for the Blind and
the Oklahoma School for the Deaf w ho qualify for longevity pay in
accordance with subsection G of Section 1419 of Title 10 of the
Oklahoma Statutes.
B. The Oklahoma Conservation Commission is hereby authorized to
establish a longevity pay program for employees of the conservation
districts employed under Section 3-3-103 of Title 27A of the
Oklahoma Statutes. Such longevity pay program shall be consistent
with the longevity pay program for state employees authorized under
this title and payments shall be made in a manner consistent with
procedures for reimbursement to conservation districts.
C. To be eligible for longevity pay, employees mus t have been
continuously employed in the service of the state for a minimum of
Req. No. 7904 Page 4 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
two (2) years in full-time status or in part-time status working
more than one thousand (1,000) hours a year.
For purposes of this section, a break in service of thirty ( 30)
calendar days or less shall not be considered an interruption of
continuous service; a break in service of more than thirty (30)
calendar days shall mark an end to continuous service. The
legislative session employees who have worked for two (2) years or
more in part-time status and are eligible for state retirement
benefits, but do not receive other longevity payments, shall be
eligible and shall be considered to have been continuously employed
for purposes of calculating longevity payments, notwithst anding the
provisions of subsection E of this section.
D. 1. Longevity pay for the first twenty (20) years of service
shall be determined pursuant to the following schedule:
Years of Service Annual Longevity Payment
At least 2 years but
less than 4 years $250.00
At least 4 years but
less than 6 years $426.00
At least 6 years but
less than 8 years $626.00
At least 8 years but
less than 10 years $850.00
Req. No. 7904 Page 5 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
At least 10 years but
less than 12 years $1,062.00
At least 12 years but
less than 14 years $1,250.00
At least 14 years but
less than 16 years $1,500.00
At least 16 years but
less than 18 years $1,688.00
At least 18 years but
less than 20 years $1,900.00
At least 20 years $2,000.00
2. For each additional two (2) years of service after the first
twenty (20) years an additional Two Hundred Dollars ($200.00) shall
be added to the amount stated above for twenty (20) years of
service.
The total amount of the annual longevity payment made to an
employee by any and all state agencies in any year shall not exceed
the amount shown on the table corresponding to that employee's years
of service with the state, except as otherwise provided by Section
840-2.28 of this title. Further, no employee shall receive
duplicating longevity payments for t he same periods of service with
any and all agencies, except as otherwise provided by Section 840-
2.28 of this title.
Req. No. 7904 Page 6 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
E. To determine years of service, cumulativ e periods of full-
time employment or part-time employment working more than one
hundred fifty (150) hours per month with the state excluding service
as specified in subsection A of this section are applicab le. Part-
time employment, working one hundred fif ty (150) hours per month or
less for the state, excluding service as specif ied in subsection A
of this section, shall be counted only if:
1. The period of employment was continuous for at least five
(5) months; and
2. a. The person worked more than two-fifths (2/5) time.
Other employment shall not be counted as service for
purposes of longevity payments. Further, no period of
employment with the state, whether with one or more
than one agency, shall be count ed as more than full-
time service.
b. For purposes of the computation required by this
section, any service performed by a person during
which the person received compensation for duties
performed for the state, except within the judicial
branch, and for which payment for such service was
made using state fiscal resources shall be included in
the calculation.
F. Years of service under the administrative authority of the
State Regents for Higher Ed ucation or the administrative authority
Req. No. 7904 Page 7 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
of the Oklahoma Department of Career and Technology Education of any
employee who is now em ployed in a job classification which is
eligible for longevity pay shall be included in years of service for
purposes of determining longevity pay.
G. Years of service shall be certified through the current
employing agency by the appointing authority on a form approved by
the Office of Management and En terprise Services. The form shall be
completed and posted as directed by t he Director of the Office of
Management and Enterprise Services by the current employing agency
when the employee initially enters on duty with the agency and
thereafter whenever th e employee's anniversary date is changed.
H. Eligible employees, in full -time status or in part-time
status working more than one hundred fifty (150) hours per month,
shall receive one (1) lump-sum annual payment, in the amount
provided on the preceding s chedule, during the month following the
anniversary date of the employee 's most recent enter-on-duty day
with the state. Upon implementation of the statewide information
systems project, the lump -sum annual payment may be paid concurrent
with the final payroll of the month of the employee's anniversary
date. Eligible part-time employees who work one hundred fifty (150)
hours per month or less shall receive one (1) lump-sum annual
payment, based on the form ula in subsection L of this section,
during the month following the anniversary date of the employee's
most recent enter-on-duty day with the state. To receive longevity
Req. No. 7904 Page 8 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
pay an employee must be in pay status on or after his or her
anniversary date.
