HSB 602 (LSB 5471XL (14) 87)

SENATE/HOUSE FILE _____

BY  (PROPOSED GOVERNOR BILL)

A BILL FOR

An Act creating a future ready Iowa Act to strengthen workforce development by establishing a registered apprenticeship development program, a volunteer mentoring program, a summer youth intern program, summer postsecondary courses for high school students that are aligned with high-demand career pathways, an employer innovation fund, and future ready Iowa skilled workforce scholarship and grant programs and funds, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

DIVISION I
TITLE OF ACT

    Section 1.  TITLE OF ACT.  This Act shall be known and may be cited as the “Future Ready Iowa Act”.
DIVISION II
ECONOMIC DEVELOPMENT AUTHORITY —— FUTURE READY IOWA REGISTERED APPRENTICESHIP DEVELOPMENT PROGRAM

    Sec. 2.  Section 15.106A, subsection 2, paragraph a, Code 2018, is amended to read as follows:
   a.  That through this section and section 15.106B, the authority has been granted broad general powers and specific program powers over all of the authority’s statutory programs, including but not limited to the programs created pursuant to chapters 15, 15A, 15B, 15C, 15E, and 15J.
    Sec. 3.  Section 15B.4, Code 2018, is amended by adding the following new subsection:
   NEW SUBSECTION.  5.  An apprenticeship sponsor receiving financial assistance under this chapter is ineligible for financial assistance under section 15C.1 during the same fiscal year.
    Sec. 4.  NEW SECTION.  15C.1  Future ready Iowa registered apprenticeship development program.
   1.  Definitions.  For purposes of this section, unless the context otherwise requires:
   a.  “Applicant” means a new or existing apprenticeship sponsor located in Iowa that has established an apprenticeship program involving an eligible apprenticeable occupation that is located in Iowa and approved by the United States department of labor, office of apprenticeship.
   b.  “Apprentice” means a person who is at least sixteen years of age, except where a higher minimum age is required by law, who is employed in an apprenticeable occupation, and is registered in Iowa with the United States department of labor, office of apprenticeship.
   c.  “Apprenticeable occupation” means an occupation approved for apprenticeship by the United States department of labor, office of apprenticeship.
   d.  “Apprenticeship program” means a program registered with the United States department of labor, office of apprenticeship, which includes terms and conditions for the qualification, recruitment, selection, employment, and training of apprentices, including the requirement for a written apprenticeship agreement.
   e.  “Apprenticeship sponsor” means an entity operating an apprenticeship program or an entity in whose name an apprenticeship program is being operated, which is registered with or approved by the United States department of labor, office of apprenticeship.
   f.  “Authority” means the economic development authority created in section 15.105.
   g.  “Eligible apprenticeable occupation” means an apprenticeable occupation identified by the workforce development board pursuant to section 84A.1B, subsection 13A, as a high-demand job, after consultation with the authority. 
   h.  “Financial assistance” means assistance provided only from the funds, rights, and assets legally available to the authority and includes but is not limited to assistance in the form of a reimbursement grant to support the costs associated with establishing a new eligible apprenticeable occupation or an additional eligible apprenticeable occupation in an applicant’s apprenticeship program.
   2.  Program created.  Subject to an appropriation of funds by the general assembly for this purpose, a future ready Iowa registered apprenticeship development program is created which shall be administered by the authority. The purpose of the program is to provide financial assistance to incentivize small and medium-sized apprenticeship sponsors to establish new or additional eligible apprenticeable occupations in the apprenticeship sponsor’s apprenticeship program in order to support the growth of apprenticeship programs and expand high-quality work-based learning experiences in high-demand fields and careers for persons who are employed in eligible apprenticeable occupations in Iowa.
   3.  Application requirements —— restriction.  An apprenticeship sponsor may apply to the authority, on forms provided by the authority and in accordance with the authority’s instructions, to receive financial assistance under the program. The authority shall provide upon request and on the authority’s internet site information about the program, the application, application instructions, and the application period established each year for funding available under the program. The application shall include a description of how the financial assistance awarded under this section would be used to establish an apprenticeship program or add new or additional apprenticeable occupations to the apprenticeship sponsor’s apprenticeship program and the anticipated program expenses identified by the applicant.
   a.  An apprenticeship sponsor is eligible to apply for financial assistance for a new or additional eligible apprenticeable occupation, in addition to existing apprenticeship occupations in the apprenticeship sponsor’s apprenticeship program, if all of the following conditions are met:
   (1)  Twenty or fewer apprentices are registered in the existing apprenticeship program as of December 31 of the calendar year prior to the date the authority receives the apprenticeship sponsor’s application.
   (2)  More than seventy percent of the applicant’s apprentices shall be residents of Iowa. In determining the number of apprentices in an applicant’s apprenticeship program, the authority may calculate the average number of apprentices in the program within the most recent two-year period.
   b.  An apprenticeship sponsor receiving financial assistance under chapter 15B is ineligible for financial assistance under this section during the same fiscal year.
   4.  Rules.  The authority shall adopt rules pursuant to chapter 17A establishing a staff review and application approval process, application scoring criteria, the minimum score necessary for approval of financial assistance, procedures for notification of an award of financial assistance, the terms of agreement between the apprenticeship sponsor and the authority, and any other rules deemed necessary for the implementation and administration of this section.
   5.  Agreement.  Prior to distributing financial assistance under this section, the authority shall enter into an agreement with the apprenticeship sponsor awarded financial assistance in accordance with this section, and the financial assistance recipient shall confirm the expenses for establishing the program or adding the additional occupations as identified in the approved application, and shall meet all terms established by the authority for receipt of financial assistance under this section.
   6.  Use of moneys appropriated —— administration.
   a.  The annual administrative expenditures as a percent of the moneys appropriated for a fiscal year for purposes of this section shall not exceed two percent.
   b.  Notwithstanding section 8.33, moneys appropriated to the authority by the general assembly for purposes of this section that remain unencumbered or unobligated at the end of the fiscal year shall not revert to the general fund but shall remain available for expenditure for the purposes designated in subsequent fiscal years.
DIVISION III
FUTURE READY IOWA —— VARIOUS PROGRAMS

