2819.
(a) For the purposes of this section, the following terms have the following meanings:(1) “Ex-felon” means a person released or paroled from a state correctional facility or from a county jail where he or she was housed pursuant to Chapter 15 of the Statutes of 2011 during the five-year period before the date the procurement contract described in subdivision (b) was awarded.
(2) “Health care coverage” means a policy of health care coverage where all of the following conditions are met:
(A) Health care services under the policy meet the requirements of
subdivision (b) of Section 1345 and Section 1367.005 of the
Health and Safety Code.
(B) Prescription drug coverage under the policy meets the requirements of Section 1342.7 of the Health and Safety Code.
(C) The actuarial value of the policy is no less than 85 percent of the average cost of care for the population.
(D) The employer share of the policy’s premium for employee-only coverage is no less than 75 percent of the premium cost.
(3) “Labor peace agreement” means an agreement between a contracting employer and a bona fide labor organization that, at a minimum, protects the state’s proprietary interests by prohibiting labor organizations and members from engaging in picketing, work stoppages,
boycotts, and any other economic interference with the contracting employer’s business. This agreement means that the contracting employer has agreed not to disrupt efforts by the bona fide labor organization to communicate with, and attempt to organize and represent, the employer’s employees. The agreement shall provide a bona fide labor organization access at reasonable times to areas where employees work, for the purpose of meeting with employees to discuss their right to representation, employment rights under state or federal law, and terms and conditions of employment. This type of agreement shall not mandate a particular method of election or certification of the bona fide labor organization.
(4) “Nonexempt employee” means an employee who is required to be paid overtime compensation under state or federal law.
(5) “Retirement plan” means a defined benefit or defined contribution plan in which the employer contributes a fixed amount to the plan.
(b) The Prison Industry Authority shall establish a pilot program by selecting one private employer that employs ex-felons to provide goods, including finished manufactured goods or finished food service products, for the benefit of the Department of Corrections and Rehabilitation or other state agencies pursuant to a procurement contract with the Department of General Services.
(c) The procurement contract described in subdivision (b) shall be for a period of five years commencing from the date the contract is awarded. The Prison Industry Authority shall post this date on its Internet
Web site.
(d) Notwithstanding any other law, and in addition to any other bid preferences under existing law, the private employer selected by the authority pursuant to subdivision (b) shall be entitled to the following bid preferences, if applicable, in the procurement contract with a state agency or department:
(1) Twenty percent if one-half or more of the nonexempt employees performing work on the contract are full-time employees who are ex-felons.
(2) Ten percent if one-quarter or more, but less than one-half, of the nonexempt employees performing work on the contract are full-time employees who are ex-felons.
(3) Ten percent if the employer
provides employer-funded health care coverage and a retirement plan to its employees.
(4) Ten percent if the employer has executed a labor peace agreement with a bona fide labor organization.
(e) The Prison Industry Authority shall prepare and submit a report on the success of the pilot program to the Prison Industry
Board and the Legislature, in compliance with Section 9795 of the Government Code, by the end of the third year after the date the contract is awarded. The report shall include, but not be limited to, all of the following:
(1) The turnover rate and retention rate of ex-felon employees hired by the employer selected pursuant to subdivision (b).
(2) The career advancement of ex-felon employees in the pilot program.
(3) The number of ex-felon employees who reoffend while being employed pursuant to the pilot program.
(4) The authority’s recommendations for improving the program.
(f) This
section shall remain in effect only until six years after the date the contract specified in subdivision (b) is awarded, and as of that date is repealed.