S.F. 291 DIVISION I 1 FY 2013-2014 WORKFORCE TRAINING PROGRAM APPROPRIATIONS 2 Section 1. DEPARTMENT OF EDUCATION. There is appropriated 3 from the general fund of the state to the department of 4 education for the fiscal year beginning July 1, 2013, and 5 ending June 30, 2014, the following amount, or so much thereof 6 as is necessary, to be used for the purposes designated: 7 1. COMMUNITY COLLEGES. 8 a. For deposit in the statewide work-based learning 9 intermediary network fund created pursuant to section 256.40, 10 subsection 1: 11 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,000,000 12 b. For deposit in the workforce training and economic 13 development funds created pursuant to section 260C.18A: 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 15,500,000 15 c. For deposit in the pathways for academic career and 16 employment fund established pursuant to section 260H.2, 17 subsection 2: 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,000,000 19 d. For distribution to community colleges for the purposes 20 of administering, providing test materials, scoring of 21 examinations, and issuance of high school equivalency diplomas 22 under chapter 259A; administering adult basic education 23 programs; and implementing an adult literacy for the workforce 24 in Iowa program administered by the department of education: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5,350,000 26 The moneys appropriated in this paragraph “d” shall be 27 allocated pursuant to the formula established in section 28 260C.18C. 29 e. For distribution of grants to be awarded to community 30 colleges for the purpose of adult basic education programs for 31 students requiring instruction in English as a second language: 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2,000,000 33 The department shall establish an application process and 34 criteria to award grants pursuant to this paragraph “e” to 35 -1- LSB 2138SV (2) 85 je/rj 1/ 13

S.F. 291 community colleges. The criteria shall be based on need for 1 instruction in English as a second language in the region 2 served by each community college as determined by factors 3 including data from the latest federal decennial census and 4 outreach efforts to determine regional needs. 5 2. ADULT LITERACY FOR THE WORKFORCE IN IOWA PROGRAM. 6 For implementation of an adult literacy for the workforce in 7 Iowa program and related leadership activities: 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 150,000 9 Sec. 2. WORKFORCE DEVELOPMENT FUND. There is appropriated 10 from the workforce development fund account established in 11 section 15.342A to the workforce development fund created in 12 section 15.343 for the fiscal year beginning July 1, 2013, and 13 ending June 30, 2014, the following amount, for purposes of the 14 workforce development fund: 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6,000,000 16 DIVISION II 17 WORKFORCE TRAINING PROGRAMS 18 Sec. 3. Section 15.342A, Code 2013, is amended to read as 19 follows: 20 15.342A Workforce development fund account. 21 A workforce development fund account is established in the 22 office of the treasurer of state under the control of the 23 authority. The account shall receive funds pursuant to section 24 422.16A up to a maximum of four six million dollars per year. 25 The account shall also receive funds pursuant to section 15.251 26 with no dollar limitation. 27 Sec. 4. Section 15.343, subsection 2, paragraphs a and d, 28 Code 2013, are amended by striking the paragraphs. 29 Sec. 5. Section 15.343, subsection 3, paragraph a, Code 30 2013, is amended to read as follows: 31 a. Three Five million dollars shall be used for purposes 32 provided in section 260F.6 . 33 Sec. 6. Section 256.40, Code 2013, is amended to read as 34 follows: 35 -2- LSB 2138SV (2) 85 je/rj 2/ 13

S.F. 291 256.40 Statewide work-based learning intermediary network —— 1 fund —— steering committee —— regional networks. 2 1. A statewide work-based learning intermediary network 3 program is established in the department and shall be 4 administered by the department. A separate, statewide 5 work-based learning intermediary network fund is created in the 6 state treasury under the control of the department. The fund 7 shall consist of all moneys deposited in the fund, including 8 any moneys appropriated by the general assembly and any other 9 moneys available to and obtained or accepted by the department 10 from federal or private sources for purposes of the program. 11 Notwithstanding section 8.33 , moneys in the fund at the end 12 of a fiscal year shall not revert to the general fund of the 13 state. Notwithstanding section 12C.7, subsection 2 , interest 14 or earnings on moneys in the fund shall be credited to the 15 fund. 16 2. The purpose of the program shall be to build a seamless 17 career, future workforce, and economic development system in 18 Iowa to accomplish all of the following prepare students for 19 the workforce by connecting business and the education system 20 and offering relevant, work-based learning activities to 21 students and teachers. The program shall : 22 a. Better prepare students to make informed postsecondary 23 education and career decisions. 24 b. Provide communication and coordination in order to build 25 and sustain relationships between employers and local youth, 26 the education system, and the community at large. 27 c. Connect students to local career opportunities, creating 28 economic capital for the region using a skilled and available 29 workforce. 30 d. Facilitate the sharing of best practices statewide by 31 business and education leaders. 32 e. d. Provide a one-stop contact point for information 33 useful to both educators and employers, including a state-level 34 clearinghouse for information on internships, job shadowing 35 -3- LSB 2138SV (2) 85 je/rj 3/ 13

