HomeMy WebLinkAboutAgenda - 03-15-2011- 4fORANGE COUNTY
BOARD of COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date; March 15, 2011
Action Agenda
Item No.
SUBJECT: Sheriffs Department Workweek and Pa
DEPARTMENT: Human Resources PUBLIC HEARING: ~Y1N~ No
ATTACHMENT~S~: INFORMATION CONTACT:
Frank Clifton, County Manager,
245-2306
Lindy Pendergrass, Sheriff, 245-2900
Michael McGinnis, HR Director,
245-2552
Annette Moore, Staff Attorney, 245-2311
Katherine Cathey, Grganizational
Development Manager 245-2553
PURPOSE: To authorize workweek changes implemented to correctly record hours worked
and pay for Sheriff's Department employees.
BACKGROUND: In September 2009, staff became aware of recording issues in the way
MUNIS the County's computer software} was calculating employees' salaries for deputies in
the Sheriff's Department. Deputies were earning correct annual salaries, but their base pay
hours were recorded incorrectly. An independent audit of employees' time was conducted by
RSM McGladrey, Inc. to ensure that the deputies had been paid correctly and to review
recording practices to ensure that they were consistent with the Fair Labor Standards Act
~"ELBA"} and other applicable federal and state laws as well as the Grange County Personnel
Grdinance.
The FLSA sets the maximum number of hours an employee subject to the FLSA may work
before becoming subject to overtime compensation. Typically employees receive overtime
when they actually work more than 40 hours in a seven day period. However, special rules
apply for public safety employees. The FLSA allows a public entity to establish a higher
maximum number of hours worked before overtime is earned; this is often referred to as the "7k
exemption." For a law enforcement officer, an employer may establish a work period of up to
28 days and is not required to pay overtime for that period until an employee works mare than
171 hours. Shorter time periods can be established such as 43 hours in a 7 day period, or 86
hours in a 14 day period. Regardless of which time period is used, once the maximum number
of hours has been reached the employee is compensated with either time off or pay at the
premium rate.
~9 U.s.c. § Zo~~~}
2
The audit revealed that deputies were paid correctly but, as suspected, the pay was recorded
incorrectly in MUNIS. It was found that the employees' base pay was recorded as 44 hours per
week rather than the 42.75 average hours per week they were actually working. The 44 hours
were paid at a higher hourly rate of pay to equal the annual salary approved in the budget by
the Board of Commissioners. Sheriff's deputies received overtime pay at the higher hourly rate
when they worked more than 171 hours in a 28 day period, which was rare,
North Carolina General Statutes provide that "each sheriff ... is entitled to at least two deputies
who shall be reasonable compensated. " Compensation is provided by the County. The
General Statutes also provide that "the board of commissioners shall fix ar approve the
schedule of pay, expense allowances, and other compensation of all county officers and
employees whether elected or appointed, and may adopt position classification plans."~
The County Manager and the Sheriff have discussed this issue and have developed a plan to
modify past practices. Effective August 23, 2010, the Sheriffs Office began scheduling
deputies a total of 164 hours during the 28 day work period. As a result the deputies now work
the same amount of hours per week as other County employees. The deputies receive their
straight hourly rate of pay for the hours worked up to 164 hours. Consistent with FLSA, they
also receive their straight hourly rate of pay for any additional hours worked up to 171 hours in a
28 day period. For any hours worked above 1 l1, they will be compensated with either time off
or pay at a rate of one and one~half hours for each hour worked or one and one-half times the
hourly rate of pay as provided in the Grange County Personnel Administrative Rules and
Regulations.
FINANCIAL IMPACTS There is no financial impact associated with this scheduling change.
Employees continue to receive annual salaries, as budgeted, far FY 241411.
RECOMMENDATI~N~S~: The Manager recommends that the Board authorize the changes
noted .
~ N.C. Gen. Stat. ~ 153A-1032}
~ N.C. Gen. Stat. ~ 153A-9Z~a}