BILL ANALYSIS                                                                                                                                                                                                    






                 Senate Committee on Labor and Industrial Relations
                               Mark DeSaulnier, Chair

          Date of Hearing: June 9, 2010                2009-2010 Regular  
          Session                              
          Consultant: Alma Perez                       Fiscal:Yes
                                                       Urgency: No
          
                                  Bill No: AB 1378
                               Author: V. Manuel Perez
                        Version: As amended January 4, 2010 
          

                                       SUBJECT
          
             California Workforce Investment Board: veterans' workforce  
                                      program. 


                                      KEY ISSUE

          Should the Legislature require that the California Workforce  
          Investment Board evaluate the effectiveness of expenditures for  
          veteran workforce development programs in the state? 
          

                                       PURPOSE
          
          To establish the Veterans' Workforce Accountability Act for the  
          purpose of providing a method for the comprehensive and  
          transparent evaluation of veteran workforce development  
          programs. 


                                      ANALYSIS
          
           Under existing law,  the California Workforce Investment Board  
          (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.  Existing law also  
          requires the CWIB to assist the Governor with promoting the  
          development of a well-educated and highly skilled workforce.   
          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.  Through its broad membership, the  
          State Board encourages collaboration among both State and local  
          public and private entities. 
           
          The Workforce Investment Act of 1998  offers a comprehensive  
          range of workforce development moneys to finance activities  
          through statewide and local organizations.  Eligible clients  
          include, but are not limited to, people looking for jobs, laid  
          off workers, youth, or persons just entering the job market,  
          veterans and persons with disabilities. 
           
          Existing law  requires each local workforce investment board to  
          establish at least one full service one-stop career center in  
          the local workforce investment area.  One-stop career centers  
          are            required to include a specified group of job  
          search related entities and provide jobseekers with integrated  
          employment, education, training, and job search services.   
          Employers can also be provided with access to career and labor  
          market information, job placement assistance, and other such  
          services as the businesses in the community may require.

           
          This Bill  would establish the Veterans' Workforce Accountability  
          Act (Act) under the administration of the California Workforce  
          Investment Board (CWIB) for the purpose of providing a method  
          for the comprehensive and transparent evaluation of expenditures  
          for veteran workforce development programs in the state.   
          Specifically, this bill would:

             1.   Require that the CWIB conduct an annual assessment  
               evaluating the effectiveness of federally funded and state  
               administered programs that are designed to assist veterans  
               with the transition to civilian work, including the  
               approximately eighteen million dollar ($18,000,000) annual  
               grant that the state receives from the United States  
               Department of Labor for veteran workforce training. 

             2.   Require that the CWIB, in consultation with the  
               Employment Training Panel, the Department of Veterans'  
               Affairs, and representatives of the Employment Development  
          Hearing Date:  June 9, 2010                              AB 1378  
          Consultant: Alma Perez                                   Page 2

          Senate Committee on Labor and Industrial Relations 
          








               Department outline, implement, and administer the  
               provisions of the Act.  

             3.   Require that the CWIB develop clear, comprehensive, and  
               transparent objectives, and appropriate criteria that can  
               be used to evaluate the effectiveness of existing workforce  
               training and job referral programs for veterans.  

             4.   Require that the assessment contain ways to evaluate the  
               extent to which:
                  a.        Moneys are being spent for outreach,  
                    assessment of job skills, and interests and referrals  
                    of veterans to specific training opportunities and  
                    prospective jobs, in addition to evaluating the extent  
                    to which information is provided to veterans regarding  
                    ways to finance training opportunities that require  
                    fees or the payment of tuition. 
                  b.        Funds are being used to assess job skills  
                    acquired during military service that could be used or  
                    adapted for civilian jobs by the veteran. 
                  c.        Funds are being used to provide workforce  
                    training and job referral programs for eligible  
                    veterans at one-stop career centers.  

             5.   Require that the CWIB annually report to the Governor  
               and the appropriate legislative policy and budget  
               committees on the effectiveness of existing jobs skills  
               training and employment opportunities being provided to  
               transitioning veterans. 

             6.   Provide that the requirements of this bill will only be  
               implemented to the extent that federal funds are made  
               available to the state for the specified purposes.  



                                      COMMENTS
          
          1.  Need for this bill?

            According to the United States Department of Veterans Affairs,  
            the total estimated national veteran population as of 2007 was  
          Hearing Date:  June 9, 2010                              AB 1378  
          Consultant: Alma Perez                                   Page 3

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            23,442,000.  In California, there are roughly 2,078,000  
            veterans comprising 8.8 percent of the national population.   
            While most veterans are men, 8 percent of the veteran  
            population is women.  Current law requires that the Employment  
            Development Department (EDD) research the needs of veteran's  
            throughout the state, develop a statewide plan for serving  
            veterans, and report to the Legislature each year on the  
            number of veterans receiving services, the average earnings  
            for veterans, among other things.  

