BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                       AB 2294|
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                                   THIRD READING 


          Bill No:  AB 2294
          Author:   Gomez (D) 
          Amended:  6/15/16 in Senate
          Vote:     21 

           SENATE EDUCATION COMMITTEE:  7-2, 6/8/16
           AYES:  Liu, Block, Hancock, Leyva, Mendoza, Monning, Pan
           NOES:  Huff, Vidak

           SENATE APPROPRIATIONS COMMITTEE:  5-2, 8/11/16
           AYES: Lara, Beall, Hill, McGuire, Mendoza
           NOES: Bates, Nielsen
            
           ASSEMBLY FLOOR:  51-26, 5/12/16 - See last page for vote

           SUBJECT:   The California State University:  employees:  leaves  
                     of absence without loss of compensation


          SOURCE:    California Faculty Association


          DIGEST:  This bill requires the California State University  
          (CSU) to grant an employee a leave of absence without loss of  
          compensation to serve as an elected officer of any CSU campus  
          public employee organization.


          ANALYSIS: 

          Existing law:

          1)Establishes the CSU governed by the Board of Trustees  








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            (Trustees) and provides that that the Trustees are responsible  
            for the rule of government of their appointees and employees.   
            (Education Code § 89500, et seq.)  

          2)Establishes the Higher Education Employer-Employee Relations  
            Act (HEERA) to provide a statutory framework to regulate labor  
            relations at the University of California, the CSU, and  
            Hastings College of Law and their employees and provides the  
            Public Employment Relations Board (PERB) with the authority to  
            enforce HEERA.  (Government Code § 3560-3599)

          3)Requires the governing board of a school district to grant any  
            employee, upon request, a leave of absence without loss of  
            compensation for the purpose of enabling the employee to serve  
            as an elected officer of any local school district public  
            employee organization or any statewide or national public  
            employee organization with which the local organization is  
            affiliated.  Provides that following the district's payment of  
            the employee for the leave of absence, the district shall be  
            reimbursed by the employee organization of which the employee  
            is an elected officer for all compensation paid the employee  
            on account of the leave.  (Education Code § 44987)

          4)Requires the governing board of a community college district  
            to grant any employee, upon request, a leave of absence  
            without loss of compensation for the purpose of enabling the  
            employee to serve as an elected officer of any local school  
            district public employee organization or any statewide or  
            national public employee organization with which the local  
            organization is affiliated.  Provides that following the  
            district's payment of the employee for the leave of absence,  
            the district shall be reimbursed by the employee organization  
            of which the employee is an elected officer for all  
            compensation paid the employee on account of the leave.   
            (Education Code § 87768.5)

          This bill:

          1)Requires the CSU Trustees to grant any employee, upon a  
            request that provides at least 30 days of notice before  
            commencement, a leave of absence without loss of compensation  
            for the purpose of enabling the employee to serve as an  
            elected officer of any CSU campus public employee organization  
            or any statewide or national public employee organization with  







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            which the university campus organization is affiliated.  

          2)Specifies that when possible, an employee shall provide a  
            notice of at least 30 days before the start of the academic  
            term during which the leave will occur.         

          3)Provides that the leave shall include, but is not limited to,  
            absence for purposes of attendance by the employee at meetings  
            of the organization, as specified. 


          4)Provides that compensation during the leave shall include  
            retirement fund contributions required of the employer,  
            including any amount necessary to pay any unfunded liability  
            cost for the retirement plan. 


          5)Provides that the employee shall earn full service credit  
            during the leave of absence and shall pay member contributions  
            as prescribed, and provides that the maximum amount of the  
            service credit earned shall not exceed 12 calendar years. 


          6)Provides that any employee who serves as a full-time officer  
            of a public employee organization shall not be eligible for  
            disability benefits under the Public Employees' Retirement  
            System while on the leave of absence.


          7)Provides that following payment of the employee for the leave  
            of absence, the CSU or campus shall be reimbursed by the  
            employee organization of which the employee is an elected  
            officer for all compensation paid the employee on account of  
            the leave. Requires reimbursement by the employee organization  
            to be made within 10 days after its receipt of the  
            certification of payment of compensation to the employee.


          8)Provides that the leave of absence without loss of  
            compensation provided for by this bill is in addition to the  
            released time without loss of compensation granted to  
            representatives of an exclusive representative by Section 3569  
            of the Government Code.








