BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 616
                                                                  Page  1

          Date of Hearing:   May 8, 2013

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                  AB 616 (Bocanegra) - As Amended:  April 25, 2013 

          Policy Committee:                              PERSSVote:5-2

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill makes changes to the Meyers-Milas-Brown Act (MMBA)  
          with respect to impasse procedures and fact-finding.   
          Specifically, this bill: 

          1)Provides that if either party disputes that a genuine impasse  
            has been reached, it may submit that dispute to PERB for  
            resolution.  If PERB determines that a genuine impasse exists,  
            the parties' differences are subject to the remainder of the  
            fact finding procedures of the MMBA.

          2)Maintains the existing rights of the County of Los Angeles and  
            the City of Los Angeles to amend its employee relations  
            commissions' rules and regulations providing for impasse  
            resolution procedures.

           FISCAL EFFECT  

          1)Based on the staffing that PERB estimated was necessary to  
            administer the bill, the fiscal impact of administering the  
            provisions of this bill is approximately $250,000.

          2)Though the bill is not keyed a local mandate, there could be  
            state mandated reimbursement of local costs for the impasse  
            decisions.  The amount would depend on the number of requests  
            for impasse.  Reimbursable costs could be in the millions of  
            dollars.  The Commission on State Mandates has approved a test  
            claim for any local government subject to the jurisdiction of  
            PERB that incurs increased costs as a result of a mandate,  
            meaning their costs are eligible for reimbursement.  There are  
            several thousand local governments, many with dozens of  
            bargaining units that would be subject to the bill.    








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           COMMENTS  

           1)Purpose  .  According to the author, when a public employer and  
            a public employee organization reach an impasse in collective  
            bargaining and the dispute has not been submitted to voluntary  
            mediation, the employee organization may request that the  
            parties' differences be submitted to a fact-finding panel not  
            later than 30 days following the date that either party  
            provided the other with a written notice of a declaration of  
            impasse.  This bill was introduced because PERB has  
            interpreted this provision, in its regulations and its  
            administrative rulings, to require the employee organization  
            to make this request within 30 days of a declaration of  
            impasse, without regard to whether the employer and union have  
            in fact reached a genuine impasse in the negotiations.  The  
            author argues this loophole could allow a public employer to  
            evade its duty to bargain in good faith by declaring impasse  
            prematurely or in bad faith.

           2)Opposition  .  Opponents, including California State Association  
            of Counties, argue extending the time from 30 to 60 days for  
            the submission of differences to a fact-finding panel will do  
            nothing more than lengthen the negotiating period to the  
            benefit of the party interested in maintaining the status quo.  
             They also believe local rules adequately define impasse and  
            the procedures that follow.

           3)Related legislation.   AB 537 (Bonta) makes various changes to  
            the Meyers-Milias-Brown Act (MMBA) governing local public  
            employer and employee relations related to arbitration  
            agreements, mediation, ground rules, contract ratification,  
            and employee relations ordinances.  AB 537 is pending in this  
            committee.
                
            4)Previous legislation  .

             a)   AB 1606 (Perea), Chapter 314, Statutes of 2012,  
               authorized an employee organization to request that the  
               parties' differences be submitted to a fact-finding panel  
               not sooner than 30 days, but not more than 45 days,  
               following the appointment of a mediator or entering into a  
               mediation process.  If the dispute was not submitted to  
               mediation, an employee organization may request that the  
               parties' differences be submitted to a factfinding panel  








                                                                  AB 616
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               not later than 30 days following the date either party  
               provided the other with written notice of a declaration of  
               impasse.

             b)   AB 646 (Atkins), Chapter 680, Statutes of 2011, allowed  
               local public employee organizations to request factfinding  
               if a mediator is unable to reach a settlement within 30  
               days of appointment, defines certain responsibilities of  
               the factfinding panel and interested parties, and made  
               specified exemptions from these provisions.




           Analysis Prepared by  :    Roger Dunstan / APPR. / (916) 319-2081