By: Smith, Ashley H.B. No. 1610
73R6196 E
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the consolidation of economic development, technical
1-3 education, job training, employment, and unemployment insurance
1-4 programs and the development of an integrated state-local delivery
1-5 system serving all Texans.
1-6 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-7 ARTICLE 1. LEGISLATIVE FINDINGS
1-8 SECTION 1.01. LEGISLATIVE FINDINGS. The legislature finds
1-9 that:
1-10 (1) the economic future of Texas and the prosperity of
1-11 its citizens depends on the ability of Texas businesses to compete
1-12 effectively in the world economy;
1-13 (2) a well-educated and highly trained workforce
1-14 provides Texas businesses with the competitive edge critical for
1-15 their success;
1-16 (3) the state's current workforce development effort
1-17 is a fragmented array of more than 21 separately funded and
1-18 administered education, job training, and employment programs
1-19 operated by seven separate state agencies;
1-20 (4) this fragmented approach results in the lack of
1-21 clear accountability for results, duplication of services,
1-22 inappropriate training, and wasted resources;
1-23 (5) consolidating these various federal and state
1-24 programs in a single state-local delivery system will improve the
2-1 quality and effectiveness of services and provide Texas businesses
2-2 with an element critical to their success--a high quality
2-3 workforce; and
2-4 (6) empowering local business, labor, and community
2-5 leaders to take a more active role in their communities' economic
2-6 and workforce development will enhance the quality, efficiency, and
2-7 responsiveness of these programs.
2-8 SECTION 1.02. SHORT TITLE. Articles 2 through 7 of this Act
2-9 may be cited as the Texas Economic and Workforce Development Act.
2-10 SECTION 1.03. APPLICATION OF SUNSET ACT. The Texas
2-11 Department on Labor and Commerce is subject to Chapter 325,
2-12 Government Code (Texas Sunset Act). Unless continued in existence
2-13 as provided by that chapter, the department is abolished September
2-14 1, 2001.
2-15 SECTION 1.04. DEFINITIONS. In this Act:
2-16 (1) "Board" means the Texas Board on Labor and
2-17 Commerce.
2-18 (2) "Department" means the Texas Department on Labor
2-19 and Commerce.
2-20 (3) "Program year" means July 1 to June 30.
2-21 ARTICLE 2. TEXAS DEPARTMENT ON LABOR AND COMMERCE
2-22 SECTION 2.01. CREATION OF DEPARTMENT. The Texas Department
2-23 on Labor and Commerce is created.
2-24 SECTION 2.02. PURPOSE OF DEPARTMENT. The department is
2-25 created for the purpose of consolidating the administration and
2-26 delivery of federal and state programs for economic and workforce
2-27 development. The department is responsible for:
3-1 (1) meeting the needs of Texas business for business
3-2 development assistance, marketing Texas products, and promoting
3-3 Texas as a place to do business;
3-4 (2) meeting the needs of Texas business for a highly
3-5 skilled and productive workforce; and
3-6 (3) meeting the needs of Texas workers for education,
3-7 skills training, and labor market information to enhance their
3-8 employability and standard of living.
3-9 SECTION 2.03. JURISDICTION OF DEPARTMENT. (a) The
3-10 department administers the following programs in this state:
3-11 (1) economic development programs, including promotion
3-12 and marketing, domestic business development, international
3-13 business development, and tourism programs under Section 481.006,
3-14 Government Code, and all other programs currently administered and
3-15 all current functions and responsibilities of the Texas Department
3-16 of Commerce and its advisory boards;
3-17 (2) the Texas Job-Training Partnership Act (Article
3-18 4413(52), Vernon's Texas Civil Statutes);
3-19 (3) postsecondary vocational and technical education
3-20 programs under Chapters 31 and 130, Education Code;
3-21 (4) adult education programs under Section 11.18,
3-22 Education Code;
3-23 (5) apprenticeship programs under Chapter 33,
3-24 Education Code;
3-25 (6) the trade adjustment assistance program under Part
3-26 2, Subchapter II, Trade Act of 1974 (19 U.S.C. Section 2271 et
3-27 seq.);
4-1 (7) the Senior Texans Employment program under Chapter
4-2 101, Human Resources Code;
4-3 (8) the Smart Jobs Fund Program under Subchapter J,
4-4 Chapter 481, Government Code;
4-5 (9) the Texas Unemployment Compensation Act (Article
4-6 5221b-1 et seq., Vernon's Texas Civil Statutes);
4-7 (10) the Texas child labor law (Article 5181.1,
4-8 Vernon's Texas Civil Statutes);
4-9 (11) the Texas payday law (Article 5155, Revised
4-10 Statutes);
4-11 (12) the public information program of the Texas
4-12 Minimum Wage Act of 1970 (Article 5159d, Vernon's Texas Civil
4-13 Statutes);
4-14 (13) literacy funds available to the state under the
4-15 National Literacy Act; and
4-16 (14) the National and Community Service Act of 1990
4-17 (42 U.S.C. Section 12501 et seq.).
4-18 (b) To the fullest extent allowable under federal law the
4-19 department shall also administer:
4-20 (1) the Job Opportunities and Basic Skills program
4-21 under Part F, Subchapter IV, Social Security Act (42 U.S.C. Section
4-22 682); and
4-23 (2) the food stamp employment and training program
4-24 authorized under 7 U.S.C. Section 2015(d).
4-25 SECTION 2.04. MEMBERSHIP REQUIREMENTS. (a) The board is
4-26 composed of six members:
4-27 (1) two of whom shall be representatives of labor;
5-1 (2) two of whom shall be representatives of employers;
5-2 and
5-3 (3) two of whom shall be impartial and shall represent
5-4 the public, one of whom shall represent education interests.
