AB393 - Personal services contracts: state employees: physician and psychologist positions.

Enrolled September 11, 2025 Passed IN Senate September 08, 2025 Passed IN Assembly September 09, 2025 Amended IN Senate September 03, 2025 Amended IN Senate June 19, 2025 Amended IN Assembly May 23, 2025 CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION Assembly Bill No. 393 Introduced by Assembly Members Connolly and Addis February 03, 2025 An act to add Section 19134.2 to the Government Code, relating to state employment. LEGISLATIVE COUNSEL'S DIGEST AB 393, Connolly. Personal services contracts: state employees: physician and psychologist positions. Existing law, the State Civil Service Act, regulates employment with the state and vests in the Department of Human Resources all powers, duties, and authority necessary to operate the state civil service system. Existing law establishes standards for the use of personal services contracts by state agencies. Existing law permits personal services contracting to achieve cost savings when specified conditions are met, including that the contract does not cause the displacement of civil service employees. Existing law establishes the Department of Corrections and Rehabilitation in state government, with jurisdiction over persons committed to the state prison. Existing law also establishes the State Department of State Hospitals within the California Health and Human Services Agency, with jurisdiction over specified facilities for the treatment of persons with mental health disorders. This bill would require the Department of Corrections and Rehabilitation and the State Department of State Hospitals, before entering into a personal services contract to have a contractor fill a budgeted State Bargaining Unit 16 (BU-16) physician position or a State Bargaining Unit 19 (BU-19) psychologist position, to take specified actions. Among others, these actions would include preparing an analysis comparing the hourly cost of a contractor to a civil service BU-16 physician or BU-19 psychologist. The bill would require these departments to submit an annual report detailing certain information about contractors and civil service physicians and psychologists to BU-16, BU-19, and specified legislative committees. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill Text The people of the State of California do enact as follows: SECTION 1. Section 19134.2 is added to the Government Code, to read: 19134.2. Before entering into a personal services contract to have a contractor fill a budgeted State Bargaining Unit 16 (BU-16) physician position, including a psychiatrist, or a State Bargaining Unit 19 (BU-19) psychologist position, the Department of Corrections and Rehabilitation and the State Department of State Hospitals, as applicable, shall do all of the following: (a) Prepare an analysis comparing the hourly cost of a contractor to a civil service BU-16 physician or BU-19 psychologist. (b) For purposes of the analysis in subdivision (a), the applicable department shall utilize current civil service physicians or psychologists set forth in the collective bargaining agreements between the State of California and BU-16 or BU-19 when arriving at the cost of civil service physicians or psychologists. (c) If the cost of a contractor exceeds that of a civil service physician or psychologist, then the applicable department shall utilize an available civil service physician or psychologist before hiring a contractor. (d) (1) No later than January 15 of each year, the Department of Corrections and Rehabilitation and the State Department of State Hospitals shall provide a report to BU-16, BU-19, the Senate Committee on Budget and Fiscal Review, and the Assembly Committee on Budget a report, as set forth in paragraph (2). (2) The report shall contain details regarding the number of required analyses completed in the prior fiscal year, the number and cost of contractors employed, and the number of civil service physicians and psychologists utilized in extra shifts and the cost thereof. (3) The report submitted to the legislative committees pursuant to paragraph (1) shall be submitted in compliance with Section 9795.