BILL NUMBER: AB 2058	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 29, 2010
	AMENDED IN ASSEMBLY  APRIL 6, 2010

INTRODUCED BY   Assembly Member Block
   (Coauthors: Assembly Members Arambula, Blumenfield, Hayashi,
Bonnie Lowenthal, Solorio, and Torrico)
   (Coauthors: Senators Correa and DeSaulnier)

                        FEBRUARY 18, 2010

    An act to amend Sections 1266, 1267, 1268, 1271, 1271.5,
and 1272.5 of, to amend the heading of Article 1.5 (commencing with
Section 1266) of Chapter 5 of Part 1 of Division 1 of, to add
Sections 1266.1 and 1266.2 to, to repeal Sections 1270, 1272, and
1273 of, and to repeal and add Section 1269 of, the Unemployment
Insurance   An act to amend Sections 1266, 1267, 1269,
1270, 1271.5, 1272, and 1272.5 of, to amend the heading of Article
1.5 (commencing with Section 1266) of Ch   apter 5 of Part 1
of Division 1 of, and to add Sections 1266.1 and 1269.5 to, the
Unemployment Insurance  Code, relating to unemployment
insurance, making an appropriation therefor, and declaring the
urgency thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2058, as amended, Block. Unemployment insurance: retraining
benefits.
   Existing law provides unemployment compensation benefits to
eligible persons who are unemployed through no fault of their own.
Existing law, until January 1, 2015, provides for retraining benefits
to eligible individuals pursuant to the federal Trade Act of 1974,
as amended by the federal Trade Act of 2002. Existing law authorizes
an unemployed individual who files a claim for unemployment
compensation benefits or extended duration benefits, or an
application for federal-state extended benefits or any federally
funded unemployment compensation benefits, to apply to the Employment
Development Department for benefits during a period of training or
retraining. Existing law also requires that a determination of
potential eligibility for specified training and retraining benefits
be issued to an unemployed individual if the Director of Employment
Development finds that specified conditions apply.
   This bill would establish the California Training Benefits
Program, which, among other things, would revise those eligibility
requirements to, instead, specify that an unemployed individual who
qualifies for unemployment compensation benefits, extended duration
benefits, or federal-state extended benefits or any federally funded
unemployment compensation benefits, and applies for the program shall
be deemed to automatically be eligible for the program during a
period of training or retraining.  The bill would require
that if the director determines that the average state unemployment
rate, seasonally adjusted, as determined by the United States
Secretary of Labor, for the period consisting of the most recent 3
months for which data for all states are published for the close of
that week equals or exceeds 8.5%, recipients of unemployment
compensation benefits also be eligible to participate in training or
retraining programs.  
   Existing law specifies that any unemployed individual receiving
certain unemployment compensation benefits, who applies for a
determination of potential eligibility for those benefits no later
than the 16th week of his or her receiving those benefits, and is
determined to be eligible for those benefits, is entitled to a
training extension on his or her unemployment claim, if necessary, to
complete approved training.  
   This bill would eliminate that requirement that an individual
apply for a determination of potential eligibility no later than the
16th week of his or her receiving those benefits. The bill would
instead specify that any unemployed individual compensation benefits
who applies for a determination of eligibility for the training
program, and who requires a training extension in order to complete
the training, is entitled to all extension on his or her unemployment
claim, and would require that any training extension granted
pursuant to those provisions provide the claimant with a specified
weekly benefit amount, as prescribed.  
   Existing law requires that a determination of potential
eligibility for training or retraining benefits be issued to an
unemployed individual if the director makes a specified finding.

