New restrictions or banning could be forthcoming on severance pay for executive branch employees who leave state service.
The House passed HF399, sponsored by Rep. Sarah Anderson (R-Plymouth), 102-20 Friday. The bill now goes to the Senate, where Sen. Mary Kiffmeyer (R-Big Lake) is sponsor.
Similar but not identical provisions are included in the omnibus state government finance bill Gov. Mark Dayton is expected to veto Friday.
Anderson said the bill would ensure the law on severance pay is “as the Legislature intended it.”
Under current law, severance pay may not exceed an amount equal to six months’ salary. The bill would set severance pay limits to the lesser of the equivalent of six months’ pay or an amount equal to 35 percent of the employee’s accumulated but unused sick time.
The bill would apply to “highly compensated” state workers who earn more than $76,577 annually, which is 60 percent of the governor’s salary.
One group of employees would be prohibited from getting severance pay at all: commissioners, deputy commissioners, assistant commissioners and “public officials” as defined by law.
Sparking the bill was Dayton’s approval of three month’s severance pay for three former members of his cabinet:
The severance payments came to light in a Sept. 20, 2016, report by American Public Media that noted eight other departing commissioners had not received similar payouts.