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ACA-31 Public employee salaries: limit.(2017-2018)

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ACA31:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Assembly Constitutional Amendment
No. 31

Introduced by Assembly Member Cervantes

May 23, 2018

A resolution to propose to the people of the State of California an amendment to the Constitution of the State, by adding Section 12 to Article VII thereof, relating to public employee salaries.


LEGISLATIVE COUNSEL'S DIGEST


ACA 31, as introduced, Cervantes. Public employee salaries: limit.
The California Constitution grants the California Citizens Compensation Commission the authority to adjust annually the salaries of various public officials including the Governor. The California Constitution permits a city or county to adopt a charter for purposes of its governance that supersedes general laws of the state in regard to specified subjects, including compensation of city or county employees. The California Constitution establishes the University of California as a public trust with full powers of organization and government, subject only to specified limitations.
This measure would propose to enact the Public Executive Pay Reform Act of 2018. The measure would prohibit an employee of a public employer from receiving an annual base salary or payrate that exceeds the salary of the Governor established by the California Citizens Compensation Commission that is effective at the time the employment contract is entered. The measure would exempt from this prohibition an employment contract in effect on the date the measure becomes effective, but would apply the prohibition to a contract entered into, renewed, extended, or revised on or after that date. If a reduction in the Governor’s salary causes a valid employment contract to violate the prohibition on the date the reduction takes effect, the measure would exempt a contract from the prohibition, as specified. The measure would define a “public employer” as the state, or a political subdivision of the state, including, but not limited to, counties, cities, charter counties, charter cities, a charter city and county, school districts, special districts, boards, commissions, the Regents of the University of California, the Trustees of the California State University, and the Legislature.
Vote: 2/3   Appropriation: NO   Fiscal Committee: YES   Local Program: NO  
Resolved by the Assembly, the Senate concurring, That the Legislature of the State of California at its 2017–18 Regular Session commencing on the fifth day of December 2016, two-thirds of the membership of each house concurring, hereby proposes to the people of the State of California, that the Constitution of the State be amended as follows:

 That Section 12 is added to Article VII thereof, to read:

SEC. 12.
 (a) This section shall be known, and may be cited, as the Public Executive Pay Reform Act of 2018.
(b) Notwithstanding any other law to the contrary, an employee of a public employer shall not receive an annual base salary or payrate that exceeds the salary of the Governor as established by the California Citizens Compensation Commission that is effective at the time the employment contract is entered.
(c) (1) Subdivision (b) shall not apply to a base salary or payrate under an employment contract that was effective immediately prior to the date this section becomes effective, but shall apply to an employment contact entered into, renewed, extended, or revised on or after that date.
(2) If a reduction in the Governor’s salary by the California Citizens Compensation Commission causes a valid employment contract to violate the prohibition described in subdivision (b) on the date the reduction takes effect, the reduced salary shall not apply to a base salary or payrate under the contract for its term, provided that subdivision (b) shall apply if the employment contract is renewed, extended, or revised and to any subsequent contract.
(d) For purposes of this section, “public employer” means the State, or a political subdivision of the State, including, but not limited to, counties, cities, charter counties, charter cities, a charter city and county, school districts, special districts, boards, commissions, the Regents of the University of California, the Trustees of the California State University, the Legislature, and the agencies thereof.