BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                       AB 2719|
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                                   THIRD READING 


          Bill No:  AB 2719
          Author:   Eduardo Garcia (D), et al.
          Amended:  8/19/16 in Senate
          Vote:     21 

           SENATE LABOR & IND. REL. COMMITTEE:  5-0, 6/22/16
           AYES:  Mendoza, Stone, Jackson, Leno, Mitchell

           SENATE APPROPRIATIONS COMMITTEE:  Senate Rule 28.8

           ASSEMBLY FLOOR:  76-0, 5/19/16 (Consent) - See last page for  
            vote

           SUBJECT:   Workforce development:  out-of-school youth


          SOURCE:    Author

          DIGEST:   This bill makes out-of-school youth a state workforce  
          development priority and therefore makes services accessible for  
          this group through funds available under the federal Workforce  
          Innovation and Opportunity Act.


          Senate Floor Amendments of 8/19/16 address chaptering-out issues  
          with the budget bill SB 836, and make related technical and  
          conforming changes. Also, the amendments remove the bill's  
          classification of "out-of-school youth" as "individuals with  
          barriers to employment." 


          ANALYSIS: 









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          Existing federal law:


          1)Establishes the Workforce Innovation and Opportunity Act  
            (WIOA) of 2014 in order to help job seekers access employment,  
            education, training, and support services to succeed in the  
            labor market and to match employers with skilled workers. WIOA  
            coordinates employment and training services for adults,  
            dislocated workers, and youth through grants to states that  
            are implemented at the state and local level.


          2)Requires that WIOA, among other things, provide workforce  
            investment activities, through statewide and local workforce  
            development systems, that increase the employment, retention,  
            and earnings of participants, and increase the attainment of  
            recognized postsecondary credentials by participants, and as a  
            result, improve the quality of the workforce, reduce welfare  
            dependency, increase economic self-sufficiency.


          3)Defines "out-of-school youth" as an individual who is not  
            attending any school (as defined under state law), is 16 to 24  
            years of age; and is one or more of the following:


             a)   A school dropout.


             b)   A youth who is within the age of compulsory school  
               attendance, but has not attended school for at least the  
               most recent complete school year calendar quarter.


             c)   A recipient of a secondary school diploma or its  
               recognized equivalent who is a low-income individual and is  
               basic skills deficient or an English language learner.


             d)   An individual who is subject to the juvenile or adult  
               justice system.









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             e)   A homeless individual, a homeless child or youth, a  
               runaway, in foster care or has/aged out of the foster care  
               system, a child eligible for assistance under §677 of Title  
               42 of the United States Code, or in an out-of-home  
               placement.


             f)   An individual who is pregnant or parenting.


             g)   A youth who is an individual with a disability.


             h)   A low-income individual who requires additional  
               assistance to enter or complete an educational program or  
               to secure or hold employment.


            [United States Code, Title 29, §3164 (a)(1)(B)]


          4)Intends through WIOA, to prepare vulnerable youth and other  
            job seekers for successful employment through the use of  
            proven service models. 


          5)Requires local areas statewide to increase the percentage of  
            youth formula funds used to serve out-of-school youth to 75  
            percent from 30 percent under existing law.


          6)Requires federal funds dedicated to youth activities be used  
            for tutoring, study skills training, and instruction leading  
            to secondary school completion.


          Existing state law:


          1)Establishes the California Workforce Development Board (CWDB),  
            whose members are appointed by the Governor and are  
            representative of the areas of business, labor, public  
            education, higher education, economic development, youth  
            activities, employment and training, as well as the  







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            Legislature (Unemployment Insurance Code §14011 and §14012).


          2)Provides that the CWDB assists the Governor in the  
            development, oversight, and continuous improvement of  
            California's workforce investment system, including its  
            alignment to the needs of the economy and the workforce  
            (Unemployment Insurance Code §14010).


          3)Requires the CWDB to assist the Governor in supporting the use  
            of career pathways to provide individuals, including those  
            with barriers to employment, with workforce investment  
            activities, education, and supportive services in order to  
            enter or retain employment (Unemployment Insurance Code  
            §14013).


          This bill specifies that "out-of-school youth" are a part of the  
          category of "youth" as a workforce development priority. The  
          CWDB and local workforce development boards will be required to  
          lead efforts to develop and implement career pathways  
          emphasizing education for these youth, with the assistance of  
          certain secondary and postsecondary education programs. 


          Specifically, this bill, among other things:


          1)Defines a "school operating in partnership with United States  
            Department of Labor programs" as a school that serves  
            out-of-school youth through a partnership that includes, but  
            is not limited to the CWDB or local workforce development  
            board.


          2)Requires the CWDB to develop strategies to use career pathways  
            to provide youth, including out-of-school youth, with  
            workforce investment activities, education, and supportive  
            services to enter or retain employment. 


