2-18-1106. Agency head to grant award — amount and source of award. (1) An agency head may grant an incentive award to an employee, a group or team of employees, or a nonemployee who has made a significant contribution to achievements or outcomes in the agency, as enumerated in 2-18-1105. An employee or a member of a group or team of employees need not be employed by the agency that benefits from the achievement or outcome and whose agency head grants the award in order to be granted an award.

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Terms Used In Montana Code 2-18-1106

  • Agency head: means a director, commissioner, or constitutional officer in charge of an executive, legislative, or judicial branch agency or an agency of the Montana university system. See Montana Code 2-18-1101
  • Department: means the department of administration provided for in 2-15-1001. See Montana Code 2-18-1101
  • Employee: means an employee of the executive, legislative, or judicial branch or the Montana university system. See Montana Code 2-18-1101
  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • Group or team of employees: means a group, team, or work unit of employees working cooperatively. See Montana Code 2-18-1101
  • Person: includes a corporation or other entity as well as a natural person. See Montana Code 1-1-201

(2)If agency management determines that an idea, innovation, or prototype that has been implemented will result in cost savings or improvements to agency operations, the agency head, at the agency head’s discretion, may grant an incentive award of up to $500, up to 40 hours paid leave time, or other nonmonetary recognition.

(3)If an achievement or outcome produces cost savings that can be measured after the savings are actually realized or that can be accurately projected for a period of 12 months following implementation, a larger award may be granted by the agency head. The amount of the award must be determined by the agency head but may not exceed:

(a)10% of the first $100,000 of cost savings actually realized or accurately projected; plus

(b)5% of the next $100,000 of cost savings actually realized or accurately projected; plus

(c)2% of the next $100,000 of cost savings actually realized or accurately projected.

(4)(a) If the award is to be divided between two or more persons, the agency head shall determine the amount each person is to receive.

(b)Each person must be paid in one lump sum no later than 90 days after the end of the 12-month period following implementation of the suggestion. However, an agency head may pay an award at any time that savings can be determined. The agency head shall pay the award from the agency’s budget. This award is in addition to the recipient’s regular compensation or leave time.

(5)Within 30 days after the end of each fiscal year, each agency shall submit to the department a list of the number of incentive awards granted, to whom each award was granted, the estimated value of each achievement or outcome, and the amount of each award.