BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                               AB 2060
                                                               Page  1

       Date of Hearing:   April 30, 2014

          ASSEMBLY COMMITTEE ON JOBS, ECONOMIC DEVELOPMENT AND THE ECONOMY
                                 Jose Medina, Chair
               AB 2060 (V. Manuel Pérez) - As Amended:  April 21, 2014
        
       SUBJECT  :   Postrelease Community Supervision Population Workforce  
       Training Grant Program

        SUMMARY  :   Establishes the Supervised Population Workforce Training  
       Grant Program (Program) to be administered by the California Workforce  
       Investment Board (CWIB).  For the purposes of establishing and  
       implementing the Program,  this bill  :   

       1)Requires that the Program be competitive; open to all counties, as  
         specified; and funded, upon appropriation from the Legislature using  
         money from the Recidivism Reduction Fund.

       2)Requires CWIB to administer the Program as follows:

          a)   Develop criteria for the selection of grant recipients through  
            a public process.

          b)   Design the grant program application to ensure that there is:

            i)     Fairness and competitiveness for smaller counties;

            ii)    Fair and equitable geographic distribution of grant funds;  
              and,

            iii)   Greater consideration given to a county that has  
              demonstrated that they have a collaborative working  
              relationship with one or more local workforce investment boards  
              or that the county is currently administering a workforce  
              training program for the supervised population.  

       3)Provides that each county is eligible to apply for the grant program  
         funds but that preference is given to counties with demonstrated  
         matching funding.  The bill allows matching funds to come from  
         governmental or nongovernmental sources, including, but not limited  
         to, local workforce investment boards, local governments, or private  
         foundation funds.

       4)Specifies that eligible uses of grant funds include, but are not  
         limited to, vocational training, stipends for trainees, and  








                                                               AB 2060
                                                               Page  2

         apprenticeship opportunities for the supervised population.

       5)Requires grant recipients to report to CWIB regarding their use of  
         the funds and workforce training program outcomes upon completion of  
         the grant period.

       6)Requires the CWIB to submit an evaluation of the Program by January  
         1, 2017, which includes information submitted by the grant  
         recipients and the CWIB's analysis of overall program outcomes, , as  
         specified.

        EXISTING LAW  :

       1)Establishes the CWIB, comprised of members appointed by the Governor  
         and the appropriate presiding officer(s) of each house of the  
         Legislature, and specifies that the executive director of the CWIB  
         report to the Secretary of the California Labor and Workforce  
         Development Agency.  The CWIB is responsible for assisting the state  
         in meeting the requirements of the federal Workforce Investment Act  
         of 1998 (WIA), as well as assisting the Governor in the development,  
         oversight, and continuous improvement of California's workforce  
         investment system.

       2)Creates in the State Treasury the Recidivism Reduction Fund for  
         moneys to be available, upon appropriation by the Legislature, for  
         activities designed to reduce the state's prison population,  
         including, but not limited to, reducing recidivism.   

       3)Allows funds available in the Recidivism Reduction Fund to be  
         transferred to the State Community Corrections Performance  
         Incentives Fund.   

        FISCAL EFFECT  :   Unknown

        COMMENTS  :    

        1)Author's Purpose  :  According to the author, "With orders from the  
         U.S. Supreme Court to reduce its prison population, the state needs  
         smart, effective policies to help local jurisdictions achieve  
         realignment goals and reduce recidivism.

         Workforce development for the re-entry population is a practical  
         strategy for improving access to a stable job.  It helps improve  
         offender outcomes, reduce the likelihood of recidivism, and promote  
         community safety and stability."








                                                               AB 2060
                                                               Page  3


        2)Framing the Policy Issue  :  This bill proposes the establishment of a  
         new program to support quality workforce training and job placement  
         services to men and women who are reentering communities from  
         incarceration.  The need for this type of assistance has been  
         advocated by many constituencies, including, but not limited to  
         advocates for formerly incarcerated adults, criminal justice policy  
         researchers, law enforcement, and business and community leaders 

         In deliberating the merits of the measure, Members may wish to  
         consider the challenges formally incarcerated individuals face in  
         reentering society and the social and financial cost to society for  
         the state's high recidivism rate.  The analysis includes information  
         on these issues including suggested amendments in Comment 8 and a  
         list of related legislation.   

        3)Court Actions related to Prison Overcrowding :  For decades,  
         California's prison system has faced significant challenges in  
         meeting both its basic security and rehabilitation responsibilities.  
          Designed to house an inmate population of 80,000, the state prison  
         population has remained well above that mark.  In 2006, the  
         California prison population hit its peak with over 170,000 men and  
         women being housed within the state prison system.   