5-5 (b) The board shall also have the following ex officio
5-6 nonvoting members:
5-7 (1) the chair of the Economic Development Committee of
5-8 the Texas House of Representatives; and
5-9 (2) the chair of the Economic Development Committee of
5-10 the Texas Senate.
5-11 (c) The governor shall appoint the members and make the
5-12 appointments without regard to the race, creed, sex, disability,
5-13 religion, or national origin of the appointees.
5-14 SECTION 2.05. MEMBER RESTRICTIONS. (a) A member of the
5-15 board may not engage in any other business, vocation, or employment
5-16 during the member's term on the board.
5-17 (b) A public member of the board may not be an officer,
5-18 employee, or paid consultant of a labor-oriented or
5-19 employer-oriented trade association while the member serves on the
5-20 board.
5-21 SECTION 2.06. EFFECT OF LOBBYING ACTIVITY. A person who is
5-22 required to register as a lobbyist under Chapter 305, Government
5-23 Code, may not serve as a member of the board while registered. If
5-24 the person ceases to engage in lobbying activity and files a notice
5-25 of termination as prescribed by Section 305.008, Government Code,
5-26 the person may serve as a member of the board or act as the general
5-27 counsel to the department.
6-1 SECTION 2.07. TERMS; VACANCY. (a) Members of the board are
6-2 appointed for fixed and staggered six-year terms, with one member's
6-3 term expiring on February 1 of each odd-numbered year.
6-4 (b) A member appointed to fill a vacancy shall hold office
6-5 for the remainder of that term.
6-6 SECTION 2.08. CHAIR. One of the members representing the
6-7 public is the chair of the board.
6-8 SECTION 2.09. REMOVAL OF BOARD MEMBERS. (a) It is a ground
6-9 for removal from the board by impeachment that a member:
6-10 (1) during any 60-day period, is absent from each
6-11 board meeting for which the member received at least 48 hours'
6-12 notice;
6-13 (2) is unable to discharge the member's duties for the
6-14 remainder of the term for which the member was appointed because of
6-15 illness or other disability;
6-16 (3) is absent:
6-17 (A) from more than half of the regularly
6-18 scheduled meetings of the board that the member is eligible to
6-19 attend during each calendar year; or
6-20 (B) from more than half of the regularly
6-21 scheduled meetings of the Council for Labor Workforce Development
6-22 and Education Competitiveness or the Texas Partnership for Economic
6-23 Development that the member is eligible to attend during each
6-24 calendar year;
6-25 (4) violates a prohibition established by Section 2.05
6-26 or 2.06; or
6-27 (5) fails to perform any of the duties as established
7-1 by Section 2.12.
7-2 (b) The validity of an action of the board is not affected
7-3 by the fact that it was taken when a ground for the removal of a
7-4 member of the board existed.
7-5 SECTION 2.10. GENERAL POWERS AND DUTIES. (a) The
7-6 department shall:
7-7 (1) administer all programs and corresponding federal
7-8 and state legislation consolidated under the department's authority
7-9 by this Act;
7-10 (2) determine its own organization and methods of
7-11 procedure in accordance with all applicable state and federal
7-12 legislation;
7-13 (3) promote the adoption of high skill, high
7-14 performance work organizations in Texas;
7-15 (4) promote the development and adoption of a
7-16 business- and industry-driven skill standards and certification
7-17 system that is designed to create and ensure stability but be
7-18 responsive to economic change;
7-19 (5) implement economic development policies and
7-20 programs consistent with recommendations from the Texas Partnership
7-21 for Economic Development;
7-22 (6) implement a statewide system for evaluating the
7-23 effectiveness of all workforce development programs using
7-24 administrative records of the state's unemployment compensation
7-25 program and other such sources as appropriate;
7-26 (7) support research and demonstration projects
7-27 designed to develop new programs and approaches to service
8-1 delivery;
8-2 (8) ensure standardized technical and skill-specific
8-3 curricula for all post-secondary vocational and technical programs
8-4 funded by state and federal funds;
8-5 (9) ensure that the academic curricula of the
8-6 vocational and technical programs are coordinated;
8-7 (10) advocate for the local workforce development
8-8 councils at the state and federal levels;
8-9 (11) provide for a comprehensive labor market
8-10 information system serving employers, students, workers, and state
8-11 and local planning organizations;
8-12 (12) contract with local workforce development boards
8-13 for program planning and service delivery;
8-14 (13) provide training and professional development
8-15 services for commission staff, council members, and local workforce
8-16 development boards and their staff;
8-17 (14) provide technical assistance and support to local
8-18 workforce development boards;
8-19 (15) appoint an executive director; and
8-20 (16) perform such other functions and duties as may be
8-21 required by law or assigned by the governor.
8-22 (b) The board may:
8-23 (1) adopt rules, make expenditures, enter into
8-24 contracts with public, private, and nonprofit organizations,
8-25 require reports, conduct investigations, and take other action it
8-26 considers necessary or suitable to fulfill its administrative
8-27 duties; and
9-1 (2) delegate to the executive director any power or
9-2 duty imposed on the department by law, including the authority to
9-3 make final orders or decisions, except that the board may not
9-4 delegate:
9-5 (A) the power or duty to adopt rules; and
9-6 (B) duties related to the approval and issuance
9-7 of bonds.
9-8 SECTION 2.11. TRAINING FOR LOCAL WORKFORCE DEVELOPMENT BOARD
9-9 MEMBERS. The department shall provide training either directly or
9-10 through a contracted party to all members of local workforce
9-11 development boards.
