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Spokane, Washington  Est. May 19, 1883

Eye On Boise

Retirement bonus ban clears committee, all sides ‘on the same page’ including Guv

Wayne Hammon, center, Gov. Butch Otter's budget director, center, joins Reps. Anne Pasley-Stuart, D-Boise, right, and Elfreda Higgins, D-Garden City, left, to support HB 604 on Wednesday, with an amendment. The House Commerce & Human Resources Committee unanimously backed the move and sent the bill to the full House for amending. (Betsy Russell)
Wayne Hammon, center, Gov. Butch Otter's budget director, center, joins Reps. Anne Pasley-Stuart, D-Boise, right, and Elfreda Higgins, D-Garden City, left, to support HB 604 on Wednesday, with an amendment. The House Commerce & Human Resources Committee unanimously backed the move and sent the bill to the full House for amending. (Betsy Russell)

Gov. Butch Otter's budget director, Wayne Hammon, joined Reps. Anne Pasley Stuart, D-Boise, and Elfreda Higgins, D-Garden City, this afternoon to support HB 604, the two representatives' legislation to ban state-funded retirement bonuses in exchange for state employees agreeing to retire early. "It appears that the governor's office and the sponsors are on the same page with this bill, and all are desiring to move forward, is that correct?" asked Rep. Steven Thayn, R-Emmett. Hammon responded, "That's correct, Mr. Chairman."  Both Hammon and the two sponsors backed an amendment to the bill, which House Commerce & Human Resources Committee Chairman Bob Schaefer, R-Nampa, helped craft; it exempts the court system from the new ban. The courts use retirement-credit purchases as part of program authorized under a separate state law to entice magistrate judges to serve as part-time "senior" judges after they retire. That program, funded by a special $6 fee on court costs, is part of a strategy in which the courts are increasingly utilizing senior judges rather than adding more judges.

Former state Human Resources Director Judie Wright agreed to retire eight months earlier than planned last year in exchange for a $72,781 payment into her Public Employee Retirement System of Idaho account. State law strictly bans severance payments to state employees who leave their jobs voluntarily, but such retirement boosts weren't considered severance because the payments went to the employees' accounts at PERSI, not directly to the employees. The Spokesman-Review reported in November that in addition to Wright, two other state employees were given early retirement boosts last year: A state Tax Commission employee who was being terminated for disciplinary reasons was given a $13,531 retirement boost as part of a settlement; and a printing copy technician at the state Department of Education was given a $42,143 retirement boost to allow her to retire two years early rather than be laid off due to budget cuts.

Schaefer said, "I think several of us were quite surprised by what occurred, and this bill is the result of our irritation." The bill then was approved and sent to the House's amending order on a unanimous voice vote.



Betsy Z. Russell
Betsy Z. Russell joined The Spokesman-Review in 1991. She currently is a reporter in the Boise Bureau covering Idaho state government and politics, and other news from Idaho's state capital.

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