BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                    THIRD READING


          Bill No:  AB 1268
          Author:   John A. Pérez (D), et al.
          Amended:  As introduced
          Vote:     27


           SENATE LABOR & INDUSTRIAL RELATIONS COMMITTEE  :  4-0, 6/26/13
          AYES:  Monning, Wyland, Leno, Yee
          NO VOTE RECORDED:  Padilla

          SENATE APPROPRIATIONS COMMITTEE  :  7-0, 8/30/13
          AYES:  De León, Walters, Gaines, Hill, Lara, Padilla, Steinberg

           ASSEMBLY FLOOR  :  77-1, 5/29/13 - See last page for vote


           SUBJECT  :    Unemployment insurance:  veterans' unemployment:   
          Veterans                                                     
          Workforce and Employment Office

           SOURCE  :     Author


           DIGEST  :    This bill establishes the Veterans Workforce  
          Development and Employment Office (Office) within the Labor and  
          Workforce Development Agency (LWDA) for the purpose of  
          coordinating veterans' workforce services.

           ANALYSIS  :    

          Existing law:
           
           1.Authorizes the Employment Development Department (EDD), within  
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            the LWDA, among other things, to study and make  
            recommendations as to actions which might promote the  
            prevention of unemployment and stabilization of employment,  
            encourage and assist in the adoption of practical methods of  
            vocational training, and promote re-employment of workers.

          2.Requires the EDD, in consultation and coordination with  
            veterans' organizations and veteran service providers, to do  
            all of the following:

             A.   Research the needs of veterans throughout the state and  
               develop a profile of veterans' employment and training  
               needs;

             B.   Develop a statewide plan for the equitable distribution  
               of employment funds for veterans' employment services; and

             C.   Seek federal funding for purposes, as specified.

          1.Provides that the EDD is also responsible for the  
            administration of the programs and services described in the  
            federal Jobs for Veterans State Grant Program, including the  
            federal Disabled Veterans' Outreach Program (DVOP) and the  
            federal Local Veterans' Employment Representatives program  
            (LVER).

          2.Requires that EDD, following any fiscal year in which state  
            funds support the Veterans Employment Training services  
            program, to provide an annual report to the Legislature (on or  
            before November 1) regarding the following performance  
            measures, as specified. 

             A.   The number of veterans receiving individualized, case  
               managed services.
             B.   The number of veterans receiving these services and  
               entering employment.
             C.   The retention rate for veterans who enter employment.
             D.   The average earnings for veterans entering employment.
           
           This bill establishes the Office within the LWDA for the purpose  
          of coordinating veterans' workforce services.

          Specifically, this bill:


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          1.Creates the Office 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  
               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 DVOP and the LVER programs from the  
               EDD to the Office according to the plan.

             D.   Coordinate its efforts with the California Department of  
               Veterans Affairs (CDVA) and the Governor's Interagency  
               Council on Veterans.

          1.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.

             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.

             D.   Seek federal and other funding for the research and  
               development of veterans' employment and training needs.

          1.Repeals existing law referencing the annual report required  
            from EDD to the Legislature and instead states that the Office  
            shall provide an annual report to the Legislature regarding  
            specified performance measures.

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          2.Makes several findings and declarations related to the need  
            for coordination of veterans workforce development services.

           Background 

          Veteran Population in California  .  California is home to over  
          1.8 million veterans, representing 8.3% of the total U.S.  
          veteran population.  72% of the veteran population is fifty  
          years of age or above, and the number of veterans 85 years of  
          age or older is projected to increase 20% between 2010 and 2019.  
           CDVA anticipates receiving an additional 35,000-40,000  
          discharged members of the armed services each year for the next  
          several years - more than any other state.  According to CDVA,  
          historically, the largest demand for benefits and services for  
          veterans occurs immediately after discharge and again as the  
          veteran population ages and requires greater access to medical  
          facilities and long-term care services.

           Employment assistance services for veterans  .  The EDD assists  
          veterans and their eligible spouses maximize their employment  
          and training opportunities through individualized case managed  
          services.  The EDD veterans' representatives specialize in  
          assisting veterans in their efforts to return to work and are  
          located in many local EDD offices.  Services provided include a  
          veteran 24-hour priority hold on all job listings, customized  
          job search assistance, job fairs, employer recruitments, and  
          other events and resources.

