By: Bettencourt, West S.B. No. 1622

(In the Senate - Filed March 11, 2021; March 24, 2021, read first time and referred to Committee on Higher Education; May 3, 2021, reported adversely, with favorable Committee Substitute by the following vote: Yeas 9, Nays 0; May 3, 2021, sent to printer.)

COMMITTEE SUBSTITUTE FOR S.B. No. 1622 By: Birdwell

A BILL TO BE ENTITLED

AN ACT

relating to measures to support the alignment of education and workforce development in the state with state workforce needs, including the establishment of the Tri-Agency Workforce Initiative.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. This Act shall be known as the Texas Education and Workforce Alignment Act.

SECTION 2. Subtitle G, Title 10, Government Code, is amended by adding Chapter 2308A to read as follows:

CHAPTER 2308A. TRI-AGENCY WORKFORCE INITIATIVE

Sec. 2308A.001. DEFINITIONS. In this chapter:

(1) "Agency," unless the context requires otherwise, means the Texas Education Agency.

(2) "Career education and training program" means:

(A) a career and technology education program offered by a public school;

(B) a career technical or workforce education program, as defined by the coordinating board, offered by an institution of higher education;

(C) a program administered by the commission relating to jobs training, skills development, or adult education and literacy; and

(D) a work-based learning program, such as an apprenticeship or internship program, that receives state funding or is administered by the commission.

(3) "Commission" means the Texas Workforce Commission.

(4) "Coordinating board" means the Texas Higher Education Coordinating Board.

(5) "Initiative" means the Tri-Agency Workforce Initiative.

(6) "Institution of higher education" has the meaning assigned by Section 61.003, Education Code.

(7) "State workforce development goals" means the state workforce development goals developed under Section 2308A.006.

Sec. 2308A.002. PURPOSE. The Tri-Agency Workforce Initiative is established to coordinate and optimize information and other resources as necessary to:

(1) align career education and training programs to workforce demands;

(2) provide residents of the state with timely and accurate information needed to plan education and workforce pathways; and

(3) enable local and state policy makers to evaluate the effectiveness of career education and training programs and progress toward the state workforce development goals.

Sec. 2308A.003. INTERAGENCY AGREEMENTS AND STAFFING. (a) The agency, coordinating board, and commission shall enter into one or more interagency agreements establishing policies and processes for:

(1) sharing and matching relevant data and cooperatively managing education and workforce information collected by each respective agency; and

(2) coordinating the assignment of staff and other resources to the initiative as necessary to effectuate the state workforce development goals and the strategies for achieving those goals developed under Section 2308A.006.

(b) The time spent by an employee of the agency, coordinating board, or commission in supporting the work of the initiative is not included in calculating the number of full-time equivalent employees allotted to the respective agency under other law.

Sec. 2308A.004. QUARTERLY DISCUSSIONS. The commissioner of education, commissioner of higher education, and chair of the commission shall discuss the work of the initiative at least once per quarter.

Sec. 2308A.005. UNIFIED WORKFORCE DATA REPOSITORY. (a) The agency, coordinating board, and commission shall use the P-20/Workforce Data Repository established under Section 1.005(j-1), Education Code, as the central repository of career and education data. The agency, coordinating board, and commission shall regularly review the data collected by the respective agency and incorporate into the repository data determined by the executive officer of that agency to be integral to the state workforce development goals and the strategies for achieving those goals developed under Section 2308A.006.

(b) Any data or reports made accessible to the public under the initiative must comply with applicable state and federal laws governing use of and access to the data.

(c) Where applicable, the agency, coordinating board, and commission shall ensure that records deposited in the repository are automatically matched at the student level on a timely basis to ensure that the agency, coordinating board, and commission and other entities authorized to access the repository have timely information to support higher education and workforce application, entry, and success.

Sec. 2308A.006. STATE WORKFORCE DEVELOPMENT GOALS AND STRATEGIES. (a) The commissioner of education, commissioner of higher education, and chair of the commission jointly shall develop and post in a prominent location on the initiative's and each respective agency's Internet website state workforce development goals and coordinated interagency strategies for achieving those goals.

