AB 84: Public employment and retirement.
- Session Year: 2019-2020
- House: Assembly
- Latest Version Date: 2020-06-29
This bill would express the intent of the Legislature to enact statutory changes relating to the Budget Act of 2019.
It is the intent of the Legislature to enact statutory changes relating to the Budget Act of 2019.
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Date
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Status
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|---|---|
| Jun 29, 2020 | Chaptered by Secretary of State - Chapter 16, Statutes of 2020. |
| Jun 29, 2020 | Approved by the Governor. |
| Jun 26, 2020 | Enrolled and presented to the Governor at 6:30 p.m. |
| Jun 26, 2020 | Assembly Rule 77 suspended. (Ayes 58. Noes 16. Page 4954.) |
| Jun 25, 2020 | In Assembly. Concurrence in Senate amendments pending. May be considered on or after June 27 pursuant to Assembly Rule 77. |
| Jun 25, 2020 | Read third time. Passed. Ordered to the Assembly. (Ayes 30. Noes 9. Page 3857.). |
| Jun 24, 2020 | From committee: Do pass. (Ayes 13. Noes 4.) (June 24). |
| Jun 22, 2020 | 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. |
| Jun 26, 2019 | Re-referred to Com. on B. & F.R. |
| Jun 13, 2019 | Read second time. Ordered to third reading. |
| Jun 12, 2019 | From committee: Do pass. (Ayes 12. Noes 0.) (June 12). |
| Jun 10, 2019 | In committee: Hearing postponed by committee. |
| Jun 6, 2019 | 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. |
| Apr 24, 2019 | Referred to Com. on B. & F.R. |
| Apr 11, 2019 | In Senate. Read first time. To Com. on RLS. for assignment. |
| Apr 11, 2019 | Read third time. Passed. Ordered to the Senate. |
| Apr 8, 2019 | Read second time. Ordered to third reading. |
| Apr 4, 2019 | Assembly Rule 96 suspended. (Ayes 53. Noes 15.) |
| Jan 24, 2019 | Referred to Com. on BUDGET. |
| Dec 4, 2018 | From printer. May be heard in committee January 3. |
| Dec 3, 2018 | Read first time. To print. |
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Date
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Description
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Location
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Votes
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|---|---|---|---|---|
| Jun 26, 2020 | AB 84 BUDGET Concurrence in Senate Amendments By TING | Assembly Floor |
Passed |
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| Jun 25, 2020 | Assembly 3rd Reading AB84 BUDGET (Ting) | Senate Floor |
Passed |
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| Jun 25, 2020 | Assembly 3rd Reading AB84 BUDGET (Ting) Reconsider | Senate Floor |
Passed |
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| Jun 25, 2020 | Assembly 3rd Reading AB84 BUDGET (Ting) | Senate Floor |
Passed |
|
| Jun 24, 2020 | Do pass | Senate Standing Committee on Budget and Fiscal Review |
Passed |
|
| Jun 12, 2019 | Do pass | Senate Standing Committee on Budget and Fiscal Review |
Passed |
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| Apr 11, 2019 | AB 84 Ting Assembly Third Reading | Assembly Floor |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
SENATE RULES COMMITTEE Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | AB 84 |
THIRD READING
Bill No: AB 84
Author: Committee on Budget
Amended: 6/22/20 in Senate
Vote: 21
PRIOR VOTES NOT RELEVANT
SENATE BUDGET & FISCAL REVIEW COMMITTEE: 13-4, 6/24/20
AYES: Mitchell, Beall, Caballero, Durazo, Hurtado, Leyva, McGuire, Monning, Pan, Roth, Skinner, Stern, Wieckowski
NOES: Nielsen, Dahle, Melendez, Morrell
NO VOTE RECORDED: Moorlach
SUBJECT: Public employment and retirement
SOURCE: Author
DIGEST:
This bill makes the necessary changes to implement the employee compensation provisions adopted as a part of the 2020 Budget Act.
