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Questions and Answers
Use the form at the bottom of the page to ask questions. We'll add answers to this FAQ as they come.
General Q&A
General Q&A
Timing of Funding
1. How often will agencies receive the funding?
Funds will be appropriated to agencies once a year, during the general legislative session.
2. When will agencies receive the funding this first year?
Agencies will receive the funding by April 2024.
3. When will employees receive the funding?
Funding will be appropriated to agencies once a year. Most agencies will award the funding to employees annually starting in April 2024.
Determining Employee Eligibility
4. If someone is on FMLA, can they still receive pay for performance funds?
Yes, as long as the employee meets the required expectations, measures and goals.
5. Can someone at the top of the salary range still receive P4P funds?
Yes. Individuals at the top of their salary range are eligible for P4P.
6. Are new hires (new to executive branch government) eligible for P4P funds?
An employee must have at least 2 quarters of performance evaluations in order to be eligible for P4P.
7. If a current executive branch employee transfers from one agency to another or one division to another are they eligible for P4P funds?
Yes. As long as the employee has at least 2 quarters of performance evaluations in their previous position. The new supervisor may need to reach out to the previous supervisor to determine the rating level the employee achieved.
8. Are TL and IN positions eligible for P4P?
TL and IN are eligible as long as they have at least 2 quarters of performance evaluations.
Timing of Payments and Performance Plan Cycles
9. Do all employees have to have a performance plan in order to receive P4P funds?
In order for employees to receive P4P funds they must have a performance plan and quarterly evaluations. DHRM best practice is that all employees, regardless of whether or not they are eligible for P4P have performance plans and evaluations.
10. How often should supervisors and employees meet to review performance?
Employees and supervisors should meet at least quarterly.
11. If I meet expectations, will I get my increase quarterly?
Agencies will design their P4P system in a way that best fits organizational needs. Most agencies, due to budget timelines and realities, will follow their annual performance plan year for granting rewards and raises.
Other Questions
12. Will both ASIs and P4P be available?
Yes. ASI's and bonus programs are not part of the P4P system and will continue based on agency policies and budgets.
13. What if I disagree with my supervisor's evaluation?
The grievance process has not changed.
14. Who do I talk to if I have questions about P4P?
Your DHRM Field office is equipped to answer your questions.
See also: DHRM Resources
Executive/Finance Directors
Executive/Finance Directors
Timing of Funding
1. How often will agencies receive the funding?
Funds will be appropriated to agencies once a year, during the general session.
2. When will agencies receive the funding this first year?
The General Fund portion of the 2.5% pay for performance funding was appropriated to a line item in Finance. In the 2024 general session, the Legislature will reallocate the appropriated funds to the requested line items, submitted by GOPB. FY 2024 appropriations will be available after the session in March 2024.
3. When will employees receive the funding?
Funding will be appropriated to agencies once a year. Agencies can elect to issue employees P4P funds on a different cycle. However, those agencies will need to cover those costs with current funding sources until funds are appropriated during the annual supplemental funding process in the general session.
Amount of Funding
4. Is the amount of funding for P4P the same year after year?
The legislature appropriates the funding every year and the amount may change from year to year.
5. How was the 2.5% calculated?
The total was calculated by the number of FTEs funded from the General Fund, minus any Schedule ABs.
6. What is the definition of an FTE?
An FTE is calculated based on employee work hours divided by a full work year, rather than full time positions.
7. If an agency has several divisions that receive more federal funding than state funding, will the federal funds be charged?
The funding will follow the same funding split used for the used to fund current payroll costs, including the COLA. If that employee is cost-allocated to federal funds or other funding sources, that same funding split will be applied to the pay for performance funding.
8. How will agencies know how much funding has been set aside for them?
GOPB will provide this information to agencies in April 2023.
9. DHRM has created a sample calculator to help agencies calibrate the funding throughout the year. Will there be a tool created by State Finance and DHRM that will populate the calculator with staff names and wages?
A tool that uses agency-specific data will be created by DGO and GOPB and shared with agencies in January 2024.
Determining Employee Eligibility
10. To help with compression issues, can an agency limit pay for performance funding to specific employee positions rather than to all employees?
No. The intent of this funding is to recognize and reward individual employees based on their performance evaluation. Agencies receive targeted pay for hot spots and COLA, which are different allotments of funds.
11. If someone is on FMLA, can they still receive pay for performance funds?
Yes, as long as the employee meets the required expectations, measures and goals.
12. Can someone at the top of the salary range still receive P4P funds?
Yes. Individuals at the top of their salary range are eligible for P4P.
13. Are new hires (new to executive branch government) eligible for P4P funds?
An employee must have at least 2 quarters of performance evaluations in order to be eligible for P4P.
14. If a current executive branch employee transfers from one agency to another or one division to another are they eligible for P4P funds?
Yes. As long as the employee has at least 2 quarters of performance evaluations in their previous position. The new supervisor may need to reach out to the previous supervisor to determine the rating level the employee achieved.
15. Are TL and IN positions eligible for P4P?
TL and IN are eligible as long as they have at least 2 quarters of performance evaluations.
Timing of Payments and Performance Plan Cycles
16. What is the timeframe from when funding is received by the agencies and when it must be awarded to employees?
Funds must be paid to employees in the SFY the legislature appropriates it. Any unspent funds will lapse at the close of the SFY unless they are in a line item with authority to non-lapse the funding.
17. Is the money non-lapsing?
The legislature did not include non-lapsing intent language for the funds appropriated to the Finance Mandated line item. After the funds are reallocated to specific line items, the ability to carry over unspent funds will depend on the intent language and authority for the line item.
18. Do performance plan cycles need to match the SFY in order to match when P4P funding is received?
No. Agencies can determine their own performance plan cycles. However, a best practice is to end the performance plan cycle in March.
19. There are several employee classifications that have not had a performance plan before (temporary employees, seasonal, deputy directors etc.). If an agency wants to include them in P4P funds, will there need to be a performance plan in place first? Or regardless of whether or not they are eligible for P4P funds, must there now be a performance plan for all employees regardless of classification/job title?
In order for employees to receive P4P funds they must have a performance plan and quarterly evaluations. DHRM best practice is that all employees, regardless of whether or not they are eligible for P4P have performance plans and evaluations.
Other Funding Questions
20. In the 2023 general session the legislature appropriated the funding as ongoing salary increases. Can an agency issue funds as a bonus instead?
The intent of the appropriation is for salary increases. This first year, based on how the money is appropriated, (as a full year vs a portion of the year) agencies may issue P4P funds as a one-time bonus and/or process the ongoing salary increase for FY2024 and beyond.
21. Will both ASIs and P4P be available?
Yes. At this point in time, both are available.
22. How is this being tracked in HRIS?
DGO will create a new action in HRIS.
23. Is there a minimum criteria for agencies to be eligible to receive the funds?
According to 63A-17-112-4, agencies must consult with DHRM on their pay for performance system, policy and supervisor training. The current process is to consult with the LOD (Leadership and Organizational Development) team who shares the information with John Barrand, DHRM director.
24. Who do I talk to if I have questions about P4P?
Your DHRM Field office is equipped to answer your questions.
Where can I find HB104 in the State Code?
Where can I find HB104 in the State Code?
State Code links
Training Requirements 63A-17-106(7)
Pay for Performance 63A-17-112
State Administrative Rule (DHRM)
Updates coming soon to DHRM Rule R477-10
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