Present: Susan Grimes Munsell, Chairperson

Robert P. Hunter, Commissioner

Sherry L. McMillan, Commissioner

James P. Pitz, Commissioner

John F. Lopez, State Personnel Director

1. The meeting of the Civil Service Commission was opened by Civil Service Commission Chairperson Susan Grimes Munsell at 10:05 a.m., in Conference Room A, Lower Level, Capitol Commons Building, 400 S. Pine Street, Lansing, Michigan.

2. Chairperson Susan Grimes Munsell introduced the new Civil Service Commissioner, Sherry L. McMillan.

3. On motion duly made and supported, the Commission approved the minutes of the December 18, 2001.

1. On motion duly made and supported, the Commission approved the following retirement resolution for Rosemary Cronin-Mattice:

Whereas, Rosemary Cronin-Mattice has decided to retire from State Government after 27 years of service, all of which were with the Department of Civil Service, and

Whereas, Rosemary demonstrated commitment and dedication throughout her career as a public servant, gaining the respect and admiration of her colleagues, and

Whereas, Rosemary, in her capacity as Deputy Director of the Office of Technical Services pursued the implementation of state-of-the-art information technology to enhance departmental services, and

Whereas, Rosemary performed in an exemplary manner while serving as Acting Director of the Office of Technical Services during the Director’s assignment to the HRMN project, and

Whereas, Rosemary, with her experience, knowledge, and foresight, demonstrated a commitment to excellence in her interactions with staff and customers, and

Whereas, Rosemary, when she departed, took with her a variety of knowledge and perspectives on the Department of Civil Service, and

Whereas, Rosemary will be remembered for her kindness and compassion for others, and

Whereas, Rosemary, in her retirement, will have more time to spend with her husband, Lee, their children, and grandchildren, and

Whereas, Rosemary will be further able to indulge in her love of reading, learning, and travel and expand her horizons in other areas of interest, be it therefore

Resolved, that the Michigan Civil Service Commission does hereby extend to Rosemary Cronin-Mattice its heartfelt appreciation for her dedicated efforts and many accomplishments during her years of service.

Resolved, that the Commission extends to Rosemary its warmest wishes for much health and happiness throughout her retirement.

1. The Commission received the following report from John F. Lopez, State Personnel Director:

Employment Relations Board Reappointment

The Civil Service Commission approved the reappointment of Richard Warner as a member of the Employment Relations Board. Mr. Warner’s term expires on April 30, 2005.

Unclassified Position Report

Civil Service Commission Rules require me to report on the establishment or abolition of positions in the unclassified service. Since the last commission meeting, I approved the following three requests:

Department of Community Health: I received a February 6, 2002, request from the Department of Community Health to establish an unclassified position. The position serves as the Deputy of Strategic Budget Initiatives. This request was approved on February 14, 2002.

Department of Education: I received February 20, 2002, request from the Department of Education to establish an unclassified position. The position serves as the Chief of Staff/Director of Communications for the Office of the Superintendent. At the same time, the department abolished its unclassified Administrative Assistant position. This request was approved on February 25, 2002.

Department of Consumer and Industry Services: I received an April 10, 2002, request from the Department of Consumer and Industry Services to establish an unclassified position, to serve as Director of the Bureau of Worker’s and Unemployment Compensation. This position was created in accordance with Executive Order No. 2002-1. It combines the Unemployment Agency, Bureau of Worker’s Compensation, Worker’s Compensation Board of Magistrates, and the Wage and Hour Division in the Bureau of Safety and Regulation. At the same time, the Department requested the abolishment of two unclassified positions; the directors’ positions in the Bureau of Worker’s Compensation and the Unemployment Agency. This request was approved on April 19, 2002.

Civil Service Commission Rules require that I report to the commission on the promulgation of regulations, which are issued to implement commission rules.

Since the last commission meeting, the following regulations have been promulgated:

Regulation 2.05, Workplace Safety. This regulation was promulgated to implement commission rule 2-20. Both the rule and the regulation were issued to promote the safety and security of employees, visitors, clients, and other individuals conducting state business or receiving services from the state. The regulation also provides direction regarding situations where there is an imminent risk of danger, reporting obligations, actions to stop violence, discipline, and education and training.

