Top 10 List Update as of October 9, 2013 SB 118 by Sen. Ted Lieu (D-Torrance) This is essentially a re-introduction of a bill we supported last year (SB 1401) that CWA supported. SB 118: Establishes workforce education and training principles with a sector strategy focus; Requires the CWIB to conduct an annual skills gap analysis specifying industries facing shortages of skilled workers; Requires that the statewide plan be focused on the adoption of sector strategies using the statewide analysis as the basis for formulating the plans; Requires the state board to implement quality training criteria for the “Eligible Training Provider List” (ETPL); and Encourages collaboration between education and training programs to align resources across workforce education and training service delivery systems. Double joined with AB 285 (Brown) microenterprises to address chaptering out issues as it amends the same section of the Unemployment Insurance Code. Position: SUPPORT Status: Signed by the Governor on October 4, 2013. SJR 10 by Sen. Lieu This is a CWA-sponsored measure that urges Congress to reauthorize the Workforce Investment Act, including CWA’s key principles of a highly competitive Workforce Investment System with local WIBs governed by local leaders and responsive to the local needs of business and jobseekers. Position: SPONSOR/SUPPORT Status: Chaptered by Secretary of State. Resolutions, Chapter 121, Statutes of 2013. AB 285 by Assem. Brown (D-San Bernardino) This bill requires the CWIB to recommend policies and to provide technical assistance on entrepreneurial and self-employment training opportunities that could be made available through local WIBs. This bill amends the same section of the Unemployment Insurance Code as SB 118 and the bills are double joined to address chaptering out issues. Position: NEUTRAL. Similar to AB 152, this creates cost pressures on the system. Status: Voted by the Governor on October 4, 2013. In his veto message, Governor Brown states that the legislation infringes upon CWIB's authority and discretion and is overly prescriptive in the way it directs CWIB to provide technical assistance for entrepreneurial training. AB 1268 by Assem. Speaker Perez Establishes the Veterans Workforce Development and Employment Office within the Labor and Workforce Development Agency for the purpose of coordinating and administering state and federal veterans workforce development and employment programs and services. Position: NEUTRAL. Offer assistance, suggestions on how to improve services for Veterans to the Speaker’s Office next year. Status: 2 year bill. On Senate Inactive file. Prop. 39 Implementation AB 39 by Assembly Member Skinner (D-Berkeley) and Speaker Perez (D-Los Angeles) SB 39 by Assembly Member DeLeon (D-Los Angeles) and others Prop. 39 was passed by voters in November 2012 and closes a tax loophole for multistate corporations. Funds will be used for clean energy programs. This is expected to generate $550 million per year over the next seven years. There were a handful of bills aimed at guiding the implementation of how the funds are spent, with a focus on schools to accomplish a number of objectives, including: Allow schools to spend less money on energy, freeing up funds to be focused on education; Create prevailing wage jobs across the state, particularly in lower income areas Use some of the funds to satisfy Prop. 98 school funding requirements. Position: SUPPORT IF AMENDED TO INCLUDE JOB TRAINING FUNDS Status: Prop. 39 details were passed in the state budget, SB 73. CWIB was given $3 million, the Conservation Corps was given $5 million for grant programs for job training and workforce development. AB 114 (Salas) Proposition 39 Implementation: workforce development Implementation bill for the $3 million competitive grant program for eligible community-based and other training workforce organizations preparing disadvantaged youth or veterans for employment to be administered by the CWIB. Includes various reporting requirements to review the effectiveness of the program. Position: WATCH. Status: 2 year bill. On Senate Inactive file. SB 594 by Sen. Pres. Pro Tem Steinberg (D-Sacramento) and AB 86 (Asm. Budget Committee) Career Pathways Grant Program AB 86, an education finance committee budget trailer bill appropriated $250 million for onetime California Career Pathways Trust Grants to be administered by the Superintendent of Public Instruction (SPI). Eligible recipients of grants include school districts, county superintendents of schools, charter schools and community colleges for expenditure in the 2013-14 fiscal year to the 2015-2016 fiscal year. Position: CWA is working with the SPI’s office to request that collaboration with WIBS be a requirement for Career Pathways Grants. Status: AB 86 was signed by the Governor on July 1. SB 594 is a 2 year bill. The Department of Education is planning to issue the RFA by December 2013. Two Year Bills SB 413 by Sen. Knight (R-Lancaster) This bill calls for a STEM Teacher personal income tax credit. Position: SUPPORT Status: Failed passage in the Senate Governance and Finance Committee 2-3 on May 8. 2 year bill. The committee had concern with the revenue loss to the state --$75 million in 2013-14, and $55 million in 2014-15 and 2015-16 and also questioned whether a tax credit is the best tool to recruit STEM teachers. Offering higher wages to STEM teachers may be a better incentive. Senator Knight plans to continue to work on STEM issues and introduce a more modest bill next year. AB 684 by Assem. Medina (D- Riverside) This measure authorizes the CWIB to provide grants to accredited institutions offering GED test prep. Position: NEUTRAL, but also know this creates possible cost pressures on WIA funding to pay for grants. Status: 2 year bill. Held in Senate Appropriations Committee. AB 152 by Assem. Yamada (D-Davis) This bill re-establishes a Self-Employment Assistance (SEA) program in CA, and imposes eligibility requirements upon program applicants and waives job search requirements to permit a participant to collect his or her UI benefits while working full-time to start a business and create a job. Position: SUPPORT IF AMENDED to include measures to ensure that individuals are actually taking steps to set up a business. Status: 2 year bill. AB 152 was held by the Assembly Appropriations Committee during the Suspense process. (Any bill with a cost of over $150,000 is held in “Suspense,” and the either move forward from there or not, depending upon a leadership decision.) Governor’s Economic Development Initiatives (GEDI) After a multiyear effort, California’s redevelopment program was eliminated (SB 90), effective January 1, 2014. Going forward, three economic development programs are being offered – a hiring tax credit, sales & use tax credit on manufacturing and R & D equipment, and the California Competes program. See attached handout on GEDI with more details on the 3 initiatives.