HB3597 HFLR Page 1 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 HOUSE OF REPRESENTATIVES - FLOOR VERSION STATE OF OKLAHOMA 2nd Session of the 59th Legislature (2024) COMMITTEE SUBSTITUTE FOR HOUSE BILL NO. 3597 By: Hill COMMITTEE SUBSTITUTE An Act relating to state government; amending 74 O.S. 2021, Sections 5003.10d and 5003.10e, which relate to the Governor's Council for Workforce and Economi c Development; modifying reimbursement of travel expenses; modifying coordination of the Council activities; and declaring an emergency . BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 74 O.S. 2021, Section 5003.10d, is amended to read as follows: Section 5003.10d A. The Governor's Council for Workforce and Economic Development established under the authority of Exe cutive Order 2005-27 is hereby recognized by the Legislature as the St ate's Workforce Investment Board. The Council succeeded and was established in lieu of the Oklahoma Workforce Investment Board. Appointed members of the Council ser ving under the autho rity of Executive Order 2005-27 when this act becomes effective shall HB3597 HFLR Page 2 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 continue to serve until their terms have expired and their successors have been duly appointed. Pursuant to the federal Workforce Innovation and Opportunity Act, the purpose of the Counc il shall be to: 1. Guide the development of a comprehensive and coord inated workforce development system for the state and monitor its operation; and 2. Review and make recommenda tions that will align the workforce system, including e ducation, with the e conomic development goals of the state for the purpose of creating wor kforce and economic development systems that are integrated and shall provide Oklahoma a competitive advantage in a global economy. B. Membership of the Council shal l include representa tives of private employers who reflect Oklahoma 's projected and desire d business and industry base and public officials from agencies which provide programs and services related to workforce, education and economic development. All Cou ncil members shall b e in positions to influence policy and hiring decisions within their o rganizations. Initial appointments to the Council shall conform to the following described schedule: 1. The membership of the Council shall comply with the federal requirements of the state investment board; 2. A majority of the Council shall come from described private sector employers, including owners of businesses, chief executives HB3597 HFLR Page 3 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 or operating officers of b usinesses or other business executives or employees with optimum policymaki ng or hiring authority, and who represent businesses, including small businesses, that provide employment opportunities that, at a minimum, include high -quality, work-relevant training and development in in -demand industry sectors or occupations in this st ate; 3. State officials shall include incumbents or designees of the following named offices, or their successors in office or function: a. Governor, b. two members of the Oklahoma Senate, appointed by the President Pro Tempore, c. two members of the Oklahoma House of Representatives, appointed by the Speaker, and d. Executive Director of the Oklahoma Department of Commerce, and e. Executive Director of the Oklahoma Employment Secur ity Commission; 4. Additional members, at the discreti on and pleasure of the Governor, may be appointed representing the needs or interests of the state economy or specific regional needs; and 5. Ex-officio members, at the discretion and pleasure of the Governor, may be included to provide expertise and agen cy information to the Co uncil. These appointments may include, but not be limited to: HB3597 HFLR Page 4 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 a. the Secretary of Education, b. the Secretary of Health and Human Services, c. the Secretary of Commerce, d. the Chancellor of the Oklahoma State Regents for Higher Education, e. the Director of Career and Technology Education, f. the State Superintendent of Pu blic Instruction, g. the Director of the State Department of Rehabilitation Services, h. the Director of the Oklahoma Department of Corrections, i. the Commissioner of the Oklahoma Depar tment of Mental Health and Substance Abuse Services, j. the Director of the Oklahoma Health Care Authority, and k. the Native American Liaison. C. Private sector members shall be appointed by and serve at the pleasure of the Govern or for a two-year term beginning October 1, 2005, and may be reappointed. However, of the ini tial private sector members appointed, half shall be appointed for an initial term of one (1) year beginnin g October 1, 2005. Private members may be removed from office for failure to a ttend three consecutive Council meetings. The chair of the Council sh all be from the HB3597 HFLR Page 5 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 private sector and shall be appointed b y and serve at the pleasure of the Governor. D. The Council shall meet at such times and places as it deem s appropriate. Members shall serve without compensation. Council members employed by a state agency shall be reimbursed travel expenses related to their service on the Council as authorized by state law by their respective state agency. Legislative memb ers of the Council shall be reimbursed by their respective houses for necessary travel expense s incurred in the performance of their duties as authorized by state law. Remaining Council members shall also be reimbursed travel expenses related to their ser vice on the Council by the Oklahoma Department of Commerce Employment Security Commission as authorized by state law. No member of the Council shall profit, directly or indirectly, from any transactio n with the Council. E. The duties and responsibilities of the Council in the development, monitoring and aligning of the workforce s ystem with economic development shall