ANALYSIS: This bill makes various statutory changes to implement the employee compensation provisions of the 2020-21 Budget. Specifically this bill:
- California Public Employees’ Retirement System (CalPERS) Supplemental Pension Payment. Withdraws $500 million General Fund supplemental pension payment provided in the 2019-20 budget act for the 2020-21, 2021-22, and 2023-24. This bill provides $243 million Proposition 2 funds for a supplemental pension payment for the state patrol member category of the unfunded liability, per the July 1, 2019 collective bargaining agreement.
The bill also repurposes $2.5 billion General Fund CalPERS supplemental pension payment provided in the 2019 Budget Act, which was paid to CalPERS in July 2019, to instead be used to supplant the state’s 2020-21 and 2021-22 CalPERS contribution, as specified. The bill authorizes the cash transfer of up to $2.5 billion to the General Fund, from all non-GF funds that are required by law to fund state employer CalPERS contribution over the two fiscal years.
- California State Teachers’ Retirement System (CalSTRS) and CalPERS Schools Pool. Redirects $660 million General Fund CalPERS Schools Pool supplemental pension payment provided in the 2019 Budget Act, to make a supplanting payment for district contribution rates in 2020-21 and 2021-22. Compared to existing law, this would reduce CalPERS district contribution rates by 2.90 percent in 2020-21 and 2.16 percent 2021-22.
This bill also redirects $1.64 billion General Fund CalSTRS supplemental pension payment provided in the 2019 Budget Act, to make a supplanting payment for district contribution rates in 2020-21 and 2021-22. Compared to existing law, this would reduce CalSTRS district contribution rates by 2.95 percent in 2020-21 and 2.18 percent in 2021-22.
- CalSTRS State Contribution Rates. Specifies that for 2020-21, the state CalSTRS contribution rate shall be the same as the rate the CalSTRS board set on 2019-20. The bill specifies that this does not prevent payments towards the unfunded actuarial obligation.
- Bargaining Unit 5 Compensation. Suspends, for the 2020-21 fiscal year, the requirement that the state shall pay rank-and-file members of the California Highway Patrol (CHP) who are members of BU 5 the average total compensation of corresponding ranks for specified city and county police and sheriff’s departments. This bill specifies that for the 2020-21 fiscal year, CHP rank-and-file members shall be subject to any and all reductions in state employee compensation, regardless of the means adopted to effect those reductions.
- Personal Leave Program 2020 (PLP). Specifies that from July 1, 2020 through June 30, 2021, state employees shall participate in the Personal Leave Program 2020, as required by an applicable memorandum of understanding. Under the PLP 2020, employees shall receive a reduction in pay no greater than 10 percent, and up to 16 hours of PLP 2020 Program leave credits on the first day of each monthly pay period.
For state employees not subject to the PLP 2020 Program, Department of Human Resources shall adopt a plan for July 1, 2020 through June 30, 2021 for those employees to be furloughed for two workdays per calendar month. The bill also requires the department to adopt rules to implement, enforce and administer the furlough plan.
FISCAL EFFECT: Appropriation: Yes Fiscal Com.: Yes Local: No
According to the Senate Budget and Fiscal Review Committee, this bill appropriates $243 million Proposition 2 Funds for a CalPERS supplemental pension payment for the state patrol member category. This bill redirects $2.3 billion General Fund CalPERS and CalSTRS school pool supplemental pension payments, as specified. This bill also authorizes the transfer of up to $2.5 billion General Fund to make a supplanting CalPERS payment.
SUPPORT: (Verified 6/23/20)
None received
OPPOSITION: (Verified 6/23/20)
None received
Prepared by: Anita Lee / B. & F.R. / 916-651-4103
6/25/20 0:46:59
**** END ****
CONCURRENCE IN SENATE AMENDMENTS
CSA1 Bill Id:AB 84
Author:(Committee on Budget)
As Amended Ver:June 22, 2020
Majority vote. Budget Bill Appropriation Takes Effect Immediately
SUMMARY:
This is the public employment and retirement trailer bill for the 2020-21 budget. It contains the necessary changes necessary to implement the 2020 Budget Act. Specifically, this bill:
The Senate Amendments:
Delete the contents of the bill and instead:
California State Teachers' Retirement System (CalSTRS) and CalPERS Schools Pool.
