BILL NUMBER: AB 1413	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 5, 2007
	AMENDED IN SENATE  AUGUST 28, 2007
	AMENDED IN SENATE  JULY 18, 2007
	AMENDED IN ASSEMBLY  JUNE 6, 2007
	AMENDED IN ASSEMBLY  JUNE 1, 2007
	AMENDED IN ASSEMBLY  APRIL 25, 2007

INTRODUCED BY   Assembly Members Portantino and Brownley
   (Principal coauthor: Senator Romero)
   (Coauthors: Assembly Members Beall, Berg, DeVore, Huffman, Leno,
Levine, Lieber, and Ruskin)
   (Coauthors: Senators Padilla and Yee)

                        FEBRUARY 23, 2007

   An act to amend Section 66602 of, and to add Sections 66602.8 and
89504.7 to, the Education Code, relating to public postsecondary
education.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1413, as amended, Portantino. Public postsecondary education:
California State University: trustees.
   (1) Existing law establishes the California State University,
under the administration of the Trustees of the California State
University, as one of the segments of public postsecondary education
in this state.
   This bill would express findings and declarations of the
Legislature, as well as the intent of the Legislature, relating to
executive compensation of top officials of the California State
University.
   (2) Under existing law, the trustees are composed of a total of 25
members, which include 5 specified ex officio members, a
representative of the alumni associations of the university, 16
members appointed by the Governor, subject to confirmation by 2/3 of
the membership of the Senate, for 8-year terms, and 2 California
State University students and one California State University faculty
member appointed by the Governor for 2-year terms.
   This bill would authorize any ex officio trustee to designate a
staff person to attend a meeting or meetings of the board in his or
her absence  and to act on his or her behalf at that meeting
or those meetings   , and would prohibit a staff person
designated under this provision from attending closed sessions of th
  e board  . The bill would prohibit an ex officio
trustee from designating more than one staff person to attend board
meetings in any calendar year.
   (3) Existing law authorizes the trustees to select a chief
executive officer for the university, known as the Chancellor of the
California State University, to employ other officers and employees,
and to delegate powers and responsibilities to these individuals.
Existing law authorizes the university to operate 25 institutions of
higher education at designated locations throughout the state.
   This bill would prohibit the trustees, on and after January 1,
2008, from approving a contract for the hiring of an executive
officer, as defined, unless and until that contract and its terms are
adopted, by resolution, in a duly noticed meeting of the board.
   The bill would require that, to the extent that the trustees
provide executive officer compensation in the form of transition pay
at the time an executive officer, as defined, ceases to perform his
or her regular duties, that transition pay would not exceed the
compensation, as defined, being received by that executive officer in
the last year of regular duties, and would only be paid for actual
duties performed. The bill would provide that, to the extent the
trustees provide executive compensation in the form of trustee
professorships at the time an executive officer, as defined, ceases
to perform his or her regular duties, no compensation, as defined,
would be paid unless it is paid in consideration for actual teaching
and does not exceed the amount a full professor of the California
State University would be paid for a similar teaching assignment. The
bill would exempt from these provisions employment agreements
approved by the trustees and implemented prior to January 1, 2008.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  (a) The Legislature finds and declares that reports
regarding executive compensation for the top officials of the
California State University system reveal a need for improved
communication between the Trustees of the California State University
and the Legislature and the need for immediate reforms related to
excess compensation.
   (b) Therefore, it is the intent of the Legislature to allow for
improved communication between the California State University and
the Legislature, and to make some immediate reforms in executive
compensation.
  SEC. 2.   Section 66602 of the Education Code is amended to read:
   66602.  (a) (1) The board shall be composed of the following five
ex officio members: the Governor, the Lieutenant Governor, the
Superintendent of Public Instruction, the Speaker of the Assembly,
and the person named by the trustees to serve as the Chancellor of
the California State University; a representative of the alumni
associations of the state university, selected for a two-year term by
the alumni council, California State University, which
representative shall not be an employee of the California State
University during the two-year term; and 16 appointive members
appointed by the Governor and subject to confirmation by two-thirds
of the membership of the Senate.
   (2) Any ex officio member of the board may designate a staff
person to attend a meeting or meetings of the board in his or her
 absence and to act on his or her behalf at that meeting or
those meetings   absence. A staff person designated
pursuant to this paragraph shall not attend any closed session of the
board  . No more than one staff person may be designated under
this paragraph to attend board meetings in any calendar year.
   (b) (1) Two students from the California State University, who
shall have at least a junior year standing at the institutions they
attend, and who remain in good standing as students during their
respective terms, shall also be appointed by the Governor for
two-year terms.
   (2) In the selection of students as members of the board, the
Governor shall appoint the students from lists of names of at least
two, but not more than five, persons furnished by the governing board
of any statewide student organization that represents the students
of the California State University and the student body organizations
of the campuses of the California State University. Any appointment
to fill a vacancy of a student member shall be effective only for the
remainder of the term of the person's office that became vacated.
   (3) The term of office of one student member of the board shall
commence on July 1 of an even-numbered year and expire on June 30 two
years thereafter. The term of office of the other student member of
the board shall commence on July 1 of an odd-numbered year and expire
on June 30 two years thereafter. Notwithstanding paragraph (1), a
student member who graduates from his or her college or university on
or after January 1 of the second year of his or her term of office
may serve the remainder of the term.
   (4) During the first year of a student member's term, a student
member shall be a member of the board and may attend all meetings of
the board and its committees. At these meetings, a student member may
fully participate in discussion and debate, but may not vote. During
the second year of a student member's term, a student member may
exercise the same right to attend meetings of the board, and its
committees, and shall have the same right to vote as the members
appointed pursuant to subdivision (a).
   (5) Notwithstanding paragraph (4), if a student member resigns
from office or a vacancy is otherwise created in that office during
the second year of a student member's term, the remaining student
member shall immediately assume the office created by the vacancy and
all of the participation privileges of the second-year student
member, including the right to vote, for the remainder of that term
of office.
   (c) (1) A faculty member from the California State University, who
shall be tenured at the California State University campus at which
he or she teaches, shall also be appointed by the Governor for a
two-year term. In the selection of a faculty member as a member of
the board, the Governor shall appoint the faculty member from a list
of names of at least two persons furnished by the Academic Senate of
the California State University.
   (2) The faculty member of the board appointed by the Governor
pursuant to this subdivision shall not participate on any
subcommittee of the board responsible for collective bargaining
negotiations.
   (3) The term of office of the faculty member of the board shall
commence on July 1, and shall expire on June 30 two years thereafter.

