On June 14, 2017 Governor Brown signed HB 2332 (2017). This legislation changes the existing law and repeals several provisions of the prior span of control legislation, HB 3165 (2013), which amended ORS 291.229 and amended HB 4131 (2012) and repealed HB 2020 (2011). House Bill 2255 (2015 paused the requirement for agencies to make progress toward 1:11 ratio by October 31st of each year.
What does HB 2332 do?
Repeals the 1:11 supervisory ratio requirement effective January 1, 2018.
Allows each state agency employing more than 100 employees, as part of their biennial budget process, to determine the state agency's maximum supervisory ratio for the biennium by starting from a baseline ratio of one to 11 and adujusting the ratio based on some or all of the following factors:
Safety of the public or of state agency employees;
Geographic location of the agency's employees;
Complexity of the agency's duties;
Industry best practices and standards;
Size and hours of operation of the agency
Unique personnel needs of the agency, including the agency's use of volunteers or seasonal or temporary employees, or the exercise of supervisory authority by agency supervisory employees over personnel who are not agency employees; and
Financial scope and responsibility of the agency
Requires each state agency employing more than 100 employees to report to the Joint Committee on Ways and Means the state agency's maximum supervisory ratio for the biennium as part of the development of the legislatively adopted.
Requires each state agency employing more than 100 employees to provide a copy of the report to all labor organizations representing employees of the state agency before submitting the report to the Committee on Ways and Means.
After the agency's legislatively adopted budget vecomes law and the agency's maximum supervisory ratio for the biennium is established, an agency will be able to hire supervisory positions so long as it does not exceed the approved maximum supervisory ratio. If the agency's actual supervisory ratio is greater than the agency's approved maximum supervisory ratio, an agency will only be able to hire a new management supervisory postion, with an exception from CHRO.
What can agencies expect?
Between June 14, 2017 and January 2, 2018 agencies will be expected to continue to comply with ORS 291.229 and the associated process for requesting exceptions to the spac of control ratio of 1:11
DUOBS exceptions or Span of control exceptions for a division, unit, office, branch or other smaller part of the agency that need to be renewed prior to January 1, 2018 will be automatically extended to that date. Communication to agencies with current DUOBS exceptions were sent prior to September 1, 2017.
Pursuant to Section 3 of HB2332, ORS 291.229 and Section 2, Chapter 622, Oregon Laws 2015 are repealed, meaning effective January 1, 2018 the 1:11 ratio is no longer mandatory and the exception request process is no longer required until after the agency's 2019-2021 budget is approved in accordance with the maximum supervisory ratio requirement of HB2332.
As part of the 2019-2021 budget process, agencies will be required to submit a report supporting their proposed maximum supervisory ratio and the legislature will either approve or modify for budgets effective July 1, 2019. After July 1, 2019 agencies adding supervisory postion causing the agency's actual supervisory ratio to exceed the agency's maximum superviory ratio will only be able to recruit and fill if an exception is granted by DAS CHRO.
Between June 14, 2017 and April 1, 2018 (tenative date) DAS will develop adminstrative rules as well as develop tools and guidance for agencies use in preparation 2019-2021.
For more information, refer to the links below and to the FAQs and tools intended to assist agencies in obtaining answers to thos questions. Should have any additional questions or need assistance, please feel free to contact Heath Lawson via email or 503-949-6355.
If you have questions regarding position classification, please contact Mark Rasmussen via email or 503-378-6764
Do I still need to get an exception to the 1:11 supervisory ratio?
What if I want to add a supervisory position?
Beginning January 1, 2018 agencies may lawfully add new supervisory positions without being granted an exception from DAS CHRO, HOWEVER, agencies should be prepared to explain any departure from that ratio to the legislature and recognize the legislature may not authorize the new ratio in the 19-21 biennium
One of the fundamental elements of the new law is that agencies must work from a baseline of 1:11 when establishing ther Maximum Supervisory Ratio proposal in thier budget presentation to the Committe on Ways and Means. Agencies should work with their agency head and their budget office before adding supervisory positions and consider whenter it is in the agency's interest to add a supervisory position. Agencies will likely need to explain how thier superivosry ratio narrowed and provide the analysis based upon the seven statutory factors.
Will there be an exception process to add supervisory positions?
Yes, however, only after the agency's legislatively adopted budget becomes law and the agency's maximum supervisory ratio for the biennium is established. If the agency's actual supervisory ratio is great than the agency's approved maximum supervisory ratio, an agency will only be able to hire a new supervisory position, with an exception from CHRO.
More FAQs will be added as we recieve questions from agencies.