BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 843
                                                                  Page  1

          Date of Hearing:   April 22, 2008

            ASSEMBLY COMMITTEE ON PUBLIC EMPLOYEES, RETIREMENT AND SOCIAL  
                                      SECURITY
                                 Ed Hernandez, Chair
                  AB 843 (Block) - As Introduced:  February 26, 2009
           
          SUBJECT  :   State employees.

           SUMMARY  :   Revises disciplinary procedures for managerial  
          employees.  Specifically,  this bill  :  

          1)Allows managerial employees to be included in existing  
            procedures for taking adverse action against state employees.

          2)Deletes the provision providing that disciplined managerial  
            employees will have the burden of proof.

          3)Deletes the rebuttable presumption that the action was free  
            from fraud and bad faith and that the statement of reason in  
            the notice of disciplinary action is true.

           EXISTING LAW  provides that a state appointing power may take an  
          adverse action (defined as dismissal, demotion, suspension, or  
          other disciplinary action) against a civil service employee  
          based upon specified legal causes for discipline.  The  
          disciplined employee has the right to appeal to the State  
          Personnel Board, which reviews the disciplinary action and makes  
          the final determination as to the whether the disciplinary  
          action should be sustained, modified or revoked.  The burden of  
          proof is on the appointing power to establish, by a  
          preponderance of the evidence, that the factual basis for the  
          discipline is true and that the penalty imposed is just and  
          proper.  For state employees designated as "managerial," by  
          contrast, the burden of proof is on the disciplined employee to  
          disprove the charges, and there is a rebuttable presumption that  
          the action was free from fraud and bad faith.

           FISCAL EFFECT  :   Unknown.

           COMMENTS  :   According to the sponsor, the California State  
          Employees Association, "Existing law is inconsistent and  
          inequitable as it applies the 'burden of proof' requirement in  
          adverse actions for managerial employees.  This bill would  
          correct this disparity and make a uniform standard procedure for  








                                                                  AB 843
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          rank and file, supervisory and managerial employees."

          Supporters state, "This bill would delete the provision that the  
          disciplined managerial employee has the burden of proof, and  
          would delete the presumptions that the action was free from  
          fraud and bad faith and that the statement of reasons in the  
          notice of disciplinary action is true.  The presumption that the  
          action was free from fraud and bad faith is an ideal but not  
          reality.  We have far too many State Personnel Board cases that  
          reveal that 50% of the disciplined managerial employees were  
          wrongfully punished." 

          This bill is similar to AB 2314 (J. Horton) of 2004, which was  
          vetoed by the Governor.  In his veto message, the Governor  
          stated, in part:

               This bill impacts the state fiscally and creates an  
               environment of lesser accountability among management  
               employees. 

               AB 2314 would result in the state expending additional  
               funds to defend these disciplinary actions by encouraging  
               managerial employees to make an appeal to the State  
               Personnel Board (SPB) of a Departments decisions regarding  
               the adverse action process.  Additionally, due to the  
               State's fiscal crisis, the SPB has experienced significant  
               budget reductions and would be unable to perform these new  
               activities without additional funding.  

               Transferring the burden of proof in the appeals process to  
               the state would create another redundant process.  Adverse  
               actions are only taken after correction actions have failed  
               to rectify an employee's performance or behavior.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California State Employees Association (Sponsor)
          California Association of Professional Scientists (if amended)
          California Correctional Supervisors Organization
          Professional Engineers in California Government (if amended)

           Opposition 
           








                                                                  AB 843
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          None on file
           
          Analysis Prepared by  :    Karon Green / P.E., R. & S.S. / (916)  
          319-3957