California 2017-2018 Regular Session Status: Passed Assembly

AB 1832 — State public employment: memorandum of understanding: approval: State Bargaining Units 9 and 10.

Last action — Ordered to inactive file at the request of Senator Mitchell.

  1. ✓
    Introduced
  2. ✓
    In Committee
  3. 3
    Passed Assembly
  4. 4
    Passed Senate
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 2017-2018 Regular Session. It reached “Passed Assembly” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.

Summary

(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. This bill would approve provisions requiring the expenditure of funds in the memorandum of understanding entered into between the state employer and State Bargaining Unit 9, Professional Engineers, and State Bargaining Unit 10, Professional Scientific. This bill would provide that provisions of the memoranda of understanding described above and approved by this bill that require the expenditure of funds will not take effect unless funds for those provisions are specifically appropriated by the Legislature. The bill would authorize the state employer and the affected employee organization to meet and confer to renegotiate the affected provisions if funds for those provisions are not specifically appropriated by the Legislature. The bill would require that the provisions of this memoranda of understanding that require the expenditure of funds become effective even if these provisions are approved by the Legislature in legislation other than the annual Budget Act. The bill would appropriate 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, in the amount necessary for the payment of compensation and employee benefits to state employees covered by the memoranda of understanding described above if the Budget Act is not enacted on or before July 1 in the 2019–20 fiscal year or, in the case of State Bargaining Unit 10 only, July 1 in the 2020–21 fiscal year, as specified. (2) The Public Employees' Retirement Law (PERL) creates the Public Employees' Retirement System for the purpose of providing pension and other benefits to public employees, which are funded by employee and employer contributions and investment returns. PERL prescribes different normal rates for employee contributions depending on bargaining unit, employer, and inclusion of service in the federal Social Security system, among other factors. This bill, on and after July 1, 2019, would adjust the normal rate of contribution for specified employees of State Bargaining Unit 9 and 10 to 50% of the normal cost rate rounded to the nearest quarter 1%, as specified, if certain conditions occur. The bill would authorize the Director of the Department of Human Resources to exercise his or her discretion to establish the normal rate of contribution for a related state employee or an officer or employee of the executive branch who is not a member of the civil service. The bill would revert to the normal rate of contribution on July 1, 2020, in the case of State Bargaining Unit 9, or July 1, 2021, in the case of State Bargaining Unit 10. (3) The Public Employees' Medical and Hospital Care Act (PEMHCA) , which is administered by the Board of Administration of the Public Employees' Retirement System, prescribes methods for calculating the state employer contribution for postemployment health care benefits for eligible retired public employees and their families and for the vesting of these benefits. PEMHCA requires the employer contribution for an employee or annuitant who is in the employment of or retired from state service to be adjusted by the Legislature in the annual Budget Act, as specified. PEMHCA prescribes different ways of calculating the employer contributions for employees and annuitants depending on date of hire, years of service, and bargaining unit. PEMHCA establishes the Public Employees' Contingency Reserve Fund for the purpose of funding health benefits and funding administrative expenses. PEMHCA establishes the Annuitants' Health Care Coverage Fund, which is continuously appropriated, for the purpose of prefunding health care coverage for annuitants, including administrative costs. PEMHCA defines "prefunding" for these purposes. Existing law requires the state and employees of State Bargaining Unit 10 to prefund retiree health care with the goal of reaching a 50% cost sharing of normal costs by July 1, 2019, and prescribes schedules of contribution percentages in this regard. This bill, effective July 1, 2020, would require that the contribution percentages the state and employees of State Bargaining Unit 10 be increased or decreased to maintain a 50% cost sharing of the actuarially determined total normal costs, as provided. The bill, effective July 1, 2021, would require that the contribution percentage for employees of State Bargaining Unit 10 to prefund retiree health care, and the matching contribution of the state, be 2.8% of pensionable compensation. (4) Existing law, the State Employees' Dental Care Act, authorizes the state to enter into contracts, upon negotiations with employee organizations, with carriers for dental care plans for employees, annuitants, and eligible family members. Existing law permits these plans to include premiums to be paid by employees and annuitants and also authorizes the plans to be self-funded if an employer determines it to be cost effective. Existing law prohibits specified employees from receiving an employer contribution for these benefits for annuitants unless the person is credited with 10 or more years of state service or for other specified employees unless the person is credited with 15 or more years of state service. This bill would prohibit state employees, as specified, who are first employed and become members of the retirement system on or after January 1, 2019, as specified, and are represented by, or related to, State Bargaining Unit 9, from receiving an employer contribution for dental benefits, as described above, for annuitants unless the person is credited with 15 or more years of state service. The bill would prescribe the percentage of the employer contribution payable for these dental benefits for these employees based on the number of completed years of credited state service at retirement, with 50% after 15 credited years of service and 100% after 25 or more years of service. (5) This bill would appropriate the sum of $132,786,000 for State Bargaining Units 9 and 10 for expenditure in the 2018–19 fiscal year, in augmentation of, and for the purpose of, state employee compensation, as provided. (6) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.

