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Page 5 of 10 6) Upon termination of employment or death, the university will pay a classified /non- exempt employee or his or her estate for any unused FLSA overtime balance earned at a rate of compensation not less than: a) the average regular rate received by such employee during the last three years of employment, or b) the final regular rate received by the employee, whichever is higher. 7) Multiple appointments within the University — Should a classified /non- exempt employee with more than one Texas State appointment work over forty hours per week, the university will prorate responsibility for payment of all overtime hours between appointments. For employees paid monthly, proration is based on FTE. For employees paid hourly, proration is based on the number of hours worked in each appointment during the specific workweek. 8) The regular hourly rate for employees for overtime or compensatory time purposes is determined by combining basic pay, state longevity pay, and hazardous duty pay. 9) Changing departments — When an employee transfers from one campus department to another without a break in service, the gaining department has the option of accepting or rejecting any of the transferring employee's unused FLSA overtime balance. If the gaining department rejects the unused FLSA overtime balance, the losing department must pay the . transferring employee's unused FLSA overtime balance at time of transfer. Any state compensatory time balance will transfer. b. State Compensatory Time 1) When a classified /non- exempt employee has not worked more than forty hours during a workweek, but the total of hours worked plus paid leave, holidays, and compensatory time exceeds forty hours, the department shall grant state compensatory time off on a straight time basis for the excess hours. Employees must take state compensatory time during the 12 -month period following the end of the workweek in which the compensatory time was accrued or it lapses, according to Government Code §659.015(g). 2) When a regular classified /non - exempt employee is authorized to work on an official university holiday, the employee will receive state compensatory time off on a straight time basis for all hours worked during the holiday, and, if applicable, the overtime provisions in Section 02.03 a. shall apply. The employee must take the state compensatory time within the 12 -month period following the date of the holiday worked. 3) Payments for State Compensatory Time — An employee will lose state compensatory time not taken within the 12 -month period following the end of the workweek in which it was earned. Cash payment for lapsed state compensatory time is not authorized. Likewise, cash payment for httn- //um7w tyQtnte erhi /effective /iinnc /nnnc- Od -0d -16 lhtml 11/1 2/ O