By Brimer                                       H.B. No. 3173

      75R3160 MLS-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to abolishing the Council on Workforce and Economic

 1-3     Competitiveness and transferring its duties to the division of

 1-4     workforce development of the Texas Workforce Commission.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6                   ARTICLE 1.  TRANSFER OF DUTIES OF TEXAS

 1-7             COUNCIL ON WORKFORCE AND ECONOMIC COMPETITIVENESS 

 1-8           SECTION 1.01.  The purpose of this article is to:

 1-9                 (1)  transfer the powers and duties of the Council on

1-10     Workforce and Economic Competitiveness to the division of workforce

1-11     development of the Texas Workforce Commission; and

1-12                 (2)  conform the codified law governing those powers

1-13     and duties to other Acts of the 74th Legislature, Regular Session,

1-14     1995.

1-15           SECTION 1.02.  Section 2308.002, Government Code, is amended

1-16     to read as follows:

1-17           Sec. 2308.002.  DEFINITIONS.  In this chapter:

1-18                 (1)  "Commission" means the Texas Workforce Commission

1-19     ["Administering state agency" means the agency designated by the

1-20     governor to administer the federal Job Training Partnership Act (29

1-21     U.S.C.  Section 1501 et seq.) in this state].

1-22                 (2)  "Division" means the division of workforce

1-23     development of the Texas Workforce Commission ["Council" means the

1-24     Council on Workforce and Economic Competitiveness].

 2-1                 (3)  "Local labor market" means an economically

 2-2     integrated geographical area within which individuals may reside

 2-3     and find employment within a reasonable distance.

 2-4                 (4) [(3)]  "Workforce development" includes workforce

 2-5     education and workforce training and services.

 2-6                 (5) [(4)]  "Workforce education" means articulated

 2-7     career-path programs and the constituent courses of those programs

 2-8     that lead to initial or continuing licensing or certification or

 2-9     associate degree-level accreditation and that:

2-10                       (A)  are subject to:

2-11                             (i) [(A)]  initial and ongoing state

2-12     approval or regional or specialized accreditation;

2-13                             (ii) [(B)]  a formal state evaluation that

2-14     provides the basis for program continuation or termination;

2-15                             (iii) [(C)]  state accountability and

2-16     performance standards; and

2-17                             (iv) [(D)]  a regional or statewide

2-18     documentation of the market demand for labor according to

2-19     employers' needs; or

2-20                       (B)  are subject to approval by the Texas Higher

2-21     Education Coordinating Board as adult vocational or continuing

2-22     education courses.

2-23                 (6) [(5)]  "Workforce training and services" means

2-24     training and services programs that are not workforce education.

2-25           SECTION 1.03.  Chapter 2308, Government Code, is amended by

2-26     amending the heading of Subchapter C to read as follows:

2-27        SUBCHAPTER C.  [COUNCIL] DUTIES AND POWERS OF THE DIVISION OF

 3-1                   WORKFORCE DEVELOPMENT OF THE COMMISSION

 3-2           SECTION 1.04.  Section 2308.101, Government Code, is amended

 3-3     to read as follows:

 3-4           Sec. 2308.101.  GENERAL DUTIES.  The division [council]

 3-5     shall:

 3-6                 (1)  promote the development of a well-educated, highly

 3-7     skilled workforce in this state [through literacy, adult basic

 3-8     education, community education, apprenticeship, and

 3-9     state-of-the-art occupational skills education and training

3-10     programs];

3-11                 (2)  [serve as an] advocate [for] the development of an

3-12     integrated workforce development system to provide quality services

3-13     addressing the needs of business and workers in this state;

3-14                 (3)  [promote and assist in the development of an

3-15     industry-based skills standards and certification system for

3-16     occupations requiring less than a baccalaureate-level education and

3-17     training;]

3-18                 [(4)  promote the development of workplaces of high

3-19     productivity in this state;]

3-20                 [(5)  recommend to the governor the components of a

3-21     school and training-to-work transition process;]

3-22                 [(6)]  recommend to the governor the designation or

3-23     redesignation of workforce development areas for the local planning

3-24     and delivery of workforce development;

3-25                 (4) [(7)]  identify and recommend to the governor

3-26     incentives to encourage the consolidation, on a regional labor

3-27     market basis, of:

 4-1                       (A)  local boards, councils, and committees; and

 4-2                       (B)  service delivery areas authorized under the

 4-3     Job Training Partnership Act (29 U.S.C. Section 1501 et seq.);

 4-4                 (5) [(8)  design and implement a combined state and

 4-5     local planning process for the state's workforce training and

 4-6     services;]

 4-7                 [(9)]  review plans for local workforce training and

 4-8     services and make recommendations to the governor for approval;

 4-9                 (6)  evaluate [(10)  implement a statewide system for

4-10     evaluating] the effectiveness of all workforce development using

4-11     the administrative records of the state's unemployment compensation

4-12     program and other sources as appropriate;

4-13                 (7) [(11)]  support research and demonstration projects

4-14     designed to develop new programs and approaches to service

4-15     delivery;

4-16                 (8)  recommend measures to [(12)  provide for training

4-17     and professional development for council members, local chief

4-18     elected officials, local workforce development boards and staff,

4-19     and private industry councils and staff;]

4-20                 [(13)  serve as an advocate at the state and federal

4-21     levels for the local workforce development boards;]

4-22                 [(14)  establish and operate a comprehensive labor

4-23     market information system that serves employers, students, workers,

4-24     and state and local planning organizations;]

