BILL REQ. #:  S-0604.1 

Read first time 01/21/11.   Referred to Committee on Labor, Commerce & Consumer Protection.

     AN ACT Relating to collective bargaining under state law; amending RCW 41.06.022, 41.06.170, 41.06.340, and 41.56.465; reenacting and amending RCW 41.06.133; creating new sections; repealing RCW 41.80.001, 41.80.002, 41.80.005, 41.80.010, 41.80.020, 41.80.030, 41.80.040, 41.80.050, 41.80.060, 41.80.070, 41.80.080, 41.80.090, 41.80.100, 41.80.110, 41.80.120, 41.80.130, 41.80.140, 41.80.900, 41.80.901, 41.80.902, 41.80.903, 41.80.904, 41.80.905, 41.80.907, 41.80.908, 41.80.909, 41.80.910, 47.64.005, 47.64.006, 47.64.011, 47.64.090, 47.64.120, 47.64.130, 47.64.140, 47.64.150, 47.64.160, 47.64.170, 47.64.175, 47.64.200, 47.64.210, 47.64.230, 47.64.250, 47.64.260, 47.64.270, 47.64.280, 47.64.290, 47.64.300, 47.64.310, 47.64.320, 47.64.330, 47.64.900, 47.64.910, 41.56.021, 41.56.026, 41.56.027, 41.56.028, 41.56.029, 41.56.113, 41.56.203, 41.56.205, 41.56.473, 41.56.475, 41.56.510, 74.39A.270, 74.39A.300, and 74.39A.310; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   The legislature finds that its authority over a significant portion of the state budget has eroded since state employees began collectively bargaining with the executive branch over wages and benefits. The legislature recognizes that it is the responsibility of a union to advocate for the best interest of its membership, while it is the responsibility of the legislature to determine the best interest of the state. State employees no longer have to make their case to the legislature for additional funding for compensation packages and compete for the limited funding with other priorities. The flexibility of the legislature has been limited, as the legislature has no authority to make changes to negotiated agreements between state employees and the executive branch. In tight budget times it is clear that the legislature needs more flexibility to truly prioritize spending, and must take back its authority over state employee compensation choices. Therefore, the legislature intends to repeal the ability of state employees and other nontraditional groups to collectively bargain with the executive branch over compensation.

Sec. 2   RCW 41.06.022 and 2002 c 354 s 207 are each amended to read as follows:
     For purposes of this chapter, "manager" means any employee who:
     (1) Formulates statewide policy or directs the work of an agency or agency subdivision;
     (2) Is responsible to administer one or more statewide policies or programs of an agency or agency subdivision;
     (3) Manages, administers, and controls a local branch office of an agency or agency subdivision, including the physical, financial, or personnel resources;
     (4) Has substantial responsibility in personnel administration, legislative relations, public information, or the preparation and administration of budgets; or
     (5) Functionally is above the first level of supervision and exercises authority that is not merely routine or clerical in nature and requires the consistent use of independent judgment.
     ((No employee who is a member of the Washington management service may be included in a collective bargaining unit established under RCW 41.80.001 and 41.80.010 through 41.80.130.))

