Bill Text: CA SB734 | 2011-2012 | Regular Session | Chaptered


Bill Title: State and local workforce investment boards: funding.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2011-10-06 - Chaptered by Secretary of State. Chapter 498, Statutes of 2011. [SB734 Detail]

Download: California-2011-SB734-Chaptered.html
BILL NUMBER: SB 734	CHAPTERED
	BILL TEXT

	CHAPTER  498
	FILED WITH SECRETARY OF STATE  OCTOBER 6, 2011
	APPROVED BY GOVERNOR  OCTOBER 5, 2011
	PASSED THE SENATE  SEPTEMBER 9, 2011
	PASSED THE ASSEMBLY  SEPTEMBER 9, 2011
	AMENDED IN ASSEMBLY  SEPTEMBER 2, 2011
	AMENDED IN ASSEMBLY  AUGUST 26, 2011
	AMENDED IN ASSEMBLY  AUGUST 15, 2011
	AMENDED IN ASSEMBLY  JUNE 27, 2011
	AMENDED IN SENATE  MAY 31, 2011
	AMENDED IN SENATE  APRIL 26, 2011
	AMENDED IN SENATE  APRIL 25, 2011
	AMENDED IN SENATE  APRIL 14, 2011

INTRODUCED BY   Senator DeSaulnier

                        FEBRUARY 18, 2011

   An act to add Section 14211 to the Unemployment Insurance Code,
relating to workforce development.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 734, DeSaulnier. State and local workforce investment boards:
funding.
   The federal Workforce Investment Act of 1998 provides for
workforce investment activities, including activities in which states
may participate. Existing law establishes the California Workforce
Investment Board (CWIB), and specifies that the CWIB is responsible
for assisting the Governor in the development, oversight, and
continuous improvement of California's workforce investment system.
Existing law contains various programs for job training and
employment investment, including work incentive programs, as
specified, and establishes local workforce investment boards to
perform various duties related to the implementation and coordination
of local workforce investment activities.
   This bill would require local workforce investment boards to spend
a certain percentage of available federal funds for adults and
dislocated workers on workforce training programs in a manner
consistent with federal law, as prescribed, and would allow the
boards to leverage specified funds to meet the funding requirements,
as specified.
   Existing law prescribes the duties of the CWIB with regard to the
development and implementation of local workforce investment plans,
as specified.
   This bill would require a local workforce investment board that
does not meet the expenditure requirements described above to provide
the Employment Development Department with a corrective action plan
regarding those expenditures.
   Because the bill imposes new duties on local government workforce
investment boards, it 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 no reimbursement shall be made
pursuant to these statutory provisions for costs mandated by the
state pursuant to this act, but would recognize that local agencies
and school districts may pursue any available remedies to seek
reimbursement for these costs.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 14211 is added to the Unemployment Insurance
Code, to read:
   14211.  (a) (1) Beginning program year 2012, an amount equal to at
least 25 percent of funds available under Title I of the federal
Workforce Investment Act of 1998 (Public Law 105-220) provided to
local workforce investment boards for adults and dislocated workers
shall be spent on workforce training programs. This minimum may be
met either by spending 25 percent of those base formula funds on
training or by combining a portion of those base formula funds with
leveraged funds as specified in subdivision (b).
   (2) Beginning program year 2016, an amount equal to at least 30
percent of funds available under Title I of the federal Workforce
Investment Act of 1998 (Public Law 105-220) provided to local
workforce investment boards for adults and dislocated workers shall
be spent on workforce training programs. This minimum may be met
either by spending 30 percent of those base formula funds on training
or by combining a portion of those base formula funds with leveraged
funds as specified in subdivision (b).
   (3) Expenditures that shall count toward the minimum percentage of
funds shall include only training services as defined in Section
2864(d)(4)(D) of Title 29 of the United States Code and Sections
663.300 and 663.508 of Title 20 of the Code of Federal Regulations,
including all of the following:
   (A) Occupational skills training, including training for
nontraditional employment.
   (B) On-the-job training.
   (C) Programs that combine workplace training with related
instruction, which may include cooperative education programs.
   (D) Training programs operated by the private sector.
   (E) Skill upgrading and retraining.
   (F) Entrepreneurial training.
   (G) Job readiness training.
   (H) Adult education and literacy activities provided in
combination with services described in any of subparagraphs (A) to
(G), inclusive.
   (I) Customized training conducted with a commitment by an employer
or group of employers to employ an individual upon successful
completion of the training.
   (b) (1) Local workforce investment boards may receive a credit of
up to 10 percent of their adult and dislocated worker formula fund
base allocations for public education and training funds and private
resources from industry and from joint labor-management trusts that
are leveraged by a local workforce investment board for training
services described in paragraph (3) of subdivision (a). This credit
may be applied toward the minimum training requirements in paragraphs
(1) and (2) of subdivision (a).
   (A) Leveraged funds that may be applied toward the credit allowed
by this subdivision shall only include the following:
   (i) Federal Pell Grants established under Title IV of the Higher
Education Act of 1965 (20 U.S.C. Sec. 1070 et seq.).
   (ii) Programs authorized by the Workforce Investment Act of 1998
(Public Law 105-220).
   (iii) Trade adjustment assistance.
   (iv) Department of Labor National Emergency Grants.
   (v) Match funds from employers, industry, and industry
associations.
   (vi) Match funds from joint labor-management trusts.
   (vii) Employment training panel grants.
   (B) Credit for leveraged funds shall only be given if the local
workforce investment board keeps records of all training expenditures
it chooses to apply to the credit. Training expenditures may only be
applied to the credit if the relevant training costs can be
independently verified by the Employment Development Department and
training participants must be coenrolled in the federal Workforce
Investment Act of 1998 performance monitoring system.
   (2) The use of leveraged funds to partially meet the training
requirements specified in paragraphs (1) and (2) of subdivision (a)
is the prerogative of a local workforce investment board. Costs
arising from the recordkeeping required to demonstrate compliance
with the leveraging requirements of this subdivision are the
responsibility of the board.
   (c) Beginning program year 2012, the Employment Development
Department shall calculate for each local workforce investment board,
within six months after the end of the second program year of the
two-year period of availability for expenditure of federal Workforce
Investment Act of 1998 funds, whether the local workforce investment
board met the requirements of subdivision (a). The Employment
Development Department shall provide to each local workforce
investment board its individual calculations with respect to the
expenditure requirements of subdivision (a).
   (d) A local workforce investment area that does not meet the
requirements of subdivision (a) shall submit a corrective action plan
to the Employment Development Department that provides reasons for
not meeting the requirements and describes actions taken to address
the identified expenditure deficiencies. A local workforce investment
area shall provide a corrective action plan to the Employment
Development Department pursuant to this section within 90 days of
receiving the calculations described in subdivision (c).
   (e) For the purpose of this section, "program year" has the same
meaning as provided in Section 667.100 of Title 20 of the Code of
Federal Regulations.
  SEC. 2.  No reimbursement shall be made pursuant to Part 7
(commencing with Section 17500) of Division 4 of Title 2 of the
Government Code for costs mandated by the state pursuant to this act.
It is recognized, however, that a local agency or school district
may pursue any remedies to obtain reimbursement available to it under
Part 7 (commencing with Section 17500) and any other provisions of
law.                                                          
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