4-25                 [(15)]  ensure that occupational skills training is:

4-26                       (A)  provided in occupations that are locally in

4-27     demand; and

 5-1                       (B)  directed toward high-skill and high-wage

 5-2     jobs;

 5-3                 (9)  monitor [(16)  oversee] the operation of the

 5-4     state's workforce development programs to assess the degree to

 5-5     which these programs are effective in achieving state and local

 5-6     goals and objectives;

 5-7                 (10) [(17)]  develop and recommend to the governor

 5-8     criteria for the establishment of local workforce development

 5-9     boards; and

5-10                 (11) [(18)  develop objective criteria for granting

5-11     waivers allowed under this chapter;]

5-12                 [(19)  develop and recommend to the governor a plan to

5-13     ensure the accessibility of workforce development to clients that

5-14     includes a uniform statewide client application system to determine

5-15     an applicant's eligibility for workforce development for which

5-16     state or federal financial assistance is available; and]

5-17                 [(20)]  carry out the federal and state duties and

5-18     responsibilities of advisory councils under applicable federal and

5-19     state workforce development.

5-20           SECTION 1.05.   Section 2308.102, Government Code, is amended

5-21     to read as follows:

5-22           Sec. 2308.102. ASSUMPTION OF DUTIES AND RESPONSIBILITIES.

5-23     (a) The division [council] shall assume the duty to:

5-24                 (1)  develop, with the assistance of each appropriate

5-25     state agency, and recommend to the governor state plans required by

5-26     applicable federal law in order for the state to receive federal

5-27     funds;

 6-1                 (2)  make policy recommendations to the governor on

 6-2     goals and priorities for formula and discretionary funds for all

 6-3     applicable programs;

 6-4                 (3)  participate directly in the development of the

 6-5     master plan for vocational education, as required by law, and

 6-6     recommend the plan to the State Board of Education, the Texas

 6-7     Higher Education Coordinating Board, and the governor;

 6-8                 (4)  ensure that general revenue funds previously

 6-9     available to the Texas Literacy Council are used to support the

6-10     efforts of local literacy councils in a manner consistent with the

6-11     state strategic plan;

6-12                 (5)  recommend to the State Board of Vocational

6-13     Education the division of federal funds between secondary and

6-14     postsecondary educational agencies under the Carl D. Perkins

6-15     Vocational and Applied Technology Education Act (20 U.S.C. Section

6-16     2301 et seq.);  and

6-17                 (6)  make recommendations to the commission [Texas

6-18     Employment Commission] on unemployment insurance issues pertinent

6-19     to the responsibilities of the division [council].

6-20           (b)  The division [council] shall assume the responsibilities

6-21     assigned to the state advisory council under the following federal

6-22     laws:

6-23                 (1)  the Job Training Partnership Act (29 U.S.C.

6-24     Section 1501 et seq.);

6-25                 (2)  the Carl D. Perkins Vocational and Applied

6-26     Technology Education Act (20 U.S.C. Section 2301 et seq.);

6-27                 (3)  the National and Community Service Act of 1990 (42

 7-1     U.S.C. Section 12501 et seq.);

 7-2                 (4)  the Adult Education Act (20 U.S.C. Section 1201 et

 7-3     seq.);

 7-4                 (5)  the Wagner-Peyser Act (29 U.S.C. Section 49 et

 7-5     seq.);

 7-6                 (6)  Part F, Subchapter IV, Social Security Act (42

 7-7     U.S.C.  Section 681 et seq.);

 7-8                 (7)  the employment program established under Section

 7-9     6(d)(4), Food Stamp Act of 1977 (7 U.S.C. Section 2015(d)(4));  and

7-10                 (8)  the National Literacy Act of 1991 (20 U.S.C.

7-11     Section 1201 et seq.).

7-12           (c)  The division [council] shall assume the responsibilities

7-13     formerly exercised by the following state advisory councils and

7-14     committees:

7-15                 (1)  the State Job Training Coordinating Council;

7-16                 (2)  the Texas Council on Vocational Education;

7-17                 (3)  [the technical advisory committee to the State

7-18     Occupational Information Coordinating Council;]

7-19                 [(4)]  the Texas Literacy Council; and

7-20                 (4) [(5)]  the Apprenticeship and Training Advisory

7-21     Committee.

7-22           SECTION 1.06.   Section 2308.103, Government Code, is amended

7-23     to read as follows:

7-24           Sec. 2308.103.  ADDITIONAL POWERS [AND LIMITATIONS].  [(a)]

7-25     The division [council] may:

7-26                 (1)  adopt rules essential to the internal functions

7-27     and duties of the division [council];

 8-1                 (2)  make expenditures, enter into contracts with

 8-2     public, private, and nonprofit organizations or agencies, require

 8-3     reports to be made, conduct investigations, and take other actions

 8-4     necessary or suitable to fulfill the division's [council's] duties

 8-5     under this chapter;

 8-6                 (3)  delegate to the executive director any power or

 8-7     duty imposed on the division [council] by law, including the

 8-8     authority to make a final order or decision;

 8-9                 (4)  provide for the mediation or arbitration of

8-10     disputes between agencies that perform functions for state and

8-11     federal programs as provided by this chapter;

8-12                 (5)  accept gifts, grants, and donations of money,

8-13     goods, or services to be used only to accomplish the division's

8-14     [council's] duties under this chapter;  and

8-15                 (6)  share employees with another state agency.