Bill Text

Action History

  1. Ordered to inactive file at the request of Senator Mitchell.

  2. Read second time. Ordered to third reading.

  3. From committee: Do pass. (Ayes 11. Noes 5.) (August 28).

  4. Re-referred to Com. on B. & F.R.

  5. Senate Rule 29.4 suspended. (Ayes 27. Noes 12. Page 5779.)

  6. Joint Rule 62(a), file notice suspended. (Ayes 26. Noes 13. Page 5778.)

  7. Joint Rule 61 suspended. (Ayes 28. Noes 10. Page 5777.)

  8. Re-referred to Com. on RLS.

  9. Read second time. Ordered to third reading.

  10. Read second time and amended. Ordered returned to second reading.

  11. Ordered to second reading.

  12. From inactive file.

  13. Ordered to inactive file at the request of Senator Mitchell.

  14. Read second time. Ordered to third reading.

  15. From committee: Do pass. (Ayes 11. Noes 6.) (June 18).

  16. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on B. & F.R.

  17. In committee: Hearing postponed by committee.

  18. Joint Rule 62(a) suspended. (Ayes 25. Noes 11. Page 4554.)

  19. Referred to Com. on B. & F.R.

  20. In Senate. Read first time. To Com. on RLS. for assignment.

  21. Read third time. Passed. Ordered to the Senate. (Ayes 50. Noes 22. Page 5110.)

  22. Read second time. Ordered to third reading.

  23. Ordered to second reading.

  24. Withdrawn from committee.

  25. Assembly Rule 96 suspended. (Ayes 46. Noes 18. Page 5026.)

  26. Referred to Com. on BUDGET.

  27. From printer. May be heard in committee February 10.

  28. Read first time. To print.

Sponsors

  • Committee on Budget · Primary

Sponsorship breakdown

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1 sponsors · 0 co-sponsors · 121 not signed on · 8 voted No

Sponsors (1)

  • Committee on Budget

Co-sponsors (0)

None.

Not signed on (121)

121 members have not signed on to this bill.

Show all 121 →

"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

Do pass

Passed 11 Yea · 5 Nay · 1 Other
Party YeaNayPresentNot Voting
Unaffiliated 8501
Democratic 3000
Total 11501
% of votes cast 65%29%0%6%
How each member voted (17)
Member Party Vote
Anderson — Nay
Monning — Yea
Pan — Yea
Portantino — Yea
Mitchell — Yea
Beall — Yea
Moorlach — Nay
Nielsen — Nay
Roth — Yea
Skinner — Yea
Wieckowski — Yea
Wilk — Nay
Glazer — Not Voting
Mark Stone — Nay
Jackson, Corey A. Democratic Yea
McGuire, Mike Democratic Yea
Stern, Henry I. Democratic Yea

Official roll call →

Do pass

Passed 11 Yea · 6 Nay
Party YeaNayPresentNot Voting
Unaffiliated 8600
Democratic 3000
Total 11600
% of votes cast 65%35%0%0%
How each member voted (17)
Member Party Vote
Anderson — Nay
Beall — Yea
Monning — Yea
Skinner — Yea
Wieckowski — Yea
Mitchell — Yea
Roth — Yea
Portantino — Yea
Moorlach — Nay
Nielsen — Nay
Pan — Yea
Wilk — Nay
Glazer — Nay
Mark Stone — Nay
Jackson, Corey A. Democratic Yea
McGuire, Mike Democratic Yea
Stern, Henry I. Democratic Yea

