GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1999

H	1 

HOUSE BILL 330

Short Title:  N. C. Workforce Development/AB.	(Public)

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Sponsors: Representatives Owens; and Wainwright.

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Referred to:  Ways and Means.

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March 4, 1999

A BILL TO BE ENTITLED
AN ACT TO CREATE THE NORTH CAROLINA COMMISSION ON WORKFORCE DEVELOPMENT; TO CONFORM THE GENERAL STATUTES TO THE FEDERAL WORKFORCE INVESTMENT ACT; AND TO MAKE OTHER STATUTORY CHANGES TO ENHANCE WORKFORCE TRAINING AND DEVELOPMENT.
The General Assembly of North Carolina enacts:
Section 1.  Part 3A of Article 10 of Chapter 143B of the General Statutes is repealed.
Section 2.  Article 10 of Chapter 143B of the General Statutes is amended by adding a new Part to read:
"Part 3B. Workforce Development.
"§ 143B-438.10.  Commission on Workforce Development.
(a)	Creation and Duties. – There is created within the Department of Commerce the North Carolina Commission on Workforce Development.  The Commission shall have the following powers and duties:
(1)	To develop strategies to produce a skilled, competitive workforce that meets the needs of the State's changing economy.
(2)	To advise the Governor, the General Assembly, State and local agencies, and the business sector regarding policies and programs to enhance the State's workforce.
(3)	To coordinate and develop strategies for cooperation between the academic, governmental, and business sectors.
(4)	To establish, develop, and provide ongoing oversight of the 'One-Stop Delivery System' for employment and training services in the State.
(5)	To develop a unified State plan for workforce training and development.
(6)	To review the plans and programs of agencies, boards, and organizations operating federally funded or State-funded workforce development programs for effectiveness, duplication, fiscal accountability, and coordination.
(7)	To develop and continuously improve performance measures to assess the effectiveness of workforce training and employment in the State.
(8)	To submit to the Governor and to the General Assembly by April 1, 2000, and biennially thereafter, a comprehensive Workforce Development Plan that shall include at least the following:
a.	Goals and objectives for the biennium.
b.	An assessment of current workforce programs and policies.
c.	An assessment of the delivery of employment and training services to special populations, such as youth and dislocated workers.
d.	Recommendations for policy, program, or funding changes.
(9)	To serve as the State's Workforce Investment Board for purposes of the federal Workforce Investment Act of 1998.
(b)	Membership; Terms. – The Commission on Workforce Development shall consist of 40 members appointed as follows:
(1)	By virtue of their offices, the following department and agency heads or their respective designees shall serve on the Commission:  the Secretary of the Department of Health and Human Services, the Chair of the Employment Security Commission, the Superintendent of Public Instruction, the President of the Community College System, the Commissioner of the Department of Labor, and the Secretary of the Department of Commerce.
(2)	The Governor shall appoint 32 members as follows:
a.	Six members representing public, postsecondary, and vocational education.
b.	Two members representing community-based organizations.
c.	Six members representing labor.
d.	Eighteen members representing business and industry.
(3)	The President Pro Tempore of the Senate shall appoint one Senator to serve, and the Speaker of the House of Representatives shall appoint one House member to serve.
(4)	The terms of the members appointed by the Governor shall be for four years, and the terms for legislative members shall be for two years, concurrent with the General Assembly sessions.
(c)	Appointment of Chair; Meetings. – The Governor shall appoint the Chair of the Commission from among the business and industry members, and that person shall serve at the pleasure of the Governor.  The Commission shall meet at least quarterly upon the call of the Chair.
(d)	Staff; Funding. – The clerical and professional staff to the Commission shall be provided by the Department of Commerce.  Funding for the Commission shall derive from State and federal resources as allowable and from the partner agencies to the Commission.  Members of the Commission shall receive necessary travel and subsistence in accordance with State law.
"§ 143B-438.11.  Local Workforce Development Boards.
(a)	Duties. – Local Workforce Development Boards shall have the following powers and duties:
(1)	To develop policy and act as the governing body for local workforce development.
(2)	To provide planning, oversight, and evaluation of local workforce development programs, including the local One-Stop Delivery System.
(3)	To provide advice regarding workforce policy and programs to local elected officials, employers, education and employment training agencies, and citizens.
(4)	To develop a local plan in coordination with the appropriate community partners to address the workforce development needs of the service area.
(5)	To develop linkages with economic development efforts and activities in the service area and promote cooperation and coordination among public organizations, education agencies, and private businesses.
