S.B. No. 777 amends the Local Government Code to establish new standards for compensation and employment conditions for municipal employees, particularly focusing on collective bargaining agreements and impasse resolution processes. The bill introduces provisions that preempt local ordinances and rules that conflict with the new standards, ensuring uniformity across municipalities. It also clarifies that if an arbitration award or other impasse resolution is rendered, the public employer is deemed compliant with employment conditions for the duration of the collective bargaining period. Additionally, the bill modifies the heading of Subchapter E to reflect a broader scope of impasse resolution, rather than just arbitration.

Furthermore, the bill creates a new Subchapter E-1 specifically for binding interest arbitration applicable to municipalities with populations between 950,000 and 1,050,000. This subchapter outlines the arbitration process, including the selection of arbitrators and the criteria for making arbitration awards. It emphasizes that the arbitration board must consider various factors, including historical agreements, comparable compensation in other municipalities, and the financial impact on taxpayers. The changes made by this Act validate existing impasse resolution provisions and apply to ongoing collective bargaining negotiations, while also ensuring that prior agreements are not challenged based on the new law.

Statutes affected:
Introduced: Local Government Code 174.005, Local Government Code 174.021, Local Government Code 174.153, Local Government Code 174.1535, Local Government Code 174.156, Local Government Code 174.158, Local Government Code 174.163 (Local Government Code 174)
Senate Committee Report: Local Government Code 174.005, Local Government Code 174.022, Local Government Code 174.153, Local Government Code 174.156, Local Government Code 174.163 (Local Government Code 174)
Engrossed: Local Government Code 174.005, Local Government Code 174.022, Local Government Code 174.153, Local Government Code 174.156, Local Government Code 174.163 (Local Government Code 174)
House Committee Report: Local Government Code 174.005, Local Government Code 174.022, Local Government Code 174.153, Local Government Code 174.156, Local Government Code 174.163 (Local Government Code 174)
Enrolled: Local Government Code 174.005, Local Government Code 174.022, Local Government Code 174.153, Local Government Code 174.156, Local Government Code 174.163 (Local Government Code 174)