BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           1394 (Bass)
          
          Hearing Date:  7/6/2009         Amended: 6/18/2009
          Consultant:  Bob Franzoia       Policy Vote: L&IR 5-1
          _________________________________________________________________ 
          ____
          BILL SUMMARY: AB 1394 would authorize the California Workforce  
          Investment Board (CWIB) to accept any revenues, moneys, grants,  
          or services from federal and state entities, philanthropic  
          organizations, and other sources to be used for purposes  
          relating to the administration of the Green Collar Job Council  
          (GCJC) strategy initiative.  This bill would require that all  
          revenues received pursuant to those provisions be deposited into  
          a green collar jobs account by the Economic Development  
          Department (EDD) and require that revenue expended for the  
          purpose of awarding workforce training grants implementing the  
          strategic initiative.  This bill would permit the GCJC to  
          solicit and make recommendations for grant applications to award  
          these revenues and green workforce training funds received by  
          the state under the federal American Recovery and Reinvestment  
          Act of 2009 or any other funding sources.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2009-10      2010-11       2011-12     Fund
           GCJC grants program    $200 to $500 initially, future costs  
          depend-                Special*   
          participation                     on grant or greenwork force  
          training funds
                                            being available 

          * Federal, state, other sources
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill meets the criteria for referral to the  
          Suspense File.
          
          The CWIB was established by Executive Order in response to the  
          mandate of the federal Workforce Investment Act (WIA) 1998 to  
          assist the Governor in setting and guiding policy in the area of  
          workforce development.  The CWIB is charged with developing a  










          comprehensive workforce development plan for the state as  
          described in the Workforce Training Act of 2008 and with federal  
          responsibilities outlined in the Workforce Investment Act of  
          1998. 

          Chapter 312/2008 (AB 3018, Nunez) established the GCJC under the  
          CWIB.  The GCJC is tasked with understanding the current and  
          future workforce needs of the Green/Clean economy, developing a  
          comprehensive strategy to prepare California's workforce to meet  
          the needs of businesses supporting the economy and ensure that  
          efforts aimed at improving worker's skills are coordinated and  
          effective.

          The GCJC is comprised of the appropriate representatives from  
          the CWIB existing membership, including the K-12 representative,  
          the California Community Colleges representative, the Business,  
          Transportation and Housing Agency representative, the EDD  
          representative, and other appropriate representatives.  The CWIB  
          may call on 

          Page 2
          AB 1394 (Bass)

          other state agencies and representatives of various non  
          governmental entities to serve as consultants to the GCJC in the  
          development of the strategic initiative.

          The current process for awarding funds is with the CWIB using  
          EDD staff resources.  This bill authorizes the GCJC to begin  
          soliciting and review grant applications and making funding  
          recommendations.  The GCJC does not have staff to perform these  
          functions which appear to overlap the existing process.  In  
          order to administer the grants as cost effectively as possible  
          and to ensure full input on grant decisions, staff recommends  
          the bill be amended (page 4, lines 7-14)
          as follows:

             (e) Revenue received by the department pursuant to  
          subdivision (d) shall only be expended after consultation with  
          the CWIB and the GCJC for the purpose of awarding workforce  
          training grants implementing the strategic initiative.
              (f) The GCJC, in collaboration with the department shall be  
          responsible for soliciting and reviewing grant applications, and  
          making grant funding recommendations to the CWIB.   Grants shall  
          be awarded within  120  180 days of receipt of any funding for  
          that purpose.