86R25983 KSD-F
  By: Phelan, Romero, Jr., Blanco, Burrows H.B. No. 2784
  Substitute the following for H.B. No. 2784:
  By:  Metcalf C.S.H.B. No. 2784
  relating to the creation of the Texas Industrial Workforce
  Apprenticeship Grant Program.
         SECTION 1.  Chapter 302, Labor Code, is amended by adding
  Subchapter I to read as follows:
         Sec. 302.251.  PURPOSE. The purpose of the Texas Industrial
  Workforce Apprenticeship Grant Program is to address the immediate
  industrial workforce needs of this state resulting from the impact
  of Hurricane Harvey and overall workforce shortages.
         Sec. 302.252.  DEFINITIONS. In this subchapter:
               (1)  "Apprenticeship program" means a training program
                     (A)  provides on-the-job training, preparatory
  instruction, supplementary instruction, or related instruction in
  a trade that has been recognized as an apprenticeable occupation by
  the Office of Apprenticeship of the United States Department of
  Labor; or
                     (B)  is certified as an industry-recognized
  apprenticeship program by a third-party certifier that has received
  from the United States Department of Labor a favorable
  determination of qualification to award that certification.
               (2)  "Person" does not include a governmental entity.
         Sec. 302.253.  PROGRAM. The commission shall establish and
  administer the Texas Industrial Workforce Apprenticeship Grant
  Program to encourage the private sector to develop specialized
  industrial workforce apprenticeship programs in this state. Under
  the program, the commission shall provide grants for persons who
  meet the requirements of Section 302.255.
  FUND. (a)  The Texas industrial workforce apprenticeship fund is a
  dedicated account in the general revenue fund.
         (b)  The following amounts shall be deposited in the fund:
               (1)  money appropriated by the legislature for the fund
  for purposes described by this subchapter;
               (2)  interest earned on the investment of money in the
  fund; and
               (3)  gifts, grants, and other donations received for
  the fund.
         (c)  The fund may be used only for an apprenticeship program
  that meets the requirements of Section 302.255.
         Sec. 302.255.  APPLICATION; ELIGIBILITY FOR GRANT. To be
  eligible to receive a grant under this subchapter, a person must:
               (1)  if the person is an entity, be in good standing
  under the laws of the state in which the person was formed or
  organized, as evidenced by a certificate issued by the secretary of
  state or the state official of another state having custody of the
  records pertaining to a person formed or organized under the laws of
  that state;
               (2)  not owe delinquent taxes to a taxing unit of this
  state; and
               (3)  have in place an apprenticeship program that:
                     (A)  provides on-the-job training under an
  industry-recognized, accredited training curriculum;
                     (B)  guarantees employment for participants
  during and on successful completion of the training period;
                     (C)  pays each participant at least $15 per hour
  during the training period and provides eligibility for
  participants to receive full-time employee benefits during and on
  successful completion of the training period;
                     (D)  requires participants to advance their
  skills, at a minimum, to a credentialed, performance-verified
  mid-level status in the field related to the apprenticeship
                     (E)  has a duration of not more than 26 weeks; and
                     (F)  gives preference to training and hiring:
                           (i)  unemployed Texans who have filed with
  the commission;
                           (ii)  veterans of the United States armed
                           (iii)  formerly incarcerated individuals;
                           (iv)  underemployed individuals who are
  working without industry-recognized certifications or other
         Sec. 302.256.  LIMITATIONS ON GRANT AMOUNT. The amount of a
  grant awarded under this subchapter may not exceed 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)  The
  commission shall 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)  Before awarding a grant to a person under this
  subchapter, the commission must determine that a sufficient number
  of apprenticeship program participants have:
               (1)  completed the program and achieved the training
  requirements specified by Section 302.255(3)(D); and
               (2)  maintained available and suitable employment for a
  period of not less than six months.
         (c)  The commission by rule may develop the criteria for
  making the determinations required by Subsection (b).
         Sec. 302.258.  PROGRAM RULES. (a)  The commission shall
  adopt rules to administer and enforce this subchapter.
         (b)  The commission shall post the rules on its Internet
         Sec. 302.259.  ANNUAL REPORT. (a)  Not later than December
  1 of each year, the commission shall 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:
               (1)  the number of direct jobs each grant recipient
  created in this state in each job category of the federal Equal
  Employment Opportunity Commission's job classification guide;
               (2)  the median wage of the jobs each grant recipient
  created in this state;
               (3)  the total amount of each grant awarded to a grant
  recipient; and
               (4)  the number and categorization of apprenticeship
  program participants trained and employed by each grant recipient
  under Section 302.255(3)(F).
         (b)  The report may not include information that is made
  confidential by law.
         (c)  The commission may require a grant recipient under this
  subchapter to submit, on a form provided by the commission,
  information required to complete the report.
         (d)  The commission shall post the annual report on its
  Internet website.
         SECTION 2.  This Act takes effect September 1, 2019.