- Revise the application of the 2018-19 General Fund appropriation to the Teachers' Retirement Fund for the Defined Benefit Program as follows:
- Revises the apportioned payment to an amount to pay in advance on behalf of employers, a part of the employer contributions for 2020-21 that results in employers having to contribute 2.95 percentage points less than the percentage set by another provision.
- Authorizes an additional apportionment that would result in employers having to contribute 2.18 percentage points less than the percentage set by the board pursuant to another provision for 2021-22.
- Makes a conforming change regarding the uncommitted remainder of the payment to reflect the additional allocation for 2021-22.
CalSTRS State Contribution Rates.
- Require that the percentage set by the Teacher's Retirement Board for 2020-21 govern the state appropriation for the Teachers' Retirement Fund to eliminate the unfunded actuarial obligation, prohibits the board from increasing or decreasing the percentage for 2020-21, and specifies that is provisions do not prevent payments toward the unfunded actuarial obligation from being made from other sources.
Bargaining Unit 5 Compensation.
- Require employees of the California Highway Patrol who are rank-and-file members of State Bargaining Unit 5, to be subject to any and all reductions in state employee compensation imposed by the Legislature on other state employees for the period of July 1, 2020, to June 30, 2021, regardless of the means adopted to the effect those reductions. This would include suspension of the duty to compensate sworn represented members of the California Highway Patrol in accordance with a specified formula, and regardless of the provisions in existing memorandum of understanding (MOU).
Personal Leave Program 2020
- Require the department to adopt a plan for the period of July 1, 2020 to June 30, 2021, by which all state employees who are not subject to the Personal Leave Program 2020 (PLP 2020 Program), would be furloughed two workdays per calendar month.
- Require a state employee, from July 1, 2020 to June 30, 2021, to participate in the PLP 2020 Program, either as required by an applicable MOU reached or by the direction of the department for excluded employees, under which each employee would receive a reduction in pay not greater than 10% in exchange for up to 16 hours of PLP 2020 Program leave credits per month.
California Public Employees' Retirement System (CalPERS) Supplemental Pension Payment
- Repeal supplemental General Fund appropriations to the Public Employees' Retirement Fund for 2020-21, 2021-22, and 2022-23.
- Require the Controller to transfer up to $2.5 billion to the General Fund over the 2020-21 and 2021-22 from other funds and accounts that are required by law to fund the state's employer contribution to the Public Employees' Retirement Fund. Requires the schedule provided by the Department of Finance to specify the timing and amounts of transfers to the General Fund after evaluation of each fund's share of costs and its fun availability.
- Appropriate $243 million from the General Fund to supplement the state's appropriation to Public Employees' Retirement Fund.
- Revise the application of the 2018-19 General Fund appropriation to the Public Employee's Retirement Fund for payments related to school employer contributions and unfunded liabilities as follows:
- Increases the apportionment for advance payments of required school employer contributions for 2020-21 to $430 million.
- Repeals the apportionment of $660 million for the unfunded liabilities for specified school employers
- Authorizes $330 million to be apportioned for advanced payments of required school employer contributions for 2021-22.
- Provide that employees of the State Compensation Insurance fund shall, without limitation, be subject to any and all reductions in state employee compensation imposed by the Legislature on other state employees for the period from July 1, 2020 to June 30, 2021, regardless of the means adopted to effect these restrictions.
COMMENTS:
This bill is a budget trailer bill within the overall 2020-21 budget package necessary to implement actions related public employment and retirement.
According to the Author:
None.
Arguments in Support:
None on file.
Arguments in Opposition:
None on file.
FISCAL COMMENTS:
This bill appropriates $243 million from the General Fund to supplement the state's appropriation to Public Employees' Retirement Fund.
