Amended  IN  Senate  March 19, 2018

CALIFORNIA LEGISLATURE— 2017–2018 REGULAR SESSION

Senate Bill No. 1177

Introduced by Senator Portantino

February 14, 2018

An act to amend Section 45166 of the Education Code, relating to school employees. An act to add and repeal Section 45165.5 of the Education Code, relating to classified employees.


LEGISLATIVE COUNSEL'S DIGEST


SB 1177, as amended, Portantino. Classified school employees: salaries. Classified employees: Classified School Employees Summer Furlough Fund.
(1) Existing law authorizes the governing board of any school district not paying the annual or monthly salaries of persons employed by the school district in 12 equal monthly payments to withhold, upon election by the individual employee, a designated amount from each payment made to that employee.
This bill, notwithstanding the existing law referenced above, commencing with the 2019–20 school year, would authorize certain classified employees of local educational agencies that do not pay the annual or monthly salaries of their classified employees in 12 equal monthly payments to participate in the Classified School Employees Summer Furlough Fund. The bill would require local educational agencies to deposit the amounts withheld from the paychecks of a participating classified employee in accordance with that employee’s choices in an account within its general fund, to be known as the Classified School Employees Summer Furlough Fund.
The bill would require the State Department of Education to apportion moneys to each local educational agency with a classified employee who has opted to participate in the fund. The bill would specify that the apportionment would be in the amount of $2 for each $1, up to the equivalent of the amount paid to the classified employee during 80 hours of employment, or 10 days of employment, whichever is greater, during the school year, that has been deposited in the local educational agency’s Classified School Employees Summer Furlough Fund.
The bill would require the local educational agency to pay the participating classified employee from the Classified School Employees Summer Furlough Fund the amounts withheld in accordance with the employee’s choices, plus the amount apportioned by the department that is attributable to the amount withheld from that employee’s paychecks during the school year, as specified. The bill would repeal these provisions on September 1, 2025.
Because this bill would impose new duties on local educational agencies, it would constitute a state-mandated local program.
(2) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.
This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

Existing law requires the governing board of a school district to fix and order paid the compensation of persons who are a part of the classified service, unless otherwise prescribed by law. Existing law requires orders for the payment of wages and payroll orders and warrants for the payment of wages of employees who are a part of the classified service in any public school system to be drawn at least once during each calendar month for specified school districts.

This bill would make nonsubstantive changes to the latter provision.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NOYES   Local Program: NOYES  

The people of the State of California do enact as follows:


SECTION 1.

 Section 45165.5 is added to the Education Code, to read:

45165.5.
 (a) Commencing January 1, 2019, a local educational agency shall establish a summer bridge program that meets all of the eligibility requirements set forth in this section. A program established pursuant to this section shall commence no later than the 2019–20 school year. The summer bridge program shall be available to all classified employees in the state who are interested in participating.
(b) (1) Notwithstanding Section 45165, commencing with the 2019–20 school year, a classified employee of a local educational agency that does not pay the annual or monthly salaries of its classified employees in 12 equal monthly payments may opt to participate in the Classified School Employees Summer Furlough Fund. The employee may participate in the fund by informing the local educational agency, in writing, no more than 30 calendar days after the beginning of the fall term of the school year or 30 calendar days after the employee begins employment with the local educational agency, whichever is later, on a form developed and approved by the department, that he or she wishes to participate in the fund, and specifying the amounts that will be withheld from his or her paychecks during that school year and whether he or she chooses to have the amounts withheld paid out during the summer recess period in one or two payments.
(2) (A) A classified employee shall not be eligible to participate in the Classified School Employees Summer Furlough Fund if the employee’s regular annual pay received directly from the local educational agency is more than two and one-half times the full-time pay during the school year of an employee paid at the state minimum wage at the time of enrollment.
(B) A classified employee shall not be eligible to participate in the Classified School Employees Summer Furlough Fund if the employee’s adjusted gross income is double the income threshold identified in subparagraph (A) or greater, adjusted for inflation, if filing taxes jointly as married or as a registered domestic partner.
(c) The local educational agency shall deposit the amounts withheld in accordance with the choices made by participating classified employees pursuant to subdivision (b) in an account within its general fund, to be known as the Classified School Employees Summer Furlough Fund.
(d) (1) The department shall apportion moneys to each local educational agency with a classified employee who has opted to participate in the fund. This apportionment shall be in the amount of two dollars ($2) for each one dollar ($1), up to the equivalent of the amount paid to the classified employee during 80 hours of employment, or 10 days of employment, whichever is greater, during the school year, that has been deposited in the local educational agency’s Classified School Employees Summer Furlough Fund.
(2) A participating classified employee may withhold an amount in excess of the amount paid to the classified employee during 80 hours or 10 days of employment, but the classified employee shall not receive matching funds from the local educational agency or the department for the excess amount.
(e) The local educational agency shall pay to the participating classified employee from the Classified School Employees Summer Furlough Fund the amounts withheld in accordance with the employee’s choices, plus the amount apportioned by the department that is attributable to the amount withheld from that employee’s paychecks during the school year. This amount shall be paid to the participating classified employee during the summer recess period, in either one or two payments, in accordance with the employee’s option under subdivision (b). The Legislature finds and declares that payments made pursuant to this section are deferred compensation for the services rendered by the classified employee during the school year.
(f) Nothing in this section shall be construed to authorize a certificated employee or confidential employee of a local educational agency to participate in the Classified School Employees Summer Furlough Fund.
(g) For purposes of this section, “local educational agency” means a school district, county office of education, or charter school.
(h) This section shall remain in effect only until September 1, 2025, and as of that date is repealed, unless a later enacted statute that is enacted before September 1, 2025, deletes or extends that date.

SEC. 2.

 If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.
SECTION 1.Section 45166 of the Education Code is amended to read:
45166.

(a)Orders for the payment of wages and payroll orders and warrants for the payment of wages of employees who are a part of the classified service in any public school system shall be drawn at least once during each calendar month for those school districts not using the provisions of Sections 42644, 42645, or 42646. The payment shall be made on the last working day of the month in which the employee was in paid status.

(b)This section shall not prohibit a school district from making a payment of earned salary before the last working day of the pay period or of the month.

(c)This section shall apply to school districts that have adopted the merit system in the same manner and effect as if it were a part of Article 6 (commencing with Section 45240).