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§ 3473. Joint Venture Program Contracts.

15 CA ADC § 3473Barclays Official California Code of RegulationsEffective: January 5, 2022

Barclays California Code of Regulations
Title 15. Crime Prevention and Corrections
Division 3. Adult Institutions, Programs and Parole
Chapter 1. Rules and Regulations of Adult Operations and Programs (Refs & Annos)
Subchapter 5. Personnel
Article 9. Joint Venture Program
Effective: January 5, 2022
15 CCR § 3473
§ 3473. Joint Venture Program Contracts.
(a) In addition to state contract requirements, each Joint Venture Program (JVP) contract shall include, but not be limited to, the following:
(1) A detailed description of the Joint Venture Employer's program operation, including but not limited to, the Joint Venture Employer's type of business and products produced.
(2) The conditions and requirements under which the Joint Venture Employer's non-inmate employees shall be admitted onto or excluded from departmental or departmentally leased property.
(3) A provision for Joint Venture Employer non-inmate employee orientation training which shall consist of those items necessary for employees to operate the industry within the institution in a consistent, secure and effective manner. Ongoing training shall be scheduled as directed by the institution head.
(4) A requirement that inmate-employees shall be paid “comparable wages” as defined by PC section 2717.8. “Comparable wages” means that compensation of inmate-employees by the Joint Venture Employer shall be comparable to the wages paid by the Joint Venture Employer to non-inmate employees performing the same or similar work for that employer. If the Joint Venture Employer does not employ such non-inmate employees in the same or similar work, compensation shall be comparable to wages paid for work of a similar nature in the locality in which the work is to be performed. These wages are subject to the deductions listed in Section 3476(h) and the mandatory savings listed in Section 3476(i).
(5) A provision that the administrator of the JVP shall monitor the wage rates paid to inmate-employees for compliance with the comparable wage requirement of PC section 2717.8.
(6) Hours of inmate employment and work schedule.
(7) Minimum and maximum inmate workforce requirements.
(8) Contraband items.
(9) Work-site security.
(10) Communications.
(11) Utilities.
(12) Responsibilities of the Joint Venture Employer, specifically those regarding:
(A) Obligation to pay inmate-employees comparable wages as required by PC section 2717.8.
(B) Compliance with all applicable record-keeping requirements set forth in the California Labor Code and applicable Industrial Welfare Commission Wage Orders.
(C) General Liability, Fire, Legal, and Automobile Liability Insurance.
(D) Maintenance of production equipment.
(E) Providing production supplies, materials, and equipment.
(F) Adherence to applicable federal, state, and local health and safety laws and regulations.
(G) Inmate-employee benefits.
(H) Notification to inmate-employees of their rights under PC section 2717.8 and relevant Labor Code provisions.
(I) Compliance with the requirements of the department's approved administrative remedies procedures as required by Title 15, California Code of Regulations (CCR) Sections 3480 through 3487 or relevant Labor Code provisions.
(J) A Security Bond, or equivalent security, posting requirement shall be included in the contract. The amount of the bond, or its equivalent, shall be not less than two months wages for the workforce contemplated by the Joint Venture Employer after six months of operation, and shall be determined on a case-by-case basis based on, but not limited to, the size of the inmate workforce and the size of space leased by the Joint Venture Employer. The bond, or its equivalent shall be retained by the department for the duration of the contract and may be used by the department in the event a Joint Venture Employer fails to submit payroll or defaults on any of its obligations to the State. The department shall apply the bond first to pay past due wages to inmate-employees and thereafter, the bond shall be available to pay unpaid obligations to the State, including, but not limited to, rent, utilities, workers' compensation, and custody costs.
(K) A requirement that the Joint Venture Employer prepare and submit to the administrator of the JVP for its review and approval:
1. Prior to commencing business, a detailed job description for each job to be performed at the facility;
2. At the time additional jobs are created, a detailed job description for each new job;
3. A revised job description when there is a twenty-five percent or more change in job duties;
4. If there are non-inmate employees performing the same or similar work for that employer, a detailed job description, wage rate, and a wage plan for its non-inmate workforce with documentation; or
5. Annually, an updated, detailed job description for all jobs at the Joint Venture Employer's operation. Duty statements shall include a description of tasks to be performed, machines used, and skills required for each job and shall be certified as to the accuracy of the job description under oath by the JVE.
(L) A requirement that the Joint Venture Employer prepare and submit to the department for its review and approval:
1. Prior to initial start-up of the Joint Venture Employer's operation, a wage plan detailing the comparable wage rate for each position, taking into account seniority, tenure, training, technical nature of the work being performed, or other factors; and
2. Annually, the Joint Venture Employer's current wage plan.
(M) Hiring of eligible inmate-employees, which is a decision within the sole determination of the Joint Venture Employer.
(N) Inmate-employee time keeping.
(O) Workers' Compensation Rate.
(P) Agreement that the Joint Venture Employer's business will not result in the displacement of any non-inmate workers performing the same work.
(Q) The process used by JVE for final selection of inmate-employees.
(R) Sole responsibility of Joint Venture Employer to comply with all applicable federal, state, and local laws and regulations. (Nothing in this section should be construed to modify the responsibility of the State as defined in the California Code Regulations, Title 15, Division 3, Chapter 1, Subchapter 5, Article 9, Section 3475.)
(S) Inmate-employee performance evaluations.
(T) Requirement to post notices of employee rights.
(U) Provision of all applicable inmate-employee payroll data.
(13) Responsibilities of the department/facility, specifically those regarding:
(A) Designation of a Coordinator by the facility.
(B) Lockdowns, modified programs, fog lines and other circumstances under which inmate-employees may be restricted from work.
(C) Right of entry and searches of the area leased by the Joint Venture Employer.
(D) Inmate-employee discipline.
(E) Program evaluation.
(F) Initial screening of potential inmate-employee pool for security purposes.
(b) No Joint Venture Program contract shall be executed by the department that will initiate employment by inmates in the same job classification as non-in-mate employees of the same employer who are on strike or subject to lockout as defined in PC section 2717.6.
(c) The Joint Venture Employer and any and all agents and employees of the Joint Venture Employer shall act in an independent capacity and not as officers or employees of the State. “Joint Venture Program” is merely the colloquial name of the program, and does not create or connote a “joint venture” or partnership relationship between the parties as a matter of law. Nothing in this program shall be construed as constituting the parties herein as partners or joint venturers as those terms are defined under California law or any other law.
(d) Nothing in these regulations is intended to establish an employer/employee relationship between any inmate participating in the Joint Venture Program and the State of California, the department, or any individual agency or office of the State of California.