    Sec. 5.  Section 15H.1A, Code 2018, is amended by adding the following new subsection:
   NEW SUBSECTION.  1A.  “Commission” means the Iowa commission on volunteer service created in section 15H.2.
    Sec. 6.  NEW SECTION.  15H.9  Volunteer mentor program.
   1.  Subject to an appropriation of funds by the general assembly for this purpose, the commission shall establish a volunteer mentor program to support implementation of the future ready Iowa skilled workforce last-dollar scholarship and the future ready Iowa skilled workforce grant programs created in sections 261.130 and 261.131. The commission, in collaboration with the department of workforce development and the college student aid commission, shall adopt rules pursuant to chapter 17A to implement and administer the volunteer mentor program, and shall establish standards, guidelines, and expectations for a productive and appropriate relationship between mentors and mentees, including helping students meet the future ready Iowa skilled workforce last-dollar scholarship program or future ready Iowa skilled workforce grant requirements, as appropriate; identify work-based learning opportunities; and make career-related connections that are advantageous to persons participating in the volunteer mentor program.
   2.  The prospective volunteer mentor shall have successfully passed a background investigation conducted by the division of criminal investigation of the department of public safety and a check of the national sex offender registry.
   3.  The commission shall enter into written agreements with prospective mentors and mentees under the program. Under such an agreement, prospective mentors and mentees agree to abide by the standards, guidelines, and expectations established by the commission pursuant to subsection 1.
   4.  The commission, in collaboration with the department of workforce development and the college student aid commission, and in cooperation with an eligible institution as defined in section 261.130 or 261.131, as appropriate, shall assign a student, who is a recipient of a future ready Iowa skilled workforce last-dollar scholarship under section 261.130 or a future ready Iowa skilled workforce grant under section 261.131, who requests the assignment of a mentor, and who enters into an agreement under subsection 3, to a mentor appropriate to the prospective mentee’s field of study whenever possible.
   5.  The commission shall maintain, and regularly update, a list of the mentor and mentee pairings and the dates of inception of the mentor and mentee pairings.
   6.  Notwithstanding section 8.33, moneys appropriated to the economic development authority for allocation to the commission for purposes of this section that remain unencumbered or unobligated at the close of a fiscal year shall not revert but shall remain available to be used for the purposes designated in this section until the close of the succeeding fiscal year.
    Sec. 7.  Section 84A.1B, Code 2018, is amended by adding the following new subsections:
   NEW SUBSECTION.  13A.  Create, and update as necessary, a list of high-demand jobs statewide for purposes of the future ready Iowa registered apprenticeship development program created in section 15C.1, the summer youth intern pilot program established under section 84A.12, the Iowa employer innovation program established under section 84A.13, the future ready Iowa skilled workforce last-dollar scholarship program established under section 261.130, the future ready Iowa skilled workforce grant program established under section 261.131, and postsecondary summer classes for high school students as provided under section 261E.8, subsection 7A. The workforce development board shall have full discretion to select and prioritize high-demand jobs after consulting with business and education stakeholders, as appropriate, and seeking public comment. For purposes of this subsection, “high-demand job” means a job in the state for which the board determines work opportunities are available and qualified applicants are lacking.
   NEW SUBSECTION.  13B.  Compile an annual report, in an aggregate form to protect the confidentiality of each eligible program’s participants, that includes the number of students receiving scholarships under section 261.130, the number of students receiving grants under section 261.131, the number of scholarship and grant recipients completing a program of study or major annually and in the prescribed timeframe under sections 261.130 and 261.131, the number of eligible institutions participating in the scholarship and grant programs established under sections 261.130 and 261.131, the number of written agreements entered into by the volunteer mentor program under section 15H.9, statistics on employment outcomes for future ready Iowa skilled workforce last-dollar scholarship and future ready Iowa skilled workforce grant program participants by industry, and other data as may be deemed pertinent by the department or the college student aid commission. The department shall submit the initial report by January 15, 2021, and by January 15 annually thereafter, to the governor and the general assembly.
    Sec. 8.  Section 84A.5, subsection 7, Code 2018, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  0d.  The Iowa employer innovation program established under section 84A.13.
    Sec. 9.  Section 84A.6, subsection 4, Code 2018, is amended by striking the subsection.
    Sec. 10.  NEW SECTION.  84A.12  Summer youth intern pilot program.