Since the last commission meeting, the following regulations have been revised and reissued:

Regulation 2.03, Leave of Absence. New language was added to clarify that school leave may only be utilized during an employee’s scheduled work time.

Regulation 4.08, Working out of Class. Language was revised to include the new Rule language, and to specify that the regulation governs all state employees.

Regulation 5.07, Performance-Pay Programs. Revisions include the new rule language, require certification that the Department of Civil Service has reviewed and approved a current position description with requests for approval of appointments and reappointments of SES and SEMAS employees, and establish a standard for pay upon reclassification for Staff Attorneys reclassified to the senior level.

Regulation 5.09, Annual, Personal, and School Participation Leave: New language has been added to clarify that school leave may only be utilized during an employee’s scheduled work time.

Regulation 5.12, Severance Pay: This regulation was revised to reflect the establishment of a Special Severance Fund of $250,000 for nonexclusively represented employees who are indefinitely laid off on or after October 1, 2001

Regulation 6.01, Employee-Organization Initiated Conference with Department of Civil Service to Initiate Changes in Existing Rules and Procedures: This regulation was repealed and replaced by new Regulation 6.01 - Limited-recognition Organizations.

Regulation 6.02, Procedure on Unfair Labor Practices: Proof of service requirements are added. The new regulation also authorizes administrative dismissal of deficient charges. Standard E clarifies the representation authorized for unfair labor practice charges.

Regulation 6.03, Procedure of Dues Deduction: The amended regulation makes minor clarifications to the procedures for collecting dues and service fees. Dues determination provisions are deleted because collective bargaining agreements now provide them.

Regulation 6.04, Procedure on Exclusive Recognition: Standards C and D codify current practices in holding representation elections, including proper showings of interest, eligible voters, and petition bars.

Regulation 6.05, Employment Relations Board Procedures: Impasse Panel: Provisions regarding split impasse decisions are clarified.

Regulation 6.06, Employment Relations Board Procedures: Framework for Annual Coordinated Compensation Plan Determination: Standards A, B, and C provide more detailed guidance on the scheduling, submissions, and procedures for participation in the coordinated compensation process.

Regulation 6.07, Procedures for Investigating Complaints Regarding Prohibited Subjects of Bargaining: Standard B amends the requirements for a proper complaint and the grounds for administrative dismissal of insufficient complaints.

Regulation 6.08, Designation and Review of Excluded Positions: Interim provisions from the current regulation are deleted.

Regulation 8.01, Grievance and Appeal Procedure: Section 7 on authorized representation is updated to reflect provisions that were part of Regulation 2.04.

In addition, I repealed Regulation 2.04, Procedure on Administrative Leave for Employee Relations Activities of Employees Not Covered by Negotiated Labor Agreements. The provisions of Regulation 2.04 were moved to other regulations.

2. Joseph Slivensky, Director, Bureau of Administrative Services, and Janet McClelland, Chief Deputy Director, presented a report on the Early Out Retirement Program.

Mr. Slivensky summarized the early retirement plan and its resultant statewide impact. He reported that approximately 8,200 employees submitted applications to retire under the plan, and an estimated 385 of those employees withdrew their applications. Mr. Slivensky noted that 12.5% of the state workforce is retiring under the early retirement plan, and discussed the challenges for the remaining workforce.

Janet McClelland reported on the impact of the early retirements on the Department of Civil Service. Thirty one of the Department’s 181 employees, and seven Department of Information Technology employees assigned to Department of Civil Service, are opting for the early retirement. The department requested and received approval for some extensions to the November 1, 2002, deadline for departure under the early retirement plan. Ms. McClelland noted that Civil Service will begin consolidating and realigning the organization to deal with the impact.

Chairperson Munsell announced that State Personnel Director John F. Lopez has decided to take the early retirement, but will remain until January 1, 2004. She reported that retirement extensions were also granted for Diane Hardman, Executive Secretary to the Civil Service Commission and the State Personnel Director – extended until January 1, 2004; Rich Huneke, Director of the HRMN Project – extended until April 1, 2003; Carol Mowitz, Director of Human Resources Services Bureau, Group B – extended until July 1, 2003; and Nate Lake, Director of the Office of Performance Excellence – extended until July 1, 2003.

