BILL NUMBER: AB 1804	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 28, 2010
	AMENDED IN ASSEMBLY  MARCH 24, 2010

INTRODUCED BY   Assembly Member Hagman

                        FEBRUARY 10, 2010

   An act to amend  Section 1611 of, and to repeal Section
1611.5 of,   Section 1611.5 of  the Unemployment
Insurance Code, relating to employment.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1804, as amended, Hagman. Employment Training Fund.
   Existing law specifies that moneys in the Employment Training Fund
are to be expended only for particular purposes relating to
employment training and related administrative costs, but authorizes
those moneys to be used for, among other purposes, loans to the
General Fund and also authorizes the Legislature to appropriate from
the Employment Training Fund an amount specified in the annual Budget
Act to fund the local assistance portion of welfare-to-work
activities under the CalWORKs program, in accordance with specified
provisions.
   This bill would  replace those provisions authorizing
moneys in the Employment Training Fund to be used for loans to the
General Fund and would also repeal those provisions authorizing the
Legislature to appropriate that amount in the annual Budget Act from
the Employment Training Fund to fund the local assistance portion of
welfare-to-work activities under the CalWORKs program. The bill would
also provide that moneys in the Employment Training Fund shall not
be appropriated for any other purpose other than those specified.
  require that moneys in the Employment Training Fund be
appropriated only for specified employment training purposes, and
would prohibit the use of those moneys for any other purpose. The
bill would require that, on or after January 1, 2011, an amount equal
to the amount appropriated to the State Department of Social
Services from the Employment Training Fund to fund activities under
the CalWORKs program, be transferred back to the fund by the
department within 3 years from the date of the appropriation. The
bill would further require that, on and after   January 1,
2011, any moneys that are loaned to the General Fund from the
Employment Training Fund pursuant to those provisions be repaid to
the fund within 3 years of the date of the appropriation or loan,
with interest as provided. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 1611.5 of the  
Unemployment Insurance Code  is amended to read: 
   1611.5.   (a)     (1)   
Notwithstanding Section 1611, the Legislature may appropriate from
the Employment Training Fund an amount specified in the annual Budget
Act to fund the local assistance portion of welfare-to-work
activities under the CalWORKs program, provided for pursuant to
Article 3.2 (commencing with Section 11320) of Chapter 2 of Part 3 of
Division 9 of the Welfare and Institutions Code, as administered by
the State Department of Social Services. 
   (2) On and after January 1, 2011, an amount equal to the amount
appropriated to the State Department of Social Services from the
Employment Training Fund to fund activities under the CalWORKs
program pursuant to paragraph (1), shall be transferred back to the
fund by the department within three years from the date of the
appropriation.  
   (b) On and after January 1, 2011, any moneys loaned to the General
Fund pursuant to subdivision (d) of Section 1611, shall be repaid
within three years from the date of the appropriation or loan,
together with interest on the loan computed as prescribed in that
section.  
  SECTION 1.    Section 1611 of the Unemployment
Insurance Code is amended to read:
   1611.  Moneys in the Employment Training Fund shall be
appropriated only for the purposes specified in this section and
shall not be appropriated for any other purpose. Moneys shall be
expended only for the purposes of Chapter 3.5 (commencing with
Section 10200) of Part 1 of Division 3, and for the costs of
administering this article and Section 976.6, except those moneys may
be used for any of the following:
   (a) With the approval of the Legislature, the fund or
contributions to it may be used to pay interest charged on federal
loans to the Unemployment Insurance Fund.
   (b) Commencing with allocations made to the Employment Training
Panel in the 1992-93 fiscal year, any moneys allocated to the panel
in a fiscal year that are not encumbered by the panel in that fiscal
year, shall revert to the Unemployment Insurance Fund.
   (c) It is the intent of the Legislature that the panel shall
closely monitor program performance and expenditures for employment
training programs administered by the panel, and that the panel shall
expeditiously disencumber funds that are not needed for employment
training program completion. Commencing with the 1992-93 fiscal year,
those moneys that are disencumbered during the fiscal year that are
not reencumbered during the same fiscal year shall revert to the
Unemployment Insurance Fund.  
  SEC. 2.    Section 1611.5 of the Unemployment
Insurance Code is repealed.