S.F. 291 experiences, and other workplace learning opportunities 1 for students that are linked to the state’s economic goals 2 students, particularly related to science, technology, 3 engineering, or mathematics occupations or targeted industries 4 as defined in section 15.102 . 5 f. Implement services for all students, staff, and districts 6 within the region and integrate workplace skills into the 7 curriculum. 8 e. Integrate services provided through the program with 9 other career exploration-related activities such as the 10 student core curriculum plan and the career information and 11 decision-making system developed and administered under section 12 279.61, where appropriate. 13 f. Facilitate the attainment of portable credentials of 14 value to employers such as the national career readiness 15 certificate, where appropriate. 16 g. Develop work-based capacity with employers. 17 h. Improve the skills of Iowa’s future workforce. 18 i. h. Provide core services, which may include student job 19 shadowing, student internships, and teacher or student tours. 20 3. The department shall establish and facilitate a steering 21 committee comprised of representatives from the department of 22 workforce development, the economic development authority, 23 the community colleges, the institutions under the control of 24 the state board of regents, accredited private institutions, 25 area education agencies, school districts, and the workplace 26 learning connection. The steering committee shall be 27 responsible for the development and implementation of the 28 statewide work-based learning intermediary network. 29 4. The steering committee shall develop a design for a 30 statewide network comprised of fifteen regional work-based 31 learning intermediary networks. The design shall include 32 network specifications, strategic functions, and desired 33 outcomes. The steering committee shall recommend program 34 parameters and reporting requirements to the department. 35 -4- LSB 2138SV (2) 85 je/rj 4/ 13

S.F. 291 5. Each regional network shall establish an advisory 1 council to develop and implement provide advice and assistance 2 to the regional network. The advisory council shall include 3 representatives of business and industry and shall meet at 4 least annually. 5 6. Each regional network or consortium of networks shall 6 annually submit a work-based learning plan to the department. 7 Each plan shall include provisions to provide core services 8 referred to in subsection 2, paragraph “h” , to all school 9 districts within the region and for the integration of job 10 shadowing and other work-based learning activities into 11 secondary career and technical education programs. 12 6. 7. a. Funds Moneys deposited in the statewide 13 work-based learning intermediary network fund created in 14 subsection 1 shall be distributed annually to each region 15 for the implementation of the statewide work-based learning 16 intermediary network based upon the distribution of the 17 kindergarten through grade twelve student enrollments in each 18 region. The amount shall not exceed three dollars per student 19 upon approval by the department of the region’s work-based 20 learning plan submitted pursuant to subsection 6 . 21 b. If the balance in the statewide work-based learning 22 intermediary network fund on July 1 of a fiscal year is one 23 million five hundred thousand dollars or less, the department 24 shall distribute moneys in the fund to regions or consortium 25 of regions on a competitive basis. If the balance in the 26 statewide work-based learning intermediary network fund on July 27 1 of a fiscal year is greater than one million five hundred 28 thousand dollars, the department shall distribute one hundred 29 thousand dollars to each region and distribute the remaining 30 moneys pursuant to the formula established in section 260C.18C. 31 7. 8. The department shall provide oversight of the 32 statewide work-based learning intermediary network and shall 33 annually evaluate the statewide and regional network progress 34 toward the outcomes identified by the steering committee 35 -5- LSB 2138SV (2) 85 je/rj 5/ 13

