BILL ANALYSIS Ó AB 1268 Page 1 Date of Hearing: April 24, 2013 ASSEMBLY COMMITTEE ON LABOR AND EMPLOYMENT Roger Hernández, Chair AB 1268 (John Pérez) - As Introduced: February 22, 2013 SUBJECT : Unemployment insurance: veterans: Veterans Workforce Development and Employment Office. SUMMARY : Establishes the Veterans Workforce Development and Employment Office (Office) within the Labor and Workforce Development Agency (Agency), as specified. Specifically, this bill : 1)Creates the Office within the Agency for the purpose of coordinating state veterans workforce development and employment services and requires the Office to do all of the following: a) Administer specified state and federal unemployment programs and services for veterans currently covered by the Employment Development Department (EDD); b) Develop a plan, by May 1, 2014, in collaboration with the EDD for the transfer of its veterans program and service administrative responsibilities from EDD to the Office; c) Transfer all support staff responsible for administration of the Disabled Veterans' Outreach Program (DVOP) and the federal Local Veterans' Employment Representatives (LVER) programs from the EDD to the Office according to the plan; and, d) Coordinate its efforts with the state Department of Veterans Affairs and the Governor's Interagency Council on Veterans. 2)Provides that the Office shall coordinate and consult with appropriate state agencies, departments, veterans' organizations and veterans' service providers to: a) Research the needs of veterans throughout the state and develop a profile of veterans' employment and training needs; AB 1268 Page 2 b) Develop a plan for the equitable distribution of the employment funds for veterans' employment services; c) Develop a strategy and program for identifying employers and small businesses interested in hiring veterans and establish the means by which any appropriate training and placement may occur; and, d) Seek federal and other funding for the research and development of veterans' employment and training needs. 3)Repeals existing law referencing the annual report required from EDD to the Legislature following any fiscal year in which state funds support the Veterans Employment Training services program and instead states that the Office shall provide an annual report to the Legislature regarding specified performance measures. 4)Makes related findings and declarations. EXISTING LAW : 1)Authorizes the EDD within the Agency to perform various functions and duties with respect to job creation and retention activities. 2)Requires the EDD to research and develop a profile of the employment and training needs of veterans throughout the state and to develop a plan to distribute employment funds for veterans' employment services, additionally requires the EDD to seek federal funding for these purposes. 3)Requires the EDD to submit an annual report to the Legislature, as specified, following any fiscal year in which state funds support the Veterans Employment Training services program. 4)Authorizes the EDD, in coordination with the California Workforce Investment Board (CWIB) to administer the federal Jobs for Veterans State Grant Program, and oversees the federal LVER, the Transition Assistance Program (TAP), and the DVOP. AB 1268 Page 3 FISCAL EFFECT : Unknown COMMENTS : The author points out that, "recent U.S. Bureau of Labor Statistics reports indicate that many veterans, especially younger veterans, women veterans, and members of the National Guard, experience significant difficulty and challenges finding employment. These issues will be compounded as larger numbers of soldiers and military personnel separate from service due to the wind down of the war in Afghanistan and additional federal defense budget cuts reduce the number of active duty personnel. Unfortunately, performance outcomes for California's federally-funded veterans' employment services indicate California lags behind most other states in helping veterans find and retain jobs." According to the author, the goal in establishing this Office is to better coordinate state veteran workforce development and employment services with the workforce training and employment programs administered by other state agencies and departments, including the California Workforce Investment Board (CWIB), Employment Training Panel (ETP), and the Employment Development Department. The author also notes this Office could also serve as the liaison with other state agencies and departments that need assistance in determining whether a veteran's military experience and training can be taken into consideration for purposes of any professional licensing or credentialing requirements. The author concludes, "This bill will help integrate and coordinate the state's veteran workforce programs so that California's veterans more fully take advantage of the increasing interest within the employer community to hire veterans. Part of this effort would include more widely informing employers and veterans of the availability of federal veteran hiring tax credits. Moreover, as the economy continues to recover and the state and its local governments invest in major public works projects, including any veteran job training and employment programs resulting from the passage of Proposition 39, our state government needs to be better positioned organizationally to AB 1268 Page 4 more effectively respond to and take advantage of the opportunities available to train and hire our veterans." Veterans' Program within EDD : The EDD partners with Local Workforce Investment Boards and other public and private service entities that provide resources and networking within a statewide workforce system and local One-Stop Career Centers. The EDD, among other things, assists veterans and their eligible spouses to maximize their employment and training opportunities. Veterans are entitled to many resources designed to help in their search for employment, among those resources is the Veterans' Program. The Veterans' Program is a grant-funded program within the EDD's Workforce Services Branch. Each year under the U.S. Department of Labor-Veterans' Employment and Training Service EDD is awarded the Jobs for Veterans State Grant (JVSG) to support the services to veterans provided by the Disabled Veterans' Outreach Program specialist (DVOP) and the federal Local Veterans' Employment Representative (LVER). There is Veterans' Program staff at the local One-Stop Career Centers statewide to coordinate, along with partnered agencies, a wide array of services, including but not limited to, employment services, job training, vocational education, supportive services, and participation in community college programs. The DVOP specialists, also known as the Veterans Employment Service Specialists, focus their efforts on those economically or educationally disadvantaged veterans who can reasonably be expected to benefit from improved employability as a result of receiving intensive services within the One-Stop Career Center system. The LVER staff, also known as the Veteran Workforce Specialist, conducts outreach to employers, assist veterans in job development contacts, conducting job search workshops, and establish job search groups. They also facilitate employment, training, and placement services to promote the hiring of veterans. The LVER concentrates on individualized job development services for veterans, especially those determined to be job ready after receipt of intensive services from the DVOP specialists. AB 1268 Page 5 Under this legislation, the veterans' services within EDD would be transferred to and administered by the newly created Office. This bill is double-referred to the Assembly Veterans Affairs Committee upon passage out of this Committee. PRIOR LEGISLATION : AB 171 (Chávez) of 2013 establishes the California Veterans Services and Workforce Development Division within the Department of Veterans Affairs for the purpose of coordinating and administering veterans' assistance programs in the state. AB 171 is in Assembly Veterans Affairs Committee. AB 1931 (Gorell) of 2012 would have established the California Veterans Services and Workforce Development Division within the Department of Veterans Affairs (DVA) for the purpose of coordinating and administering veterans' assistance programs, and would have transferred those programs from the EDD to the DVA. The bill was held under submission by the Senate Appropriations Committee. AB 2143 (Gilmore) of 2010 would have required the California Employment Development Department (EDD) in coordination with the California Department of Veteran Affairs (CDVA) to conduct a study and report to the Legislature, as specified. AB 2143 died without a hearing in the Senate Veterans Affairs Committee. AB 1806 (Committee on Budget) Chapter 69, Statutes of 2006 requires an annual report from EDD following any fiscal year in which state funds support the Veterans Employment Training services program. No report has been completed REGISTERED SUPPORT / OPPOSITION : Support AMVETS-Department of California California Association of County Veterans Service Officers California Labor Federation, AFL-CIO AB 1268 Page 6 San Diego Gas & Electric Southern California Gas Company VFW-Department of California Opposition None on file. Analysis Prepared by : Lorie Alvarez / L. & E. / (916) 319-2091