9-12 SECTION 2.12. EXECUTIVE DIRECTOR. The executive director of
9-13 the department shall:
9-14 (1) perform the duties assigned by the board and state
9-15 law and shall administer the day-to-day operations of the agency;
9-16 (2) appoint and prescribe the powers and duties of all
9-17 officers, accountants, attorneys, experts, and other persons as
9-18 necessary in the performance of the department's duties;
9-19 (3) delegate authority to persons appointed under this
9-20 section, as the executive director considers reasonable and proper,
9-21 for effective administration;
9-22 (4) bond any person that handles money or signs checks
9-23 for the department;
9-24 (5) employ personnel necessary for the administration
9-25 of the department's duties;
9-26 (6) develop an intradepartment career ladder program,
9-27 one part of which shall require the intradepartmental posting of
10-1 all nonentry-level positions concurrently with any public posting;
10-2 (7) develop a system of annual performance evaluations
10-3 based on measurable job tasks on which all merit pay for commission
10-4 employees must be based;
10-5 (8) provide to the department's employees as often as
10-6 is necessary information regarding their qualifications under this
10-7 article and their responsibilities under applicable laws relating
10-8 to standards of conduct for state officers and employees; and
10-9 (9) prepare and maintain a written policy statement
10-10 that ensures implementation of a program of equal employment
10-11 opportunity under which all personnel transactions are made without
10-12 regard to race, color, disability, sex, religion, age, or national
10-13 origin, and that must include:
10-14 (A) personnel policies, including policies
10-15 relating to recruitment, evaluation, selection, appointment,
10-16 training, and promotion of personnel;
10-17 (B) a comprehensive analysis of the department's
10-18 workforce that meets federal and state guidelines;
10-19 (C) procedures by which a determination can be
10-20 made of significant underuse in the department's workforce of all
10-21 persons for whom federal or state guidelines encourage a more
10-22 equitable balance; and
10-23 (D) reasonable methods to appropriately address
10-24 areas of significant underuse in the department's workforce of all
10-25 persons for whom federal and state guidelines encourage a more
10-26 equitable balance.
10-27 ARTICLE 3. STATE POLICY COUNCILS
11-1 PART A. TEXAS PARTNERSHIP FOR ECONOMIC DEVELOPMENT
11-2 SECTION 3.01. CREATION. The Texas Partnership for Economic
11-3 Development is an advisory board to the department.
11-4 SECTION 3.02. MEMBERSHIP. (a) The partnership is governed
11-5 by a board of 15 members composed of:
11-6 (1) seven members appointed by the governor, of which
11-7 three members must represent private industry, which may not be the
11-8 same industry, two members must represent public or higher
11-9 education, and two members must represent the public;
11-10 (2) four members appointed by the speaker of the house
11-11 of representatives, of which three members must represent private
11-12 industry, which may not be the same industry, and one member must
11-13 represent public or higher education; and
11-14 (3) four members appointed by the lieutenant governor,
11-15 of which three members must represent private industry, which may
11-16 not be the same industry, and one member must represent public or
11-17 higher education.
11-18 (b) Members of the partnership serve staggered three-year
11-19 terms, with the terms of eight members expiring February 1 of each
11-20 odd-numbered year and the terms of seven members expiring February
11-21 1 of each even-numbered year.
11-22 (c) The partnership may adopt and enforce rules necessary to
11-23 carry out this article.
11-24 (d) Before the partnership's first meeting after the regular
11-25 appointment of a member, the governor shall select a chair from the
11-26 partnership's private sector members.
11-27 (e) The partnership shall meet not less than quarterly or
12-1 more frequently at the request of the chair.
12-2 SECTION 3.03. COOPERATION. (a) Institutions of higher
12-3 education shall cooperate with the partnership and participate in
12-4 the planning efforts of the partnership.
12-5 (b) The partnership shall coordinate its efforts closely
12-6 with the governor's office and other state agencies with related
12-7 responsibilities.
12-8 SECTION 3.04. ADVISORY COMMITTEES. (a) The partnership may
12-9 appoint advisory committees composed of citizens of the state to
12-10 advise the partnership on strategies and plans addressing specific
12-11 infrastructures or sectors of the economy. In forming such
12-12 committees and task forces, the partnership shall ensure equitable
12-13 representation from both the public and private sectors. A member
12-14 of an advisory committee appointed under this section serves
12-15 without compensation but, if resources are available, may be
12-16 entitled to reimbursement of actual expenses incurred in the
12-17 performance of the member's duties.
12-18 (b) The partnership will appoint a research coordinating
12-19 committee to be composed of educators from four institutions and
12-20 private sector members. This committee role is to recommend the
12-21 plans for the rapid development application of scientific and
12-22 technological research.
12-23 SECTION 3.05. FUNCTIONS OF PARTNERSHIP. (a) The
12-24 partnership shall:
12-25 (1) develop and recommend to the governor, in concert
12-26 with the Council for Labor Workforce Development and Education, a
12-27 short- and long-range strategic plan for the state's economic and
13-1 workforce development effort;
13-2 (2) recommend to the governor the goals, objectives,
13-3 and performance standards to guide and evaluate the economic
13-4 development programs implemented by the department;
13-5 (3) monitor and evaluate the operation and results of
13-6 the state's economic development programs;
13-7 (4) serve as an advocate for the development of
13-8 high-performance work organizations in Texas business and
13-9 government;
13-10 (5) develop short-range, intermediate, and long-range
13-11 policies, programs, and recommendations necessary for the rapid
13-12 development and application of scientific and technological
13-13 research and for the development of an economic infrastructure that
13-14 will actively support the growing industrial, agricultural, and
13-15 service sectors of the state's economy;
13-16 (6) develop policies, programs, and recommendations
13-17 regarding:
13-18 (A) economic development initiatives;
13-19 (B) education and workforce development;
13-20 (C) telecommunications;
13-21 (D) finance and capital formation;
13-22 (E) research and development;
13-23 (F) production;
13-24 (G) distribution;
13-25 (H) transportation;
13-26 (I) natural resources; and
13-27 (J) export trade;
14-1 (7) develop a system to monitor and measure the impact
14-2 of recommendations developed by the partnership and those developed
14-3 by the:
14-4 (A) Texas 2000 Commission;
14-5 (B) Texas Science and Technology Council;
14-6 (C) Speaker's Task Force on Economic
14-7 Development;
14-8 (D) Strategic Economic Planning Commission
14-9 (E) Select Committee on Higher Education; and
14-10 (F) advisory committee to the Senate Committee
14-11 on Business, Technology, and Education; and
14-12 (8) encourage educators to work with business not only
14-13 to identify current needs but to help business identify new
14-14 technology and make long-term projections to ensure that there are
14-15 jobs in the future and qualified workers for those jobs.
