BILL ANALYSIS                                                                                                                                                                                                    �



                                                               SB 923
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       SENATE THIRD READING
       SB 923 (Pavley)
       As Amended  August 18, 2014
       Majority vote

        SENATE VOTE  :37-0  
        
        EDUCATION           6-0         APPROPRIATIONS      12-0        
        
        ----------------------------------------------------------------- 
       |Ayes:|Buchanan, Ch�vez,         |Ayes:|Gatto, Bocanegra,         |
       |     |Gonzalez, Nazarian,       |     |Bradford,                 |
       |     |Weber, Williams           |     |Ian Calderon, Campos,     |
       |     |                          |     |Eggman, Gomez, Holden,    |
       |     |                          |     |Pan, Quirk,               |
       |     |                          |     |Ridley-Thomas, Weber      |
       |-----+--------------------------+-----+--------------------------|
       |     |                          |     |                          |
        ----------------------------------------------------------------- 
        SUMMARY  :  Establishes the Educational Apprenticeship Innovation Prize  
       (EdPrize) as a competitive grant program for purposes of promoting  
       apprenticeships, pre-apprenticeships, and career pathways between  
       local educational agencies (LEAs), institutions of higher education,  
       and businesses of importance to local economies.  Specifically,  this  
       bill  :   


       1)Makes findings and declarations relating to high rates of youth  
         unemployment; the lack of opportunity to earn a college degree and  
         its likelihood of preventing these young people from fully  
         participating in society, thus increasing costs for local and state  
         agencies due to increased reliance on social welfare and public  
         safety resource.


       2)Establishes EdPrize as a competitive grant program for purposes of  
         promoting apprenticeships, pre-apprenticeships, and career pathways  
         between LEAs, institutions of higher education, and businesses of  
         importance to local economies. 


       3)Requires applicants for an EdPrize to use the application used to  
         apply for a California Career Pathways Trust grant and specifies  
         that these applicants shall get special consideration for a  








                                                               SB 923
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         California Career Pathways Trust grant.


       4)States the intent of the Legislature that educational  
         apprenticeships be considered as an option to provide career  
         technical education for high school pupils in school districts  
         beyond those that are participating in the EdPrize program.


       5)Specifies the minimum criteria that the Superintendent of Public  
         Instruction (SPI) must use to determine the competitive value of an  
         application.


       6)Defines the terms "educational apprenticeships," "eligible high  
         school pupil," and "entity" for the purposes of this bill.


        EXISTING LAW  :
        
       1)Makes grants available under the California Career Pathways Trust  
         for programs that accomplish any of the following:


          a)   Fund specialists in work-based learning that connects school  
            districts, county offices of education, charter schools, and  
            community colleges with business entities;


          b)   Establish regional collaborative relationships and  
            partnerships with business entities, community organizations, and  
            local institutions of postsecondary education;


          c)   Develop and integrate standards-based academics with a  
            career-relevant, sequenced curriculum following industry-themed  
            pathways that are aligned to high-need, high-growth, or emerging  
            regional economic sectors;


          d)   Provide pathways to postsecondary education aligned with  
            regional economies; or










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          e)   Build on existing structures, requirements, and resources of  
            the Carl D. Perkins, California Partnership Academies, and  
            Regional Occupational Centers and Programs (ROC/Ps), including  
            staff knowledge, community relationships, and course development.


       1)Requires recipients of the California Career Pathways Trust and the  
         SPI to report to specified entities, specified outcome measures.


        FISCAL EFFECT  :  According to the Assembly Appropriations Committee,  
       there are unknown ongoing General Fund /Proposition 98 (1988) costs,  
       potentially in the millions, for grant awards.  Funding for this bill  
       is contingent upon funding in the annual Budget Act.  The 2014-15  
       Budget Act provides $250 million in one-time funding for the Career  
       Pathways Trust (Trust) to provide competitive grant funding for career  
       pathway programs.  The implementing statute requires the SPI to give  
       special consideration to several applicants, including apprenticeship  
       opportunities. The cost of this bill depends on the number of grants  
       awarded and the amount of each grant provided for apprenticeships  
       annually.

        COMMENTS  :  Under current law, districts are required to adopt  
       alternative means for pupils to complete the prescribed course of  
       study which may include practical demonstration of skills and  
       competencies, supervised work experience or other outside school  
       experience, Career Technical Education (CTE) classes, courses offered  
       by ROC/Ps, interdisciplinary study, independent study, and credit  
       earned at a postsecondary institution.  Districts also have the option  
       of adopting alternatives for pupils to complete high school graduation  
       requirements. 

       According to the author, youth unemployment is one of the most serious  
       challenges to California's economic recovery.  Last year, the Bureau  
       of Labor Statistics estimated that 20% of Californians age 16 to 24  
       were neither working nor in school, creating the fourth-highest youth  
       unemployment rate in the nation.  Yet, despite this large, untapped  
       demographic, businesses often cite that young applicants do not have  
       the job skills needed to succeed.  This lack of opportunity prevents  
       young people from fully participating in society and can stunt  
       professional and personal growth.  To address this problem, this bill  
       looks to model programs in Switzerland and Germany which have run  
       world renowned apprenticeship programs that are successful in helping  
       students develop work skills and find job placements; Massachusetts,  








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       South Carolina, and Minnesota have also developed successful programs.

       Those model European programs have created far-reaching, high-quality  
       apprenticeship programs that connect young people to well-paying  
       careers.  The German system of education and training is renowned, and  
       around 70% of Swiss young people enter the labor market through some  
       form of vocational apprenticeship training.  In his 2014 State of the  
       Union address, President Barack Obama called for expanded access to  
       apprenticeships and improved job training programs at community  
       colleges that are better-aligned with the skills that employers  
       demand.  
        
       Analysis Prepared by  :    Jill Rice / ED. / (916) 319-2087  FN: 0004920