Existing law establishes the annual salary of the members of the Agricultural Labor Relations Board, the State Energy Resources Conservation and Development Commission, the Public Employment Relations Board, the California Unemployment Insurance Appeals Board, the Workers Compensation Appeals Board, the State Water Resources Control Board, the Board of Parole Hearings, the Occupational Safety and Health Appeals Board, the Alcoholic Beverage Control Appeals Board, the State Personnel Board, the State Air Resources Board, and the Central Valley Flood Protection Board.

This bill would, for nonelected members of these state boards and commissions appointed on or after January 1, 2016, set the annual salary at $12,000.

Existing law establishes the annual salary of the members of the Agricultural Labor Relations Board, the State Energy Resources Conservation and Development Commission, the Public Employment Relations Board, the Unemployment Insurance Appeals Board, the Workers Compensation Appeals Board, the State Water Resources Control Board, the Board of Parole Hearings, the Occupational Safety and Health Appeals Board, the Alcoholic Beverage Control Appeals Board, the State Personnel Board, the State Air Resources Board, and the Central Valley Flood Protection Board.

This bill would for nonelected members of these state boards and commissions appointed on or after January 1, 2016, set the annual salary at $12,000.

SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION

Senator Isadore Hall, III

Chair

2015 - 2016 Regular

Bill No: SB 281 Hearing Date: 5/12/2015

SUBJECT: Boards and commissions: salaries.

DIGEST: This bill sets an annual salary of $12,000 for nonelected members of various state boards and commissions appointed on or after January 1, 2016.

ANALYSIS:

Existing law establishes the annual salary of the members of the Agricultural Labor Relations Board, the State Energy Resources Conservation and Development Commission, the Public Employment Relations Board, the Unemployment Insurance Appeals Board, the Workers’ Compensation Appeals Board, the State Water Resources Control Board, the Board of Parole Hearings, the Occupational Safety and Health Appeals Board, the Alcoholic Beverage Control Appeals Board, the State Personnel Board, the State Air Resources Board, and the Central Valley Flood Protection Board.

This bill:

1. Sets an annual salary of $12,000 for nonelected members of the Agricultural Labor Relations Board, the State Energy Resources Conservation and Development Commission, the Public Employment Relations Board, the Unemployment Insurance Appeals Board, the Workers’ Compensation Appeals Board, the State Water Resources Control Board, the Occupational Safety and Health Appeals Board, the Alcoholic Beverage Control Appeals Board, the State Personnel Board, the State Air Resources Board, and the Central Valley Flood Protection Board.

2. Exempts non-elected members of the Public Utilities Commission, the Board of Parole Hearings and the Fair Political Practices Commission.

3. Provides that the annual salary of $12,000 applies to board and commission members appointed after January 1, 2016.

Background

Purpose of the bill: According to the author, with our budget facing uncertainty in the coming years and students in our University of California system facing tuition hikes, it seems tone-deaf to offer six figure salaries to members of several boards and commissions in California. The author further contends that most of the members of these boards and commissions are doing a great service to the people of California, but people who serve in these largely part-time posts should treat their appointments as public service instead of full time patronage positions. The author concludes that California must send a signal that our limited tax dollars should be directed towards the most needy and most vulnerable, not on six figure salaries to sit on a state board.

Current salaries: Below are salary ranges for members of the boards and commissions to which this bill applies. Some of these salaries were obtained through public information available on the State Controller’s Government Compensation in California Web site. It is important to note that these numbers are based on salaries for 2013. Some of these salaries were also obtained through the Sacramento Bee’s State Worker Salary Database.