S.F. 291 pursuant to subsection 4 . The department shall require each 1 region to submit an annual report on its ongoing implementation 2 of the statewide work-based learning intermediary network 3 program to the department. 4 8. 9. Each regional network shall match the funds moneys 5 received pursuant to subsection 6 7 with financial resources 6 equal to at least twenty-five percent of the amount of 7 the funds moneys received pursuant to subsection 6 7 . The 8 financial resources used to provide the match may include 9 private donations, in-kind contributions, or public funds 10 moneys other than the funds moneys received pursuant to 11 subsection 6 7 . 12 10. The state board of education shall adopt rules under 13 chapter 17A for the administration of this section. 14 Sec. 7. Section 260C.18A, subsection 2, paragraph e, Code 15 2013, is amended by striking the paragraph. 16 Sec. 8. Section 260F.6, subsection 2, Code 2013, is amended 17 to read as follows: 18 2. To provide funds for the present payment of the costs 19 of a training program by the business, the community college 20 may provide to the business an advance of the moneys to be used 21 to pay for the program costs as provided in the agreement. 22 To receive the funds for this advance from the job training 23 fund established in subsection 1 , the community college shall 24 submit an application to the economic development authority. 25 The amount of the advance shall not exceed twenty-five fifty 26 thousand dollars for any business site, or fifty one hundred 27 thousand dollars within a three-fiscal-year period for any 28 business site. If the project involves a consortium of 29 businesses, the maximum award per project shall not exceed 30 fifty one hundred thousand dollars. Participation in a 31 consortium does not affect a business site’s eligibility for 32 individual project assistance. Prior to approval a business 33 shall agree to match program amounts in accordance with 34 criteria established by the authority. 35 -6- LSB 2138SV (2) 85 je/rj 6/ 13

S.F. 291 Sec. 9. Section 260H.2, Code 2013, is amended to read as 1 follows: 2 260H.2 Pathways for academic career and employment program 3 —— fund . 4 1. A pathways for academic career and employment program 5 is established to provide funding to community colleges for 6 the development of projects in coordination with the economic 7 development authority, the department of education, the 8 department of workforce development, regional advisory boards 9 established pursuant to section 84A.4 , and community partners 10 to implement a simplified, streamlined, and comprehensive 11 process, along with customized support services, to enable 12 eligible participants to acquire effective academic and 13 employment training to secure gainful, quality, in-state 14 employment. 15 2. a. A pathways for academic career and employment fund 16 is created for the community colleges in the state treasury to 17 be administered by the department of education. The moneys 18 in the pathways for academic career and employment fund are 19 appropriated to the department of education for the pathways 20 for academic career and employment program. 21 b. The aggregate total of grants awarded from the pathways 22 for academic career and employment fund during a fiscal year 23 shall not be more than five million dollars. 24 c. Moneys in the fund shall be allocated pursuant to the 25 formula established in section 260C.18C. Notwithstanding 26 section 8.33, moneys in the fund at the close of the fiscal 27 year shall not revert to the general fund of the state but 28 shall remain available for expenditure for the purpose 29 designated for subsequent fiscal years. Notwithstanding 30 section 12C.7, subsection 2, interest or earnings on moneys in 31 the fund shall be credited to the fund. 32 Sec. 10. Section 260H.3, subsection 1, paragraph b, Code 33 2013, is amended to read as follows: 34 b. Persons earning incomes at or below two hundred fifty 35 -7- LSB 2138SV (2) 85 je/rj 7/ 13

S.F. 291 percent of the federal poverty level as defined by the most 1 recently revised poverty income guidelines published by the 2 United States department of health and human services. 3 Sec. 11. Section 260H.4, subsection 2, paragraph b, Code 4 2013, is amended by adding the following new subparagraph: 5 NEW SUBPARAGRAPH . (5) Any other industry designated as 6 in-demand by a regional advisory board established pursuant to 7 section 84A.4. 8 Sec. 12. Section 260H.4, subsection 2, paragraph c, Code 9 2013, is amended by striking the paragraph. 10 Sec. 13. NEW SECTION . 260H.7A Pathway navigators. 11 1. A community college may use moneys for the pathways 12 for academic career and employment program to employ pathway 13 navigators to assist students applying for or enrolled in 14 eligible pathways for academic career and employment projects. 15 2. Pathway navigators shall provide services and support 16 to aid students in selecting pathways for academic career and 17 employment projects that will result in gainful, quality, 18 in-state employment and to ensuring students are successful 19 once enrolled in pathways for academic career and employment 20 projects. Services the pathway navigators may provide include 21 but are not limited to the following: 22 a. Interviewing and selecting students for enrollment in 23 pathways for academic career and employment projects. 24 b. Assessing students’ skills, interests, and previous 25 academic and work experience for purposes of placement in 26 pathways for academic career and employment projects. 27 c. Working with students to develop academic and career 28 plans and to adjust such plans as needed. 29 d. Assisting students in applying for and receiving 30 resources for financial aid and other forms of tuition 31 assistance. 32 e. Assisting students with the admissions process, remedial 33 education, academic credit transfer, meeting assessment 34 requirements, course registration, and other procedures 35 -8- LSB 2138SV (2) 85 je/rj 8/ 13