Credits

Note: Authority cited: Sections 2717.3 and 5058, Penal Code. Reference: Sections 2717.5, 2717.6, 2717.8 and 5054, Penal Code; Section 5, Article XIV of the State Constitution; and Vasquez v. State of California, 105 Cal.App.4th 849 (2003), Stipulated Injunction and Order, Superior Court of San Diego County, Case No. GIC-740832.
History
1. Renumbering of section 3482 to new section 3473, including amendment of section, filed 3-25-2020 as an emergency; operative 6-1-2020 (Register 2020, No. 13). Pursuant to Penal Code section 5058.3, a Certificate of Compliance must be transmitted to OAL by 11-9-2020 or emergency language will be repealed by operation of law on the following day.
2. Emergency filed 3-25-2020 and operative 6-1-2020 extended 60 days pursuant to Executive Order N-40-20 and an additional 60 days pursuant to Executive Order N-66-20 (Register 2020, No. 42). A Certificate of Compliance must be transmitted to OAL by 3-9-2021 or emergency language will be repealed by operation of law on the following day.
3. Renumbering of section 3482 to new section 3473, including amendment of section, refiled 2-25-2021 as an emergency; operative 3-10-2021 (Register 2021, No. 9). Emergency expiration extended 60 days (Executive Order N-40-20) plus an additional 60 days (Executive Order N-71-20). A Certificate of Compliance must be transmitted to OAL by 10-8-2021 or emergency language will be repealed by operation of law on the following day.
4. Renumbering of section 3482 to new section 3473, including amendment of section, refiled 10-4-2021 as an emergency; operative 10-8-2021 pursuant to Government Code section 11346.1(d) (Register 2021, No. 41). A Certificate of Compliance must be transmitted to OAL by 1-6-2022 pursuant to Government Code section 11346.1(h) or emergency language will be repealed by operation of law on the following day.
5. Certificate of Compliance as to 10-4-2021 order, including amendment of subsection (a)(12)(I), transmitted to OAL 12-7-2021 and filed 1-5-2022; amendments operative 1-5-2022 pursuant to Government Code section 11343.4(b)(3) (Register 2022, No. 1).
This database is current through 5/10/24 Register 2024, No. 19.
Cal. Admin. Code tit. 15, § 3473, 15 CA ADC § 3473
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