Eligible employees who would not otherwise receive annua l
longevity payments because their employment includes regular periods
of leave without pay in excess of thirty (30) calendar days shall
receive one (1) lump-sum annual payment, based on the formula in
subsection L of this section, during:
1. The month of August if the employee is in pay status on July
1; or
2. During the month following the employee's first return to
duty that fiscal year if the employee is not in pay status on July
1.
Except as otherwise provided by Section 840-2.28 of this title,
employees terminated as a result of a re duction-in-force or retiring
from state employment shall receive upon said termination or
retirement the proportionate share of any longevity paymen t which
may have accrued as of the date of termination or retirement.
Provided further that, the proportion ate share of any longevity
payment which may have accrued as of the date of death of an
employee shall be made to the surviving spouse of the employ ee or if
there is no surviving spouse to the estate of the employee.
I. Periods of leave without pay taken in accordance with
Section 840-2.21 of this title shall be counted as service. Other
Req. No. 7904 Page 9 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
periods of nonpaid leave status in excess of thirty (30) calen dar
days shall not mark a break in service; however, they shall:
1. Not be used in calculating total months of service for
longevity pay purposes; and
2. Extend the anniversary date for longevity pay by the total
period of time on nonpaid leave status ex cept as provided in
subsection H of this section for employees whose conditions of
employment include regula r periods of leave without pay.
J. Employees currently receiving longevity pay who work for the
judicial branch of state government or who work for the Oklahoma
Department of Career and Technology Education shall not be eligible
for the longevity pay plan provided for in this section.
K. A break in service with the state in excess of thirty (30)
days but which does not exceed two (2) years which was caused by a
reduction-in-force shall be treated a s if it were a period of
nonpaid leave status as provided for in subsection I of this section
for the purpose of calculating total months of service for longevity
pay. This subsection shall only apply to s tate employees laid off
after June 30, 1982.
L. Eligible part-time employees working less than one hundred
fifty (150) hours per month and other eligible employees with
regular annual periods of leave without pay of more than thirty (30)
calendar days will receive a prorated share of the "Annual Longevity
Payment" authorized in subsection D of this section . The prorated
Req. No. 7904 Page 10 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
amount of payment will be based on actual hours worked in the
immediately preceding twelve (12) months.
M. An employee shall not be enti tled to retroactive longevity
payments as a result of amendments to this section unless
specifically authori zed by law.
N. The Director of the Office of Management and Enterprise
Services is authorized to promulgate such Longevity Pay Plan Rules
as he or she finds necessary to carry out the provisions of this
section.
O. As of July 1, 1998, years of service wi th a city-county
health department for employees who left a city-county health
department for employment with the Department of Environmental
Quality or the Oklahoma Department of Agriculture, Food, and
Forestry, between July 1, 1993, and July 1, 1998, and who are now
employed in a job classification that is eligible for longevity pay
pursuant to this section, shall be included in years of service for
purposes of determining longevity pay subsequent to July 1, 1998.
P. As of July 1, 2003, years of service with a local
conservation district shall be included in years of service for
purposes of determining longevity pay for local conservation
district employees transferred to the Oklahoma Conservation
Commission pursuant to the provisions of this section.
Req. No. 7904 Page 11 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
SECTION 3. AMENDATORY 74 O.S. 2021, Section 840-2.20, as
amended by Section 16, Chapt er 243, O.S.L. 2022 (74 O.S. Supp. 20 22,
Section 840-2.20), is amended to read as follows:
Section 840-2.20 A. The Director of the Office of Management
and Enterprise Services shall promulgate such emergency and
permanent rules regarding leave and holiday leave as are necessary
to assist the state and its agencies.
The Director of the Office of Management and Enterprise
Services, in adopting new rules, amendin g rules and repealing rules,
shall ensure that the following provisions are incorporated:
1. Eligible employees who enter on duty or who are reinstated
after a break in service shall receive leave benefits in accordance
with the schedule outlined below . Leave shall be accrued based upon
hours worked, paid leave, and holidays, but excluding overtime, not
to exceed the total possible work hours for the pay period. Years
of service shall be based on cumulative periods of employment
calculated in the manner that cumulative service is determined for
longevity purposes pursuant to Section 840-2.18 of this title.
