SECTIONS 19824-19838

19824.  (a) Unless otherwise provided by law, the salaries of stateofficers shall be paid monthly out of the General Fund. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if such provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19825.  (a)  Notwithstanding any other provision of law, wheneverany state agency is authorized by special or general statute to fixthe salary or compensation of an employee or officer, which salary ispayable in whole or in part out of state funds, the salary issubject only to the approval of the department before it becomeseffective and payable, except as provided in subdivision (b). TheLegislature may expressly provide that approval of the department isnot required. (b) Whenever any state court or other judicial agency isauthorized by statute to fix the salary of an employee or officer whois exempt from civil service under subdivision (b) of Section 4 ofArticle VII of the Constitution, the salary is subject to theapproval of the Chairman of the Judicial Council before it becomeseffective and payable.19825.5.  (a) Notwithstanding Sections 11550, 11552, and 11554, thedepartment shall set and adjust, as needed, the annual compensationof the officers and employees listed in Sections 11550, 11552, and11554. (b) When setting or adjusting the annual compensation of theemployees described in subdivision (a), the department shall considerthe size and scope of the organization, compensation paid to othersimilar positions in other public jurisdictions, the scope ofresponsibility of the position, the need to avoid salary compaction,and other factors appropriate to the determination of compensationnecessary to recruit and retain qualified employees in leadershippositions for the state. The compensation shall not exceed 125percent of the compensation recommended to be paid to the Governor ofthe State of California by the California Citizens CompensationCommission. (c) The department shall notify the Legislature of thecompensation level implemented for any of the employees described insubdivision (a) within 30 days of the effective date of the proposedcompensation adjustment.19826.  (a) The department shall establish and adjust salary rangesfor each class of position in the state civil service subject to anymerit limits contained in Article VII of the California Constitution.The salary range shall be based on the principle that like salariesshall be paid for comparable duties and responsibilities. Inestablishing or changing these ranges, consideration shall be givento the prevailing rates for comparable service in other publicemployment and in private business. The department shall make noadjustments that require expenditures in excess of existingappropriations that may be used for salary increase purposes. Thedepartment may make a change in salary range retroactive to the dateof application of this change. (b) Notwithstanding any other provision of law, the departmentshall not establish, adjust, or recommend a salary range for anyemployees in an appropriate unit where an employee organization hasbeen chosen as the exclusive representative pursuant to Section3520.5. (c) At least six months before the end of the term of an existingmemorandum of understanding or immediately upon the reopening ofnegotiations under an existing memorandum of understanding, thedepartment shall submit to the parties meeting and conferringpursuant to Section 3517 and to the Legislature, a report containingthe department's findings relating to the salaries of employees incomparable occupations in private industry and other governmentalagencies. (d) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19826.5.  Whenever the department finds that pay data was furnishedto the department on the basis that the source remain confidential,the source shall not be open to the public or admissible as evidencein any action or special proceeding.19827.  (a) (1) Notwithstanding any other provision of law to thecontrary, in order to recruit and retain the highest qualifiedemployees, the state shall pay sworn members of the CaliforniaHighway Patrol who are rank-and-file members of State Bargaining Unit5 the estimated average total compensation for each correspondingrank for the Los Angeles Police Department, Los Angeles CountySheriff's Office, San Diego Police Department, Oakland PoliceDepartment, and San Francisco Police Department. Total compensationshall include base salary, educational incentive pay, physicalperformance pay, longevity pay, and retirement contributions made bythe employer on behalf of the employee. (2) The state and the exclusive representative shall jointlysurvey annually and calculate the estimated average totalcompensation based on projected average total compensation for theabove-named departments as of July 1 of the year in which the surveyis conducted. The state and the exclusive representative shallutilize the survey methodology outlined in the "Description of SurveyProcess Pursuant to Government Code 19827 Regarding the Recruitmentand Retention of California Highway Patrol Officers" dated July 1,2001, and maintained as a permanent agreement between the state andthe exclusive representative. (3) Any increase in total compensation resulting from this sectionshall be implemented through a memorandum of understandingnegotiated pursuant to the Ralph C. Dills Act (Chapter 10.3(commencing with Section 3512) of Division 4 of Title 1).Notwithstanding the foregoing, failure of the parties to reachagreement for a memorandum of understanding pursuant to the Ralph C.Dills Act shall not relieve the state of the duty to compensate swornrepresented members of the California Highway Patrol in accordancewith the formula set forth in this section. (4) The total compensation for represented sworn members of theCalifornia Highway Patrol may deviate from the survey results bymutual agreement between the exclusive representative and the statepursuant to the collective bargaining process. (5) If the provisions of this subdivision are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act. (b) When determining compensation for state excluded swornclassifications of the California Highway Patrol, it is the policy ofthe state to consider total compensation for corresponding rankswithin jurisdictions specified in subdivision (a), as well as otherfactors, including internal comparisons.19827.1.  (a) The state recognizes the historic problem ofrecruitment and retention of peace officers in the Department ofCorrections and the Department of Youth Authority. As evidence ofthis recognition there has been a trend in recent years to improvesalaries and benefits for these correctional peace officers. However,due to the continuing need to recruit new officers to fillvacancies, retain seasoned correctional peace officers to reduceturnover rates, and provide comparability in pay to effectivelycompete with large peace officer employers and ensure necessarystaffing levels, salaries must be improved and maintained by thestate for peace officers in the Department of Corrections and theDepartment of the Youth Authority. (b) To effect the intent of paragraph (a) the department shalltake into consideration the salary and benefits of other largeemployers of peace officers in California.19827.2.  (a) The Legislature, having recognized December 1980statistics from the U.S. Department of Labor, finds: that 60 percentof all women 18 to 64 are in the workforce, that two-thirds of allthose women are either the head of household or had husbands whoseearnings were less than ten thousand dollars ($10,000), and that mostwomen are in the workforce because of economic need; that theaverage working woman has earned less than the average working man,not only because of the lack of educational and employmentopportunities in the past, but because of segregation intohistorically undervalued occupations where wages have been depressed;and that a failure to reassess the basis on which salaries in stateservice are established will perpetuate these pay inequities, whichhave a particularly discriminatory impact on minority and olderwomen; and, therefore, it is the intent of the Legislature inenacting this statute to establish a state policy of setting salariesfor female-dominated jobs on the basis of comparability of the valueof the work. (b) The department shall review and analyze existing information,including those studies from other jurisdictions relevant to thesetting of salaries for female-dominated jobs. This information shallbe provided on an annual basis to the appropriate policy committeeof the Legislature and to the parties meeting and conferring pursuantto Section 3517. (c) For the purpose of implementing this section, the followingdefinitions apply: (1) "Salary" means, except as otherwise provided in Section18539.5, the amount of money or credit received as compensation forservice rendered, exclusive of mileage, traveling allowances, andother sums received for actual and necessary expenses incurred in theperformance of the state's business, but including the reasonablevalue of board, rent, housing, lodging, or similar advantagesreceived from the state. (2) "Comparability of the value of the work" means the value ofthe work performed by an employee, or group of employees within aclass or salary range, in relation to the value of the work ofanother employee, or group of employees, to any class or salary rangewithin state service. (3) "Skill" means the skill required in the performance of thework, including any type of intellectual or physical skill acquiredby the employee through experience, training, education, or naturalability. (4) "Effort" means the effort required in the performance of thework, including any intellectual or physical effort. (5) "Responsibility" means the responsibility required in theperformance of the work, including the extent to which the employerrelies on the employee to perform the work, the importance of theduties, and the accountability of the employee for the work of othersand for resources. (6) "Working conditions" means the conditions under which the workof an employee is performed, including physical or psychologicalfactors. (d) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19827.3.  In order for the state to recruit skilled firefighters forthe California Department of Forestry and Fire Protection, it is thepolicy of the state to consider prevailing salaries and benefitsprior to making salary recommendations. In order to providecomparability in pay, the Department of Personnel Administrationshall take into consideration the salary and benefits of otherjurisdictions employing 75 or more full-time firefighters who work inCalifornia.19827.5.  (a) There is allocated from the salary or wage paid to amember of the clergy, in an amount up to 50 percent of the grosssalary, either of the following: (1) The rental value of a home furnished to him or her. (2) The rental allowance paid to him or her to rent or provide ahome. (b) As used in this section, a "member of the clergy" means apriest, minister, religious practitioner, or similar functionary of areligious denomination or religious organization.19828.  (a) Reasonable opportunity to be heard shall be provided bythe department to any employee affected by a change in the salaryrange for the class of his or her position. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19829.  (a) Salary ranges shall consist of minimum and maximumsalary limits. The department shall provide for intermediate stepswithin these limits to govern the extent of the salary adjustmentthat an employee may receive at any one time; provided, that inclasses and positions with unusual conditions or hours of work orwhere necessary to meet the provisions of state law recognizingdifferential statutory qualifications within a profession orprevailing rates and practices for comparable services in otherpublic employment and in private business, the department mayestablish more than one salary range or rate or method ofcompensation within a class. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19829.5.  (a) The Department of Personnel Administration shallprovide a memorandum of understanding pursuant to Section 3517.5 tothe Legislative Analyst who shall have 10 calendar days from the datethe tentative agreement is received to issue a fiscal analysis tothe Legislature. The Legislative Analyst may prioritize thepreparation of a fiscal analysis or report under this subdivisionamong other workload, including the submission of multiple memorandaof understanding. The memorandum of understanding shall not besubject to legislative determination until either the LegislativeAnalyst has presented a fiscal analysis of the memorandum ofunderstanding or until 10 calendar days has elapsed since thememorandum was received by the Legislative Analyst. (b) Each memorandum of understanding submitted by the departmentto the Legislative Analyst shall include the department's analysis ofcosts and savings.19829.6. The Department of Personnel Administration shall post, ina clear and conspicuous manner on the department's Web site, eachmemorandum of understanding that has been submitted to theLegislature for determination pursuant to Section 3517.5 and that hasbeen ratified by the affected union membership. The memorandum ofunderstanding of the agreement reached between the Governor and therecognized employee organization shall be posted on the department'sWeb site in its entirety, with a declaration that the memorandum hasbeen submitted to the office of the Legislative Analyst and theLegislature, including the date of that submission. The departmentshall include on its Web site posting a summary of the memorandum ofunderstanding that is the same summary provided to the Legislature bythe department.19829.7.  (a) Notwithstanding Section 13340, for the 2010-11 fiscalyear, if the 2010-11 Budget Act is not enacted by July 1, 2010, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive), there is hereby continuouslyappropriated to the Controller from the General Fund, unallocatedspecial funds, including, but not limited to, federal funds andunallocated nongovernmental cost funds, and any other fund from whichstate employees are compensated, the amount necessary for thepayment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2010-11Budget Act is enacted. The Controller may expend an amount no greaterthan necessary to enable the Controller to compensate stateemployees covered by the above memoranda of understanding for workperformed between July 1, 2010, of the 2010-11 fiscal year and theenactment of the 2010-11 Budget Act. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive), State Bargaining Unit 8 (effective July1, 2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) are in effect and approved by theLegislature, the compensation and contribution for employee benefitsfor state employees represented by these bargaining units shall be ata rate consistent with the applicable memorandum of understandingreferenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon enactment of the 2010-11 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2010-11 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8, (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding expires. For purposes ofthis section, the memorandum of understanding for State BargainingUnit 5 expires on July 3, 2013, the memorandum of understanding forState Bargaining Unit 8 expires on July 1, 2013, the memorandum ofunderstanding for State Bargaining Unit 12 expires on July 1, 2012,the memorandum of understanding for State Bargaining Unit 16 expireson July 1, 2012, the memorandum of understanding for State BargainingUnit 18 expires on July 1, 2012, and the memorandum of understandingfor State Bargaining Unit 19 expires on July 1, 2012.19829.7.  (a) Notwithstanding Section 13340, for the 2010-11 fiscalyear, if the 2010-11 Budget Act is not enacted by July 1, 2010, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive), there is hereby continuouslyappropriated to the Controller from the General Fund, unallocatedspecial funds, including, but not limited to, federal funds andunallocated nongovernmental cost funds, and any other fund from whichstate employees are compensated, the amount necessary for thepayment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2010-11Budget Act is enacted. The Controller may expend an amount no greaterthan necessary to enable the Controller to compensate stateemployees covered by the above memoranda of understanding for workperformed between July 1, 2010, of the 2010-11 fiscal year and theenactment of the 2010-11 Budget Act. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive), State Bargaining Unit 8 (effective July1, 2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) are in effect and approved by theLegislature, the compensation and contribution for employee benefitsfor state employees represented by these bargaining units shall be ata rate consistent with the applicable memorandum of understandingreferenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon enactment of the 2010-11 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2010-11 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8, (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding expires. For purposes ofthis section, the memorandum of understanding for State BargainingUnit 5 expires on July 3, 2013, the memorandum of understanding forState Bargaining Unit 8 expires on July 1, 2013, the memorandum ofunderstanding for State Bargaining Unit 12 expires on July 1, 2012,the memorandum of understanding for State Bargaining Unit 16 expireson July 1, 2012, the memorandum of understanding for State BargainingUnit 18 expires on July 1, 2012, and the memorandum of understandingfor State Bargaining Unit 19 expires on July 1, 2012.19829.8.  (a) Notwithstanding Section 13340, for the 2011-12 fiscalyear, if the 2011-12 Budget Act is not enacted by July 1, 2011, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive), there is hereby continuouslyappropriated to the Controller from the General Fund, unallocatedspecial funds, including, but not limited to, federal funds andunallocated nongovernmental cost funds, and any other fund from whichstate employees are compensated, the amount necessary for thepayment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2011-12Budget Act is enacted. The Controller may expend an amount no greaterthan necessary to enable the Controller to compensate stateemployees covered by the above memoranda of understanding for workperformed between July 1, 2011, of the 2011-12 fiscal year and theenactment of the 2011-12 Budget Act. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive), State Bargaining Unit 8 (effective July1, 2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive), are in effect and approved by theLegislature, the compensation and contribution for employee benefitsfor state employees represented by these bargaining units shall beat a rate consistent with the applicable memorandum of understandingreferenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon the enactment of the 2011-12 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2010-11 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding has expired. For purposesof this section, the memorandum of understanding for StateBargaining Unit 5 expires on July 3, 2013, the memorandum ofunderstanding for State Bargaining Unit 8 expires on July 1, 2013,the memorandum of understanding for State Bargaining Unit 12 expireson July 1, 2012, the memorandum of understanding for State BargainingUnit 16 expires on July 1, 2012, the memorandum of understanding forState Bargaining Unit 18 expires on July 1, 2012, and the memorandumof understanding for State Bargaining Unit 19 expires on July 1,2012.19829.8.  (a) Notwithstanding Section 13340, for the 2011-12 fiscalyear, if the 2011-12 Budget Act is not enacted by July 1, 2011, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive), there is hereby continuouslyappropriated to the Controller from the General Fund, unallocatedspecial funds, including, but not limited to, federal funds andunallocated nongovernmental cost funds, and any other fund from whichstate employees are compensated, the amount necessary for thepayment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2011-12Budget Act is enacted. The Controller may expend an amount no greaterthan necessary to enable the Controller to compensate stateemployees covered by the above memoranda of understanding for workperformed between July 1, 2011, of the 2011-12 fiscal year and theenactment of the 2011-12 Budget Act. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive), State Bargaining Unit 8 (effective July1, 2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) are in effect and approved by theLegislature, the compensation and contribution for employee benefitsfor state employees represented by these bargaining units shall be ata rate consistent with the applicable memorandum of understandingreferenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon the enactment of the 2011-12 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2010-11 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding has expired. For purposesof this section, the memorandum of understanding for StateBargaining Unit 5 expires on July 3, 2013, the memorandum ofunderstanding for State Bargaining Unit 8 expires on July 1, 2013,the memorandum of understanding for State Bargaining Unit 12 expireson July 1, 2012, the memorandum of understanding for State BargainingUnit 16 expires on July 1, 2012, the memorandum of understanding forState Bargaining Unit 18 expires on July 1, 2012, and the memorandumof understanding for State Bargaining Unit 19 expires on July 1,2012.19829.9.  (a) Notwithstanding Section 13340, for the 2012-13 fiscalyear, if the 2012-13 Budget Act is not enacted by July 1, 2012, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive) and State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), there is hereby continuouslyappropriated to the Controller from the General Fund, unallocatedspecial funds, including, but not limited to, federal funds andunallocated nongovernmental cost funds, and any other fund from whichstate employees are compensated, the amount necessary for thepayment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2012-13Budget Act is enacted. The Controller may expend an amount no greaterthan necessary to enable the Controller to compensate stateemployees covered by the above memoranda of understanding for workperformed between July 1, 2012, of the 2012-13 fiscal year and theenactment of the 2012-13 Budget Act. (b) Notwithstanding Section 13340, solely for the effective periodof the following memoranda of understanding, and not including adate beyond the expiration date of the following memoranda ofunderstanding, for the 2012-13 fiscal year, where the 2012-13 BudgetAct is not enacted by July 1, 2012, for the memoranda ofunderstanding entered into between the state employer and StateBargaining Unit 