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AB-1068 Prison Industry Authority: private employer: pilot program.(2017-2018)

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Date Published: 09/15/2017 09:00 PM
AB1068:v95#DOCUMENT

Enrolled  September 15, 2017
Passed  IN  Senate  September 11, 2017
Passed  IN  Assembly  September 13, 2017
Amended  IN  Senate  September 01, 2017
Amended  IN  Assembly  May 26, 2017
Amended  IN  Assembly  March 28, 2017

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Bill No. 1068


Introduced by Assembly Member Gonzalez Fletcher

February 16, 2017


An act to add and repeal Section 2819 of the Penal Code, relating to the Prison Industry Authority.


LEGISLATIVE COUNSEL'S DIGEST


AB 1068, Gonzalez Fletcher. Prison Industry Authority: private employer: pilot program.
Existing law creates the Prison Industry Authority within the Department of Corrections and Rehabilitation with the purpose of operating a work program for prisoners that will give prisoners the opportunity to work productively, to earn funds, and to acquire or improve effective work habits and occupational skills. Existing law establishes the Prison Industry Board within the Department of Corrections and Rehabilitation to oversee the Prison Industry Authority, as specified. Under existing law, a state agency seeking to enter into a contract with a private business may grant a bid preference if certain conditions are met. Existing law, known as the 2011 Realignment Legislation, made certain felonies punishable by imprisonment in a county jail, as specified.
This bill would require the Prison Industry Authority to establish a pilot program by selecting one private employer that employs ex-felons, as defined, to provide goods to the Department of Corrections and Rehabilitation or other state agencies pursuant to a procurement contract with the Department of General Services. The bill would entitle the selected private employer to a bid preference of 20% if 1/2 or more of the employer’s nonexempt employees performing work on the contract are full-time employees who are ex-felons, 10% if 1/4 or more, but less than1/2, of the employer’s nonexempt employees performing work on the contract are full-time employees who are ex-felons, 10% if the employer provides employer-funded health care coverage and a retirement plan, and 10% if the employer has executed a labor peace agreement. The bill would specify that the procurement contract is for a period of 5 years commencing from the date the contract is awarded and would require the authority to post this date on its Internet Web site. The bill would require the authority to prepare and submit a report on the success of the pilot program to the Prison Industry Board and the Legislature, as specified, by the end of the 3rd year after the date the contract is awarded. The provisions of the bill would be repealed 6 years after the date the contract is awarded.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 (a) The Legislature finds and declares all of the following:
(1) With the enactment of Chapter 15 of the Statutes of 2011, a large number of nonviolent felons in the state prison system were transferred to county jails to serve out their sentences. In order to prevent recidivism and to benefit the community at large, these felons need the opportunity to obtain employment in jobs that are stable and secure and afford them career ladders that will enable them to provide for themselves and their families after they are released on parole.
(2) The Prison Industry Authority is an agency intended to provide job training for felons preparing to be released from the state prison. However, after the enactment of Chapter 15 of the Statutes of 2011, felons remaining in the state prison are serving much longer sentences and will not be released or paroled as often. In order to prepare offenders for reentry into society, some of the Prison Industry Authority’s efforts should now be directed to felons serving out their sentences in county jails pursuant to Chapter 15 of the Statutes of 2011.
(3) The Department of Corrections and Rehabilitation, through the Prison Industry Authority, can use the procurement process to help provide jobs in the private sector that will assist ex-felons to reenter society successfully.
(b) It is the intent of the Legislature in enacting this legislation to maximize the hiring of ex-felons to permanent, full-time jobs by the selected private employer. To achieve this goal, the selected private employer should hire and make every effort to retain the largest number of parolees possible.

SEC. 2.

 Section 2819 is added to the Penal Code, to read:

2819.
 (a) For the purposes of this section, the following terms have the following meanings:
(1) “Ex-felon” means a person released or paroled from a state correctional facility or from a county jail where he or she was housed pursuant to Chapter 15 of the Statutes of 2011 during the five-year period before the date the procurement contract described in subdivision (b) was awarded.
(2) “Health care coverage” means a policy of health care coverage where all of the following conditions are met:
(A) Health care services under the policy meet the requirements of subdivision (b) of Section 1345 and Section 1367.005 of the Health and Safety Code.
(B) Prescription drug coverage under the policy meets the requirements of Section 1342.7 of the Health and Safety Code.
(C) The actuarial value of the policy is no less than 85 percent of the average cost of care for the population.
(D) The employer share of the policy’s premium for employee-only coverage is no less than 75 percent of the premium cost.
(3) “Labor peace agreement” means an agreement between a contracting employer and a bona fide labor organization that, at a minimum, protects the state’s proprietary interests by prohibiting labor organizations and members from engaging in picketing, work stoppages, boycotts, and any other economic interference with the contracting employer’s business. This agreement means that the contracting employer has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the employer’s employees. The agreement shall provide a bona fide labor organization access at reasonable times to areas where employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under state or federal law, and terms and conditions of employment. This type of agreement shall not mandate a particular method of election or certification of the bona fide labor organization.
(4) “Nonexempt employee” means an employee who is required to be paid overtime compensation under state or federal law.
(5) “Retirement plan” means a defined benefit or defined contribution plan in which the employer contributes a fixed amount to the plan.
(b) The Prison Industry Authority shall establish a pilot program by selecting one private employer that employs ex-felons to provide goods, including finished manufactured goods or finished food service products, for the benefit of the Department of Corrections and Rehabilitation or other state agencies pursuant to a procurement contract with the Department of General Services.
(c) The procurement contract described in subdivision (b) shall be for a period of five years commencing from the date the contract is awarded. The Prison Industry Authority shall post this date on its Internet Web site.
(d) Notwithstanding any other law, and in addition to any other bid preferences under existing law, the private employer selected by the authority pursuant to subdivision (b) shall be entitled to the following bid preferences, if applicable, in the procurement contract with a state agency or department:
(1) Twenty percent if one-half or more of the nonexempt employees performing work on the contract are full-time employees who are ex-felons.
(2) Ten percent if one-quarter or more, but less than one-half, of the nonexempt employees performing work on the contract are full-time employees who are ex-felons.
(3) Ten percent if the employer provides employer-funded health care coverage and a retirement plan to its employees.
(4) Ten percent if the employer has executed a labor peace agreement with a bona fide labor organization.
(e) The Prison Industry Authority shall prepare and submit a report on the success of the pilot program to the Prison Industry Board and the Legislature, in compliance with Section 9795 of the Government Code, by the end of the third year after the date the contract is awarded. The report shall include, but not be limited to, all of the following:
(1) The turnover rate and retention rate of ex-felon employees hired by the employer selected pursuant to subdivision (b).
(2) The career advancement of ex-felon employees in the pilot program.
(3) The number of ex-felon employees who reoffend while being employed pursuant to the pilot program.
(4) The authority’s recommendations for improving the program.
(f) This section shall remain in effect only until six years after the date the contract specified in subdivision (b) is awarded, and as of that date is repealed.