8-16           [(b)  The council may not:]

8-17                 [(1)  adopt rules related to the operation of workforce

8-18     development; or]

8-19                 [(2)  delegate to the executive director the authority

8-20     to adopt rules.]

8-21           SECTION 1.07.  Section 2308.104, Government Code, is amended

8-22     to read as follows:

8-23           Sec. 2308.104.  STRATEGIC PLAN.  (a) The division [council]

8-24     shall develop and recommend to the governor a single strategic plan

8-25     that establishes the framework for the budgeting and operation of

8-26     all workforce development programs, including school to work

8-27     transition programs [administered by agencies represented on the

 9-1     council].

 9-2           (b)  In addition to the other requirements of this chapter,

 9-3     the strategic plan recommended by the division [council] must

 9-4     recognize and address literacy and basic education as activities

 9-5     that are critical to the well-being of individuals and the state

 9-6     without regard to whether the training and education is directed at

 9-7     preparing an individual for employment.

 9-8           (c)  The division [council] shall include in the strategic

 9-9     plan goals, objectives, and performance measures for all workforce

9-10     development programs [of state agencies that are represented on the

9-11     council].

9-12           [(d)  On approval of the plan by the governor, an agency

9-13     represented on the council shall use the strategic plan to develop

9-14     the agency's operational plan.]

9-15           SECTION 1.08.  Section 2308.105, Government Code, is amended

9-16     to read as follows:

9-17           Sec. 2308.105.  LOCAL SERVICE INTEGRATION.  The governor,

9-18     with the division [council] and the local workforce development

9-19     boards, shall:

9-20                 (1)  identify specific barriers to integrated service

9-21     delivery at the local level;

9-22                 (2)  request waivers from federal and state

9-23     regulations;  and

9-24                 (3)  advocate changes in federal and state laws to

9-25     promote local service integration.

9-26           SECTION 1.09.  Section 2308.106, Government Code, is amended

9-27     to read as follows:

 10-1          Sec. 2308.106.  DIVISION [COUNCIL] ASSISTANCE.  The division

 10-2    [council] shall assist a local workforce development board in

 10-3    designing effective measures to accomplish the board's

 10-4    responsibilities under Section 2308.302.

 10-5          SECTION 1.10.  Section 2308.151, Government Code, is amended

 10-6    to read as follows:

 10-7          Sec. 2308.151.  ESTABLISHMENT OF EVALUATION SYSTEM.  The

 10-8    division [council] shall establish and maintain an automated

 10-9    follow-up and evaluation system derived from appropriate available

10-10    information, including:

10-11                (1)  unemployment insurance wage records maintained by

10-12    the commission [Texas Employment Commission]; and

10-13                (2)  student follow-up information available through

10-14    the Texas Higher Education Coordinating Board.

10-15          SECTION 1.11.  Section 2308.152, Government Code, is amended

10-16    to read as follows:

10-17          Sec. 2308.152.  USE OF EVALUATION SYSTEM.  The follow-up and

10-18    evaluation system shall be used to assist the division [council],

10-19    local workforce development boards, institution boards, the Texas

10-20    Higher Education Coordinating Board, the Central Education Agency,

10-21    and other agencies in evaluating the labor market success and

10-22    effectiveness of workforce development in this state.

10-23          SECTION 1.12.  Sections 2308.153(a) and (c), Government Code,

10-24    are amended to read as follows:

10-25          (a)  The Texas Education Agency, the Texas Higher Education

10-26    Coordinating Board, the Texas Department of Human Services, and the

10-27    Texas Department  of Commerce [Each state agency represented on the

 11-1    council] shall provide information to support the division's

 11-2    [council's] follow-up and evaluation system as requested.

 11-3          (c)  The division [council] may develop a method for

 11-4    collecting occupational information to supplement wage record

 11-5    information collected by the commission [Texas Employment

 11-6    Commission].  The division [council] may request employers,

 11-7    providers, and other  appropriate sources to provide placement,

 11-8    employment, and earnings information to the division [council].

 11-9          SECTION 1.13.  Section 2308.154, Government Code, is amended

11-10    to read as follows:

11-11          Sec. 2308.154.  ANALYSIS.  At least annually, the division

11-12    [council] shall issue an analysis, by occupation and by the

11-13    provider of the job placement performance, of each workforce

11-14    education program for the previous one-year, three-year, and

11-15    five-year periods to:

11-16                (1)  each provider of workforce education or workforce

11-17    training and services;

11-18                (2)  the Texas Higher Education Coordinating Board for

11-19    each provider of workforce education approved and administered by

11-20    the board; and

11-21                (3)  each local workforce development board for each

11-22    provider of workforce training and services within the workforce

11-23    development area.

11-24          SECTION 1.14.  Section 2308.156, Government Code, is amended

11-25    to read as follows:

11-26          Sec. 2308.156.  USE BY DIVISION [COUNCIL] AND LOCAL WORKFORCE

11-27    DEVELOPMENT BOARD.  The division [council] and each local workforce

 12-1    development board shall use the information under this subchapter

 12-2    and other information to determine whether a specific workforce

 12-3    training and services program administered by the local board is

 12-4    effective and whether to continue the training and services

 12-5    program.

