HOUSE BILL REPORT

HB 2348

BYRepresentatives Rector, Schoon, Cantwell, Prince, Doty, Pruitt, Rayburn, R. Meyers, Dorn, Jones, Wineberry, Kremen, Todd, Winsley, Walker, Wang, Cooper, Brough, H. Myers, Rasmussen and Phillips; by request of Governor Gardner

Establishing an employment training program.

House Committe on Trade & Economic Development

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  (12)

      Signed by Representatives Cantwell, Chair; Wineberry, Vice Chair; Doty, Ranking Republican Member, G. Fisher, Kirby, Kremen, Moyer, Rasmussen, Rector, Schoon, Tate and Youngsman.

House Staff:Charlie Gavigan (786-7340)

Rereferred House Committee on Appropriations

Majority Report:  The second substitute bill be substituted therefor and the second substitute bill do pass.  (22)

      Signed by Representatives Locke, Chair; Grant, Vice Chair; Youngsman, Assistant Ranking Republican Member; Bowman, Braddock, Brekke, Dorn, Doty, Ebersole, Ferguson, Hine, Inslee, May, McLean, Nealey, Peery, Rust, Spanel, Sprenkle, Valle, Wang and Wineberry.

Minority Report:  Do not pass.  (2)

      Signed by Representatives Silver, Ranking Republican Member and Belcher.

House Staff:      Sherie Story (786-7142)

AS REPORTED BY COMMITTEE ON APPROPRIATIONS FEBRUARY 5, 1990

BACKGROUND:

Training and retraining programs are provided by the public sector at the federal, state, and local levels.

The superintendent of public instruction: (1) provides Vocational Education Skills Centers, (2) provides K-12 vocational education, and (3) provides vocational education through Vocational Technical Institutes.  These are state funded programs.

The State Board for Community College Education provides vocational education through community colleges.  This is state funded.

The State Board for Vocational Education: (1) provides a Job Skills Program that is state funded, (2) administers an Education Cooperation and Grants Program funded federally through the Job Training Partnership Act (JTPA), and (3) administers vocational education services funded federally through the Perkins Act.

The Washington Human Development Corporation provides employment services to migrant farm workers under the federal JTPA.

The Employment Security Department: (1) administers the Job Corps, which is funded federally under JTPA, (2) administers an Older Workers program, funded by the federal government, (3) provides the Washington Self-employment Demonstration, funded by the state, (4) administers the federal Targeted Job Tax Credit, (5) provides the Business and Minority Youth Internship Program, funded by the state, (6) provides the Washington Service Corps, funded by the state, (7) administers the Emergency Veterans Job Training Act, federally funded, (8) administers the Dislocated Worker Programs, funded federally under JTPA, and (9) administers the Trade Adjustment Assistance program, which is federally funded.

Local Private Industry Councils provide training services to low income youths and adults.  These programs are funded under the federal JTPA.

SUMMARY:

SUBSTITUTE BILL:  A study and evaluation of the present system for providing training and retraining services in Washington State is required.  Recommendations are to be made to the governor on how to improve the present system and meet the long-term training needs of Washington's work-force.  Pilot projects are established to test methods for integrating delivery systems and for improving the responsiveness of training programs.  The study, including recommendations, is due December 1, 1990.

The Office of Financial Management (OFM) is required to study the training needs of the state's work-force, businesses, and economy. The study must: (1) assess the current training needs of the work- force, such as literacy and vocational skills, and project these competencies to 2010, (2) assess the current skill levels that Washington's public and private employers need of their employees and project these skill needs to 2010, (3) assess the gaps between work-force skills and employer needs to 2010, and (4) assess the current training and retraining system, including current programs and funding levels, evaluation systems, and responsiveness. The study is also required to provide recommendations on improving the current system and on meeting the future needs of the work- force, businesses, and the economy.