14-16 (b) The partnership shall submit to the chair and executive
14-17 director of the department, the governor, the Senate Economic
14-18 Development Committee, the House Economic Development Committee,
14-19 the speaker of the house of representatives, and the lieutenant
14-20 governor, not later than the 180th day after the first meeting of
14-21 the partnership, a plan that includes specific goals and economic
14-22 targets and the method by which the partnership will accomplish
14-23 those goals and targets.
14-24 (c) The partnership may solicit and accept gifts, grants,
14-25 and donations from any source to carry out the duties of the
14-26 partnership.
14-27 (d) The partnership may execute interagency contracts for
15-1 the performance of services.
15-2 SECTION 3.06. PARTNERSHIP STAFFING AND SUPPORT. (a) The
15-3 partnership shall have an executive director who reports directly
15-4 to the chair and the necessary professional, technical, and support
15-5 staff required to effectively carry out its duties and
15-6 responsibilities. This staff shall be independent of the
15-7 department. Partnership staff may be augmented by staff from state
15-8 agencies temporarily assigned to assist with special projects.
15-9 (b) All state agencies shall provide complete and accurate
15-10 information in a timely manner to assist the partnership in
15-11 carrying out its responsibilities.
15-12 (c) Any federal funding for partnership staff and functions
15-13 shall be allocated in accordance with federal requirements.
15-14 (d) Additional financial support for the partnership shall
15-15 be provided by the department.
15-16 SECTION 3.07. MEETINGS. The partnership shall meet not less
15-17 than quarterly.
15-18 PART B. COUNCIL FOR LABOR WORKFORCE DEVELOPMENT AND EDUCATION
15-19 SECTION 3.08. CREATION OF COUNCIL. The Council for Labor
15-20 Workforce Development and Education is created.
15-21 SECTION 3.09. MEMBERSHIP OF COUNCIL. (a) The council shall
15-22 be appointed by the governor, who shall designate one of the
15-23 business representatives to be chair. Members shall serve
15-24 three-year, fixed and staggered terms. The membership shall
15-25 reflect the ethnic and geographic diversity of the state but may
15-26 not exceed 40 members.
15-27 (b) The council shall be composed as follows:
16-1 (1) the head of each state agency responsible for the
16-2 administration of an applicable federal or state human resource
16-3 program;
16-4 (2) one or more representatives from each of the
16-5 following categories, the total of which shall constitute not less
16-6 than 15 percent of the membership of the council:
16-7 (A) local public education;
16-8 (B) a community or technical college; and
16-9 (C) a four-year institution;
16-10 (3) one or more representatives of community-based
16-11 organizations;
16-12 (4) representatives of business and industry,
16-13 including individuals who are representing business and industry on
16-14 local workforce development boards, who shall constitute not less
16-15 than 15 percent of the membership of the council;
16-16 (5) representatives of organized labor selected from
16-17 among individuals nominated by recognized state labor federations,
16-18 who shall constitute not less than 15 percent of the membership of
16-19 the council;
16-20 (6) additional members, who may be selected from:
16-21 (A) representatives from local welfare agencies;
16-22 (B) representatives from public housing
16-23 agencies;
16-24 (C) representatives from units of general local
16-25 government or consortia of such units, appointed from nominations
16-26 made by the chief elected officials of such units or consortia;
16-27 (D) representatives from the state legislature;
17-1 (E) representatives from any state or local
17-2 program that receives funding under an applicable federal human
17-3 resource program that the governor determines to have a direct
17-4 interest in the utilization of human resources within the state;
17-5 and
17-6 (F) individuals who have special knowledge and
17-7 qualifications with respect to special education and career
17-8 development needs of hard-to-serve individuals; and
17-9 (7) members of the board, who shall serve as ex
17-10 officio, nonvoting members of the council.
17-11 (c) None of the following categories of individuals may
17-12 constitute more than 60 percent of the membership of the council:
17-13 (1) individuals selected under Subsection (b)(1) of
17-14 this section;
17-15 (2) individuals appointed under Subsection (b)(2) of
17-16 this section;
17-17 (3) individuals appointed under Subsection (b)(3) of
17-18 this section;
17-19 (4) individuals appointed under Subsection (b)(4) of
17-20 this section;
17-21 (5) individuals appointed under Subsection (b)(5) of
17-22 this section; and
17-23 (6) individuals selected under Subsection (b)(7) of
17-24 this section.
17-25 (d) The council may create committees as needed to carry out
17-26 its duties and responsibilities. The council may create technical
17-27 advisory groups composed of both council and noncouncil members to
18-1 provide assistance as needed.
18-2 SECTION 3.10. RESPONSIBILITIES AND FUNCTIONS OF COUNCIL.