Agricultural Labor Relations Board: $119,128 - $134,431

State Energy Resources Commission: $125,529 - $127,082

Public Employees Relations Board: $122,638 - $127,638

Unemployment Insurance appeals Board: $103,000 – $133,000

Workers’ Compensation Appeals Board: $133,000 - $134,000

State Water Resources Control Board: $93,332 - $126,551

Occupational Safety and Health Appeals Board: $116,000 -$118,000

Alcoholic Beverage Control Appeals Board: $15,300 – $24,311

State Personnel Board: $41,475 - $41,941

State Air Resources Board: $39,867 - $41,941

Central Valley Flood Protection Board: $40,236 - $41,941

Prior/Related Legislation

SB 153 (Strickland, 2012) would have prohibited members from various boards and commissions from receiving a salary and would have instead authorized for members of these various boards and commissions to receive $100 per diem. (Failed Passage in Senate Governmental Organization Committee)

SB 1368 (Anderson, 2012) would have limited the salaries of state officers and employees, including overtime, to no more than the salary received by the Governor, and would have recommended that the University of California also limit salaries for officers and employees to no more than the salary received by the Governor. (Failed passage in Senate Governmental Organization Committee)

SB 685 (Strickland, 2010) would have prohibited members from various boards and commissions from receiving a salary and would have instead authorized for members of these various boards and commissions to receive $100 per diem. (Failed Passage in Senate Governmental Organization Committee)

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

SUPPORT:

Howard Jarvis Taxpayers Association

OPPOSITION:

California Labor Federation

Glendale City Employees Association

Organization of SMUD Employees

San Bernardino Public Employees Association

San Luis Obispo County Employees Association

Santa Rosa City Employees Association

ARGUMENTS IN SUPPORT: According to the Howard Jarvis Taxpayers Association, regardless of whether these salaries are paid for out of general or special funds, the issue is restoring the public trust and ensuring that taxpayer dollars are well spent. They further argue that while some of these boards and commissions exist for legitimate purposes, others perform functions that could be performed by existing administrative agencies. They conclude that while limiting salaries to $12,000 will not end all criticism, it certainly will address the perception by the voting public and taxpayers that these offices are little more than parking places for termed out legislators.

ARGUMENTS IN OPPOSITION: Opponents of the bill are particularly concerned about the impact that this bill would have on the compensation of members of the Public Employment Relations Board (PERB). They argue that while the PERB only meets formally once a month, the Board members work full time to administer the collective bargaining statutes covering employees of California’s public schools, colleges, and universities, employees of the State of California, employees of California local public agencies (cities, counties, and special districts), trial court employees and supervisory employees of the Los Angeles County Metropolitan Transportation Authority. They argue that the impact of leaving the administrative and adjudicatory responsibilities of the PERB unfinished could be far reaching and have significant negative impacts on local and state government, the unions that represent the employees, and the individual employees who are authorized to file their own unfair labor practice charges. Opponents conclude by stating that the relatively miniscule state savings cannot be justified in severely restricting the salaries of PERB board members who have a charge to protect workers.

The California Labor Federation argues that salaries of state board members are already dictated by existing law and reducing the budget of these boards in such a way would leave the working people of California more vulnerable. The California Labor Federation further argues that such a reduction would mean that only independently wealthy or unqualified individuals could work to protect vital California interest. This could result in complaints regarding unsafe working conditions going uninvestigated, workers injured on the job could face delays in receiving relief, and administrative court proceedings on key worker issues could become even more back logged.

SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION

Senator Isadore Hall, III

Chair

2015 - 2016 Regular

Bill No: SB 281 Hearing Date: 4/28/2015

SUBJECT: Boards and commissions: salaries.

DIGEST: This bill sets an annual salary of $12,000 for nonelected members of various state boards and commissions appointed on or after January 1, 2016.

ANALYSIS:

Existing law establishes the annual salary of the members of the Agricultural Labor Relations Board, the State Energy Resources Conservation and Development Commission, the Public Employment Relations Board, the Unemployment Insurance Appeals Board, the Workers’ Compensation Appeals Board, the State Water Resources Control Board, the Board of Parole Hearings, the Occupational Safety and Health Appeals Board, the Alcoholic Beverage Control Appeals Board, the State Personnel Board, the State Air Resources Board, and the Central Valley Flood Protection Board.

This bill:

1. Sets an annual salary of $12,000 for nonelected members of the Agricultural Labor Relations Board, the State Energy Resources Conservation and Development Commission, the Public Employment Relations Board, the Unemployment Insurance Appeals Board, the Workers’ Compensation Appeals Board, the State Water Resources Control Board, the Occupational Safety and Health Appeals Board, the Alcoholic Beverage Control Appeals Board, the State Personnel Board, the State Air Resources Board, and the Central Valley Flood Protection Board.

