12301.61. (Amended by Stats. 2026, Ch. 26, Sec. 19.)

(b) If the parties are unable to effect settlement through mediation, as described in subdivision (a), the parties shall submit their differences to factfinding, pursuant to Sections 3505 and 3505.4 of the Government Code. Alternatively, either party may opt to bypass the mediation process in subdivision (a) and move directly to factfinding.

(1) The factfinding panel shall make findings of fact and recommend terms of settlement, which shall be advisory only, within 30 days after the panel is appointed by the Public Employment Relations Board.

(2) Within 15 days after the factfinding panel has released its findings of fact and recommended settlement terms, the parties may, by mutual agreement, request postfactfinding mediation consistent with Section 3505.2 of the Government Code. If the parties fail to agree on a mediator, the Public Employment Relations Board shall appoint one from the pool described in subdivision (c).

(3) If the parties elect postfactfinding mediation, the findings of fact and recommended settlement terms shall not be made public until the mediation has concluded. If either party declines to elect postfactfinding mediation, the findings of fact and recommended settlement terms shall be made public immediately.

(4) Mediation shall be held no more than 15 days from the date requested, and may include, at the mediator’s discretion, the factfinding panel and representatives of both parties. The director, or the director’s designee, shall be available to provide information and expertise, as necessary.

(5) The county board of supervisors shall hold a public hearing within 30 days of the factfinding panel’s public release of its findings of fact and recommended settlement terms.

(c) The Public Employment Relations Board shall designate a pool of no more than five qualified individuals to serve as mediators or on a factfinding panel. The pool shall consist of individuals with relevant subject matter expertise. The board shall select individuals for the pool in consultation with the department and the affected employers and employee organizations. Priority shall be given to individuals with knowledge of the In-Home Supportive Services program. The board may designate the mediator to serve as the neutral member of the factfinding panel.

(d) The costs for the services of the factfinding panel and the mediator shall be equally divided between the parties, and shall include per diem fees, if any, and actual and necessary travel and subsistence expenses.

(e) If no individual is available to serve as a mediator or factfinder within the timelines specified in this section, the timelines shall be extended until the next mediator or factfinder is available.

(f) A county shall be subject to a withholding of 1991 Realignment funds as described in subdivision (h) pursuant to a schedule developed by the Department of Finance and provided to the Controller if all of the following conditions are met:

(1) The parties have completed the process described in subdivisions (a) to (c), inclusive.

(2) The factfinding panel has issued findings of fact and recommended settlement terms that are more favorable to the employee organization than those proposed by the employer of record described in subdivision (a).

(3) The parties do not reach a collective bargaining agreement within 30 days after the release of the factfinding panel’s recommended settlement terms described in paragraph (2). The parties shall make every good faith effort to reach an alternative mutually accepted agreement within this timeframe.

(4) The collective bargaining agreement for IHSS providers in the county has expired.

(g) The Public Employment Relations Board shall provide written notification to the county and the employee organization within 15 days of determining that the county is subject to a withholding pursuant to subdivision (f). The board shall also notify the Department of Finance and the State Controller of the withholding assessment.

(h) The amount of the 1991 Realignment funding withholding pursuant to subdivision (f) shall be equivalent to 10 percent of the county’s prior fiscal year IHSS Maintenance of Effort requirement, as reported by the department, prior to applying any offsets pursuant to Section 12306.17. This withholding shall continue once per fiscal year, each fiscal year, until the county enters into a collective bargaining agreement with the employee organization.

(i) Beginning July 1, 2026, any county that has not reached an agreement after the release of the factfinding panel’s recommended settlement terms released prior to June 30, 2026, shall have 90 days to reach an agreement with the employee organization. If no agreement is reached within 90 days, the withholding described in subdivision (f) shall occur on October 1, 2026.