18-3 (a) The council shall assume the state advisory council
18-4 responsibilities authorized under the following federal acts:
18-5 (1) the Job Training Reform Amendments of 1992;
18-6 (2) the National and Community Service Act of 1990 (42
18-7 U.S.C. Section 12501 et seq.);
18-8 (3) the Adult Education Act (20 U.S.C. Section 1201 et
18-9 seq.);
18-10 (4) the Wagner-Peyser Act (29 U.S.C. Section 49 et
18-11 seq.);
18-12 (5) Part F of Subchapter IV of the Social Security Act
18-13 (42 U.S.C. Section 681 et seq.);
18-14 (6) the employment program established under Section
18-15 6(d)(4) of the Food Stamp Act of 1977 (7 U.S.C. Section
18-16 2015(d)(4)); and
18-17 (7) the National Literacy Act.
18-18 (b) The council shall assume responsibilities for the
18-19 following state advisory councils:
18-20 (1) the Texas Literacy Council;
18-21 (2) the Apprenticeship Advisory Committee; and
18-22 (3) the Technical Advisory Committee to the State
18-23 Occupational Information Coordinating Council.
18-24 (c) The functions of the council include:
18-25 (1) ensuring the development of a well-educated,
18-26 highly skilled workforce in Texas by promoting lifetime education,
18-27 individualized learning, and community learning;
19-1 (2) serving as an advocate for the development of an
19-2 integrated workforce development system to provide quality services
19-3 addressing the needs of Texas business and workers;
19-4 (3) recommending to the governor the designation of
19-5 workforce development regions for the local planning and delivery
19-6 of workforce development programs;
19-7 (4) developing and recommending to the governor, in
19-8 concert with the Texas Partnership for Economic Development, a
19-9 long-term strategic plan for the state's economic and workforce
19-10 development effort;
19-11 (5) designing and implementing a state-local planning
19-12 process for developing goals, objectives, and performance standards
19-13 for the state's workforce development programs;
19-14 (6) recommending to the governor the goals,
19-15 objectives, and performance standards to guide and evaluate the
19-16 workforce development programs implemented by the commission;
19-17 (7) reviewing local workforce development plans and
19-18 making recommendations to the governor for approval;
19-19 (8) recommending to the governor new programs and
19-20 delivery systems to improve the efficiency and effectiveness of the
19-21 state's workforce development initiatives;
19-22 (9) reviewing the state's education, workforce
19-23 development, and human services programs and systems and making
19-24 recommendations to the governor regarding opportunities for
19-25 coordination that would improve the quality of services;
19-26 (10) monitoring and evaluating the operation and
19-27 results of the state's workforce development programs; and
20-1 (11) carrying out the federal and state mandated
20-2 duties and responsibilities for all advisory councils required
20-3 under applicable federal and state workforce development programs
20-4 consolidated under the commission.
20-5 SECTION 3.11. COUNCIL STAFFING AND SUPPORT. (a) The
20-6 council shall have an executive director, who reports directly to
20-7 the chair, and the necessary professional, technical, and support
20-8 staff required to effectively carry out its duties and
20-9 responsibilities. This staff shall be independent of the
20-10 commission. Council staff may be augmented by staff from state
20-11 agencies temporarily assigned to assist with special projects.
20-12 (b) All state agencies shall provide complete and accurate
20-13 information in a timely manner to assist the council in carrying
20-14 out its responsibilities.
20-15 (c) Any federal funding for council staff and functions
20-16 shall be allocated in accordance with federal requirements. All
20-17 expenditures shall reflect priority for the designated
20-18 responsibilities of that funding source.
20-19 (d) Each state agency represented on the council shall
20-20 provide funds for the financial support of the council's operations
20-21 at least proportional to their financial participation in the
20-22 workforce development system.
20-23 SECTION 3.12. MEETINGS. The council shall meet not less
20-24 than quarterly or more frequently at the request of the chair.
20-25 ARTICLE 4. ADVISORY COMMITTEE ON
20-26 VOCATIONAL-TECHNICAL EDUCATION
20-27 SECTION 4.01. ADVISORY COMMITTEE ON VOCATIONAL-TECHNICAL
21-1 EDUCATION. (a) The advisory committee on vocational-technical
21-2 education is created to advise the Texas Higher Education
21-3 Coordinating Board, the State Board of Education, and the
21-4 department in coordinating secondary and postsecondary
21-5 vocational-technical activities and vocational-technical teacher
21-6 education programs offered or proposed to be offered in the local
21-7 education agencies' colleges and universities of this state. The
21-8 committee shall be composed of the three members of the board,
21-9 three members from the Texas Higher Education Coordinating Board
21-10 appointed by the chair of the coordinating board, and three members
21-11 of the State Board of Education appointed by the chair of that
21-12 board. A member of the coordinating board shall be designated as
21-13 chair of the advisory committee by the chair of the coordinating
21-14 board. The committee shall hold regular annual meetings as called
21-15 by the chair.
21-16 (b) The committee shall:
21-17 (1) advise the agencies on the coordination of
21-18 secondary and postsecondary vocational-technical education and the
21-19 articulation between postsecondary vocational-technical education
21-20 and secondary vocational-technical education;
21-21 (2) facilitate the transfer of responsibilities for
21-22 the administration of postsecondary vocational-technical education
21-23 from the Texas Higher Education Coordinating Board to the
21-24 department; and
21-25 (3) advise the State Board of Vocational Education on:
21-26 (A) the allocation between secondary and
21-27 postsecondary education of funds received by the state from the
22-1 federal government under the Carl D. Perkins Vocational and
22-2 Applied Technology Education Act and other federal statutes
22-3 relating to postsecondary vocational-technical education;
22-4 (B) the transfer of federal funds to the
22-5 department for allotment to eligible public postsecondary
22-6 institutions of higher education;
22-7 (C) the vocational-technical education funding
22-8 for projects and institutions;
22-9 (D) the development and updating of the state
22-10 plan for vocational-technical education and the evaluation of
22-11 programs, services, and activities of vocational-technical
22-12 education and such amendments to the state plan for
22-13 vocational-technical education as may relate to postsecondary
22-14 education; and
22-15 (E) other matters related to postsecondary
22-16 vocational-technical education.