12 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 16 (effective July 1, 2010, to July1, 2012, inclusive), State Bargaining Unit 18 (effective July 1,2010, to July 1, 2012, inclusive), and State Bargaining Unit 19(effective July 1, 2010, to July 1, 2012, inclusive), there is herebycontinuously appropriated to the Controller from the General Fund,unallocated special funds, including, but not limited to, federalfunds and unallocated nongovernmental cost funds, and any other fundfrom which state employees are compensated, the amount necessary forthe payment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2012-13Budget Act is enacted. (c) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive), State Bargaining Unit 8 (effective July1, 2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) are in effect and approved by theLegislature, the compensation and contribution for employee benefitsfor state employees represented by these bargaining units shall be ata rate consistent with the applicable memorandum of understandingreferenced above. (d) Expenditures related to any warrant drawn pursuant tosubdivisions (a) and (b) are not augmentations to the expenditureauthority of a department. Upon enactment of the 2012-13 Budget Act,these expenditures shall be automatically subsumed by the expenditureauthority approved in the 2012-13 Budget Act for each affecteddepartment. (e) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding expires. For purposes ofthis section, the memorandum of understanding for State BargainingUnit 5 expires on July 3, 2013, the memorandum of understanding forState Bargaining Unit 8 expires on July 1, 2013, the memorandum ofunderstanding for State Bargaining Unit 12 expires on July 1, 2012,the memorandum of understanding for State Bargaining Unit 16 expireson July 1, 2012, the memorandum of understanding for State BargainingUnit 18 expires on July 1, 2012, and the memorandum of understandingfor State Bargaining Unit 19 expires on July 1, 2012.19829.9.  (a) Notwithstanding Section 13340, for the 2012-13 fiscalyear, if the 2012-13 Budget Act is not enacted by July 1, 2012, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive) and State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), there is hereby continuouslyappropriated to the Controller from the General Fund, unallocatedspecial funds, including, but not limited to, federal funds andunallocated nongovernmental cost funds, and any other fund from whichstate employees are compensated, the amount necessary for thepayment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2012-13Budget Act is enacted. The Controller may expend an amount no greaterthan necessary to enable the Controller to compensate stateemployees covered by the above memoranda of understanding for workperformed between July 1, 2012, of the 2012-13 fiscal year and theenactment of the 2012-13 Budget Act. (b) Notwithstanding Section 13340, solely for the effective periodof the following memoranda of understanding, and not including adate beyond the expiration date of the following memoranda ofunderstanding, for the 2012-13 fiscal year, where the 2012-13 BudgetAct is not enacted by July 1, 2012, for the memoranda ofunderstanding entered into between the state employer and StateBargaining Unit 12 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 16 (effective July 1, 2010, to July1, 2012, inclusive), State Bargaining Unit 18 (effective July 1,2010, to July 1, 2012, inclusive), and State Bargaining Unit 19(effective July 1, 2010, to July 1, 2012, inclusive), there is herebycontinuously appropriated to the Controller from the General Fund,unallocated special funds, including, but not limited to, federalfunds and unallocated nongovernmental cost funds, and any other fundfrom which state employees are compensated, the amount necessary forthe payment of compensation and employee benefits to state employeescovered by the above memoranda of understanding until the 2012-13Budget Act is enacted. (c) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive), State Bargaining Unit 8 (effective July1, 2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) are in effect and approved by theLegislature, the compensation and contribution for employee benefitsfor state employees represented by these bargaining units shall be ata rate consistent with the applicable memorandum of understandingreferenced above. (d) Expenditures related to any warrant drawn pursuant tosubdivisions (a) and (b) are not augmentations to the expenditureauthority of a department. Upon enactment of the 2012-13 Budget Act,these expenditures shall be automatically subsumed by the expenditureauthority approved in the 2012-13 Budget Act for each affecteddepartment. (e) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive), State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive), State Bargaining Unit 12(effective July 1, 2010, to July 1, 2012, inclusive), StateBargaining Unit 16 (effective July 1, 2010, to July 1, 2012,inclusive), State Bargaining Unit 18 (effective July 1, 2010, to July1, 2012, inclusive), and State Bargaining Unit 19 (effective July 1,2010, to July 1, 2012, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding expires. For purposes ofthis section, the memorandum of understanding for State BargainingUnit 5 expires on July 3, 2013, the memorandum of understanding forState Bargaining Unit 8 expires on July 1, 2013, the memorandum ofunderstanding for State Bargaining Unit 12 expires on July 1, 2012,the memorandum of understanding for State Bargaining Unit 16 expireson July 1, 2012, the memorandum of understanding for State BargainingUnit 18 expires on July 1, 2012, and the memorandum of understandingfor State Bargaining Unit 19 expires on July 1, 2012.19829.95.  (a) Notwithstanding Section 13340, solely for theeffective period of the following memoranda of understanding, and notincluding a date beyond the expiration date of the followingmemoranda of understanding, for the 2013-14 fiscal year, where the2013-14 Budget Act is not enacted by July 1, 2013, for the memorandaof understanding entered into between the state employer and StateBargaining Unit 5 (effective July 3, 2010, to July 3, 2013,inclusive) and State Bargaining Unit 8 (effective July 1, 2010, toJuly 1, 2013, inclusive), there is hereby continuously appropriatedto the Controller from the General Fund, unallocated special funds,including, but not limited to, federal funds and unallocatednongovernmental cost funds, and any other fund from which stateemployees are compensated, the amount necessary for the payment ofcompensation and employee benefits to state employees covered by theabove memoranda of understanding until the 2013-14 Budget Act isenacted. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive) and State Bargaining Unit 8 (effectiveJuly 1, 2010, to July 1, 2013, inclusive) are in effect and approvedby the Legislature, the compensation and contribution for employeebenefits for state employees represented by these bargaining unitsshall be at a rate consistent with the applicable memorandum ofunderstanding referenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon the enactment of the 2013-14 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2013-14 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive) and State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding expires. For purposes ofthis section, the memorandum of understanding for State BargainingUnit 5 expires on July 3, 2013, and the memorandum of understandingfor State Bargaining Unit 8 expires on July 1, 2013.19829.95.  (a) Notwithstanding Section 13340, solely for theeffective period of the following memoranda of understanding, and notincluding a date beyond the expiration date of the followingmemoranda of understanding, for the 2013-14 fiscal year, where the2013-14 Budget Act is not enacted by July 1, 2013, for the memorandaof understanding entered into between the state employer and StateBargaining Unit 5 (effective July 3, 2010, to July 3, 2013,inclusive) and State Bargaining Unit 8 (effective July 1, 2010, toJuly 1, 2013, inclusive), there is hereby continuously appropriatedto the Controller from the General Fund, unallocated special funds,including, but not limited to, federal funds and unallocatednongovernmental cost funds, and any other fund from which stateemployees are compensated, the amount necessary for the payment ofcompensation and employee benefits to state employees covered by theabove memoranda of understanding until the 2013-14 Budget Act isenacted. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 5 (effective July 3, 2010,to July 3, 2013, inclusive) and State Bargaining Unit 8 (effectiveJuly 1, 2010, to July 1, 2013, inclusive) are in effect and approvedby the Legislature, the compensation and contribution for employeebenefits for state employees represented by these bargaining unitsshall be at a rate consistent with the applicable memorandum ofunderstanding referenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon the enactment of the 2013-14 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2013-14 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 5 (effective July 3, 2010, to July3, 2013, inclusive) and State Bargaining Unit 8 (effective July 1,2010, to July 1, 2013, inclusive) memoranda of understanding.Notwithstanding Section 3517.8, this section shall not apply afterthe term of the memorandum of understanding expires. For purposes ofthis section, the memorandum of understanding for State BargainingUnit 5 expires on July 3, 2013, and the memorandum of understandingfor State Bargaining Unit 8 expires on July 1, 2013.19829.97.  (a) Notwithstanding Section 13340, for the 2012-13 fiscalyear, if the 2012-13 Budget Act is not enacted by July 1, 2012, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 1, 3, 4, 11, 14, 15, 17, 20, or 21(each effective July 1, 2010, to July 1, 2013, inclusive), there ishereby continuously appropriated to the Controller from the GeneralFund, unallocated special funds, including, but not limited to,federal funds and unallocated nongovernmental cost funds, and anyother fund from which state employees are compensated, the amountnecessary for the payment of compensation and employee benefits tostate employees covered by the above memoranda of understanding untilthe 2012-13 Budget Act is enacted. The Controller may expend anamount no greater than necessary to enable the Controller tocompensate state employees covered by the above memoranda ofunderstanding for work performed between July 1, 2012, of the 2012-13fiscal year and the enactment of the 2012-13 Budget Act. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 1, 3, 4, 11, 14, 15, 17, 20,or 21 (each effective July 1, 2010, to July 1, 2013, inclusive), arein effect and approved by the Legislature, the compensation andcontribution for employee benefits for state employees represented bythese bargaining units shall be at a rate consistent with theapplicable memorandum of understanding referenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon the enactment of the 2012-13 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2012-13 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 1, 3, 4, 11, 14, 15, 17, 20, or 21memoranda of understanding (each effective July 1, 2010, to July 1,2013, inclusive). Notwithstanding Section 3517.8, this section shallnot apply after the term of the memorandum of understanding hasexpired. For purposes of this section, the memorandum ofunderstanding for each unit expires on July 1, 2013.19829.98.  (a) Notwithstanding Section 13340, for the 2013-14 fiscalyear, if the 2013-14 Budget Act is not enacted by July 1, 2013, forthe memoranda of understanding entered into between the stateemployer and State Bargaining Unit 1, 3, 4, 11, 14, 15, 17, 20, or 21(each effective July 1, 2010, to July 1, 2013, inclusive), there ishereby continuously appropriated to the Controller from the GeneralFund, unallocated special funds, including, but not limited to,federal funds and unallocated nongovernmental cost funds, and anyother fund from which state employees are compensated, the amountnecessary for the payment of compensation and employee benefits tostate employees covered by the above memoranda of understanding untilthe 2013-14 Budget Act is enacted. The Controller may expend anamount no greater than necessary to enable the Controller tocompensate state employees covered by the above memoranda ofunderstanding for work performed between July 1, 2013, of the 2013-14fiscal year and the enactment of the 2013-14 Budget Act. (b) If the memoranda of understanding entered into between thestate employer and State Bargaining Unit 1, 3, 4, 11, 14, 15, 17, 20,or 21 (each effective July 1, 2010, to July 1, 2013, inclusive), arein effect and approved by the Legislature, the compensation andcontribution for employee benefits for state employees represented bythese bargaining units shall be at a rate consistent with theapplicable memorandum of understanding referenced above. (c) Expenditures related to any warrant drawn pursuant tosubdivision (a) are not augmentations to the expenditure authority ofa department. Upon the enactment of the 2013-14 Budget Act, theseexpenditures shall be subsumed by the expenditure authority approvedin the 2013-14 Budget Act for each affected department. (d) This section shall only apply to an employee covered by theterms of the State Bargaining Unit 1, 3, 4, 11, 14, 15, 17, 20, or 21memoranda of understanding (each effective July 1, 2010, to July 1,2013, inclusive). Notwithstanding Section 3517.8, this section shallnot apply after the term of the memorandum of understanding hasexpired. For purposes of this section, the memorandum ofunderstanding for each unit expires on July 1, 2013.19830.  (a) The minimum and maximum salary limits for laborers,workers, and mechanics employed on an hourly or per diem basis neednot be uniform throughout the state, but the appointing power shallascertain and report to the department, as to each position, thegeneral prevailing rate of the wages in the various localities of thestate. In fixing the minimum and maximum salary limits within the variouslocalities of the state, the department shall take into account theprevailing rates of wages in the localities in which the employee isto work and other relevant factors, and shall not fix the minimumsalary limits below the general prevailing rate so ascertained andreported for the various localities. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19831.  (a) The department may authorize payments into a privatefund to provide health and welfare benefits to nonpermanent employeesin classes compensated in accordance with the provisions of Section19830 where the department finds as to any position that: (1)  The payments by employers are the prevailing practice incomparable employment in the locality of the work and the paymentsare for the purpose of providing to employees specified benefits suchas, but not limited to, hospital, medical, surgical, and lifeinsurance, sick leave, vacation allowance, pensions, supplementaryunemployment and disability compensation, and other similar orrelated health and welfare benefits, or any combination thereof. (2) Participation in the benefits provided by the funds is notlimited to state employees. (3) The provisions of the plans which provide the benefits meetthe standards established by the department. (b) Payments made by the state to any fund on behalf of anyemployee shall be in lieu of benefits such as vacation allowance,sick leave, and retirement which are now or may hereafter be granteddirectly by the state in accordance with law. (c) The department is empowered to determine the equitableapplication of this section to insure that the employees receivebenefits comparable to, but not in excess of, those provided incomparable private employment. (d) The payments authorized by this section shall be a propercharge against any funds available for the support of the employingagency. (e) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19832.  (a) After completion of the first year in a position, eachemployee shall receive a merit salary adjustment equivalent to one ofthe intermediate steps during each year when he or she meets thestandards of efficiency as the department by rule shall prescribe. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19833.  (a) When the compensation of an employee is established at afixed amount per unit of work with a maximum limit for his or hertotal annual or monthly compensation as an alternative method ofcompensation for the salary fixed for the class, the department shallprovide for annual increases in the maximum limit equal in amountand payable under the same conditions as for other employees. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if such provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19834.  (a) Automatic salary adjustments shall be made for employeesin the state civil service in accordance with this chapter anddepartment rule adopted pursuant hereto, notwithstanding the powernow or hereafter conferred on any officer to fix or approve thefixing of salaries, unless there is not sufficient money availablefor the purpose in the appropriation from which the salary shall bepaid and the director shall so certify. