If an employee is not permitted to take all of the vacation to which he or she is entitled in a calendar year, the employee may accumulate the unused portion, provided that on January 1st of a calendar year, the employee shall not have more than 30 vacation days for 10 or less years of service or 40 vacation days for more than 10 years of service.

The appointing power may permit an employee to carry over more vacation credits than the prescribed maximum when the employee is prevented from taking vacation because the employee is (1) required to work as a result of fire, flood or other emergency, (2) assigned work of priority or critical nature over an extended period of time, (3) absent on full salary for compensable injury, or (4) prevented by agency regulations from taking vacation until December and is then unable to take vacation because of sick leave usage. The carry-over of vacation credits in successive years may only be approved by the appointing power in extenuating circumstances.

When verification of prior state service requires revisions in vacation credit, the employee's current accumulation shall be adjusted. Additional credit exceeding the maximum carry-over limitation shall be used within one year following the qualifying monthly pay period in which credited.

An employee separated from service without fault shall be paid for all accumulated vacation credit. Accumulation of vacation credit shall continue through the last working day for which the employee is entitled to pay or through the date to which lump-sum payment is projected as required by Government Code section 19839. If the employee has sufficient paid working days to qualify the monthly pay period, vacation with pay shall be given for that monthly pay period.

An employee separated from service through fault shall accumulate vacation credit only through the date of separation. If the employee has sufficient paid working days to qualify the monthly pay period, vacation with pay shall be given for that monthly pay period.