BILL NUMBER: AB 2004 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 5, 2010
INTRODUCED BY Assembly Member Beall
FEBRUARY 17, 2010
An act to add Section 10508 to the Welfare and Institutions
Code, relating to job creation.
LEGISLATIVE COUNSEL'S DIGEST
AB 2004, as amended, Beall. Job creation: civic works
councils. creation, work incentive, and work subsidy
programs.
Existing law regulates business and employment in California.
This bill, the California Civic Works Act of 2010, would declare
the intent of the Legislature to enact legislation, to allow local
jurisdictions to create unique solutions, as needed, to respond to
California's current economic crisis.
Existing law provides for the allocation of funds received by the
state from the federal Emergency Contingency Fund for State Temporary
Assistance for Needy Families Programs, in accordance with the
federal American Recovery and Reinvestment Act of 2009 (Public Law
111-5), to pay county costs for certain wage subsidy programs and
nonrecurrent short-term benefit programs, as defined, notwithstanding
the provisions of the existing allocation. Existing law defines
needy families for purposes of these provisions. Existing law makes
these provisions inoperative October 1, 2010, and would repeal the
provisions on January 1, 2011.
This bill would require the State Department of Social Services to
issue all-county letters or similar instructions to clarify
eligibility criteria, and provide a framework for wage subsidy
programs funded pursuant to the federal Emergency Contingency Fund
for State Temporary Assistance for Needy Families Programs. The bill
would specify other components of the all-county letters or similar
instructions. It would exempt income derived from participation by an
adult CalWORKs recipient in a wage subsidy program from
consideration as income for purposes of CalWORKs eligibility. This
bill would prohibit a county's eligibility to receive funding for a
program operated in accordance with the bill from being limited or
otherwise restricted because the county is already operating a wage
subsidy program on the date that the bill is enacted.
Under existing law, moneys from the General Fund are continuously
appropriated to defray a portion of the state's share of CalWORKs
costs.
This bill would provide that no appropriation would be made for
purposes of implementing the bill.
To the extent that it would increase the duties of counties
administering the CalWORKs program this bill would impose a
state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
Existing law regulates business and employment in California.
This bill would state the intent of the Legislature to enact
legislation establishing civic works councils in regions of
California, which would coordinate with officials and nonprofits to
address economic challenges facing California, as specified.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no
yes .
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. This act shall be known, and may be
cited, as the California Civic Works Act of 2010.
SEC. 2. It is the intent of the Legislature to
enact legislation to allow local jurisdictions to create their own
unique solutions, as needed, to respond to the economic crisis with
which California is currently struggling.
SEC. 3. The Legislature finds and declares all of
the following:
(a) In order to successfully stimulate the economy, a wage subsidy
program model should include multiple layers of programs and people,
and contain a workforce training element, to ensure that
participants obtain jobs with career potential.
(b) The federal government currently partners directly with local
officials and nonprofit organizations, to address challenges relating
to infrastructure, affordable housing, and flood protection.
(c) (1) As an example, the Santa Clara County Department of Social
Services has created a three-tiered employment program, which could
serve as a model for other counties. Tier One is for CalWORKs
families in which an adult participant is working part time and
finishing school. Tier Two is for CalWORKs families in which an adult
participant is working full time. Tier Three is directed toward
needy families who are not CalWORKs recipients.
(2) The department also has developed partnerships with nonprofit
and for-profit employers and created a tiered wage subsidy rate
structure, under which nonprofit and public organizations receive a
100 percent wage subsidy and private employers receive an 80 percent
wage subsidy. Private employers are expected to hire participants,
and to pay 100 percent of the wage after six months.
(3) Additionally, the department selected a private firm pursuant
to a competitive bidding process, to help find employers with job
openings. In addition, the department partnered with a summer youth
program and nonprofit entities.
(d) The goal of the federal Emergency Contingency Fund for State
Temporary Assistance for Needy Families Programs, established by the
American Recovery and Reinvestment Act of 2009 (ARRA) (Public Law
111-5), is to get Americans back to work today, and the majority of
the provided funds are required to be used to subsidize wages
directly. In recognition of the administrative costs to operate and
develop the program, the federal funding scheme allows for a cost of
doing business, requests a 20 percent local match, and permits
in-kind contributions to be used to satisfy the local match
requirement.
SEC. 4. Section 10508 is added to the
Welfare and Institutions Code , to read:
10508. (a) The department shall issue one or more all-county
letters or similar instructions from the director to clarify
eligibility criteria and provide a framework for wage subsidy
programs funded pursuant to the federal Emergency Contingency Fund
for State Temporary Assistance for Needy Families Programs, Section
603(c) of Title 42 of the United States Code.
(b) The all-county letters or instructions required under this
section shall include examples of successful programs being operated
by counties, and also shall address all of the following:
(1) A plan to relax procurement guidelines to allow counties to
enter into sole-source contract agreements that meet federal
procurement standards.
(2) A requirement to allow a county to receive emergency
contingency funding 60 days before providing local matching funds, in
order to cover the initial cost of developing a wage subsidy
program.
(3) Incentives and guidance to encourage counties to operate
summer youth programs.
(4) Technical assistance for counties with high unemployment
rates, that lack the necessary infrastructure to implement a wage
subsidy program on their own.
(5) Encouragement of multicounty and regional alignments and joint
powers authorities, using economies of scale.
(6) Allowing local services agencies, workforce investment boards,
and wage subsidy partners to be reimbursed for their costs of doing
business for providing technical assistance to counties.
(7) Incentives for participation by nonprofit and public sector
organizations.
(8) Encouragement of a tiered wage subsidy rate structure under
which nonprofit and public organizations would receive a 100 percent
wage subsidy and private employers would receive an 80 percent wage
subsidy.
(9) Development and support of new and existing apprenticeship and
preapprenticeship programs, using emergency contingency funds.
(10) Encouragement and guidance to encourage counties to create
various types of civic works jobs and to build public infrastructure
projects.
(11) Any other provision the department deems appropriate to
facilitate the establishment or operation of a work incentive or wage
subsidy program in accordance with this section.
(c) Income derived from participation by an adult CalWORKs
recipient in a wage subsidy program shall not be considered income
for purposes of CalWORKs eligibility.
(d) If a county is already operating a wage subsidy program on the
date that the act adding this section is enacted, operation of that
program shall not limit or otherwise restrict the county's
eligibility to receive funding for a program operated in accordance
with this section.
(e) The department shall provide the Legislature with statistical
information, including, but not limited to, county participation,
number of jobs, type of employers, and quality of employment, by also
submitting all federally mandated progress reports to the Senate and
Assembly human services committees, for their review and comment.
Section 9795 of the Government Code shall not apply to this
subdivision.
SEC. 5. No appropriation under Section 15200 shall
be made for purposes of implementing this act.
SEC. 6. If the Commission on State Mandates
determines that this act contains costs mandated by the state,
reimbursement to local agencies and school districts for those costs
shall be made pursuant to Part 7 (commencing with Section 17500) of
Division 4 of Title 2 of the Government Code.
SECTION 1. (a) It is the intent of the
Legislature to enact legislation entitled the California Civic Works
Act of 2010, which would establish civic works councils in existing
regions of California. The civic works councils would coordinate with
officials and nonprofits to address challenges, such as
infrastructure projects, affordable housing, job creation, training
and retention, and environmental and flood protection.
(b) It is the intent of the Legislature to enact legislation which
would allow local jurisdictions to created their own unique
solutions, as needed, to respond to the economic crisis with which
California is currently struggling.