BILL NUMBER: SB 1113AMENDED BILL TEXT AMENDED IN SENATE APRIL 23, 2012 INTRODUCED BY Senator Evans FEBRUARY 17, 2012 An act to amend Section 19829.5 of the Government Code, relating to memoranda of understanding. LEGISLATIVE COUNSEL'S DIGEST SB 1113, as amended, Evans. Memoranda of understanding: fiscal analysis. Under the Ralph C. Dills Act, 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 provides that the Legislative Analyst has 10 calendar days from the date the tentative agreement is received to issue a fiscal analysis to the Legislature. Existing law provides that the memorandum of understanding is not subject to legislative determination until either the Legislative Analyst has presented a fiscal analysis of the memorandum to the Legislature or until 10 calendar days have elapsed since the memorandum was received by the Legislative Analyst. Existing law requires each memorandum of understanding submitted by the Department of Personnel Administration to the Legislative Analyst to include the department's analysis of costs and savings. Existing law establishes the Department of Personnel Administration for purposes of managing the nonmerit aspects of the state's personnel system. The 2011 Governor's Reorganization Plan for state human resources functions abolishes the Department of Personnel Administration, and transfers the functions and duties performed by the Department of Personnel Administration to the Department of Human Resources. This bill would require the Department of Human Resources, for each memorandum of understanding submitted to the Legislative Analyst, to include within the analysis of savings and costs, the financial obligation that would be requiredto address salary compaction and parity concernsfor excluded employees related to the bargaining unit as a result of the memorandum. The bill would make conforming changes consistent with the 2011 Governor's Reorganization Plan for state human resources. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 19829.5 of the Government Code is amended to read: 19829.5. (a) The Department of Human Resources shall provide a memorandum of understanding pursuant to Section 3517.5 to the Legislative Analyst who shall have 10 calendar days from the date the tentative agreement is received to issue a fiscal analysis to the Legislature. The Legislative Analyst may prioritize the preparation of a fiscal analysis or report under this subdivision among other workload, including the submission of multiple memoranda of understanding. The memorandum of understanding shall not be subject to legislative determination until either the Legislative Analyst has presented a fiscal analysis of the memorandum of understanding or until 10 calendar days has elapsed since the memorandum was received by the Legislative Analyst. (b) Each memorandum of understanding submitted by the department to the Legislative Analyst shall include the department's analysis of savings and costs, including the financial obligation that would be requiredto address salary compaction and parity concernsfor the excluded employees related to the bargaining unit as a result of the memorandum of understanding.