Kathy Liebler
                        Director of Public Information


    C   O   M   M   I   S   S   I   O   N                N   E   W   S             R   E   L   E   A   S   E

         Contact: Kathy Liebler 717-939-9551 Ext. 2850                            October 1, 1996

TURNPIKE COMMISSION ADOPTS MERIT-BASED
COMPENSATION PROGRAM

        HARRISBURG -- The Pennsylvania Turnpike Commission has adopted a new management compensation program which includes a performance- based compensation system, establishes new salary administration policies and procedures and, provides salary and job title recommendations.
        "These actions are absolutely necessary to increase accountability & provide equity within our management structure," said Turnpike Commission Chairman James F. Malone, III. "The steps we're taking strengthen the foundation built last March when the Commission adopted a new management plan with the goal of operating the Turnpike in a more business-like manner."
        "We said at that time we would embark on an ambitious program to implement the management plan and translate the recommendations in that plan into better financial management and increased efficiency so that we could provide better service for our customers, the traveling public," Malone said.
        The management compensation program was developed by the Philadelphia-based management consulting firm of Deloitte and Touche. The same firm produced the Turnpike's management study and recommendations which were adopted last Spring.
        "The need for a consistent, logical, and structured salary and performance management program was identified by Deloitte & Touche in the management study adopted by the commission earlier this year," explained Turnpike Executive Director John T. Durbin. "This compensation study is an important initiative to enact positive change at the Pennsylvania Turnpike Commission."
        The comprehensive plan, which took six months to develop, establishes a merit-based job performance evaluation system to determine future pay increases for all management and supervisory employees. The Executive Director, Associate Executive Director, the Deputy Executive Director for each department and the Human Resources Director will work together to administer the salary program.
        Included in the program approved by the Commission are new salary administration policies and procedures which will be used to guide all decisions regarding the administration of the salary program, including the determination of salaries under the performance-based salary program.
        The Commission also approved new salary ranges, title change recommendations and salary recommendations. Deloitte and Touche made the salary recommendations after completing an exhaustive review of each management and supervisory position within the Turnpike's administrative structure. The duties performed by each management and supervisory employee were compared to other similar positions within the Turnpike, other governmental agencies, various tolling agencies, and the private sector in arriving at the salary recommendations.
        Other actions which have been taken by the Commission over the past few months to enhance its operations include:
        ** A major reorganization forming a new customer service department, creation of a new information technologies department and the combining of the responsibility for the engineering and maintenance departments under one Deputy Executive Director.
        ** Adoption of the current $158.4 million dollar operating budget, reflecting a 1.3 percent decrease compared to the last fiscal year. Last May's budget adoption was the first time in 35 years the Commission adopted a budget less than the previous year's budget.
        ** A restructuring of the Turnpike's finance and administration department to include the creation of three directorships in finance, administration and internal audit.

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         P.O. Box 67676, Harrisburg, PA 17106-7676         Phone: (717) 939-9551         Fax: (717) 986-9649