(b) The goals developed under Subsection (a) must:

(1) be developed in consultation with employers;

(2) include goals for the attainment of employment in jobs that pay a living wage for all career education and training programs in the state;

(3) be disaggregated by race, ethnicity, and gender for each workforce development region; and

(4) provide for:

(A) locally determined priorities consistent with state goals; and

(B) collaborative planning and coordination with local employers, public schools, institutions of higher education, and local workforce development boards.

(c) The strategies developed under Subsection (a) must:

(1) include strategies for expanding work-based learning;

(2) articulate the ways in which the state can best leverage state and federal funding for career education and training programs; and

(3) be demonstrably guided by:

(A) education and workforce data;

(B) evidence of success and considerations of cost-effectiveness; and

(C) prioritized occupational classifications, including all target occupations and critical career pathways designated under Subsection (e).

(d) In consultation with employers, the commissioner of education, commissioner of higher education, and chair of the commission jointly shall update the state workforce development goals and strategies developed under Subsection (a) at least every four years, or more frequently if needed to reflect available data and circumstances.

(e) In consultation with employers, the commissioner of education, commissioner of higher education, and chair of the commission shall designate and update every two years a list of career pathways that includes the following two priority categories:

(1) target occupations, which include current needs that exist in one or more regions of the state as reflected in regional workforce assessments that:

(A) use the best available data and local employer requests; and

(B) satisfy minimum federal standards for designations, such as a foundation for qualified use of federal workforce funding; and

(2) critical career pathways that reflect the best statewide data and forecasts of skills and careers for which demand in the state is expected to grow that may:

(A) be associated with new emerging industries or new specialty occupations within an industry; or

(B) reflect pathways to better wages for workers with documented skills that provide promotional opportunities within or across occupations with targeted upskill training.

(f) Not later than June 1, 2022, the commissioner of education, commissioner of higher education, and chair of the commission jointly shall make recommendations regarding the development of a modern and publicly accessible job skills inventory for public and private sector jobs in the state, including recommendations on:

(1) cataloging worker skills and matching those skills to public and private sector jobs in the state;

(2) creating skills profiles for all jobs and career pathways designated under Subsection (e) that are vital to the state; and

(3) identifying skills and competencies offered by each career education and training program in the state.

(g) Subsection (f) and this subsection expire September 1, 2023.

Sec. 2308A.007. CREDENTIAL LIBRARY. (a) The agency, coordinating board, and commission jointly shall establish a publicly accessible web-based library of credentials, such as diplomas, certificates, certifications, digital badges, apprenticeships, licenses, or degrees, that are:

(1) delivered, issued, funded, or governed by the state;

(2) aligned with recognized skills and industry standards;

(3) available to residents of the state; and

(4) used by employers in the state.

(b) The agency, coordinating board, and commission jointly shall designate a host agency or operating entity for the credential library.

(c) The credential library must be updated at least once per year.

Sec. 2308A.008. INTERNET-BASED RESOURCES. (a) The agency, coordinating board, and commission shall cooperatively establish Internet-based resources for the initiative. The resources must include:

(1) a central Internet website for the initiative that contains information on the state workforce development goals and the strategies for achieving those goals developed under Section 2308A.006;

(2) a unified dashboard, updated on an annual or more frequent basis, that reports progress toward accomplishment of the state workforce development goals, both statewide and disaggregated by public school and public school campus, institution of higher education campus, workforce region, and county;

(3) data on the outcomes of students who participate in career education and training programs, disaggregated to the extent practicable by income, race, ethnicity, and gender, including data regarding degree and credential completion, employment status and industry of employment, and earnings over time;

(4) guidance supporting the use of data on the dashboard described by Subdivision (2) for greater accessibility for a wide range of public, practitioner, and legislative users;

(5) tools enabling residents of the state to:

(A) explore careers that match the resident's education and skills and lead to a living wage;

(B) identify and evaluate education and training opportunities related to the resident's career interests; and

(C) connect to available jobs through existing job matching websites; and

(6) tools to support joint program planning, budgeting, and performance evaluation among:

(A) the agency, coordinating board, and commission; and

(B) public schools, institutions of higher education, local workforce development boards, and partnering entities.

