SENATE BILL REPORT

SB 6402

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As of January 25, 2012

Title: An act relating to eliminating the workforce training and education coordinating board.

Brief Description: Eliminating the workforce training and education coordinating board.

Sponsors: Senators Tom, Hill and Becker.

Brief History:

Committee Activity: Higher Education & Workforce Development: 1/25/12.

SENATE COMMITTEE ON HIGHER EDUCATION & WORKFORCE DEVELOPMENT

Staff: Katherine Taylor (786-7434)

Background: The Workforce Training and Education Coordinating Board (WTECB) works on education and training, planning and reports, strategic initiatives, and consumer protection.

Education and Training. WTECB oversees the Washington Award for Vocational Excellence, Opportunity Partnership Grants, the Opportunity Internship Program, dropout prevention and retrieval, the Carl Perkins Act and Plan, Best Practices Awards, and the Lifelong Learning Account.

Planning and Reports. WTECB works on High skills, High wages, Washington's strategic plan for workforce development; workforce training results and net impact studies, performance results for the state's most active workforce programs; Employer Survey, a biennial survey of Washington employers on workforce issues; mid-level skill gap, identifying mid-level occupational demand where training does not meet demand; Workforce Investment Act, involving state reporting; measuring workforce development success through integrated performance information; and Strategic Industry Cluster Policy, a comprehensive look at key industries that drive the economy and state's workforce demand.

Strategic Initiatives. WTECB is engaged in Retooling Washington's Workforce, a statewide collaboration in partnership with local teams focusing on getting unemployed citizens back to work; American Recovery & Reinvestment Act page, including green jobs and health career ladder; Evergreen Jobs Leadership Team; Health Care Personnel Shortage Task Force; High Skills, High Wages Strategic Fund; industry skill panels; and workplace-based learning.

Consumer Protection. WTECB monitors and oversees private career schools; Career Bridge, and veterans programs, specifically WTECB, approves programs eligible for GI Bill education benefits.

Summary of Bill: WTECB is abolished. All duties of WTECB are transferred to either the Higher Education Coordinating Board (HECB) or its successor agency, the Employment Security Department (ESD), the State Board for Community and Technical Colleges (SBCTC), Education Data Center (EDC), or the Department of Commerce (Commerce).

HECB provides strategic planning, coordination, monitoring, and policy analysis for higher education in Washington. It administers state and federal financial aid and other educational services.

ESD is a partner in the WorkSource system, and administers Washington's unemployment-insurance system. It collects, analyzes, and disseminates job-related data for Washington.

SBCTC is responsible for administering the Community and Technical College Act and providing leadership and coordination for Washington's public system of 34 community and technical colleges.

EDC develops information spanning the P-20 system in order to facilitate analyses, provide meaningful reports, collaborate on education research, and share data.

Commerce administers a diverse portfolio of more than 100 programs and several boards and commissions, all focused on growing and improving jobs in Washington.

By December 1, 2012, HECB or its successor agency; ESD; SBCTC; and Commerce must review the statutory requirements of the former WTECB and submit any recommendations for legislative action to the Governor and appropriate legislative committees.

HECB or its successor agency will receive duties involving licensing and regulation of private career schools. ESD will receive duties related to the Workforce Investment Act and associated functions. SBCTC will receive duties involving the job skills program. DOC will receive duties involving industry skill panels. ERDC will establish methodology for data collection regarding vocational education enrollment.

To ensure all of WTECB is transferred, the following applies to the above-listed transfer entities:

All reports, documents, surveys, books, records, files, papers, or written materials in the possession of WTECB must be delivered to the custody of the transferee entity. All cabinets, furniture, office equipment, motor vehicles, and other tangible property employed by WTECB must be made available to the transferee entity. All funds, credits, or other assets held by WTECB must be assigned to the transferee entity. Any appropriations made to the WTECB board must, on the effective date of this section, be transferred and credited to the transferee entity. If any question arises as to the transfer of any personnel, funds, books, documents, records, papers, files, equipment, or other tangible property used or held in the exercise of the powers and the performance of the duties and functions transferred, the Director of Financial Management must make a determination as to the proper allocation and certify the same to the state agencies concerned.

All employees of WTECB are transferred to the jurisdiction of the transferee entity. All employees classified under the state civil service law are assigned to the transferee entity to perform their usual duties upon the same terms as formerly, without any loss of rights, subject to any action that may be appropriate thereafter in accordance with the laws and rules governing state civil service. All classified employees of WTECB assigned to the transferee entity whose positions are within an existing bargaining unit description at the transferee entity must become part of the existing bargaining unit at the transferee entity and must be considered appropriate inclusion or modification of the existing bargaining unit.

All rules and all pending business before WTECB must be continued and acted upon by the transferee entity. All existing contracts and obligations remain in full force and must be performed by the transferee entity. Transfer of the powers, duties, functions, and personnel of WTECB must not affect the validity of any act performed before the effective date of this section. If apportionments of budgeted funds are required because of the transfers directed by this section, the Director of Financial Management certifies the apportionments to the agencies affected, to the State Auditor, and to the State Treasurer. Each of these makes the appropriate transfer and adjustments in funds and appropriation accounts and equipment records in accordance with the certification.

Appropriation: None.

Fiscal Note: Requested on January 24. 2012.

Committee/Commission/Task Force Created: No.

Effective Date: The bill takes effect on July 1, 2012.

Staff Summary of Public Testimony: CON: We use to have no coordination between agencies and education programs. We need to coordinate workforce training. We need a board that is governed by what customers want, evaluates programs, looks at skill gaps, and coordinates services. We need a board that helps SBCTC and community and technical colleges. We must follow federal regulations regarding the requirement to have a board. We can't give into the financial crisis. This WTECB is helping us get out of the financial crisis. We need stronger language for collective bargaining rights. The WTECB brings together youth, adult retraining, and employers.

OTHER: WTECB balances constituency needs on work and education. WTECB has created reports with research from 2011. There will be a void if we get rid of WTECB. We need to be jobs focused. If we get rid of the board, we will be headed in the wrong direction. WTECB helps students resolve grievances, works on state need grants, and school evaluation/approval, which should be kept together.

Persons Testifying: CON: Jeff Johnson, WA State Labor Council; Matt Zuvich, WA Federation of State Employees; Tim Knue, WA Assn. for Career and Technical Education.

OTHER: Ellie Menzios, Service Employees International Union -1199; Steve Lindstrom, NW Career Colleges Federation; Charlie Earl, SBCTC.