CHAPTER 338

FORMERLY

HOUSE BILL NO. 356

AS AMENDED BY SENATE AMENDMENT NO. 1

AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE TO ADD A NEW CHAPTER RELATING TO THE ESTABLISHMENT OF THE FIRST STATE QUALITY IMPROVEMENT FUND.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend Part V, Title 29 of the Delaware Code, by adding a new chapter thereto to read:

"CHAPTER 60. FIRST STATE QUALITY IMPROVEMENT FUND. § 6001. Establishment,

(a) The First State Quality Improvement Fund is hereby established within the Office of State Personnel.

(b) Monies provided to the Fund shall be subject to an annual appropriation by the General Assembly in the Annual Budget Act of the State of Delaware. Appropriations made to the First State Quality Improvement Fund shall not be subject to reversion to the General Fund of the State of Delaware unless otherwise specified by the General Assembly in the Annual Budget Act.

§ 6002. Legislative Intent

The General Assembly finds that State agencies and employees can improve their performance and delivery of services to State citizens by implementing a long-term commitment to total quality management, performance budgeting and other quality initiatives. A First State Quality Improvement Fund will allow agencies to implement quality initiatives and reinvest a percentage of the savings in tools for improving productivity and effectiveness. Agencies may reduce positions requirements through retraining, reassignment, or other methods, such as automation. The General Assembly intends for this process to involve employees at all levels to improve customer confidence and satisfaction with State Government.

§ 6003. Purposes,

As prescribed by § 6005 of this chapter, and except as specifically provided in § 6006 of this Subchapter, the Fund shall be expended for long-term commitments to Total Quality Management and other quality initiatives.

§ 6004. Distribution of FirsLState Oualitv ImprovemenLFund Monies,

The Training and Development Advisory Board shall adopt rules and regulations necessary to implement this chapter, including guidelines for the distribution of these funds.

§ 6005. Fund Purpose

Monies appropriated to the Fund may be allocated to State agencies for the following activities:

(1) Create Total Quality Management plans for agencies;

(2) Establish performance-based budgeting measures to quantify effectiveness;

(3) Re-engineer work processes;

(4) Team building;

(5) Other customer satisfaction/quality initiatives;

(6) Continuous improvement;

(7) Empowerment of State Employees;

(8) Engage vendors and/or consultants to help:

(A) set direction and goals;

(B) conduct seminars/facilitations for the Governor, Cabinet Secretaries, and top manager;

(C') help selected agencies adopt quality initiatives;

(D) train State employees as trainers to sustain initiatives in other departments.

§ 6006. 10 11

(a) In the event of an emergency involving the health, safety or welfare of the citizens of the State, any portion of the balance remaining in the Fund may be expended pursuant to an act of appropriation passed by three-fifths of all the members elected to each house of the General Assembly.

(a) In the event of cutbacks in federal funding of State programs affecting the health, safety or welfare of the citizens of the State, and upon recommendation by the Joint Finance Committee, any portion of the balance remaining in the Fund may be expended pursuant to an act of appropriation.

§ 6007. Termination,

The First State Quality Improvement Fund may be terminated when, in the opinion of the Joint Finance Connittee, the program has not realized improvement in agency performance, monetary savings to the State or any other reason in which agency ur employee performance has not demonstrated proof of improvements to the delivery of State services. Additionally, the Fund may be terminated when all moneys form the Fund have been expended and no further appropriation is approved by the General Assembly.

§ 6008. liberal Construction of Chapter

This chapter, being necessary for the prosperity and welfare of the State and its citizens, shall be construed liberally to effect the purposes of this chapter."

Approved May 17, 1996