SRC-DBM S.B. 1027 76(R) BILL ANALYSIS Senate Research Center S.B. 1027 76R4558 ESH-FBy: Lucio Education 4/27/1999 As Filed DIGEST Currently, there are more than 350,000 high-tech jobs in the State of Texas. There are more high-tech jobs in the State of Texas than the total jobs in oil, gas, refineries, and related industries. In 1996, hightech workers made 7.7 percent of the wages in Texas, but represented only 4 percent of the total workforce. The average wage for a high-tech worker is approximately $45,000 per year, whereas, the average non-high-tech worker earns approximately $30,000 per year. Large companies that consider relocating to Texas ask two questions: how many 18 to 24 year olds live in Texas and what is the education and training level of those 18 to 24 year olds? Texas has a large youthful population which continues to grow; however, the education and training of the 18 to 24 year olds is dependent upon Texas' approach to workforce education. Tech-prep consortia are an effective means for strategic planning, implementation, and evaluation of workforce education programs. Tech-prep has been operating effectively in Texas since 1991, but the legislature has never enacted Tech-prep policies. S.B. 1027 would set forth provisions for establishing tech-prep education. PURPOSE As proposed, S.B. 1027 sets forth provisions for establishing tech-prep education. RULEMAKING AUTHORITY This bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 61, Education Code, by adding Subchapter T, as follows: SUBCHAPTER T. TECH-PREP EDUCATION Sec. 61.851. DEFINITIONS. Defines "articulation agreement," "division," "junior college," "tech-prep consortium," and "technical college." Sec. 61.852. TECH-PREP PROGRAM. Sets forth the contents of a tech-prep program of study. Provides that, notwithstanding Subsection (a) (1), a tech-prep consortium is encouraged to include four years of secondary education in a tech-prep program. Sec. 61.853. REGIONAL TECH-PREP CONSORTIA: GOVERNING BOARD; DIRECTOR; FISCAL AGENT. Provides that each regional tech-prep consortium is governed by a governing board composed of private sector and public sector leaders in the ratio agreed to by the participants in the consortium. Requires the governing board to select a consortium director to manage the consortium's affairs. Provides that the consortium director serves at the will of the governing board. Requires the governing board to select a junior college, technical college, university, regional education service center, independent school district, council of governments, or private industry council to act as the tech-prep consortium's fiscal agent and to provide human resource and business office services for the consortium. Provides that the fiscal agent serves at the direction of the governing board and under the terms of an agreement between the governing board and the fiscal agent. Sec. 61.854. TECH-PREP CONSORTIUM ALLOTMENT. Requires, in each fiscal year, the Community and Technical Colleges Division (division), as the agent of the Texas Education Agency, to allot the federal tech-prep implementation money this state receives to the regional tech-prep consortia for regional administration according to regionally developed plans designed to meet regional goals. Requires the division to allot the money to tech-prep consortia in accordance with a formula adopted by the Texas Higher Education Coordinating Board (coordinating board), that addresses the differing needs of consortia due to certain factors. Requires an eligible tech-prep consortium that desires assistance under this section to submit an application to the division on a form prescribed by the division for that purpose. Requires the form to address the formula adopted by the coordinating board under Subsection (a). Requires the division to make a payment in the amount of the consortium's allotment under Subsection (a) to the consortium's fiscal agent, if a tech-prep consortium has a completed application on file under Subsection (b). Sec. 61.855. GRANTS FOR TECH-PREP EDUCATION. Requires the division, in accordance with this subchapter and with a formula adopted by the coordinating board, to award grants from amounts made available under Section 61.854, to tech-prep consortia for tech-prep programs described by Subsection (c). Sets forth the grant eligibility criteria for a tech-prep consortium. Sets forth the required composition of a tech-prep program. Requires a tech-prep consortium that receives a grant under this section to use the money awarded to develop and operate a tech-prep program described in Subsection (c). Sets forth what a tech-prep program is authorized to provide, acquire, and establish. Sec. 61.856. GRANT APPLICATION. Requires each regional tech-prep consortium that desires to obtain a grant under this subchapter to submit an application to the division at the time and in the manner the division prescribes. Sets forth what an application is required to include and show. Requires the division to approve an application if the application meets the requirements of this section and Section 61.854(b). Sets forth special considerations required to be given to an application for certain tech-programs. Requires the division, in awarding grants under this chapter, to ensure an equitable distribution of assistance between urban and regional consortium participants. Sec. 61.857. REPORT; REVIEW OF FIVE-YEAR PLAN. Requires each regional tech-prep consortium that receives a grant under this subchapter to annually prepare and submit a written report on the effectiveness of the tech-prep programs for which the consortium received assistance to the division. Requires the report to include a description of the manner in which the consortium awarded any subgrants in the region served by the consortium. Requires the consortium to review the plan and make any changes necessary after the second year of the fiveyear plan required under Section 61.856(b)(1). Sec. 61.858. DEMONSTRATION PROGRAMS. Authorizes the division, each fiscal year, to award grants to regional tech-prep consortia described by Section 61.855(b) to enable the consortia to establish and implement tech-prep demonstration programs from funds appropriated for the purpose. Sets forth certain requirements and an authorization of a tech-prep demonstration program. Requires a regional tech-prep consortium that desires to obtain a grant under this section to submit an application to the division at the time and in the manner the division prescribes. Requires an application to include the information required by the board. Sets forth the required composition of a tech-prep demonstration program. Requires the division to give special consideration to certain applications for a tech-prep program. SECTION 2.Effective date: September 1, 1999. SECTION 3.Emergency clause.