BILL ANALYSIS                                                                                                                                                                                                    







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        |Hearing Date:May 11, 2009      |Bill No:SB                            |
        |                               |515                                   |
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                       SENATE COMMITTEE ON BUSINESS, PROFESSIONS
                                AND ECONOMIC DEVELOPMENT
                         Senator Gloria Negrete McLeod, Chair

                         Bill No:        SB 515Author:Hancock
                          As Amended:April 20, 2009Fiscal: No

        
        SUBJECT:   Career technical education.
        
        SUMMARY:  Requires schools and community colleges that receive funds  
        from the Perkins Act to demonstrate that at least half of sequenced  
        career technical education courses are linked to regional or state  
        high priority workforce needs.  

         NOTE  :  This measure was heard in the Senate Education Committee on  
        April 22, 2009, and was passed out of that Committee by a vote of  
        8 to 0.  

        Existing law:

        1)Existing law establishes various career technical education (CTE)  
          programs for public schools including but not limited to regional  
          occupational centers and programs (ROC/P), partnership academies,  
          adult education programs, and career technical education programs in  
          secondary and postsecondary institutions.  

        2)Federal law, the Carl D. Perkins Career and Technical Education  
          Improvement Act, provides federal funds to states for the purpose of  
          improving CTE programs, integrating academic and technical  
          curriculum, serving special populations and meeting gender equity  
          needs.  Federal Law also establishes various conditions for  
          receiving funds provided under the Carl D. Perkins Act.  

        3)Requires the governing board of each Regional Occupational Centers  
          and Programs (ROC/Ps) to ensure, on or before July 1, 2010, that at  
          least 90 percent of all state-funded courses offered in those  
          centers or programs, as specified, are part of course sequences that  
          target comprehensive skills.





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        4)Classifies counties on the basis of average daily attendance.  For  
          example, Class One counties have an average daily attendance of  
          750,000 and over; Class Eight counties have average daily attendance  
          of less than 1,000 students.  

        5)Federal law enacts the Workforce Investment Act (WIA) which provides  
          funding for workforce investment activities to states for specified  
          activities like job training, employment investment, work incentive  
          programs and employment training outreach programs.  

        6)Federal law, under WIA, specifies that 15% of a state's federally  
          allocated funds can be retained by the state to develop and  
          coordinate workforce development activities, establishes local  
          workforce development boards (WIBs) to develop, implement and  
          coordinate workforce development programs and specifies that the  
          remaining 85% of federal funds be allocated to the local workforce  
          investment boards for the purpose of carrying out their workforce  
          development activities.

        7)States that it is the duty of a local workforce board to, among  
          other things, coordinate workforce development activities in the  
          local area and take specified actions to promote economic  
          development and job training programs in the area.

        This bill:

        1)By January 1, 2013, requires school districts, regional occupational  
          centers or programs (ROC/Ps) and community college districts to  
          demonstrate that at least half of the course sequences offered for  
          students are linked to high priority workforce needs as identified  
          by the State Department of Labor and Workforce Development for the  
          State of California, or for the economic region where the ROC/P,  
          community college district or school district is located.  

        2)Encourages school districts, ROC/Ps, and community college districts  
          to work with local WIBs to identify high priority career sectors.

        3)Makes a technical and conforming change regarding the Labor and  
          Workforce Development Agency. 

        FISCAL EFFECT:  Unknown.  The measure is keyed "non-fiscal" by  
        Legislative Counsel.

        COMMENTS:
        





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        1.Purpose.  According to the Author, this bill is needed to ensure  
          that state and federal Career Technical Education (CTE) funds are  
          spent in a strategic manner and that local school districts and  
          ROC/Ps focus their efforts on courses that offer students pathways  
          to postsecondary and workforce opportunities.  The Author states  
          that the State spends $1.2 billion annually on career technical  
          education (CTE) and while there are general statements about  
          workforce needs in federally funded programs and ROC/Ps, there  
          aren't any specific requirements to link curriculum to high priority  
          workforce needs in the state or in the region.  The Author believes  
          there needs to be a more strategic approach on how career technical  
          education funds are used in K-12 schools and community colleges.  

