BILL ANALYSIS Ó AB 1270 Page 1 Date of Hearing: April 8, 2015 ASSEMBLY COMMITTEE ON LABOR AND EMPLOYMENT Roger Hernández, Chair AB 1270 (Eduardo Garcia) - As Amended April 6, 2015 SUBJECT: California Workforce Innovation and Opportunity Act (CWIOA) SUMMARY: Modifies state workforce development laws conforming to changes required by the federal WIOA while preserving core elements of California's workforce development policies. EXISTING LAW: 1)Enacts the federal WIOA, formerly known as the federal Workforce Investment Act (WIA) of 1998, which provides for workforce investment activities, including activities in which states may participate and also contains various programs for job and employment investment, including work incentive programs, as specified. 2)Authorizes, under the federal WIOA, the Job Corps, YouthBuild, Indian and Native Americans, and Migrant and Seasonal Farmworker programs, in addition to the core programs. 3)Establishes the California Workforce Investment Board (CWIB) AB 1270 Page 2 which assists the Governor in setting and guiding policy in the area of workforce development and training. Members of the CWIB are appointed by the Governor and represent the many facets of workforce development - business, labor, public education, higher education, economic development, youth activities, employment and training, as well as the Legislature. 4)States the CWIB is also responsible for assisting the Governor with the alignment of the education and workforce investment systems to the needs of the state's current and future workforce by promoting the development of a well-educated and highly skilled 21st century economy and workforce, in addition to the development of an annual workforce metrics dashboard for measuring investment in workforce development. FISCAL EFFECT: Unknown COMMENTS: The federal Workforce Innovation and Opportunity Act (WIOA) was signed into law in 2014 and generally takes effect July 2015. Individual State Unified Plans and Common Performance Accountability provisions take effect July 2016. The federal WIOA supersedes the Workforce Investment Act of 1998 and amends the Adult Education and Family Literacy Act, the Wagner-Peyser Act and the Rehabilitation Act of 1973. Federal WIOA also authorizes the Job Corps, YouthBuild, Indian and Native Americans, and Migrant Seasonal Farmworker programs, in addition to the core programs. The new federal WIOA modernizes our workforce development system bringing together and enhancing several key employment, education, and training programs. It also seeks to make the workforce system more comprehensive in its approach to service delivery and more responsive to the demands of our economy. Due to the new requirements of the federal law this bill will AB 1270 Page 3 modify California's primary workforce development program. Specifically, updating the headings, definitions, code sections and language that conflict with federal WIOA with regard to state and local plans and responsibilities, the composition of state and local workforce boards, timelines, local and regional collaboration, and the one-stop center system, among others. This bill makes similar updates regarding the Employment Development Department's (EDD) reporting responsibilities and its general administrative authority for implementing the state WIOA. While making these changes, this bill, preserves existing state level statutory and policy innovations that are consistent with the new federal law, for example; regional collaboration and minimum local training expenditures. Additionally, this bill adds flexibility to the high-performance local workforce boards standard while maintaining the intent to deliver high quality local service. REGISTERED SUPPORT / OPPOSITION: Support California Chamber of Commerce California Labor & Workforce Development Agency (Sponsor) California Professional Association of Specialty Contractors AB 1270 Page 4 Opposition California Right to Life Committee, Inc. Analysis Prepared by:Lorie Alvarez / L. & E. / (916) 319-2091