AB-1439
Labor & Employment

Public retirement systems: development projects: labor standards.

Introduced
CA
2025-2026 Regular Session
0
0
Track

Key Takeaways

  • Prohibits public pension systems from investing in California development projects that lack specific labor protections.
  • Requires development projects to pay prevailing wages and use skilled workers for construction work.
  • Mandates developers to ensure labor peace during union organizing campaigns.
  • Allows pension boards to reject these requirements if they conflict with fiduciary duties.

Summary

Assembly Member Garcia's proposal to regulate public pension fund investments in California development projects would establish new labor standards requirements for such investments. The measure prohibits public retirement system boards from making new investments or providing financing for development projects unless they incorporate specific labor protections.

The bill defines these required labor standards in three key areas. First, construction and maintenance work must follow prevailing wage and apprenticeship requirements that currently apply to public projects. Second, contractors and subcontractors must commit to using a skilled and trained workforce for building trades work, unless covered by a qualifying project labor agreement. Third, developers must provide commitments designed to maintain labor peace during union organizing campaigns for workers employed after project completion.

The measure preserves retirement boards' fiduciary discretion by specifying that these investment restrictions apply only when boards determine in good faith that such actions align with their constitutional responsibilities. This provision maintains boards' ability to evaluate investment decisions within their existing duty framework while adding labor standards as a new qualifying criterion for development project investments.

Key Dates

Next Step
Referred to the Assembly Standing Committee on Public Employment and Retirement
Next Step
Assembly Committee
Referred to the Assembly Standing Committee on Public Employment and Retirement
Hearing has not been scheduled yet
Introduced. To print.
Assembly Floor
Introduced. To print.
Introduced. To print.

Contacts

Profile
Tom LackeyR
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Tasha Boerner HorvathD
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Tina McKinnorD
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Juan AlanisR
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Stephanie NguyenD
Assembly Member
Committee Member
Not Contacted
Not Contacted
0 of 7 row(s) selected.
Page 1 of 2
Select All Legislators
Profile
Tom LackeyR
Assembly Member
Committee Member
Profile
Tasha Boerner HorvathD
Assembly Member
Committee Member
Profile
Tina McKinnorD
Assembly Member
Committee Member
Profile
Juan AlanisR
Assembly Member
Committee Member
Profile
Stephanie NguyenD
Assembly Member
Committee Member
Profile
Robert GarciaD
Assembly Member
Bill Author
Profile
Sade ElhawaryD
Assembly Member
Committee Member

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

Introduced By

Robert Garcia
Robert GarciaD
California State Assembly Member
10% progression
Bill has been formally introduced and read for the first time in its house of origin (2/21/2025)

Key Takeaways

  • Prohibits public pension systems from investing in California development projects that lack specific labor protections.
  • Requires development projects to pay prevailing wages and use skilled workers for construction work.
  • Mandates developers to ensure labor peace during union organizing campaigns.
  • Allows pension boards to reject these requirements if they conflict with fiduciary duties.

Get Involved

Act Now!

Email the authors or create an email template to send to all relevant legislators.

Introduced By

Robert Garcia
Robert GarciaD
California State Assembly Member

Summary

Assembly Member Garcia's proposal to regulate public pension fund investments in California development projects would establish new labor standards requirements for such investments. The measure prohibits public retirement system boards from making new investments or providing financing for development projects unless they incorporate specific labor protections.

The bill defines these required labor standards in three key areas. First, construction and maintenance work must follow prevailing wage and apprenticeship requirements that currently apply to public projects. Second, contractors and subcontractors must commit to using a skilled and trained workforce for building trades work, unless covered by a qualifying project labor agreement. Third, developers must provide commitments designed to maintain labor peace during union organizing campaigns for workers employed after project completion.

The measure preserves retirement boards' fiduciary discretion by specifying that these investment restrictions apply only when boards determine in good faith that such actions align with their constitutional responsibilities. This provision maintains boards' ability to evaluate investment decisions within their existing duty framework while adding labor standards as a new qualifying criterion for development project investments.

10% progression
Bill has been formally introduced and read for the first time in its house of origin (2/21/2025)

Key Dates

Next Step
Referred to the Assembly Standing Committee on Public Employment and Retirement
Next Step
Assembly Committee
Referred to the Assembly Standing Committee on Public Employment and Retirement
Hearing has not been scheduled yet
Introduced. To print.
Assembly Floor
Introduced. To print.
Introduced. To print.

Contacts

Profile
Tom LackeyR
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Tasha Boerner HorvathD
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Tina McKinnorD
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Juan AlanisR
Assembly Member
Committee Member
Not Contacted
Not Contacted
Profile
Stephanie NguyenD
Assembly Member
Committee Member
Not Contacted
Not Contacted
0 of 7 row(s) selected.
Page 1 of 2
Select All Legislators
Profile
Tom LackeyR
Assembly Member
Committee Member
Profile
Tasha Boerner HorvathD
Assembly Member
Committee Member
Profile
Tina McKinnorD
Assembly Member
Committee Member
Profile
Juan AlanisR
Assembly Member
Committee Member
Profile
Stephanie NguyenD
Assembly Member
Committee Member
Profile
Robert GarciaD
Assembly Member
Bill Author
Profile
Sade ElhawaryD
Assembly Member
Committee Member