include, but not be limited to: 1. Performing the duties required of the state gover nance board by the federal Workforce Innovation and Opp ortunity Act; 2. Identifying the human resource investment needs of Oklahoma business and industry, together with those of the citizens of the state, so that each might respond to and meet the needs o f the others and thus together build a robust, diversif ied economy; HB3597 HFLR Page 6 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 3. Reviewing and evaluating workforce development programs within the state, formulate recommendations to increase their efficiency and effectiveness, eliminate duplication, and align wit h economic goals. Recommendations shall be communicate d to the Governor, Legislature, state and federal government agencies and appropriate individuals and entities within the private sector; 4. Increasing academic capability and technical skills within the state workforce and foster lifelong learning among Oklahoma's citizens; 5. Strengthening collaboration among institutions which provide education and training services, government agencies which coordinate employment and other human resource investmen t activities, and Oklahoma business and industry to cre ate a seamless system to nurture healthy economic development; and 6. Enhancing rural eco nomic development capability and capacity, giving particular attention to regional collaboration and partnering. F. Activities of the Council shall be coordinated by the Secretary of Commerce and directed by the Deputy Secretary of Commerce for Workforce Development, or their successors in office or function. Administrative and staffing support for the Council sh all be coordinated by the Office of Workforce Solutions within the Department of Commerce Workforce Development. HB3597 HFLR Page 7 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 G. The State Workforce Partners ori ginally established under the authority of Executive Order 2005 -27 as the Workforce Solutions Staff Team is hereby recognized by the Legislat ure. This interagency team shall be comprise d of executive level staff from workforce, education and economic deve lopment agencies of the state for the purpose of providing staff support to the Council and to create efficiencies, eliminate duplication, an d eliminate barriers to jointly providing a s ervice delivery system. Other members may be included on this team as the Governor may deem necessar y to accomplish this goal. H. The Council shall be supported by funds avail able to state agencies pursuant to state and federal la ws and regulations. Eac h member of the Council whose agency qualifies pursuant to state and federal law to receive and use s uch funds shall assist by providing support and funding of the Council in ca rrying out the responsibilities of the Council. I. The Council shall form a su bcommittee on health workforce whose purpose shall be to inform, coord inate, and facilitate statewide efforts to ensure that a well -trained, adequately distributed, and flexible health workforce is available to meet the needs of an efficient and effective health care system in Oklahoma. Duties of the Health Workforce Subcom mittee shall include, but not be limited to, the following: HB3597 HFLR Page 8 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. Conducting data analysis and preparing repo rts on health workforce supply and demand; 2. Research and analysis of state h ealth professional education and training capacity; 3. Recommend recruitment and retention strategie s for areas determined by the Oklahoma Primary Care Office or the Oklahoma Office of Rural Health to be areas of high need; and 4. Assessment of health wo rkforce policy, evaluation of impact on Oklahoma's health system and h ealth outcomes, and developing health workforce policy recommendations. SECTION 2. AMENDATORY 74 O.S. 2021, Section 5003.10e, is amended to read as follows: Section 5003.10e A. There is hereby created the Work-based Learning Program. The Governor's Council on Workforce and Economic Development shall have authority over the program. The Governor's Council shall coordinate the program by establishing partnershi ps with the State Department of Education, the State Regents for Highe r Education, the State Departm ent of Career and Technology Education, the Oklahoma Board of Private Vocatio nal Schools, the Secretary of State and business entiti es throughout the state. The Oklahoma Office of Workforce Development Oklahoma Employment Sec urity Commission, serving as the Workforce Innovation and Opportunity Act designee as established by the Go vernor in Executive Order 2023 -21, shall have the offic ial duty to develop and maintain a Work-based HB3597 HFLR Page 9 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Learning Program within i ts jurisdiction to be focused and will collaborate, specifically related to registered apprenticeships, with the Oklahoma Departme nt of Career and Technology Education in its focus on increasing the number of registered apprenticeships and internship programs, defined as paid an d unpaid work experienc e by the United States Departm ent of Labor as contained in 20 CFR 681.600, in this state to at least an aggregate of twenty thousand positions by the end of the ca lendar year 2020. All partners participating in the Work -based Learning Program shall be req uired to provide their experti se, time and resources as deemed necessary to advance and sustain the work-based learning goals of Oklaho ma Works to assist with publ ishing an annual progress report showing each state agency's steps and accomplishments toward meeting statewide workforce g oals and to network and coordinate with other public and private entities in an effort to align all state agencies, boards and commis sions and the private business sector in meeting Oklahoma Works goals. B. The Work-based Learning Program shall include th e following components: 1. Coordinate work-based learning opportunities through the state's labor