CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 1063Introduced by Assembly Member VoepelFebruary 18, 2021 An act to amend Section 3517.63 of the Government Code, relating to state employment. LEGISLATIVE COUNSEL'S DIGESTAB 1063, as introduced, Voepel. State employment: memoranda of understanding: ancillary agreements. Existing law prohibits provisions of the memorandum of understanding between the state employer and a recognized employee organization that require the expenditure of funds from becoming effective unless approved by the Legislature in the annual Budget Act. Existing law requires that any side letter, appendix, or other addendum to a ratified memorandum of understanding that requires the expenditure of $250,000 or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act be provided by the Department of Human Resources to the Joint Legislative Budget Committee. Existing law requires the Joint Legislative Budget Committee to determine if that side letter, appendix, or other addendum presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and requires ratification by legislative action. This bill would remove the requirement that the side letter, appendix, or other addendum requires the expenditure of $250,000 or more related to salary and benefits in connection with the provisions described above.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 3517.63 of the Government Code is amended to read:3517.63. (a) Any side letter, appendix, or other addendum to a properly ratified memorandum of understanding that requires the expenditure of two hundred fifty thousand dollars ($250,000) or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act, shall be provided by the Department of Human Resources to the Joint Legislative Budget Committee. The Joint Legislative Budget Committee shall determine within 30 days after receiving the side letter, appendix, or other addendum if it presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and thereby requires legislative action to ratify the side letter, appendix, or other addendum.(b) A side letter, appendix, or other addendum to a properly ratified memorandum of understanding that does not require the expenditure of funds shall be expressly identified by the Department of Human Resources if that side letter, appendix, or other addendum is to be incorporated in a subsequent memorandum of understanding submitted to the Legislature for approval. CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 1063Introduced by Assembly Member VoepelFebruary 18, 2021 An act to amend Section 3517.63 of the Government Code, relating to state employment. LEGISLATIVE COUNSEL'S DIGESTAB 1063, as introduced, Voepel. State employment: memoranda of understanding: ancillary agreements. Existing law prohibits provisions of the memorandum of understanding between the state employer and a recognized employee organization that require the expenditure of funds from becoming effective unless approved by the Legislature in the annual Budget Act. Existing law requires that any side letter, appendix, or other addendum to a ratified memorandum of understanding that requires the expenditure of $250,000 or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act be provided by the Department of Human Resources to the Joint Legislative Budget Committee. Existing law requires the Joint Legislative Budget Committee to determine if that side letter, appendix, or other addendum presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and requires ratification by legislative action. This bill would remove the requirement that the side letter, appendix, or other addendum requires the expenditure of $250,000 or more related to salary and benefits in connection with the provisions described above.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 1063 Introduced by Assembly Member VoepelFebruary 18, 2021 Introduced by Assembly Member Voepel February 18, 2021 An act to amend Section 3517.63 of the Government Code, relating to state employment. LEGISLATIVE COUNSEL'S DIGEST ## LEGISLATIVE COUNSEL'S DIGEST AB 1063, as introduced, Voepel. State employment: memoranda of understanding: ancillary agreements. Existing law prohibits provisions of the memorandum of understanding between the state employer and a recognized employee organization that require the expenditure of funds from becoming effective unless approved by the Legislature in the annual Budget Act. Existing law requires that any side letter, appendix, or other addendum to a ratified memorandum of understanding that requires the expenditure of $250,000 or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act be provided by the Department of Human Resources to the Joint Legislative Budget Committee. Existing law requires the Joint Legislative Budget Committee to determine if that side letter, appendix, or other addendum presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and requires ratification by legislative action. This bill would remove the requirement that the side letter, appendix, or other addendum requires the expenditure of $250,000 or more related to salary and benefits in connection with the provisions described above. Existing law prohibits provisions of the memorandum of understanding between the state employer and a recognized employee organization that require the expenditure of funds from becoming effective unless approved by the Legislature in the annual Budget Act. Existing law requires that any side letter, appendix, or other addendum to a ratified memorandum of understanding that requires the expenditure of $250,000 or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act be provided by the Department of Human Resources to the Joint Legislative Budget Committee. Existing law requires the Joint Legislative Budget Committee to determine if that side letter, appendix, or other addendum presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and requires ratification by legislative action. This bill would remove the requirement that the side letter, appendix, or other addendum requires the expenditure of $250,000 or more related to salary and benefits in connection with the provisions described above. ## Digest Key ## Bill Text The people of the State of California do enact as follows:SECTION 1. Section 3517.63 of the Government Code is amended to read:3517.63. (a) Any side letter, appendix, or other addendum to a properly ratified memorandum of understanding that requires the expenditure of two hundred fifty thousand dollars ($250,000) or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act, shall be provided by the Department of Human Resources to the Joint Legislative Budget Committee. The Joint Legislative Budget Committee shall determine within 30 days after receiving the side letter, appendix, or other addendum if it presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and thereby requires legislative action to ratify the side letter, appendix, or other addendum.