CA SB139

Approves memoranda of understanding between the state employer and State Bargaining Units 9 (effective July 1, 2025 to June 30, 2028) and Unit 12 (effective July 1, 2023 to June 30, 2027) for state employee compensation and benefits

Requires employees in Bargaining Units 9 and 12 to participate in the Personal Leave Program 2025 from July 1, 2025 to June 30, 2027, receiving a 3% pay reduction in exchange for 5 hours of leave credits per monthly pay period

Suspends employer and employee contributions for prefunding retiree health care (other postemployment benefits) for fiscal years 2025-26 and 2026-27 for Units 9 and 12, with contributions phasing back in starting July 1, 2027

Reduces Budget Act of 2025 appropriations by $88.773 million total ($18.219 million General Fund, $47.271 million special funds, $23.283 million other funds) pursuant to the bargaining unit agreements

Provides continuous appropriations for employee compensation if future Budget Acts are not enacted by July 1 of fiscal years 2025-26, 2026-27, and 2027-28 for covered bargaining units