Loading...
HomeMy WebLinkAboutFY 2027 (Department of Human Resources) DEPARTMENT OF HUMAN RESOURCES FY 2027 BUDGET AND OPERATIONS SYNOPSIS Annette L. Anderson Director 1 Department: HUMAN RESOURCES Fund: GENERAL FUND 1. FY 2026 to FY 2027 BUDGET COMPARISON 2 2. MAJOR CHANGES AND/OR VARIANCES IN THE BUDGET As noted on page 1, the salaries and wages have increased from FY26 to FY27. Much of this increase is attributable to increases to the vacation credit payout account and the internship account, which is further discussed below. Without such increases, the remaining increase is attributed to the collective bargaining increases and changes to salary amounts and positions. Salary and Wage Account Adjustments • Account 001-0601-512.01-05, Vacation Credit Payout, Increase of $130,000 Upcoming change of administration will most likely result in significant vacation payout for appointees who are no longer employed in the new administration. This increase is not specific to HR, but will be utilized Countywide to assist with the transition. • Account 001-0601-512.01-02, Wages and Hourly Pay, Internship, Increase of $50,000 The increase will provide the additional funding needed to comply with the increase in minimum wage, plus allow for expansion of the number of high-quality interns for use by the departments as needed. • Account 001-0601-512.01-01, Regular Salaries, $0 funded, New Position, Payroll Specialist II, SR 20 The Department of Human Resources (DHR) is requesting funding from the Department of Water (DOW) for this new position so that the Payroll Division can assume the timekeeper duties from the DOW. Timekeepers’ duties have been assumed by the Payroll Division for all departments except for the DOW, and doing so will accomplish the long-standing goal of having a fully centralized Payroll Division. Experience has shown that in addition to assuming timekeeping duties, payroll staff spend a lot of time and resources providing enhanced training to employees and managers in other departments. These trainings are critical to assure consistency across all departments and to prevent underpayments and overpayments due to time entry errors by employees and supervisors. Examples of errors that have occurred over the past few years that presumably could have been avoided if payroll staff performed the timekeeper dues are: ➢ Inaccurate time entry codes used, resulting in overpayments, e.g., day off premiums, meal payments, missed rest period premiums, missed meal/lunch premiums. ➢ Untimely repayment plans to assure collecting back of overpayments not performed by the payroll support staff. ➢ Erroneous approval and payment for temporary assignments (TA) that should not have occurred. ➢ Lack of payroll account reconciliation each pay period, which would have prevented large overpayments. Finally, there are no vacant positions within DHR that can be used for this new position. Operations Accounts –Increased Adjustments The proposed increases to the Operations Accounts listed below, for a total of $65,000, will assure the funding needs of DHR. The intended uses of the increased amounts are as follows: • Account 001-0601-512.31-01, IT Arrangement (SBITA), Increase of $65,000 3 The amount of $65,000 is for the Workday Success Plan (WSP). This new WSP will allow DHR to use it as a resource for improving Workday's functionality for end-users, and at the same time reduce the need for Accenture services. Other Operations Accounts Adjustments For your information, the following Operations Accounts have been decreased or increased to more accurately reflect where the funds are needed, with a net zero impact to the budget. • Account 001-0601-512.10-07, Internet/Cable/Data $1,200, has been increased by $300 to reflect the Wi Fi/Mi Fi on various laptops. • Account 001-0601-512.24-00, Training, $200,000 has been decreased by $2,500. • Account 001-0601-512.31-00, Dues and Subscriptions, $3,100 has been decreased by $2,100. • Account 001-0601-512.31-01, IT Arrangement (SBTA) has been increased by $4,300 to reflect the HRMS annual subscription and maintenance. 3. OPERATIONAL CHALLENGES • Continued identification of, and improvements to, the Workday modules to ensure the best end-user experience, while continuing to attend to regular job duties. • Addressing and remedying errors made by workers and approving managers during the time-entry process that has resulted in overpayments and underpayments, which then need to be remedied. 4. OPERATIONAL HIGHLIGHTS FROM FY 2026 • During FY26, the Payroll Division assumed the timekeeper duties from the Kaua‘i Police Department and the Transportation Agency, which placed the department closer to the goal of having a fully centralized payroll division. • Negotiated and reached mutual agreement for five new collective bargaining agreements effective 7/1/25 through 6/30/29, and numerous supplemental agreements. Interest arbitrations hearings have resulted, or will result, in three arbitration awards for new collective bargaining agreements also effective 7/1/25 through 6/30/29. • Started a pilot sick leave buy back program with UPW effective on 1/1/26. With the funding approved in the FY26 budget, employees who do not call in sick during the quarter will be eligible to receive a cash payment of $300 in lieu of 8 hours of sick leave. There are conditions so that employees maintain an adequate sick leave balance, but we are hopeful that this will increase productivity for our blue-collar employees. • DHR has no vacancies and will be fully staffed as of 3/1/26.