BILL REQ. #:  S-1684.1 

READ FIRST TIME 02/12/07.   

     AN ACT Relating to linking economic clusters and quality management practices to customized training; amending RCW 28C.04.400, 28C.04.410, 28C.04.420, and 43.330.080; and making appropriations.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

Sec. 1   RCW 28C.04.400 and 1983 1st ex.s. c 21 s 1 are each amended to read as follows:
     The legislature declares that it is an important function of government to increase opportunities for gainful employment, to assist in promoting a productive and expanding economy, and to encourage the flow of business and industry support to educational institutions. Therefore, the legislature finds that it is in the public interest of the state to encourage and facilitate the formation of cooperative relationships between business and industry and educational institutions which provide for the development and significant expansion of programs of skills training and education consistent with employment needs and to make interested individuals aware of the employment opportunities presented thereby. It is the policy of the state of Washington to ensure that programs of skill training are: (1) Available on a regional basis and are utilized by a variety of businesses and industries; and (2) closely linked to cluster and industry specific public investments.

Sec. 2   RCW 28C.04.410 and 1999 c 121 s 2 are each amended to read as follows:
     Unless the context clearly requires otherwise, the definitions in this section apply throughout RCW 28C.04.390 and 28C.04.420.
     (1) "Applicant" means an educational institution which has made application for a job skills grant under RCW 28C.04.390 and 28C.04.420.
     (2) "Business and industry" means a private corporation, institution, firm, person, group, or association concerned with commerce, trades, manufacturing, or the provision of services within the state, or a public or nonprofit hospital licensed by the department of social and health services.
     (3) "Dislocated worker" means an individual who meets the definition of dislocated worker contained in P.L. 105-220, Sec. 101 on July 25, 1999.
     (4) "Educational institution" means a public secondary or postsecondary institution, an independent institution, or a private career school or college within the state authorized by law to provide a program of skills training or education beyond the secondary school level. Any educational institution receiving a job skills grant under RCW 28C.04.420 ((through 28C.04.480)) shall be free of sectarian control or influence as set forth in Article IX, section 4 of the state Constitution.
     (5) "Equipment" means tangible personal property which will further the objectives of the supported program and for which a definite value and evidence in support of the value have been provided by the donor.
     (6) "Financial support" means any thing of value which is contributed by business, industry, and others to an educational institution which is reasonably calculated to support directly the development and expansion of a particular program under RCW 28C.04.390 and 28C.04.420 and represents an addition to any financial support previously or customarily provided to such educational institutions by the donor. "Financial support" includes, but is not limited to, funds, equipment, facilities, faculty, and scholarships for matriculating students and trainees.
     (7) "Job skills grant" means funding that is provided to an educational institution by the ((commission)) college board for the development or significant expansion of a program under RCW 28C.04.390 and 28C.04.420.
     (8) "Job skills program" means a program of skills training or education separate from and in addition to existing vocational education programs and which:
     (a) Provides short-term training which has been designated for specific industries;
     (b) Provides training for prospective employees before a new plant opens or when existing industry expands;
     (c) Includes training and retraining for workers already employed by an existing industry or business where necessary to avoid dislocation or where upgrading of existing employees would create new vacancies for unemployed persons;
     (d) Serves areas with high concentrations of economically disadvantaged persons and high unemployment;
     (e) Serves areas with new and growing industries;
     (f) Serves areas where there is a shortage of skilled labor to meet job demands; or
     (g) Promotes the location of new industry in areas affected by economic dislocation.
     (9) "Technical assistance" means professional and any other assistance provided by business and industry to an educational institution, which is reasonably calculated to support directly the development and expansion of a particular program and which represents an addition to any technical assistance previously or customarily provided to the educational institutions by the donor.
     (10) "College board" means the state board for community and technical colleges under chapter 28B.50 RCW.

