BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2126
                                                                  Page  1

          Date of Hearing:   April 30, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                    AB 2126 (Bonta) - As Amended:  March 26, 2014 

          Policy Committee:                              PERSSVote:5-1

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

           SUMMARY  

          This bill amends the Meyers-Milias-Brown Act (MMBA) to allow  
          either party in a dispute to request mediation, and clarifies  
          certain aspects of the fact-finding process the parties can  
          invoke with respect to an impasse.  Specifically, this bill:

          1)Allows either the public agency or the employee organization  
            to request mediation if they fail to reach agreement instead  
            of requiring both parties to agree to mediation, and requires  
            that the parties agree upon the appointment of a mediator  
            within five days of the request.

          2)Specifies that if the parties fail to agree on the appointment  
            of a mediator, either party may request the Public Employment  
            Relations Board (PERB) to appoint a mediator, and requires  
            PERB to appoint the mediator within five days of receiving the  
            request.

          3)Allows the parties to submit to a fact-finding panel any  
            differences that arise from any dispute over any matter within  
            the scope of representation as to which an obligation to meet  
            and confer exists and are not limited to negotiations  
            conducted after an impasse arises; allows an employee  
            organization to voluntarily waive its right to request a  
            fact-finding panel.

          4)Allows the fact-finding panel, when arriving at its findings  
            and recommendations, to be guided by those specified criteria  
            that the panel deems relevant to the dispute.

           FISCAL EFFECT  









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          1)Based on PERB estimates of staffing necessary to administer  
            the provisions of this bill, the fiscal impact of  
            administration is approximately $800,000 (GF).

          2)Though the bill is not keyed a local mandate, there could be  
            substantial state mandated reimbursement of local costs.  The  
            amount would depend on the number of requests for mediation.   
            Reimbursable costs could be in the millions of dollars.  PERB  
            staff raised the possibility of exceeding 100 additional  
            mediation cases annually.  The Commission on State Mandates  
            has approved a test claim for any local government subject to  
            the jurisdiction of PERB that incurs increased costs as a  
            result of a mandate, meaning their costs are eligible for  
            reimbursement.




           COMMENTS  

          1)  Purpose.   According to the author and co-sponsors, this bill  
            conforms the mediation provisions of MMBA to those provisions  
            of the Educational Employment Relations Act (EERA), the Dills  
            Act and the Higher Education Employer-Employee Relations Act,  
            thereby requiring mediation when requested by either party.

            The bill also resolves certain ambiguities that have arisen  
            following the implementation the fact-finding process created  
            by AB 646 (Atkins), Chapter 680, Statutes of 2011.

          2)  Impasse determination by the PERB.   Supporters assert AB 2126  
            is intended to conform MMBA impasse procedures to the EERA and  
            others.  Unlike the EERA, however, the bill does not include a  
            provision requiring PERB to determine that an impasse exists  
            prior to granting a request for mediation.  PERB has raised  
            the concern that, without this language, application of the  
            existing rules and procedures for impasse determinations and  
            mediation requests under EERA to the MMBA could result in  
            significant litigation.

          3)  Fact-finding clarification.   According to supporters, doubt  
            has arisen as to whether the statutory fact-finding process  
            can be invoked over impasse on any issue within the scope of  
            representation, or whether the process is limited to disputes  
            over the negotiation of a memorandum of understanding.  This  








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            ambiguity has resulted in several instances of litigation.

            The amendments reflect the PERB's current construction of the  
            fact-finding provisions in the MMBA and are intended to  
            resolve the instances of litigation and clarify the precise  
            scope of differences in a dispute that may be submitted to  
            fact-finding.

          4)  Opposition.   Several local governments and associations oppose  
            AB 2126, arguing it runs contrary to the central premise of  
            the MMBA - that local public agencies are permitted to enact  
            their own reasonable rules and regulations governing employee  
            relations.  Opponents assert that the current standard of  
            mutual consent for requesting mediation fosters constructive  
            bargaining between the parties, and allowing either party to  
            claim impasse undermines good faith collaboration and  
            consultation.  Opponents argue the additional demand on  
            mediation services will further increase dispute resolution  
            costs to local governments.

          5)  Previous legislation.   The mediation request provisions of  
            this bill are similar to provisions included in AB 537  
            (Bonta), Chapter 785, Statutes of 213, and AB 646 (Atkins),  
            Chapter 680, Statutes of 2011.  Those provisions, however,  
            were deleted from AB 537 and AB 646 prior to passage.  AB 616  
            (Bocanegra) also addressed mediation provisions in the MMBA.  
            AB 616 was held by the Senate Committee on Appropriations.


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