Janet McClelland noted that Civil Service will follow the 1:4 formula recommended by the budget office for filling retirement positions, and has received approval to fill 7 additional positions from the vacancy pool. The main focus of additional staff will be to coordinate the Human Resource community to fill the 2,000 positions from the 1:4 formula. Ms. McClelland stated the Department losing a very knowledgeable, experienced group of managers and staff that will be sorely missed, and that the time during the transition will be used to have a knowledge transfer occur and to recruit for some new talent. Civil Service will also do everything possible to assist the departments that are similarly impacted.

3. Debbie Burda, Human Resources Director for the Department of State, and Jim Farrell, Department of Civil Service, Bureau of Human Resource Services, presented a report on Human Resources Consultant Training.

Mr. Farrell reported on this collaborative effort between DCS, OSE and agency human resources directors to develop a strategic plan to move HR services in a new direction, and to provide new services more effectively. Following discussions with the human resource directors and OSE to identify key areas for technical training, a curriculum was developed which included selection, classification, disability management, labor relations, benefits and retirement, compensation, and safety & health. They also developed a general overview track to give a basic foundation in each of these areas, and developed an advanced technical training track. The first session has gone through the generalist training, and the advanced training should begin in the fall.

Debbie Burda stated that the goal of the consulting piece of the project focused on providing Human Resources, Civil Service, and Office of State Employer staff with training and practice in strategic partnering, process improvement, consulting, and change management and implementation. Project staff worked with faculty from the School of Labor and Industrial Relations at MSU to design the program. Agency teams are grouped together in cohorts of 25 or 26 people which go through the entire training program together. Teams will leave with a finished project they can incorporate into the way that they do business, and skills they can use on a daily basis.

1. Joyce VanCoevering, Director of Agency Services, and Rhonda Whiting from the Travel Program, Department of Management and Budget, presented the Proposed Travel Expense Reimbursement Rates for FY 2002-2003. Ms. VanCoevering stated the only recommended change in the rates is the in-state standard breakfast reimbursement rate, from $7.00 to $7.25. She summarized the methodology used to determine the rates, and the results from a survey of travelers and limited recognition organizations. The Department of Management and Budget, Vehicle and Travel Services Schedule of Travel Rates for Classified and Unclassified Employees Proposed Rates Effective October 1, 2002, is by reference, a part of the record of this meeting.

On motion duly made and supported, the Commission approved the proposed travel expense reimbursement rates for FY 2002-2003.

2. D. Daniel McLellan, General Counsel, reported that a letter of understanding between the Office of State Employer and SEIU Local 31-M having to do with union leaves of absence for employees in the Human Services Support Unit was given interim approval by the State Personnel Director with the Consent of the Commission Chair.

3. D. Daniel McLellan reported on the Amendments to Rule 2-14, Veterans’ Affairs and Military Leave, which were given interim approval by the State Personnel Director with the consent of the Commission Chair, retroactive to September 11, 2001. The proposed change in the rule extends the pay differential benefit continuation provisions to employees called to active duty from a maximum of 30 days to all active-duty time between September 11, 2001, and December 31, 2002. Additionally the military leave provisions are extended to employees in limited-term appointments.

On motion duly made and supported, the Commission approved Resolution G-3 regarding the Amendments to Rule 2-14:

Section 1. The amendments to the Civil Service Rule 2-14, Veterans’ Preference and Military Leave, approved by the State Personnel Director on January 11, 2002, retroactive to September 11, 2001, and published in CS-6969, are approved effective immediately for all nonexclusively represented employees.

4. On motion duly made and supported, the Commission adopted Resolution G-4, approving Letters of Understanding regarding military leaves of absence:

Section 1. The Office of the State Employer and each of the following exclusive representatives have submitted a letter of understanding (attached) regarding military leaves of absence under the applicable primary collective bargaining agreement:

UAW International Union and its Local 6000

AFSCME Council 25

SEIU Local 31-M

Michigan Corrections Organization

Michigan State Employees Association

Michigan Public Employees, SEIU Local 517 (MPES)

United Technical Employees Assn., a Division of MPES

The State Personnel Director, with the consent of the Chair, granted interim approval on March 21, 2002.