Sec. 3   RCW 28C.04.420 and 1999 c 121 s 3 are each amended to read as follows:
     The college board may, subject to appropriation from the legislature or from funds made available from any other public or private source and pursuant to rules adopted by the college board with the advice of the workforce training customer advisory committee established in RCW 28C.04.390, provide job skills grants to educational institutions. The job skills grants shall be used exclusively for programs which are consistent with the job skills program. The college board shall work in collaboration with the workforce training customer advisory committee established in RCW 28C.04.390 to assure that:
     (1) The program is within the scope of the job skills program under this chapter and may reasonably be expected to succeed and thereby increase employment within the state;
     (2) Provision has been made to use any available alternative funding from local, state, and federal sources;
     (3) The job skills grant will only be used to cover the costs associated with the program;
     (4) The program will not unnecessarily duplicate existing programs and could not be provided by another educational institution more effectively or efficiently;
     (5) The program involves an area of skills training and education for which there is a demonstrable need;
     (6) The applicant has made provisions for the use of existing federal and state resources for student financial assistance;
     (7) The job skills grant is essential to the success of the program as the resources of the applicant are inadequate to attract the technical assistance and financial support necessary for the program from business and industry;
     (8) The program represents a collaborative partnership between business, industry, labor, educational institutions, and other partners, as appropriate;
     (9) The commitment of financial support from business and industry shall be equal to or greater than the amount of the requested job skills grant;
     (10) Binding commitments have been made to the ((commission)) college board by the applicant for adequate reporting of information and data regarding the program to the commission, particularly information concerning the recruitment and employment of trainees and students, and including a requirement for an annual or other periodic audit of the books of the applicant directly related to the program, and for such control on the part of the ((commission)) college board as it considers prudent over the management of the program, so as to protect the use of public funds, including, in the discretion of the ((commission)) college board and without limitation, right of access to financial and other records of the applicant directly related to the programs; ((and))
     (11) A provision has been made by the applicant to work, in cooperation with the employment security department, to identify and screen potential trainees, and that provision has been made by the applicant for the participation as trainees of low-income persons including temporary assistance for needy families recipients, dislocated workers, and persons from minority and economically disadvantaged groups to participate in the program; and
     (12) The following will be met in regards to the job skills program:
     (a) Development of additional mechanisms for identification of, and outreach to, firms with a strong potential to effectively compete in the global marketplace after participating in the job skills program. This should be done by using a variety of approaches, including collaboration with industry and cluster associations that have participated in cluster and industry specific public investment programs such as industry skill panels, centers of excellence, innovation zones, local cluster-based economic development initiatives, and federal job training initiatives; and
     (b) Encouragement of businesses participating in the job skills program to participate in workshops or training in continuous quality improvement, performance measurement, strategic planning, or other approaches offered by service providers such as Washington manufacturing services, the Washington quality award, or the Washington technology center and designed to improve company productivity and effectiveness.
     Beginning October 1, 1999, and every two years thereafter, the college board shall provide the legislature and the governor with a report describing the activities and outcomes of the state job skills program.

Sec. 4   RCW 43.330.080 and 1997 c 60 s 1 are each amended to read as follows:
     (1) The department shall contract with associate development organizations or other local organizations to increase the support for and coordination of community and economic development services in communities or regional areas. The organizations contracted with in each community or regional area shall be broadly representative of community and economic interests. The organization shall be capable of identifying key economic and community development problems, developing appropriate solutions, and mobilizing broad support for recommended initiatives. The contracting organization shall work with and include local governments, local chambers of commerce, private industry councils, port districts, labor groups, institutions of higher education, community action programs, and other appropriate private, public, or nonprofit community and economic development groups. The department shall be responsible for determining the scope of services delivered under these contracts.
     (2) Associate development organizations or other local development organizations contracted with shall promote and coordinate, through local service agreements with local governments, small business development centers, port districts, community and technical colleges, private industry councils, and other development organizations, for the efficient delivery of community and economic development services in their areas.
     (3) The department shall consult with associate development organizations, port districts, local governments, and other local development organizations in the establishment of service delivery regions throughout the state. The legislature encourages local associate development organizations to form partnerships with other associate development organizations in their region to combine resources for better access to available services, to encourage regional delivery of state services, and to build the local capacity of communities in the region more effectively.
     (4) The department shall contract on a regional basis for surveys of key sectors of the regional economy and the coordination of technical assistance to businesses and employees within the key sectors. The department's selection of contracting organizations or consortiums shall be based on the sufficiency of the organization's or consortium's proposal to examine key sectors of the local economy within its region adequately and its ability to coordinate the delivery of services required by businesses within the targeted sectors. Organizations contracting with the department shall work closely with the department to examine the local economy and to develop strategies to focus on developing key sectors that show potential for long-term sustainable growth. The contracting organization shall survey businesses and employees in targeted sectors on a periodic basis to gather information on the sector's business needs, expansion plans, relocation decisions, training needs, potential layoffs, financing needs, availability of financing, and other appropriate information about economic trends and specific employer and employee needs in the region.
     (5) The contracting organization shall participate with the ((work force training and education coordinating board as created in chapter 28C.18 RCW, and any regional entities)) state board for community and technical colleges as created in RCW 28B.50.050, and any community or technical colleges designated by that board, in providing for the coordination of job skills training within its region.

NEW SECTION.  Sec. 5   The sum of three million dollars, or as much thereof as may be necessary, is appropriated for the fiscal year ending June 30, 2008, from the general fund to the state board for community and technical colleges for the purposes of this act.

NEW SECTION.  Sec. 6   The sum of three million dollars, or as much thereof as may be necessary, is appropriated for the fiscal year ending June 30, 2009, from the general fund to the state board for community and technical colleges for the purposes of this act.