2. Exempts non-elected members of the Public Utilities Commission, the Board of Parole Hearings and the Fair Political Practices Commission.

3. Provides that the annual salary of $12,000 applies to board and commission members appointed after January 1, 2016.

Background

Purpose of the bill: According to the author, with our budget facing uncertainty in the coming years and students in our University of California system facing tuition hikes, it seems tone-deaf to offer six figure salaries to members of several boards and commissions in California. The author further contends that most of the members of these boards and commissions are doing a great service to the people of California, but people who serve in these largely part-time posts should treat their appointments as public service instead of full time patronage positions. The author concludes that California must send a signal that our limited tax dollars should be directed towards the most needy and most vulnerable, not on six figure salaries to sit on a state board.

Current salaries: Below are salary ranges for members of the boards and commissions to which this bill applies. Some of these salaries were obtained through public information available on the State Controller’s Government Compensation in California Web site. It is important to note that these numbers are based on salaries for 2013. Some of these salaries were also obtained through the Sacramento Bee’s State Worker Salary Database.

Agricultural Labor Relations Board: $119,128 - $134,431

State Energy Resources Commission: $125,529 - $127,082

Public Employees Relations Board: $122,638 - $127,638

Unemployment Insurance appeals Board: $103,000 – $133,000

Workers’ Compensation Appeals Board: $133,000 - $134,000

State Water Resources Control Board: $93,332 - $126,551

Occupational Safety and Health Appeals Board: $116,000 -$118,000

Alcoholic Beverage Control Appeals Board: $15,300 – $24,311

State Personnel Board: $41,475 - $41,941

State Air Resources Board: $39,867 - $41,941

Central Valley Flood Protection Board: $40,236 - $41,941

Prior/Related Legislation

SB 153 (Strickland), 2011-2012 Legislative Session. The bill would have prohibited members from various boards and commissions from receiving a salary and would have instead authorized for members of these various boards and commissions to receive $100 per diem. (Failed Passage in Senate Governmental Organization Committee)

SB 1368 (Anderson) 2011-2012 Legislative Session. The bill would have limited the salaries of state officers and employees, including overtime, to no more than the salary received by the Governor, and would have recommended that the University of California also limit salaries for officers and employees to no more than the salary received by the Governor. (Failed passage in Senate Governmental Organization Committee)

SB 685 (Strickland), 2009-2010 Legislative Session. The bill would have prohibited members from various boards and commissions from receiving a salary and would have instead authorized for members of these various boards and commissions to receive $100 per diem. (Failed Passage in Senate Governmental Organization Committee)

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

SUPPORT:

Howard Jarvis Taxpayers Association

OPPOSITION:

Glendale City Employees Association

Organization of SMUD Employees

San Bernardino Public Employees Association

San Luis Obispo County Employees Association

Santa Rosa City Employees Association

ARGUMENTS IN SUPPORT: According to the Howard Jarvis Taxpayers Association, regardless of whether these salaries are paid for out of general or special funds, the issue is restoring the public trust and ensuring that taxpayer dollars are well spent. They further argue that while some of these boards and commissions exist for legitimate purposes, others perform functions that could be performed by existing administrative agencies. They conclude that while limiting salaries to $12,000 will not end all criticism, it certainly will address the perception by the voting public and taxpayers that these offices are little more than parking places for termed out legislators.

ARGUMENTS IN OPPOSITION: Opponents of the bill are particularly concerned about the impact that this bill would have on the compensation of members of the Public Employment Relations Board (PERB). They argue that while the PERB only meets formally once a month, the Board members work full time to administer the collective bargaining statutes covering employees of California’s public schools, colleges, and universities, employees of the State of California, employees of California local public agencies (cities, counties, and special districts), trial court employees and supervisory employees of the Los Angeles County Metropolitan Transportation Authority. They argue that the impact of leaving the administrative and adjudicatory responsibilities of the PERB unfinished could be far reaching and have significant negative impacts on local and state government, the unions that represent the employees, and the individual employees who are authorized to file their own unfair labor practice charges. Opponents conclude by stating that the relatively miniscule state savings cannot be justified in severely restricting the salaries of PERB board members who have a charge to protect workers.