AB 181

Bill Subjects

Abstract

(1) Existing law provides that a provision of a memorandum of understanding reached between the state employer and a recognized employee organization representing state civil service employees that requires the expenditure of funds does not become effective unless approved by the Legislature in the annual Budget Act. Existing law requires the Department of Human Resources to provide a memorandum of understanding to the Legislative Analyst, who then has 10 calendar days from the date the tentative agreement is received to issue a fiscal analysis to the Legislature. Existing law prohibits the memorandum of understanding from being subject to legislative determination until either the Legislative Analyst has presented a fiscal analysis of the memorandum of understanding or until 10 calendar days have elapsed since the memorandum was received by the Legislative Analyst. This bill, notwithstanding the above-described statutory provisions, would approve provisions of agreements entered into by the state employer and State Bargaining Units 5, 8, and 10. The bill would provide that the provisions of the agreements that require the expenditure of funds will not take effect unless funds for these provisions are specifically appropriated by the Legislature. The bill would authorize the state employer or those specified bargaining units to reopen negotiations if funds for these provisions are not specifically appropriated by the Legislature. The bill would require the provisions of the agreements that require the expenditure of funds to become effective even if the provisions are approved by the Legislature in legislation other than the annual Budget Act. Existing law, for the 2024–25 fiscal year, continuously appropriates to the Controller from the General Fund unallocated special funds, including federal funds and unallocated nongovernmental cost funds, and any other fund from which state employees are compensated, the amount necessary for the payment of compensation and employee benefits to state employees covered by specified memoranda of understanding if the Budget Act of 2024 is not enacted by July 1, 2024. This bill would also include, within these continuous appropriation provisions, the amount necessary for the payment of compensation and employee benefits to state employees covered by the memoranda of understanding for State Bargaining Unit 5 (effective July 1, 2024, to June 30, 2027, inclusive) , State Bargaining Unit 8 (effective July 1, 2024, to June 30, 2026, inclusive) , and State Bargaining Unit 10 (effective July 1, 2024, to July 1, 2027, inclusive) . Existing law, for the 2025–26 fiscal year, continuously appropriates to the Controller from the General Fund unallocated special funds, including federal funds and unallocated nongovernmental cost funds, and any other fund from which state employees are compensated, the amount necessary for the payment of compensation and employee benefits to state employees covered by specified memoranda of understanding if the Budget Act of 2025 is not enacted by July 1, 2025. This bill would also include, within these continuous appropriation provisions, the amount necessary for the payment of compensation and employee benefits to state employees covered by the memoranda of understanding for State Bargaining Unit 5 (effective July 1, 2024, to June 30, 2027, inclusive) , State Bargaining Unit 8 (effective July 1, 2024, to June 30, 2026, inclusive) , and State Bargaining Unit 10 (effective July 1, 2024, to July 1, 2027, inclusive) . Existing law, for the 2026–27 fiscal year, continuously appropriates to the Controller from the General Fund unallocated special funds, including federal funds and unallocated nongovernmental cost funds, and any other fund from which state employees are compensated, the amount necessary for the payment of compensation and employee benefits to state employees covered by specified memoranda of understanding if the Budget Act of 2026 is not enacted by July 1, 2026. This bill also would include, within these continuous appropriation provisions, the amount necessary for the payment of compensation and employee benefits to state employees covered by the memoranda of understanding for State Bargaining Unit 5 (effective July 1, 2024, to June 30, 2027, inclusive) , State Bargaining Unit 8 (effective July 1, 2024, to June 30, 2026, inclusive) , and State Bargaining Unit 10 (effective July 1, 2024, to July 1, 2027, inclusive) . This bill, for the 2027–28 fiscal year, if the Budget Act of 2027 is not enacted by July 1, 2027, with respect to the memoranda of understanding for State Bargaining Unit 5 and State Bargaining Unit 10, as described above, would continuously appropriate to the Controller from the General Fund unallocated special funds in the amount necessary for the payment of compensation and employee benefits to state employees covered by those memoranda of understanding until the Budget Act of 2027 is enacted, subject to certain conditions. (2) The bill would appropriate the sum of $89,035,000 for State Bargaining Units 5, 8, and 10 and employees excluded from collective bargaining, in accordance with a specified schedule. (3) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.