BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  AB 3
          Author:   V. Manuel Perez (D)
          Amended:  9/4/09 in Senate
          Vote:     21

           
           SENATE LABOR & INDUST. RELATIONS COMMITTEE  :  4-2, 7/8/09
          AYES:  DeSaulnier, Ducheny, Leno, Yee
          NOES:  Wyland, Hollingsworth
           
          SENATE APPROPRIATIONS COMMITTEE  :  8-5, 8/27/09
          AYES:  Kehoe, Corbett, Hancock, Leno, Oropeza, Price, Wolk,  
            Yee
          NOES:  Cox, Denham, Runner, Walters, Wyland

           ASSEMBLY FLOOR  :  52-25, 6/3/09 - See last page for vote


           SUBJECT  :    Workforce development:  Renewable Energy  
          Workforce 
                      Readiness Initiative

           SOURCE  :     Ella Baker Center for Human Rights


           DIGEST  :    This bill requires the California Workforce  
          Investment Board (CWIB), in consultation with the Green  
          Collar Jobs Council, to establish a Renewable Energy  
          Workforce Readiness Initiative, as specified.  This bill  
          requires the CWIB provide guidance to local workforce  
          investment boards on how to establish comprehensive green  
          collar job assessment, training, and placement programs  
          that reflect the local and regional economies.  
                                                           CONTINUED





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           Senate Floor Amendments  of 9/4/09 further specify funding  
          sources for the bill's requirements; add a target  
          population to the list of others identified in the bill;  
          specify that apprenticeship programs, as used in the bill,  
          need to be state-approved; make certain requirements of the  
          bill permissible instead of required; and add  
          double-jointing language.

           ANALYSIS  :    Under existing federal law, the Green Jobs Act  
          of 2007 authorizes $125 million per year to create the  
          Efficiency and Renewable Energy Worker Training Program, as  
          an amendment to the Workforce Investment Act, in order to  
          identify needed skills, develop training programs, and  
          train workers for jobs in a range of industries - including  
          energy efficient building, construction and retrofits,  
          renewable electric power, energy efficient vehicles,  
          biofuels, and manufacturing that produces sustainable  
          products and uses sustainable processes and materials.  The  
          Act is administered by the United States Department of  
          Labor. 

          Under existing federal law, the American Recovery and  
          Reinvestment Act of 2009 (ARRA) has been created to  
          jumpstart our economy by preserving and creating jobs and  
          promoting economic recovery.  The ARRA aims to stabilize  
          state and local government budgets, in order to minimize  
          and avoid reductions in essential services and  
          counterproductive state and local tax increases.  The ARRA  
          aims to revive the renewable energy industry by creating a  
          competitive training grant program for worker training and  
          placement in green jobs.  An aspect of the ARRA is focused  
          on reviving the renewable energy industry by providing  
          capital over the next three years to eventually double  
          domestic renewable energy capacity.  Included in the ARRA,  
          are funds appropriated for a program of competitive  
          training grants for worker training and placement in green  
          jobs and high growth and emerging industry sectors, with  
          emphasis on careers in energy efficiency and renewable  
          energy.  The ARRA has appropriated $750 million for this  
          competitive grant program and specifies that $500 million  
          be used for research, labor exchange and job training  
          projects that prepare workers for Green Jobs or careers in  
          energy efficiency and renewable energy.  







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           Under existing state law, the CWIB is charged with  
          developing a comprehensive workforce development plan for  
          the state as described in the Workforce Training Act of  
          2008 and the Workforce Investment Act of 1998.  The CWIB is  
          responsible for assisting the Governor in the development,  
          oversight and continuous improvement of California's  
          workforce investment system.  The CWIB is comprised of many  
          facets of workforce development including business, labor,  
          public education, higher education, economic development,  
          youth activities, employment and training, as well as the  
          Legislature. 