 12-6          SECTION 1.15.  Chapter 2308, Government Code, is amended by

 12-7    amending the heading of Subchapter E to read as follows:

 12-8           SUBCHAPTER E. DIVISION [COUNCIL] RECOMMENDATIONS AND

 12-9                     IMPLEMENTATION BY STATE AGENCIES

12-10          SECTION 1.16.  Section 2308.201, Government Code, is amended

12-11    to read as follows:

12-12          Sec. 2308.201.  DEVELOPMENT OF RECOMMENDATIONS.  The division

12-13    [council] shall develop recommendations periodically in each of the

12-14    division's [council's] areas of responsibility and shall submit the

12-15    recommendations to the governor.

12-16          SECTION 1.17.  Section 2308.202(c), Government Code, is

12-17    amended to read as follows:

12-18          (c)  The governor shall:

12-19                (1)  return the recommendations to the division

12-20    [council] to be forwarded as appropriate;  or

12-21                (2)  forward an approved or modified recommendation

12-22    without returning the recommendation to the division [council].

12-23          SECTION 1.18.  Section 2308.203, Government Code, is amended

12-24    to read as follows:

12-25          Sec. 2308.203.  ACTION BY STATE AGENCIES.  (a)  A state

12-26    agency that is responsible for the administration of human

12-27    resources and workforce development in this state shall implement a

 13-1    recommendation under this subchapter if the recommendation does not

 13-2    violate a federal or state law[, regulation, or rule].

 13-3          (b)  A state agency shall:

 13-4                (1)  provide requested information to the division

 13-5    [council] in a timely manner;

 13-6                (2)  report on the implementation of the division's

 13-7    [council's] recommendations at the time and in the format requested

 13-8    by the division [council];  and

 13-9                (3)  notify the governor, the executive director, and

13-10    the executive director [presiding officer] of the division

13-11    [council] if the agency determines that a recommendation cannot be

13-12    implemented.

13-13          SECTION 1.19.  Section 2308.205, Government Code, is amended

13-14    to read as follows:

13-15          Sec. 2308.205.  FUND AVAILABILITY AND SERVICES.  The Texas

13-16    Education Agency, the Texas Higher Education Coordinating Board,

13-17    the Texas Department of Human Services, and the Texas Department of

13-18    Commerce [A state agency represented on the council] shall provide

13-19    to the division [council] and each local workforce development

13-20    board an estimate of fund availability and services provided by the

13-21    state agency in each local workforce development area.

13-22          SECTION 1.20.  Section 2308.206, Government Code, is amended

13-23    to read as follows:

13-24          Sec. 2308.206.  PROVISION OF SERVICES BY STATE AGENCIES.  The

13-25    Texas Education Agency, the Texas Higher Education Coordinating

13-26    Board, the Texas Department of Human Services, and the Texas

13-27    Department of Commerce [A state agency represented on the council]

 14-1    shall, consistent with state and federal law, provide workforce

 14-2    training and services in accordance with the local workforce

 14-3    development plan developed by the local workforce development board

 14-4    and approved by the governor and shall implement rules and policies

 14-5    consistent with the plan.

 14-6          SECTION 1.21.  Section 2308.252(a), Government Code, is

 14-7    amended to read as follows:

 14-8          (a)  The governor shall, after receiving the recommendations

 14-9    of the division [council], publish a proposed designation of local

14-10    workforce development areas for the planning and delivery of

14-11    workforce development.

14-12          SECTION 1.22.  Section 2308.253, Government Code, is amended

14-13    to read as follows:

14-14          Sec. 2308.253.  CREATION OF LOCAL WORKFORCE DEVELOPMENT

14-15    BOARDS.  (a)  The chief elected officials in a workforce

14-16    development area may form, in accordance with rules established by

14-17    the commission [council], a local workforce development board to:

14-18                (1)  plan and oversee the delivery of workforce

14-19    training and services; and

14-20                (2)  evaluate workforce development in the workforce

14-21    development area.

14-22          (b)  The authority granted under Subsection (a) does not give

14-23    a local workforce development board any direct authority or control

14-24    over workforce funds and programs in its workforce development

14-25    area, other than programs funded through that board.

14-26          (c)  Before a local workforce development board may be

14-27    created, at least three-fourths of the chief elected officials in

 15-1    the workforce development area who represent units of general local

 15-2    government must agree to the creation of the board, including all

 15-3    of the chief elected officials who represent units of general local

 15-4    government that have populations of at least 200,000.  The elected

 15-5    officials who agree to the creation of the board must represent at

 15-6    least 75 percent of the population of the workforce development

 15-7    area.

 15-8          (d)  The chief elected officials shall consider the views of

 15-9    all affected local organizations, including private industry

15-10    councils and quality workforce planning committees, before making a

15-11    final decision on the formation of a board.

15-12          (e) [(c)]  An agreement on the formation of a board must be

15-13    in writing and must include:

15-14                (1)  the purpose for the agreement;

15-15                (2)  the process to be used to select the chief elected

15-16    official who will act on behalf of the other chief elected

15-17    officials;

15-18                (3)  the process to be used to keep the chief elected

15-19    officials informed regarding local workforce development

15-20    activities;

15-21                (4)  the initial size of the board;

15-22                (5)  how resources allocated to the local workforce

15-23    development area are to be shared among the parties to the

15-24    agreement;

15-25                (6) [(4)]  the process, consistent with applicable

15-26    federal and state law, for the appointment of the board members;

15-27    and

 16-1                (7) [(5)]  the terms of office of the board members.

