By: Collier H.B. No. 2672 A BILL TO BE ENTITLED AN ACT relating to the relationship between public employers and fire and police employees. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Sections 174.002(a) and (d), Local Government Code, are amended to read as follows: (a) The policy of this state is that a political subdivision shall provide its fire fighters and police officers with compensation and other conditions of employment that are substantially equal to [the same as] compensation and other conditions of employment that prevail [prevailing] in comparable fire and police departments [private sector employment]. (d) Because of the essential and emergency nature of the public service performed by fire fighters and police officers, a reasonable alternative to strikes is a system of arbitration conducted under adequate legislative standards. [Another reasonable alternative, if the parties fail to agree to arbitrate, is judicial enforcement of the requirements of this chapter regarding compensation and conditions of employment applicable to fire fighters and police officers.] SECTION 2. Section 174.021, Local Government Code, is amended to read as follows: Sec. 174.021. COMPENSATION [PREVAILING WAGE] AND WORKING CONDITIONS REQUIRED. A political subdivision that employs fire fighters, police officers, or both, shall provide those employees with compensation and other conditions of employment that are[: [(1)] substantially equal to compensation and other conditions of employment that prevail in comparable fire or police departments, as applicable [employment in the private sector; and [(2) based on prevailing private sector compensation and conditions of employment in the labor market area in other jobs that require the same or similar skills, ability, and training and may be performed under the same or similar conditions]. SECTION 3. The heading to Section 174.153, Local Government Code, is amended to read as follows: Sec. 174.153. BINDING INTEREST [REQUEST FOR] ARBITRATION REQUIRED [; AGREEMENT TO ARBITRATE]. SECTION 4. Section 174.153, Local Government Code, is amended by amending Subsections (a) and (b), by adding Subsection (b-1), and renumbering Subsection (d) to read as follows: (a) A public employer and [or] an association that is a bargaining agent shall submit to binding interest [may request the appointment of an] arbitration [board] if[: [(1)] the parties: (1) [(A)] reach an impasse in collective bargaining; or (2) [(B)] are unable to settle after the 61st day after the date the appropriate lawmaking body fails to approve a contract reached through collective bargaining[; [(2) the parties made every reasonable effort, including mediation, to settle the dispute through good-faith collective bargaining; and [(3) the public employer or association gives written notice to the other party, specifying the issue in dispute]. (b) Each party shall send to the other party a written notice specifying each issue in dispute for purposes of binding [A request for] arbitration [must be made] not later than the fifth day after: (1) the date an impasse was reached under Section 174.152; [or] (2) the expiration of an extension period under Section 174.152; or (3) the expiration of the period described by Subsection (a)(2). (b-1) A notice under Subsection (b) is considered sent on the date the notice is placed in the mail or personally delivered to the person authorized to accept service on behalf of the respective party. (c)[(d)] A party may not request arbitration more than once in a fiscal year. SECTION 5. Sections 174.154(a) and (b), Local Government Code, are amended to read as follows: (a) Not later than the fifth day after the date a party sends the notice required under Section 174.153, the public employer shall immediately request a list of seven qualified neutral arbitrators from the American Arbitration Association or the Federal Mediation and Conciliation Service, or their successors in function. The bargaining agent and the municipality, or their designees, may agree on one of the seven neutral arbitrators on the list. If they do not agree within five working days after the date they received the list, each party or the party's designee shall alternate striking a name from the list and the name remaining is the arbitrator. [an agreement to arbitrate is executed, each party shall: (1) select one arbitrator; and (2) immediately notify the other party in writing of the name and address of the arbitrator selected. (b) Not later than the 10th day after the date an agreement to arbitrate is executed, the arbitrators named under Subsection (a) shall attempt to select a third (neutral) arbitrator. If the arbitrators are unable to agree on a third arbitrator, either party may request the American Arbitration Association to select the third arbitrator, and the American Arbitration Association may appoint the third arbitrator according to its fair and regular procedures. Unless both parties consent, the third arbitrator may not be the same individual who served as a mediator under Section 174.151.] SECTION 6. Sections 174.153(c), 174.163, and 174.252, Local Government Code, are repealed. SECTION 7. This Act takes effect September 1, 2017.