   This bill would, instead, require that a determination of
automatic eligibility for training or retraining be issued to an
unemployed individual if any of specified conditions apply. The bill
would also require that, if training or retraining is not authorized
under those provisions governing automatic eligibility for those
benefits, a determination of potential eligibility for benefits be
issued to the unemployed individual if the director finds that
specified criteria apply. 
   Existing law requires the department to inform all individuals who
claim unemployment compensation benefits in this state of the
benefits potentially available, and permits the department to convey
this information verbally or in written form, as provided.
   This bill would, instead, require the department to convey that
information verbally, in written form,  and on-line 
 or online  , and would require that the information be
made available on the department's Internet Web site in close
proximity to information on unemployment compensation claim forms.
   Existing law makes an individual ineligible for benefits in any
week during a period of training or retraining if he or she fails to
submit a specified certification.
   This bill would make an individual ineligible for benefits in any
week during a period of training or retraining if he or she fails to
submit biweekly information documenting his or her eligibility for
benefits for any week during a period of training or retraining.

   Existing law prohibits the payment of benefits during a period of
training or retraining to any individual for any week or part of any
week with respect to which he or she receives training or retraining
benefits, allowances, or stipends pursuant to specified federal laws
that provide for the payment of those benefits.  
   This bill would eliminate that prohibition on the payment of those
benefits. 
   Because the bill would make various changes to existing
eligibility requirements for training and retraining benefits, which
would result in additional amounts being payable from the
Unemployment Fund for those benefits, the bill would make an
appropriation.
   This bill would declare that it is to take effect immediately as
an urgency statute.
   Vote: 2/3. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  The heading of Article 1.5 (commencing with Section
1266) of Chapter 5 of Part 1 of Division 1 of the Unemployment
Insurance Code is amended to read:

      Article 1.5.   California Training Benefits Program


  SEC. 2.  Section 1266 of the Unemployment Insurance Code is amended
to read:
   1266.  This article shall be known, and may be cited, as the
California Training Benefits Program.
  SEC. 3.  Section 1266.1 is added to the Unemployment Insurance
Code, to read:
   1266.1.  Experience has shown that the ability of a large number
of the population of California to compete for jobs in the labor
market is impaired by advancement in technological improvements, the
widespread effects of automation and relocation in our economy, and
foreign competition as set forth in petitions certified under the
federal Trade Act of 1974, as amended (Title 19, United States Code,
Sections 2101 et seq.). The Legislature finds that many individuals
in California are lacking in skills that would make them competitive
in the labor market. They are in need of training or retraining to
upgrade their skills. It is the policy of this state to assist these
individuals by providing unemployment compensation benefits, extended
duration benefits, and other federally funded unemployment
compensation benefits, including those available under the federal
Trade Act of 1974 (Public Law 93-618), as amended by the federal
Trade Act of 2002 (Public Law 107-210), during a period of retraining
to qualify them for jobs and thus avoid long-term unemployment.

  SEC. 4.    Section 1266.2 is added to the
Unemployment Insurance Code, to read:
   1266.2.  If the director determines that the average state
unemployment rate, seasonally adjusted, as determined by the United
States Secretary of Labor, for the period consisting of the most
recent three months for which data for all states are published for
the close of that week, equals or exceeds 8.5 percent, recipients of
unemployment compensation benefits shall also be eligible to
participate in the California Training Benefits Program. 
   SEC. 5.   SEC. 4.   Section 1267 of the
Unemployment Insurance Code is amended to read:
   1267.  Notwithstanding any other provision of this division, with
respect to an unemployed individual otherwise eligible for benefits,
those benefits shall not be denied to an individual for any week
because he or she is in  training or retraining 
 eligible training or retraining, as described in Section 1269 or
1269.5  , or because of the application to any such week in
training or retraining of any law of this state relating to
availability for work, active search for work, refusal to accept
work, or for leaving his or her most recent work, if continuing the
most recent work would require the individual to terminate his or her
training or retraining course of instruction. The individual is
considered to be in training or retraining during regularly scheduled
vacation or recess periods, such as Christmas and Thanksgiving
holidays, or semester breaks, but not during a summer vacation
period. As used in this article, "individual" includes an exhaustee
as defined in Section 3503, and any individual claiming federal-state
extended benefits under Part 4 (commencing with Section 4001), and
anyone receiving federally funded unemployment compensation benefits.

