BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 879|
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UNFINISHED BUSINESS
Bill No: SB 879
Author: Senate Budget and Fiscal Review Committee
Amended: 8/27/14
Vote: 21
SENATE FLOOR : Not relevant
ASSEMBLY FLOOR : Not available
SUBJECT : Budget Act of 2014: state employees: memoranda of
understanding
SOURCE : Author
DIGEST : This bill provides legislative ratification for
memoranda of understanding (MOU) agreements between the state
and various state Bargaining Units (BU).
Assembly Amendments delete the Senate version of the bill, which
expressed legislative intent to enact statutory changes related
to the Budget Act of 2014, and instead add the current language.
ANALYSIS :
This bill:
1.Provides Legislative Approval of MOUs . Approves provisions of
MOUs entered into between the state and BU 2, the California
Attorneys, Administrative Law Judges, and Hearing Officers in
State Employment, on August 14, 2014; BU 10, the California
CONTINUED
SB 879
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2
Association of Professional Scientists, on August 12, 2014; BU
13, the International Union of Operating Engineers, Stationary
Engineers, on August 21, 2014; and an addenda to a MOU entered
into by BU 8, the Department of Forestry Firefighters, on
August 26, 2014.
2.Provides Augmentations to Fund Agreements . Augments Items
9800-001-0001, 9800-001-0494, and 9800-001-0988 of Section
2.00 of the 2014 Budget Act in order to provide funding for
the MOU agreements, as follows:
BU 2 . $12.6 million ($3.3 million General Fund (GF)) for
provisions of the BU 2 agreement related to a July 2014
general salary increase (GSI) of 2% (the agreement includes
an additional GSI of 2.5% in July 2015), and health benefit
cost increases.
BU 10 . $3.1 million ($561,000 GF) for provisions of the
BU 10 agreement related to a $1,000 bonus for each employee
(the agreement also includes a GSI of 3% in July 2015).
BU 13 . $2.4 million ($1.6 million GF) for provisions of
the BU 13 agreement related to a July 2014 GSI of 2% (the
agreement includes an additional GSI of 2.5% in July 2015),
a $250 bonus for each employee, health benefit increases,
and a 2% water and wastewater certification pay
differential.
BU 8 . $10.2 million ($6.4 million GF) for provisions of
the BU 8 agreement related to a January 2015 GSI of 4%.
Background
The Legislature passed the 2014 Budget Act (SB 852, Leno,
Chapter 25, Statutes of 2014) on June 15, 2014. The bill was
signed by the Governor on June 20, 2014. The bill provided
legislative ratification for subsequent MOU agreements between
the state and various state bargaining units and augments
specific budget items related to employee compensation to fund
provisions of these agreements.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes
Local: No
SB 879
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3
According to the Senate Budget and Fiscal Review Committee,
augments the 2014 Budget Act by appropriating $28.3 million
($11.9 million GF).
AL/JA:k 8/29/14 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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