Brief Description: Implementing the compensation and fringe benefit provisions in the master collective bargaining agreement.

Sponsors: Senate Committee on Labor, Commerce, Research & Development (originally sponsored by Senator Spanel).

Hearing Date: 2/16/06

Staff: David Pringle (786-7310).

Background:

State employee collective bargaining agreements negotiated since July 1, 2004, are governed by the terms of the state collective bargaining laws, among them those created by Personnel Systems Reform Act of 2002. The Governor or the Governor's designee negotiates on behalf of the employer, except for institutions of higher education which may choose to represent themselves. Upon reaching an agreement with an employee exclusive bargaining representative, the employer representative must submit a request for funds necessary to implement the compensation and fringe benefit provisions of an agreement to the Office of Financial Management (OFM) by October 1 prior to the legislative session at which the request is to be considered. If the request is certified by the Director of OFM as feasible financially for the state, it must be submitted to the Legislature as part of the Governor's budget document.

The Legislature must accept or reject the request for funds necessary to implement the agreements as a whole. If a significant revenue shortfall occurs, as declared by either the Governor or the Legislature, modifications to the agreements must be negotiated. If the Legislature rejects or fails to act on the submission, either party may reopen all or part of the agreement, or initiate mediation or a fact-finding process.

The same mediation and fact-finding processes may be initiated in the event that the parties fail to reach an agreement during negotiations. If mediation is initiated, and no agreement is reached within 100 days of the expiration of the previous collective bargaining agreement, the Public Employment Relations Commission must appoint an independent fact-finder. The terms of an expired collective bargaining agreement remain in effect for up to one year, or until a new agreement is brought into effect.

Summary of Bill:

The October 1 deadline for submitting the compensation and fringe benefit provisions of a higher education institution collective bargaining agreement to the Director of the OFM may be delayed until November 15 if one or both of the parties applies before October 1 to the Public Employment Relations Commission for appointment of a mediator, or if the parties are already engaged in the statutory fact-finding process.

Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.