          Existing law authorizes the Governor to designate Local  
          Workforce Investment Areas (LWIAs) based on population and  
          commonality of labor markets.  Currently, there are 49  
          LWIAs.  Each LWIA is administered by a local workforce  
          investment board (LWIB) certified by the state in  
          partnership with local elected officials.  LWIBs are  
          comprised of representatives from private sector  
          businesses, organized labor, community-based organizations,  
          local government agencies, and local education agencies.   
          LWIBs provide, among other things, policy guidance and  
          oversee the job training activities within their local  
          areas.  

           Under existing state law, the Green Collar Jobs Act  
          established the Green Collar Jobs Council (GCJC) under the  
          purview of the CWIB.  Existing law requires that the GCJC  
          perform certain functions and duties, including the  
          development of a strategic initiative, relating to the  
          training and development of a skilled workforce to meet the  
          needs of California's emerging green economy.  As part of  
          developing the GCJC's strategic initiative, the Council  
          must identify and develop the framework, funding,  
          strategies, programs, policies, partnerships, and  
          opportunities necessary to address the growing need for a  
          highly skilled and well-trained workforce to meet the needs  
          of California's emerging green economy. 
           
           This bill requires the CWIB, in consultation with the GCJC,  
          to establish a Renewable Energy Workforce Readiness  
          Initiative, as specified.  








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          This bill:

          1. Requires the establishment of the Renewable Workforce  
             Readiness Initiative by January 1, 2011, to ensure green  
             collar career placement and advancement opportunities  
             within California's renewable energy generation,  
             manufacturing, construction, installation, maintenance,  
             and operation sectors.   

          2. Requires the initiative to provide guidance to the LWIBs  
             on how to establish comprehensive green collar job  
             assessment, training, and placement programs that  
             reflect the local and regional economies and to develop  
             strategies to best utilize moneys provided under the  
             ARRA. 

          3. Specifies that any strategies developed by the  
             Initiative shall address how to effectively provide  
             outreach, assessment, training, and placement to  
             prospective worker populations, including those that  
             have historically faced barriers to employment, as  
             specified.

          4. Requires the Initiative to provide guidance on how to  
             engage target populations and evaluate potential  
             applicants' abilities to implement and operate renewable  
             energy workers training programs. 

          5. Requires the Initiative to address how LWIBs can  
             effectively collaborate and may include the  
             participation of all the following entities: 

             A.    Nonprofit organizations.
             B.    Local governments.
             C.    State-approved apprenticeship programs.
             D.    Community colleges.
             E.    Postsecondary educational institutions.
             F.    Local workforce training partnerships and  
                collaboratives.
             G.    Regional occupational programs. 

          6. Requires the Initiative to further address how LWIBs can  
             prioritize programs that serve prospective workers who  
             have historically faced barriers to employment.  This  







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             bill provides several examples of guidelines for such  
             programs. 

          7. Requires the CWIB to collect and analyze labor market  
             data, track workforce trends, document academic and  
             occupational competencies, identify future skills needs,  
             promote and support local workforce training  
             initiatives, and provide technical assistance and  
             capacity building to energy partnerships and  
             apprenticeship training programs that are approved by  
             the state-approved apprenticeship programs, related to  
             renewable energy and workforce development in  
             California. 

          8. Requires the CWIB, in developing the Initiative, to  
             assist the LWIBs in collecting and analyzing labor  
             market data, in order to assess accurate local or  
             regional industry cluster workforce development and  
             training needs. 

          9. Requires the CWIB to submit to the Legislature, no later  
             than January 1, 2013, a report on the implementation of  
             the Initiative, as specified.   

          10.Requires the CWIB to implement the provisions of this  
             bill using moneys made available to the CWIB from ARRA  
             funds, other federal law, or from other non-General Fund  
             sources appropriated to the state, to the extent that  
             those funds are available for that purpose.

          11.Makes several findings and declarations pertinent to  
             California's renewable energy opportunities.

