Establishing Positions

Explanation

Most of the positions listed in the Salaries and Wages Supplement are defined in terms of the staffing authorized for various organizational units by classes established by the appropriate salary setting authority. This is the preferred method of presentation and provides for a clear understanding of staffing needs by the Administration and the Legislature. The second type of legislative authorization is the blanket position (or blanket authorization). Blanket authorizations in the approved budget must be reviewed annually or established by the submission or approval of Change in Established Positions STD 607 in accordance with the provisions of State Administrative Manual (SAM) Section 6527.

Blanket positions are authorizations in the approved budget (Salaries and Wages Supplement) in terms of full-time equivalent personnel-years (PY) and amount of salaries and wages (but not by class) that may be spent for short-term or intermittent uses when it would be impractical to express the needs in terms of classified positions. Such uses are characterized as being temporary, seasonal, or intermittent as contrasted to the classified positions, which are normally used for longer-term, more permanent, staffing needs. Any type of position may be paid from a blanket position in the approved budget at the discretion of the DGS as long as the restrictions established for the use of blanket positions in Section 6518 of the SAM and SAM Section 6527 are met.

Establishment, amendment, or abolishment of positions, blanket positions, and other position-related transactions are documented by the use of the STD 607.

The temporary downgrading of positions through the use of STD 607 shall not be permitted, except when extraordinary situations occur that require such downgrading. In those situations, STD 607 must be submitted with appropriate justification and lead time to be evaluated and approved by the Department of Finance (DOF) prior to the effective date.

Position transactions requiring the form STD 607, which meet the following four criteria, are exempt from review and approval of DOF, provided budgetary review is not otherwise mandated for those transactions.

1. The position has been: (a) specifically identified in the Governor’s Budget and approved by the Legislature or; (b) approved by the Legislature and specifically documented in the Final Change book or enacted legislation.
2. The purposes are consistent with approved program, with legislative intent and with administration policy. The STD 607 does not provide for new or expanded programs in this or any subsequent fiscal year nor require supplemental financing.
3. All pertinent statutory and administrative regulations such as those of the California Department of Human Resources (CalHR), the State Personnel Board (SPB), the Board of Control (BOC) and the State Controller’s Office (SCO) have been applied and prior approvals secured when necessary.
4. Notwithstanding the general criteria for exemption listed above, budgetary review by DOF is mandated for the types of transactions listed below:
   • Administrative establishment of positions not authorized by the Legislature,
   • Reclassification to positions with a minimum salary step per month as specified in Section 31 of the Budget Act,
   • Establishment of permanent positions out of the blanket authorizations, and
   • Temporary downgrading positions through the use of STD 607.

The DGS is subject to the provisions of Section 31 of the Budget Act.

Policy

Effective July 1, 2000, the DGS is no longer exempt from the requirement to obtain prior approval from the DOF to establish positions. DGS lost Provision 10 in Item 1760-001-0666, Chapter 52 (Budget Act). All new positions that might be created by Provision 4 and/or 6, category transfers or by other means, must now be signed by the DOF. Therefore, the DGS must not make a commitment to a future employee until the position has been approved by the DOF.

Also, effective July 1, 2002 (this may change each fiscal year [FY]), 607s reclassifying positions with a minimum monthly salary step of $6,032 or greater must be signed by the DOF. This applies to all departments, boards and commissions.

Procedure

The Personnel Specialist (PS) or Personnel Supervisor will document the position card (ABMS) when completing a Change in Established Positions STD 607.

All DGS OHR 25 should be sent to the Special Projects Unit in the Personnel Transactions Unit (PTU) rather than to the individual PS. This will ensure proper handling and position accuracy. Exceptions include the Facilities Management Division (FMD) for Custodians; the Division of the State Architect (DSA); and the Office of State Publishing (OSP).

As part of the form revision, Classification and Pay (C&P) Analysts will automatically receive notification of all DGS OHR sent by the Office of Fiscal Services (OFS) and Contracted Fiscal Services (CFS) to the PTU for processing.