            In California, the California Department of Veterans Affairs  
            is responsible for administering a number of special programs,  
            benefits and services for California veterans and their  
            families.  Currently, California receives $18 million dollars  
            annually from the United States Department of Labor to pay for  
            approximately 180 workforce training staff, assigned within  
            EDD and dedicated to serving the needs of veterans.  The  
            Governor has also recently announced the creation of  
            "Operation Welcome Home" for California veterans, aimed at  
            helping newly discharged veterans access the benefits and  
            services they need to successfully enter civilian workforce.    
            In addition, the state currently spends in excess of $500  
            million in a variety of job training programs that are  
            available for most veterans to access. 

            This bill would ensure that these and other moneys designated  
            to assisting veterans is effectively utilized for that purpose  
            and that veterans have the opportunity to develop the  
            competitive workforce skills needed to obtain good paying  
            jobs.  The author believes that this assessment could provide  
            key information on how California could have more integrated  
            and successful approach to providing veteran services using  
            existing resources, including outreach, skill assessments,  
            training, and help with job placement. 

          2.  Similar Efforts in Other States: 

            Other states have also begun to take steps to address the  
            quality of its services to veterans.   In 2005, the state of  
            Texas enacted House Bill 2604, which reorganized all the  
            veteran focused programs under one entity and named it the  
            "Texas Veterans Commission."  Under HB 2604, the Texas  
          Hearing Date:  June 9, 2010                              AB 1378  
          Consultant: Alma Perez                                   Page 4

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            Veterans Commission became the central administering entity  
            for all veteran related programs.  According to the United  
            States Department of Labor, the hiring success rate for  
            veterans in Texas increased from 57% in 2006 to 85% in 2008.  
                                                    
          3.  Double Referral to the Senate Veterans Affairs Committee:  
            
            If approved by the Senate Labor and Industrial Relations  
            Committee, this bill will go to the Senate Veterans Affairs  
            Committee, per Senate Rules.

          4.  Proponent Arguments  :
            
            According to the author, over the years, our nation has called  
            on our service men and women in the Armed Forces to protect  
            and serve our nation at home and abroad.  The author argues  
            that upon their honorable completion of service and return  
            home, veterans face tremendous challenges transitioning back  
            into civilian life many times struggling to find jobs,  
            housing, health services, and other social services.  In  
            addition, the author adds that in some cases, recovery from  
            physical and psychological injuries makes the transition into  
            civilian life more challenging.    

            According to proponents, California streets are the only home  
            for nearly 40,000 veterans, nearly thirty percent of the  
            state's homeless population and approximately 25% of the  
            nation's homeless veterans.  In addition, proponents argue  
            that unemployment among veterans is higher than the general  
            population and especially sever among younger veterans.  Even  
            worse, proponents argue, the governmental agencies charged  
            with providing transition assistance to returning veterans are  
            ill equipped to meet their needs.  

            According to proponents, California's federally funded,  
            veterans' employment assistance program shamefully ranks 48th  
            in the nation in placing veterans in jobs and 38th in  
            accessing federal benefits they've earned.  The author argues  
            that although federal and state law provides for a variety of  
            workforce development programs, the needs of veterans seem to  
            be continually overlooked for overshadowed by other workforce  
            development priorities.  In addition, the author argues that  
          Hearing Date:  June 9, 2010                              AB 1378  
          Consultant: Alma Perez                                   Page 5

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            considerable federal dollars were provided to California for  
            workforce development through the stimulus funding, however,  
            it is unclear how much of those moneys will end up serving  
            veterans.  The author and proponents believe that this bill  
            will help ensure that the programs aimed at assisting veterans  
            in the workforce are effective by providing key information on  
            how California could have a more integrated and successful  
            approach to providing veterans services with existing  
            resources.  

          5.  Opponent Arguments  :

            None received to date. 

          6.  Prior/Related Legislation  :

            AB 1567 (Asm. Committee on Veterans Affairs) of 2009: Vetoed  
            by the Governor 
            This bill would have required that the Employment Training  
            Panel Plan include a statement detailing the employment  
            training goals, objectives, and strategies that may be  
            implemented to support target populations in need of  
            employment training, including military veterans.  


                                       SUPPORT
          
          American Legion, Department of California 
          AMVETS, Department of California 
          California Association of Veteran Service Agencies 
          Vietnam Veterans of California, California State Council 
          
                                     OPPOSITION
          
          None received to date.           






          Hearing Date:  June 9, 2010                              AB 1378  
          Consultant: Alma Perez                                   Page 6

          Senate Committee on Labor and Industrial Relations