By Lucio                                               S.B. No. 429
         77R2062 JMM-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the funding and administration of certain activities of
 1-3     the Council on Workforce and Economic Competitiveness.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 2308.065(b), Government Code, is amended
 1-6     to read as follows:
 1-7           (b)  A state agency represented on the council shall provide
 1-8     funds for the support of the council in proportion to the agency's
 1-9     financial participation in the workforce development system.  The
1-10     council, with the governor's approval, shall establish a funding
1-11     formula to determine the level of support each agency must provide.
1-12           SECTION 2.  Section 2308.101, Government Code, is amended to
1-13     read as follows:
1-14           Sec. 2308.101.  GENERAL DUTIES.  (a)  The council shall:
1-15                 (1)  promote the development of a well-educated, highly
1-16     skilled workforce in this state;
1-17                 (2)  advocate the development of an integrated
1-18     workforce development system to provide quality services addressing
1-19     the needs of business and workers in this state;
1-20                 (3)  recommend to the governor the designation or
1-21     redesignation of workforce development areas for the local planning
1-22     and delivery of workforce development;
1-23                 (4)  identify and recommend to the governor incentives
1-24     to encourage the consolidation, on a regional labor market basis,
 2-1     of:
 2-2                       (A)  local boards, councils, and committees; and
 2-3                       (B)  service delivery areas authorized under [the
 2-4     Job Training Partnership Act (29 U.S.C. Section 1501 et seq.) or
 2-5     other] federal workforce legislation;
 2-6                 (5)  review plans for local workforce development and
 2-7     make recommendations to the governor for approval;
 2-8                 (6)  evaluate the effectiveness of the workforce
 2-9     development system;
2-10                 (7)  use the administrative records of the state's
2-11     unemployment compensation program and other sources as appropriate
2-12     in evaluating the workforce development system;
2-13                 (8)  encourage, support, or develop research and
2-14     demonstration projects designed to develop new programs and
2-15     approaches to service delivery;
2-16                 (9)  recommend measures to ensure that occupational
2-17     skills training is:
2-18                       (A)  provided in occupations that are locally in
2-19     demand; and
2-20                       (B)  directed toward high-skill and high-wage
2-21     jobs;
2-22                 (10)  monitor the operation of the state's workforce
2-23     development system to assess the degree to which the system is
2-24     effective in achieving state and local goals and objectives;
2-25                 (11)  develop and recommend to the governor criteria
2-26     for the establishment of local workforce development boards;
2-27                 (12)  carry out the federal and state duties and
 3-1     responsibilities of advisory councils under applicable federal and
 3-2     state workforce development laws or regulations;
 3-3                 (13)  report periodically to the governor and the
 3-4     legislature; and
 3-5                 (14)  provide annual reports to the governor and the
 3-6     legislature, including an annual report analyzing work development
 3-7     programs that focus on welfare to work initiatives.
 3-8           (b)  The council shall provide the information required to be
 3-9     reported under Subsections (a)(13) and (14) and Section 2308.104(a)
3-10     to the Texas Workforce Commission.  The Texas Workforce Commission
3-11     shall include information provided under this subsection that
3-12     relates to the administration and operation of the state's
3-13     workforce development system with other information the commission
3-14     provides to the public on the Internet.
3-15           SECTION 3.  Section 2308.104, Government Code, is amended to
3-16     read as follows:
3-17           Sec. 2308.104.  STRATEGIC PLANNING [PLAN].  (a)  The council
3-18     shall develop and recommend to the governor and report to the
3-19     legislature [a single] strategic plans as provided by this section
3-20     [plan] that establish [establishes] the framework for the budgeting
3-21     and operation of the workforce development system, including school
3-22     to careers and welfare to work components, administered by agencies
3-23     represented on the council.  The council shall annually report to
3-24     the governor and the legislature on the implementation of the
3-25     strategic plans [plan].
3-26           (b)  The council shall engage in strategic planning by
3-27     developing two types of performance measures as described by
 4-1     Subsections (c) and (d).
 4-2           (c)  The first performance measure consists of formal
 4-3     measures, reviewed and approved by the Legislative Budget Board,
 4-4     that require all state agencies that administer workforce programs
 4-5     to report annually as part of each agency's performance budget and
 4-6     accounting system.  The measures adopted under this subsection must
 4-7     include not more than five individual measures selected by the
 4-8     council, in consultation with each agency required to report under
 4-9     this subsection, and approved by the governor.
4-10           (d)  The second performance measure consists of less formal
4-11     performance measures, developed with technical support from the
4-12     Legislative Budget Board to ensure that the measures and reporting
4-13     criteria are consistent with the state's performance budget and
4-14     accounting system.  The measures under this subsection must be
4-15     adopted to apply individually to each agency that administers a
4-16     workforce program with no single measure intended to apply to all
4-17     of the agencies.  The measures under this subsection shall be
4-18     developed by the council, in consultation with each agency required
4-19     to report under this subsection, and approved by the governor.
4-20           (e)  In addition to the other requirements of this chapter,
4-21     the strategic plans [plan] recommended by the council must
4-22     recognize and address literacy and basic education as activities
4-23     that are critical to the well-being of individuals and the state
4-24     without regard to whether the training and education is directed at
4-25     preparing an individual for employment.
4-26           (f) [(c)]  The council shall include in the council's
4-27     strategic plans [plan] goals, objectives, and performance measures
 5-1     for the workforce development system that involve programs of all
 5-2     state agencies that administer workforce programs [are represented
 5-3     on the council].
 5-4           (g) [(d)]  On approval of a [the] plan by the governor, an
 5-5     agency administering a workforce program [represented on the
 5-6     council] shall use the strategic plan to develop the agency's
 5-7     operational plan.
 5-8           SECTION 4.  Section 2308.151, Government Code, is amended by
 5-9     adding Subsection (c) to read as follows:
5-10           (c)  The council shall establish, with the approval of the
5-11     governor, a funding formula to determine the level of support each
5-12     agency administering a workforce program must provide to operate
5-13     the automated follow-up and evaluation system required by this
5-14     section.
5-15           SECTION 5.  (a)  This Act takes effect September 1, 2001.
5-16           (b)  The Texas Council on Workforce and Economic
5-17     Competitiveness and the Legislative Budget Board shall complete the
5-18     development, review, and approval, as appropriate, of the
5-19     performance measures required by Section 2308.104, Government Code,
5-20     as amended by this Act, on or before September 1, 2002.