(a) Notwithstanding Section 4630 or any other law, a contract between the State Department of Developmental Services and a private nonprofit association for the operation of a regional center pursuant to Article 1 (commencing with Section 4620) that is entered into or renewed on and after January 1, 2019, shall include procedures for employee retention, as provided in this article.

(b) The following definitions apply for purposes of this article:

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(1) “Change of operator” means the replacement, by the department, of a contractor with a successor contractor.

(2) “Contractor” means a nonprofit corporation with which the department contracts to operate a regional center pursuant to Sections 4621 and 4621.5.

(3) (A) “Covered employee” means an individual who has been employed by a contractor for at least 90 days immediately before a change of operator.

(B) “Covered employee” does not include any of the following:

(i) A managerial, supervisory, or confidential employee.

(ii) A temporary employee.

(iii) A part-time employee who has worked less than 20 hours per week for the predecessor contractor for at least 90 days immediately before the change of operator.

(4) “Department” means the State Department of Developmental Services.

(5) “Predecessor contractor” means the contractor before the change of operator.

(6) “Regional center” means a regional center as that term is used in this chapter.

(7) “Successor contractor” means the contractor following the change of operator.

(8) “Total compensation” means the combined value of the covered employee‘s wages and benefits immediately before the change of operator. Total compensation may be paid entirely as wages or in any combination of wages and fringe benefits, to be determined by the successor contractor. Total compensation includes the following amounts:

(A) The covered employee’s hourly wage rate or per diem value of the covered employee’s monthly salary.

(B) Employer payments toward the covered employee’s health and welfare and pension benefits. Employer payments toward health and welfare and pension benefits shall include only those payments that are recognized as employer payments under paragraphs (1) and (2) of subdivision (b) of § 1773.1. of the Labor Code.

(9) “Transition period” means a period of 90 days immediately following the effective date of a change of operator.

(c) (1) The department shall notify a contractor operating a regional center that the department has awarded, or intends to award, the contract to a different contractor. The notification shall include the effective date of the change of operator and the name, address, and contact information of the successor contractor.

(2) At least 15 days before the effective date of the change of operator, the predecessor contractor shall provide to the successor contractor a list of the names, addresses, hire dates, total compensation, and classification of all covered employees.

(Added by Stats. 2018, Ch. 975, Sec. 3. (SB 134) Effective January 1, 2019.)