BILL ANALYSIS
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UNFINISHED BUSINESS
Bill No: SB 599
Author: Negrete McLeod (D)
Amended: 9/2/09
Vote: 27 - Urgency
SENATE BUSINESS, PROF. & ECON. DEV. COMM. : 10-0, 4/27/09
AYES: Negrete McLeod, Wyland, Aanestad, Corbett, Correa,
Florez, Oropeza, Romero, Walters, Yee
SENATE APPROPRIATIONS COMMITTEE : 12-0, 5/28/09
AYES: Kehoe, Cox, Corbett, Denham, DeSaulnier, Hancock,
Leno, Oropeza, Runner, Walters, Wyland, Yee
NO VOTE RECORDED: Wolk
SENATE FLOOR : 39-0, 6/3/09 (Consent)
AYES: Aanestad, Alquist, Ashburn, Benoit, Calderon,
Cedillo, Cogdill, Corbett, Correa, Cox, Denham,
DeSaulnier, Ducheny, Dutton, Florez, Hancock, Harman,
Hollingsworth, Huff, Kehoe, Leno, Liu, Lowenthal,
Maldonado, Negrete McLeod, Oropeza, Padilla, Pavley,
Romero, Runner, Simitian, Steinberg, Strickland, Walters,
Wiggins, Wolk, Wright, Wyland, Yee
NO VOTE RECORDED: Vacancy
ASSEMBLY FLOOR : 79-0, 9/8/09 - See last page for vote
SENATE FLOOR : 26-1, 9/12/09 (FAIL)
AYES: Alquist, Calderon, Cedillo, Corbett, Correa,
DeSaulnier, Ducheny, Florez, Hancock, Kehoe, Leno, Liu,
Lowenthal, Maldonado, Negrete McLeod, Oropeza, Padilla,
Pavley, Price, Romero, Simitian, Steinberg, Wiggins,
Wolk, Wright, Yee
CONTINUED
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NOES: Cogdill
NO VOTE RECORDED: Aanestad, Ashburn, Benoit, Cox, Denham,
Dutton, Harman, Hollingsworth, Huff, Runner, Strickland,
Walters, Wyland
SUBJECT : Workforce development
SOURCE : Author
DIGEST : This bill requires the successor agency to the
Bureau for Private Postsecondary and Vocational Education
to transmit data on school performance to the California
Postsecondary Education Commission, extends the California
Dental Corps Loan Repayment Program of 2002, and authorizes
local workforce investment boards (WIBs) to work directly
with institutions of higher education and other training
providers to design education and training programs for the
purpose of distributing funds provided by the federal
American Recovery and Reinvestment Act of 2009 (ARRA).
Assembly Amendments specify that WIBs may work with private
postsecondary institutions that participate in the federal
student financial aid programs under Title IV of the Higher
Education Act of 1965 and comply with applicable
regulations pursuant to the federal act, and provide that
for purposes of the ARRA, that entrance into a registered
apprenticeship program shall be considered placement into a
job.
ANALYSIS :
Existing law:
1. Established the Private Postsecondary and Vocational
Education Reform Act of 1989, which became inoperative
on July 1, 2007, which expressed legislative intent to
ensure minimum standards of instructional quality and
institutional stability and required the Bureau of
Private Postsecondary and Vocational Education (BPPVE)
to, among other things, review and investigate all
institutions, programs and courses of instructions
approved under the Act.
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2. Establishes the California Postsecondary Education
Commission (CPEC) to integrate policy and create fiscal
and programmatic analyses about California's
postsecondary education system. Requires CPEC to
identify and recommend policies to meet the state's
educational, research and public service needs.
This bill:
1. States that if AB 48 (Portantino) of 2009 is enacted and
becomes effective on or before January 1, 2010, and a
successor agency to BPPVE is created, the successor
agency must transmit any available data regarding school
performance, including attendance and graduation rates,
it receives from any schools under its jurisdiction to
the CPEC.
2. Permits WIBs to work directly with institutions of
higher education and other training providers approved
by state or federal government agencies, including
private postsecondary institutions that participate in
the federal student financial aid programs under Title
IV of the Higher Education Act of 1965 and comply with
applicable regulations pursuant to the federal act, to
quickly design education and training to fit the needs
of the job seekers and employers they are serving for
purposes of disbursing economic recovery funds made
available as part of ARRA.
3. States that for the purposes of this bill, any laws
governing workforce development programs provided for
under ARRA, entrance into a registered apprenticeship
program shall be considered placement into a job.
4. Requires the Dental Board of California (DBC), on or
after July 1, 2010, to extend the Dental Corps Loan
Repayment Program (DCLRP) and distribute the money
remaining in the account until July 1, 2012. Specifies
that regulations that were adopted by the DBC for the
purposes of the DCLRP shall apply.
5. Adds an urgency clause because the bill is necessary to
disburse economic recovery funds recently made available
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by Congress as part of ARRA to workforce development
programs in the state and to extend the operation of a
dental assistance program as quickly as possible.