Section 2. Each letter of understanding is approved.

Section 3. Each approved letter of understanding shall remain in effect through December 31, 2002, unless otherwise agreed to between the parties and approved by the Civil Service Commission.

5. Mr. McLellan briefed the Commission on the proposed amendments to the Compensation Rules. The proposed amendments to Rule 5-6.3 – Premium for Deparment of Consumer and Industry Services Insurance Examiners Working out of State, and 5-6.4 – Premium for Department of Treasury Auditors Working and Redsiding Out of State, specify the amount of out-of-state premium in the rule. New Rule 5-6.8 authorizes additional compensation for extracurricular program services provided by employees of the Schools for the Deaf and Blind.

On motion duly made and supported, the Commission approved the proposed amendments to Civil Service Rule 5-6 (Revision A, April 16, 2002, circulated in CS-6972, dated April 17, 2002), effective immediately.

6. D. Daniel McLellan stated that Resolution G-6, regarding Letters of Understanding between Office of State Employer and the UAW and AFSCME, covers the same issues for the Schools for the Deaf and Blind as the amendments to the Compensation Rules.

On motion duly made and supported, the Commission adopted Resolution G-6, approving Letters of Understanding regarding the Michigan Schools for the Deaf and Blind:

Section 1. The letter of understanding between the State Employer and the International Union UAW and its Local 6000 regarding extracurricular responsibilities at the Michigan Schools for the Deaf and Blind, submitted on March 26, 2002, is approved.

Section 2. The letter of understanding between the State Employer and the International Union UAW and its Local 6000 regarding pay for substitute teaching during preparation periods at the Michigan Schools for the Deaf and Blind, submitted on March 26, 2002, is approved.

Section 3. The letter of understanding between the State Employer and the AFSCME Local 25 regarding extracurricular responsibilities at the Michigan Schools for the Deaf and Blind, submitted on April 17, 2002, is approved.

7. John Gnodtke, Assistant General Counsel for the Department of Civil Service briefed the Commission on agenda item G-7. At the December 2001, meeting the Commission granted extensions to 55 secondary agreements to allow bargaining for new secondaries. OSE has now submitted 44 Secondary Agreements on behalf of the departments and AFSCME, MCO, MPE, MSEA, and UAW for approval. Mr. Gnodtke noted that the State Personnel Director has granted further extensions of some secondary agreements so that negotiations can continue.

Mr. Gnodtke stated that Resolutions G-7a and G-7b, provide that the secondary agreements with MPE and MCO will take effect immediately. The resolutions before the Commission for AFSCME, MSEA and UAW proposed secondary agreements provide for the Commission’s tentative approval, to take effect upon receipt by the State Personnel Director of certification of ratification by the membership. Mr. Gnodtke reported that staff reviewed all of the proposed amendments for language violating rules and regulations governing prohibited subjects of bargaining. Staff recommends that the Commission approve all 44 agreements as submitted with a clarification that the Commission does not approve two boxed comments in the UAW and Lottery secondary agreement, which included former language that the Commission struck out of the agreements in December, 2001.

On motion duly made and supported, the Commission approved Resolution G-7a (revised), G-7b (revised), G-7c (revised), G-7d (revised), and G-7e (revised):

1. On December 18, 2001, the Civil Service Commission approved a new primary collective bargaining agreement (CBA) between the Office of the State Employer (OSE) and the Michigan Public Employees (MPE), effective January 1, 2002.

2. The OSE, on behalf of the MPE, Department of Community Health, and Department of Consumer and Industry Services, has submitted requests that the Civil Service Commission approve new secondary CBAs for the two agencies. The bargaining unit members have ratified the tentative agreements.

Therefore, after consideration of the proposals of Civil Service staff and the parties:

A. The Civil Service Commission approves the two submitted secondary CBAs as the secondary CBAs in the following agencies from May 23, 2002, until December 31, 2004:

B. Before publishing the text of the secondary CBA, the parties may undertake any of the following so long as the substantive provisions of the published Secondary CBA as approved by the Civil Service Commission are not altered:

(1) Change the organization, numbering, and formatting of the secondary CBA.