Sec. 3   RCW 41.06.133 and 2010 c 2 s 3 and 2010 c 1 s 2 are each reenacted and amended to read as follows:
     (1) The director shall adopt rules, consistent with the purposes and provisions of this chapter and with the best standards of personnel administration, regarding the basis and procedures to be followed for:
     (a) The reduction, dismissal, suspension, or demotion of an employee;
     (b) Training and career development;
     (c) Probationary periods of six to twelve months and rejections of probationary employees, depending on the job requirements of the class, except that entry level state park rangers shall serve a probationary period of twelve months;
     (d) Transfers;
     (e) Promotional preferences;
     (f) Sick leaves and vacations;
     (g) Hours of work;
     (h) Layoffs when necessary and subsequent reemployment, except for the financial basis for layoffs;
     (i) The number of names to be certified for vacancies;
     (j) Adoption and revision of a state salary schedule to reflect the prevailing rates in Washington state private industries and other governmental units. The rates in the salary schedules or plans shall be increased if necessary to attain comparable worth under an implementation plan under RCW 41.06.155 and, for institutions of higher education and related boards, shall be competitive for positions of a similar nature in the state or the locality in which an institution of higher education or related board is located. Such adoption and revision is subject to approval by the director of financial management in accordance with chapter 43.88 RCW;
     (k) Increment increases within the series of steps for each pay grade based on length of service for all employees whose standards of performance are such as to permit them to retain job status in the classified service. From February 18, 2009, through June 30, 2011, a salary or wage increase shall not be granted to any exempt position under this chapter, except that a salary or wage increase may be granted to employees pursuant to collective bargaining agreements negotiated under chapter 28B.52, 41.56, 47.64, or 41.76 RCW, or negotiated by the nonprofit corporation formed under chapter 67.40 RCW, and except that increases may be granted for positions for which the employer has demonstrated difficulty retaining qualified employees if the following conditions are met:
     (i) The salary increase can be paid within existing resources; and
     (ii) The salary increase will not adversely impact the provision of client services;
     Any agency granting a salary increase from February 15, 2010, through June 30, 2011, to a position exempt under this chapter shall submit a report to the fiscal committees of the legislature no later than July 31, 2011, detailing the positions for which salary increases were granted, the size of the increases, and the reasons for giving the increases;
     (l) Optional lump sum relocation compensation approved by the agency director, whenever it is reasonably necessary that a person make a domiciliary move in accepting a transfer or other employment with the state. An agency must provide lump sum compensation within existing resources. If the person receiving the relocation payment terminates or causes termination with the state, for reasons other than layoff, disability separation, or other good cause as determined by an agency director, within one year of the date of the employment, the state is entitled to reimbursement of the lump sum compensation from the person;
     (m) Providing for veteran's preference as required by existing statutes, with recognition of preference in regard to layoffs and subsequent reemployment for veterans and their surviving spouses by giving such eligible veterans and their surviving spouses additional credit in computing their seniority by adding to their unbroken state service, as defined by the director, the veteran's service in the military not to exceed five years. For the purposes of this section, "veteran" means any person who has one or more years of active military service in any branch of the armed forces of the United States or who has less than one year's service and is discharged with a disability incurred in the line of duty or is discharged at the convenience of the government and who, upon termination of such service, has received an honorable discharge, a discharge for physical reasons with an honorable record, or a release from active military service with evidence of service other than that for which an undesirable, bad conduct, or dishonorable discharge shall be given. However, the surviving spouse of a veteran is entitled to the benefits of this section regardless of the veteran's length of active military service. For the purposes of this section, "veteran" does not include any person who has voluntarily retired with twenty or more years of active military service and whose military retirement pay is in excess of five hundred dollars per month.
     (2) Rules adopted under this section by the director shall provide for local administration and management by the institutions of higher education and related boards, subject to periodic audit and review by the director.
     (3) ((Rules adopted by the director under this section may be superseded by the provisions of a collective bargaining agreement negotiated under RCW 41.80.001 and 41.80.010 through 41.80.130. The supersession of such rules shall only affect employees in the respective collective bargaining units.
     (4)))(a) The director shall require that each state agency report annually the following data:
     (i) The number of classified, Washington management service, and exempt employees in the agency and the change compared to the previous report;
     (ii) The number of bonuses and performance-based incentives awarded to agency staff and the base wages of such employees; and
     (iii) The cost of each bonus or incentive awarded.
     (b) A report that compiles the data in (a) of this subsection for all agencies will be provided annually to the governor and the appropriate committees of the legislature and must be posted for the public on the department of personnel's agency web site.
     (((5))) (4) From February 15, 2010, until June 30, 2011, no monetary performance-based awards or incentives may be granted by the director or employers to employees covered by rules adopted under this section. This subsection does not prohibit the payment of awards provided for in chapter 41.60 RCW.

Sec. 4   RCW 41.06.170 and 2009 c 534 s 3 are each amended to read as follows:
     (1) The director, in the adoption of rules governing suspensions for cause, shall not authorize an appointing authority to suspend an employee for more than fifteen calendar days as a single penalty or more than thirty calendar days in any one calendar year as an accumulation of several penalties. The director shall require that the appointing authority give written notice to the employee not later than one day after the suspension takes effect, stating the reasons for and the duration thereof.
