BILL ANALYSIS Ó AB 587 Page 1 ASSEMBLY THIRD READING AB 587 (Gordon and Furutani) As Introduced February 16, 2011 Majority vote LABOR & EMPLOYMENT 6-0 ----------------------------------------------------------------- |Ayes:|Swanson, Miller, Alejo, | | | | |Allen, Furutani, Yamada | | | | | | | | ----------------------------------------------------------------- SUMMARY : Extends a public works exemption for specified "volunteers" and other related individuals. Specifically, this bill : 1)Extends the sunset date on the exemption to January 1, 2017. 2)Eliminates a provision of the law that required the Department of Industrial Relations (DIR) to submit a specified report to the Legislature before January 1, 2011, regarding volunteers on public works projects. 3)Makes related legislative findings and declarations. EXISTING LAW : 1) Requires the prevailing wage rate to be paid to all workers on public works projects over $1,000. 2) Defines "public work" to include, among other things, construction, alteration, demolition, installation or repair work done under contract and paid for in whole or in part out of public funds. 3) Provides that the provisions of existing law dealing with the payment of prevailing wages on public works projects do not apply to work performed by a volunteer or volunteer coordinator, as defined. 4) Defines a "volunteer" as an individual who performs work for civic, charitable, or humanitarian reasons for a public agency or 501(c)(3) tax-exempt organization without promise, expectation, or receipt of any compensation for work AB 587 Page 2 performed. 5) Defines a "volunteer coordinator" as an individual paid by a corporation or 501(c)(3) tax-exempt organization to oversee or supervise volunteers. 6) Clarifies that an individual may be considered a "volunteer coordinator" even if the individual performs some non-supervisory work on a project alongside the volunteers, so long as the individual's primary responsibility is to supervise. 7) Specifies that an individual shall be considered a volunteer only when his or her services are offered freely and without pressure and coercion, direct or implied, from an employer. 8) Authorizes a volunteer to receive reasonable meals, lodging, transportation, and incidental expenses or nominal non-monetary awards if those benefits and payments are not a substitute form of compensation. 9) Excludes from the definition of volunteer an individual if that person is otherwise employed for compensation at any time a) in the construction, alteration, demolition, installation, repair, or maintenance work on the same project; or, b) by a contractor, other than a 501(c)(3) tax-exempt organization, that is receiving payment to perform construction, alteration, demolition, installation, repair or maintenance work on the same project. 10)Provides that the provisions of existing law dealing with the payment of prevailing wages on public works projects do not apply to work performed by members of the California Conservation Corps or a certified Community Conservation Corps. 11)Provides a January 1, 2012, sunset date to these provisions. 12)Requires DIR to submit a specified report to the Legislature before January 1, 2011, regarding volunteers on public works projects. AB 587 Page 3 FISCAL EFFECT : Unknown COMMENTS : Supporters state that the ability to volunteer is a cornerstone to many projects, including land and water conservation projects in California. It provides any citizen the opportunity to donate his or her time for projects that benefit their local community. Projects such as tree planting, trail restoration, coastal clean-up and habitat restoration give a sense of civic pride and ownership to the individual volunteer while enhancing and improving the quality of life for all. Supporters note that California's volunteer base serves as an essential element for the successful completion of a wide variety of community projects that improve and enhance our quality of life. Californians are eager for volunteer opportunities for themselves and their children; it is a deeply-held American value and they choose to volunteer in order to enrich their communities and lives. They contend that limiting the ability of people to volunteer would put the health of the communities and California's natural landscapes at risk. Supporters argue that, at a time when the state is addressing very serious fiscal deficits, extending this sunset provision will allow California to continue to tap into one of our greatest and most economical resources - the generosity of the human spirit. Analysis Prepared by : Ben Ebbink / L. & E. / (916) 319-2091 FN: 0000285