 16-2          (f)  In a state planning area in which there is more than one

 16-3    local workforce development area, the quality workforce planning

 16-4    committee of that state planning area shall continue in existence

 16-5    to provide labor market information for the entire state planning

 16-6    area until local workforce development boards are certified in each

 16-7    workforce development area in that state planning area.

 16-8          SECTION 1.23.  Section 2308.260, Government Code, is amended

 16-9    to read as follows:

16-10          Sec. 2308.260.  TECHNICAL ADVISORY GROUPS.  A board may

16-11    create technical advisory groups composed of both division

16-12    [council] and non-division [noncouncil] members to provide

16-13    assistance to the board.

16-14          SECTION 1.24.  Section 2308.262, Government Code, is amended

16-15    to read as follows:

16-16          Sec. 2308.262.  BUDGET.  A board shall adopt a budget for the

16-17    board that must be included in the local workforce development plan

16-18    submitted to the division [council].

16-19          SECTION 1.25.  Sections 2308.264(b) and (d), Government Code,

16-20    are amended to read as follows:

16-21          (b)  A board may request from the division [council] a waiver

16-22    of Subsection (a).

16-23          (d)  If a board receives a waiver to provide workforce

16-24    training and services, the evaluation of results and outcomes is

16-25    provided by the division [council].

16-26          SECTION 1.26.  Sections 2308.267(a) and (c), Government Code,

16-27    are amended to read as follows:

 17-1          (a)  A board may employ professional, technical, and support

 17-2    staff to carry out its [strategic] planning, oversight, and

 17-3    evaluation functions.

 17-4          (c)  The requirement for separate staffing does not preclude

 17-5    a board from designating a qualified organization to provide staff

 17-6    services to the board if the board:

 17-7                (1)  arranges for independent evaluation of any other

 17-8    workforce services provided by the staffing organization; and

 17-9                (2)  requests and obtains from the division [council] a

17-10    waiver of the separate staffing requirement.

17-11          SECTION 1.27.  Sections 2308.268(a), (b), and (c), Government

17-12    Code, are amended to read as follows:

17-13          (a)  The division [council] shall provide technical

17-14    assistance to local workforce development areas that do not meet

17-15    performance standards established under this chapter and other

17-16    applicable federal and state law.

17-17          (b)  If a local workforce development area does not meet

17-18    performance standards for two consecutive program years, the

17-19    division [council] shall develop and impose a reorganization plan

17-20    that may include:

17-21                (1)  restructuring the board;

17-22                (2)  prohibiting the use of designated service

17-23    providers, including state agencies; and

17-24                (3)  merging the local workforce development area with

17-25    another area.

17-26          (c)  If nonperformance is directly attributable to a specific

17-27    state agency, the division [council] may select an alternative

 18-1    provider.

 18-2          SECTION 1.28.  Section 2308.269, Government Code, is amended

 18-3    to read as follows:

 18-4          Sec. 2308.269.  SANCTIONS FOR LACK OF FISCAL ACCOUNTABILITY.

 18-5    If, as a result of financial and compliance audits or for another

 18-6    reason, the administering state agency finds a substantial

 18-7    violation of a specific provision of this chapter or another

 18-8    federal or state law or regulation and corrective action has not

 18-9    been taken, the division [council] shall:

18-10                (1)  issue a notice of intent to revoke all or part of

18-11    the affected local plan;

18-12                (2)  issue a notice of intent to cease immediately

18-13    reimbursement of local program costs; or

18-14                (3)  impose a reorganization plan under Section

18-15    2308.268 for the local workforce development area.

18-16          SECTION 1.29.  Section 2308.302, Government Code, is amended

18-17    to read as follows:

18-18          Sec. 2308.302.  RESPONSIBILITY OF BOARD.  (a)  A board is

18-19    directly responsible and accountable to the division [council] for

18-20    the planning and oversight of all workforce training and services

18-21    and the evaluation of all workforce development programs in the

18-22    workforce development area.  A board shall ensure effective

18-23    outcomes consistent with statewide goals, objectives, and

18-24    performance standards approved by the governor.

18-25          (b)  A board is directly responsible to the division for the

18-26    operational planning and administration of all workforce training

18-27    and services funded through the commission to the local area

 19-1    [administering state agency].

 19-2          SECTION 1.30.  Section 2308.305, Government Code, is amended

 19-3    to read as follows:

 19-4          Sec. 2308.305.  USE OF LABOR MARKET INFORMATION SYSTEM.   A

 19-5    board[, in conjunction with the council,] shall review, verify,

 19-6    modify, and use local labor market information developed through

 19-7    the state's [establish and operate an automated, interactive] labor

 19-8    market information system to identify, by occupation, the labor

 19-9    demand by employers in each workforce development area.

19-10          SECTION 1.31.  Section 2308.311(b), Government Code, is

19-11    amended to read as follows:

19-12          (b)  A board, with the assistance of the labor demand

19-13    occupation report, shall evaluate the supply of

19-14    vocational-technical programs in relation to the demand for the

19-15    programs and report any discrepancies between supply and demand to

19-16    the appropriate educational institution, the Central Education

19-17    Agency, the Texas Higher Education Coordinating Board, the division

19-18    [council], and the Legislative Budget Board.