Employees may accumulate more than the maximum annual leave
accumulation limits shown in the schedule below provided that such
excess is used during t he same calendar year in which it accrues or
within twelve (12) months of the date on which it accrues, at the
discretion of the appointing authority. If an employee whose job
duties include providing fire protection services, law enforcement
Req. No. 7904 Page 12 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
services or services with the Department of Corrections is unable to
use excess leave as provided for in this paragraph because the
employee's request for leave is denied by the employee's appointing
authority and the denial of leave is due to extraordinary
circumstances such that taking leave could pose a threat to public
safety, health or welfare, the employee shall receive compensation
at the employee's regular rate of pay for the amount of excess leave
the employee is unable to use. Such compensation shall be paid at
the end of the time period during which the excess leave was
required to have been used;
2. From November 1, 2001 On and after the effective date of
this act, the following accrual rates and accumulation limits apply
to eligible employees as follows:
ACCRUAL RATES ACCUMULATION
LIMITS
Cumulative
Years of Annual Sick Annual
Service Leave Leave Leave
Persons employed 0-5 yrs = 15 day/yr 15 days/yr 30 days
5-10 yrs = 18 day/yr 15 days/yr 60 80 days
10-20 yrs = 20 day/yr 15 days/yr 60 80 days
over 20 yrs = 25 day/yr 15 days/yr 60 80 days
Following an emergency declaration as described in Section 683.8
of Title 63 of the Oklahoma Statutes, the accumulation limits for
Req. No. 7904 Page 13 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
annual leave shall temporarily increase and shall carryover to the
end of the fiscal year following the year in which the emergency
declaration ended.
All annual leave that accrued or expired during the period of
the emergency declarations issued by the Gove rnor in 2020 and 2021
in response to the novel coronavirus (COVID-19) shall carry over to
the end of the fiscal year follow ing the year in which the emergency
declaration ended regardless of regulatory provisions that establish
a maximum amount of annual l eave that may be accumulated by an
employee of the State of Oklahoma. Expired annual leave governed by
this subsection shall be reinstated as of the effective date of this
act, and accumulation limits for annual leave shall not apply to
amounts accrued or reinstated pursuant to this subsection.
Eligibility for reinstatement of annual leave is limited to
employees currently e mployed by the State of Oklahoma on the
effective date of this act;
3. Temporary employees and other limited term employees are
ineligible to accrue, use, or be paid for sick leave and annual
leave. Such employees shall be eligible for paid holiday leav e at
the discretion of the appointing authority;
4. Except as provided in paragraph 2 of this subsection,
employees shall not be entitled to retroactive accumulation of leave
as a result of amendments to this section;
Req. No. 7904 Page 14 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
5. The Director of the Office of M anagement and Enterprise
Services shall assist agencies in developing policies to prevent
violence in state government workplaces without abridging the rights
of state employees. Such policies shall include a paid
administrative leave provision as a cooling-off period which the
Director of the Office of Management and Enterprise Services is
authorized to provide pursuant to the Administrative Procedures Act.
Such leave shall not be charged to annual or sick leave
accumulations;
6. State employees who terminated their employment in the state
service on or after October 1, 1992, may be eligible to have sick
leave accrued at the time of termination of employment restored if
they return to state employment provided that the state employees'
enter-on-duty dates for reemployment occur on or before two (2)
years after their termination of employment and they are eligible to
accrue sick leave before the two (2) years expire;
7. Employees who are volunteer firefighters pursuant to the
Oklahoma Volunteer Firefighters Act and who are called to fight a
fire shall not have to use any accrued leave or need to make up any
time due to the performance of their volunteer firefighter duties;
8. Employees who are reserve municipal police officers pursuant
to Section 34-101 of Title 11 of the Oklahoma Statutes and who miss
work in performing their duties in cases of emergency shall not have
Req. No. 7904 Page 15 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
to use any accrued leave or need to make up any time due to the
performance of their reserve municipal police officer duties; and
9. Employees who are reserve deputy sheriffs pursuant to
Section 547 of Title 19 of the Oklahoma Statutes and who miss work
in performing their duties in case of emergency shall not have to
use any accrued leave or need to make up any time due to the
performance of their reserve deputy sheriff duties; and
10. For purposes of the computation required by this section,
any service performed by a person during which the person received
compensation for duties performed for the state, except within the
judicial branch, and for which payment for such service was made
using state fiscal resources shall be included in the calculation .
B. Nothing in law is intended to prevent or discourage an
appointing authority from discipli ning or terminating an employee
due to abuse of leave benefits or absenteeism. Appointing
authorities are encouraged to consider attendance of employees in
making decisions regarding promotions, pay increases, and
discipline.
C. Upon the transfer of a f unction in state government to an
entity outside state government, employees may, with the agreement
of the outside entity, waive any payment for leave accumulations to
which the employee is entitled and authorize the transfer of the
leave accumulations or a portion thereof to the outside entity.
Req. No. 7904 Page 16 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
D. All permanent employees of the state shall be eligible to
carryover a maximum of six hundred forty (640) hours of an nual leave
each year. Additionally, all employees shall be paid up to a
maximum of six hundred forty (640) hours of annual leave upon
separation from state service.
SECTION 4. This act shall become effective July 1, 2023.
SECTION 5. It being immediately ne cessary for the preservation
of the public peace, health or safety, an emergency is hereby
declared to exist, by reason whereof this act shall take effect a nd
be in full force from and after its passage and approval.
59-1-7904 JM 03/02/23