SB 834 Summary

• Approves memorandum of understanding between state employer and State Bargaining Unit 2 (California Attorneys, Administrative Law Judges and Hearing Officers in State Employment) effective July 1, 2016 to July 1, 2019, with $32,558,000 appropriated for 2016-17 fiscal year employee compensation.

• Provides continuous appropriation to Controller for compensation and benefits if Budget Act not enacted by July 1 for 2017-18 and 2018-19 fiscal years for State Bargaining Units 2 and 12.

• Reclassifies Chief Sergeant at Arms of the Assembly as state peace officer/firefighter member for PERS benefits and increases pension contribution rates for state miscellaneous and industrial members related to Bargaining Unit 2 from 9% to 10% (non-Social Security) and 8% to 9% (Social Security).

• Limits employer health insurance contributions for new employees hired after January 1, 2017 in Bargaining Unit 2 to 80% of weighted average premiums and requires 15 years of state service to receive any postretirement health, dental, and Medicare Part B benefits.

• Requires State Bargaining Unit 2 employees to prefund retiree health care with 0.7% contribution in 2017, 1.3% total in 2018, and 2.0% total in 2019, with state matching contributions deposited in Annuitants' Health Care Coverage Fund.