          3)Stipulates that the required CWDB status report on credential  
            attainment include among others, degree attainment, such as  







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            high school diplomas. Also requires the CWDB to request an  
            opportunity to present relevant portions of the credential  
            attainment report to the State Board of Education and the  
            California Community College Board at least once every  
            calendar year.


          4)Identifies serving out-of-school youth as one of the metrics  
            that a workforce development board will be evaluated on when  
            determining whether they met or exceed their performance goal  
            when designating high-performing boards.


          5)Requires that local workforce development boards coordinate  
            with representatives of secondary and postsecondary education  
            programs to develop and implement local career pathways by  
            providing employment, training, education, and supportive  
            services for youth, including out-of-school youth.


          6)Establishes, to the extent permitted by federal law, the  
            eligibility of school districts, county offices of education,  
            and schools operating in partnership with Department of Labor  
            (DOL) programs to apply to local workforce development boards  
            in order to provide skills and training to help out-of-school  
            youth earn a secondary school diploma.


          7)States that when considering appropriate education providers  
            for the out-of-school youth services mentioned above, the  
            local workforce development boards shall include for  
            consideration, but not be limited to, programs at schools  
            accredited by the Western Association of Schools and Colleges.


          Background 


          WIOA and California's Workforce Development System.  The federal  
          WIOA provides funds and sets priorities for workforce  
          development activities but leaves room for implementation  
          decisions to be made at the state and local levels. California's  
          federal workforce funds are overseen by the CWDB. The CWDB  
          provides guidance to local workforce boards and is charged with  







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          developing a unified, strategic plan to coordinate various  
          education, training, and employment programs with the goal of  
          fostering an integrated workforce development system that  
          supports economic development.  At the local and regional level  
          there are 49 local workforce development boards that plan for  
          and oversee the workforce system in their areas.  By federal  
          requirement, business community representatives make up the  
          majority of local workforce board membership. With respect to  
          the provisions of this bill, California law allows schools  
          partnering with DOL programs to help youth over 19 years of age  
          earn a high school diploma which is considered to be beneficial  
          to workforce development.  


          Comments


          Need for this bill? According to the author, high school diploma  
          attainment is a primary indicator of employment potential and  
          performance for out-of-school youth and for dislocated workers.  
          Following the lead of the federal WIOA, this bill intends to  
          strengthen the state's implementation of its workforce program  
          by aligning California's workforce development system with  
          services for youth, including out-of-school youth. While  
          services for out-of-school youth are treated as a priority under  
          the federal WIOA, they are not mentioned specifically under  
          current state law.  




          FISCAL EFFECT:   Appropriation:    No          Fiscal  
          Com.:YesLocal:   No


          SUPPORT:   (Verified8/19/16)


          California Association of Local Conservation Corps
          California Charter Schools Association Advocates
          California School Boards Association
          California Teachers Association
          California Urban Partnership
          John Muir Charter Schools







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          Los Angeles County Office of Education
          Mexican American Legal Defense and Education Fund
          National Association of Social Workers, California Chapter
          Riverside County Superintendent of Schools
          SIA Tech California
          YouthBuild Charter School of California


          OPPOSITION:   (Verified8/19/16)


          None received


          ARGUMENTS IN SUPPORT:     Proponents state that out-of-school  
          youth face many challenges, especially in access to employment.  
          They argue that employment rates and salaries are higher for  
          young adults who have completed high school as opposed to those  
          who have not. Those youth who have dropped out of high school  
          are more likely to live in poverty and face incarceration.   
          Proponents state that AB 2719 updates the state WIOA programs to  
          identify "out-of-school youth" as a workforce development  
          priority. In doing so, AB 2719 seeks to emulate federal law by  
          elevating the needs of California's out-of-school youth. Youth  
          who have not completed a traditional high school route often  
          enroll in WIOA programs and receive job training and education.  
          AB 2719 creates a pathway for increasing educational and  
          vocational credentials available to out-of-school youth.  
          Proponents believe that by adding this population to  
          California's workforce development priorities, the state will  
          recognize their unique needs, and will be better able to assist  
          them in community re-engagement and attaining self-sufficiency  
          and economic stability.
           

          ASSEMBLY FLOOR:  76-0, 5/19/16
          AYES:  Achadjian, Alejo, Travis Allen, Arambula, Atkins, Baker,  
            Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke,  
            Calderon, Campos, Chau, Chávez, Chiu, Chu, Cooley, Cooper,  
            Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines,  
            Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson,  
            Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger  
            Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey,  
            Levine, Linder, Lopez, Low, Maienschein, Mayes, Medina,  







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            Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen,  
            Patterson, Quirk, Ridley-Thomas, Rodriguez, Salas, Santiago,  
            Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber,  
            Wilk, Wood, Rendon
          NO VOTE RECORDED:  Chang, Mathis, McCarty, Williams

          Prepared by:Brandon Seto / L. & I.R. / (916) 651-1556
          8/22/16 23:10:16


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