          This bill requires the CWIB provide guidance to LWIBs on  
          how to establish comprehensive green collar job assessment,  
          training, and placement programs that reflect the local and  
          regional economies.  This bill requires the CWIB to assist  
          the LWIBs in analyzing labor market data, in order to  
          assess local or regional industry cluster workforce  
          development needs.  This bill imposes new duties on LWIBs  
          to revise memberships and plan requirements, thereby  
          creating a state mandated local program.  The CWIB will be  
          required to implement the provisions of this bill using  
          moneys made available to the CWIB from ARRA funds, other  







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          federal law, or from other non-General Fund sources  
          appropriated to the state, to the extent that those funds  
          are available for that purpose.  

          This bill is double-jointed with SB 410 (Ducheny).
           
          Background  

          Green jobs are generally defined as jobs that provide  
          products and services which use renewable energy resources,  
          reduce pollution, conserve energy and natural resources,  
          and reconstitute waste.  In 2008, the Governor signed into  
          law AB 3018 (Nunez), Chapter 312, which established the  
          GCJC within the CWIB.  The GCJC is charged with developing  
          a strategic initiative to identify and develop the  
          framework, funding, strategies, programs, policies,  
          partnerships, and opportunities necessary to address the  
          growing need for a highly skilled and well-trained  
          workforce to meet the needs of California's emerging green  
          economy.  

          Since the enactment of AB 3018, the GCJC has met several  
          times and is working to develop its strategic initiative as  
          required.  AB 1394 (Bass), of this year, is a follow-up  
          measure to AB 3018 and if passed and signed into law will,  
          among other things, authorize the CWIB to accept any  
          revenues, money, grants, goods, or services from federal  
          and state entities, philan-thropic organizations, and other  
          sources, to be used for the administration and  
          implementation of the GCJC's strategic initiative.  AB 1394  
          will also require the GCJC to consult with the appropriate  
          state and local agencies to identify opportunities to  
          coordinate the award of grant and green workforce training  
          funds received by the state under the federal ARRA or any  
          funding sources. 

          This bill requires the CWIB, in consultation with the GCJC,  
          to establish a Renewable Energy Workforce Readiness  
          Initiative that aims at ensuring green collar career  
          placement and advancement opportunities within California's  
          renewable energy generation, manufacturing, construction,  
          installation, maintenance, and operation sectors.  This  
          bill also provides guidance to LWIBs on, among other  
          things, board participation and program selection.  







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           Prior/Related Legislation

           AB 3018 (Nunez), Chapter 312, Statutes of 2008, established  
          the GCJC, within the CWIB, to perform specified tasks  
          related to addressing the workforce needs that accompany  
          California's growing green economy.  Specifically, the bill  
          requires the GCJC to develop a strategic initiative to  
          identify and develop the framework, funding, strategies,  
          programs, policies, partnerships, and opportunities  
          necessary to address the growing need for a highly skilled  
          and well-trained workforce to meet the needs of  
          California's emerging green economy. 

          AB 1394 (Bass), 2009-10 Session, makes changes to  
          provisions governing the GCJC that would place additional  
          requirements on the council and create a mechanism for the  
          receipt of funds from specified state and federal  
          resources.  The bill is a follow-up measure to AB 3018 from  
          last year.  It is currently in the Senate Appropriations  
          Committee.  

          AB 380 (De La Torre), 2009-10 Session, enacts the  
          California Clean Energy Curriculum and Training Initiative  
          of 2009, which requires the Labor and Workforce Development  
          Agency, by July 1, 2010, to establish standardized  
          curriculum for the use at schools and to provide outreach,  
          assistance, and guidance to schools on creating clean  
          energy training programs.  The bill is similar to AB 2224  
          (De La Torre), 2007-08 Session, which was held under  
          submission in the Senate Appropriations Committee.  AB 380  
          is being held in the Assembly Appropriations Committee

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

          According to the Senate Appropriations Committee:

                         Fiscal Impact (in thousands)

           Major Provisions      2009-10     2010-11     2011-12     Fund  

          Renewable Energy    unknown, major costs ongoing to  
          theFederal/







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          Workforce Readiness           CWIB and for reimbursement  
          of                  General
          Initiative          LWIB mandated costs

           * Federal American Recovery and Reinvestment Act of 2009  
            until exhausted, then General Funds ongoing

           SUPPORT  :   (Verified  9/4/09)