  SEC. 6.    Section 1268 of the Unemployment
Insurance Code is amended to read:
   1268.  An individual who qualifies for unemployment compensation
benefits, extended duration benefits, federal-state extended
benefits, or any federally funded unemployment benefits under this
division, and who then applies for the California Training Benefits
Program under this article, shall be deemed to be automatically
eligible for the program during the period of training or retraining
allowed under this article.  
  SEC. 7.    Section 1269 of the Unemployment
Insurance Code is repealed.  
  SEC. 8.   Section 1269 is added to the
Unemployment Insurance Code, to read:
   1269.  Notwithstanding subdivision (c) of Section 1253, an
unemployed individual who initially qualifies for unemployment
compensation benefits is eligible to participate in the California
Training Benefits Program if he or she certifies on the unemployment
insurance claim form that he or she is enrolled in a training program
designed to improve his or her job skills, and a responsible person
connected with the training program certifies that the individual is
enrolled and is satisfactorily pursuing the training or retraining
course of instruction.  
  SEC. 9.    Section 1270 of the Unemployment
Insurance Code is repealed.  
  SEC. 10.    Section 1271 of the Unemployment
Insurance Code is amended to read:
   1271.  (a) Any unemployed individual receiving unemployment
insurance compensation benefits payable under this division who
applies for a determination of eligibility for the California
Training Benefits Program, and who requires a training extension in
order to complete the training, is entitled to a training extension
on his or her unemployment insurance compensation claim.
   (b) A training extension granted under this article shall provide
the claimant with a maximum of 52 times the weekly benefit amount,
which shall include the maximum benefit award on the parent
unemployment compensation claim.
   (c) The parent unemployment compensation claim shall be the
unemployment compensation claim in existence at the time the claimant
is determined eligible for benefits pursuant to subdivision (a).
   (d) Benefits payable under this section are subject to the
following limitations:
   (1) The individual shall remain eligible for benefits under this
article for all weeks potentially payable under this section.
   (2) The individual shall file any unemployment compensation claim
to which he or she becomes entitled under state or federal law, and
shall draw any unemployment compensation benefits on that claim until
it has expired or has been exhausted, in order to maintain his or
her eligibility under this article.
   (3) To the extent permitted by federal law, benefits payable under
any federal unemployment compensation law shall be included as
benefits payable under this section.  
  SEC. 9.    Section 1271.5 of the Unemployment
Insurance Code is amended to read:
   1271.5.  (a) The department shall inform all individuals who claim
unemployment compensation benefits in this state of the benefits
potentially available under this article and Section 1271. The
department shall convey this information verbally or in written form,
and online. Information required by this section shall be made
available on the department's Internet Web site in close proximity to
information on unemployment compensation claim forms.
   (b) Benefits paid shall be charged to individual employer reserve
accounts, consistent with the provisions of this code. 

  SEC. 10.    Section 1272 of the Unemployment
Insurance Code is repealed.  
  SEC. 11.    Section 1272.5 of the Unemployment
Insurance Code is amended to read:
   1272.5.  If an individual fails to submit biweekly information
documenting eligibility for any week during a period of training or
retraining, he or she shall be ineligible to receive any benefits for
that week. This section shall not render an individual ineligible
for benefits for any week during the period of training or retraining
if on or before Monday of that week he or she notifies the
department that his or her training or retraining course of
instruction has been or is being discontinued or terminated prior to
that week.  
  SEC. 12.    Section 1273 of the Unemployment
Insurance Code is repealed. 
   SEC. 5.    Section 1269 of the  
Unemployment Insurance Code   is amended to read: 
   1269.  A determination of  potential  
automatic  eligibility for benefits under this article shall be
issued to an unemployed individual if the director finds that any of
the following apply:
   (a) The training is authorized by the federal Workforce Investment
Act  (Public Law 106-220)  or by the Employment Training
Panel established pursuant to Chapter 3.5 (commencing with Section
10200) of Part 1 of Division 3. 
   (b) The training is on the state's Eligible Training Provider List
(ETPL), as authorized by the federal Workforce Investment Act
(Public Law 106-220).  
   (b) 
    (c)  The training is authorized by the federal Trade Act
of 1974, (19 U.S.C. Sec. 2101 et seq.), as amended by the federal
Trade Act of 2002 (Public Law 107-210),  and as those acts may be
amended by the Trade and Globalization Adjustment Assistance Act of
2009, enacted under the American Recovery and Reinvestment Act of
2009 (Public Law 111-5),  pursuant to a certified petition.