VOTES:
ASSEMBLY FLOOR: 54-13-13
YES: Aguiar-Curry, Bauer-Kahan, Bloom, Boerner Horvath, Bonta, Burke, Calderon, Carrillo, Cervantes, Chau, Chu, Cooper, Daly, Eggman, Frazier, Friedman, Gabriel, Cristina Garcia, Gipson, Gloria, Gonzalez, Gray, Grayson, Holden, Irwin, Jones-Sawyer, Kalra, Kamlager-Dove, Limón, Maienschein, McCarty, Medina, Mullin, Muratsuchi, Nazarian, O'Donnell, Petrie-Norris, Quirk, Quirk-Silva, Ramos, Reyes, Luz Rivas, Robert Rivas, Rodriguez, Blanca Rubio, Salas, Santiago, Smith, Mark Stone, Ting, Weber, Wicks, Wood, Rendon
NO: Bigelow, Brough, Dahle, Flora, Fong, Gallagher, Kiley, Mathis, Melendez, Obernolte, Patterson, Voepel, Waldron
ABS, ABST OR NV: Arambula, Berman, Chen, Chiu, Choi, Cooley, Cunningham, Diep, Eduardo Garcia, Lackey, Levine, Low, Mayes
UPDATED:
VERSION: June 22, 2020
CONSULTANT: Genevieve Morelos / BUDGET / (916) 319-2099 FN: 0003150
SENATE COMMITTEE ON BUDGET AND FISCAL REVIEW
Senator Holly Mitchell, Chair
2019 - 2020 Regular
Bill No: AB 84 Hearing Date: June 24, 2020
Author: | |||
Version: | June 22, 2020 As amended | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Anita Lee | ||
Subject: CalPERS/STRS and PLP
Summary:
This bill makes the necessary changes to implement the employee compensation provisions adopted as a part of the 2020 Budget Act.
Proposed Law:
This bill makes various statutory changes to implement the employee compensation provisions of the 2020-21 budget. Specifically this bill:
- California Public Employees’ Retirement System (CalPERS) Supplemental Pension Payment. Withdraws $500 million General Fund supplemental pension payment provided in the 2019-20 budget act for the 2020-21, 2021-22, and 2023-24. This bill provides $243 million Proposition 2 funds for a supplemental pension payment for the state patrol member category of the unfunded liability, per the July 1, 2019 collective bargaining agreement.
The bill also repurposes $2.5 billion General Fund CalPERS supplemental pension payment provided in the 2019 Budget Act, which was paid to CalPERS in July 2019, to instead be used to supplant the state’s 2020-21 and 2021-22 CalPERS contribution, as specified. The bill authorizes the cash transfer of up to $2.5 billion to the General Fund, from all non-GF funds that are required by law to fund state employer CalPERS contribution over the two fiscal years.
- California State Teachers’ Retirement System (CalSTRS) and CalPERS Schools Pool. Redirects $660 million General Fund CalPERS Schools Pool supplemental pension payment provided in the 2019 Budget Act, to make a supplanting payment for district contribution rates in 2020-21 and 2021-22. Compared to existing law, this would reduce CalPERS district contribution rates by 2.90 percent in 2020-21 and 2.16 percent 2021-22.
This bill also redirects $1.64 billion General Fund CalSTRS supplemental pension payment provided in the 2019 Budget Act, to make a supplanting payment for district contribution rates in 2020-21 and 2021-22. Compared to existing law, this would reduce CalSTRS district contribution rates by 2.95 percent in 2020-21 and 2.18 percent in 2021-22.
- CalSTRS State Contribution Rates. Specifies that for 2020-21, the state CalSTRS contribution rate shall be the same as the rate the CalSTRS board set on 2019-20. The bill specifies that this does not prevent payments towards the unfunded actuarial obligation.
