BILL ANALYSIS
SENATE TRANSPORTATION & HOUSING COMMITTEE BILL NO: SB 964
SENATOR ALAN LOWENTHAL, CHAIRMAN AUTHOR: alquist
VERSION: 4/14/10
Analysis by: Art Bauer FISCAL: YES
Hearing date: April 20, 2010
SUBJECT:
High-speed rail and workforce development planning
DESCRIPTION:
This bill mandates that the High-Speed Rail Authority (HSRA) and
the Employment Development Department (EDD) collaboratively
prepare a labor market assessment of the workforce needs
associated with the construction, operation, and maintenance of
the high-speed train system.
ANALYSIS:
Existing law creates the HSRA with a nine-member governing
board, including five members appointed by the governor, two
members appointed by the Senate Rules Committee, and two members
appointed by the Speaker of the Assembly. Proposition 1A-Safe,
Reliable High-Speed Train Bond Act for the 21st Century
authorizes the HSRA to develop a high-speed rail system
extending from San Diego to Sacramento with Phase I being
between Anaheim-Los Angeles Union Station-Bakersfield-Fresno-San
Jose-San Francisco Transbay Terminal. In addition, Proposition
1A provides up to $9 billion in bond funds for the development
of the high-speed rail system, but limits the expenditure of
bond revenues for the construction of the high-speed rail system
to not more than 50 percent of the cost of building the system
and not more than ten percent of bond proceeds to environmental
studies, planning, and preliminary engineering. It also requires
that up to two percent of the bond proceeds shall be for the
administration of the HSRA.
Existing law creates EDD and authorizes it to offer services and
programs related to job placement, Workforce Investment, Labor
SB 964 (ALQUIST) Page 2
Market Information, and management of State Disability
Insurance.
This bill :
1) Requires the HSRA to contract with EDD to develop a
labor market assessment of the needed workforce and
identify the education and skills needed to construct,
operate, and maintain the high-speed train system.
2) Requires the assessment to consider the short-term and
long-term labor needs for the high-speed rail project,
including the need for specific skills in the various
regions of the state.
3) Requires the assessment to include a recommended
strategy to ensure workforce training programs are
available to facilitate the availability of a skilled
in-state work force to participate in the construction of
the system.
4) Establishes an advisory committee comprised of the
following:
HSRA
University of California
California State University system
California Community College Chancellor's office
California Workforce Investment Board
State department of Education.
Labor organizations with expertise in
operating apprenticeship programs for the skills
necessary to build, operate, and maintain a high-speed
rail system.
State Employment Training Panel
Other organizations deemed appropriate
5) Authorizes the advisory committee to advise the HSRA and
EDD on the availability and potential availability of
skilled labor necessary to meet the needs of the project by
region, on the availability of workforce training programs,
and the available funding for such programs.
6) Requires submission of the assessment to the fiscal
committees and the policy committees of the Legislature
with jurisdiction over transportation and labor matters by
SB 964 (ALQUIST) Page 3
January 1, 2012.
7) Appropriates $500,000 of bond proceeds from to the HSRA
for purposes of this act.
COMMENTS:
1) Purpose . Because the high-speed rail project is a $42
billion, one-of-a-kind project, that is forecasted to
create approximately 600,000 jobs requiring a broad array
of construction, maintenance, operating, and management
skills, the author believes that it is important for the
state to create an inventory of skills required to
successfully construct and operate a high-speed train
system. This workforce information will allow a
determination to be made as to the exact skills sets that a
training program should focused on.
2) Suggested amendment . Proposition 1A specifies that the
HSRA may use up to ten percent of the bond proceeds for
planning, environmental analyses, and preliminary
engineering and two percent of the proceeds for the cost of
administration. This bill does not specify the source of
the $500,000 appropriation. The author may wish to
consider an amendment that would specify that the
appropriation is made from the revenue set aside for
planning, environmental analyses, and preliminary
engineering.
3) Double referred . This bill is also referred to the
Education Committee.
POSITIONS: (Communicated to the Committee before noon on
Wednesday,
April 14, 2010)
SUPPORT: State Building and Construction Trades Council
OPPOSED: None received.