S.F. 291 necessary for successful completion of pathways for academic 1 career and employment projects. 2 f. Assisting in identifying and resolving obstacles to 3 students’ successful completion of pathways for academic career 4 and employment projects. 5 g. Connecting students with useful college resources 6 or outside support services such as access to child care, 7 transportation, and tutorial assistance, as needed. 8 h. Maintaining ongoing contact with students enrolled 9 in pathways for academic career and employment projects and 10 ensuring students are making satisfactory progress toward the 11 successful completion of projects. 12 i. Providing support to students transitioning from remedial 13 education, short-term training, and classroom experience to 14 employment. 15 j. Coordinating activities with community-based 16 organizations that serve as key recruiters for pathways for 17 academic career and employment projects and assisting students 18 throughout the recruitment process. 19 k. Coordinating adult basic education services. 20 Sec. 14. NEW SECTION . 260H.7B Regional industry sector 21 partnerships. 22 1. A community college may use moneys for the pathways for 23 academic career and employment program to provide staff and 24 support for the development and implementation of regional 25 industry sector partnerships within the region served by the 26 community college. 27 2. Regional, industry sector partnerships may include but 28 are not limited to the following activities: 29 a. Bringing together representatives from industry sectors, 30 government, education, local workforce boards, community-based 31 organizations, labor, economic development organizations, 32 and other stakeholders within the regional labor market to 33 determine how pathways for academic career and employment 34 projects should address workforce skills gaps, occupational 35 -9- LSB 2138SV (2) 85 je/rj 9/ 13

S.F. 291 shortages, and wage gaps. 1 b. Integrating pathways for academic career and employment 2 projects and other existing supply-side strategies with 3 workforce needs within the region served by the community 4 college. 5 c. Developing pathways for academic career and employment 6 projects that focus on the workforce skills, from entry level 7 to advanced, required by industry sectors within the region 8 served by the community college. 9 Sec. 15. Section 260I.4, subsection 6, Code 2013, is amended 10 to read as follows: 11 6. Eligibility for tuition assistance under this chapter 12 shall be limited to persons earning incomes at or below 13 two hundred fifty percent of the federal poverty level as 14 defined by the most recently revised poverty income guidelines 15 published by the United States department of health and human 16 services. 17 Sec. 16. Section 260I.5, Code 2013, is amended by adding the 18 following new subsection: 19 NEW SUBSECTION . 5. Costs of providing direct staff 20 support services including but not limited to marketing, 21 outreach, application, interview, and assessment processes. 22 Eligible costs for this purpose shall be limited to twenty 23 percent of any allocation of moneys to the two smallest 24 community colleges, ten percent of any allocation of moneys 25 to the two largest community colleges, and fifteen percent of 26 any allocation of moneys to the remaining eleven community 27 colleges. Community college size shall be determined based on 28 the most recent three-year rolling average full-time equivalent 29 enrollment. 30 Sec. 17. Section 422.16A, Code 2013, is amended to read as 31 follows: 32 422.16A Job training withholding —— certification and 33 transfer. 34 Upon the completion by a business of its repayment 35 -10- LSB 2138SV (2) 85 je/rj 10/ 13

