BILL ANALYSIS                                                                                                                                                                                                    �






                 Senate Committee on Labor and Industrial Relations
                                 Ted W. Lieu, Chair

          Date of Hearing: April 10, 2013              2013-2014 Regular  
          Session                              
          Consultant: Alma Perez                       Fiscal:Yes
                                                       Urgency: No
          
                                   Bill No: SB 723
                                   Author: Correa
                      As Introduced/Amended: February 22, 2013
          

                                       SUBJECT
          
                                      Veterans 


                                     KEY ISSUES

          Should the Legislature require the Employment Development  
          Department and the Department of Consumer Affairs to jointly  
          develop a report which examines ways in which military  
          occupations and experience can be readily transferred to  
          high-demand civilian jobs? 

          Should the Legislature require that this report examine best  
          practices by other states in facilitating the credentialing of  
          veterans by using their prior military education and experience?
          
          
                                      ANALYSIS
          
           Existing law  authorizes the Employment Development Department  
          (EDD), among other things, to study and make recommendations as  
          to actions which might promote the prevention of unemployment  
          and stabilization of employment, encourage and assist in the  
          adoption of practical methods of vocational training, and  
          promote re-employment of workers. (Unemployment Insurance �325)   

           
          Existing law  also requires the EDD, in consultation and  
          coordination with veterans' organizations and veteran service  
          providers, to do all of the following (UI �325.5):

             a)   Research the needs of veterans throughout the state and  









               develop a profile of veterans'           
                  employment and training needs;
             b)   Develop a statewide plan for the equitable distribution  
               of employment funds for 
                  veterans' employment services; and
             c)   Seek federal funding for purposes of subdivision (a).

           Existing law  requires that EDD, following any fiscal year in  
          which state funds support the Veterans Employment Training  
          services program, to provide an annual report to the Legislature  
          (on or before November 1) regarding the following performance  
          measures (UI �325.6): 

             1)   The number of veterans receiving individualized, case  
               managed services.
             2)   The number of veterans receiving these services and  
               entering employment.

             3)   The retention rate for veterans who enter employment.
             4)   The average earnings for veterans entering employment.
           

          This Bill  would require the Employment Development Department  
          and the Department of Consumer Affairs, on or before January 1,  
          2015, to jointly present a report to the Legislature containing  
          all of the following:

             1)   Best practices by state governments around the nation in  
               facilitating the credentialing of veterans by using their  
               documented military education and experience.

             2)   Military occupational specialties within all branches of  
               the United States Armed Forces that readily transfer to  
               high-demand civilian jobs. 

             3)   The departments' past and current efforts to collaborate  
               with key public and private sector stakeholders to address  
               the gaps between military training programs and state  
               credentialing programs with respect to at least five  
               specific vocations or professions that are credentialed or  
               licensed by the Department of Consumer Affairs.

          Hearing Date:  April 10, 2013                            SB 723  
          Consultant: Alma Perez                                   Page 2

          Senate Committee on Labor and Industrial Relations 
          










                                      COMMENTS

          1.  Background on the Veteran Population in CA:
                                           
            California is home to over 1.8 million veterans, representing  
            8.3 percent of the total U.S. veteran population. Seventy-two  
            percent of the veteran population are fifty years of age or  
            above, and the number of veterans 85 years of age or older is  
            projected to increase 20% between 2010 and 2019. California's  
            Department of Veterans Affairs anticipates receiving an  
            additional 35,000-40,000 discharged members of the armed  
            services each year for the next several years - more than any  
            other state. According to the department, historically, the  
            largest demand for benefits and services for veterans occurs  
            immediately after discharge and again as the veteran  
            population ages and requires greater access to medical  
            facilities and long-term care services. 

          2.  Employment Assistance Services for Veterans:

            The Employment Development Department assists veterans and  
            their eligible spouses maximize their employment and training  
            opportunities through individualized case managed services.  
            The EDD veterans' representatives specialize in assisting  
            veterans in their efforts to return to work and are located in  
            many local EDD offices. Services provided include a veteran  
            24-hour priority hold on all job listings, customized job  
            search assistance, job fairs, employer recruitments, and other  
            events and resources. 

            Additionally, in coordination with the California Workforce  
            Investment Board, EDD funds organizations to offer services  
            targeted to meet the veterans' unique needs and occupational  
            goals with an emphasis on those who recently returned to  
            civilian life. Agencies are tasked with preparing veterans for  
            careers in a variety of fields in high demand.

          3.  Need for this bill?

            While existing law already requires the EDD, in consultation  
          Hearing Date:  April 10, 2013                            SB 723  
          Consultant: Alma Perez                                   Page 3

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            and coordination with veterans' organizations and veteran  
            service providers, to research the needs of veterans  
            throughout the state and develop a profile of veterans'  
            employment and training needs - changing economic times  
            require continuous evaluation of these services to ensure  
            needs are being met and veteran workers are getting crucial  
            services necessary to enter into stable long-term employment.  
            Unfortunately, according to a January 2013 memorandum prepared  
            by the Senate Office of Research (SOR), titled Employment  
            Opportunities for (Semi-Skilled or Unskilled) Veterans,  
            California does not provide a coordinated, integrated system  
            that streamlines employment-related services to veterans.  
            According to SOR, veterans find many services fragmented and  
            without a single point of entry.  

