SENATE BILL REPORT

SB 6858

BYSenator Cantu

Establishing a workforce training program.

Senate Committee on Economic Development & Labor

Senate Hearing Date(s):February 1, 1990; February 2, 1990

Majority Report:     That Substitute Senate Bill No. 6858 be substituted therefor, and the substitute bill do pass.

     Signed by Senators Lee Chairman; Anderson, Vice Chairman; McDonald, McMullen, Matson, Saling, West.

Senate Staff:Jack Brummel (786-7428)

                February 2, 1990

AS REPORTED BY COMMITTEE ON ECONOMIC DEVELOPMENT & LABOR, FEBRUARY 2, 1990

BACKGROUND:

The state's economy may be adversely affected by the shortage of workers predicted to last through the 1990s and the increasing skill requirements of businesses trying to remain competitive.  One way to bring more individuals into the labor force and increase the skills of existing workers is through workforce training programs.  While there is agreement that the state's adult training system may not currently be meeting the training needs of businesses and workers, there is little evaluative data on the effectiveness and the efficiency of private and public training programs in the state.

SUMMARY:

The Office of Financial Management is to conduct a study which both (1) assesses the employment competency of the workforce, the skills needed by businesses, the gaps between the capabilities of the workforce and the skills needed by businesses, the demographics of the population needing training between now and the year 2010, and the current training appraisal systems of the state; and (2) inventories and analyzes the current training system and alternatives.  In addition, recommendations on changes in the training system are to be made.

The State Board for Vocational Education will operate a workforce training program.  The program offers grants to employer or employee groups sponsoring training programs, and grants to trainees in such programs if they are eligible for Job Training Partnership Act (JTPA) services.  The grants to training program sponsors are contingent on at least one-half of the trainees being eligible for JTPA services.  The amount granted depends on placement of JTPA eligible trainees in jobs.  Grants to eligible trainees will be to offset their living expenses while enrolled in training, but no more than one-half of the grant will be distributed prior to completion of the training program.

EFFECT OF PROPOSED SUBSTITUTE:

The State Board for Vocational Education, or its successor agency, will operate a workforce training program.

Appropriation:  none

Revenue:   none

Fiscal Note:    requested

Senate Committee - Testified:   No one