McQueeney Arbitration Bill Exempts 1.9M-Plus Cities Unless Voters Opt In

The text as introduced · 1,159 words

89R10877 DNC-F

By: McQueeney
H.B. No. 4065

A BILL TO BE ENTITLED

AN ACT

relating to binding arbitration in collective bargaining for

firefighters and police officers in certain political

subdivisions.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Chapter 174, Local Government Code, is amended

by adding Subchapter E-1 to read as follows:

SUBCHAPTER E-1. BINDING INTEREST ARBITRATION

Sec. 174.181. APPLICABILITY OF SUBCHAPTER. This subchapter

applies to a political subdivision that employs fire fighters,

police officers, or both except that this subchapter does not apply

to:

(1) a political subdivision that has adopted mandatory

binding interest arbitration or another mechanism to resolve

collective bargaining impasses through a referendum, municipal

charter amendment, or collective bargaining agreement before

January 1, 2025; or

(2) a municipality with a population of 1.9 million or

more unless this subchapter is adopted in an election held in the

municipality for that purpose under the procedures prescribed by

Subchapter C.

Sec. 174.182. CONFLICT OF LAWS. To the extent of a conflict

between this subchapter and another provision of this chapter, this

subchapter controls.

Sec. 174.183. BINDING INTEREST ARBITRATION REQUIRED. (a)

Instead of submitting to arbitration under Subchapter E, a public

employer and an association that is a bargaining agent shall submit

to binding interest arbitration if the parties:

(1) reach an impasse in collective bargaining; or

(2) are unable to settle after the 61st day after the

date the appropriate lawmaking body fails to approve a contract

reached through collective bargaining.

(b) The issues to be arbitrated are all matters the parties

are unable to resolve through collective bargaining and mediation

procedures required by this chapter.

Sec. 174.184. NOTICE REQUIREMENTS. (a) Each party shall

provide to the other party a written notice specifying each issue in

dispute for purposes of binding interest arbitration not later than

the fifth day after the later of:

(1) the date an impasse was reached under Section

174.152;

(2) the expiration of an extension period under

Section 174.152; or

(3) the expiration of the period described by Section

174.183(a)(2).

(b) Notice provided under Subsection (a) is considered sent

on the date the notice is placed in the mail, personally delivered,

or transmitted by e-mail or any other means of electronic transfer.

Sec. 174.185. SELECTION OF ARBITRATOR. Not later than the

fifth day after the date a party provides the notice required under

Section 174.184, the public employer shall immediately request a

list of seven qualified neutral arbitrators from the American

Arbitration Association or the Federal Mediation and Conciliation

Service, or a successor in function. The bargaining agent and the

municipality, or their designees, may agree on one of the seven

arbitrators on the list. If the parties do not select an arbitrator

before the sixth working day after the date the parties received the

list, each party or the party's designee shall alternate striking a

name from the list and the name remaining is the arbitrator.

Sec. 174.186. POWERS AND DUTIES OF ARBITRATOR. (a) The

arbitrator shall:

(1) call a hearing to be:

(A) held not later than the 10th day after the

date on which the arbitrator is selected; and

(B) ended not later than the 20th day after the

date the hearing begins; and

(2) notify the public employer and the association in

writing of the time and place of the hearing, not later than the

eighth day before the hearing.

(b) The arbitrator shall render an award in accordance with

the requirements of Section 174.021. In settling disputes relating

to compensation, hours, and other conditions of employment, the

arbitrator shall consider:

(1) hazards of employment;

(2) physical qualifications;

(3) educational qualifications;

(4) mental qualifications;

(5) job training;

(6) skills; and

(7) other factors.

(c) The rules of evidence applicable to judicial

proceedings are not binding in an arbitration hearing. The

arbitrator may:

(1) receive in evidence any documentary evidence or

other information the arbitrator considers relevant;

(2) administer oaths; and

(3) issue subpoenas to require:

(A) the attendance and testimony of witnesses;

and

(B) the production of books, records, and other

evidence relevant to an issue presented to the arbitrator for

determination.

Sec. 174.187. AWARD. (a) Not later than the 10th day after

the date of the end of the hearing, the arbitrator shall:

(1) make written findings; and

(2) render a written award on the issues presented to

the arbitrator.

(b) An increase in compensation awarded by the arbitrator

under this subchapter may take effect only at the beginning of the

next fiscal year after the date of the award.

Sec. 174.188. EFFECT OF AWARD. If a decision of the

arbitrator is supported by competent, material, and substantial

evidence on the whole record, the decision:

(1) is final and binding on the parties; and

(2) may be enforced by either party or the arbitrator

in a district court for the judicial district in which a majority of

the affected employees reside.

Sec. 174.189. BEGINNING OF NEW FISCAL YEAR. If a new fiscal

year begins after the initiation of arbitration procedures under

this subchapter but before an award is rendered or enforced:

(1) the dispute is not moot;

(2) the jurisdiction of the arbitrator is not

impaired; and

(3) the arbitration award is not impaired.

Sec. 174.190. EXTENSION OF PERIOD. A period specified by

Section 174.184 or 174.185 may be extended:

(1) by the written agreement of the parties for a

reasonable period; or

(2) by the arbitrator for good cause for one or more

periods that in the aggregate do not exceed 20 days.

Sec. 174.191. PAYMENT OF ARBITRATOR AND EXPENSES. (a) The

public employer and the association representing the employees

shall jointly pay in even proportions:

(1) the compensation of the arbitrator; and

(2) the stenographic and other expenses incurred by

the arbitrator in connection with the arbitration proceedings.

(b) If a party to arbitration requires a transcript of the

arbitration proceedings, the party shall pay the cost of the

transcript.

SECTION 2. Section 174.253, Local Government Code, is

amended to read as follows:

Sec. 174.253. JUDICIAL REVIEW OF ARBITRATION AWARD. (a) An

award of an arbitrator [ arbitration board ] may be reviewed by a

district court in a [ for the ] judicial district in which the

municipality is located only on the grounds that:

(1) the arbitrator [ arbitration board ] was without

jurisdiction;

(2) the arbitrator [ arbitration board ] exceeded the

arbitrator's [ its ] jurisdiction;

(3) the order is not supported by competent, material,

and substantial evidence on the whole record; or

(4) the order was obtained by fraud, collusion, or

similar unlawful means.

(b) The pendency of a review proceeding does not

automatically stay enforcement of the arbitrator's [ arbitration

board's ] order.

SECTION 3. The following provisions of the Local Government

Code are repealed:

(1) Section 174.153(c);

(2) Sections 174.154(b) and (c);

(3) Section 174.163;

(4) Sections 174.164(a) and (b); and

(5) Section 174.252.

SECTION 4. This Act takes effect September 1, 2025.