            SOR also examined the need to facilitate veterans who want to  
            receive licensure or certification (academic) credit for  
            military education, training, and experience.  According to  
            the author, in mid-March, the Joint Legislative Audit  
            Committee approved Sen. Correa's request to conduct a  
            comprehensive audit of the EDD's effectiveness in providing  
            employment assistance and job training programs to veterans.  
            This includes determining if EDD has identified best practices  
            for translating military training and experience into  
            comparable civilian job skills. It also asked the State  
            Auditor to determine if EDD's strategic plan considers the  
            unique needs of veterans. 

            This bill would require the Employment Development Department  
            and the Department of Consumer Affairs, on or before January  
            1, 2015, jointly to present a report to the Legislature  
            addressing specified matters relating to military training  
            programs and state credentialing programs.

          4.  Double Referral  :

            This bill has been double referred and, if approved by this  
            committee, it will be sent to the Senate Business, Professions  
            and Economic Development Committee for a hearing. 

          5.  Suggested Committee Amendments  :
            
          Hearing Date:  April 10, 2013                            SB 723  
          Consultant: Alma Perez                                   Page 4

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            This bill would direct the Employment Development Department  
            and the Department of Consumer Affairs to conduct a report  
            examining ways in which credentialing of veterans could be  
            facilitated by using their documented military education and  
            experience.  Last year the Governor signed AB 2462 (Block)  
            directing the Chancellor of the California Community Colleges  
            to determine which courses should be awarded credit for prior  
            military academic experience using standards of the American  
            Council on Education. 

            Since the bill is referring to credentialing, and the ability  
            to transfer military experience for this purpose, committee  
            staff suggest directing EDD and the DCA to prepare this report  
            in consultation with the Chancellor of the California  
            Community Colleges to ensure that this information is gathered  
            directly from the agency knowledgeable in that specific issue  
            area. 

            Section (c) of the bill would direct the departments' to  
            report to the Legislature on current and past efforts to  
            collaborate with key public and private sector stakeholders to  
            address the gaps between military training programs and state  
            credentialing programs with respect to at least five specific  
            vocations or professions that are credentialed or licensed by  
            the Department of Consumer Affairs.  The author may wish to  
            provide further clarity as to which five vocations or  
            professions the bill would be directing the department to  
            study for this purpose. 

            Given the double referral of SB 723 and short time frame, the  
            Committee staff will work with the author's office to ensure  
            that these amendments are addressed in the next policy  
            committee.

          6.  Proponent Arguments  :
            
            According to the author, veterans are held back, prevented, or  
            discouraged from finding or securing employment when either  
            colleges or state boards establish policies that do not  
            recognize military education and training. The author argues  
            that working with the Department of Consumer Affairs (DCA) and  
            the California Community Colleges Chancellor's Office,  
          Hearing Date:  April 10, 2013                            SB 723  
          Consultant: Alma Perez                                   Page 5

          Senate Committee on Labor and Industrial Relations 
          








            equivalent course work for training in the military could be  
            established to ensure that service members would not have to  
            repeat requirements or lower-level remedial classes to obtain  
            academic credit for an occupational certificate or specific  
            license.

            The author cites the SOR brief to highlight the fact that  
            there are approximately 24 states that have created  
            alternative forms of licensing to assist military spouses.  
            According to the author, creating pathways for out-of-state  
            licenses to be temporarily recognized, utilizing multistate  
            licensing procedures, or expediting the licensing process for  
            military spouses have been demonstrated to be successful in  
            many states to ensure a smoother transition for those service  
            spouses of deployed or transferred members. With this bill,  
            the author hopes CA would also be able to provide a more  
            streamlined process to help military members.

          7. Opponent Arguments  :

            None received. 

          8.  Prior Legislation  :

            AB 2462 (Block) of 2012: Chaptered 
            AB 2462 requires the Chancellor of the California Community  
            Colleges to determine which courses should be awarded credit  
            for prior military academic experience using standards of the  
            American Council on Education. 

            AB 1904 (Block) of 2012: Chaptered 
            AB 1904 requires boards under the Department of Consumer  
            Affairs to expedite the licensure process for military spouses  
            and domestic partners of military members on active duty in  
            California.

            AB 2659 (Blumenfield) of 2012: Chaptered 
            AB 2659 permits the Department of Motor Vehicles (DMV) to  
          waive the driving skills test
            required to obtain a commercial driver's license (CDL) for a  
            person with a U.S. Armed Forces military driver's license in  
            compliance with federal regulations, as specified.
          Hearing Date:  April 10, 2013                            SB 723  
          Consultant: Alma Perez                                   Page 6

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                                       SUPPORT
          
          California Labor Federation, AFL-CIO
          
                                     OPPOSITION
          
          None received 
































          Hearing Date:  April 10, 2013                            SB 723  
          Consultant: Alma Perez                                   Page 7

          Senate Committee on Labor and Industrial Relations