AB 84 Summary

• Appropriates $2,246,000,000 from the General Fund to the Teachers' Retirement Fund to reduce employer contribution requirements by 2.95 percentage points in 2020–21 and 2.18 percentage points in 2021–22.

• Freezes the Teachers' Retirement Board's percentage rate for state appropriations to eliminate unfunded actuarial obligations at the 2019–20 level for the 2020–21 fiscal year, prohibiting any increase or decrease.

• Appropriates $904,000,000 to the Public Employees' Retirement Fund for school employer contributions, increasing advance payments for 2020–21 to $430,000,000 and allocating $330,000,000 for 2021–22.

• Implements Personal Leave Program 2020 (PLP 2020) for state employees from July 1, 2020 to June 30, 2021, providing up to 10% pay reduction in exchange for up to 16 hours of leave credits monthly; establishes two-workday-per-month furloughs for non-participating employees.

• Requires California Highway Patrol rank-and-file members of State Bargaining Unit 5 and State Compensation Insurance Fund employees to be subject to all state employee compensation reductions during the 2020–21 fiscal year, suspending compensation formulas and memorandum of understanding provisions.