(6)	To review local agency plans and grant applications for workforce development programs for coordination and achievement of local goals and needs.
(7)	To serve as the Workforce Investment Board for the designated substate area for the purpose of the federal Workforce Investment Act of 1998.
(b)	Members. – Members of local Workforce Development Boards shall be appointed by local elected officials in accordance with criteria established by the Governor and with provisions of the federal Workforce Investment Act.  The local Workforce Development Boards shall have a majority of business members and shall also include representation of workforce and education providers, labor organizations, community-based organizations, and economic development boards as determined by local elected officials.  The Chairs of the local Workforce Development Boards shall be selected from among the business members.
"§ 143B-438.12.  Federal Program Administration.
(a)	Federal Workforce Investment Act. – In accordance with the federal Workforce Investment Act, the Commission on Workforce Development shall develop a Five-Year Strategic Plan to be submitted to the U.S. Secretary of Labor.  The Strategic Plan shall describe the workforce development activities to be undertaken in the State to implement the federal Workforce Investment Act and how special populations shall be served.
(b)	Other Workforce Grant Applications. – The Commission on Workforce Development may submit grant applications for workforce development initiatives and may manage the initiatives and demonstration projects.
"§ 143B-438.13.  Employment and Training Grant Program.
(a)	Employment and Training Grant Program. – There is established in the Department of Commerce, Division of Employment and Training, an Employment and Training Grant Program.  Grant funds shall be allocated to local Workforce Development Boards for the purposes of enabling recipient agencies to implement local employment and training programs in accordance with existing resources, local needs, local goals, and selected training occupations.  The State program of workforce performance standards shall be used to measure grant program outcomes.
(b)	Use of Grant Funds. – Local agencies may use funds received under this section for the purpose of providing services, such as training, education, placement, and supportive services.  Local agencies may use grant funds to provide services only to individuals who are (i) 18 years of age or older and meet the federal Workforce Investment Act, title I adult eligibility definitions, or meet the federal Workforce Investment Act, title I dislocated worker eligibility definitions, or (ii) incumbent workers with annual family incomes at or below two hundred percent (200%) of poverty guidelines established by the federal Department of Health and Human Services.
(c)	Allocation of Grants. – The Department of Commerce may reserve and allocate up to ten percent (10%) of the funds available to the Employment and Training Grant Program for State and local administrative costs to implement the Program.  The Division of Employment and Training shall allocate employment and training grant funds to local Workforce Development Boards serving federal Workforce Investment Act local workforce investment areas based on the following formula:
(1)	One-half of the funds shall be allocated on the basis of the relative share of the local workforce investment area's share of federal Workforce Investment Act, title I adult funds as compared to the total of all local areas adult shares under the federal Workforce Investment Act, title I.
(2)	One-half of the funds shall be allocated on the basis of the relative share of the local workforce investment area's share of federal Workforce Investment Act, title I dislocated worker funds as compared to the total of all local areas dislocated worker shares under the federal Workforce Investment Act, title I.
(3)	Local workforce investment area adult and dislocated shares shall be calculated using the current year's allocations to local areas under the federal Workforce Investment Act, title I.
(d)	Reports and Coordination. – The Department of Commerce shall report quarterly to the Governor and to the Speaker of the House of Representatives and the President Pro Tempore of the Senate on the North Carolina Employment and Training Grant Program.  The Department shall also provide a copy of these quarterly reports to the North Carolina Commission on Workforce Development.
(e)	Nonreverting Funds. – Funds appropriated to the Department of Commerce for the Employment and Training Grant Program that are not expended at the end of the fiscal year shall not revert to the General Fund, but shall remain available to the Department for the purposes established in this section."
Section 3.  The Commission on Workforce Preparedness appointed in accordance with Executive Order #4 of March 10, 1993, shall continue to serve as the State's Commission on Workforce Development until January 1, 2001, or until appointments to the North Carolina Commission on Workforce Preparedness created by this act are made consistent with the provisions of G.S. 143B-438.10, whichever comes first.
Section 4.  This act becomes effective July 1, 1999.