          Ella Baker Center for Human Rights (source)
          American Federation of State, County and Municipal  
          Employees, AFL-CIO
          American Legion, Department of California
          CalEnergy Operating Corporation
          Calexico Community Action Council, Inc.
          California Council for Environmental and Economic Balance
          California Labor Federation
          California State NAACP
          Center for Employment Training, Coachella Valley Center
          Center for Employment Training, El Centro Center
          City of Calexico New River Committee
          City of Oakland 
          Comit? C?vico del Valle
          El Centro Chamber of Commerce & Visitors Bureau and the  
            Brawley Chamber of Commerce
          Imperial County Board of Supervisors
          Imperial County Building & Construction Trades Council
          Imperial Valley College
          Imperial Valley Regional Occupational Program
          Indio Chamber of Commerce Board of Directors and  
            Governmental Affairs and Public Policy Committee
          Latino Environmental Advancement and Policy Project
          Long Beach City College 
          Natural Resources Defense Council
          Oakland Workforce Investment Board 
          Planned Parenthood of San Diego and Riverside Counties
          Plumbers & Pipefitters Local Union #230
          PolicyLink
          School for Integrated Academics and Technologies
          Solar Millennium 
          State Building and Construction Trades Council, AFL-CIO
          SunEco Energy, Inc.
          The Institute for Socio-Economic Justice
          Union of Concerned Scientists







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           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          California has been facing a high unemployment rate that  
          has continued to go up as the nation's economy suffers.   
          Proponents argue that California is fortunate to have some  
          of the finest solar, wind, and geothermal resources in the  
          world giving California the opportunity to lead the nation  
          in the development of renewable energy technologies and the  
          creation of green collar jobs.  The author's office argues  
          that although renewable energy technology and job growth  
          potential exists in California, a program to ensure  
          workforce development in the Green Economy does not yet  
          exist.  The author's office contends that lacking a  
          trained/skilled workforce in an underutilized local  
          renewable energy market is a problem, and believes that  
          this bill will ensure green collar career placement and  
          advancement opportunities within California's renewable  
          energy sectors.  

          Proponents argue that urban and rural regions in the state  
          possess tremendous potential for renewable energy  
          generation but are also, unfortunately, riddled with  
          poverty and extremely high unemployment rates.  According  
          to the author's office, this bill will create the Renewable  
          Energy Workforce Readiness Initiative which is meant to  
          target specific populations such as low-income and  
          disadvantaged populations, at-risk youth, displaced and  
          incumbent workers in transition, veterans of past or  
          present service, and other struggling populations that are  
          unemployed in today's struggling economy.  Proponents argue  
          that this bill will greatly impact our communities by  
          allowing our local people to be trained and work-ready for  
          this new and emerging industry.  


           ASSEMBLY FLOOR  : 
          AYES:  Ammiano, Arambula, Beall, Blumenfield, Brownley,  
            Buchanan, Caballero, Charles Calderon, Carter, Chesbro,  
            Coto, Davis, De La Torre, De Leon, Eng, Evans, Feuer,  
            Fong, Fuentes, Furutani, Galgiani, Hall, Hayashi,  
            Hernandez, Hill, Huber, Huffman, Jones, Knight,  
            Krekorian, Lieu, Bonnie Lowenthal, Ma, Mendoza, Monning,  
            Nava, Nestande, John A. Perez, V. Manuel Perez,  







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            Portantino, Price, Ruskin, Salas, Saldana, Skinner,  
            Solorio, Audra Strickland, Swanson, Torlakson, Torres,  
            Torrico, Bass
          NOES:  Adams, Anderson, Bill Berryhill, Tom Berryhill,  
            Blakeslee, Conway, Cook, DeVore, Duvall, Emmerson,  
            Fletcher, Fuller, Gaines, Garrick, Gilmore, Harkey,  
            Jeffries, Logue, Miller, Niello, Nielsen, Silva, Smyth,  
            Tran, Villines
          NO VOTE RECORDED:  Block, Hagman, Yamada


          AGB:mw  9/4/09   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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