  SEC. 3.   Section 66602.8 is added to the Education Code, to read:
   66602.8.  (a) Notwithstanding any other provision of law, on and
after January 1, 2008, the board is not authorized to approve a
contract for the hiring of an executive officer unless and until that
contract and its terms are adopted, by resolution, in a duly noticed
meeting of the board.
   (b) As used in this section:
   (1) "Contract" means the terms and conditions of employment
agreements.
   (2) "Executive officer" includes, but is not necessarily limited
to, the Chancellor of the California State University, a vice
chancellor or an executive vice chancellor of the university, the
general counsel of the university, or a president of a campus.
  SEC. 4.   Section 89504.7 is added to the Education Code, to read:
   89504.7.  (a) To the extent that the trustees provide executive
officer compensation in the form of transition pay at the time an
executive officer ceases to perform his or her regular duties, that
transition pay shall not exceed the compensation being received by
that executive in the last year of regular duties, and shall only be
paid for actual duties performed.
   (b) To the extent that the trustees provide executive officer
compensation in the form of trustee professorships at the time an
executive officer ceases to perform his or her regular duties,
compensation shall not be paid unless it is paid in consideration for
actual teaching. This compensation shall not exceed the amount a
full professor of the California State University would be paid for a
similar teaching assignment.
   (c) As used in this section:
   (1) "Compensation" includes, but is not necessarily limited to,
salary, pension benefits, and automobile and housing allowances.
   (2) "Executive officer" includes, but is not necessarily limited
to, the Chancellor of the California State University, a vice
chancellor or an executive vice chancellor of the university, the
general counsel of the university, or a president of a campus.
   (d) Subdivision (a) and (b) shall not apply to employment
agreements approved by the trustees and implemented prior to January
1, 2008.