May 21, 2024 - The Governor’s May Revision proposes to (1) administratively establish a new ongoing unallocated 7.95 percent reduction to state operation expenditures and (2) make the 2024-25 unallocated reduction to state operation expenditures related to vacant positions ongoing (it was approved as “one time” as part of the Legislature’s early action package). Between the two proposals, the administration proposes that the Legislature delegate responsibility to the Governor to determine how to permanently reduce state operations by roughly 10 percent. As we discuss in this post, we think there is merit to the Department of Finance finding operational efficiencies; however, (1) any resulting reductions would be made based on the Governor's priorities and not necessarily the Legislature's priorities and (2) we think there is a high risk that the level of savings assumed from these two unallocated reductions will not fully materialize in 2024-25. To the extent that savings do not materialize, these proposals would create a larger future budget challenge.
August 29, 2023 - Initial Assessment of Proposed Labor Agreements: Units 1, 3, 4, 6, 11, 12, 14, 15, 17, 19, 20, and 21
February 15, 2024 - In this brief, we analyze the Governor’s budget proposals for the California State University (CSU). We also revisit recent CSU one-time initiatives and capital projects.
August 25, 2022 - We reviewed the proposed memorandum of understanding for Bargaining Unit 2 (Attorneys and Hearing Officers). Bargaining Unit 2 is represented by the California Attorneys, Administrative Law Judges, and Hearing Officers in State Government (CASE). This review is pursuant to Section 19829.5 of the Government Code.
September 1, 2023 - We reviewed the proposed memorandum of understanding (MOU) for Bargaining Unit 12 (Craft and Maintenance). This review is pursuant to Section 19829.5 of the Government Code.
September 7, 2023 - We reviewed the proposed memorandum of understanding (MOU) for the nine bargaining units represented by Service Employees International Union, Local 1000. This review is pursuant to Section 19829.5 of the Government Code.
September 7, 2023 - We reviewed the proposed memorandum of understanding (MOU) for Bargaining Unit 16 (Physicians, Dentists, and Podiatrists). This review is pursuant to Section 19829.5 of the Government Code.
January 30, 2023 - We reviewed the proposed memorandum of understanding for Bargaining Unit 10 (Professional Scientific). Bargaining Unit 10 is represented by the California Association of Professional Scientists. This review is pursuant to Section 19829.5 of the Government Code.
September 7, 2023 - We reviewed the proposed memorandum of understanding (MOU) for Bargaining Unit 6 (Corrections). This review is pursuant to Section 19829.5 of the Government Code.
March 24, 2017 - We recommend that the Legislature amend the proposed budget bill language for Control Section 4.11 to improve transparency and legislative oversight over the state’s workforce.
September 12, 2019 - We reviewed the proposed memorandum of understanding (MOU) for Bargaining Unit 2 (Attorneys and Hearing Officers). This review is pursuant to Section 19829.5 of the Government Code.
January 27, 2010 - This report discusses some key issues facing the Legislature in the employee compensation area of the budget. In 2009–10, the state has achieved significant savings due to the Governor’s furlough program, which is being challenged in many court cases. For 2010–11, the Governor proposes various measures to reduce state personnel costs, including shifting pension contribution costs from the state to employees, unallocated reductions in personnel budgets of departments, and an across–the–board salary reduction for employees. These proposals would result in $2.5 billion in savings ($1.4 billion General Fund). We believe that employee compensation reductions are necessary due to the magnitude of the budget problem. Nevertheless, some of the administration’s proposals would face legal challenges or otherwise may be difficult to implement. Consequently, we recommend that the Legislature focus efforts to reduce compensation costs on pay reduction options. Special session.
June 25, 2020 - We reviewed the proposed labor agreements between the state and Bargaining Units 1, 3, 4, 6, 9, 11, 14, 15, 17, 20, and 21. These agreements establish Personal Leave Program 2020 and other provisions to reduce employee compensation costs assumed in the 2020-21 budget. This review is pursuant to Section 19829.5 of the Government Code.
March 1, 2016 - We are uncertain if the administration’s budget proposals will provide the Public Employment Relations Board the resources it needs to address the existing backlog in processing cases. We recommend that the Legislature (1) determine how fast cases should be addressed by the board and then (2) ask PERB and affected groups questions in order to understand what level of funding and staffing is necessary to process cases within the desired amount of time.