BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 271
                                                                  Page  1

          Date of Hearing:   May 6, 2009

                     ASSEMBLY COMMITTEE ON LABOR AND EMPLOYMENT
                              William W. Monning, Chair
                 AB 271 (Solorio) - As Introduced:  February 12, 2009
           
          SUBJECT  :  California YouthBuild Program: funding and  
          designation.

           SUMMARY  :  Conforms the California YouthBuild Program (YBP) with  
          the federal YouthBuild Transition Act (YBTA) which transfers  
          administration of the YouthBuild Program from the Department of  
          Housing and Urban Development (HUD) to the Deparment of Labor  
          (DOL) by revising provisions in current law that make reference  
          to HUD to instead refer to DOL. 

           EXISTING FEDERAL LAW  :   

          1)Establishes YBTA which transferred administration of the  
            federal YouthBuild Program from the HUD to the DOL, among  
            other things.

          2)Authorizes the federal YBP to give grants for the provision of  
            job training and educational activities to at-risk youth who,  
            as part of their training, help construct or rehabilitate  
            housing for low-income or homeless individuals and families in  
            their respective communities.
           
           EXISTING STATE LAW  :   

          1)Establishes the California YBP within the Employment  
            Development Department (EDD) to provide grants to  
            organizations which employ and train disadvantaged youth in  
            conjunction with the construction or rehabilitation of housing  
            for low-income and other specified populations.

          2)Allows EDD to accept proposals for funding from applicants who  
            establish their eligibility by submitting proof that they have  
            been funded or designated as a federal YBP by HUD.

          3)Authorizes the director of EDD to contract with qualified  
            nonprofit organizations to provide technical assistance to  
            YBP's.

           FISCAL EFFECT  :  Unknown








                                                                  AB 271
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           COMMENTS  :  According to the ETA, under DOL, YouthBuild is a  
          highly successful alternative education program.  For many years  
          the YouthBuild program was a part of HUD and they achieved  
          impressive outcomes with over a third of the young people  
          transitioning from the program to post secondary educational  
          opportunities.

          Under the Federal YouthBuild Transition Act of 2005, the  
          administration of the YouthBuild Program was transferred from  
          HUD to DOL.  This bill conforms the California YouthBuild  
          Program provisions to this change by replacing the reference in  
          code from HUD to DOL.  By correcting these provisions,  
          YouthBuild applicants will be able to establish their  
          eligibility for grants by submitting proof that they have been  
          funded or designated as a federal YouthBuild program by DOL,  
          instead of HUD.
           
          In 2003, the White House Task Force for Disadvantaged Youth  
          recommended transferring the administration of the federal  
          YouthBuild program from HUD to DOL.  On September 22, 2006,  
          President Bush signed into law the YouthBuild Transfer Act of  
          2005 which made this transfer possible.  The transfer was  
          intended to link the program more closely to the nation's  
          workforce investment system.  The YBTA allows for greater  
          coordination of the federal program with the WIA system,  
          including local workforce investment boards, One-Stop Career  
          Centers, and its partner programs.  These strengthened  
          connections are expected to enhance the job training and  
          employment opportunities available to participating at-risk  
          youth.

           ARGUMENTS IN SUPPORT  :

          According to the sponsor, the California YouthBuild Coalition,  
          YBPs are designed to give at-risk youth, and those on probation  
          and parole, an opportunity for academic renewal and to expand 
          their employment opportunities.  Specifically, these programs  
          assist young men and women in obtaining their high school  
          diplomas and concurrently training them in home construction  
          skills.  Each program is independently operated by either a  
          local community based organization or a public entity, but they  
          must all comply with a core curriculum which meets stringent  
          federal and state guidelines.
           








                                                                 AB 271
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          Additionally the sponsor states that a recent national study of  
          900 participants determined that after enrollment only 15%  
          committed a misdemeanor; 9% committed a felony; and, the rate of  
          drug use plummeted by approximately 70%.  The sponsor notes that  
          in California, the accomplishments are even better with several  
          programs having recidivism rates of less than 10%.

          The American Federation of State, County and Municipal Employees  
          (AFSCME) believe the YBP is admirable because it provides job  
          training, educational opportunity, and leadership development to  
          low-income youth.  While working toward their high school  
          diploma or GED, the YBP teaches construction skills as the  
          participants build housing for low-income and homeless  
          Californians.

           PRIOR LEGISLATION  :

          This bill is nearly identical to the amended version of AB 1982  
          (Solorio) from last year which passed the Assembly Committee on  
          Labor and Employment on consent.  It was vetoed by the Governor  
          and in his veto message he stated,  

          "The historic delay in passing the 2008-2009 State Budget has  
          forced me to prioritize the bills sent to my desk at the end of  
          the year's legislative session.  Given the delay, I am only  
          signing bills that are the highest priority for California.   
          This bill does not meet that standard and I cannot sign it at  
          this time."

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          American Federation of State, County and Municipal Employees
          California Peace Officers' Association
          California Police Chief Association
          California YouthBuild Coalition (Sponsor)

           Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Lorie Erickson / L. & E. / (916)  
          319-2091