        2.Background.  CDE 2006-07 data shows that, statewide, California has  
          a 67.6 percent high school graduation rate and 24.2 percent dropout  
          rate.  Graduation and dropout rates vary among counties and the same  
          data illustrates the following dropout rate disparities among ethnic  
          groups:  

                   Ethnicity                  Graduation Rate       Dropout Rate  
                  White                    84.8%               15.2%
                  African American              58.4           41.6
                  American Indian               68.7           31.3
                  Asian                         89.2           10.2
                  Filipino                 88.1                11.9
                  Hispanic/Latino               69.7           30.3
                  Pacific Islander              72.1           27.9

          Other CDE data on CTE indicates that the number of CTE classes  
          declined approximately 
          24 percent between 1997-98 and 2006-07.  Recent research by Kenneth  
          C. Gray and Edwin L. Herr of Pennsylvania State University indicates  
          that while many high school students matriculate to college,  
          relatively few go on to both earn a college degree and work in a job  
          requiring a college degree.  Gray and Herr argue that providing a  
          range of educational coursework, including opportunities for  
          contextual and applied learning and rigorous academics, creates more  
          alternatives for high school students and enables them to make more  
          informed choices about career pathways following high school. 

        3.California Research Bureau's (CRB) Careers Project Report.     
          Earlier this year, the CRB released its Careers Project report which  
          examined the preparation all students in public- and middle-high  
          schools receive to explore career options and the relationship  
          between that preparation and California's state and regional  
          economies.  The report was done at the request of a bipartisan group  





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          of 11 members of the California Legislature and funding support from  
          the James Irvine Foundation.  The study consisted of three distinct  
          phases; a statewide survey of middle- and high-school counselors and  
          principals, an economic analysis and a survey of representatives of  
          business and industry in California and school focus groups.

          The following are the findings relevant to this legislation:

                   There are limited resources available to all students in  
               grades 7 through 12 for career development. 

                   Half of all respondents reported that their schools  
               offered a curriculum for career development, less than half had  
               developed such a curriculum, and about half had provided career  
               development to all students.  This indicates that the provision  
               of career development information for all students regarding  
               the various careers and industries in the state is  not  a high  
               priority for school districts and schools. 

                   Of the schools providing career development services, only  
               10 percent had evaluated the effectiveness of their career  
               development activities, programs or tools.  Moreover, of the  
               schools that had engaged with local businesses, about a fifth  
               had evaluated the effectiveness of these partnerships.

                   Schools not providing career development to all students  
               or not engaging with entities in their local community (such as  
               community colleges, local businesses or other community  
               organizations) might provide it if they had more staff.

                   Principals and counselors concurred that students are  
               interested in receiving more career development information;  
               since this was the least cited reason for not providing career  
               development to all students.

        1.BP&ED Informational Hearing on Workforce Development.  On March  
          23rd, the Committee on Business, Professions and Economic  
          Development held an informational hearing entitled "The Role of  
          Private Education Institutions in Preparing California's Diverse  
          Workforce: Meeting the Challenges of our Workforce and Job Training  
          Needs."  The hearing examined the ability of private postsecondary  
          institutions to fill the career preparation needs of California's  
          workforce and evaluate policy options that allow them to expand  
          their workforce development programs with the requisite amount of  
          oversight required to protect students.   






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          Automotive, biotech, construction, health and manufacturing industry  
          representatives were invited to participate in the hearing and they  
          offered testimony on their industries' difficulty in hiring  
          qualified employees.  They also provided the Committee with  
          information on workforce development programs in which they have  
          engaged to help address those workforce shortages.  This information  
          provided the basis for one of the hearing's main findings;  
          specifically, that industries are facing shortages in hiring workers  
          with the minimum skills needed for entry into the field.

        2.State Approved CTE Curriculum.  The State Board of Education adopted  
          model curriculum standards for career technical education in May  
          2005, and adopted the curriculum frameworks for those standards in  
          January 2007.  The standards are organized in 15 industry sectors of  
          interrelated occupations and broad industries.  The standards also  
          identify 58 career pathways and the academic and technical courses  
          required for each pathway.  

