BILL NUMBER: SB 682 INTRODUCED
BILL TEXT
INTRODUCED BY Senator Leno
FEBRUARY 27, 2015
An act to add Section 71621 to the Government Code, relating to
courts.
LEGISLATIVE COUNSEL'S DIGEST
SB 682, as introduced, Leno. Courts.
The Trial Court Employment Protection and Governance Act
establishes a trial court employee personnel system that provides
authority to hire trial court personnel, regulates the classification
and compensation of trial court employees, labor relations, and
personnel files, and requires each trial court to establish a system
of employment selection and advancement and an employment protection
system.
Existing law authorizes state agencies to use personal services
contracts to achieve cost savings if specified standards are
satisfied, including, among other things, the contract does not cause
the displacement of civil service employees and the contract is
awarded through a publicized, competitive bidding process. The State
Personnel Board is required to review a proposed contract upon the
request of an employee organization for compliance with those
standards.
This bill would establish specified standards if a trial court
intends to enter into, or renew or extend, a contract for any
services that are currently or customarily performed by that trial
court's employees. Among other things, the bill would require the
trial court to clearly demonstrate that the contract will result in
actual overall cost savings to the trial court. The bill would
provide that those standards do not apply to a contract under certain
circumstances, including, among others, when the services are
incidental to a contract for the purchase or lease of real or
personal property.
This bill would require a trial court to provide a report by
February 1, 2016, to the Department of Finance, the chairperson of
the Joint Legislative Budget Committee, and the chairpersons of the
Senate Committee on Judiciary and the Assembly Committee on Judiciary
if the trial court entered into, or renewed or extended, a contract
between July 1, 2015, and December 31, 2015, for services that were
provided or are customarily provided by its trial court employees and
the contract has a term extending beyond March 31, 2016. The bill
would require that report to provide specified information relating
to these contracts, including an analysis of whether the contract
resulted in the displacement of trial court employees.
This bill would provide that its provisions are severable.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 71621 is added to the Government Code, to read:
71621. The purpose of this section is to establish standards for
when a trial court intends to enter into, or renew or extend, a
contract for any services that are currently or have been customarily
performed by that trial court's employees.
(a) Contracts for services that are currently or customarily
performed by trial court employees are permissible in a trial court
when all of the following conditions are met:
(1) The trial court clearly demonstrates that the contract will
result in actual overall cost savings to the trial court, provided
that:
(A) In comparing costs, there shall be included the trial court's
additional costs of providing the same service as proposed by a
contractor. These additional costs shall include the salaries and
benefits of additional staff that would be needed and the costs of
additional space, equipment, and materials needed to perform the
function.
(B) In comparing costs, there shall not be included the trial
court's indirect overhead costs unless these costs can be attributed
solely to the function in question and would not exist if that
function was not performed by the trial court. Indirect overhead
costs shall mean the pro rata share of existing administrative
salaries and benefits, rent, equipment costs, utilities, and
materials.
(C) In comparing costs, there shall be included in the costs of a
contractor providing a service any continuing trial court costs that
would be directly associated with the contracted function. These
continuing trial court costs shall include, but not be limited to,
those for inspection, supervision, and monitoring.
(2) Proposals to contract out work shall not be approved solely on
the basis that savings will result from lower contractor pay rates
or benefits. Contracts shall be eligible for approval if the
contractor's wages are at the industry's level and do not undercut
trial court pay rates.
(3) The contract does not cause the displacement of trial court
employees. The term "displacement" includes layoff, demotion, loss of
employment or employment seniority, involuntary transfer to a new
class, involuntary transfer to a new location requiring a change of
residence, and time base reductions. Displacement does not include
changes in shifts or days off, nor does it include reassignment to
other positions within the same class and general location
(4) The savings shall be large enough to ensure that they will not
be eliminated by private sector and trial court fluctuations that
could normally be expected during the contracting period.
(5) The amount of savings clearly justify the size and duration of
the contracting agreement.
(6) The contract is awarded through a publicized, competitive
bidding process.
(7) The contract includes specific provisions pertaining to the
qualifications of the staff that will perform the work under the
contract, as well as assurance that the contractor's hiring practices
meet applicable nondiscrimination standards.
(8) The potential for future economic risk to the trial court from
potential contractor rate increases is minimal.