Official roll call →

AB 1832 BUDGET Assembly Third Reading By TING

Passed 50 Yea · 22 Nay · 6 Other
Party YeaNayPresentNot Voting
Unaffiliated 351606
Democratic 15000
Republican 0600
Total 502206
% of votes cast 64%28%0%8%
How each member voted (78)
Member Party Vote
Acosta — Nay
Baker — Nay
Bloom — Yea
Brough — Nay
Kamlager-Dove — Yea
Mathis — Nay
Melendez — Nay
Nazarian — Yea
Rendon — Yea
Steinorth — Not Voting
Voepel — Nay
Wood — Yea
Eggman — Yea
Chu — Yea
Gloria — Yea
Low — Yea
Medina — Yea
Gonzalez Fletcher — Yea
Chau — Yea
Rodriguez — Yea
Santiago — Yea
Salas — Yea
Burke — Yea
Frazier — Yea
Gray — Yea
Friedman — Not Voting
Rubio — Yea
Harper — Nay
Holden — Yea
Jones-Sawyer — Yea
Fong — Nay
Kiley — Nay
Levine — Yea
Maienschein — Nay
Mayes — Nay
McCarty — Yea
Bigelow — Nay
Chiu — Yea
Chávez — Nay
Cooley — Not Voting
Mullin — Yea
O'Donnell — Yea
Obernolte — Not Voting
Quirk — Yea
Thurmond — Yea
Ting — Yea
Waldron — Nay
Weber — Yea
Cooper — Yea
Cunningham — Nay
Daly — Yea
Cristina Garcia — Not Voting
Eduardo Garcia — Yea
Jim Patterson — Nay
Mark Stone — Yea
Travis Allen — Not Voting
Wendy Carrillo — Yea
Aguiar-Curry, Cecilia M. Democratic Yea
Arambula, Joaquin Democratic Yea
Berman, Marc Democratic Yea
Bonta, Mia Democratic Yea
Caballero, Anna M. Democratic Yea
Calderon, Lisa Democratic Yea
Cervantes, Sabrina Democratic Yea
Gipson, Mike A. Democratic Yea
Grayson, Timothy S. Democratic Yea
Irwin, Jacqui Democratic Yea
Kalra, Ash Democratic Yea
Limón, Monique Democratic Yea
Muratsuchi, Al Democratic Yea
Quirk-Silva, Sharon Democratic Yea
Reyes, Eloise Gómez Democratic Yea
Chen, Phillip Republican Nay
Choi, Steven S. Republican Nay
Dahle, Megan Republican Nay
Flora, Heath Republican Nay
Gallagher, James Republican Nay
Lackey, Tom Republican Nay

Official roll call →

Subjects

finance labor health-insurance
Cross-referencing the record. Reading this bill against every other bill in the corpus by meaning, not keywords. Only the first open is slow. It’s instant for you after this. Matching · Ranking · Engrossing

