BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                          AB 1310 (Furutani)
          
          Hearing Date: 8/25/2011         Amended: 5/27/2011
          Consultant: Bob Franzoia        Policy Vote: L&IR 6-0
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          ____
          BILL SUMMARY: AB 1310 would require the Secretary of Labor and 
          Workforce Development, in conjunction with the California 
          Workforce Investment Board (CWIB), the California Community 
          Colleges (CCCs), the State Department of Education, and the 
          California Postsecondary Education Commission to develop a 
          strategic plan for connecting the delivery of education and 
          workforce development in the state. 
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          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2011-12      2012-13       2013-14     Fund
           Strategic plan for education      $150-$300 through June 
          2013Federal
          delivery and workforce
          development
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          ____

          STAFF COMMENTS: SUSPENSE FILE.  AS PROPOSED TO BE AMENDED.
          
          Workforce development is a term used to describe comprehensive 
          career-related services delivered to persons seeking to improve 
          their earning potential and career options by increasing skill 
          levels or educational levels.  Workforce development services 
          are provided by public and private sector organizations 
          including local businesses and industry associations, local 
          workforce investment boards and the one-stop career centers they 
          operate, local post-secondary, adult and private vocational 
          schools, and apprenticeship programs.  Services may include 
          career exploration and planning, job readiness instruction, 
          industry-driven education, occupational skill development, 
          vocational technical training, and job placement and retention 
          services.  Workforce development entities focus on establishing 
          educational and training programs which match career pathways 
          and support the development of the pool of skilled workers 
          businesses and industries need to compete and succeed in a 








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          changing economy.

          California's Strategic Two-Year Plan for Title I of the 
          Workforce Investment Act was revised in June, 2010.  The CWIB 
          convened regional transformation roundtables throughout the 
          state, bringing together representatives from CCCs, local K-12 
          districts, regional occupational programs, local workforce 
          investment boards, state level agencies and economic development 
          corporations.  The plan, among other things, includes partnering 
          by the CWIB with education in order to ensure educational 
          pathways in California's learning institutions are aligned with 
          the occupational opportunities available in its economy.  

          The CCCs Economic and Workforce Development (EWD) program is a 
          primary mission of the CCCs and implemented to advance 
          California's economic growth and global competitiveness through 
          education, training, and services that contribute to continuous 
          workforce development, technology deployment, and business 
          development.  CCCs create new curricula for business and 
          industry that adapts to new technology and skill sets.

          This bill would require the agency, in cooperation with 
          representatives from education, business, and labor 
          organizations, to make recommendations in the strategic plan 
          that address the contribution of academic and career technical 
          education, at all levels of education and workforce development. 
           There is no date by which the strategic plan shall be 
          completed.

          The CWIB is responsible for assisting the Governor in performing 
          the duties and responsibilities required by the federal 
          Workforce Investment Act of 1998.  All members of the board are 
          appointed by the Governor and represent the many facets of 
          workforce development - business, labor, public education, 
          higher education, economic development, youth activities, 
          employment and training, as well as the Legislature.  Staff 
          notes the CWIB may be the more appropriate lead agency as the 
          LWDA Secretary already sits on the CWIB representing the 
          Governor and most of the workforce programs are represented on 
          the CWIB.

          The strategic plan shall include, but is not limited to, all of 
          the following provisions:
          - How the state determines appropriate measures for evaluating 








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          and collecting data on future workforce needs.
          - The alignment of workforce needs with future postsecondary 
          education programs and capacity at both the state and regional 
          levels.
          - Strategies for fostering long-term improvements in workers' 
          skills and knowledge.
          - Methods for closing the skills gap and strengthening the nexus 
          between education and the workforce.
          - Appropriate measures for improving data collection on future 
          workforce needs

          This bill states the strategic plan shall be funded from 
          specified federal funds or from philanthropic sources.  If 
          federal funds are used, the source would be the five percent 
          (approximately $25 million) of discretionary Workforce 
          Investment Account funds available to the Governor.

          This bill is similar to AB 35 (Furutani) 2010, which was held on 
          the Suspense File.  AB 35 would have required the CWIB and the 
          CCCs to develop a strategic plan, containing specified elements, 
          for connecting education and workforce development in the state. 
           The CCCs would have been required to provide the staffing and 
          resources necessary for developing and reporting the strategic 
          plan.

          The proposed amendment would allow DOF to determine if 
          sufficient non-state funds are available.

          Staff recommends this bill be amended to strike out the 
          reference to the Commission on Postsecondary Education which was 
          defunded in the 2011 Budget Act.