market and labor exchange systems to connect youth and adults in public and private sectors; HB3597 HFLR Page 10 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 2. Work toward increasing the num ber of youth and adults participating successfully in public and private work -based learning opportunities; 3. Set standards for equality and fair access to quali ty work- based learning experiences for all Oklahomans, including, but not limited to, women, out-of-school youth, adults, A frican Americans, Hispanics, Native Americans, veteran s, individuals with disabilities and other target populations identified in the federal Workforce Innovation and Opportunity Act; 4. Promote quality work-based learning experiences which are developmentally appropriate, including an orientation for all parties, identify learning objectives for the term of the experience, explore mul tiple aspects of an industry, develop workplace skills and competencie s, assess performance, provide opportunities for work -based reflection, link appropriate next steps and see that all aspects are documented and reported and c omply with state and federal labor laws; 5. Convene industry partners to develop industry -specific standards for interns hips in order to aid employers with the creation of rigorous internship programs; an d 6. Prioritize paid work -based learning experiences t o ensure equity and access. C. Each organization seeking to be a registered Work -based Learning Program in Oklahoma shall either: HB3597 HFLR Page 11 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. Be registered as a Work-based Learning Program, such as an apprenticeship, with the United States Department of Labor ; or 2. File a certificate each year in the Office of the Secretary of State, which shall confirm such an organization i s an active participant in Oklahoma's registered Work-based Learning Program. The certificate to be filed shall include: a. the name of the business, nonprofit or ganization or government organization, b. the street address of the or ganization, c. the name of the primary contact for th e organization, d. the electronic mail address for the primary contact of the registered organization, e. the registered organization 's North American Industry Classification System code (NAICS), if appl icable, f. the number and type of work-based learning opportunities proposed for the year, the estimated term of each opportunity, the proposed occupations, and estimated number of hours per week of each opportunity, if available, g. the number and type of work-based learning opportunities proposed for the y ear, the estimated term of each opportunity, the propo sed occupations, and the estimated number of hours per week of each opportunity, if available, HB3597 HFLR Page 12 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 h. signed acknowledgement of the application by the primary contact, and i. the annual renewal shall be due on the anniversary date of filing the registration ap plication. The filing shall be made electronically via the Secretary of State website. D. The annual certificate of participation shall be due on th e anniversary date of o riginal registration, as the c ase may be, until cancellation of the work -based organization in the Work-based Learning Program. E. The Secretary of State shall, a t least sixty (60) days before the anniversary date each year of a par ticipating organization, cause a notice of renewal of the annual certificate to be sent to such organizatio n to its last known electronic mail address of record filed with the Secretary of State. At the time of renewal, the organization shall provide a Wo rk-based Learning Program annual summary, including f or each position offered: 1. The number of opportunit ies posted; 2. The number of opportunities hired; 3. The type of work-based learning opportunities offered (e.g., internship, apprenticeship); 4. The Standard Occupation al Classification (SOC) code; 5. The performance evaluation criteria utilized; 6. The term of the position; HB3597 HFLR Page 13 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 7. The number of hours per w eek; 8. Paid or unpaid status; 9. Academic credit awarding institution, if applicable; 10. Academic hours awarded, if applicable; and 11. The gender, age and ethnicity of hires, if available. F. A registered organization that fails to file the ann ual renewal and pay the annu al renewal fee by the anniversary date of registration shall cease to be a registered organiz ation with the Governor's Council for Workforce and Economic Development. G. The Secretary of State shall charge and collect the following fees: 1. For filing the original application, a fee of Fifty Dollars ($50.00) submitted to t he Secretary of State; and 2. For filing subsequent annual renewals, a fee of Twenty -five Dollars ($25.00) submitted to the Secretary of State. H. To coordinate with statewide career p athways efforts, registered organizations under this program shall rec ruit participants by posting job announcements on the state labor market exchange system. Job announcement s shall include the registered organization number as a ssigned by the Secretary of State. I. The Secretary of State shall transfer on July 1 of each fiscal year an amount based on the Governor 's Council for Workforce Development annual budget not to excee d Eight Hundred Fifty Thousand Dollars ($850,000.00 ) annually from the Secretar y of State revolving HB3597 HFLR Page 14 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 fund to support the administration of the program and business registration to help enable the develop ment of the state's talent pipeline. SECTION 3. It being immediately necessary for the prese rvation of the public peace, health or safety, an emergency is hereby declared to exist, by reason whereof this act shall take effect and be in full force from and after its passage an d approval. COMMITTEE REPORT BY: COMMITTEE ON GENERAL GOVERNMENT, dated 02/14/2024 - DO PASS, As Amended.