   (c) 
    (d)  The individual is a participant in the California
Work Opportunity and Responsibility to Kids (CalWORKs) program
pursuant to Article 3.2 (commencing with Section 11320) or Article
3.3 (commencing with Section 11330) of Chapter 2 of Part 3 of
Division 9 of the Welfare and Institutions Code, and has entered into
a contract with the county welfare department to participate in an
education or training program. 
   (d) That all of the following apply:  
   (1) The individual has been unemployed for four or more continuous
weeks, or the individual is unemployed and unlikely to return to his
or her most recent workplace because work opportunities in the
individual's job classification are impaired by a plant closure or a
substantial reduction in employment at the individual's most recent
workplace, by advancement in technological improvements, by the
effects of automation and relocation in the economy, or because of a
mental or physical disability which prohibits the individual from
utilizing existing occupational skills.  
   (2) One of the substantial causes of the individual's unemployment
is a lack of sufficient current demand in the individual's labor
market area for the occupational skills for which the individual is
fitted by training and experience or current physical or mental
capacity and that the lack of employment opportunities is expected to
continue for an extended period of time, or, if the individual's
occupation is one for which there is a seasonal variation in demand
in the labor market and the individual has no other skill for which
there is current demand.  
   (3) The training or retraining course of instruction relates to an
occupation or skill for which there are, or are expected to be in
the immediate future, reasonable employment opportunities in the
labor market area in this state in which the individual intends to
seek work and there is not a substantial surplus of workers with
requisite skills in the occupation in that area.  
   (4) If the individual is a journey level union member, the
training or retraining course of instruction is specific job-related
training necessary due to changes in technology, or necessary to
retain employment or to become more competitive in obtaining
employment.  
   (5) The training or retraining course of instruction is one
approved by the director and can be completed within one year.
 