(2) Correct typographical, punctuation, and grammatical errors.

(3) Correct references that are incorrect or obsolete.

1. On December 18, 2001, the Civil Service Commission approved a new primary collective bargaining agreement (CBA) between the Office of the State Employer (OSE) and the Michigan Corrections Organization (MCO), effective January 1, 2002.

2. Under the previous primary CBA for the Security Unit, the MCO had negotiated one secondary CBA with the Department of Community Health. At its December 18, 2002, meeting, the Civil Service Commission extended until March 30, 2002, the secondary CBAs that was scheduled to expire on January 1, 2002. The State Personnel Director subsequently approved another extension until May 31, 2002.

3. The OSE, on behalf of the MCO and Department of Community Health, has submitted a request that the Civil Service Commission approve a new secondary CBA for the Department of Community Health. No ratification is required.

Therefore, after consideration of the proposals of Civil Service staff and the parties:

A. The Civil Service Commission approves the submitted secondary CBA as the secondary CBA in the Department of Community Health from May 23, 2002, until December 31, 2004.

B. Before publishing the text of the secondary CBA, the parties may undertake any of the following so long as the substantive provisions of the published Secondary CBA as approved by the Civil Service Commission are not altered:

(1) Change the organization, numbering, and formatting of the secondary CBA.

(2) Correct typographical, punctuation, and grammatical errors.

(3) Correct references that are incorrect or obsolete.

1. On December 18, 2001, the Civil Service Commission approved a new primary collective bargaining agreement (CBA) between the Office of the State Employer (OSE) and the American Federation of State, County, and Municipal Employees (AFSCME), effective January 1, 2002.

2. Under the previous primary CBA for the Institutional Unit, the AFSCME had negotiated secondary CBAs with various agencies. At its December 18, 2002, meeting, the Civil Service Commission extended until March 30, 2002, six secondary CBAs that were scheduled to expire on January 1, 2002. The State Personnel Director subsequently approved another extension until May 31, 2002.

3. The OSE, on behalf of the AFSCME and four agencies, has requested that the Civil Service Commission approve new secondary CBAs for four agencies. Ratification by unit members is still required for some agencies.

Therefore, after consideration of the proposals of Civil Service staff and the parties:

A. The Civil Service Commission, subject to necessary ratification by unit members, approves the submitted secondary CBAs as the secondary CBAs in the following agencies until December 31, 2004:

B. An approved secondary CBA will become effective upon receipt by the State Personnel Director of proper notice of the ratification by relevant unit members.

C. Before publishing the text of the secondary CBA, the parties may undertake any of the following so long as the substantive provisions of the published Secondary CBA as approved by the Civil Service Commission are not altered:

(1) Change the organization, numbering, and formatting of the secondary CBA.

(2) Correct typographical, punctuation, and grammatical errors.

(3) Correct references that are incorrect or obsolete.

1. On December 18, 2001, the Civil Service Commission approved a new primary collective bargaining agreement (CBA) between the Office of the State Employer (OSE) and the Michigan State Employees Association (MSEA), effective January 1, 2002.

2. Under the previous primary CBA for the Labor & Trades and Safety & Regulatory Units, the MSEA and Police Officers Association of Michigan (POAM), respectively, had negotiated secondary CBAs with various agencies. The MSEA now represents both the Labor & Trades and Safety & Regulatory Units.

3. On December 18, 2002, the Civil Service Commission extended secondary CBAs scheduled to expire on January 1, 2002, in 18 agencies until March 30, 2002. The State Personnel Director subsequently approved another extension until May 31, 2002.

4. The OSE, on behalf of the MSEA and 17 agencies, has requested that the Civil Service Commission approve new secondary CBAs for 17 agencies. Ratification by unit members is still required for some agencies.

Therefore, after consideration of the proposals of Civil Service staff and the parties:

A. The Civil Service Commission, subject to necessary ratification by unit members, approves the submitted secondary CBAs as the secondary CBAs in the following agencies until December 31, 2004:

1. Safety & Regulatory and Labor & Trades Units:

B. An approved secondary CBA will become effective upon receipt by the State Personnel Director of proper notice of the ratification by relevant unit members.