19-19                     ARTICLE 2.  CONFORMING AMENDMENTS

19-20          SECTION 2.01.  Section 19.011, Education Code, is amended to

19-21    read as follows:

19-22          Sec. 19.011.  COORDINATION WITH OTHER STATE AGENCIES.  (a)

19-23    In order to achieve the goals stated in Section 19.003, the

19-24    district with the cooperation of the Health and Human Services

19-25    Commission, the division of workforce development of the Texas

19-26    Workforce Commission [Council on Workforce and Economic

19-27    Competitiveness], the Texas Department of Commerce, and the

 20-1    department shall provide persons confined or imprisoned in the

 20-2    department:

 20-3                (1)  information from local workforce and development

 20-4    boards on job training and employment referral services;

 20-5                (2)  information on the tax refund voucher program

 20-6    under Subchapter D, Chapter 31, Human Resources Code; and

 20-7                (3)  information on the smart jobs fund program.

 20-8          (b)  The district may coordinate vocational education and job

 20-9    training programs with a local workforce development board

20-10    authorized by the division of workforce development of the Texas

20-11    Workforce Commission [Council on Workforce and Economic

20-12    Competitiveness].

20-13          SECTION 2.02.  Section 30.103, Education Code, is amended to

20-14    read as follows:

20-15          Sec. 30.103.  MEMORANDUM OF UNDERSTANDING.  The Texas Youth

20-16    Commission with the assistance of the division of workforce

20-17    development of the Texas Workforce Commission [Texas Employment

20-18    Commission and the Council on Workforce and Economic

20-19    Competitiveness] shall by rule adopt a memorandum of understanding

20-20    that establishes the respective responsibility of those entities to

20-21    provide through local workforce development boards job training and

20-22    employment assistance programs to children committed or formerly

20-23    sentenced to the Texas Youth Commission.  The Texas Youth

20-24    Commission shall coordinate the development of the memorandum of

20-25    understanding and include in its annual report information

20-26    describing the number of children in the preceding year receiving

20-27    services under the memorandum.

 21-1          SECTION 2.03.  Section 61.051(f), Education Code, is amended

 21-2    to read as follows:

 21-3          (f)  The board shall encourage and develop new certificate

 21-4    programs in technical and vocational education in Texas public

 21-5    technical institutes and public community colleges as the needs of

 21-6    technology and industry may demand and shall recommend the

 21-7    elimination of such programs for which a need no longer exists.

 21-8    The board shall conduct a review of the certificate programs at

 21-9    least every four years or on the request of the division of

21-10    workforce development of the Texas Workforce Commission [Council on

21-11    Workforce and Economic Competitiveness] and shall terminate a

21-12    program that does not meet performance review standards and other

21-13    criteria established by the board.  The board shall assume the

21-14    leadership role and administrative responsibilities for state level

21-15    administration of postsecondary technical-vocational education

21-16    programs in Texas public community colleges, public technical

21-17    institutes, and other eligible public postsecondary institutions.

21-18    The board shall ensure that standardized minimum technical and

21-19    skill-specific competency and performance standards for each

21-20    workforce education program, as developed by the division of

21-21    workforce development of the Texas Workforce Commission [Council on

21-22    Workforce and  Economic Competitiveness], are used in the board's

21-23    review, approval, or disapproval of a vocational and technical

21-24    program financed by state and federal funds.

21-25          SECTION 2.04.  Section 61.077, Education Code, is amended to

21-26    read as follows:

21-27          Sec. 61.077.  JOINT ADVISORY COMMITTEE.  (a)  A joint

 22-1    advisory committee shall advise the Texas Higher Education

 22-2    Coordinating Board and the State Board of Education in coordinating

 22-3    postsecondary career and technology activities, career and

 22-4    technology teacher education programs offered or proposed to be

 22-5    offered in the colleges and universities of this state, and other

 22-6    relevant matters, including those listed in Section 61.076 of this

 22-7    code.  The committee shall be composed of three members from the

 22-8    State Board of Education, appointed by the chairman of the board

 22-9    and three members from the Texas Higher Education Coordinating

22-10    Board, appointed by the chairman of the board, one member

22-11    designated by the presiding officer of the division of workforce

22-12    development of the Texas Workforce Commission [Council on Workforce

22-13    and Economic Competitiveness], and one member representing business

22-14    designated by the chair of the Texas Partnership for Economic

22-15    Development.  A member of the board shall be designated as chairman

22-16    of the joint advisory committee by the chairman of the board.  The

22-17    committee shall hold regular annual meetings as called by the

22-18    chairman.

22-19          (b)  The purposes of this committee shall include the

22-20    following:

22-21                (1)  to advise the two boards on the coordination of

22-22    postsecondary career and technology education and the articulation

22-23    between postsecondary career and technology education and secondary

22-24    career and technology education;

22-25                (2)  to facilitate the transfer of responsibilities for

22-26    the administration of postsecondary career and technology education

22-27    from the State Board of Education to the board in accordance with

 23-1    Section 111(a)(I) of the Carl D. Perkins Vocational Education Act,

 23-2    Public Law 98-524;

 23-3                (3)  to advise the State Board of Education, when it

 23-4    acts as the State Board for Career and Technology Education, on the

 23-5    following:

 23-6                      (A)  the transfer of federal funds to the board

 23-7    for allotment to eligible public postsecondary institutions of

 23-8    higher education;

 23-9                      (B)  the career and technology education funding

23-10    for projects and institutions as determined by the board when the

23-11    State Board for Career and Technology Education is required by

23-12    federal law to endorse such determinations;

23-13                      (C)  the development and updating of the state

23-14    plan for career and technology education and the evaluation of

23-15    programs, services, and activities of postsecondary career and

23-16    technology education and such amendments to the state plan for

23-17    career and technology education as may relate to postsecondary

23-18    education;

23-19                      (D)  other matters related to postsecondary

23-20    career and technology education; and

23-21                      (E)  the coordination of curricula, instructional

23-22    programs, research, and other functions as appropriate, including

23-23    areas listed in Section 61.076 of this code, school-to-work and

23-24    school-to-college transition programs, and professional development

23-25    activities; and

23-26                (4)  to advise the division of workforce development of

23-27    the Texas Workforce Commission [Council on Workforce and Economic

 24-1    Competitiveness] on educational policy issues related to workforce

 24-2    preparation.