   (6) The training or retraining course is a full-time course
prescribed for the primary purpose of training the applicant in
skills that will allow him or her to obtain immediate employment in a
demand occupation and is not primarily intended to meet the
requirements of any degree from a college, community college, or
university.  
   (7) The individual can be reasonably expected to complete the
training or retraining successfully.  
   (8) The beginning date of training is more than three years after
the beginning date of training last approved for the individual under
this subdivision.  
   (e) The individual is a journey level union member and the
training or retraining course of instruction is industry-related
training necessary due to changes in technology, or industry demands,
or is necessary to retain employment or to become more competitive
in obtaining employment. 
  SEC. 6.    Section 1269.5 is added to the  
Unemployment Insurance Code  , to read:  
   1269.5.  If the training is not authorized under Section 1269, a
determination of potential eligibility for benefits under this
article shall be issued to an unemployed individual if the director
finds that all of the follow apply:
   (a) The individual has been unemployed for four or more continuous
weeks, or the individual is unemployed and unlikely to return to his
or her most recent workplace because work opportunities in the
individual's job classification are impaired by a plant closure or a
substantial reduction in employment at the individual's most recent
workplace, by advancement in technological improvements, by the
effects of automation and relocation in the economy, or because of
mental or physical disability that prohibits the individual from
utilizing existing occupational skills.
   (b) One of the substantial causes of the individual's unemployment
is a lack of sufficient current demand in the individual's labor
market area for the occupational skills for which the individual is
fitted by training and experience or current physical or mental
capacity, and that the lack of employment opportunities is expected
to continue for an extended period of time, or, if the individual's
occupation is one for which there is a seasonal variation in demand
in the labor market and the individual has no other skill for which
there is current demand.
   (c) The training or retraining course of instruction relates to an
occupation or skill for which there are, or are expected to be in
the immediate future, reasonable employment opportunities in the
labor market area in this state in which the individual intends to
seek work and there is not a substantial surplus of workers with
requisite skills in the occupation in that area.
   (d) The training or retraining course of instruction is one
approved by the director and can be completed within a reasonable
period of time.
   (e) The training or retraining course is a full-time course
prescribed for the primary purpose of training the applicant in
skills that will allow him or her to obtain employment.
   (f) The individual can be reasonably expected to complete the
training or retraining successfully.
   (g) The beginning date of training is more than three years after
the beginning date of training last approved for the individual under
this subdivision.
   (h) If a determination of potential eligibility for benefits is
issued under this section and federal extended unemployment insurance
benefits are in effect, the director may find that an unemployed
individual is eligible for training benefits if the individual is
enrolled in a community college or other public postsecondary
education program with the purpose of preparing the applicant in
academic or job skills, including remedial training, that will
increase employment opportunities or that leads to an
industry-recognized credential or certificate designed for a specific
occupation. 
   SEC. 7.    Section 1270 of the  
Unemployment Insurance Code   is amended to read: 
   1270.  As used in this article:
   (a) "Demand occupation" means an occupation in a labor market area
in which the director determines work opportunities  with career
advancement opportunities and living wages  are available and
there is not a surplus of qualified applicants.
   (b) "Labor market area" means a county, or aggregation of counties
designated by the department that meets criteria of population,
population density, commute patterns, and social and economic
integration specified by the department.
   SEC. 8.    Section 1271.5 of the  
Unemployment Insurance Code   is amended to read: 
   1271.5.  (a) The department shall inform all individuals who claim
unemployment compensation benefits in this state of the benefits
potentially available under this article and Section 1271. The
department  may   shall  convey this
information verbally  or   ,  in written
form  , or onli   ne  . If in written form, the
department may utilize publications or handbooks that inform
individuals of their rights and duties in regard to unemployment
compensation benefits. These publications, issued by the department
pursuant to authorized regulations, may be used to satisfy the
requirements of this section.  Information required by this
section shall be made available on the department's Internet Web site
in close proximity to information on unemployment compensation claim
forms. 
   (b) Benefits paid under Section 1271 shall be charged to
individual employer reserve accounts, consistent with the provisions
of this code.
   SEC. 9.    Section 1272 of the  
Unemployment Insurance Code   is amended to read: 
   1272.  Notwithstanding subdivision (c) of Section 1253, an
unemployed individual who is able to work is eligible to receive
benefits under this article with respect to any week during a period
of training or retraining only if the director finds both of the
following:
   (a) He or she has been determined potentially eligible under
Section 1269  , 1269.5,  or 1271.
   (b) He or she submits with each claim a written certification
executed by a responsible person connected with the training or
retraining program certifying that he or she is enrolled in and
satisfactorily pursuing the training or retraining course of
instruction.
   SEC. 10.    Section 1272.5 of the  
Unemployment Insurance Code   is amended to read: 
   1272.5.  If an individual fails to submit  biweekly
information documenting eligibility  for any week during a
period of training or retraining the certification required by
Section 1272, he or she shall be ineligible to receive any benefits
for that week. This section shall not render an individual ineligible
for benefits for any week during the period of training or
retraining if on or before Monday of that week he or she notifies the
department that his or her training or retraining course of
instruction has been or is being discontinued or terminated prior to
that week.
   SEC. 13.   SEC. 11.   This act is an
urgency statute necessary for the immediate preservation of the
public peace, health, or safety within the meaning of Article IV of
the Constitution and shall go into immediate effect. The facts
constituting the necessity are:
   In order to address the fiscal crisis facing the unemployment
insurance system in this state, it is necessary that this act take
effect immediately.