22-17 ARTICLE 5. DESIGNATING WORKFORCE DEVELOPMENT REGIONS
22-18 SECTION 5.01. DESIGNATING WORKFORCE DEVELOPMENT REGIONS.
22-19 (a) The governor shall, after receiving the recommendations of the
22-20 Council for Labor Workforce Development and Education, publish a
22-21 proposed designation of local workforce development regions for the
22-22 planning and delivery of workforce development services, each of
22-23 which:
22-24 (1) is composed of more than one contiguous unit of
22-25 general local government, which shall include at least one county;
22-26 (2) is consistent with either a local labor market
22-27 area, a metropolitan statistical area, one of the 24 substate
23-1 planning regions or one of the 10 uniform state service regions;
23-2 and
23-3 (3) is of such size to have the administrative
23-4 resources necessary to provide for the effective planning,
23-5 management, and delivery of workforce development services.
23-6 (b) Units of general local government, business and labor
23-7 organizations, and other affected persons and organizations shall
23-8 be given an opportunity to comment on the proposed designation of
23-9 workforce development regions and to request revisions thereof.
23-10 (c) The governor, after considering all comments and
23-11 requests for changes, shall make the final designation of workforce
23-12 development regions. The governor may redesignate workforce
23-13 development regions not more frequently than every two years. Such
23-14 redesignation shall be made not later than four months before the
23-15 beginning of a program year.
23-16 ARTICLE 6. LOCAL WORKFORCE DEVELOPMENT BOARDS
23-17 SECTION 6.01. CREATION OF LOCAL WORKFORCE DEVELOPMENT
23-18 BOARDS. (a) The chief elected officials in a workforce
23-19 development region designated by the governor under Section 5.01 of
23-20 this Act may form, in accordance with rules established by the
23-21 commission, a local workforce development board to plan, oversee,
23-22 and evaluate the delivery of all workforce development programs in
23-23 that workforce development region.
23-24 (b) Upon reaching an agreement regarding the formation of a
23-25 local workforce development board, the chief elected officials
23-26 shall reduce that agreement to writing. This local government
23-27 agreement shall include:
24-1 (1) the purpose for the agreement;
24-2 (2) the initial size of the local board;
24-3 (3) the number of members to be appointed by each
24-4 member government and their terms of office; and
24-5 (4) the selection process to be followed, which must
24-6 be consistent with applicable federal and state laws.
24-7 (c) The chief elected officials shall consider the views of
24-8 all affected local organizations before making a final decision
24-9 regarding the formation of a local workforce development board,
24-10 including the private industry councils and the quality workforce
24-11 planning committees.
24-12 (d) Until the chief elected officials in a workforce
24-13 development region are able to reach an agreement providing for the
24-14 establishment of a local workforce development board and the local
24-15 board is certified by the governor, none of the powers and duties
24-16 granted a workforce development board under this Act shall be
24-17 exercised in that region.
24-18 SECTION 6.02. MEMBERSHIP OF LOCAL BOARD. (a) A local board
24-19 shall be appointed by the chief elected officials consistent with
24-20 the local government agreement and applicable federal and state
24-21 laws. Local board members shall serve for fixed and staggered
24-22 terms and shall reflect the ethnic and geographic diversity of the
24-23 workforce development region. A local board shall be composed as
24-24 follows:
24-25 (1) representatives of the private sector, who shall
24-26 constitute a majority of the membership of the local board and who
24-27 shall be owners of business concerns, chief executives or chief
25-1 operating officers of nongovernmental employers, or other private
25-2 sector executives who have substantial management or policy
25-3 responsibilities;
25-4 (2) representatives of organized labor and
25-5 community-based organizations, who shall constitute not less than
25-6 15 percent of the membership of the local board; and
25-7 (3) representatives of each of the following:
25-8 (A) educational agencies, including
25-9 postsecondary practitioners representing vocational education,
25-10 which shall be representative of all educational agencies in the
25-11 service delivery area;
25-12 (B) vocational rehabilitation agencies;
25-13 (C) public assistance agencies;
25-14 (D) economic development agencies; and
25-15 (E) the public employment service.
25-16 (b) The chair of a local board shall be selected from among
25-17 members of the local board who are representatives of the private
25-18 sector.
25-19 (c) Private sector representatives on a local board shall be
25-20 selected from among individuals nominated by general-purpose
25-21 business organizations after consulting with and receiving
25-22 recommendations from other business organizations in the workforce
25-23 development region. The number of such nominations shall be at
25-24 least 150 percent of the number of individuals to be appointed
25-25 under Subsection (a)(1) of this section. Such nominations and the
25-26 individuals selected from such nominations shall reasonably
25-27 represent the industrial and demographic composition of the
26-1 business community. Whenever possible, at least one-half of such
26-2 business and industry representatives shall be representatives of
26-3 small business, including minority business.
26-4 (d) In this section:
26-5 (1) "General-purpose business organizations" means
26-6 organizations that admit to membership any for-profit business
26-7 operating within the workforce development area.
26-8 (2) "Small business" means private for-profit
26-9 enterprises employing 500 or fewer employees.
26-10 (e) The education representatives on a local board shall be
26-11 selected from among individuals nominated by institutions of higher
26-12 education, including entities offering adult education, or general
26-13 organizations of such institutions, within the workforce
26-14 development region.
26-15 (f) The labor representatives on a local board shall be
26-16 selected from individuals recommended by recognized state and local
26-17 labor federations. If the state or local labor federation fails to
26-18 nominate a sufficient number of individuals to meet the labor
26-19 representation requirements of Subsection (a)(2) of this section,
26-20 individual workers may be included on the council to complete the
26-21 labor representation.