          The DVOP specialists, also known as the Veterans Employment  
          Service Specialists, focus their efforts on those economically  
          or educationally disadvantaged 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.  Furthermore, the LVER concentrates on individualized  
          job development services for veterans, especially those  
          determined to be job ready after receipt of intensive services  
          by the DVOP specialists.

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          In program year 2011-12, Governor Brown took action to support  
          California's returning veterans by issuing Executive Order  
          B-9-11, creating the California Interagency Council on Veterans,  
          whose purpose is to identify and prioritize the needs of  
          California's veterans, and to coordinate the activities at all  
          levels of government in addressing those needs. 

           FISCAL EFFECT :    Appropriation:  Yes   Fiscal Com.:  Yes    
          Local:  No

          According to the Senate Appropriations Committee, LWDA will  
          incur one-time costs, likely in the low hundreds of thousands of  
          dollars (special funds), to implement the provisions of this  
          bill.  LWDA will be required to establish and organize the  
          Office and relocate affected programs from EDD.  Ongoing costs  
          to LWDA will be about $200,000 (special funds) to interact and  
          coordinate with other state agencies that provide veterans  
          services.  EDD could incur some one-time transition costs as  
          well.

           SUPPORT  :   (Verified  8/29/13)

          AMVETS - Department of California
          California Association of County Veterans Service Officers
          California Labor Federation
          San Diego Gas and Electric
          Southern California Gas Company
          The Home Depot
          VFW - Department of California

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          recent reports from the U.S. Department of Labor's, Bureau of  
          Labor Statistics, indicate that many veterans, especially  
          younger veterans, women veterans, and members of the National  
          Guard, continue to experience significant difficulty and  
          challenges finding employment.  This will be compounded when a  
          large number 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.

          The author's office argues, California's existing state veteran  
          workforce programs managed by EDD underperform compared to other  

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          states.  In addition, EDD's reliance on job listing Internet Web  
          sites and job fairs often renders it difficult for veterans to  
          more directly interact with employers and to connect veterans  
          with employment opportunities.  Moreover, the availability of  
          federal veteran hiring tax credits are not promoted nearly  
          enough by the state Labor Agency or EDD and will represent an  
          important component of this effort.

          The author's office states that the voter's approval of  
          Proposition 39 in the November 2012 General Election also holds  
          the potential of generating significant funding for veteran job  
          training and employment opportunities, which the establishment  
          of this Office will help support and coordinate on behalf the  
          state's veteran community.  Overall, the author's office  
          believes that California veterans deserve more employment  
          assistance than simply job posting Internet Web sites and job  
          fairs and argues that establishing an Office will allow veterans  
          to more fully participate in the national movement by major  
          employers to hire veterans.

           ASSEMBLY FLOOR  :  77-1, 5/29/13
          AYES:  Achadjian, Alejo, Allen, Ammiano, Atkins, Bigelow, Bloom,  
            Blumenfield, Bocanegra, Bonilla, Bonta, Bradford, Brown,  
            Buchanan, Ian Calderon, Campos, Chau, Chávez, Chesbro, Conway,  
            Cooley, Dahle, Daly, Dickinson, Eggman, Fong, Fox, Frazier,  
            Beth Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gorell,  
            Gray, Grove, Hagman, Hall, Harkey, Roger Hernández, Jones,  
            Jones-Sawyer, Levine, Linder, Logue, Lowenthal, Maienschein,  
            Mansoor, Medina, Melendez, Mitchell, Morrell, Mullin,  
            Muratsuchi, Nazarian, Nestande, Olsen, Pan, Patterson, Perea,  
            V. Manuel Pérez, Quirk, Quirk-Silva, Rendon, Salas, Skinner,  
            Stone, Ting, Wagner, Waldron, Weber, Wieckowski, Wilk,  
            Williams, Yamada, John A. Pérez
          NOES:  Donnelly
          NO VOTE RECORDED:  Holden, Vacancy


          PQ:ej  8/31/13   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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