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          Comments
          
          Consistency with K-12 school districts and community colleges.   
          Current law requires school districts and the community colleges  
          to grant employees a leave of absence without loss of  
          compensation to serve as elected officers of a union.  The  
          districts are then reimbursed by the employee organization of  
          which the employee is an elected officer for all compensation  
          paid to the employee while on leave, including any retirement  
          costs.  While each of the CSU's 13 bargaining groups have  
          agreements that provide some level of leave for academic  
          employees to work on behalf of their union, the amounts may vary  
          and are not specified in statute.  


          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   No


          According to the Senate Appropriations Committee, though this  
          bill requires the employment organization to reimburse the CSU  
          salary and benefits, including the CSU retirement fund  
          contribution, this bill could result in one-time costs to  
          recruit, hire, or train replacement employees to fill in while  
          the employee is on a leave of absence.  In some cases the  
          replacement employee could be compensated less than the employee  
          on leave in which case any upfront recruiting and training costs  
          could be recovered and ongoing savings could be achieved.   
          However, to the extent the CSU is unable to fill the temporary  
          vacancy with an employee at a lower compensation the CSU may  
          incur some ongoing costs to pay the employee's compensation  
          while on leave, in addition to the one-time costs.  

          Additionally, according to the CSU's website there are 47,000  
          faculty and staff employed at the university.  CSU indicates  
          that the California Faculty Association is currently using two  
          or three of the 16 leaves available they have in their  
          collective bargaining agreements.  To the extent this bill  
          encourages additional use of leaves and five employees go on a  
          leave of absence in a year resulting in costs of $10,000 per  
          employee to recruit a replacement, statewide costs could be  
          about $50,000.  However, the effect of this bill on the number  
          of employees taking a leave of absence in the future is unknown.  
           (General Fund)







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          SUPPORT:   (Verified8/12/16)


          California Faculty Association (source)
          California Labor Federation
          California State University Employees Union
          California Teachers Association
          Service Employees International Union


          OPPOSITION:   (Verified8/12/16)


          California State University

          ARGUMENTS IN SUPPORT:  According to the author's office, "in the  
          state's K-12 and community college systems, employees are  
          routinely granted leaves of absence without loss of pay to  
          enable the employee to serve as an elected officer of a union  
          with which his or her labor union is affiliated.  Education Code  
          Sections 44987 (K-12) and 87768.5 (community colleges) specify  
          that compensation during the leave includes retirement costs  
          while on the leave of absence.  A recent review of the  
          California Education Code revealed that CSU faculty lack  
          statutory parity for identical leaves of absence."  The author  
          argues that legislation is necessary to ensure that CSU  
          employees have the right to take leave time to participate in  
          leadership roles with their union affiliates.  The author's  
          office indicates that CSU faculty participation in a union  
          elected leadership position is subject to the discretion of the  
          CSU, under relevant memorandums of understanding (MOUs) and  
          local bargaining agreements.
          
          ARGUMENTS IN OPPOSITION:  The CSU opposes this bill, arguing  
          that the measure sidesteps the collective bargaining process  
          where union leave requests are a negotiated term of employment  
          and therefore would impact 13 collective bargaining units.  This  
          would hinder the CSU's ability to consider these leave requests  
          in the context of its impact on campus operations and  
          instruction.  For example, CSU notes that under the current  
          faculty agreement there is a notice requirement and an  
          opportunity to discuss the impact of the release time on  







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          academic departments.  
          
          
          ASSEMBLY FLOOR:  51-26, 5/12/16
          AYES:  Alejo, Arambula, Atkins, Bloom, Bonilla, Bonta, Brown,  
            Calderon, Campos, Chau, Chiu, Chu, Cooley, Cooper, Dababneh,  
            Daly, Dodd, Eggman, Frazier, Cristina Garcia, Eduardo Garcia,  
            Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Roger Hernández,  
            Holden, Irwin, Levine, Linder, Lopez, Low, McCarty, Medina,  
            Mullin, Nazarian, O'Donnell, Quirk, Ridley-Thomas, Rodriguez,  
            Salas, Santiago, Mark Stone, Thurmond, Ting, Weber, Williams,  
            Wood, Rendon
          NOES:  Achadjian, Travis Allen, Baker, Bigelow, Brough, Chang,  
            Dahle, Beth Gaines, Gallagher, Grove, Hadley, Harper, Jones,  
            Kim, Lackey, Maienschein, Mathis, Mayes, Melendez, Obernolte,  
            Olsen, Patterson, Steinorth, Wagner, Waldron, Wilk
          NO VOTE RECORDED:  Burke, Chávez, Jones-Sawyer

          Prepared by:Lenin DelCastillo / ED. / (916) 651-4105
          8/15/16 19:39:48


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