BILL ANALYSIS Ó SB 1070 Page 1 Date of Hearing: June 19, 2012 ASSEMBLY COMMITTEE ON HIGHER EDUCATION Marty Block, Chair SB 1070 (Steinberg) - As Amended: June 11, 2012 SENATE VOTE : 38-0 SUBJECT : Career Technical Education Pathways Program. SUMMARY : Recasts and revises provisions that govern the Career Technical Education Pathways Program (CTEPP) and extends the program's sunset date from January 1, 2013, to January 1, 2018. Specifically, this bill : 1)Requires the California Community Colleges (CCC) Chancellor and the Superintendent of Public Instruction (SPI) to assist economic and workforce regional development centers and consortia, middle schools, high schools, CCCs, and regional occupational centers and programs (ROC/Ps) to improve linkages and career technical education (CTE) pathways between high schools and CCCs to accomplish the following: a) Increase the readiness of middle school and high school pupils for, and their access to, postsecondary education and careers in high-need, high-growth, or emerging regional economic sectors, and, b) Increase student success in postsecondary education and training for careers in high-need, high-growth, or emerging regional economic sectors. 2)Requires the assistance to be provided in the form of jointly-administered contracts and competitive grants for programs and initiatives that demonstrate a plan for close collaboration among regional institutions and entities, including school districts, public postsecondary educational institutions, ROC/Ps, and businesses or industries to jointly accomplish the following: a) Align existing postsecondary technical preparation programs with high school CTE curriculum, b) Increase attainment of industry-recognized certificates in high-need, high-growth, or emerging regional economic SB 1070 Page 2 sectors, c) Promote productive partnerships between high school CTE programs, postsecondary educational institutions, and labor organizations connected to those businesses and industries, as specified, d) Promote and track the participation of middle school and high school pupils and college students in articulated courses between high schools, CCCs, and where appropriate, four-year postsecondary institutions, e) Provide professional development to middle and high school teachers and CCC faculty to improve their delivery of career-oriented academic and technical education, as specified, f) Expand middle and high school pupil and college student opportunities for paid work opportunities, paid or unpaid internships, and participation in CTE organizations, and expand teacher and faculty opportunities for externships in high-need, high-growth, or emerging regional economic sectors, g) Support a districtwide linked learning program, as specified, and, h) Validate, or establish and validate, reliable and stable measures of pupil readiness for postsecondary education and career. 3)Requires the CCC Chancellor and the SPI to give first priority for contracts and grants to applicants that can demonstrate comprehensive regional collaboration to create new pathways or course sequences that begin with foundational preparation or exploration in middle school, continue with high school level courses that combine rigorous academics with career education and are articulated with local CCCs and four-year public postsecondary educational institutions with meaningful involvement from regional industry and labor organizations and professional trade associations. 4)Requires the CCC Chancellor and the SPI to grant special consideration to: SB 1070 Page 3 a) Applicants that demonstrates statewide benefit through dissemination of courses, best practices, or other means, b) Applicants that identify, acquire, and leverage additional financial and in-kind public and private resources to support their efforts, and, c) Applicants from rural regions of the state where traditional articulation and collaboration among segments and public postsecondary educational institutions may not be practical due to geography. 5)Requires the CCC Chancellor and the SPI to do the following: a) Require applicants awarded a contract or grant to submit outcome-based data for evaluation, as specified, that assesses the systemic impact of the contract or grant on the success of participants in achieving specified goals; b) Develop standardized procedures and tools to collect and share data; and, c) Submit a report to the Governor and appropriate policy and fiscal committees of the Legislature on or before March 1 of each year that contains the following information: i) Outcome-based data. ii) Expenditure information by type, industry, and region. iii) The number of pupils and students served by the CTEPP. 6)Requires the CCC Chancellor and the SPI to consider program performance in determining eligibility for contract and grant renewal; specifies that contracts and grants may be terminated or rescinded for failure to provide required data, and authorizes the CCC Chancellor and the SPI to consider past performance prior to awarding additional funds to those reapplying for contracts and grants. Requires the CCC Chancellor and the SPI to deny applications from grantees that exhibit unsatisfactory performance. 7)Requires the Chancellor and the SPI to provide adequate notice SB 1070 Page 4 of the availability of contracts and grants and the application process. 8)Authorizes, for programs developed under the CTEPP, a CCC district to do both of the following: a) Enroll a high school pupil who is not a resident of the CCC district and provides that the district shall not be subject to any other geographic limitations for the program, and, b) Provide priority enrollment to a high school pupil enrolled in a focused curricular pathway program that is developed and implemented by a CCC district pursuant to this section, as specified. 