     (2) Any employee who is reduced, dismissed, suspended, or demoted, after completing his or her probationary period of service as provided by the rules of the director, or any employee who is adversely affected by a violation of the state civil service law, chapter 41.06 RCW, or rules adopted under it, shall have the right to appeal, either individually or through his or her authorized representative, not later than thirty days after the effective date of such action to the personnel appeals board through June 30, 2005, and to the Washington personnel resources board after June 30, 2005. The employee shall be furnished with specified charges in writing when a reduction, dismissal, suspension, or demotion action is taken. Such appeal shall be in writing. Decisions of the Washington personnel resources board on appeals filed after June 30, 2005, shall be final and not subject to further appeal.
     (3) Any employee whose position has been exempted after July 1, 1993, shall have the right to appeal, either individually or through his or her authorized representative, not later than thirty days after the effective date of such action to the personnel appeals board through June 30, 2005, and to the Washington personnel resources board after June 30, 2005. If the position being exempted is vacant, the exclusive bargaining unit representative may act in lieu of an employee for the purposes of appeal.
     (4) An employee incumbent in a position at the time of its allocation or reallocation, or the agency utilizing the position, may appeal the allocation or reallocation to the personnel appeals board through December 31, 2005, and to the Washington personnel resources board after December 31, 2005. Notice of such appeal must be filed in writing within thirty days of the action from which appeal is taken.
     (((5) Subsections (1) and (2) of this section do not apply to any employee who is subject to the provisions of a collective bargaining agreement negotiated under RCW 41.80.001 and 41.80.010 through 41.80.130.))

Sec. 5   RCW 41.06.340 and 2002 c 354 s 232 are each amended to read as follows:
     (1) ((With respect to collective bargaining as authorized by RCW 41.80.001 and 41.80.010 through 41.80.130,)) The public employment relations commission created by chapter 41.58 RCW shall have authority to adopt rules, on and after June 13, 2002, relating to determination of appropriate bargaining units within any agency. In making such determination the commission shall consider the duties, skills, and working conditions of the employees, the history of collective bargaining by the employees and their bargaining representatives, the extent of organization among the employees, and the desires of the employees. The public employment relations commission created in chapter 41.58 RCW shall adopt rules and make determinations relating to the certification and decertification of exclusive bargaining representatives.
     (2) Each and every provision of RCW 41.56.140 through 41.56.160 shall be applicable to this chapter as it relates to state civil service employees.
     (((3) A collective bargaining agreement entered into under RCW 41.06.150 before July 1, 2004, covering employees subject to RCW 41.80.001 and 41.80.010 through 41.80.130 that expires after July 1, 2004, shall remain in full force during its duration, or until superseded by a collective bargaining agreement entered into by the parties under RCW 41.80.001 and 41.80.010 through 41.80.130. However, an agreement entered into before July 1, 2004, may not be renewed or extended beyond July 1, 2005, or until superseded by a collective bargaining agreement entered into under RCW 41.80.001 and 41.80.010 through 41.80.130, whichever is later.))

Sec. 6   RCW 41.56.465 and 2007 c 278 s 1 are each amended to read as follows:
     (1) In making its determination, the panel shall be mindful of the legislative purpose enumerated in RCW 41.56.430 and, as additional standards or guidelines to aid it in reaching a decision, the panel shall consider:
     (a) The constitutional and statutory authority of the employer;
     (b) Stipulations of the parties;
     (c) The average consumer prices for goods and services, commonly known as the cost of living;
     (d) Changes in any of the circumstances under (a) through (c) of this subsection during the pendency of the proceedings; and
     (e) Such other factors, not confined to the factors under (a) through (d) of this subsection, that are normally or traditionally taken into consideration in the determination of wages, hours, and conditions of employment. For those employees listed in RCW 41.56.030(((7))) (14)(a) who are employed by the governing body of a city or town with a population of less than fifteen thousand, or a county with a population of less than seventy thousand, consideration must also be given to regional differences in the cost of living.
     (2) For employees listed in RCW 41.56.030(((7))) (14) (a) through (d), the panel shall also consider a comparison of the wages, hours, and conditions of employment of personnel involved in the proceedings with the wages, hours, and conditions of employment of like personnel of like employers of similar size on the west coast of the United States.
