Bill Text: CA AB537 | 2015-2016 | Regular Session | Introduced


Bill Title: Public employees' benefits.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2016-02-01 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB537 Detail]

Download: California-2015-AB537-Introduced.html
BILL NUMBER: AB 537	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Travis Allen

                        FEBRUARY 23, 2015

   An act to add Sections 3509.7 and 3523.4 to the Government Code,
relating to public employees' benefits.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 537, as introduced, Travis Allen. Public employees' benefits.
   Existing law permits the Board of Administration of the Public
Employees' Retirement System to authorize an employer to participate
in the prefunding of health care coverage and other postemployment
benefits for annuitants.
   This bill would prohibit a public agency, state employer, employee
organization, or public employee from entering into a memorandum of
understanding that provides postemployment health care benefits
without a strategy for permanently prefunding members' postemployment
health care benefits.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 3509.7 is added to the Government Code, to
read:
   3509.7.  (a) Notwithstanding any other law, a public agency,
employee organization, or public employee shall not enter into a
memorandum of understanding on or after January 1, 2016, that
provides postemployment health care benefits without a strategy for
permanently prefunding members' postemployment health care benefits
pursuant to Article 11 (commencing with Section 22940) of Chapter 1
or Part 5 of Division 5 of Title 2.
   (b) If the provisions of this section are in conflict with the
provisions of a memorandum of understanding, the memorandum of
understanding shall be controlling, except that upon expiration of
the memorandum of understanding or other collective bargaining
agreement, this section shall be controlling and shall not be
superseded by a subsequent memorandum of understanding or other
collective bargaining agreement.
  SEC. 2.  Section 3523.4 is added to the Government Code, to read:
   3523.4.  (a) Notwithstanding any other law, the state employer,
employee organization, or state employee shall not enter into a
memorandum of understanding on or after January 1, 2016, that
provides postemployment health care benefits without a strategy for
permanently prefunding members' postemployment health care benefits
pursuant to Article 11 (commencing with Section 22940) of Chapter 1
or Part 5 of Division 5 of Title 2.
   (b) If the provisions of this section are in conflict with the
provisions of a memorandum of understanding, the memorandum of
understanding shall be controlling, except that upon expiration of
the memorandum of understanding, this section shall be controlling
shall may not be superseded by a subsequent memorandum of
understanding or other collective bargaining agreement.
                    
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