Background
Role of the WIBs in the Administration of ARRA . In
addition to their community leadership role, WIBs will
provide stewardship of ARRA funds coming to California for
workforce development. WIA funding in ARRA allocated to
California is $488 million. WIBs have oversight of WIA
funds and will ensure that they are quickly and effectively
put to use, while at the same time ensuring accountability
and transparency. They will also continue in their role of
resource alignment by building relationships and
cross-agency collaboration. WIBs will be particularly
focused on other systems receiving stimulus funding, in
order to maximize the outcomes of the stimulus by
leveraging resources. There are millions of dollars
targeted for job training in transportation, energy,
weatherization, health care and other government programs
and WIBs are currently identifying where these funds will
be allocated in their communities and working to leverage
and coordinate these with WIA funding.
California Postsecondary Education Commission (CPEC) . CPEC
was established in 1974 as the state's planning and
coordinating body for higher education and consists of the
following 16 members: nine members of the general public,
one member from each of California's major education
systems (the California Community Colleges, California
State University, University of California, independent
colleges and universities and the State Board of Education)
and two student representatives.
One of CPEC's primary statutory purposes is to identify and
recommend policies to meet the state's educational,
research and public service needs. Its external affairs
staff interacts on a daily basis with legislators and their
staff, administrative offices, governmental officials and
media representatives. Its research staff prepares
analyses, briefs and numerous CPEC publications. CPEC also
engages in various continuing activities such as reviewing
proposed academic programs, new campuses or centers,
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conducting data analysis of student flow and responding to
requests of the Legislature and Governor.
To date, CPEC has completed very little examination of the
state's private postsecondary industry. While CPEC's
website concedes that "The private sector is a vital part
of meeting the postsecondary educational needs of the State
and should be a major component of the State's efforts to
provide high quality education and address future
enrollment needs", CPEC lacks an active role in the review
and development of this sector.
California's Unemployment Rate . California currently has
an 11.2 percent unemployment rate. This is the highest
rate since April 1983, providing evidence that California's
labor market has clearly deteriorated. According to the
household employment series, civilian employment fell
46,400 in February, while unemployment rose 79,000.
Because of the rise in unemployment, local WIBs report
significant increases in their client base.
Dental Corps Loan Repayment Program . The Program was
created in 2002 [AB 982 (Firebaugh), Chapter 1131, Statutes
of 2002] to increase the number of primary care physicians
and dentists who practice in historically underserved areas
by providing grants to help pay for the high cost of
attending medical or dental school. The bill created three
programs: the Dental Corps Program, the Physician Corps
Program and the Student Loan Repayment Program. The Dental
and Physician Corps Programs are aimed primarily at
existing licensees and were funded by this bill.
A variety of studies and reports in recent years, most
notably the Oral Health Needs Assessment sponsored jointly
by the Dental Health Foundation and the Department of
Health Services, have documented the significant unmet need
for comprehensive dental care services in California,
especially in underserved areas. The California Dental
Association notes that efforts to encourage dental school
graduates to practice in these areas are made difficult by
the significant student loan debt which most new dentists
face when they graduate and begin practicing often
exceeding $150,000.
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DBC selects participants to practice in underserved areas,
in practice settings with a majority of underserved
patients, and gives priority consideration to applicants
who are best suited to the cultural and linguistic needs of
those populations and meet other related criteria. After
each consecutive year of service completed, participants
will receive money for loan repayment ($25,000 for the
first year, $35,000 for the second year, and $45,000 for
the third year) for up to three years. The law states each
participant may receive no more than $105,000 over three
years.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee:
Fiscal Impact (in thousands)
Major Provisions 2009-10 2010-11
2011-12 Fund
Dental Corps Loan $1,400 through
6/30/12 Special*
Repayment Program
extension
Data sharing Minors costs ongoing
Special*
* Absent this extension, the funds remaining in the
Dentally Underserved Account would be returned to the
State Dentistry Fund
** Unknown, contingent upon future legislation
ASSEMBLY FLOOR :
AYES: Adams, Ammiano, Anderson, Arambula, Beall, Bill
Berryhill, Tom Berryhill, Blakeslee, Block, Blumenfield,
Brownley, Buchanan, Caballero, Charles Calderon, Carter,
Chesbro, Conway, Cook, Coto, Davis, De La Torre, De Leon,
DeVore, Duvall, Emmerson, Eng, Evans, Feuer, Fletcher,
Fong, Fuentes, Fuller, Furutani, Gaines, Galgiani,
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Garrick, Gilmore, Hagman, Hall, Harkey, Hayashi,
Hernandez, Hill, Huber, Huffman, Jeffries, Jones, Knight,
Krekorian, Lieu, Logue, Bonnie Lowenthal, Ma, Mendoza,
Miller, Monning, Nava, Nestande, Niello, Nielsen, John A.
Perez, V. Manuel Perez, Portantino, Ruskin, Salas,
Saldana, Silva, Skinner, Smyth, Solorio, Audra
Strickland, Swanson, Torlakson, Torres, Torrico, Tran,
Villines, Yamada, Bass
NO VOTE RECORDED: Vacancy
JJA:mw 10/12/09 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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