26-22 (g) The remaining members of a local board shall be selected
26-23 from individuals recommended by interested organizations.
26-24 (h) A local board may create committees as needed to carry
26-25 out its duties and responsibilities. The local board may create
26-26 technical advisory groups composed of both council and noncouncil
26-27 members to provide assistance as needed.
27-1 (i) Members of a local board shall avoid the appearance of
27-2 conflict of interest by recusing themselves on votes of the local
27-3 board directly affecting the funding of their organization or any
27-4 organization that they represent.
27-5 SECTION 6.03. CERTIFICATION OF LOCAL BOARD. The governor
27-6 shall certify a local workforce development board if the governor
27-7 determines that its composition and appointments are consistent
27-8 with applicable federal and state laws and requirements. Such
27-9 certification shall be made or denied within 30 days after the date
27-10 on which a certification request is submitted to the governor.
27-11 Until certified by the governor, none of the powers and duties
27-12 granted a board under this Act shall be exercised in that workforce
27-13 development region.
27-14 SECTION 6.04. FUNCTIONS OF LOCAL BOARD. A local workforce
27-15 development board shall be directly responsible and accountable to
27-16 the department for the planning and delivery of workforce
27-17 development services in the workforce development region. The
27-18 local board shall:
27-19 (1) serve as a single point of contact for local
27-20 businesses to communicate their skill needs and influence the
27-21 direction of workforce education and training programs in the
27-22 workforce development region;
27-23 (2) develop a local plan for addressing the workforce
27-24 development needs of the workforce development region, which shall:
27-25 (A) be responsive to the goals, objectives, and
27-26 performance standards established by the governor;
27-27 (B) target services to meet local needs,
28-1 including the identification of industries and employers likely to
28-2 employ workers who complete job training programs; and
28-3 (C) ensure that the workforce development
28-4 system, including the educational system, has the flexibility to
28-5 meet the needs of local businesses;
28-6 (3) designate itself or some other entity as its
28-7 fiscal agent to be responsible and accountable for the management
28-8 of all workforce development funds available to the local board;
28-9 (4) create local workforce development centers as
28-10 established in Article 7 of this Act;
28-11 (5) review and approve all vocational and technical
28-12 training programs supported with federal or state funding to ensure
28-13 that postsecondary training provided meets the needs of local
28-14 businesses;
28-15 (6) review and approve plans for postsecondary
28-16 vocational and technical education programs to be provided in the
28-17 workforce development region;
28-18 (7) assume responsibilities of local workforce
28-19 development advisory boards and councils authorized by federal or
28-20 state laws, including but not limited to private industry councils,
28-21 quality workforce planning committees, job service employer
28-22 committees and local vocational program advisory committees, as
28-23 appropriate;
28-24 (8) monitor and evaluate the effectiveness of the
28-25 workforce development centers, other contractors providing
28-26 workforce development services for the local board, and vocational
28-27 and technical education programs operated by institutions of higher
29-1 education;
29-2 (9) have the authority to increase or decrease the
29-3 size of its membership consistent with applicable federal laws; and
29-4 (10) promote the cooperation and coordination among
29-5 public organizations, community organizations, and private business
29-6 providing workforce development services.
29-7 SECTION 6.05. BUDGET AND STAFFING. A local board shall
29-8 establish a budget for itself that must be included in the local
29-9 workforce development plan submitted to the Partnership for
29-10 Economic Development. The local board shall have such
29-11 professional, technical, and support staff as necessary to carry
29-12 out its strategic planning, oversight, and evaluation functions.
29-13 The local board staff shall be separate from and independent of any
29-14 organization providing education or workforce development services
29-15 in the workforce development region.
29-16 SECTION 6.06. APPROVAL OF FISCAL AGENT. The department
29-17 shall approve the fiscal agent selected by the local workforce
29-18 development board before the disbursement of any federal or state
29-19 workforce development funds to the local board. The department's
29-20 approval shall be based on an audit of the financial capability of
29-21 the fiscal agent to ensure the sound and efficient management of
29-22 all federal and state funds resources.
29-23 SECTION 6.07. CONTRACTING FOR SERVICE DELIVERY. A local
29-24 workforce development board may not be a direct provider of client
29-25 services. A local board may request a waiver of this requirement
29-26 from the Council for Labor Workforce Development and Education.
29-27 The request for such a waiver must include a detailed justification
30-1 based on the lack of existing alternatives for delivery of client
30-2 services in the workforce development region.
30-3 SECTION 6.08. INCENTIVES AND WAIVERS. (a) A local
30-4 workforce development board certified by the governor is eligible
30-5 for incentives and program waivers to promote and support
30-6 integrated planning and delivery of workforce development services.
30-7 (b) Incentives, to the extent feasible under existing
30-8 federal and state workforce development laws, shall include but not
30-9 be limited to:
30-10 (1) priority for discretionary funding, including
30-11 financial incentives for the consolidation of service delivery
30-12 areas authorized under the federal Job Training Partnership Act;
30-13 and
30-14 (2) block grants of formula allocated funding.
30-15 (c) The governor, in concert with the local workforce
30-16 development boards, shall identify specific barriers to integrated
30-17 service delivery at the local level, shall request waivers from
30-18 existing federal and state regulations, and shall advocate for
30-19 changes in federal and state laws to promote local service
30-20 integration.