(b) The agency, coordinating board, and commission jointly shall:

(1) solicit public comment on the usefulness of the initiative's Internet-based resources; and

(2) in January of each even-numbered year, publish a summary of the initiative's Internet-based resources, including actions taken to increase the usefulness of those resources or address comments received under Subdivision (1).

Sec. 2308A.009. STUDENT SUCCESS REPORTING. (a) The agency, coordinating board, and commission shall coordinate data collection and matching necessary to provide information to each public school and institution of higher education regarding the success of students previously enrolled in a career education and training program offered by the school or institution with respect to critical student outcomes, such as degree and credential completion, employment status and industry of employment, and earnings over time.

(b) The commissioner of education, commissioner of higher education, and chair of the commission shall ensure that the information provided under Subsection (a) is provided in a manner that complies with applicable state or federal law regarding the privacy and confidentiality of student information.

(c) In January of each even-numbered year, the commissioner of education, commissioner of higher education, and chair of the commission jointly shall prepare, submit to the legislature, and post on the initiative's and each respective agency's Internet website a report on the impact of career education and training programs on student success and the state workforce development goals.

Sec. 2308A.010. OPPORTUNITY FOR COMMENT. At least 30 days before finalizing state workforce development goals, strategies for achieving those goals developed under Section 2308A.006, or a report under Section 2308A.009, the agency, coordinating board, and commission jointly shall post on the initiative's and each respective agency's Internet website the proposed goals, strategies, or report and instructions for submitting comment on those items to the agencies.

Sec. 2308A.011. SECURE PORTAL. (a) For purposes of state and local planning, program evaluation, and continuous improvement of local and regional education and workforce practices, the agency, coordinating board, and commission jointly shall establish and support a secure portal through which authorized personnel of approved entities can view and analyze comprehensive longitudinal and the most currently available matched data related to the progress toward meeting state workforce needs.

(b) The agency, coordinating board, and commission jointly shall develop role-based security protocols that ensure the privacy and confidentiality of information made accessible through the secure portal in a manner that complies with any applicable state or federal law.

Sec. 2308A.012. EMPLOYER RECOGNITION. (a) The governor may award a Talent for Texas Champions Governor's Award to recognize leading employers in the state who are contributing to workforce improvement by supporting priority job training, reskilling, and upskilling programs and whose contributions align with strategic priorities for the state, including helping to meet regional workforce demands and enabling more residents of the state to attain jobs that pay a living wage.

(b) The agency, coordinating board, and commission jointly shall nominate employers for the award under this section.

Sec. 2308A.013. TARGETED FUNDING TO ADDRESS STATE GOALS. (a) A state agency that receives funding through the Carl D. Perkins Career and Technical Education Act of 2006 (20 U.S.C. Section 2301 et seq.) or the Workforce Innovation and Opportunity Act (Pub. L. No. 113-128) or any other federal funding for career education and training may, to the extent permissible under federal law, combine with, transfer to, or delegate to another state agency that receives such funding the agency's management of workforce-related funding as necessary to implement the state workforce development goals.

(b) The agency, coordinating board, and commission jointly shall submit to the governor and the standing legislative committees with jurisdiction over state financial alignment efforts a biennial report on how federal and state funding for career education and training programs are being spent in accordance with the state workforce development goals.

(c) A state agency that receives federal or state funding for career education and training programs shall include in the agency's legislative appropriations request a description of how the agency's career education and training programs and expenditures align with the state workforce development goals.

Sec. 2308A.014. LIVING WAGE. The agency, coordinating board, and commission jointly shall determine for each county the wage that constitutes a living wage for purposes of this chapter. The determination must be based on a common standard that reflects the regionally adjusted minimum employment earnings necessary to meet a family's basic needs while also maintaining self-sufficiency.

Sec. 2308A.015. GIFTS, GRANTS, AND DONATIONS. (a) The agency, coordinating board, and commission may accept gifts, grants, and donations from any public or private source for purposes of the initiative.