 24-3          SECTION 2.05.  Sections 76.014(a) and (c), Government Code,

 24-4    are amended to read as follows:

 24-5          (a)  A department, with the assistance of the Texas Workforce

 24-6    Commission, local workforce development boards  [public school

 24-7    districts, community and public junior colleges, public and private

 24-8    institutions of higher education], and other appropriate public and

 24-9    private entities, may establish a developmental program for a

24-10    defendant under the supervision of the department on the basis of

24-11    information obtained in the presentence investigation report

24-12    prepared for the defendant.

24-13          (c)  To decrease expenditures by departments for the

24-14    educational and vocational skills assessment and enhancement

24-15    program established under this section, the Texas Department of

24-16    Commerce shall provide information to departments, the Texas

24-17    Workforce Commission, local workforce development boards [public

24-18    school districts, community and public junior colleges, public and

24-19    private institutions of higher education], and other appropriate

24-20    public and private entities for obtaining financial assistance

24-21    through programs under Chapter 301, Labor Code, and other

24-22    applicable programs of public or private entities.

24-23          SECTION 2.06.  Sections 481.026(a) and (b), Government Code,

24-24    are amended to read as follows:

24-25          (a)  In this section, "division" ["council"] means the

24-26    division of workforce development of the Texas Workforce Commission

24-27    [Council on  Workforce and Economic Competitiveness].

 25-1          (b)  The division [council] shall:

 25-2                (1)  advise the governor, [the Texas Workforce

 25-3    Commission,] the State Board of Education, the Texas Higher

 25-4    Education Coordinating Board, and any group interested in literacy

 25-5    on policy, planning, research, and program development;

 25-6                (2)  coordinate the development and maintenance of a

 25-7    literacy services delivery system;

 25-8                (3)  oversee the attainment of the state's literacy

 25-9    goals;

25-10                (4)  build a partnership with the private sector in

25-11    order to inform the objectives-setting process and to gain

25-12    acceptance of the services of a functional literacy program;

25-13                (5)  provide state leadership to encourage and support

25-14    local and statewide literacy efforts;

25-15                (6)  advocate the importance of literacy to ensure that

25-16    all in need of assistance understand the benefits of increased

25-17    functional literacy and to ensure that the necessary resources are

25-18    available;

25-19                (7)  make literacy instruction available to adults and

25-20    out-of-school youth by ensuring that a comprehensive literacy

25-21    instruction capacity is present in every Texas community;

25-22                (8)  coordinate and improve local literacy instruction

25-23    to ensure the most efficient and effective use of resources to meet

25-24    adult education goals;

25-25                (9)  identify state and local literacy programs and

25-26    enter them in a directory for centralized referral and

25-27    communication;

 26-1                (10)  continue oversight of literacy needs analysis;

 26-2                (11)  continue to develop an awareness campaign;

 26-3                (12)  develop a timetable and objectives for reaching

 26-4    the proposed goals and subgoals;  and

 26-5                (13)  make recommendations to the governor, lieutenant

 26-6    governor, and speaker of the house of representatives or other

 26-7    state officials or organizations that it considers appropriate

 26-8    regarding the expenditure of funds and the administration of

 26-9    programs.

26-10          SECTION 2.07.  Section 497.094(b), Government Code, is

26-11    amended to read as follows:

26-12          (b)  The department and the division of workforce development

26-13    of the Texas Workforce Commission [Council on Workforce and

26-14    Economic  Competitiveness] by rule shall adopt a memorandum of

26-15    understanding that establishes the respective responsibility of

26-16    those entities to provide through local workforce development

26-17    boards job training and employment assistance to persons formerly

26-18    sentenced to the institutional division or the state jail division

26-19    and information on services available to employers or potential

26-20    employers of those persons.  The department shall coordinate the

26-21    development of the memorandum of understanding.

26-22          SECTION 2.08.  Sections 217.007(a) and (b), Labor Code, are

26-23    amended to read as follows:

26-24          (a)  To assist in the reintegration into the labor force of

26-25    persons formerly sentenced to the institutional division or the

26-26    state jail division, the commission through Project Rio shall

26-27    provide:

 27-1                (1)  to those persons:

 27-2                      (A)  information from local workforce development

 27-3    boards on job training and employment referral services;

 27-4                      (B)  information from the Texas Commission on

 27-5    Alcohol and Drug Abuse on substance abuse treatment services;

 27-6                      (C)  information from the Texas Department of

 27-7    Housing and Community Affairs on housing services;

 27-8                      (D)  information from the Texas Veterans

 27-9    Commission on services for veterans;  and

27-10                      (E)  information from the Texas Department of

27-11    Human Services on tax refund voucher programs under Subchapter D,

27-12    Chapter 31, Human Resources Code; and

27-13                (2)  to the employers and potential employers of those

27-14    persons:

27-15                      (A)  information from the Texas Department of

27-16    Commerce on the enterprise zone program and smart jobs fund

27-17    program;  and

27-18                      (B)  information from local workforce development

27-19    boards on services listed in Section 2308.304, Government Code

27-20    [4.05(a), Workforce and Economic Competitiveness Act (Article

27-21    5190.7a, Vernon's Texas Civil Statutes)].

