BILL ANALYSIS Ó AB 2156 Page 1 Date of Hearing: April 12, 2016 ASSEMBLY COMMITTEE ON HIGHER EDUCATION Jose Medina, Chair AB 2156 (Levine) - As Introduced February 17, 2016 SUBJECT: Public postsecondary education: higher education regional workforce coordination SUMMARY: Requires the California State University (CSU), and requests the University of California (UC), to participate in regional conversations pursuant to the Federal Workforce Innovation and Opportunity Act (WIOA). Specifically, this bill: 1)Finds and declares the following intent of the Legislature: a) In order to meet the demands of today's regionally based economy, all of California's institutions of higher education must be involved in geographic workforce development initiatives that seek to align our education system with regional workforce needs; and, b) For the UC to continue its mission in educating our state's top students and offering the highest quality of professional degrees, and for the CSU to continue its mission in educating the bulk of our state's undergraduate students. AB 2156 Page 2 2)Requires the CSU and requests the UC to participate in regional conversations pursuant to WIOA. 3)Requires the CSU and requests the UC to submit a report to the Legislature on or before January 1, 2018, on both of the following: a) Efforts they have made to increase the number of degrees in order to meet regional labor demands; and, b) Identify barriers to addressing regional workforce demands and the progress that is needed to overcome these barriers. EXISTING LAW: Requires, no later than January 31, 2016, the California Community Colleges (CCC) Chancellor and the Superintendent of Public Instruction (SPI) to submit to the Director of Finance, to the State Board of Education, and, to the Legislature, a plan approved by the Chancellor and the SPI to distribute funds from among others, to the Adult Education Block Grant Program consortia: The federal Adult Education and Family Literacy Act (Title II of the federal Workforce Innovation and Opportunity Act) (Education Code (EC) Section 84915). FISCAL EFFECT: Unknown. COMMENTS: Workforce Innovation and Opportunities Act (WIOA). Signed into law on July 22, 2014, by President Obama, WIOA supersedes the Workforce Investment Act of 1998 and amends the Adult Education and Family Literacy Act, the Wagner-Peyser Act AB 2156 Page 3 and the Rehabilitation Act of 1973. The Act will help job seekers and workers access employment, education, training, and support services to succeed in the labor market and match employers with skilled workers they need to compete in the global economy. Among others, at the state level WIOA aligns establishes unified strategic planning across "core" programs, which include, Title I Adult, Dislocated Worker and Youth programs; Adult Education and Literacy programs; the Wagner-Peyser Employment Service; and Title I of the Rehabilitation Act programs. Additionally, WIOA aligns the performance for core programs, and adds new ones related to services to employers and postsecondary credential attainment. To note, state performance goals must reflect economic conditions and participant characteristics; makes available data on training providers' performance outcomes; and, requires third party evaluations of programs. The Act took effect generally, on July 1, 2015. However, the State Unified Plans and Common Performance Accountability provisions take effect on July 1, 2016. Current job shortages. According to a December 2015 report by California Competes, entitled, "Mind the Gap: Delivering on California's Promise for Higher Education," California is facing a 2.4 million degree gap in 2025. California Competes finds that this gap presents a significant challenge to the state and notes that it becomes even more pressing when looking at the disparities underneath the total. The report finds that Blacks and Latinos are least likely to graduate from a UC and that many more Latino students (and fewer Asians) receive sub-baccalaureate credentials in comparison to bachelor's degrees. Additionally, the report finds that Blacks are most likely to receive a credential at a private institution, including for-profits, where tuition costs are higher than in the public segments. AB 2156 Page 4 Purpose of the measure. According to the author, current law, as directed by WIOA, requires Community Colleges and K-12s that receive federal funding to participate in regional workforce development conversations. The author states, "California as a whole is moving towards regional collaboration of career pathways development. The Administration has signaled their support for this shift in the Governor's January Budget proposal, where Governor Brown allocated $200 million to implement the Strong Workforce Program. As a part of that funding, Community Colleges are expected to collaborate regionally with their educational, workforce, labor and civic partners to expand access to career technical education programs that meet each region's workforce needs." The author argues that, "This outreach should include both the UC and CSU campuses. This bill complements those efforts by bringing the CSU and UC campuses to the table." Policy considerations. As presently drafted, this measure tasks the CSU and requests the UC to participate in regional conversations. It is presently unclear as to what is meant by "participate." Moving forward, the author may wish to provide clarity as to what is meant by "participate" in order to ensure that the segments fully comply with the requirements established under this measure. Additionally, the CCC Chancellor's Office is one of the state leaders in ensuring that the state is in compliance with WIOA and collaborating on a regional level. AB 2156 Page 5 Moving forward, the author may wish to encourage the CSU and UC, to partner with the CCCCO. REGISTERED SUPPORT / OPPOSITION: Support Los Angeles Area Chamber of Commerce North Bay Leadership Council Opposition None on file. Analysis Prepared by:Jeanice Warden / HIGHER ED. / (916) 319-3960 AB 2156 Page 6