         The resulting conditions were the subject of two federal class  
         actions.  In the first case, Coleman v. Brown (filed 1990), the  
         District Court found that prisoners with serious mental illness did  
         not receive minimal, adequate care and after over a decade of  
         remediation the Special Master assigned reported that the system's  
         mental health care continued to seriously and negatively be impacted  
         by overcrowding.  In the second case a decade later, Planta v. Brown  
         (filed 2001), the state conceded deficiencies in prison medical care  
         violated prisoners Eight Amendments rights and stimulated to  
         remedial injunction.  When the state failed to comply with the  
         injunction, the plaintiffs in both cases moved to convene a  
         three-judge court in order command the state to reduce the prison  
         population.  The cases were ultimately consolidated and, in August  
         2009, the federal three-judge panel found that prison overcrowding  
         was the primary reason that the state was unable to provide inmates  
         with constitutionally adequate health care.  The court ordered that  
         the state reduce its inmate population to no more than 137.5% of the  
         design capacity in the prisons operated by the CDCR by June 2013  
         [Planta/Coleman v. Brown].  Failing to meet this deadline, the court  
         stated would result in the early release of inmates.









                                                               AB 2060
                                                               Page  4

         In response to this 2009 order, the state has taken a variety of  
         actions to reduce the size of its prison population.  The most  
         significant of these changes was the 2009 parole reforms and the  
         2011 realignment of certain criminal justice responsibilities from  
         the state to the California counties.  By the end of 2012-13,  
         realignment has been credited with reducing the prison population by  
         tens of thousands of inmates.  The reductions were, however,  
         insufficient to meet the court mandate and, upon request, the June  
         2013 deadline was extended to April 18, 2014.  

         Understanding that additional actions would still be needed to meet  
         the court order regardless of the specific deadline, the Legislature  
         passed and the Governor signed legislation, which provided CDCR with  
         an additional $315 million in General Fund support in 2013-14.    
         These moneys were appropriated to be used for contracts to secure a  
         sufficient amount of inmate housing to meet the court order and to  
         take other actions to avoid the early release of inmates. The  
         measure also included provisions to provide program flexibility  
         should the court again extend the deadline for meeting the capacity  
         limit.  Specifically, the bill allows up to $75 million that would  
         have otherwise been used to contract for bed space to be deposited  
         in the Recidivism Reduction Fund.  Additional program savings are to  
         be allocated as follows: 50% reverted to the General Fund and 50%  
         transferred to the Recidivism Reduction Fund.   [AB 105 (Steinberg),  
         Chapter 310, Statutes of 2013]

         In January 2014, the Governor again requested the court extend the  
         deadline to reduce the prison population.  The court subsequently  
         granted the extension. Specifically, the court ordered the state to  
         reduce its prison population to:

              143% of design capacity by June 30, 2014.
              141.5% of design capacity by February 28, 2015.
              137.5% of design capacity by February 28, 2016.

         The court also plans to appoint a Compliance Officer. If the  
         administration fails to meet any of the above benchmarks, the  
         Compliance Officer would be authorized to order the release of the  
         number of inmates required to meet the benchmark.  

         According to the Legislative Analysts' Office, the administration's  
         plan to comply with the court order consists of three primary  
         strategies: (1) contracting for bed space, (2) utilizing funding  
         from the Recidivism Reduction Fund to support initiatives intended  
         to reduce the prison population, and (3) implementing population  








                                                               AB 2060
                                                               Page  5

         reduction measures.  More specifically, the Governor's budget  
         proposes a total of $481.6 million to house about 8,000 inmates in  
         in-state contract beds and above 9,000 inmates in out-of-state  
         contract beds in 2014-15.  This represents an increase of $97.1  
         million and over 4,700 contract beds above the revised 2013-14  
         level.
          
       1)Recidivism Reduction Fund  :  Moneys in the Recidivism Reduction Fund  
         are to be used to fund activities help lower the state's prison  
         population, including, but not limited to, reducing recidivism.  It  
         is currently estimated that the Recidivism Reduction Fund has over  
         $81 million in the budget year.  Senator Darrell Steinberg, Pro  
         Tempore of the Senate, is reported as saying he would be open to  
         substantially increasing the amount of moneys appropriated to the  
         Recidivism Reduction Fund based on the needs of the formerly  
         incarcerated and the significant consequences should the state fail  
         to meet its court mandated inmate reduction deadlines.