     (3) For employees listed in RCW 41.56.030(((7))) (14) (e) through (h), the panel shall also consider a comparison of the wages, hours, and conditions of employment of personnel involved in the proceedings with the wages, hours, and conditions of employment of like personnel of public fire departments of similar size on the west coast of the United States. However, when an adequate number of comparable employers exists within the state of Washington, other west coast employers may not be considered.
     (((4) For employees listed in RCW 41.56.028:
     (a) The panel shall also consider:
     (i) A comparison of child care provider subsidy rates and reimbursement programs by public entities, including counties and municipalities, along the west coast of the United States; and
     (ii) The financial ability of the state to pay for the compensation and benefit provisions of a collective bargaining agreement; and
     (b) The panel may consider:
     (i) The public's interest in reducing turnover and increasing retention of child care providers;
     (ii) The state's interest in promoting, through education and training, a stable child care workforce to provide quality and reliable child care from all providers throughout the state; and
     (iii) In addition, for employees exempt from licensing under chapter 74.15 RCW, the state's fiscal interest in reducing reliance upon public benefit programs including but not limited to medical coupons, food stamps, subsidized housing, and emergency medical services.
     (5) For employees listed in RCW 74.39A.270:
     (a) The panel shall consider:
     (i) A comparison of wages, hours, and conditions of employment of publicly reimbursed personnel providing similar services to similar clients, including clients who are elderly, frail, or have developmental disabilities, both in the state and across the United States; and
     (ii) The financial ability of the state to pay for the compensation and fringe benefit provisions of a collective bargaining agreement; and
     (b) The panel may consider:
     (i) A comparison of wages, hours, and conditions of employment of publicly employed personnel providing similar services to similar clients, including clients who are elderly, frail, or have developmental disabilities, both in the state and across the United States;
     (ii) The state's interest in promoting a stable long-term care workforce to provide quality and reliable care to vulnerable elderly and disabled recipients;
     (iii) The state's interest in ensuring access to affordable, quality health care for all state citizens; and
     (iv) The state's fiscal interest in reducing reliance upon public benefit programs including but not limited to medical coupons, food stamps, subsidized housing, and emergency medical services.
     (6) Subsections (2) and (3) of this section may not be construed to authorize the panel to require the employer to pay, directly or indirectly, the increased employee contributions resulting from chapter 502, Laws of 1993 or chapter 517, Laws of 1993 as required under chapter 41.26 RCW.))

NEW SECTION.  Sec. 7   The following acts or parts of acts are each repealed:
     (1) RCW 41.80.001 (Application of chapter) and 2002 c 354 s 301;
     (2) RCW 41.80.002 (Reduction in state agency operating expenses--Application of section 3, chapter 32, Laws of 2010 1st sp. sess.) and 2010 1st sp.s. c 32 s 4;
     (3) RCW 41.80.005 (Definitions) and 2002 c 354 s 321;
     (4) RCW 41.80.010 (Negotiation and ratification of collective bargaining agreements) and 2010 c 104 s 1 & 2002 c 354 s 302;
     (5) RCW 41.80.020 (Scope of bargaining) and 2010 c 283 s 16 & 2002 c 354 s 303;