        3.Regional Occupational Centers and Programs (ROC/Ps).  ROC/Ps  
          provides students opportunities to attend CTE programs.  ROC/P are  
          designed to provide a focused occupational training and typically  
          include more advanced capstone courses that students take during  
          grades 11 and 12 to prepare them for entry level jobs or transition  
          to postsecondary education, technical training, or apprenticeships.   
          This bill seeks to create specialized ROC/P programs that will  
          prepare pupils to enter postsecondary apprenticeship programs and to  
          provide guidance to schools seeking to develop apprenticeship  
          preparation programs. 

        4.Structure and Background of Workforce Investment Boards and Local  
          Workforce Investment Areas.  The Workforce Investment Act (WIA) is  
          administered by 49 Workforce Investment Boards (WIBs) in California.  
           WIBs are administered by a variety of agencies, including county  
          and city governments, non-profits and joint power authorities.   
          Within county and city government, WIBs are placed in a variety of  
          organizational structures.  Some WIBs are housed in welfare  
          agencies, economic development departments and still others are  
          their own agencies or separate non-profit organizations.  

          There are five ways that WIBs can carry out their role and each WIB  
          incorporates most of these roles in varying degrees in all aspects  
          of their work.

                   Convener:  Bringing together business, labor, education  
               and economic development to focus on community workforce  
               issues.





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                   Workforce Analyst:  Developing, disseminating and  
               understanding current labor market and economic information and  
               trends.
                   Broker:  Bringing together systems to solve common  
               problems, or broker new relationships with businesses and  
               workers.
                   Community Voice:  Advocating for the importance of  
               workforce policy, providing perspective about the need for  
               skilled workers. 
                   Capacity Builder: Enhancing the region's ability to meet  
               the workforce needs of local employers.

          In all of these roles, California WIBs are working towards building  
          a competitive workforce advantage in their communities and regions.

        1.Identifying Regional Economic Needs.  The California Labor and  
          Workforce Development Agency has published a report on California's  
          economic profile and has designated nine economic regions of the  
          state for purposes of identifying workforce needs and to aid local  
          Workforce Investment Boards develop and address economic development  
          strategies closely related to the unique needs of each region.  

        2.Related Legislation this Session.  This measure is part of a package  
          of bills currently pending in the Legislature aimed at linking the  
          state's public education system to workforce needs in current and  
          future economies.  

         SB 43  (Alquist) authorizes the healing arts boards within the  
          Department of Consumer Affairs to collect cultural and linguistic  
          competency information from their licensees and requires the  
          information to be shared with the relevant state agencies to assist  
          with workforce development policy and efforts.  That bill was  
          approved 8-1 in this Committee on April 20th and was a 28.8 out of  
          the Appropriations Committee and is now on the Senate Floor.
           
          SB 471  (Romero and Steinberg) establishes the Stem Cell and  
          Biotechnology Education and Workforce Development Act of 2009.  The  
          measure requires specified activities relating to stem cell  
          education and workforce development and states findings and  
          declarations relating to stem cell science and regenerative  
          medicine.  The measure was heard in the Senate Education Committee  
          on April 29, and passed by a vote of 7-1, and is now in the Senate  
          Appropriations Committee.
           
          SB 675 (Steinberg) enacts Clean Technology and Renewable Energy Job  
          Training, Career Technical Education, and Dropout Prevention Act of  





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          2010, to provide funds to qualifying entities for construction or  
          reconfiguring of facilities to provide program participants with  
          skills and knowledge necessary for successful employment related to  
          clean technology, renewable energy or energy efficiency.  The  
          measure was approved 8-1 in this Committee on April 27th and is now  
          pending in the Senate Appropriations Committee.

           SB 747  (Romero) establishes a pilot pre-apprenticeship program, to  
          be implemented by the California Community Colleges for the purpose  
          of preparing high school pupils to work in the aerospace industry.   
          The measure was heard on April 29th in the Senate Education  
          Committee and passed 9-0. 

        
        SUPPORT AND OPPOSITION:
        
         Support:  None as of May 5, 2009.

          Opposition:  None as of May 5, 2009.



        Consultant:Sarah Mason