Definitions

Permanent Position

Any position authorized by the Legislature for indefinite continuation within any classification established by a salary setting authority. They may be full-time, fractional time, or intermittent. Permanent positions must be certified for continuation at the beginning of each fiscal year. (See Section 6521.)

As a matter of clarification, the appointment process is a method of filling positions. A permanent appointment is any appointment which continues for any length of time exceeding the probationary period for that class.

New Position

A position that has been newly authorized for establishment in the approved budget. Normally, new positions are presented in the Governor’s Budget (“Changes in Authorized Positions” section) as Proposed New Positions.

Limited-Term Position

Any position that has been authorized for a specific length of time. Limited-term positions may be authorized during the budget process or in transactions approved by DOF. The limitation will be stated in the document establishing the authorization. Maximum period in most cases is 24 months.

Temporary Help or Overtime Blankets

Blanket funds are established within DGS to allow payments for temporary help, seasonal help, overtime, or other special purposes. Blankets are established for one fiscal year only, initiated by receipt of a Request Change in Established Positions DGS OHR 25, issued by the Budget Office. Establishing or changing blanket funds requires a STD 607 processed by the SCO. Within the Personnel Transactions Unit (PTU), Blanket funds are documented on a “Blanket Funds (OAS 153)” card.

Blankets must be established with SCO at the beginning of each new fiscal year before payments can be authorized. Blanket funds may be increased or decreased throughout the fiscal year, as long as the total salary and wage expenditures do not exceed the amount encumbered.

Temporary help blankets are authorizations to be used only for payment of employees for a limited duration of time. Continuing monthly or periodic payments may not be made to any person for an indefinite period (on a permanent basis). Employees who are employed on a full year basis, whether full-time or part-time, should be paid from a classified position rather than a blanket authorization. Temporary help blankets may be used for the following purposes:

• Position overlaps. This includes filling in behind:
  1. Employees on temporary or extended leaves of absence, sick leave, military leave, etc.
  2. An employee on training. This may be necessary to insure continuity of operations when an employee in a key role leaves a department.
  3. Payment to a separating employee for unused, accrued leave.
• Employment of limited duration or intermittent use. Such usage would include but not be limited to the hiring of additional employees for the following uses:
  1. Special consultant studies.
  2. Student assistants.
  3. Special projects or contracts of a limited nature such as compilation of statistical data.
  4. Seasonal workload.
  5. Overtime peak workloads that are anticipated in program and administrative areas.
  6. Special uses may be established for blankets to keep track of funds expended for limited purposes such as escapes and emergencies and other differentiations meaningful to the DGS.

Overtime blankets are authorizations used to pay employees for compensable, authorized time worked in excess of the regularly scheduled workweek. At the discretion of the DGS and in accordance with personnel rules of the salary setting authority, overtime may be used in place of temporary help to meet peak workload requirements where feasible and economically advantageous.

DOF approval is required for the establishment of a permanent position by transfer of funds from a blanket authorization.

NOTE: The following statement applies to all other departments that do not have delegation authority from the CalHR.

Certification of Conformance and Availability of Funds (CalHR Form 137)

Before CalHR will consider any classification, pay, or settlement action for which funding is not provided in Budget Act salary increase items, it requires a Certification of Conformance and Availability of Funds form, CalHR 137, from the DGS affected by the proposed transactions. (See Certification of Conformance and Availability of Funds section in this manual). When a change is under consideration, which involves more than one department, the staff of CalHR will inform each department that they will need to prepare a CalHR 137. Examples of the types of actions for which a CalHR 137 is required are:

1. Establishment of a new class.
2. Revision of a class resulting in a salary increase for one or more individuals.
3. Pay differential (such as night-shift, recruitment, education, etc.).

4. Hiring above minimum.

5. Temporary authorization to pay cash compensation for overtime.  Certification of funding need only be made for the period of authorization.

6. Changes to alternate range criteria.

7. Allocation of classes to work week groups, which authorize cash payment for overtime.

8. Unfair labor practice settlements.

9. Grievance/arbitration settlements.

10. Legal settlements.