MS HB1377

Requires the State Personnel Board to create an idea application (by October 1, 2013) on its website allowing state employees to submit suggestions for improving state agency operations and achieving cost savings, similar to the Air Force AF 1000 form.

Establishes evaluation and timeline requirements: state agencies must acknowledge receipt within 15 days, calculate projected savings within 45 business days, and make approval/denial decisions within 60 business days of submission.

Prohibits ideas that result from normal business practices, obvious budget cut solutions, cost avoidance, revenue enhancement, or shifting costs between agencies.

Distributes verified savings realized after implementation as follows: 5% up to $5,000 as a one-time honorary award to the employee; 25% up to $25,000 to the state agency; remainder to the State General Fund.

Requires state agencies to advertise the application at least monthly on electronic payroll statements and communications, and mandates the State Auditor review and report on calculated savings within 120 days of submission.