     (6) RCW 41.80.030 (Contents of collective bargaining agreements--Execution) and 2002 c 354 s 304;
     (7) RCW 41.80.040 (Management rights -- Not subject to bargaining) and 2002 c 354 s 305;
     (8) RCW 41.80.050 (Rights of employees) and 2002 c 354 s 306;
     (9) RCW 41.80.060 (Right to strike not granted) and 2002 c 354 s 307;
     (10) RCW 41.80.070 (Bargaining units -- Certification) and 2002 c 354 s 308;
     (11) RCW 41.80.080 (Representation -- Elections -- Rules) and 2002 c 354 s 309;
     (12) RCW 41.80.090 (Failure to reach agreement -- Third party involvement -- Expiration of agreements during negotiation) and 2002 c 354 s 310;
     (13) RCW 41.80.100 (Union security -- Fees and dues -- Right of nonassociation) and 2002 c 354 s 311;
     (14) RCW 41.80.110 (Unfair labor practices enumerated) and 2002 c 354 s 312;
     (15) RCW 41.80.120 (Unfair labor practice procedures -- Powers and duties of commission) and 2002 c 354 s 313;
     (16) RCW 41.80.130 (Enforcement of collective bargaining agreements -- Arbitrators -- Subpoenas--Superior court) and 2002 c 354 s 314;
     (17) RCW 41.80.140 (Office of financial management's labor relations service account -- Created) and 2002 c 354 s 322;
     (18) RCW 41.80.900 (Powers, duties, and functions pertaining to collective bargaining -- Transferred to public employment relations commission -- Exceptions) and 2002 c 354 s 315;
     (19) RCW 41.80.901 (Transfer of assets -- Appropriations) and 2002 c 354 s 316;
     (20) RCW 41.80.902 (Schedule for transfer of employees and property) and 2002 c 354 s 317;
     (21) RCW 41.80.903 (Pending business to be continued and acted upon) and 2002 c 354 s 318;
     (22) RCW 41.80.904 (Validity of actions not affected) and 2002 c 354 s 319;
     (23) RCW 41.80.905 (Apportionment of funds) and 2002 c 354 s 320;
     (24) RCW 41.80.907 (Short title -- 2002 c 354) and 2002 c 354 s 101;
     (25) RCW 41.80.908 (Headings, captions not law -- 2002 c 354) and 2002 c 354 s 405;
     (26) RCW 41.80.909 (Severability -- 2002 c 354) and 2002 c 354 s 410;
     (27) RCW 41.80.910 (Effective dates -- 2002 c 354) and 2002 c 354 s 411;
     (28) RCW 47.64.005 (Declaration of policy) and 1961 c 13 s 47.64.005;
     (29) RCW 47.64.006 (Public policy) and 1989 c 327 s 1 & 1983 c 15 s 1;
     (30) RCW 47.64.011 (Definitions) and 2006 c 164 s 1 & 1983 c 15 s 2;
     (31) RCW 47.64.090 (Other party operating ferry by rent, lease, or charter -- Passenger-only ferry service) and 2003 c 373 s 3, 2003 c 91 s 1, 2003 c 83 s 205, 1983 c 15 s 27, & 1961 c 13 s 47.64.090;
     (32) RCW 47.64.120 (Scope of negotiations -- Interest on retroactive compensation increases -- Agreement conflicts) and 2010 c 283 s 10, 2006 c 164 s 3, 1997 c 436 s 1, & 1983 c 15 s 3;
     (33) RCW 47.64.130 (Unfair labor practices) and 2010 c 8 s 10021, 2006 c 164 s 4, & 1983 c 15 s 4;
     (34) RCW 47.64.140 (Strikes, work stoppages, and lockouts prohibited) and 2006 c 164 s 5, 1989 c 373 s 25, & 1983 c 15 s 5;
     (35) RCW 47.64.150 (Grievance procedures) and 1983 c 15 s 6;
     (36) RCW 47.64.160 (Union security provisions) and 1983 c 15 s 7;
     (37) RCW 47.64.170 (Collective bargaining procedures) and 2010 c 283 s 11, 2007 c 160 s 1, 2006 c 164 s 6, & 1983 c 15 s 8;
     (38) RCW 47.64.175 (Collective bargaining agreement negotiation) and 2006 c 164 s 2;
     (39) RCW 47.64.200 (Impasse procedures) and 2010 c 283 s 12, 2006 c 164 s 7, & 1983 c 15 s 11;
     (40) RCW 47.64.210 (Mediation) and 2007 c 160 s 2, 2006 c 164 s 8, & 1983 c 15 s 12;
     (41) RCW 47.64.230 (Waiver of mediation) and 2007 c 160 s 3, 2006 c 164 s 11, & 1983 c 15 s 14;
     (42) RCW 47.64.250 (Legal actions) and 2010 c 8 s 10022 & 1983 c 15 s 16;
     (43) RCW 47.64.260 (Notice and service) and 2001 c 19 s 1 & 1983 c 15 s 17;
