Texas 2023 - 88th Regular

Texas House Bill HB1755 Compare Versions

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1	1	H.B. No. 1755
2	2
3	3
4	4	AN ACT
5	5	relating to the creation of the Lone Star Workforce of the Future
6	6	Fund.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Subtitle G, Title 3, Education Code, is amended
9	9	by adding Chapter 134A to read as follows:
10	10	CHAPTER 134A. LONE STAR WORKFORCE OF THE FUTURE FUND
11	11	Sec. 134A.001. DEFINITIONS. In this chapter:
12	12	(1) "Commission" means the Texas Workforce
13	13	Commission.
14	14	(2) "Public junior college" and "public technical
15	15	institute" have the meanings assigned by Section 61.003.
16	16	Sec. 134A.002. PURPOSE. The purpose of this chapter is to:
17	17	(1) create and sustain a utilization-driven supply of
18	18	qualified workers for entry-level to mid-level jobs in high demand
19	19	occupations in this state;
20	20	(2) address and close the gap between the skills
21	21	needed by workers and the current skills of the available workforce
22	22	in this state;
23	23	(3) increase the interest of current and future Texans
24	24	to fill the available and emerging jobs in this state that require
25	25	less education than a bachelor's degree but more than a high school
26	26	diploma; and
27	27	(4) strengthen the state's economy by increasing the
28	28	competitiveness of businesses in this state and the recruitment of
29	29	businesses to this state.
30	30	Sec. 134A.003. LONE STAR WORKFORCE OF THE FUTURE FUND. (a)
31	31	The commission shall establish and administer the Lone Star
32	32	Workforce of the Future Fund as a dedicated account in the general
33	33	revenue fund.
34	34	(b) The following amounts shall be deposited in the fund:
35	35	(1) any money appropriated by the legislature for the
36	36	fund for purposes of this chapter;
37	37	(2) interest earned on the investment of money in the
38	38	fund; and
39	39	(3) gifts, grants, and donations received for the
40	40	fund.
41	41	Sec. 134A.004. ADVISORY BOARD. (a) An advisory board of
42	42	education and workforce stakeholders is created to assist the
43	43	commission in administering this chapter.
44	44	(b) The advisory board is composed of six members who serve
45	45	two-year terms and are appointed as follows:
46	46	(1) one member appointed by the governor;
47	47	(2) one member appointed by the lieutenant governor;
48	48	(3) one member appointed by the speaker of the house of
49	49	representatives;
50	50	(4) one member appointed by the Texas Higher Education
51	51	Coordinating Board;
52	52	(5) one member appointed by the commission; and
53	53	(6) the chair of the commission, who serves as the
54	54	presiding officer.
55	55	(c) The advisory board shall meet at least twice each
56	56	calendar year, or as needed, to make recommendations on awarding
57	57	grants under this chapter.
58	58	Sec. 134A.005. FUND USE. Money in the Lone Star Workforce
59	59	of the Future Fund may be used by the commission only to:
60	60	(1) award grants as provided by this chapter; and
61	61	(2) conduct, with a consortium of corporate partners
62	62	identified by the commission as having available entry-level
63	63	workforce demand, due diligence assessment reviews of entities
64	64	receiving grants under this chapter.
65	65	Sec. 134A.006. LONE STAR WORKFORCE OF THE FUTURE FUND GRANT
66	66	PROGRAM. The commission shall establish and administer the Lone
67	67	Star Workforce of the Future Fund grant program to provide grants to
68	68	public junior colleges, public technical institutes, and nonprofit
69	69	organizations that apply to the commission in the manner prescribed
70	70	by the commission and satisfy the eligibility criteria prescribed
71	71	by Section 134A.007. The commission shall award the grants on the
72	72	advice and recommendations of the advisory board.
73	73	Sec. 134A.007. GRANT ELIGIBILITY. To be eligible to
74	74	receive a grant under this chapter, a public junior college, public
75	75	technical institute, or nonprofit organization must:
76	76	(1) administer one or more performance-based
77	77	workforce training programs that:
78	78	(A) lead to skill development and experiences
79	79	required for employment in high demand occupations in at least one
80	80	career field identified and listed as a high-growth career field
81	81	by:
82	82	(i) the commission;
83	83	(ii) the Texas Workforce Investment
84	84	Council; or
85	85	(iii) the Tri-Agency Workforce Initiative
86	86	established under Chapter 2308A, Government Code;
87	87	(B) are developed and provided based on
88	88	consultation with and input from employers who are hiring in high
89	89	demand occupations;
90	90	(C) create pathways to employment for program
91	91	participants; and
92	92	(D) are delivered through classroom-based or
93	93	online instruction, work-based experiences internships, or
94	94	apprenticeships, or through a combination of those methods;
95	95	(2) demonstrate through third-party validated data
96	96	successful outcomes in:
97	97	(A) recruiting local unemployed and
98	98	underemployed individuals to participate in the training program or
99	99	programs;
100	100	(B) training individuals with the skills needed
101	101	to secure full-time employment paying at least a self-sufficient
102	102	wage as determined under Section 2308A.012, Government Code, in the
103	103	relevant job field; and
104	104	(C) placing individuals in employment in high
105	105	demand occupations;
106	106	(3) demonstrate the ability to attract at least 40
107	107	percent of the necessary funding for training program operation
108	108	from revenue streams other than state government funding; and
109	109	(4) agree to:
110	110	(A) collaborate with the commission, corporate
111	111	partners, and nonprofit educational partners to determine the
112	112	training programs to be provided using grant money;
113	113	(B) secure support from local businesses to
114	114	ensure alignment between training program offerings and in-demand
115	115	skills;
116	116	(C) collaborate with regional employers, public
117	117	junior colleges, public technical institutes, or nonprofit
118	118	organizations to make available developmental work-based
119	119	experiences to further enhance training program participants'
120	120	career readiness;
121	121	(D) engage local entities and organizations,
122	122	including local workforce development boards and community-based
123	123	organizations, to assist with identifying and recruiting eligible
124	124	training program participants;
125	125	(E) provide documentation to the commission
126	126	describing training program offerings, including information
127	127	necessary to verify that the offerings will:
128	128	(i) provide training that is not exclusive
129	129	to a single corporate partner; and
130	130	(ii) lead to knowledge, skills, and
131	131	work-based experiences that are transferable to similar employment
132	132	opportunities in high demand occupations offered by other
133	133	employers; and
134	134	(F) comply with any additional grant conditions
135	135	prescribed by commission rule, including performance benchmarks
136	136	established under Section 134A.008 and reporting requirements
137	137	established under Section 134A.009.
