BILL NUMBER: SB 1212 CHAPTERED 10/13/01 CHAPTER 808 FILED WITH SECRETARY OF STATE OCTOBER 13, 2001 APPROVED BY GOVERNOR OCTOBER 12, 2001 PASSED THE SENATE SEPTEMBER 14, 2001 PASSED THE ASSEMBLY SEPTEMBER 13, 2001 AMENDED IN ASSEMBLY SEPTEMBER 12, 2001 AMENDED IN SENATE MAY 16, 2001 INTRODUCED BY Senator Romero (Coauthors: Assembly Members Chavez, Shelley, and Strom-Martin) MARCH 19, 2001 An act to amend Section 89542.5 of the Education Code, and to amend Section 3572.5 of the Government Code, relating to higher education labor relations. LEGISLATIVE COUNSEL'S DIGEST SB 1212, Romero. Higher education labor relations: memorandum of understanding. (1) Existing law establishes the California State University under the administration of the Trustees of the California State University. An existing provision relating to the university requires the trustees to establish grievance and disciplinary action procedures for all academic employees, as prescribed. This bill would provide that this provision does not apply to a grievance relating to merit pay if a memorandum of understanding is agreed to and it provides for merit pay for academic employees of the university. (2) Existing law relating to higher education labor relations provides that, in the case where various specified statutes conflict with a memorandum of understanding, the memorandum of understanding shall be controlling. This bill would, instead, provide that, with respect to a memorandum of understanding entered into on or after January 1, 2002, the provision described in (1) above, with the exception of a specified portion of that provision, provides a minimum level of benefits or rights and shall be superseded by a memorandum of understanding only if the relevant terms of the memorandum of understanding provide more than the minimum level of benefits or rights provided by that statute. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 89542.5 of the Education Code is amended to read: 89542.5. (a) The Trustees of the California State University shall establish grievance and disciplinary action procedures for all academic employees, including all temporary employees who have been employed for more than one semester or quarter, whereby all of the following requirements are satisfied: (1) Grievances and disciplinary actions shall be heard by a faculty hearing committee composed of full-time faculty members, selected by lot from a panel elected by the campus faculty, which shall make a recommendation to the president of the state university. (2) The grievance or disciplinary hearing shall be open to the public at the option of the person aggrieved or the person charged in a disciplinary hearing. (3) Each party to the dispute shall have the right of representation by a faculty adviser or counsel of his or her choice and to be provided access to a complete record of the hearing. (4) If there is disagreement between the faculty hearing committee' s decision and the state university president's decision, the matter shall go before an arbitrator whose decision shall be final. (5) The costs incurred in arbitration shall be paid by the state university. (6) If the parties cannot agree upon an arbitrator, either party may petition the Federal Mediation Service, the State Conciliation Service, or the American Arbitration Association for a list of seven qualified, disinterested persons, from which list each party shall alternate in striking three names, and the remaining person shall be designated as the arbitrator. (7) The grievance procedure established pursuant to this section shall be exclusive with respect to any grievance that is not subject to a State Personnel Board hearing. In the case of a grievance or disciplinary action that is subject to a State Personnel Board hearing, pursuant to Sections 89535 to 89539, inclusive, and Section 89542, the procedures provided for in those sections or those provided for in this section may be utilized. The academic employee shall have the choice of which procedures shall be utilized. (b) For purposes of this section, a "grievance" is an allegation by an employee that the employee was directly wronged in connection with the rights accruing to his or her job classification, benefits, working conditions, appointment, reappointment, tenure, promotion, reassignment, or the like. A grievance does not include matters, such as the salary structure, which require legislative action. (c) If a memorandum of understanding is agreed to pursuant to Chapter 12 (commencing with Section 3560) of Division 4 of Title 1 of the Government Code, and it provides for merit pay for academic employees of the university, the arbitration provisions of this section shall not apply to grievances concerning merit pay. (d) If the provisions of this section are in conflict with the provisions of a memorandum of understanding reached pursuant to Chapter 12 (commencing with Section 3560) of Division 4 of Title 1 of the Government Code, the memorandum of understanding shall be controlling without further legislative action, except that, if the provisions of a memorandum of understanding require the expenditure of funds, the provisions shall not become effective unless approved by the Legislature in the annual Budget Act. SEC. 2. Section 3572.5 of the Government Code is amended to read: 3572.5. (a) Except as provided in subdivision (b), in the case where the following provisions of law are in conflict with a memorandum of understanding, the memorandum of understanding shall be controlling. (1) Part 13 (commencing with Section 22000) of, and Sections 66609, 89007, 89039, 89500, 89501, 89502, 89503, 89504, 89505, 89505.5, 89506, 89507, 89508, 89510, 89512, 89513, 89514, 89515, 89516, 89517, 89518, 89519, 89520, 89523, 89524, 89527, 89531, 89532, 89533, 89534, 89537, 89541, 89542, 89543, 89544, 89545, 89546, 89550, 89551, 89552, 89553, 89554, 89555, 89556, 89700, and 89701 of, the Education Code. (2) Sections 825, 825.2, 825.6, 3569.5, 6700, 11020, and 11021 of, Chapter 2 (commencing with Section 18150) of Part 1 of Division 5 of Title 2 of, Sections 18200, 19841, 19848, 19850.6, and 19864 of, Article 4 (commencing with Section 19869) and Article 5 (commencing with Section 19878) of Chapter 2.5 of Part 2.6 of Division 5 of Title 2 of, and Section 22825.1 of, the Government Code. (3) Sections 395, 395.01, 395.05, 395.1, and 395.3 of the Military and Veterans Code. (b) (1) Notwithstanding the inclusion, in Section 89542.5 of the Education Code, except with respect to paragraph (5) of subdivision (a) of that section, of a provision providing that, if the statute is in conflict with a memorandum of understanding reached pursuant to this chapter, the memorandum of understanding shall be controlling without further legislative action, unless the memorandum of understanding requires the expenditure of funds, that section, except for paragraph (5) of subdivision (a) of that section, provides a minimum level of benefits or rights, and is superseded by a memorandum of understanding only if the relevant terms of the memorandum of understanding provide more than the minimum level of benefits or rights set forth in that section, except for paragraph (5) of subdivision (a) of that section. (2) This subdivision only applies to a memorandum of understanding entered into on or after January 1, 2002.