BILL ANALYSIS �
AB 641
Page 1
ASSEMBLY THIRD READING
AB 641 (Rendon)
As Amended March 19, 2013
Majority vote
LABOR & EMPLOYMENT 5-2 APPROPRIATIONS 12-5
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|Ayes:|Roger Hern�ndez, Alejo, |Ayes:|Gatto, Bocanegra, |
| |Chau, Gomez, Holden | |Bradford, |
| | | |Ian Calderon, Campos, |
| | | |Eggman, Gomez, Hall, |
| | | |Ammiano, Pan, Quirk, |
| | | |Weber |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Morrell, Gorell |Nays:|Harkey, Bigelow, |
| | | |Donnelly, Linder, Wagner |
| | | | |
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SUMMARY : Authorizes family child care providers to form, join
and participate in "provider organizations" for purposes of
negotiating with state agencies on specified matters.
Specifically, this bill :
1)Defines a "family child care provider" or "provider" as either
of the following:
a) A family day care home provider that is licensed.
b) An individual who provides child care in his or her home
or in the home of the child receiving care, is exempt from
licensing requirements, and participates in a child care
subsidy program.
2)Defines a "provider organization" as an organization that has
all of the following characteristics:
a) The organization includes family child care providers.
b) The organization has as one of its main purposes the
representation of family child care providers in their
relations with public and private entities in the state.
AB 641
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c) The organization is not an entity that contracts with
the state or a county to administer or process payments for
a child care subsidy program.
3)Provides that family child care providers have the right to
form, join and participate in the activities of provider
organizations of their own choosing for purposes of
representation on specified matters.
4)Specifies that family child care providers are not public
employees, and that this bill does not create an
employer-employee relationship between family child care
providers and the state or any other entity. This bill does
not change the child care providers' status as independent
business owners or classify child care providers as public
employees.
5)Provides that the "state action" antitrust exemption to the
application of federal and state antitrust laws is applicable
to the activities of family child care providers and their
representatives.
6)Specifies that the scope of representation shall include all
of the following:
a) The administration of laws and regulations governing
licensing for providers.
b) Joint labor-management committees.
c) Contract grievance arbitration.
d) Expanded access to professional development and training
opportunities for providers.
e) Benefits for providers.
f) Payment procedures for child care subsidy programs.
g) Reimbursement rates and other economic matters.
h) Expanded access to food and nutrition programs.
i) The deduction of membership dues and fees.
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j) Building connections between the family child care
system and the elementary and secondary education system.
aa) Expanded access to the subsidized family child care
system to families in need of subsidies.
bb) Any other changes to current practice that would result
in specified improvements to the child care system.
7)Requires the Department of Social Services to make available
to a provider organization, upon request, the name, address,
telephone number and other information regarding child care
providers, as specified.
8)Establishes a petition and election process for the selection
of provider organizations, to be administered by the Public
Employment Relations Board (PERB), as specified.
9)Provides that the only appropriate unit shall consist of all
family child care providers in the state.
10)Requires a provider organization to represent all family
child care providers in the unit fairly and without
discrimination and without regard to whether the providers are
members of the provider organization.
11)Requires the Governor, through the Department of Human
Resources, to meet and confer in good faith regarding all
matters within the scope of representation. "Meet and confer
in good faith" means the parties have the mutual obligation
personally to meet and confer promptly upon request by either
party and continue for a reasonable period of time. The duty
to meet and confer in good faith also requires the parties to
begin negotiations sufficiently in advance of the adoption of
the state's final budget for the ensuing year.
12)Requires any agreement reached to be reflected in a written
memorandum of understanding, which will be binding on all
state departments and agencies that are involved in the
administration of child care subsidy programs, and the
relevant contractors or subcontractors of those departments
and agencies.
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13)Provides that any portion of the memorandum of understanding
requiring appropriation by the Legislature or statutory or
regulatory revisions shall be subject to legislative approval.
14)Authorizes a provider organization to enter an agreement with
the state regarding the payment of dues, as specified.
15)Prohibits a provider organization from directing or calling a
strike.
16)Establishes the "Family Child Care Advisory Committee"
(Committee) to consist of the following 11 members:
a) Nine members who are parents or guardians of children
who participate or have participated in a child care
subsidy program (three each appointed by the Governor, the
Speaker of the Assembly, and the President pro Tempore of
the Senate).
b) The Director of the State Department of Social Services,
or his or her designee.
c) The Superintendent of Public Instruction, or his or her
designee.
17)Requires the Committee to advise the Governor and any
certified provider organization regarding specified issues and
to make recommendations regarding both of the following:
a) Strategies for improving quality, affordability, and
access to child care for families, including, but not
limited to, families who cannot participate in the child
care subsidy program because of wait lists or other
hurdles.
b) The structure of the child care subsidy program of the
state, including, but not limited to, the application and
renewal process, eligibility rules and standards, and the
amount of family copayments.
18)Enacts related and conforming changes.
19)Makes related legislative findings and declarations.
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FISCAL EFFECT : According to the Assembly Appropriations
Committee, this bill will result in General Fund costs, likely
in the tens of millions to hundreds of millions, to the
California Work Opportunity and Responsibility for Kids
(CalWORKS) program to implement the requirements of this bill.
This bill will also result in administrative costs, likely in
excess of $200,000, to establish and maintain the Family Child
Care Parent Advisory Committee, as specified. This bill will
also result in administrative costs, likely in the hundreds of
thousands of dollars, to the Public Employee Relations Board
(PERB). Finally, this bill will result in General Fund cost
pressure, likely in the tens of millions, to meet the
requirements of this bill.
COMMENTS : This bill is jointly sponsored by the American
Federation of State, County and Municipal Employees (AFSCME) and
the Service Employees International Union (SEIU). This bill
authorizes family child care providers to form, join and
participate in "provider organizations" for purposes of
negotiating with state agencies on specified matters. The bill
states that its purpose is to "promote higher quality and
greater access and stability in the child care system" by
authorizing an appropriate unit of family child care providers
to choose a provider organization to act as their exclusive
representative on all matters" within the scope of
representation as defined in the bill. The bill also
establishes a Family Child Care Parent Advisory Committee, which
the bill states, is necessary because families who receive child
care subsidies "lack any formal voice into the way the child
care system operates."
Writing in support of this bill, SEIU argues that this bill
would give family day care providers - a group of predominately
female small business owners - the opportunity to join together
on matters that affect their profession. Current law does not
allow home-based child care providers to work together to
improve child care services. This means that providers do not
have the ability to work with the state to implement common
sense improvements to make better use of state child care
dollars such as setting statewide standards for how quickly and
accurately reimbursements are processed, ensuring minor
discrepancies like ink color do not hold up reimbursements, and
establishing better communication when program rules or family
eligibility changes happen.
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Similarly, AFSCME argues that 14 other states have moved in the
direction proposed by this bill. This bill will allow family
child care providers to become full partners with the state in
improving and stabilizing the provision of care. It will put
California in a position to grow our child care programs to meet
the future needs of our working families as the economy begins
to recover.
Analysis Prepared by : Ben Ebbink / L. & E. / (916) 319-2091
FN: 0000762