BILL ANALYSIS Ó SB 1070 Page 1 Date of Hearing: June 27, 2012 ASSEMBLY COMMITTEE ON EDUCATION Julia Brownley, Chair SB 1070 (Steinberg) - As Amended: June 11, 2012 ÝThis bill was referred to and heard by the Assembly Higher Education Committee as it relates to the issues under its jurisdiction] 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 SB 1070 Page 2 programs with high school CTE curriculum; b) Increase attainment of industry-recognized certificates in high-need, high-growth, or emerging regional economic 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 district-wide 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. SB 1070 Page 3 4)Requires the CCC Chancellor and the SPI to grant special consideration to all of the following: a) Applicants that display 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; and, 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 SB 1070 Page 4 Chancellor and the SPI to deny applications from grantees that exhibit unsatisfactory performance. 7)Requires the Chancellor and the SPI to provide adequate notice of the availability of contracts and grants and the application process. 8)Authorizes, for programs developed under the CTEPP, a CCC district to: 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 bill, as specified, and requires pupils to have completed the augmented California Standards Test (CST), or any successor assessment. 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 : 1)Establishes, until January 1, 2013, 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. SB 1070 Page 5 2)Establishes the California Partnership Academies (CPA) program as a state-school-private sector partnership to provide combined academic and occupational training to eligible at-risk students in grades 10-12, inclusive. 3)Establishes the Linked Learning Pilot Program (LLPP) to be administered by the California Department of Education (CDE) according to specified requirements for the purpose of implementing district-wide linked learning programs, as specified, in all participating school districts. 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. COMMENTS : Background : The CTE Pathways Initiative was established by SB 70 (Scott), Chapter 352, Statutes of 2005 to support the development of local/regional K-12 and CCC partnerships for purposes of improving CTE at both the community college and secondary level. According to information on the California Department of Education's (CDE) Internet Web site, In 2005, the amount of $20 million dollars was allocated from the Community College reversion account to fund SB 70 activities, and in 2006 additional funds were allocated through the enactment of SB 1133 (Torlakson), Chapter 751, Statutes of 2006, for five additional years through the 2013-14 fiscal year. The SB 70 statutes sunset on January 1, 2013. This bill reauthorizes the CTE Pathways Initiative as the CTEPP and revises the statutes to better align them with various practices and programs. The proposed revised statutes reflect a stronger focus on increasing secondary pupil readiness for, access to and success in postsecondary education and careers in high-need, high-growth or emerging economic sectors. The original statutes establishing the CTE Pathways Initiative are broad in nature and the details of the various programs were outlined in the CCC Chancellor's implementation strategy. This bill provides more specificity in the statutes in a manner that is consistent with existing programs and practices that have demonstrated promise. SB 1070 Page 6 The CCC Chancellor's office and the SPI have worked in partnership to implement SB 70. The CCC Chancellor has issued grants that support regional linkages between schools and CCCs and to support statewide infrastructure grants. Grant opportunities have been funded at both community college and secondary levels to strengthen and improve the articulation of CTE in an organized and seamless manner. It is believed that SB 70 was the first piece of legislation to trigger a partnership between the CCC and the SPI for purposes of CTE. This bill provides greater clarity with respect to the shared responsibility and partnership between the SPI and the CCC Chancellor and also provides for improved mechanisms to collect outcome-based data for evaluation purposes. Clarification needed : This bill requires the CCC Chancellor and the SPI to provide notice to all local educational agencies, county offices of education, and public postsecondary educational institutions eligible for contracts and grants. However, this bill does not specify what makes these entities eligible. Additionally, in a separate section, this bill also requires the CCC Chancellor and the SPI to assist economic and workforce regional development centers and consortia, community colleges, middle schools, high school and ROC/Ps by providing contracts and competitive grants for purposes of this bill. The two lists of potential applicants are inconsistent and thus it is not completely clear as to which entities are authorized to apply for such grants or contracts. Staff recommends the bill be amended to clarify which educational entities are authorized to apply. According to the author, "Studies show that programs that bring together strong academics, demanding technical education, and real world experience are more likely to engage pupils, raise high school graduation rates, and better prepare pupils for lasting success in college and careers. By aligning curricula to the needs of growing and emerging economic sectors, and by creating seamless pathways that connect middle and high school students to related community college programs, regional economies can be supported, and young people can realize their goals of further education and gainful employment in fields of interest and promise." Program outcomes : According to a December 2010 CCC Chancellor's Office report on the CTE Pathways Initiative, as of July 30, SB 1070 Page 7 2010, funding for the SB 70 program has totaled approximately $188 million. The report notes that all regions of the state have received grant support, with community college districts forming partnerships with K-12 districts, business/industry and other organizations or higher education institutions. A five year evaluation conducted by WestEd finds, that the CTE Pathways Initiative funding has helped build 5,792 partnerships, developed or revised over 1,000 courses, provided trainings or externships to over 36,000 staff at high schools and community colleges, and served almost 750,000 students. Additionally, the WestEd report noted that reviewers found "example after example of CTE Initiative projects helping to ensure students and adults succeed in college and career." The findings of the evaluation include: 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. Amendment from the Higher Education Committee : This bill was heard by the Assembly Higher Education Committee on June 19 and passed on an 8-0 vote. The author agreed to an amendment to remove the provision authorizing CCC districts to grant priority enrollment to students enrolled in these K-12 programs. This amendment was accepted in response to concerns that this might result in K-12 students receiving access to impacted CCC courses ahead of CCC students. Procedurally, the amendment will be adopted and processed by this Committee due to legislative deadlines. Related legislation : SB 1402 (Lieu) recasts and revises provisions governing the California Community Colleges Economic and Workforce Development Program that sunsets on January 1, 2013. SB 1402 is pending in the Higher Education Committee. SB 1070 Page 8 Previous legislation : SB 1133 (Torlakson), Chapter 751, Statutes of 2006, the Quality Education Investment Act (QEIA), implements 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, and provides funding for SB 70. SB 70 (Scott), Chapter 352, Statutes of 2005 establishes the Career Technical Education Pathways Initiative and provides funding for activities to be carried out through the Initiative. REGISTERED SUPPORT / OPPOSITION : Support State Superintendent of Public Instruction (Co-sponsor) Board of Governors of the California Community Colleges (Co-sponsor) American Federation of State, County and Municipal employees, AFL-CIO California Chamber of Commerce California Communities United Institute California Hospital Association California State PTA Career ladders Project Center for International Trade Development Clear Lake High School - if amended Coast Community College District Community College League of California Faculty Association of California Community Colleges Long Beach Community College District Los Angeles Area Chamber of Commerce Los Angeles County Office of Education Metropolitan Education District Metropolitan Education District Norcal Environmental Student Network - if amended North State Building Industry Association Placer Union High School District Regional Economic Association Leaders San Joaquin River Stewardship Program - if amended Silicon Valley Leadership Group Small Manufacturers Institute SB 1070 Page 9 Individuals Opposition None on file. Analysis Prepared by : Marisol Aviña / ED. / (916) 319-2087