BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON APPROPRIATIONS
                             Senator Ricardo Lara, Chair
                            2015 - 2016  Regular  Session

          SB 148 (McGuire) - Career technical education:  Career and Job  
          Skills Education Act
          
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          |Version: April 7, 2015          |Policy Vote: ED. 8 - 0          |
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          |Urgency: No                     |Mandate: No                     |
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          |Hearing Date: April 27, 2015    |Consultant: Mark McKenzie       |
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          This bill meets the criteria for referral to the Suspense File.







          Bill  
          Summary:  AB 148 would establish the Career and Job Skills  
          Education Act and appropriate $600 million from the General Fund  
          to the Superintendent of Public Instruction (SPI) for grants to  
          local education agencies (LEAs) for the development and  
          enhancement of career technical education (CTE) courses.  The  
          bill would also state legislative intent that "additional  
          necessary funding" be appropriated from the General Fund for  
          these purposes in 2017-18 and 2018-19.


          Fiscal  
          Impact:  
           One-time General Fund appropriation of $600 million in 2015-16  







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            for purposes of funding grants to K-12 school districts.   
            Future General Fund cost pressures in the hundreds of millions  
            to continue funding for the grant program.

           California Department of Education (CDE) cost of approximately  
            $500,000 annually (General Fund), which includes costs for 3  
            PY of staff to administer the program and approximately  
            $150,000 in operating expenses, workshops, and awardee  
            training.


          Background:  Existing law establishes the following CTE programs for public  
          schools:

           Regional Occupational Centers and Programs.   Existing law  
          establishes various CTE programs for public schools including  
          Regional Occupational Centers and Programs (ROCPs) that allow  
          students from multiple schools or districts to participate in  
          career technical training programs regardless of the  
          geographical location of their residence in a county or region.   
          Existing law authorizes the following types of ROCPs operational  
          models: 
                 County ROCP:  Existing law authorizes county SPIs, with  
               the consent of the State Board of Education (SBE) to  
               establish and maintain a ROCP to provide education and  
               training in career technical courses.
                 Joint Powers Agency ROCP:  Existing law authorizes two  
               or more school districts to form a joint powers agency  
               (JPA) for the purpose of establishing and maintaining a  
               ROCP for students who are enrolled in those districts.
                 Single District ROCP:  Existing law authorizes certain  
               very large districts, who do not wish to be part of a  
               county ROCP, to apply to the SBE through their county SPI  
               for permission to establish and maintain a ROCP for  
               students enrolled in the district.  The county SPI may  
               supervise the establishment of the ROCP.

           Partnership Academies.   The Partnership Academy model is a  
          three-year program, for grades ten through twelve, structured as  
          a school-within-a-school and incorporates (1) rigorous  
          integrated academics with a career focus; (2) business  
          partnerships that provide support through curriculum resources,  
          classroom speakers, field trips, mentors, and internships; and  
          (3) teachers who work as a team in preparing students for  








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          careers and postsecondary education. 

           Specialized Secondary Programs.   A specialized secondary program  
          is a four-year grant program that provides opportunities for  
          students to obtain advanced instruction, in addition to core  
          course work, and skills in technology appropriate to the  
          curriculum. Comprehensive high schools may use the grant funds  
          for programs that provide students with advanced learning  
          opportunities in a variety of subjects, including but not  
          limited to English-language arts, mathematics, science, history  
          and social science, foreign language, and the visual performing  
          arts.  The acquisition of technology skills and the use of  
          technology as a tool for instruction and learning are also  
          emphasized in these programs. Frequently, specialized secondary  
          programs are established as a smaller learning community or a  
          school-within-a-school.  

           Agricultural Career Technical Education Incentive Program.   The  
          Agricultural Career Technical Education Incentive program  
          provides local educational agencies (LEAs) with funds to improve  
          the quality of their agricultural vocational education programs.  
           The goal is to maintain a high-quality, comprehensive  
          agricultural vocational program in California's public school  
          system to ensure a constant source of employable, trained, and  
          skilled individuals.  

           Career Technical Education Pathways Program.   Under this  
          program, the state provides one-time funding for competitive  
          grants to improve the linkages between CTE programs at schools,  
          community colleges, and local businesses.  This program, which  
          sunsets June 30, 2015, also provides support for linked  
          learning, which support small learning cohorts that integrate a  
          career theme with academic education.  

           Career Pathways Trust.   The state provided one-time funding in  
          2014-15 for competitive grants, similar to the CTE pathways  
          program.  These funds are available for expenditure through  
          2015-16. Grants are available for K-14 career pathways programs.


          Proposed Law:  
            SB 148 would establish the Career and Job Skills Education  
          Act, a grant program administered by the SPI for the development  
          and enhancement of CTE courses.  Specifically, this bill would:








