BILL ANALYSIS Ó
AB 1514
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Date of Hearing: April 15, 2015
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Jimmy Gomez, Chair
AB
1514 (Committee on Insurance) - As Amended March 26, 2015
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Urgency: No State Mandated Local Program: NoReimbursable: No
SUMMARY:
This bill makes a number of technical changes to streamline the
Employment Development Department's (EDD's) administration of
the California Training Benefits Program (CTB), which allows
individuals to receive UI benefits while in training, and
AB 1514
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updates EDD reporting requirements.
FISCAL EFFECT:
Negligible costs, and potentially minor administrative cost
savings from provisions that remove some manual verification
requirements.
COMMENTS:
1)Purpose. The bill makes minor changes to the CTB program in
order to streamline approval of UI benefits for individuals in
certain types of training programs that are currently approved
through a more onerous process, and other remove
administrative requirements for ongoing verification that
appear to have little practical value. It also updates
references to federal law.
2)Background. To collect UI benefits, an individual generally
must be actively seeking work and ready to work. The CTB
program provides financial support to individuals while they
are participating in a qualified job training program, instead
of providing partial wage replacement while the individual
looks for work. This bill makes several changes that simplify
the CTB approval process.
3)Streamlining approval. This bill would, for example, allow
eligible individuals to receive benefits faster by removing
the requirement that EDD verify the legitimacy of, for
example, state-approved apprenticeship programs. Under
current law and practice, there could be a delay in receipt of
benefits while EDD reviews the training program, but an
individual would ultimately receive retroactive unemployment
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(UI) benefit payments for the same number of weeks. Thus,
these provisions are not expected to increase benefit
payments, but should simplify the process for specified
categories. The bill's other provisions have similar fiscal
effect-negligible increased cost and minor workload savings
from simplification.
Analysis Prepared by:Lisa Murawski / APPR. / (916)
319-2081