         The Republican Members of the Assembly Select Committee on Justice  
         Reinvestment, have also recommended nearly doubling deposits into  
         the Recidivism Reduction Fund, from $81million to $157.7 million.   
         Of this amount, they recommend that $30 million be allocated to  
         county probation departments for first-time juvenile offenders.

         AB 2060 seeks to use funds from the Recidivism Reduction Fund to  
         provide grants to county governments to assist in vocational  
         training, stipends for trainees, and apprenticeship opportunities.   
         The bill targets these services to supervised probation, mandatory  
         supervision, or postrelease community supervision.

        2)State Strategy on Employment of Former Offenders  :  The federal  
         Workforce Investment Act requires the Governor, through CWIB, to  
         submit a State Strategic Workforce Development Plan (State Plan) to  
         the U.S. Department of Labor. This plan outlines a five-year  
         strategy for the investment of federal workforce training and  
         employment services funds.  With respect to services to former  
         offenders, CWIB states the following:

            "The State Board has leveraged the [California Department of  
            Corrections and Rehabilitation (CDCR)] expertise to help Local  
            Boards obtain additional funding from "realignment" funds  
            allocated to counties. A workshop was conducted by the California  
            Workforce Association, which included CDCR and Local Board staff  
            sharing knowledge about realignment and funding so that Local  
            Boards might be in a better position to engage their counties in  








                                                               AB 2060
                                                               Page  6

            seeking funding to serve this new "realigned" population. 

            The State Board will continue to work closely with CDCR and LWIBs  
            to encourage and develop innovative services for the ex-offender  
            population.  Policy Link and the National Employment Law Project  
            (NELP), the State Board is helping convene LWIBs, to ensure  
            formally incarcerated individuals have access to quality  
            employment services. The State Board also worked with  
            theEmployment Development Department and NELP to develop a  
            directive to ensure that LWIBs comply with nondiscrimination  
            obligations when serving individuals with criminal records.  
             http://edd.ca.gov/Jobs_and_Training/pubs/wsd12-9.pdf  ."

            Consistent with Adults Goal Objective 1, Action 2; the State  
            Board will work with the LWIBs to identify in their Local Plan  
            strategies they will utilize to identify and remove barriers  
            hampering their investment of WIA Adult and Dislocated Worker  
            funds in [career technical education] programs to the ex-offender  
            population in their areas.
            
        3)Examples of Training Activities  :  In preparation for this analysis,  
         the Committee asked the California Workforce Association to survey  
         its membership about current and previous activities related to  
         reentry programs that targeted the formally incarcerated.  Of the 49  
         LWIBs in California, 11 boards were able to respond under the tight  
         timeframes including: Golden Sierra; Inyo and Mono Consortium; Kern  
         County; Marin County; Merced County;  Monterey County;  San  
         Bernardino County; San Diego County; Sacramento County; Sonoma  
         County; Santa Cruz County; and the Verdugo Consortium.  These 11  
         LWIBs reported serving 1,782 individuals who were reentering  
         communities following incarceration in the prior year. The  
         California Workforce Association believes this figure is much higher  
         as the other 38 WIBs also serve the re-entry population.  Below is a  
         summary of the answers provided.

          a)   What type of re-entry programs do you have and how many people  
            do they serve?
          
            Many local workforce investment boards receive funding from their  
            local probation departments.  Services in these programs  
            generally include a reentry navigator/case manager who acts as an  
            employment counselor and also ensures that appropriate wrap  
            around services are offered to the job seekers.  

            The goal of these programs is to help the individual find  








                                                               AB 2060
                                                               Page  7

            full-time employment.  Large portions of the program focus on job  
            readiness training, on-the-job training, work experience and  
            class room/vocational training.  Support services are also a key  
            component to the re-entry programs.  Services such as GED  
            preparation and testing, transportation vouchers, food vouchers,  
            record expungement, counseling, housing assistance, driver  
            license and social security compliance, etc. 

            Even in local workforce areas where direct funding is not  
            received, workforce boards use their own funds to partner with  
            the probation and juvenile justice system to offer job readiness  
            workshops including resume preparation, interview skills, labor  
            market opportunities, filling out applications, and dress for  
            success.  

          b)   What is the total funding for those programs and where are the  
            funds from?