27-22          (b)  The commission shall adopt a memorandum of understanding

27-23    with each of the following agencies that establishes the respective

27-24    responsibilities of the commission and the agencies in providing

27-25    information described by Subsection (a) to persons formerly

27-26    sentenced to the institutional division or the state jail division

27-27    of the Texas Department of Criminal Justice, to employers or

 28-1    potential employers of those persons, and to local workforce

 28-2    development boards:

 28-3                (1)  the Texas Commission on Alcohol and Drug Abuse;

 28-4                (2)  the Texas Department of Housing and Community

 28-5    Affairs;

 28-6                (3)  the Texas Veterans Commission;

 28-7                (4)  the Texas Department of Human Services; and

 28-8                (5)  the Texas Department of Commerce[;  and]

 28-9                [(6)  the Council on Workforce and Economic

28-10    Competitiveness].

28-11          SECTION 2.09.  Section 301.001(d), Labor Code, is amended to

28-12    read as follows:

28-13          (d)  In this title:

28-14                (1)  "Chair" means the chair of the commission.

28-15                (2)  "Commission" means the Texas Workforce Commission.

28-16                (3)  ["Council" means the Council on Workforce and

28-17    Economic Competitiveness.]

28-18                [(4)]  "Employment service" means the commission or the

28-19    entity designated by the commission to implement duties imposed

28-20    under the Wagner-Peyser Act (29 U.S.C. Section 49 et seq.).

28-21                (4) [(5)]  "Executive director" means the executive

28-22    director of the commission.

28-23                (5) [(6)]  "Local workforce development board" means an

28-24    entity formed under Section 2308.253, Government Code [4.01,

28-25    Workforce and  Economic Competitiveness Act (Article 5190.7a,

28-26    Vernon's Texas Civil Statutes)].

 29-1         ARTICLE 3.  REPEALER; ADDITIONAL NONSUBSTANTIVE CHANGES;

 29-2                         EFFECTIVE DATE; EMERGENCY

 29-3          SECTION 3.01.  The following laws are repealed:

 29-4                (1)  Sections 2308.005, 2308.157, 2308.158, 2308.159,

 29-5    and 2308.204, Government Code;

 29-6                (2)  Subchapter B, Chapter 2308, Government Code; and

 29-7                (3)  Section 302.042, Labor Code.

 29-8          SECTION 3.02.  (a) In addition to the substantive changes in

 29-9    law made by this Act, this Act conforms Sections  2308.002,

29-10    2308.101, 2308.102, 2308.104, 2308.106, 2308.154, 2308.203,

29-11    2308.253, 2308.262, 2308.267, 2308.269, 2308.302, and 2308.305,

29-12    Government Code, to changes in the law made by Chapters 76 and 655,

29-13    Acts of the 74th Legislature, Regular Session, 1995.

29-14          (b)  To the extent of any conflict, this Act prevails over

29-15    another Act of the 75th Legislature, Regular Session, 1997,

29-16    relating to nonsubstantive additions to and corrections in enacted

29-17    codes.

29-18          SECTION 3.03.  (a) This Act takes effect September 1, 1997.

29-19          (b)  The Texas Council on Workforce and Economic

29-20    Competitiveness is abolished and its powers and duties are

29-21    transferred to the division of workforce development of the Texas

29-22    Workforce Commission.  The terms of office of the members of the

29-23    council expire on the effective date of this Act. A reference in

29-24    law to the Texas Council on Workforce and Economic Competitiveness

29-25    means the division of workforce development of the Texas Workforce

29-26    Commission.

29-27          (c)  The division of workforce development of the Texas

 30-1    Workforce Commission has all the powers and duties provided by law

 30-2    and all the property, funds, rules, employees, unspent

 30-3    appropriations, documents, rights, and obligations of the abolished

 30-4    council, except to the extent the laws governing the council's

 30-5    powers and duties are amended by this Act.

 30-6          (d)  The rules, policies, procedures, and decisions of the

 30-7    abolished council are continued in effect as rules, policies,

 30-8    procedures, and decisions of the division of workforce development

 30-9    of the Texas Workforce Commission until superseded by a rule or

30-10    other appropriate action of the Texas Workforce Commission.

30-11          (e)  The validity of a rule, form, or procedure adopted,

30-12    contract or acquisition made, proceeding begun, obligation

30-13    incurred, right accrued, or other action taken by or in connection

30-14    with the authority of the Texas Council on Workforce and Economic

30-15    Competitiveness before it is abolished under Subsection (b) of this

30-16    section is not affected by this Act.  To the extent those actions

30-17    continue to have any affect on or after September 1, 1997, they are

30-18    considered to be the actions of the division of workforce

30-19    development of the Texas Workforce Commission.

30-20          SECTION 3.04.  The importance of this legislation and the

30-21    crowded condition of the calendars in both houses create an

30-22    emergency and an imperative public necessity that the

30-23    constitutional rule requiring bills to be read on three several

30-24    days in each house be suspended, and this rule is hereby suspended.