- Bargaining Unit 5 Compensation. Suspends, for the 2020-21 fiscal year, the requirement that the state shall pay rank-and-file members of the California Highway Patrol (CHP) who are members of BU 5 the average total compensation of corresponding ranks for specified city and county police and sheriff’s departments. This bill specifies that for the 2020-21 fiscal year, CHP rank-and-file members shall be subject to any and all reductions in state employee compensation, regardless of the means adopted to effect those reductions.
- Personal Leave Program 2020 (PLP). Specifies that from July 1, 2020 through June 30, 2021, state employees shall participate in the Personal Leave Program 2020, as required by an applicable memorandum of understanding. Under the PLP 2020, employees shall receive a reduction in pay no greater than 10 percent, and up to 16 hours of PLP 2020 Program leave credits on the first day of each monthly pay period.
For state employees not subject to the PLP 2020 Program, Department of Human Resources shall adopt a plan for July 1, 2020 through June 30, 2021 for those employees to be furloughed for two workdays per calendar month. The bill also requires the department to adopt rules to implement, enforce and administer the furlough plan.
Fiscal Effect:
Appropriates $243 million Proposition 2 Funds for a CalPERS supplemental pension payment for the state patrol member category. This bill redirects $2.3 billion General Fund CalPERS and CalSTRS school pool supplemental pension payments, as specified. This bill also authorizes the transfer of up to $2.5 billion General Fund to make a supplanting CalPERS payment.
Support:
None on file.
Opposed:
None on file.
-- END --
Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | AB 84 |
THIRD READING
Bill No: AB 84
Amended: 6/6/19 in Senate
SENATE BUDGET & FISCAL REVIEW COMMITTEE: 12-0, 6/12/19
AYES: Mitchell, Nielsen, Beall, Jones, McGuire, Moorlach, Morrell, Roth, Skinner, Stone, Umberg, Wieckowski
NO VOTE RECORDED: Durazo, Hurtado, Leyva, Monning, Pan, Stern
ASSEMBLY FLOOR: Not relevant
SUBJECT: Political Reform Act of 1974: online filing system
DIGEST:
This bill contains statutory provisions related to the Political Reform Act of 1974 necessary to implement the 2019 Budget Act.
ANALYSIS: This bill extends the deadline for the Secretary of the State to making the online filing and disclosure system available for use to February 2021.
FISCAL EFFECT: Appropriation: Yes Fiscal Com.: Yes Local: No
According to the Senate Budget and Fiscal Review Committee, this bill appropriates $6,992,000 General Fund to the Secretary of State to implement the online filing and disclosure system.
None received
OPPOSITION: (Verified 6/11/19)
None received
Prepared by: Yong Salas / B. & F.R. / 916-651-4103
6/14/19 11:23:01
**** END ****
ASSEMBLY THIRD READING
ATR Bill Id:AB 84
Author:(Ting)
As Introduced Ver:December 3, 2018
Majority vote. Budget Bill Appropriation Takes Effect Immediately
SUMMARY:
This bill expresses the intent of the Legislature to enact statutory changes relating to the Budget Act of 2019.
Major Provisions
COMMENTS:
According to the Author:
Arguments in Support:
Arguments in Opposition:
FISCAL COMMENTS:
VOTES:
UPDATED:
VERSION: December 3, 2018
CONSULTANT: Christian Griffith / BUDGET / (916) 319-2099 FN: 0000127
SENATE COMMITTEE ON
Senator Holly Mitchell, Chair
2019 - 2020 Regular
Bill No: Hearing Date: June 11, 2019
Author: | Committee on Budget | ||
Version: | As amended | ||
Urgency: | Yes | Fiscal: | |
Consultant: | |||
Subject:
Summary:
This bill contains statutory provisions related to the Political Reform Act of 1974 necessary to implement the 2019 Budget Act.
Proposed Law:
The bill extends the deadline for the Secretary of State to making the online filing and disclosure system available for use to February 2021.
Fiscal Effect:
The bill appropriates $6,992,000 General Fund to the Secretary of State to implement the online filing and disclosure system.
Support:
None on file.
Opposed:
None on file.
-- END --
Bill Author
Bill Co-Author(s):