BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 723
                                                                  Page  1

          Date of Hearing:   July 3, 2013

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                    SB 723 (Correa) - As Amended:  April 23, 2013 

          Policy Committee:                             Labor and  
          Employment   Vote:                            7-0
                       Veterans Affairs                             8-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              No

           SUMMARY  

          This bill requires the Employment Development Department (EDD)  
          and the Department of Consumer Affairs (DCA), on or before  
          January 1, 2015, to jointly present a report to the Legislature  
          containing best practices by state governments around the nation  
          in facilitating the credentialing of veterans by using their  
          documented military education and experience. 

           FISCAL EFFECT  

          Minor, absorbable costs to EDD and DCA to complete this report. 

           COMMENTS  

           1)Purpose  . According to the California Research Bureau's report:  
            Overview of Veterans in California (March 2013), California  
            has approximately 1.9 million veterans. Of these, about  
            185,000 (or 9.7%) are women. Almost one million are over the  
            age of 60 (52.3%). Most live in Southern California counties,  
            and are heavily clustered in Los Angeles (323,431 in 2012),  
            San Diego (222,348 in 2012) and Orange counties (132,529 in  
            2012). 

            According to the author, "The recession has taken a tremendous  
            toll on the economy and returning veterans are competing with  
            age cohort peer, many of whom enter the weakened job market  
            with the advantage of freshly earned college degrees. To make  
            things worse, the withdrawal of troops from Iraq and  
            Afghanistan and ongoing troop reduction in each military  
            branch make it increasingly difficult for young service  








                                                                  SB 723
                                                                  Page  2

            members to reenlist, forcing more of them into the uneven  
            competition for scarce civilian jobs.  While the unemployment  
            rate among individuals who are not veterans in about nine  
            percent, the unemployment rate for Post-9/11 veterans is 12  
            percent. Among the youngest veterans, those aged 18-24 who  
            comprise 12.5 percent of the Post-9/11 veteran population, the  
            unemployment situation is even more dire. Nationally more than  
            30 percent of these men and women are unemployed."

            This bill requires EDD and DCA, on or before January 1, 2015,  
            to jointly present a report to the Legislature containing best  
            practices by state governments around the nation in  
            facilitating the credentialing of veterans by using their  
            documented military education and experience. 

           2)Pending state audit report on employment opportunities for  
            veterans  .  The State Auditor (SA) is currently conducting an  
            audit that "will provide independently developed and verified  
            information related to EDD's efforts to assist veterans in  
            finding employment and will include, but not be limited to,  
            identifying the roles and responsibilities of various federal,  
            state, and local agencies in providing employment assistance  
            and job training to veterans."  

            The scope of the audit also includes a review of EDD's  
            effectiveness in providing assistance and job training  
            programs to veterans, including a review of specific programs  
            such as one-stop career centers and the veterans employment  
            related assistance program.  The audit is expected to be  
            completed in the fall of 2013.        

           3)Related legislation  .  AB 1268 (Perez), pending in the Senate  
            Labor and Industrial Relations Committee, establishes the  
            Veterans Workforce Development and Employment Office (Office)  
            within the Labor and Workforce Development Agency for the  
            purpose of coordinating veterans' workforce services.

           Analysis Prepared by  :    Kimberly Rodriguez / APPR. / (916)  
          319-2081