BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 1113|
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THIRD READING
Bill No: SB 1113
Author: Evans (D)
Amended: 4/23/12
Vote: 21
SENATE PUBLIC EMPLOY. & RETIRE. COMMITTEE : 4-0, 3/26/12
AYES: Negrete McLeod, Walters, Gaines, Vargas
NO VOTE RECORDED: Padilla
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Memoranda of understanding: fiscal analysis
SOURCE : California Correctional Supervisors
Organization
DIGEST : This bill requires that, whenever the Department
of Human Resources (CalHR) provides a fiscal analysis of a
memorandum of understanding, it also must provide an
analysis of the financial obligation for related excluded
employees.
ANALYSIS :
Existing law:
1.Effective July 1, 2012, merges the Department of
Personnel Administration and the administrative functions
of the State Personnel Board to form CalHR, which among
other duties serves as the representative for the
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Governor in all state collective bargaining activities.
2.Requires that CalHR and each of the state's 21 collective
bargaining units meet and confer and enter into contracts
over wages and working conditions for represented
employees.
3.Requires that, upon reaching a collective bargaining
agreement or memorandum of understanding (MOU) with a
state bargaining unit, CalHR submit to the Legislative
Analyst's Office (LAO) and the Legislature an analysis of
the agreement or MOU, including a fiscal analysis of any
related costs or cost savings, and requires that the
agreement or MOU be approved by the Legislature before
being implemented.
4.Requires that CalHR set salaries for excluded and exempt
employees, and allows excluded employee representatives
to meet and confer with CalHR, but does not otherwise
make the state employer or excluded employees subject to
collective bargaining requirements.
This bill requires that in addition to providing a fiscal
analysis for the MOU, CalHR also must include an analysis
of the financial obligation required for related managerial
and exempt employees who are not covered under the
provisions of the MOU.
Comments
Current practice . Often, when an agreement or MOU is
reached with a state bargaining unit, certain provisions of
the agreement or MOU are also extended to related classes
of employees who are excluded from bargaining (mostly
managers and supervisors). For example, if represented
employees are given a salary increase of three percent that
same increase is often extended to excluded employees in
related classes.
However, CalHR sets compensation for excluded employees.
There is no statutory requirement to extend, to excluded
employees, a pay package that was bargained for represented
employees, or to study the impact of the MOU on related
excluded classes. According to CalHR, they do not
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routinely do compaction studies upon reaching a MOU
agreement, nor do they routinely include estimated costs or
savings of extending MOU provisions to related excluded
classes when submitting the MOU package to the Legislature
and LAO.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
SUPPORT : (Verified 4/30/12)
California Correctional Supervisors Organization (source)
California Police Chiefs Association
California Narcotic Officers Association
Los Angeles Police Chiefs Association
ARGUMENTS IN SUPPORT : According to the sponsor, the
California Correctional Supervisors Organization, this bill
is a transparency bill intended to ensure that legislators
receive a complete picture of the potential financial
ramifications of a memorandum of understanding.
DLW:do 5/1/12 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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