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           Establish the Career and Job Skills Education Fund in the  
            State Treasury, and make moneys in the Fund available to the  
            SPI, upon appropriation by the Legislature.
           Authorize the following LEAs that operate any state-approved  
            CTE sequence of courses to apply to the SPI for a grant for  
            the development and enhancement of high-quality CTE courses:  
            the governing board of one or more school districts, county  
            offices of education, direct-funded charter schools, or  
            regional occupational centers or programs operated by joint  
            powers authorities, as specified.
           Require the SPI to do all of the following:
               o      Develop a system of accountability, data collecting,  
                 and reporting to ensure the goals of the CTE programs are  
                 satisfied.
               o      Develop data metrics that are aligned with the core  
                 metrics required by the federal Workforce Innovation and  
                 Opportunity Act, common metrics adopted by the Office of  
                 the Chancellor of the Community Colleges, and  
                 career-ready standards developed pursuant to the federal  
                 Elementary and Secondary Education Act, and the 11  
                 program quality indicators in the California State Plan  
                 for CTE.
               o      Adopt and provide grant recipients with a list of  
                 approved high-quality industry certifications and  
                 licenses and approved third-party CTE pathway assessments  
                 in each CTE pathway for use in program development.
               o      Provide technical assistance to all grant  
                 recipients.
           Require the SPI to award grants to applicants that contribute  
            an amount equal to the amount of the grant for use in CTE  
            programs, and meet specified requirements.
           Require each governing board of a grant recipient to adopt a  
            CTE program, in consultation with the county office of  
            education, local workforce investment boards, and area  
            community colleges that includes all of the following  
            criteria:
               o      CTE courses aligned with the Career CTE Model  
                 Curriculum Standards and offer a coherent sequence of  
                 courses that enable transition to postsecondary education  
                 on a career pathway or entry level employment, as  
                 specified.
               o      Grant recipient plans for articulation of CTE  
                 courses with community colleges or apprenticeships  
                 programs to continue the sequence through grades 13 and  








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                 14, and for acquisition of high-quality standards,  
                 credentials, and licenses.
               o      Needs assessments of local business and industry to  
                 ensure pupil competency needed for employment.
               o      Provision of student support services to assist with  
                 meeting high school graduation requirements and career  
                 preparation.
               o      Industry partnerships including student internships  
                 and externships for teachers.
               o      A system of annual data collection and reporting of  
                 student outcomes that includes enrollment, employment,  
                 postsecondary advancement, course offerings and  
                 certification, licensing and pathway assessment outcomes.
           Prescribe authorized uses of grant funds, including: matching  
            pupils with work-based learning opportunities, technical  
            assistance, industry partnerships, student support services,  
            evaluating outcomes, planning, development, accountability,  
            curriculum development, instructional equipment, materials,  
            teacher externships, or pupils of special populations, as  
            specified. 
           Require grant recipients, as a condition of receiving funds,  
            to:
             o    Develop a plan for establishing a sequence of courses  
               and certify to CDE that the courses were developed and are  
               aligned to state standards, that CTE teachers are  
               appropriately credentialed, and that funds are not used for  
               staff salaries and benefits, except as otherwise specified.  

             o    Submit new or revised CTE programs or pathways to CDE  
               for approval by September 1 of the fiscal year in which  
               those changes occur. 
             o    Collect and report data as required by CDE and the  
               applicable local control and accountability plan. 
           Require the SPI and the state board to incorporate appropriate  
            metrics into the state adopted accountability measures,  
            aligned with the federal Carl D. Perkins Career and Technical  
            Education Improvement Act of 2006, California's Standards for  
            Career Ready Practice, and the quality indicators described in  
            the California State Plan for Career Technical Education, to  
            determine career readiness.
           Appropriate $600 million from the General Fund to the SPI, and  
            state legislative intent to appropriate funds in 2017-18 and  
            2018-19 for purposes of this program.
           Require CDE to retain up to two percent of total funds  








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            apportioned to each grant recipient to provide technical  
            assistance, professional development, and accountability  
            services and local monitoring to each grant recipient.
           Require that two percent of all funding be set aside and  
            distributed to applicants of rural school districts and  
            regions with higher than average dropout rates.




          Staff  
          Comments:  The Governor's 2015-16 budget proposal includes  
          funding for the Career Pathways Program ($48 million), an Adult  
          Education Block Grant ($500 million), and the Apprenticeship  
          Program ($29 million).  In addition, the Governor proposes  
          establishing the Career Technical Education Incentive Grant  
          program, a competitive grant program administered by the SPI for  
          the next three fiscal years. The proposal includes $250 million  
          for funding in the 2015-16 fiscal year.  The SPI, with the  
          approval of the State Board of Education, would determine  
          allocation amounts and the distribution of awards.  The proposal  
          requires a dollar-for-dollar match, a plan for continued support  
          of CTE programs after funding expires, and gives priority to  
          applicants that demonstrate regional collaboration, significant  
          investment in CTE infrastructure, and the ability to leverage  
          outside funding.  Recipients would be eligible to renew grants  
          based upon outcome data.
          The Administration indicates that the proposed CTE Incentive  
          Grant Program is intended to be a transitional categorical  
          program to help school districts maintain high-quality CTE  
          programs until full funding through the Local Control Funding  
          Formula (LCFF) is realized.


          SB 148 would establish a CTE grant program that is similar to  
          the Governor's CTE Incentive Grant Program Proposal with two  
          distinct differences: 1) the Governor's proposal is intended to  
          be a transitional categorical until the LCFF is fully funded,  
          while this bill appears to be a permanent ongoing categorical;  
          and 2) the Governor proposes to appropriate $250 million for the  
          CTE Incentive Grant Program, and this bill appropriates $600  
          million for the Career and Job Skills Education Act.  Rather  
          than direct $600 million in Proposition 98 funding, the  
          Committee may wish to consider deleting the appropriation and  








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          deferring to the Legislature's Budget Committees to determine  
          the appropriate level of funding in the context of the larger  
          Proposition 98 budget.


          This bill requires that two percent of the total funds  
          apportioned to each grant recipient be retained by CDE to  
          provide technical assistance, professional development, and  
          accountability services and local monitoring to each grant  
          recipient.  Staff notes that the state policy since the passage  
          of Proposition 98 has been to exclude state operations  
          expenditures from the minimum guarantee.  For example, the  
          appropriation that CDE receives from the General Fund to  
          administer various categorical programs has never been counted  
          towards Proposition 98.  CDE intends to award $12 million in  
          grants (2 percent of the $600 million appropriation) to county  
          offices of education to provide assistance in the three targeted  
          areas.




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