Bill Text: CA AB2004 | 2009-2010 | Regular Session | Amended
Bill Title: Job creation, work incentive, and work subsidy programs.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2010-05-28 - In committee: Set, second hearing. Held under submission. [AB2004 Detail]
Download: California-2009-AB2004-Amended.html
BILL NUMBER: AB 2004 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 20, 2010
AMENDED IN ASSEMBLY APRIL 5, 2010
INTRODUCED BY Assembly Member Beall
FEBRUARY 17, 2010
An act to add Section 10508 to the Welfare and Institutions Code,
relating to job creation.
LEGISLATIVE COUNSEL'S DIGEST
AB 2004, as amended, Beall. Job creation, work incentive, and work
subsidy programs.
Existing law regulates business and employment in California.
This bill, the California Civic Works Act of 2010, would declare
the intent of the Legislature to enact legislation, to allow local
jurisdictions to create unique solutions, as needed, to respond to
California's current economic crisis.
Existing law provides for the allocation of funds received by the
state from the federal Emergency Contingency Fund for State Temporary
Assistance for Needy Families Programs (TANF-ECF) , in
accordance with the federal American Recovery and Reinvestment Act of
2009 (Public Law 111-5), to pay county costs for certain wage
subsidy programs and nonrecurrent short-term benefit programs, as
defined, notwithstanding the provisions of the existing allocation.
Existing law defines needy families for purposes of these provisions.
Existing law makes these provisions inoperative October 1, 2010, and
would repeal the provisions on January 1, 2011.
This bill would require the State Department of Social Services to
issue all-county letters or similar instructions to clarify
eligibility criteria, and provide a framework for wage subsidy
programs funded pursuant to the federal Emergency Contingency Fund
for State Temporary Assistance for Needy Families Programs. The bill
would specify other components of the all-county letters or similar
instructions. It would exempt income derived from
participation by an adult CalWORKs recipient in a wage subsidy
program from consideration as income for purposes of CalWORKs
eligibility. This bill would prohibit a county's
eligibility to receive funding for a program operated in accordance
with the bill from being limited or otherwise restricted because the
county is already operating a wage subsidy program on the date that
the bill is enacted.
The bill would require the department to be prepared to launch a
civic works employment program within 4 weeks of the operative date
of a federal extension to the TANF-ECF program, would require the
department to encourage interested counties in developing a part-time
apprenticeship or preapprenticeship program for an applicant already
enrolled in at least 20 hours of work subsidy, and would require the
department to submit all federally mandated progress reports to
specified committees of the Legislature in a timely manner.
Under existing law, moneys from the General Fund are continuously
appropriated to defray a portion of the state's share of CalWORKs
costs.
This bill would provide that no appropriation would be made
pursuant to those provisions for purposes of implementing the
bill.
To the extent that it would increase the duties of counties
administering the CalWORKs program this bill would impose a
state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. This act shall be known, and may be cited, as the
California Civic Works Act of 2010.
SEC. 2. It is the intent of the Legislature to enact legislation
to allow local jurisdictions to create their own unique solutions, as
needed , and consistent with this act , to respond to the
economic crisis with which California is currently struggling.
SEC. 3. The Legislature finds and declares all of the following:
(a) The Legislature recognizes that California's unemployment rate
remains perilously high at nearly 13 percent and that over two
million Californians are currently unemployed, and many more millions
are underemployed.
(a)
(b) In order to successfully stimulate the economy, a
wage subsidy program model should include multiple layers of programs
and people, and contain a workforce training element, to ensure that
participants obtain jobs with career potential.
(b)
(c) The federal government currently partners directly
with local officials and nonprofit organizations, to address
challenges relating to infrastructure, affordable housing, and flood
protection.
(c) (1) As an example, the Santa Clara County Department of Social
Services has created a three-tiered employment program, which could
serve as a model for other counties. Tier One is for CalWORKs
families in which an adult participant is working part time and
finishing school. Tier Two is for CalWORKs families in which an adult
participant is working full time. Tier Three is directed toward
needy families who are not CalWORKs recipients.
(2) The department also has developed partnerships with nonprofit
and for-profit employers and created a tiered wage subsidy rate
structure, under which nonprofit and public organizations receive a
100 percent wage subsidy and private employers receive an 80 percent
wage subsidy. Private employers are expected to hire participants,
and to pay 100 percent of the wage after six months.
(3) Additionally, the department selected a private firm pursuant
to a competitive bidding process, to help find employers with job
openings. In addition, the department partnered with a summer youth
program and nonprofit entities.
(d) The goal of the federal Emergency Contingency Fund for State
Temporary Assistance for Needy Families Programs (T
ANF-ECF) , established by the American Recovery and
Reinvestment Act of 2009 (ARRA) (Public Law 111-5), is to get
Americans back to work today, and the majority of the
provided funds are required to be used to subsidize wages directly.
In recognition of the work today, and one important
use of the funds is for subsidizing employment programs for needy
families, including, but not limited to, CalWORKS recipients. In
recognition of the administrative costs to operate and develop
the program, the federal funding scheme allows for a cost of doing
business, requests a 20 percent local
20-percent state match, and permits in-kind contributions to be
used to satisfy the local match requirement.
