BILL ANALYSIS

Senate Research Center	H.B. 2784
86R25983 KSD-F	By: Phelan et al. (Alvarado)
	Business & Commerce
	5/19/2019
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

H.B. 2784 amends current law relating to the creation of the Texas Industrial Workforce Apprenticeship Grant Program.

RULEMAKING AUTHORITY

Rulemaking authority is expressly granted to the Texas Workforce Commission in SECTION 1 (Sections 302.257 and 302.258, Labor Code) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 302, Labor Code, by adding Subchapter I, as follows:

SUBCHAPTER I. TEXAS INDUSTRIAL WORKFORCE APPRENTICESHIP GRANT PROGRAM

Sec. 302.251. PURPOSE. Sets forth the purpose of this subchapter.

Sec. 302.252. DEFINITIONS. Defines "apprenticeship program" and "person" for purposes of this subchapter.

Sec. 302.253. PROGRAM. Requires the Texas Workforce Commission (TWC) to establish and administer the Texas Industrial Workforce Apprenticeship Grant Program (program) to encourage the private sector to develop specialized industrial workforce apprenticeship programs in this state. Requires TWC, under the program, to provide grants for persons who meet the requirements of Section 302.255.

Sec. 302.254. TEXAS INDUSTRIAL WORKFORCE APPRENTICESHIP FUND. (a)  Provides that the Texas industrial workforce apprenticeship fund is a dedicated account in the general revenue fund.

(b) Requires certain amounts to be deposited in the fund.

Sec. 302.255. APPLICATION; ELIGIBILITY FOR GRANT. Requires a person, to be eligible to receive a grant under this subchapter, to meet certain requirements.

Sec. 302.256. LIMITATIONS ON GRANT AMOUNT. Prohibits the amount of a grant awarded under this subchapter from exceeding the lesser of $10,000 per apprenticeship program participant or the cost of training, not including wages and benefits.

Sec. 302.257. REQUIREMENTS; GRANT AWARD. (a) Requires TWC to distribute the grant funds on an individualized basis as a reimbursement for training costs incurred by grant recipients in accordance with Section 302.256.

(b) Requires TWC, before awarding a grant to a person under this subchapter, to determine that a sufficient number of apprenticeship program participants have met certain criteria.

(c) Authorizes TWC by rule to develop the criteria for making the determinations required by Subsection (b).

Sec. 302.258. PROGRAM RULES. (a) Requires TWC to adopt rules to administer and enforce this subchapter.

(b) Requires TWC to post the rules on its Internet website.

Sec. 302.259. ANNUAL REPORT. (a) Requires TWC, not later than December 1 of each year, to submit to the lieutenant governor, the speaker of the house of representatives, and the members of the legislature a report on grants made under this subchapter that states certain information.

(b) Prohibits the report from including information that is made confidential by law.

(c) Authorizes TWC to require a grant recipient under this subchapter to submit, on a form provided by TWC, information required to complete the report.

(d) Requires TWC to post the annual report on its Internet website.

SECTION 2. Effective date: September 1, 2019.