AB 465 California Assembly · 2025-2026 Regular Session

Local public employees: memoranda of understanding.

Summary
Existing law, the Meyers-Milias-Brown Act (act) , authorizes local public employees, as defined, to form, join, and participate in the activities of employee organizations of their own choosing for the purpose of representation on matters of labor relations and defines various terms for these purposes. The act prohibits a public agency from, among other things, refusing or failing to meet and negotiate in good faith with a recognized employee organization. Existing law states that the Legislature finds and declares that the duties and responsibilities of local agency employer representatives under the act are substantially similar to the duties and responsibilities required under existing collective bargaining enforcement procedures and therefore the costs incurred by the local agency employer representatives in performing those duties and responsibilities under that act are not reimbursable as state-mandated costs. This bill would require, on or after January 1, 2026, a memorandum of understanding between a public agency and a recognized employee organization to include specified provisions including, among other things, a provision providing for a system of progressive discipline that grants due process to an employee when they are disciplined, upon the request of the recognized employee organization. The bill would define "progressive discipline" and "due process" for this purpose. The bill would specify that the refusal or failure to include those provisions in a memorandum of understanding upon request of the recognized employee organization constitutes refusing or failing to meet and negotiate in good faith for purposes of the above-described prohibition. By imposing new requirements on public agencies, this bill would impose a state-mandated local program. The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities. 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 no reimbursement shall be made pursuant to these statutory provisions for costs mandated by the state pursuant to this act, but would recognize that a local agency or school district may pursue any available remedies to seek reimbursement for these costs.
Bill status failed 1 of 4 stages cleared
Introduction
Feb 2025
Committee Review
Floor Vote
Governor
Introduced Feb 6, 2025 Last action Feb 2, 2026
Maddy AI version diff · 2 comparisons

What changed between versions

02/06/25 - Introduced 03/13/25 - Amended Assembly · 7 edits · Mar 13, 2025
MODERATE
AB 465 was introduced as a minor nonsubstantive fix to the definition of 'gift' under the Political Reform Act, but the amended version dramatically expands the bill into a major labor relations reform. It now requires all local public agency memoranda of understanding entered into on or after January 1, 2026 to include progressive discipline with due process, binding arbitration for grievances, and paid time off for union representatives investigating grievances. The original gift definition change is retained but moved to the end of the bill.
SCOPE

The bill now amends Sections 3501 and 3506.5 of, and adds Section 3502.2 to, the Government Code (Meyers-Milias-Brown Act), expanding its scope from a single technical fix in the Political Reform Act to comprehensive local public employment labor relations reform.

A statewide concern finding is added, declaring that the new labor provisions apply to all cities including charter cities, overriding potential municipal affairs protections.

REQUIREMENT

New Section 3502.2 requires that any memorandum of understanding between a public agency and a recognized employee organization entered into on or after January 1, 2026 must include, upon request: (1) a progressive discipline system granting due process including a just cause standard, (2) a grievance procedure culminating in compulsory final and binding arbitration, and (3) reasonable paid time off for employee representatives investigating and participating in grievances.

DEFINITION

New definitions added to Section 3501: 'progressive discipline' is defined as written preventative, corrective, or disciplinary action providing notice of expectations and opportunity to correct performance; 'due process' is defined as a system giving employees notice of factual basis for discipline, Skelly rights (per the 1975 California Supreme Court case), right to appeal, and reasonable opportunity to respond before discipline is imposed.

ENFORCEMENT

Section 3506.5 is amended to specify that knowingly providing inaccurate financial information to a recognized employee organization, or refusing or failing to include the required Section 3502.2 provisions in a memorandum of understanding, constitutes a refusal or failure to meet and negotiate in good faith.

FISCAL

A no-reimbursement provision is added stating that no state reimbursement will be made for costs mandated by this act under Part 7 of Division 4 of Title 2 of the Government Code, though local agencies may still pursue available remedies to seek reimbursement.

TIMELINE

The new memorandum of understanding requirements apply to agreements entered into on or after January 1, 2026. If a current MOU does not address these provisions, the public agency must promptly participate in collective bargaining to adopt them as an addendum upon request.

Floor votes

How they voted

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Full legislative history

Actions timeline

Total actions
10
Key actions
4
Committee
7
Amendments
1
Feb 2, 2026
Lower · Passed
From committee: Filed with the Chief Clerk pursuant to Joint Rule 56.
lower
May 23, 2025
Lower · Passed
In committee: Held under submission.
lower
Apr 23, 2025
Committee
In committee: Set, first hearing. Referred to suspense file.
lower
Apr 2, 2025
Lower · Passed
From committee: Do pass and re-refer to Com. on APPR. (Ayes 5. Noes 0.) (April 2). Re-referred to Com. on APPR.
lower
Mar 17, 2025
Committee
Re-referred to Com. on P. E. & R.
lower
Mar 13, 2025
Introduced
From committee chair, with author's amendments: Amend, and re-refer to Com. on P. E. & R. Read second time and amended.
lower
Mar 13, 2025
Committee
Referred to Com. on P. E. & R.
lower
Feb 7, 2025
Lower · Passed
From printer. May be heard in committee March 9.
lower
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Rick Zbur
Rick Zbur
DDemocratic
CA
51