SESSION OF 2023 SUPPLEMENTAL NOTE ON HOUSE BILL NO. 2138 As Amended by House Committee on Education Brief* HB 2138, as amended, would establish the Career Technical Education Credential and Transition Incentive for Employment Success Act (Act). The Act would provide state aid, subject to appropriations, for the reimbursement of school districts, community colleges, and technical colleges for the cost of administering career technical education (CTE) credentials to high school students enrolled in CTE programs. Eligible Educational Institutions The bill would provide, subject to the availability of appropriations, for payments to be made to a school district or college who has students enrolled in grades 9 through 12 and who have obtained an approved CTE credential. The bill would specify determination criteria for reimbursements and distributions to schools and colleges (outlined below). The bill would define the term “college” as meaning any community college, technical college, or the Washburn Institute of Technology. Industry Sought Credential List The bill would define the term “industry sought credential” as a CTE credential that meets the following criteria: ____________________ *Supplemental notes are prepared by the Legislative Research Department and do not express legislative intent. The supplemental note and fiscal note for this bill may be accessed on the Internet at http://www.kslegislature.org ●Repeatedly referenced in job postings; and ●Frequently referred to by employers in communications with a school district as a CTE credential in demand. The bill would require the State Board of Education (Board), on or before July 1, 2023, and on an annual basis thereafter, to approve a list of industry-sought credentials. The Board would be required to consult with the following individuals when determining the list of credentials: ●Secretary of Labor; ●Secretary of Commerce; and ●Representatives of industries that recognize CTE credentials. The bill would further require the Board to conduct an annual survey commencing on or before July 1, 2023, of all CTE credentials offered by school districts and colleges which meet the definition of “industry-sought credential.” Payment Determination The bill would require the Board to determine the amount of payments to each educational institution in the following manner: ●Determine the number of students enrolled in a school district or college who obtained an approved industry-sought CTE credential in the preceding school year; ●Determine the total cost of assessment for each such credential obtained by said students; ●Multiply the total cost determined in the previous step by 1.2; and 2- 2138 ●Distribute these payments to school districts and colleges at a time determined by the Board. The bill would require the Board to certify to the Director of Account and Reports the payment amounts due to each school district or college. All funds owed to school districts would be credited to the district’s career technical education fund and such funds would be required to first be expended upon the costs of assessments for CTE credentials. Funds provided to colleges under the bill would be credited to the college’s general fund and such funds would be required to first be expended upon costs of assessments for CTE credentials. Background The bill was introduced by the House Committee on Education at the request of Representative Murphy. House Committee on Education In the House Committee hearing, proponent testimony was provided by representatives of ESSDACK, Kansas Association of Community College Trustees, Kansas Association of School Boards, and State Board of Education. The proponents generally stated the bill would help students who completed CTE courses to be able to obtain their credential regardless of whether the student or their family could afford the cost of the assessment. The proponents further stated that ensuring students could take credentialing assessments following completion of CTE courses helps address both the worker shortages and increases the value of CTE courses already paid for by the State. No other testimony was provided. The House Committee amended the bill to expand the entities that could receive reimbursement payments for CTE 3- 2138 credentials, as provided by the bill, to include community colleges, technical colleges, and the Washburn Institute of Technology. The amendment also specifies students must be enrolled in high school (grades 9-12). Fiscal Information According to the fiscal note prepared by the Division of the Budget on the bill as introduced, the State Department of Education (KSDE) stated the bill would require additional State General Fund appropriations of $177,119 for FY 2024. KSDE based its estimate on the current three year average of CTE credentials received by high school students (1,433) by the average cost of an industry recognized credential ($103). Any fiscal effect from enactment of the bill is not reflected in The FY 2024 Governor’s Budget Recommendation. Education; career technical education; Career Technical Education Credential and Transition Incentive for Employment Success Act; state aid; school districts; students; postsecondary 4- 2138