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19835.  (a) The right of an employee to automatic salary adjustmentsis cumulative for a period not to exceed two years and he or sheshall not, in the event of an insufficiency of appropriation, losehis or her right to these adjustments for the intermediate steps towhich he or she may be entitled for this period. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19835.5.  In submitting budgetary requirements to the Director ofFinance, each appointing power shall carefully estimate and callattention to the need for money sufficient to provide for appropriatesalary adjustments for the employees under his or her jurisdiction.19836.  (a) The department may authorize payment at any step abovethe minimum salary limit to classes or positions in order to meetrecruiting problems, to obtain a person who has extraordinaryqualifications, to correct salary inequities resulting from actionsby the department or State Personnel Board, or to give credit forprior state service in connection with appointments, promotions,reinstatements, transfers, reallocations, or demotions. Other salaryadjustments within the salary range for the class may be made uponthe application of the appointing power and with the approval of thedirector. Adjustments within the salary range authorized by thissection may be either permanent or temporary and may be maderetroactive to the date of application for this change. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19837.  (a) Employees in a class shall receive a salary within thelimits established for that class; provided, that when a position hasbeen allocated to a lower class or the salary range or rate of payof the class is reduced, the department may authorize the payment ofa rate above the maximum of the class; and provided further, thatwhen an employee is moved to a position in a lower class because ofreductions in force or other management-initiated changes, thedepartment may, when recommended by the appointing power, authorizethe payment of a rate above the maximum of the class for such time asthe department may designate to the employee whose service has beenfully satisfactory, who has completed a minimum of 10 years of stateservice, and who meets other eligibility standards established by thedepartment. "State service," for the purpose of this section, mayinclude up to one year during which the employee was off the statepayroll while laid off, or on leave of absence for the purpose oflessening the effect of impending layoff or demotion. It is theresponsibility of the employee to request credit for such time fromthe department. Such service shall not be credited for retirementpurposes. The department may, upon recommendation of the appointing power,apply the provisions of this section to employees who, prior to theeffective date of the amendments to this section made at the 1971Regular Session of the Legislature, moved to a position in a lowerclass because of reductions in force or other management-initiatedchanges, provided such employees have more than 30 years stateservice prior to the effective date of such amendments and were sodemoted on July 1, 1968. During such time as an employee's salary remains above the maximumrate of pay for his or her class, the employee shall not receivefurther salary increases. (b) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if such provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.19838.  (a) When the state determines an overpayment has been madeto an employee, it shall notify the employee of the overpayment andafford the employee an opportunity to respond prior to commencingrecoupment actions. Thereafter, reimbursement shall be made to thestate through one of the following methods mutually agreed to by theemployee and the state: (1) Cash payment or payments. (2) Installments through payroll deduction to cover at least thesame number of pay periods in which the error occurred. Whenoverpayments have continued for more than one year, full payment maybe required by the state through payroll deductions over the periodof one year. (3) The adjustment of appropriate leave credits or compensatingtime off, provided that the overpayment involves the accrual orcrediting of leave credits (e.g., vacation, annual leave, or holiday)or compensating time off. Any errors in sick leave balances may onlybe adjusted with sick leave credits. Absent mutual agreement on a method of reimbursement, the stateshall proceed with recoupment in the manner set forth in paragraph(2). (b) An employee who is separated from employment prior to fullrepayment of the amount owed shall have withheld from any money owingthe employee upon separation an amount sufficient to provide fullrepayment. If the amount of money owing upon separation isinsufficient to provide full reimbursement to the state, the stateshall have the right to exercise any and all other legal means torecover the additional amount owed. (c) Amounts deducted from payment of salary or wages pursuant tothe above provisions, except as provided in subdivision (b), shall inno event exceed 25 percent of the employee's net disposableearnings. (d) No administrative action shall be taken by the state pursuantto this section to recover an overpayment unless the action isinitiated within three years from the date of overpayment. (e) If the provisions of this section are in conflict with theprovisions of a memorandum of understanding reached pursuant toSection 3517.5, the memorandum of understanding shall be controllingwithout further legislative action, except that if the provisions ofa memorandum of understanding require the expenditure of funds, theprovisions shall not become effective unless approved by theLegislature in the annual Budget Act.