BILL ANALYSIS Ó AB 2148 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 2148 (Mullin) As Amended July 2, 2014 Majority vote ----------------------------------------------------------------- |ASSEMBLY: |78-0 |(May 28, 2014) |SENATE: |33-0 |(August 22, | | | | | | |2014) | ----------------------------------------------------------------- Original Committee Reference: L. & E. SUMMARY : Requires the California Workforce Investment Board (CWIB) to, among other duties, assist the Governor in the development of an annual workforce metrics dashboard to measure investment in workforce development. Specifically, this bill : 1)Requires the CWIB to develop an annual workforce metrics dashboard that measures the state's human capital investments in workforce development to understand the collective impact of these investments on the labor market and shall be produced using existing available data and resources currently collected and accessible to state agencies. 2)Provides that the CWIB shall convene workforce program partners to develop a standardized set of inputs and outputs for the workforce metrics dashboard and outlines the workforce metrics dashboard shall do all of the following: a) Provide a status report on credential attainment, training completion, degree attainment and participant earnings from workforce education and training programs. The CWIB shall publish and distribute the final report; b) Provide demographic breakdowns to include race, ethnicity, age, gender, veteran status, wage and credential degree outcomes, and information on workforce outcomes in different industry sectors, to the extent possible; and, c) Measure, at a minimum and to the extent feasible within existing resources, the performance specified workforce programs. d) Measure participant earnings, as specified, and the Employment Development Department (EDD) shall assist the AB 2148 Page 2 CWIB by calculating aggregate participant earnings using unemployment insurance wage records, without violating any applicable confidentiality requirements. 3)Authorizes the California Department of Education (CDE) to collect and keep the information confidential for tracking purposes social security numbers of adults participating in adult education programs so that accurate participation in those programs can be represented in the metrics dashboard. 4)Specifies that the participating workforce programs shall provide participant data in a standardized format to the EDD. 5)Requires the EDD to aggregate the data provided by the participating workforce programs and report the data to the CWIB organized by demographics, earnings and industry of employment to assist the CWIB in the production of the annual workforce metrics dashboard. The Senate amendments measure participant earnings, as specified, and the EDD shall assist the CWIB by calculating aggregate participant earnings using unemployment insurance wage records, without violating any applicable confidentiality requirements and make other non- substantive changes. FISCAL EFFECT : According to the Senate Appropriations Committee the CWIB and the EDD indicate that costs associated with this bill would be minor and absorbable. The CDE would incur one-time costs, potentially in the tens of thousands of dollars (General Fund), related to the collection of social security numbers. COMMENTS : The author seeks with this bill to provide the parameters of a cross-system workforce metrics dashboard using existing data collected by workforce programs that reports on credential and degree attainment, wage gain outcomes of the workforce education and training programs and the outcomes by demographic categories. The purpose is to support current efforts by these programs to increase enrollment in education and training that has a documented payoff for individuals and for regional economies. The author believes the annual snapshot would provide the Governor, Legislature, and other stakeholders involved with necessary data to assist them in making informed investment decisions. AB 2148 Page 3 A broad group of business and labor argue in support of this bill which creates a cross-system metric dashboard on workforce and career technical education investments in California. They also strongly support the provision that authorizes the CDE to confidentially collect social security numbers for adults participating in adult education programs since there is currently no tracking of the impact workforce investments or training have on the labor market, such as degree attainment and wage outcomes. Lastly, they collectively argue, California is currently implementing a new adult education strategy with the goal of better alignment between adult education programs offered by CDE and community colleges. While community colleges currently collect social security numbers so they can measure the impact of their programs on subsequent employment and wages, currently CDE does not. This provision will help to better align local programs, measure program effectiveness, and improve on program design and delivery. Please see policy committee analysis for existing federal and state law. Analysis Prepared by : Lorie Alvarez / L. & E. / (916) 319-2091 FN: 0004731