     (44) RCW 47.64.270 (Insurance and health care) and 2010 c 283 s 13, 2006 c 164 s 17, 1995 1st sp.s. c 6 s 6, 1993 c 492 s 224, 1988 c 107 s 21, 1987 c 78 s 2, & 1983 c 15 s 18;
     (45) RCW 47.64.280 (Marine employees' commission) and 2010 c 283 s 14, 2006 c 164 s 18, 1984 c 287 s 95, & 1983 c 15 s 19;
     (46) RCW 47.64.290 (Toll bridge employees subject to civil service) and 1984 c 48 s 2;
     (47) RCW 47.64.300 (Interest arbitration -- Procedures) and 2007 c 160 s 4 & 2006 c 164 s 12;
     (48) RCW 47.64.310 (Interest arbitration -- Function) and 2006 c 164 s 13;
     (49) RCW 47.64.320 (Parties not bound by arbitration -- Arbitration factors) and 2010 c 283 s 15 & 2006 c 164 s 14;
     (50) RCW 47.64.330 (Collective bargaining limitations) and 2006 c 164 s 15;
     (51) RCW 47.64.900 (Section captions not part of law -- 1983 c 15) and 1983 c 15 s 29;
     (52) RCW 47.64.910 (Severability -- 1983 c 15) and 1983 c 15 s 30;
     (53) RCW 41.56.021 (Application of chapter to employees of institutions of higher education -- Exceptions -- Limitations on bargaining) and 2007 c 136 s 1;
     (54) RCW 41.56.026 (Application of chapter to individual providers under chapter 74.39A RCW) and 2002 c 3 s 12;
     (55) RCW 41.56.027 (Application of chapter to passenger-only ferry employees) and 2003 c 91 s 2;
     (56) RCW 41.56.028 (Application of chapter to family child care providers -- Governor as public employer -- Procedure -- Intent) and 2007 c 278 s 2 & 2006 c 54 s 1;
     (57) RCW 41.56.029 (Application of chapter to adult family home providers -- Governor as public employer -- Procedure -- Intent) and 2007 c 184 s 1;
     (58) RCW 41.56.113 (Individual providers -- Family child care providers -- Adult family home providers -- Language access providers--Deductions from payments for dues -- State is payor, not employer) and 2010 c 296 s 4, 2007 c 184 s 3, 2006 c 54 s 3, 2004 c 3 s 7, & 2002 c 99 s 1;
     (59) RCW 41.56.203 (University of Washington -- Certain employees enrolled in an academic program -- Scope of collective bargaining) and 2002 c 34 s 2;
     (60) RCW 41.56.205 (Washington State University -- Certain employees enrolled in an academic program -- Scope of collective bargaining) and 2008 c 203 s 2;
     (61) RCW 41.56.473 (Uniformed personnel -- Application of chapter to Washington state patrol -- Bargaining subjects) and 2005 c 438 s 1 & 1999 c 217 s 3;
     (62) RCW 41.56.475 (Uniformed personnel -- Application of chapter to Washington state patrol -- Mediation and arbitration) and 2008 c 149 s 1, 2005 c 438 s 2, 1999 c 217 s 4, 1993 c 351 s 1, 1988 c 110 s 2, & 1987 c 135 s 3;
     (63) RCW 41.56.510 (Application of chapter to language access providers -- Governor as public employer -- Procedure -- Intent) and 2010 c 296 s 2;
     (64) RCW 74.39A.270 (Collective bargaining -- Circumstances in which individual providers are considered public employees -- Exceptions) and 2007 c 361 s 7, 2007 c 278 s 3, 2006 c 106 s 1, 2004 c 3 s 1, & 2002 c 3 s 6;
     (65) RCW 74.39A.300 (Funding) and 2004 c 3 s 2 & 2002 c 3 s 9; and
     (66) RCW 74.39A.310 (Contract for individual home care services providers -- Cost of increase in wages and benefits funded -- Formula) and 2007 c 361 s 8 & 2006 c 9 s 1.

NEW SECTION.  Sec. 8   Nothing contained in this act may be construed to alter any existing collective bargaining unit or the provisions of any existing collective bargaining agreement until the agreement has expired. However, an existing collective bargaining agreement may not be extended or renewed after the effective date of this section.

NEW SECTION.  Sec. 9   This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect immediately.