Frequently asked questions

What does AB 1832 do?
(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. This bill would approve provisions requiring the expenditure of funds in the memorandum of understanding entered into between the state employer and State Bargaining Unit 9, Professional Engineers, and State Bargaining Unit 10, Professional Scientific. This bill would provide that provisions of the memoranda of understanding described above and approved by this bill that require the expenditure of funds will not take effect unless funds for those provisions are specifically appropriated by the Legislature. The bill would authorize the state employer and the affected employee organization to meet and confer to renegotiate the affected provisions if funds for those provisions are not specifically appropriated by the Legislature. The bill would require that the provisions of this memoranda of understanding that require the expenditure of funds become effective even if these provisions are approved by the Legislature in legislation other than the annual Budget Act. The bill would appropriate 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, in the amount necessary for the payment of compensation and employee benefits to state employees covered by the memoranda of understanding described above if the Budget Act is not enacted on or before July 1 in the 2019–20 fiscal year or, in the case of State Bargaining Unit 10 only, July 1 in the 2020–21 fiscal year, as specified. (2) The Public Employees' Retirement Law (PERL) creates the Public Employees' Retirement System for the purpose of providing pension and other benefits to public employees, which are funded by employee and employer contributions and investment returns. PERL prescribes different normal rates for employee contributions depending on bargaining unit, employer, and inclusion of service in the federal Social Security system, among other factors. This bill, on and after July 1, 2019, would adjust the normal rate of contribution for specified employees of State Bargaining Unit 9 and 10 to 50% of the normal cost rate rounded to the nearest quarter 1%, as specified, if certain conditions occur. The bill would authorize the Director of the Department of Human Resources to exercise his or her discretion to establish the normal rate of contribution for a related state employee or an officer or employee of the executive branch who is not a member of the civil service. The bill would revert to the normal rate of contribution on July 1, 2020, in the case of State Bargaining Unit 9, or July 1, 2021, in the case of State Bargaining Unit 10. (3) The Public Employees' Medical and Hospital Care Act (PEMHCA) , which is administered by the Board of Administration of the Public Employees' Retirement System, prescribes methods for calculating the state employer contribution for postemployment health care benefits for eligible retired public employees and their families and for the vesting of these benefits. PEMHCA requires the employer contribution for an employee or annuitant who is in the employment of or retired from state service to be adjusted by the Legislature in the annual Budget Act, as specified. PEMHCA prescribes different ways of calculating the employer contributions for employees and annuitants depending on date of hire, years of service, and bargaining unit. PEMHCA establishes the Public Employees' Contingency Reserve Fund for the purpose of funding health benefits and funding administrative expenses. PEMHCA establishes the Annuitants' Health Care Coverage Fund, which is continuously appropriated, for the purpose of prefunding health care coverage for annuitants, including administrative costs. PEMHCA defines "prefunding" for these purposes. Existing law requires the state and employees of State Bargaining Unit 10 to prefund retiree health care with the goal of reaching a 50% cost sharing of normal costs by July 1, 2019, and prescribes schedules of contribution percentages in this regard. This bill, effective July 1, 2020, would require that the contribution percentages the state and employees of State Bargaining Unit 10 be increased or decreased to maintain a 50% cost sharing of the actuarially determined total normal costs, as provided. The bill, effective July 1, 2021, would require that the contribution percentage for employees of State Bargaining Unit 10 to prefund retiree health care, and the matching contribution of the state, be 2.8% of pensionable compensation. (4) Existing law, the State Employees' Dental Care Act, authorizes the state to enter into contracts, upon negotiations with employee organizations, with carriers for dental care plans for employees, annuitants, and eligible family members. Existing law permits these plans to include premiums to be paid by employees and annuitants and also authorizes the plans to be self-funded if an employer determines it to be cost effective. Existing law prohibits specified employees from receiving an employer contribution for these benefits for annuitants unless the person is credited with 10 or more years of state service or for other specified employees unless the person is credited with 15 or more years of state service. This bill would prohibit state employees, as specified, who are first employed and become members of the retirement system on or after January 1, 2019, as specified, and are represented by, or related to, State Bargaining Unit 9, from receiving an employer contribution for dental benefits, as described above, for annuitants unless the person is credited with 15 or more years of state service. The bill would prescribe the percentage of the employer contribution payable for these dental benefits for these employees based on the number of completed years of credited state service at retirement, with 50% after 15 credited years of service and 100% after 25 or more years of service. (5) This bill would appropriate the sum of $132,786,000 for State Bargaining Units 9 and 10 for expenditure in the 2018–19 fiscal year, in augmentation of, and for the purpose of, state employee compensation, as provided. (6) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.
Who sponsors AB 1832?
AB 1832 is sponsored by Committee on Budget.
What is the current status of AB 1832?
This bill died with 2017-2018 Regular Session. It reached “Passed Assembly” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track AB 1832?
Track AB 1832 free on One Click Politics — get push/email alerts when it moves.

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