            Program funding varies locally, but a majority of LWIBs reported  
            receiving AB 109 funds from their probation department.  Other  
            funding sources include, CDCR, local juvenile departments, and  
            non-profits such as Friends Outside and Behavioral Interventions,  
            Inc.  Individual program budgets range from $130,000 to 400,000  
            annually.

          c)   What is the cost per individual in these programs?  The  
            average cost reported is roughly $6,000 per individual. 
          
          d)   Do you provide any stipends or wages from your program? 

            The programs generally offer to pay wages or part of the wages  
            through work experience or on-the-job training programs.   
            Additionally, programs serving youth use stipends to support  
            program completion.  
          
          e)   Do women or men have an easier time finding employment?

            The majority of programs report that most of their participants  
            are male.  Several programs stated that males seem to have an  
            easier time placing due to the partnerships they have with  
            organizations offering skilled trade or labor jobs.  A few areas  
            report that women are more apt to request and receive training  
            then men and are more likely to have a work history before  
            entering incarceration.









                                                               AB 2060
                                                               Page  8

         In addition to answering these questions, the California Workforce  
         Association also commented on the importance of wrap around services  
         and the importance to address the basic needs on the individuals  
         reentering communities, such as shelter, food, and having a healthy  
         support network.  Without their core survival needs being within  
         reach, it is much more difficult finding employment and may be  
         tempted to resume their prior lifestyle.

        4)WIA and the California Workforce Investment Board  :  Enacted in 1998,  
         WIA provides states with federal funding for job training and  
         employment investment activities and programs, including work  
         incentive and employment training outreach programs.  Distribution  
         of the funds is based on a set formula which includes specified  
         economic and demographic data and flows to the state through three  
         primary programs:  Adult, Youth, and Dislocated Workers.  

         California's WIA allocation from the U.S. Department of Labor has  
         declined over the years from a high of $630 million in 2000-01 to  
         $411 million in 2012-13.   Federal law dictates that 85% of Adult  
         and Youth formula funds, and 60% of Dislocated Worker formula funds,  
         are distributed to local WIBs (LWIBs).  Funding for the state's  
         activities is derived from the 15% WIA discretionary funds.  In  
         2012-13 LWIBs received $348 million, while the state received about  
         $20 million in discretionary moneys.  

         California's WIA dollars are overseen by the 56-member CWIB, of  
         which 61% of the members represent the private sector, as required  
         by federal law.  The CWIB has a staff of 17 authorized positions and  
         is currently led by Executive Director Tim Rainey.  In 2008, CWIB  
         established the GCJC to address the workforce development needs of  
         the emerging clean and green economy. 

         Among its primary duties, the CWIB provides guidance to local LWIBs  
         and is responsible for the development of a unified, strategic plan  
         to coordinate various education, training, and employment programs  
         that result in an integrated workforce development system that  
         supports economic development.  The plan is required to be updated  
         at least every 5 years in order to address the state's changing  
         economic, demographic, and workplace needs.  The most recent plan  
         was submitted to the federal Department of Labor in April 2013 and  
         approved after consultation and modest revisions in June 2013.   
         California's Strategic Workforce Development Plan 2013-2017 -  
         "Shared Strategy for a Shared Prosperity," prioritizes regional  
         coordination among key partners, sector-based employment strategies,  
         skill attainment through earn and learn and other effective training  








                                                               AB 2060
                                                               Page  9

         models (including, but not limited to apprenticeship), and  
         development of career pathways.  

         Based on the framework of the state plan, in July 2013, the LWIBs  
         submitted local workforce investment plans for the CWIB's review.   
         Key among the policy enhancements in the current state and local  
         plans are strengthened performance indicators to allow for ongoing  
         monitoring of the plan's success.   There are 49 LWIBs that plan for  
         and oversee the workforce investment system at the local level.   
         Each LWIB also has one or more One-Stop Centers, which provide  
         access to career information, counseling, and funding for education,  
         training and supportive services.

        5)Amendments  :  Committee staff has been working the author on  
         technical and policy amendments, which will be presented during the  
         hearing.  The proposed amendments:

          a)   Add legislative intent that outlines the challenges faced by  
            the state in meeting the court order inmate population reductions  
            targets and the challenges faced by individuals in reentering  
            communities after being incarcerated;

          b)   Add a statement of purpose to the Program and identify  
            baseline and metrics for selecting proposals.  These will be  
            consistent with the expected outcomes already identified in the  
            bill;

          c)   Divide the Program grants into two distinct training streams:   
            one stream for post-secondary training that may lead to  
            certifications, and placement on a middle-skill career ladder and  
            a second stream for individuals that are starting with low  
            educational attainment and need help with basic academic skills;

          d)   Strengthen the relationships with the LWIBs;

          e)   Provide additional direction to the CWIB on how fairness and  
            equity should be implemented in the program; and 

          f)   Make technical amendments.

