1LEGISLATIVE ANALYST’S OFFICE
April 20, 2012
70 YEARS OF SERVICE
Ralph C. Dills Act Provides for State Employee Collective Bargaining.
With passage of the Dills Act in 1977, the Legislatureauthorized collective bargaining between unions representingrank-and-ﬁle state employees and the administration. Currently,about 182,000 employees belong to one of the state’s21 bargaining units.
Legislature Must Ratify MOUs and Signiﬁcant MOU Changes.
Fiscal provisions of proposed memoranda ofunderstanding (MOUs) must be ratiﬁed by the Legislature inorder to take effect. To assist the Legislature in its review of aproposed MOU, the Legislative Analyst’s Ofﬁce (LAO) preparesa ﬁscal analysis of the agreement within ten days of receiving itfrom the administration. The administration also must submit tothe Joint Legislative Budget Committee (JLBC) any proposedchanges to a ratiﬁed MOU (side letters, appendices, or otheraddenda). The JLBC, in turn, has 30 days to determine whetherthe proposed change signiﬁcantly modiﬁes the terms of theMOU and thus requires approval by the Legislature to becomeeffective.
State Currently Has Active Contracts With All of Its Bargaining Units.
Four of the state’s MOUs (for BargainingUnits 12, 16, 18, and 19) expire in July 2012. The other 17 MOUsexpire one year later.