Update: During the Reconvened Session, the General Assembly voted to accept the Governor’s amendments on SB 731 (Salim) and HB 547 (Helmer), which VACo supported. VACo thanks the Governor for proposing these amendments and the General Assembly for allowing the workgroup to move forward to assess how implementation of the provisions outlined in the bill would affect transit systems and localities across the Commonwealth. VACo will provide updates when the workgroup finalizes its report later this year.
SB 731 and HB 547, as passed the General Assembly, would require that the governing body of any city or county that contracts with a private company to provide a system of public transportation must adhere to the following:
- Require such company to provide any employee of such company providing services compensation and benefits that are, at a minimum, equivalent to the compensation and benefits provided to a public employee.
- Ensure that all employees of such public transportation system employed by a predecessor private company be offered employment with any successor company without loss of compensation or benefits.
The bills also state that if a city or county that contracts with a private company to provide a system of public transportation subsequently elects to provide its own system of public transportation, such county or city shall:
- Adopt an ordinance or resolution providing collective bargaining (if such county or city has not already done so).
- Ensure that all employees of the private company are offered employment with such subsequent system of public transportation without loss of compensation or benefits.
The bills included exemptions for various systems and types of service, and directed the Department of Rail and Public Transportation to convene a workgroup on implementation of the legislation.
VACo opposed SB 731 and HB 547 because they would mandate collective bargaining for localities, interfere with the ability for a county to make employment and services delivery decisions, and may have costly unintended consequences.
The Governor has sent favorable amendments to the General Assembly. The amendments would put a reenactment clause on the bills and grandfather existing collecting bargaining amendments effective before July 1, 2027. Importantly, the bills still direct the Department of Rail and Public Transportation to convene a workgroup on implementation, with recommendations due by December 2026.
VACo Contact: James Hutzler