News From Terre Haute, Indiana

Local & Bistate

February 1, 2012

Vigo Commissioners strive to cut expenses

TERRE HAUTE — In an effort to remove possible overtime and compensation time issues, the Vigo County Board of Commissioners Tuesday approved a “letter of engagement” for a Muncie-based firm to conduct a time analysis study and a self audit/analysis for compliance with the federal Fair Labor Standards Act.

In addition, Waggoner, Irwin, Scheele & Associates, a human resource management consulting firm, would collect data from each county department on budgets, staffing, services provided, current and planned projects and methods of delivering services.

The firm would review organizational structure and future needs of county offices and departments, staffing, use of technology, equipment and an assessment of in-house and outsourced functions, according to its letter of engagement.

The firm would also conduct a comparative analysis of other municipalities, collecting data regarding organizational structures, the delivery of services, staffing and use of technology, the letter states.

The firm would interview county officials and employees who are responsible for directing department operations. It would also distribute a self-audit Fair Labor Standards Act questionnaire to department heads for completion. The firm would analyze the information and make recommendations for correcting any deficiencies identified.

Vigo County Auditor Tim Seprodi said the firm would ensure the county complies with federal law and remove any possibility of ghost employment or any issues involving overtime and compensation time by listing workers as exempt or not-exempt positions.

“This would protect the county from an audit and any possible lawsuit,” added County Attorney Michael Wright. “The company would meet with employees and determine if they are exempt, or not eligible for overtime or compensation time, and gives us a certain degree of protection” on when and if overtime must be paid, he said.

Seprodi said the measure is part of a move to use time clocks for county departments. Seprodi said “the State Board of Accounts has verbally commented on the need to establish a better system of tracking employee hours.”

The letter of engagement passed by commissioners is subject to approved funding from the Vigo County Council.

Early estimates for the study are $65,000, however no complete number was included in the letter of engagement. It shows fees ranging from $40 to $115 an hour, plus mileage and lodging reimbursement and could take seven to nine months to complete.

In addition, time clocks could cost an additional $40,000 to $50,000, Seprodi said.

Commissioner Judith Anderson said many departments already keep a time sheet on hours worked, which is signed by employees. Commissioner Paul Mason said for the analysis to be effective, the county must be ready to cover all costs, including installation of time clocks.



Howard Greninger can be reached at (812) 231-4204 or howard.greninger@tribstar.com.

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