BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1881
                                                                  Page  1

          Date of Hearing:   May 7, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                AB 1881 (Jones-Sawyer) - As Amended:  March 28, 2014 

          Policy Committee:                              PERSSVote:5-1

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              Yes

           SUMMARY  

          This bill requires appointments to an employee relations  
          commission in the City of Los Angeles or the County of Los  
          Angeles be made from a list of nominees jointly submitted by (i)  
          the chief executive or administrative officer of the City or  
          County and (ii) a committee composed of recognized employee  
          organizations; requires certain procedural changes to the timing  
          of appointments; and prohibits appointees, while serving on an  
          employee relations commission, from consulting, representing, or  
          advising on employee relations to any public or private employer  
          or employee organization.

          The bill also prohibits the City or County, when contracting for  
          services with a commission member or hearing officer, from  
          requiring that person to agree to indemnify or hold harmless the  
          City or County or maintain specified liability or malpractice  
          insurance, and prohibits the City or County from withholding or  
          reducing payment for services of a commission member or hearing  
          officer after services have been rendered.

          The bill specifies its provisions may be enforced by an action  
          for a writ of mandate.
           
          FISCAL EFFECT  

          Minor costs to the City of Los Angeles and County of Los Angeles  
          for compliance with appointment procedures, likely reimbursable  
          as state mandates.

           COMMENTS 

          1)  Purpose.   Supporters of AB 1881 argue the commissioners of the  








                                                                  AB 1881
                                                                  Page  2

            City of Los Angeles' Employee Relations' Board (ERB) and the  
            Los Angeles County Employer Relation's Board (ERCOM) were  
            selected by a joint mutual selection process.  They assert the  
            process was designed to ensure fairness and impartiality as  
            well as foster confidence and trust from labor and management.

            Supporters claim that recent actions taken by the Mayor of Los  
            Angeles with respect to the ERB and the Los Angeles County  
            Board of Supervisors with respect to ERCOM have changed the  
            practice of selecting mutually-agreed neutral and impartial  
            commissioners.  In addition, supporters claim the County  
            imposed a new condition requiring that hearing officers  
            indemnify and hold harmless the County from any decision  
            rendered that may adversely affect the County.

            Supporters assert AB 1881 restores the historical joint mutual  
            selection process for commissioners and prohibits the unfair  
            labor practice of requiring hearing officers to hold harmless  
            and indemnify the governing body.

          2)  ERB and ERCOM.   Under existing law, the Public Employee  
            Relations Board (PERB) is the administrative agency charged  
            with administering the collective bargaining statutes covering  
            most of California's state, municipal, and local employees.   
            However, the City of Los Angeles and the County of Los Angeles  
            each have their own employee relations commissions, and  
            employees are not covered by PERB.

            The ERB and ERCOM have the power and responsibility to take  
            action on recognition, unit determinations, elections, and all  
            unfair practices, and to issue determinations and orders they  
            deem necessary for City and County employees, respectively.   
            In each case, the ERB and ERCOM exercise their authority to  
            administer the employee relations ordinances adopted by the  
            City and County, though they must still act in a manner  
            consistent with the Meyers-Milias-Brown Act, the state's  
            statutory framework for local government employer-employee  
            relations.

          3)  State vs local resolution.   AB 1881 was proposed in response  
            to recent policy changes adopted at the City and County level  
            with respect to the appointment of members to ERB and ERCOM.   
            Given that these commissions operate independent from the  
            state's commission, PERB, it may be worth considering whether  
            this is the appropriate forum for resolving the issues created  








                                                                  AB 1881
                                                                  Page  3

            by the recent City and County actions, or whether this bill  
            unduly interferes with the legislative processes in those  
            jurisdictions or undermines the rationale behind exempting the  
            City and County of Los Angeles from PERB.


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