S.F. 291 obligation for a training project funded under chapter 1 260E , including a job training project funded under section 2 15A.8 or repaid in whole or in part by the supplemental new 3 jobs credit from withholding under section 15A.7 or section 4 15E.197 , the sponsoring community college shall report to 5 the economic development authority the amount of withholding 6 paid by the business to the community college during the 7 final twelve months of withholding payments. The economic 8 development authority shall notify the department of revenue 9 of that amount. The department shall credit to the workforce 10 development fund account established in section 15.342A 11 twenty-five percent of that amount each quarter for a period 12 of ten years. If the amount of withholding from the business 13 or employer is insufficient, the department shall prorate the 14 quarterly amount credited to the workforce development fund 15 account. The maximum amount from all employers which shall be 16 transferred to the workforce development fund account in any 17 year is four six million dollars. 18 EXPLANATION 19 This bill relates to workforce training programs, including 20 making appropriations for workforce training programs for 21 fiscal year 2013-2014. The bill is organized into divisions. 22 FY 2013-2014 WORKFORCE TRAINING APPROPRIATIONS. The bill 23 appropriates moneys from the general fund of the state to the 24 department of education for deposit in the statewide work-based 25 learning intermediary network fund established pursuant to Code 26 section 256.40. 27 The bill appropriates moneys from the general fund of 28 the state to the department of education for deposit in the 29 workforce training and economic development funds created 30 pursuant to Code section 260C.18A. 31 The bill appropriates moneys from the general fund of 32 the state to the department of education for deposit in the 33 pathways for academic career and employment fund established 34 pursuant to Code section 260H.2. 35 -11- LSB 2138SV (2) 85 je/rj 11/ 13

S.F. 291 The bill appropriates moneys from the general fund of 1 the state to the department of education for distribution 2 to community colleges for the purposes of administering, 3 providing test materials, scoring of examinations, and 4 issuance of high school equivalency diplomas under Code 5 chapter 259A; administering adult basic education programs; 6 and implementing an adult literacy for the workforce in Iowa 7 program administered by the department of education. The 8 bill appropriates moneys from the general fund of the state 9 to the department of education for distribution of grants to 10 be awarded to community colleges for the purpose of adult 11 basic education programs for students requiring instruction in 12 English as a second language. The bill requires the department 13 to establish an application process and criteria for the 14 awarding of grants and provides for certain required criteria. 15 The bill appropriates moneys from the general fund of the 16 state to the department of education for implementation of an 17 adult literacy for the workforce in Iowa program and related 18 leadership activities. 19 The bill appropriates moneys from the workforce development 20 fund account established pursuant to Code section 15.342A to 21 the workforce development fund created pursuant to Code section 22 15.343. 23 WORKFORCE TRAINING PROGRAMS. The bill increases the maximum 24 amount that can be transferred to the workforce development 25 fund account established pursuant to Code section 15.342A 26 for job training withholding moneys pursuant to Code section 27 422.16A relating to certain job training programs. The bill 28 provides that additional moneys in the workforce development 29 fund can be used for the purposes of job training under Code 30 chapter 260F. The bill makes changes relating to the purposes 31 for which moneys in the workforce development fund can be used. 32 The bill also increases the amount that a community college can 33 advance to a business or consortium of businesses to cover the 34 cost of job training under Code chapter 260F. 35 -12- LSB 2138SV (2) 85 je/rj 12/ 13

S.F. 291 The bill makes various changes to the statewide work-based 1 learning intermediary network program under Code section 2 256.40, including modifying the purposes of the program and 3 the duties of the steering committee, regional networks, and 4 regional advisory councils for the program; establishing 5 requirements for the distribution of funds in the statewide 6 work-based learning intermediary network fund; establishing 7 annual planning and reporting requirements; and establishing 8 rulemaking authority for the program. 9 The bill makes various changes to the pathways for academic 10 career and employment program under Code chapter 260H. The 11 bill establishes a pathways for academic career and employment 12 fund in the state treasury for the community colleges to be 13 administered by the department of education. Moneys in the 14 fund shall be allocated pursuant to the formula established 15 in Code section 260C.18C. The bill makes changes relating 16 to eligibility criteria for the program. The bill provides 17 that funds for the program can be used by community colleges 18 to employ pathway navigators to provide various services to 19 aid students in selecting pathways for academic career and 20 employment projects that will result in gainful, quality, 21 in-state employment and to ensure students are successful once 22 enrolled in such projects. The bill provides that funds for 23 the program can be used by community colleges to establish 24 regional industry sector partnerships. Partnerships may 25 include various activities to further the ability of pathways 26 for academic career and employment projects to meet the 27 workforce needs of industry sectors within the region served 28 by a community college. 29 The bill makes changes to the gap tuition assistance program 30 under Code chapter 260I. The bill modifies eligibility 31 criteria for the program and costs eligible for coverage by 32 tuition assistance under the program. 33 -13- LSB 2138SV (2) 85 je/rj 13/ 13