(b) A side letter, appendix, or other addendum to a properly ratified memorandum of understanding that does not require the expenditure of funds shall be expressly identified by the Department of Human Resources if that side letter, appendix, or other addendum is to be incorporated in a subsequent memorandum of understanding submitted to the Legislature for approval. The people of the State of California do enact as follows: ## The people of the State of California do enact as follows: SECTION 1. Section 3517.63 of the Government Code is amended to read:3517.63. (a) Any side letter, appendix, or other addendum to a properly ratified memorandum of understanding that requires the expenditure of two hundred fifty thousand dollars ($250,000) or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act, shall be provided by the Department of Human Resources to the Joint Legislative Budget Committee. The Joint Legislative Budget Committee shall determine within 30 days after receiving the side letter, appendix, or other addendum if it presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and thereby requires legislative action to ratify the side letter, appendix, or other addendum.(b) A side letter, appendix, or other addendum to a properly ratified memorandum of understanding that does not require the expenditure of funds shall be expressly identified by the Department of Human Resources if that side letter, appendix, or other addendum is to be incorporated in a subsequent memorandum of understanding submitted to the Legislature for approval. SECTION 1. Section 3517.63 of the Government Code is amended to read: ### SECTION 1. 3517.63. (a) Any side letter, appendix, or other addendum to a properly ratified memorandum of understanding that requires the expenditure of two hundred fifty thousand dollars ($250,000) or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act, shall be provided by the Department of Human Resources to the Joint Legislative Budget Committee. The Joint Legislative Budget Committee shall determine within 30 days after receiving the side letter, appendix, or other addendum if it presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and thereby requires legislative action to ratify the side letter, appendix, or other addendum.(b) A side letter, appendix, or other addendum to a properly ratified memorandum of understanding that does not require the expenditure of funds shall be expressly identified by the Department of Human Resources if that side letter, appendix, or other addendum is to be incorporated in a subsequent memorandum of understanding submitted to the Legislature for approval. 3517.63. (a) Any side letter, appendix, or other addendum to a properly ratified memorandum of understanding that requires the expenditure of two hundred fifty thousand dollars ($250,000) or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act, shall be provided by the Department of Human Resources to the Joint Legislative Budget Committee. The Joint Legislative Budget Committee shall determine within 30 days after receiving the side letter, appendix, or other addendum if it presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and thereby requires legislative action to ratify the side letter, appendix, or other addendum.(b) A side letter, appendix, or other addendum to a properly ratified memorandum of understanding that does not require the expenditure of funds shall be expressly identified by the Department of Human Resources if that side letter, appendix, or other addendum is to be incorporated in a subsequent memorandum of understanding submitted to the Legislature for approval. 3517.63. (a) Any side letter, appendix, or other addendum to a properly ratified memorandum of understanding that requires the expenditure of two hundred fifty thousand dollars ($250,000) or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act, shall be provided by the Department of Human Resources to the Joint Legislative Budget Committee. The Joint Legislative Budget Committee shall determine within 30 days after receiving the side letter, appendix, or other addendum if it presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and thereby requires legislative action to ratify the side letter, appendix, or other addendum.(b) A side letter, appendix, or other addendum to a properly ratified memorandum of understanding that does not require the expenditure of funds shall be expressly identified by the Department of Human Resources if that side letter, appendix, or other addendum is to be incorporated in a subsequent memorandum of understanding submitted to the Legislature for approval. 3517.63. (a) Any side letter, appendix, or other addendum to a properly ratified memorandum of understanding that requires the expenditure of two hundred fifty thousand dollars ($250,000) or more related to salary and benefits and that is not already contained in the original memorandum of understanding or the Budget Act, shall be provided by the Department of Human Resources to the Joint Legislative Budget Committee. The Joint Legislative Budget Committee shall determine within 30 days after receiving the side letter, appendix, or other addendum if it presents substantial additions that are not reasonably within the parameters of the original memorandum of understanding and thereby requires legislative action to ratify the side letter, appendix, or other addendum. (b) A side letter, appendix, or other addendum to a properly ratified memorandum of understanding that does not require the expenditure of funds shall be expressly identified by the Department of Human Resources if that side letter, appendix, or other addendum is to be incorporated in a subsequent memorandum of understanding submitted to the Legislature for approval.