9)Requires the CCC Chancellor and the SPI to develop an implementation strategy plan for the program objectives specified as part of an annual expenditure plan. Requires the plan to be submitted to the appropriate policy and fiscal committees of the Legislature and to the Department of Finance at least 30 days before taking an action to implement the plan. 10)Specifies that the authorizing statute for CTEPP shall be operative only in fiscal years for which funds have been appropriated for that purpose and that the program is to remain in effect until June 30, 2018. EXISTING LAW , until January 1, 2013, establishes the California Community Colleges Economic and Workforce Development Program and requires the California Community Colleges (CCC) Board of Governors to assist economic and workforce regional development centers and consortia, including middle and junior high schools or high schools and ROC/Ps to improve linkages and career-technical education pathways between high schools and CCCs. (Education Code § 88530 and § 88532) FISCAL EFFECT : According to the Senate Appropriations Committee, the sunset extensions will result in substantial General Fund cost pressure beginning in 2014-15, after the program's current funding source is reduced by $28 million and on-going annual cost pressure of $48 million beginning in 2015-16, after the program's current funding source ends. SB 1070 Page 5 COMMENTS : This bill is double referred to the Assembly Education Committee. Background . In 2005, the Career Technical Education Pathways Initiative (Initiative) was established by SB 70 (Scott, Chapter 352, Statutes of 2005) to provide resources for the support of CTE programs at middle schools, high schools, ROC/Ps, and CCCs. The Initiative sunsets effective January 1, 2013. According to information provided by the author, the Initiative has served nearly 750,000 California middle and high school pupils and college students through a variety of programs and services designed to increase their success in college and career. The Initiative, administered by the CCC Chancellor and the SPI, has focused on enhanced articulation and collaboration. Some of the programs supported through the Initiative include high school California Partnership Academies, CCC Career Advancement Academies, and the University of California Curriculum Integration Institute. In its November 2011 statewide evaluation of the Initiative's efforts, WestEd noted that reviewers found "example after example of CTE Initiative projects helping to ensure students and adults succeed in college and career." Key findings of the evaluation: 1)More students from kindergarten to adult learners in the community colleges have access to pathway courses, opportunities for career exploration, internships/apprenticeships, and access to business/industry mentors. 2)A growing number of industries and businesses see the value of CTE and are eager to provide opportunities for job shadowing, observation, and workplace internships. 3)There is increasing teacher interest and creativity in the integration of career and industry related material in academic subjects. Need for this bill . According to the author, the statutory sunset of the Initiative at the end of 2012 provides an opportunity to strengthen and focus the program on high priority sectors of the state's economy. This bill recasts the Initiative as the CTEPP and focuses its efforts on 1) increasing SB 1070 Page 6 the readiness of middle and high school students for college/training leading to careers in high-need, high-growth or emerging regional economic sectors and 2) increasing student success in college/training for careers in those sectors. Author's amendment . The author has agreed to remove the provision authorizing CCC districts to grant priority enrollment to students enrolled in these K-12 programs in response to concerns that this might result in K-12 students receiving access to impacted CCC courses ahead of CCC students. Fiscal note . Funding for the grants and contracts authorized by this bill is budgeted through 2014-15 as part of the Quality Education Investment Act (QEIA) settlement. This bill provides statutory guidance for those funds that have already been budgeted. Related and prior legislation . SB 1402 (Lieu), scheduled to be heard by this Committee on July 3, generally recasts and revises provisions governing the CCC Economic and Workforce Development Program that sunsets on January 1, 2013. SB 1133 (Torlakson, Chapter 751, 2006) implemented the QEIA settlement with the California Teachers Association and makes funding available to allocate to elementary, secondary, and charter schools that are ranked in either decile 1 or 2 as determined by the 2005 Academic Performance Index base. SB 70 (Scott, Chapter 352, 2005) established the Career Technical Education Pathways Initiative and provided funding for activities to be carried out through the Initiative. REGISTERED SUPPORT / OPPOSITION : Support Advancement Project American Federation of State, County and Municipal employees, AFL-CIO Board of Governors of the California Community Colleges California Communities United Institute California Hospital Association California State PTA Center for International Trade Development Community College League of California Faculty Association of California Community Colleges Los Angeles Area Chamber of Commerce SB 1070 Page 7 Metropolitan Education District North State Building Industry Association Placer Union High School District Regional Economic Association Leaders Silicon Valley Leadership Group Tom Torlakson, State Superintendent of Public Instruction, California Department of Education Opposition None on file. Analysis Prepared by : Sandra Fried / HIGHER ED. / (916) 319-3960