        6)Related Legislation  :  Legislation related to this measure includes  
         the following:

          a)   AB 8 (V. Manuel Pérez) Renewable Energy Workforce Readiness  
            Initiative:  This bill would have required the California  








                                                               AB 2060
                                                               Page  10

            Workforce Investment Board, in consultation with the Green Collar  
            Jobs Council, to establish a Renewable Energy Workforce Readiness  
            Initiative, as specified.  As part of these activities, the  
            California Workforce Investment Board would have provided  
            guidance to local workforce investment boards on how to establish  
            comprehensive green collar job assessment, training, and  
            placement programs that reflect the local and regional economies.  
             Status:  Vetoed by the Governor, 2011.
             
          b)   AB 285 (Brown) Scope of Practice for the California Workforce  
            Investment Board:  This bill would have required the California  
            Workforce Investment Board to make recommendations and provide  
            technical assistance on entrepreneurial training opportunities  
            that could be made available through local workforce investment  
            boards.  The bill would have also deleted certain required duties  
            of the California Workforce Investment Board and made changes to  
            the definition of microenterprise.  Status:  Vetoed by the  
            Governor, 2013.  
                                                              
          c)   AB 1019 (Ammiano) Prison Workforce Training:  This bill  
            requires goals for career technical education to be set by the  
            Superintendent of Correctional Education, and establishes factors  
            that are required to be considered when establishing a career  
            technical education program, as specified..  Status:  Signed by  
            the Governor, Chapter 789, Statutes of 2013.

          d)   AB 1797 (Rodriguez) Earn and Learn Job Training:  This bill  
            require the State WIB, in consultation with specified agencies,  
            to identify opportunities for "earn and learn" job training  
            opportunities and develop the means to identify, assess, and  
            prepare a pool of qualified candidates seeking to enter those  
            training models.  Status:  AB 1797 is pending in the Assembly  
            Committee on Labor and Employment.

          e)   AB 2526 (Gonzalez)   Community Corrections Program:  This bill  
            would require a rank-and-file deputy sheriff or a rank-and-file  
            police officer and a rank-and-file probation officer or a deputy  
            probation officer, to be appointed by a local labor organization,  
            to the membership of a Community Corrections Partnership. The  
            bill would require the vote of the rank-and-file deputy sheriff  
            or rank-and-file police officer and a rank-and-file probation  
            officer or deputy probation officer on the local plan.  Status:   
            Pending in Senate Rules.

          f)   SB 105 (Steinberg) Recidivism Reduction Fund:  This bill,  








                                                               AB 2060
                                                               Page  11

            among other things, created the Recidivism Reduction Fund in the  
            State Treasury to be available for appropriation by the  
            Legislature for activities aimed at reducing the state's prison  
            population, including, but not limited to, reducing recidivism.   
            Status:  Signed by the Governor, Chapter 310, Statutes of 2013.

          g)   SB 118 (Lieu) Education and Workforce Investment Systems:   
            This bill required the California Workforce Investment Board to  
            incorporate specific principles into the state's strategic plan  
            to align the education and workforce investment systems of the  
            state to the needs of the 21st century economy and promotes a  
            well-educated and highly skilled workforce to meet the state's  
            future workforce needs.  Status:  Signed by the Governor, Chapter  
            562, Statutes of 2013.   

        7)Double Referral  :  The Assembly Committee on Rules referred this  
         measure to two policy committees for review.  AB 2060 passed the  
         Assembly Committee on Public Safety (PS) on April 8, 2014 on a 7 to  
         0 vote.  As noted above, the amendments discussed in the PS hearing  
         resulted in the more defined list of reporting requirements.

        REGISTERED SUPPORT / OPPOSITION  :   

        Support 
        
       PolicyLink (sponsor)
       Communities United for Restoring Youth Justice (sponsor)
       California Budget Project
       California Hospital Association
       California Labor Federation, AFL-CIO
       California Manufacturing and Technology Association
       California Workforce Association 
       Career Ladders Project for the California Community Colleges
       Los Angeles Area Chamber of Commerce
       National Center for Youth Law
       National Council of La Raza
       State Building and Construction Trades of California

        Opposition 
        
       None received 
        
        
       Analysis Prepared by  :    Toni Symonds / J., E.D. & E. / (916) 319-2090  









                                                               AB 2060
                                                               Page  12