Four pilot training programs are established, administered by OFM,  to test ways of integrating delivery systems and improving responsiveness.  These pilot programs are: (1) the provision of new approaches to the training needs of businesses and the work-force by community colleges, (2) the provision of training and access to related services for dislocated workers of rural firms, including those in the timber and wood products industries, (3) the integration of training programs with programs for substance abuse prevention or treatment for youth, and (4) the integration of adult education instruction within vocational technical institutes.

An advisory council is established to assist OFM.  The council consists of 10 voting members, including three representatives of business and three representatives of labor, and nine non-voting members.  The nonvoting members include representatives of the four major caucuses in the Legislature.  Non-legislative members are appointed by the governor. In addition, the governor, or the governor's designee,  is the non-voting chairperson of the advisory council.

SUBSTITUTE BILL COMPARED TO ORIGINAL:  Four legislators and a representative of Vocational Technical Institutes are added to the advisory council as non-voting members.  The Vocational Technical Institutes governance is to be evaluated as part of the assessment of the current training system. The two apprenticeship pilot programs are eliminated; a pilot program for dislocated workers in rural areas is established.

Clarification is made that the study is due on December 1, 1990.

CHANGES PROPOSED BY COMMITTEE ON APPROPRIATIONS (SECOND SUBSTITUTE BILL): The definition of "workforce" is clarified.

Fiscal Note:      Available.

Effective Date:The bill contains an emergency clause and takes effect immediately.

House Committee ‑ Testified For:    (Trade & Economic Development) Larry Malo, Employment Security; Earl Hale, Executive Director, State Board for Community College Education; Robin Swenson, Del Jackson, and Winnie Vokers, Small Business Improvement Council; Cindy Zehnder, Teamsters Union; Gil Carbone, Washington Adult Literacy; Tim Strege, Washington Vocational Technical Institutes; Cliff Finch, Association of Washington Businesses;  Jan Gee,  Washington Retail Association; Jan Carlson, Office of the Superintendent of Public Instruction; Gary Smith Independent Business Association; Bob Dilger, Washington Building and Construction Trades Council; and Jim Tusler, Washington State Labor Council AFL-CIO (with concerns about apprenticeship programs.)

(Appropriations)  Stan Marshburn, Office of the Governor; Cliff Finch, Association of Washington Businesses; Jeff Johnson, Washington State Labor Council AFL-CIO; Isiah Turner, Director, Employment Security; David Habura, Deputy Director, State Board for Community College Education; Jan Carlson, Office of the Superintendent of Public Instruction; and Tim Strege, Washington Vocational-Technical Institutes.

House Committee - Testified Against:      (Trade & Economic Development) No one.

(Appropriations) No one.

House Committee - Testimony For:    (Trade & Economic Development) New entrants into the labor force are expected to decline by half during the next decade; at the same time the skill levels of jobs are rising.  Business and labor representatives support a comprehensive study to gather the information currently not available to identify and evaluate: (1) current training efforts, (2) whether a need exists for additional programs or funding, and (3) how the governance issues regarding training programs should be addressed.

Getting all the interested parties involved in a study and evaluation is the first step to meeting the critical training needs into the next century.

(Appropriations) There are many needs to be addressed by the state's training system: (a) new entrants into the labor force are expected to decline during the next decade meaning that new sources of workers will be sought who need training.  It also means that an estimated 80 percent of the workforce of the year 2000 are currently working and will need retraining as job skill requirements are changing and rising; (b) disadvantaged youth need more training opportunities; (c) a project focussing on workers displaced in the timber industry is needed.

A study of the state's training system is critical because prior studies have shown needs are not being met.  Representatives of business and labor support this bill and need to be involved in the study it defines.  The community college projects focus on providing flexible training when people are working.  Use of existing data is urged.  The Vocational Technical Institutes' pilot project to provide basic skills education is needed because over half of the male adults who enroll do not have high school level skills.

House Committee - Testimony Against:      (Trade & Economic Development) None.

(Appropriations) None.