(9) The contract is with a firm. A "firm" means a corporation,
partnership, nonprofit organization, or sole proprietorship.
(10) The potential economic advantage of contracting out is not
outweighed by the public's interest in having a particular function
performed directly by the trial court.
(b) This section does not preclude a trial court or the Judicial
Council from adopting more restrictive rules regarding the
contracting of court services.
(c) Contracting shall also be permissible when any of the
following conditions can be met:
(1) The contract is for a new trial court function and the
Legislature has specifically mandated or authorized the performance
of the work by independent contractors.
(2) The contract is between a trial court and another trial court
or local government entity for services to be performed by employees
of the other trial court or employees of the local government entity.
(3) The services contracted for cannot be satisfactorily performed
by trial court employees, or are of such a highly specialized or
technical nature that the necessary expert knowledge, experience, and
ability cannot be obtained from the court's trial court employees.
(4) The services are incidental to a contract for the purchase or
lease of real or personal property. Contracts described in this
paragraph, known as "service agreements," shall include, but not be
limited to, agreements to service or maintain office equipment or
computers that are leased or rented. Service agreements do not
include contracts to operate equipment or computers for purposes
other than service or maintenance.
(5) The legislative, administrative, or legal goals and purposes
cannot be accomplished through the utilization of trial court
employees because of the need to protect against a conflict of
interest or to ensure independent and unbiased findings in cases
where there is a clear need for an independent, outside perspective.
(6) Due to an emergency, a contract is necessary for the immediate
preservation of the public health, welfare, or safety.
(7) The contractor will conduct training courses for which
appropriately qualified trial court employee instructors are not
available from the court, provided that permanent instructor
positions shall be filled through the process for hiring trial court
employees.
(8) The services are of such an urgent, temporary, or occasional
nature that the delay incumbent in their implementation through the
process for hiring trial court employees would frustrate their very
purpose. This paragraph shall not apply to the services of official
court reporters, except individual official reporters pro tempore may
be used by a trial court when the criteria of this paragraph are
met.
(9) The contract is a personal services contract developed
pursuant to rehabilitation programs in accordance with Sections 19403
and 19404 of the Welfare and Institutions Code, pursuant to
habilitation programs in accordance with Chapter 13 (commencing with
Section 4850) of Division 4.5 of the Welfare and Institutions Code,
or pursuant to a program vendored or contracted through a regional
center or the State Department of Developmental Services in
accordance with the Lanterman Developmental Disabilities Services Act
(Division 4.5 (commencing with Section 4500) of the Welfare and
Institutions Code), and the contract will not cause an existing trial
court employee to incur a loss of his or her employment or
employment seniority; a reduction in wages, benefits, or hours; or an
involuntary transfer to a new location requiring a change in
residence.
(10) The contract is for the services of any court interpreter.
Contracts for the services of any court interpreter, and restrictions
on contracting out interpreter services, shall be governed by the
Trial Court Interpreter Employment and Labor Relations Act (Chapter
7.5 (commencing with Section 71800)) and any memorandum of
understanding or agreement entered into pursuant to that act, or by
the other provisions of this chapter, the Trial Court Employment
Protection and Governance Act, and any memorandum of understanding or
agreement entered into pursuant to that act, as applicable.
SEC. 2. If a trial court entered into, or renewed or extended, a
contract between July 1, 2015, and December 31, 2015, inclusive, for
services that were provided or are customarily provided by its trial
court employees and that contract has a term extending beyond March
31, 2016, the trial court shall provide a report by no later than
February 1, 2016, to the Department of Finance, chairperson of the
Joint Legislative Budget Committee and the chairpersons of the Senate
Committee on Judiciary and Assembly Committee on Judiciary. The
report shall provide all of the following:
(a) A copy of the contract.
(b) An analysis of whether the contract is permissible under the
standards set forth in Section 71621 of the Government Code, as added
by Section 1 of this act.
(c) An analysis of whether the contract resulted in the
displacement of trial court employees.
(d) An analysis of whether the contract involves the use of
contractors to perform the type of services that were customarily
performed by trial court employees.
SEC. 3. The provisions of this act are severable. If any provision
of this act or its application is held invalid, that invalidity
shall not affect other provisions or applications that can be given
effect without the invalid provision or application.