30-21 ARTICLE 7. LOCAL DELIVERY SYSTEM
30-22 SECTION 7.01. WORKFORCE DEVELOPMENT CENTERS. A local
30-23 workforce development board shall establish workforce development
30-24 centers accessible to workers and employers throughout the
30-25 workforce development region. Each center shall provide access to
30-26 the full array of information and services available in the
30-27 workforce development region and shall address the individual needs
31-1 of workers and employers. Services available shall be tailored to
31-2 individual needs and shall include but not be limited to:
31-3 (1) labor market information, including the skills of
31-4 the area workforce, available job openings, and the education,
31-5 training, and employment opportunities in the local region, in the
31-6 state, and as feasible, in the nation;
31-7 (2) common intake and eligibility determination for
31-8 all workforce development programs and services;
31-9 (3) independent assessment of individual needs and the
31-10 development of an individual service strategy;
31-11 (4) centralized and continuous case management and
31-12 counseling;
31-13 (5) individual referral for services such as basic
31-14 education, classroom skills training, on-the-job training, and
31-15 customized training; and
31-16 (6) supportive services, including child care, loans,
31-17 and other forms of financial assistance required to participate in
31-18 and complete training.
31-19 SECTION 7.02. RIGHT TO KNOW. The local workforce
31-20 development center shall provide each individual who participates
31-21 in a vocational or technical training program with a written
31-22 document that informs the person of the likelihood of employment
31-23 and the wage level that the individual may expect on completion of
31-24 the training.
31-25 ARTICLE 8. TRANSITION PROVISIONS
31-26 SECTION 8.01. EFFECTIVE DATE; TRANSITION. (a) This Act
31-27 takes effect June 1, 1993.
32-1 (b) The Texas Department on Labor and Commerce, the Texas
32-2 Partnership for Economic Development, and the Council for Labor
32-3 Workforce Development and Education shall be appointed and
32-4 operational not later than September 1, 1993.
32-5 (c) The Texas Employment Commission is merged into the Texas
32-6 Department on Labor and Commerce on January 1, 1994. Any reference
32-7 in law to the Texas Employment Commission on or after that date
32-8 means the Texas Department on Labor and Commerce.
32-9 (d) The Texas Department of Commerce is merged into the
32-10 Texas Department on Labor and Commerce on January 1, 1994. Any
32-11 reference in law to the Texas Department of Commerce on or after
32-12 that date means the Texas Department on Labor and Commerce.
32-13 SECTION 8.02. TRANSITION OVERSIGHT COMMITTEE. (a) A
32-14 transition oversight committee is created June 1, 1993. The
32-15 committee is composed of the following members:
32-16 (1) the chair of the Texas Employment Commission;
32-17 (2) the chair of the State Job Training Coordinating
32-18 Council;
32-19 (3) the chair of the policy council of the Texas
32-20 Department of Commerce;
32-21 (4) the chair of the Texas Higher Education
32-22 Coordinating Board;
32-23 (5) the chair of the Texas Board of Human Services;
32-24 (6) the chair of the Texas Council on Vocational
32-25 Education;
32-26 (7) the chair of the Texas Board on Aging;
32-27 (8) one member representing the general public to be
33-1 appointed by the governor;
33-2 (9) one member representing the general public to be
33-3 appointed by the lieutenant governor; and
33-4 (10) one member representing the general public to be
33-5 appointed by the speaker of the house of representatives.
33-6 (b) All agencies affected by transfer are hereby directed to
33-7 cooperate with the committee in formulating and implementing a
33-8 transition plan and program.
33-9 (c) The committee shall develop and oversee the
33-10 implementation of a plan that will carry out the full effect of
33-11 this Act in an orderly fashion. The committee shall prepare a
33-12 written report relating to the transfer of workforce development
33-13 programs to the Texas Department on Labor and Commerce to be filed
33-14 with the governor, the lieutenant governor, and the speaker of the
33-15 house of representatives not later than September 1, 1993.
33-16 (d) The committee shall have the following duties and
33-17 authority:
33-18 (1) power to appoint a full-time staff person with
33-19 clerical support to assist in all duties and responsibilities of
33-20 the commission;
33-21 (2) power to have staff transferred from state
33-22 agencies to assist the committee in the implementation of its
33-23 duties and responsibilities;
33-24 (3) power to require departments to develop transition
33-25 programs and interim operating budgets as necessary for assuring
33-26 orderly transition; and
33-27 (4) power to adopt interim rules, regulations, and
34-1 procedures consistent with the intent of this Act and the laws of
34-2 the state.
34-3 (e) This section expires and the committee is abolished
34-4 September 1, 1993.
34-5 SECTION 8.03. MISCELLANEOUS TRANSITION PROVISIONS. (a) The
34-6 chief elected officials of a workforce development region may apply
34-7 for certification of a local workforce development board on or
34-8 after January 1, 1995. Chief elected officials may request a
34-9 waiver to allow them to establish a local workforce development
34-10 board before that date from the Council for Labor Workforce
34-11 Development and Education.
34-12 (b) A local workforce development board established under
34-13 this Act and certified by the governor shall establish local
34-14 workforce development centers not later than the 270th day after
34-15 the board was certified.
34-16 (c) A local workforce development board created under this
34-17 Act is required to contract with the department for the provision
34-18 of employment service functions that were previously carried out at
34-19 the local level by the Texas Employment Commission. This
34-20 subsection expires January 1, 1998.
34-21 (d) A local workforce development board shall not have
34-22 authority to approve spending for postsecondary vocational and
34-23 technical education programs until January 1, 1995.
34-24 (e) A local workforce development board shall not have
34-25 authority over funds for adult basic education and literacy
34-26 programs in the area served by the board until January 1, 1995.
34-27 SECTION 8.04. Emergency. The importance of this legislation
35-1 and the crowded condition of the calendars in both houses create an
35-2 emergency and an imperative public necessity that the
35-3 constitutional rule requiring bills to be read on three several
35-4 days in each house be suspended, and this rule is hereby suspended,
35-5 and that this Act take effect and be in force according to its
35-6 terms, and it is so enacted.