(b) The agency, coordinating board, and commission shall investigate potential sources of funding from federal grants or programs that may be used for purposes of the initiative.

SECTION 3. Subchapter A, Chapter 204, Labor Code, is amended by adding Section 204.0025 to read as follows:

Sec. 204.0025. ADDITIONAL WORKFORCE DATA REPORTING. (a) The commission shall work in consultation with employers as provided by this section to enhance and improve the reporting of employment and earnings data by employers to the commission as part of an employer's routine wage filings under this subtitle or commission rule and consistent with federal law and regulations. The enhanced wage filings must include information related to occupation and other important employment information that would improve the state's labor market information.

(b) The commission, in consultation with employers and human resource technology providers, shall develop viable data priorities and standards for reporting and collecting enhanced wage filings described by Subsection (a).

(c) Not later than September 1 of each even-numbered year, the commission shall prepare and submit to the legislature and post on the commission's Internet website a report on employer participation in the enhanced wage filings described by Subsection (a), a cost-benefit analysis on the enhanced wage filings to the workforce planning process in the state, and any recommendations for legislative or other action to improve the enhanced wage filings.

(d) Not later than January 1, 2022, the commission shall design and implement a voluntary pilot program for the reporting and collection of enhanced wage filings described by Subsection (a). To the greatest extent possible, the commission shall include a representative sample of employers in the pilot program.

(e) Not later than September 1, 2022, the commission shall submit to the legislature a report on the results of the pilot program and any recommendations for legislative or other action.

(f) Subsections (d) and (e) and this subsection expire September 1, 2023.

SECTION 4. Not later than October 1, 2021, the Texas Education Agency, Texas Higher Education Coordinating Board, and Texas Workforce Commission shall hold the initial discussion required under Section 2308A.004, Government Code, as added by this Act.

SECTION 5. (a) Not later than January 31, 2022, the Texas Education Agency, Texas Higher Education Coordinating Board, and Texas Workforce Commission shall develop the initial state workforce development goals required under Section 2308A.006, Government Code, as added by this Act.

(b) Not later than April 30, 2022, the Texas Education Agency, Texas Higher Education Coordinating Board, and Texas Workforce Commission shall develop the initial strategies required under Section 2308A.006, Government Code, as added by this Act.

SECTION 6. Not later than January 1, 2024, the Texas Education Agency, Texas Higher Education Coordinating Board, and Texas Workforce Commission shall establish the credential library required under Section 2308A.007, Government Code, as added by this Act.

SECTION 7. (a) Not later than September 1, 2022, the Texas Workforce Commission shall develop the data priorities and standards for reporting and collecting enhanced wage filings as required under Section 204.0025(b), Labor Code, as added by this Act.

(b) Not later than September 1, 2024, the Texas Workforce Commission shall submit the commission's initial report required under Section 204.0025(c), Labor Code, as added by this Act.

SECTION 8. (a) The Texas Education Agency, Texas Higher Education Coordinating Board, and Texas Workforce Commission are required to implement Chapter 2308A, Government Code, as added by this Act, only if:

(1) the legislature appropriates funds for that purpose;

(2) federal funding is provided to the agencies for that purpose as part of any federal coronavirus disease (COVID-19) relief spending; or

(3) the agencies receive gifts, grants, or donations for that purpose under Section 2308A.015, Government Code, as added by this Act.

(b) If funding described by Subsection (a) of this section is not appropriated or otherwise made available for the purpose described by that subsection, the Texas Education Agency, Texas Higher Education Coordinating Board, and Texas Workforce Commission may, but are not required to, implement Chapter 2308A, Government Code, as added by this Act, using other money available to the agencies for that purpose.

SECTION 9. The Texas Workforce Commission is required to implement Section 204.0025, Labor Code, as added by this Act, only if the legislature appropriates money specifically for that purpose. If the legislature does not appropriate money specifically for that purpose, the commission may, but is not required to, implement that section using other appropriations available for that purpose.

SECTION 10. This Act takes effect September 1, 2021.

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