(e) It is the intent of the Legislature to ensure that all
Californians are benefiting from the TANF-ECF program, including, but
not limited to, those who reside in counties that are currently not
participating simply because they do not have the infrastructure or
the technical expertise required for the start up of a program.
(f) The Legislature emphasizes the need to fund civic works jobs
to build public infrastructure. The Legislature recognizes the
opportunity to draw down federal funds to pay for much-needed public
works upgrades, that will ultimately improve the quality of our
communities and aid in the beautification of our neighborhoods.
Public projects align with the TANF-ECF program because projects are
ready for immediate implementation in that many local communities
have a backlog of public works projects, and local funds earmarked
for these purposes can be used to optimize limited funds.
SEC. 4. Section 10508 is added to the Welfare and Institutions
Code, to read:
10508. (a) The department shall issue one or more all-county
letters or similar instructions from the director to clarify
eligibility criteria and provide a framework for wage subsidy
programs funded pursuant to the federal Emergency Contingency Fund
for State Temporary Assistance for Needy Families Programs, Section
603(c) of Title 42 of the United States Code.
(b) The all-county letters or instructions required under this
section shall include examples of successful programs being operated
by counties, and also shall address all of the following:
(1) A plan to relax procurement guidelines to allow counties to
enter into sole-source contract agreements that meet federal
procurement standards.
(2)
(1) A requirement to allow a county to receive
emergency contingency funding 60 days before providing local
before providing matching funds, in order to
cover the initial cost of planning and developing a wage
subsidy program.
(3)
(2) Incentives and guidance to encourage counties to
operate summer youth youth employment
programs, including, but not limited to, summer programs.
(4)
(3) Technical assistance for counties with high
unemployment rates, that lack the necessary infrastructure
to , including, but not limited to, available
employers, to plan and implement a wage subsidy program on
their own.
(5)
(4) Encouragement of multicounty and regional
alignments and joint powers authorities, using
economies of scale.
(6)
(5) Allowing local services agencies, workforce
investment boards, and wage subsidy partners to be reimbursed for
their costs of doing business for providing technical assistance to
counties.
(7) Incentives for participation by nonprofit and public sector
organizations.
(8) Encouragement of a tiered wage subsidy rate structure under
which nonprofit and public organizations would receive a 100 percent
wage subsidy and private employers would receive an 80 percent wage
subsidy.
(9)
(6) Development and support of new and existing
apprenticeship and preapprenticeship programs, using emergency
contingency funds to the extent allowable under federal law
.
(10)
(7) Encouragement and guidance to encourage counties to
create various types of civic works jobs and to build public
infrastructure projects and incentives for the participation by
nonprofit and public sector organizations in those programs .
(11)
(8) Any other provision the department deems
appropriate to facilitate the establishment or operation of a work
incentive or wage subsidy program in accordance with this section.
(c) Income derived from participation by an adult CalWORKs
recipient in a wage subsidy program shall not be considered income
for purposes of CalWORKs eligibility.
(d) If a county is already operating a wage subsidy program on the
date that the act adding this section is enacted, operation of
(c) (1) If there is an extension of the federal TANF-ECF program,
the department shall be prepared to launch, within four weeks of the
operative date of the federal extension, a civic works employment
subsidy program in at least five counties, including, but not limited
to, those counties with the highest unemployment rates or those
counties that do not operate a subsidy program due to lack of
participating employers or other barriers. The department shall work
collaboratively with the counties to identify local and state
infrastructure projects that can be completed by persons
participating in a TANF-ECF wage subsidy program.
(2) The civic works projects may include, but need not be limited
to, all of the following:
(A) Building or improving infrastructure, including, but not
limited to, schools, roads, hospitals, and parks.
(B) Energy efficiency, alternative energy, and environmental
restoration projects.
(C) Supporting social services in areas, including, but not
limited to, health care and care for the elderly.
(D) Workforce development to the extent permitted under federal
law.
(E) Conservation corps of young adults, with particular emphasis
on environmental and energy projects.
(F) Summer and after school employment or skills training
opportunities for youth between 12 and 19 years of age.
(3) The organizations conducting the work may include, but need
not be limited to, a city or county department of public works,
contractors, or nonprofit organizations.
(d) The department shall engage counties interested in developing
a part-time apprenticeship or preapprenticeship program for
applicants who are already enrolled in at least 20 hours of a work
subsidy program and shall provide counties with guidance and
flexibility, to the extent permitted under federal law, in operating
the program.
(e) Nothing in this section shall
require changes to county subsidized employment programs existing
immediately preceding Januar y 1, 2011. If a county is
already operating a wage subsidy program immediately preceding
January 1, 2011, operation of that program shall not limit or
otherwise restrict the county's eligibility to receive funding for a
program operated in accordance with this section.
(e) The department shall provide the Legislature with statistical
information, including, but not limited to, county participation,
number of jobs, type of employers, and quality of employment, by also
submitting
(f) The department shall submit
all federally mandated progress reports to the Senate and Assembly
human services committees, for their review and comment
in a timely manner . Section 9795 of the
Government Code shall not apply to this subdivision.
SEC. 5. No appropriation under Section 15200 shall be made for
purposes of implementing this act.
SEC. 6. If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.
