State Agencies Can't Use Union MOU To Restrict Work Contracted Out to Private Design Firms

A recent California Supreme Court case, Consulting Engineers & Land Surveyors, Inc. v. Professional Engineers in California Government, held that the State of California and a state employee union cannot restrict the use of private contractors for architectural and engineering services by state agencies through a memorandum of understanding (MOU). In reaching this decision, the Court turned to an earlier case where it held that a constitutional restriction on the ability of state agencies to contract with private firms for architectural and engineering services on public works project had been expressly removed by Proposition 35 and impliedly repealed certain regulatory statutes pertaining to private contracting. (Professional Engineers in CaliforniaGovernment v. Kempton (2007) 40 Cal.4^th 1016.) The Court said that the MOU contained limitations similar to those that the Court had held to be repealed by Proposition 35 in Kempton and as a result violated the California Constitution.