138	138	Sec. 134A.008. PERFORMANCE BENCHMARKS. (a) The commission
139	139	by rule shall establish performance benchmarks for entities
140	140	receiving grants under this chapter. The benchmarks must include a
141	141	requirement that an entity facilitate the successful transition of
142	142	at least 50 percent of the entity's training program participants
143	143	from low wage work or unemployment to full-time jobs offering a
144	144	self-sufficient wage as determined under Section 2308A.012,
145	145	Government Code, and the opportunity for career mobility, as
146	146	determined by the commission, within six months of training program
147	147	completion.
148	148	(b) The commission by rule shall require reimbursement on a
149	149	pro rata basis by an entity that does not meet a performance
150	150	benchmark required by this section.
151	151	(c) An entity is not required to comply with a performance
152	152	benchmark required by this section if the entity's compliance is
153	153	not possible because of an act of God, force majeure, or a similar
154	154	cause not reasonably within the entity's control.
155	155	Sec. 134A.009. REPORTING REQUIREMENTS. The commission by
156	156	rule shall require each entity receiving a grant under this chapter
157	157	to submit progress reports to the commission at least twice
158	158	annually. Each progress report must include the following
159	159	information relating to a training program funded by the grant:
160	160	(1) the number of participants;
161	161	(2) an update on progress toward performance
162	162	benchmarks;
163	163	(3) a description of any key accomplishments achieved,
164	164	lessons learned, or setbacks or risks incurred by the entity in
165	165	administering the training program;
166	166	(4) an explanation of any material changes to the
167	167	training program's work plan, team, or budget; and
168	168	(5) the amount of grant money spent by the entity
169	169	during the reporting period.
170	170	Sec. 134A.010. GRANT AMOUNT. The amount of a grant awarded
171	171	to an entity under this chapter for a training program may not
172	172	exceed $15,000 per training program participant.
173	173	Sec. 134A.011. GRANT USE. An entity may use grant money
174	174	received under this chapter only for:
175	175	(1) curriculum development;
176	176	(2) instructor fees and certifications;
177	177	(3) training materials;
178	178	(4) work-related expenses;
179	179	(5) work-based experience stipends;
180	180	(6) related wraparound services important to help
181	181	ensure success for training program participants as determined by
182	182	commission rule; and
183	183	(7) administrative costs as determined by commission
184	184	rule, except that the amount used by an entity for that purpose may
185	185	not exceed 10 percent of the total amount of grant money received by
186	186	the entity.
187	187	Sec. 134A.012. RULES. The commission shall adopt rules as
188	188	necessary to administer this chapter.
189	189	SECTION 2. The Texas Workforce Commission shall adopt rules
190	190	for the administration of Chapter 134A, Education Code, as added by
191	191	this Act, as soon as practicable following the effective date of
192	192	this Act but not later than December 1, 2023.
193	193	SECTION 3. (a) Notwithstanding any other provision of this
194	194	Act, in a state fiscal year, the Texas Workforce Commission is not
195	195	required to implement a provision found in another provision of
196	196	this Act that is a mandatory provision imposing a duty on the
197	197	commission to take an action unless money is specifically
198	198	appropriated to the commission for that fiscal year to carry out
199	199	that duty. The Texas Workforce Commission may implement the
200	200	provision in that fiscal year to the extent other funding is
201	201	available to the commission to do so.
202	202	(b) If, as authorized by Subsection (a) of this section, the
203	203	Texas Workforce Commission does not implement a mandatory provision
204	204	in a state fiscal year, the commission, in its legislative
205	205	appropriations request for the next state fiscal biennium, shall
206	206	certify that fact to the Legislative Budget Board and include a
207	207	written estimate of the cost of implementing the provision in each
208	208	year of that next state fiscal biennium.
209	209	(c) This section expires and any duty suspended by
210	210	Subsection (a) of this section becomes mandatory on September 1,
211	211	2027.
212	212	SECTION 4. This Act takes effect September 1, 2023.
213	213	______________________________ ______________________________
214	214	President of the Senate Speaker of the House
215	215	I certify that H.B. No. 1755 was passed by the House on April
216	216	26, 2023, by the following vote: Yeas 121, Nays 27, 1 present, not
217	217	voting.
218	218	______________________________
219	219	Chief Clerk of the House
220	220	I certify that H.B. No. 1755 was passed by the Senate on May
221	221	12, 2023, by the following vote: Yeas 22, Nays 8.
222	222	______________________________
223	223	Secretary of the Senate
224	224	APPROVED: _____________________
225	225	Date
226	226	_____________________
227	227	Governor