C. Before publishing the text of the secondary CBA, the parties may undertake any of the following so long as the substantive provisions of the published Secondary CBA as approved by the Civil Service Commission are not altered:

(1) Change the organization, numbering, and formatting of the secondary CBA.

(2) Correct typographical, punctuation, and grammatical errors.

(3) Correct references that are incorrect or obsolete.

1. On December 18, 2001, the Civil Service Commission approved a new primary collective bargaining agreement (CBA) between the Office of the State Employer (OSE) and the United Auto Workers (UAW), effective January 1, 2002.

2. Under the previous primary CBA for the Human Services & Administrative Support Units, the UAW had negotiated secondary CBAs with various agencies. On December 18, 2002, the Civil Service Commission extended until March 30, 2002, twenty-three secondary CBAs that were scheduled to expire on January 1, 2002. The State Personnel Director subsequently approved another extension until May 31, 2002.

3. The OSE, on behalf of the UAW and 20 agencies, has requested that the Civil Service Commission approve new secondary CBAs for the 20 agencies.

4. Civil Service staff recommends that the Civil Service Commission not approve two boxed comments in the proposed secondary CBA for the Bureau of State Lottery in Article 12 §D.2. and Article 13 §C.2. The boxed comments reproduce class clusters language that the commission deleted from the previous secondary CBA at its meeting on December 12, 2001. Ratification by unit members is still required for some agencies.

Therefore, after consideration of the proposals of Civil Service staff and the parties:

A. The Commission clarifies that in approving the submitted Lottery secondary CBA it is not approving the two boxed comments in Article 12 §D.2. and Article 13 §C.2.

B. Except as noted above, the Civil Service Commission, subject to necessary ratification by unit members, approves the submitted secondary CBAs as the secondary CBAs in the following agencies until December 31, 2004:

1. Administrative Support:

2. Administrative Support & Human Services Units:

C. An approved secondary CBA will become effective upon receipt by the State Personnel Director of proper notice of the ratification by relevant unit members.

D. Before publishing the text of the secondary CBA, the parties may undertake any of the following so long as the substantive provisions of the published Secondary CBA as approved by the Civil Service Commission are not altered:

(1) Change the organization, numbering, and formatting of the secondary CBA.

(2) Correct typographical, punctuation, and grammatical errors.

(3) Correct references that are incorrect or obsolete.

8. John Gnodtke briefed the Commission on the staff recommendation that the Commission approve Resolution G-8. The resolution approves Letters of Understanding between the OSE and the MCO, MPE, MSEA, SEIU Local 31-M, UAW and UTEA that will change co-payments for HMO members to a $10 office visit charge, a $50 emergency room charge and $5 and $10 for generic and brand name drugs. He noted that AFSCME and OSE are negotiating a LOU and NEREs are expected to have similar changes to their HMO co-payments.

On motion duly made and supported, the Commission approved Resolution G-8, Letters of Understanding between the OSE and MCO, MPE, MSEA, SEIU Local 31-M, UAW and UTEA, regarding charges for employees enrolled in a health maintenance organization.

9. John Gnodtke stated that Resolution G-9 deals with a Letter of Understanding between AFSCME Council 25 and the Office of State Employer that would allow certain bargaining unit employees at the Michigan Youth Challenge Academy to accrue compensatory for working overtime and for working on holidays.

On motion duly made and supported, the Commission approved Resolution G-9, the Letter of Understanding between Office of State Employer and the American Federation of State, County and Municipal Employees (AFSCME), concerning compensatory time for Institutional Unit employees at the Youth ChalleNGe Academy, Department of Military and Veterans Affairs.

1. In closed session by teleconference on February 28, 2002 the Commission considered 12 decisions of the Employment Relations Board. In closed session by teleconference on March 28, 2002, the Commission considered 8 decisions of the Employment Relations Board. In closed session by teleconference on April 25, 2002, the Commission considered 11 decisions of the Employment Relations Board. In closed session on May 23, 2002, the Commission considered 5 decisions of the Employment Relations Board. Copies of the Review Sheets indicating the Commission’s actions on these decisions are on file in the Department of Civil Service.

The meeting was adjourned at 11:10 a.m.