BILL ANALYSIS                                                                                                                                                                                                    



                                                                     AB 466


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          Date of Hearing:  May 6, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          466 (McCarty) - As Amended March 26, 2015


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          |Policy       |Public Employees,              |Vote:|5 - 2        |
          |Committee:   |Retirement/Soc Sec             |     |             |
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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill clarifies that provisions requiring state employment  
          forms to require an applicant to disclose whether the applicant  
          has ever entered into an agreement with the state prohibiting  
          the applicant from seeking or accepting any subsequent  
          employment with the state do not apply if the agreement only  
          prohibits the applicant from seeking employment with a  
          particular state agency and not all state employment.


          FISCAL EFFECT:










                                                                     AB 466


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          Minor and absorbable costs to CalHR and state agencies to update  
          employment forms.


          COMMENTS:


          1)Purpose.  This bill clarifies a requirement adopted in SB 1240  
            (Anderson), Statutes of 2014, that amended state employment  
            forms to require an applicant to disclose whether the  
            applicant had ever entered into an agreement with a state  
            department prohibiting the applicant from seeking or accepting  
            any subsequent employment with the state.  SB 1240 was enacted  
            in response to a series of disciplinary actions initiated  
            against several employees of the Department of Transportation  
            (CalTrans) in connection with the Bay Bridge construction.  At  
            least one former employee entered into a settlement agreement  
            with CalTrans whereby he agreed not to seek or accept any  
            other employment with the state.


            According to the author, while the intent of SB 1240 was  
            clear, the language was unclear as to whether all applicants,  
            including those who agreed not to seek or accept subsequent  
            employment only with a particular department, would be  
            required to disclose such an agreement on a subsequent  
            application.  The author contends that without AB 466, both  
            employees and the state could be discouraged from settling  
            dismissal appeals, leading to additional costly adjudication.


          2)Dismissal Appeals.  Under existing law, terminated civil  
            service employees are entitled to appeal dismissals to the  
            independent State Personnel Board (SPB).  The SBP has the  
            authority and discretion to sustain, revoke, or modify the  
            terms of any employee's termination.  Typically, a prehearing  
            and settlement conference is convened to offer parties an  
            opportunity to negotiate a settlement prior to a full hearing  
            before SPB.  According to the author, it is common for  








                                                                     AB 466


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            settlement terms to include a prohibition on the employee  
            seeking or accepting employment with their department, and  
            that without the ability to keep those agreements  
            confidential, employees may be disincentivised from agreeing  
            to them.


          Analysis Prepared by:Joel Tashjian / APPR. / (916)  
          319-2081