BILL NUMBER: SB 37	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 1, 2009

INTRODUCED BY   Senator Strickland

                        DECEMBER 18, 2008

   An act to amend Section  12480   19849.7
 of the Government Code, relating to public employees.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 37, as amended, Strickland.  Public employees:
compensation.   State employees: statement of
deductions.  
   Existing law requires each state agency, at the time of each
payment of salary or wages, to furnish each employee, at his or her
discretion, an itemized statement in writing or electronically
showing all deductions made from his or her salary or wages as
required by specified provisions of law.  
   This bill would require that the itemized statement described
above be provided to each employee electronically, unless the
employee has requested, in writing, to receive a paper version of the
statement.  
   Existing law permits officers and employees of the state to
authorize the direct deposit by electronic fund transfer of their
salary or wages, after any withholding required by law and authorized
deductions, into an account at the financial institution of their
choice under a program for direct deposit by electronic transfer
established pursuant to the State of California Sure Pay Plan.
 
   This bill would require officers and employees of the state to
authorize their net salary directly deposited by electronic fund
transfer, except that they may decline to authorize the direct
deposit by following procedures established by their employing
agency. The bill would also require the employing agency to provide a
secure, electronic method for officers and employees enrolled in
direct deposit to receive a statement of earnings and deductions. The
bill would provide that no paper copies of those statements shall be
distributed. 
   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.    Section 19849.7 of the  
Government Code   is amended to read: 
   19849.7.  (a) Each state agency shall at the time of each payment
of salary or wages, whether by direct deposit by electronic fund
transfer pursuant to Sections 12480 and 12481 or otherwise, furnish
each employee  , at his or her discretion,  an
itemized statement  in writing or electronically 
showing all deductions made from his or her salary or wages as
required by Section 226 of the Labor Code. 
   (b) The itemized statement described in subdivision (a) shall be
provided to each employee electronically, unless the employee has
requested, in writing, to receive a paper version of the statement.
 
   (b) 
    (c)  The provision of an electronic statement of
itemized deductions pursuant to this section shall be contingent upon
the funding and implementation of the Controller's "21st Century
Project," and provided only to the extent that the project enables
the Controller to provide this information electronically. 
  SECTION 1.    Section 12480 of the Government Code
is amended to read:
   12480.  (a) (1) Officers and employees of the state shall
authorize the direct deposit by electronic fund transfer of their
salary or wages, after any withholding required by law and authorized
deductions, into an account at the financial institution of their
choice under a program for direct deposit by electronic transfer
established pursuant to Section 12481. The direct deposit shall
discharge the obligation of the Controller with respect to the
drawing and issuance of warrants for the salaries or wages of the
state officers and employees authorizing the direct deposit.
   (2) The employing agency shall provide a secure, electronic method
for officers and employees enrolled in direct deposit to receive a
statement of earnings and deductions. No paper copies of those
statements shall be distributed.
   (b) Notwithstanding subdivision (a), officers and employees of the
state may decline to authorize the direct deposit by following
procedures established by their employing agency.