   1.  A summer youth intern pilot program is established within the department of workforce development to provide youths who are at risk of not graduating from high school, who are from low-income households, who are from communities underrepresented in the Iowa workforce, or who otherwise face barriers to success and upward mobility in the labor market, with internship opportunities that allow these youths to explore and prepare for high-demand careers, to gain work experience, and to develop personal attributes necessary to succeed in the workplace.
   2.  Subject to an appropriation of funds by the general assembly for this purpose, the department of workforce development shall award grants for summer youth intern pilot projects on a competitive basis as provided in this section. The department shall work with employers, nonprofit organizations, and educational institutions to place youth in internships primarily in high-demand career fields.
   3.  The department of workforce development shall annually issue a request for proposals to the public, specifying the expectations and requirements for summer youth intern pilot project grant qualification, including but not limited to the provision of facilities, programming, staffing, and outcomes.
   4.  The department of workforce development shall give full and fair consideration to each proposal submitted under subsection 3, and shall award grants after considering, at a minimum, the following:
   a.  The bidder’s history and experience in the community.
   b.  The capacity to serve a substantial number of youth.
   c.  The suitability of the available facilities.
   d.  The bidder’s contacts and partnerships in the community that can be leveraged to maximize opportunity for project participants.
   e.  The capacity to provide employability skills, including but not limited to training relating to soft skills, financial literacy, and career development.
    Sec. 11.  NEW SECTION.  84A.13  Iowa employer innovation program —— fund.
   1.  For purposes of this section, “high-demand job” means a job identified by the workforce development board pursuant to section 84A.1B, subsection 13A, as a high-demand job.
   2.  Subject to an appropriation of funds by the general assembly for this purpose, the Iowa employer innovation program is established in the department of workforce development. The department shall administer the program in consultation with the workforce development board. The purpose of the Iowa employer innovation program is to expand opportunities for credit and noncredit education and training leading to high-demand jobs for the residents of Iowa and to encourage Iowa employers, community leaders, and others to provide leadership and support for regional workforce talent pools throughout the state.
   3.  The department of workforce development shall adopt rules under chapter 17A establishing a program application and award process to match employer moneys and the criteria for the allocation of moneys in the fund established pursuant to subsection 4. An employer, employer consortium, community organization, or other entity seeking matching moneys shall submit an application and a proposal to the department. In awarding matching moneys, the department shall take into account various factors, including but not limited to all of the following:
   a.  The range of high-demand jobs, innovative measures, and geographic fairness and equity included in the proposal.
   b.  Whether the proposal increases the number of eligible students receiving financial assistance under the future ready Iowa skilled workforce last-dollar scholarship or future ready Iowa skilled workforce grant programs established under sections 261.130 and 261.131; or increases the donation of books, transportation, child care, and other wrap-around support to assist eligible students receiving financial assistance under section 261.130 or 261.131.
   c.  Whether the proposal includes performance-based bonuses paid when high school students earn national industry-recognized credentials aligned with high-demand jobs that meet regional workforce needs.
   d.  Whether the proposal expands internships leading to high-demand jobs.
   e.  Whether the proposal offers innovative ways of expanding opportunities for credit and noncredit education and training leading to high-demand jobs.
   4.  An Iowa employer innovation fund is created in the state treasury as a separate fund under the control of the department of workforce development, in consultation with the workforce development board. The fund shall consist of any moneys appropriated by the general assembly and any other moneys available to and obtained or accepted by the department from the federal government. The assets of the fund shall be used by the department only for purposes of this section. All moneys deposited or paid into the fund are appropriated and made available to the board to be used for purposes of this section. Notwithstanding section 8.33, any balance in the fund on June 30 of each fiscal year shall not revert to the general fund of the state, but shall be available for purposes of this section in subsequent fiscal years.
    Sec. 12.  Section 261.130, Code 2018, is amended by striking the section and inserting in lieu thereof the following:
   261.130  Future ready Iowa skilled workforce last-dollar scholarship program.
   1.  Definitions.  As used in this section, unless the context otherwise requires:
   a.  “Commission” means the college student aid commission.
   b.  “Credential” means a postsecondary certificate, diploma, or degree, conferring no more than an associate degree, awarded by an eligible institution and earned in a program of study that leads to a high-demand job and is authorized for federal student aid under Tit. IV of the federal Higher Education Act of 1965, as amended.
   c.  “Eligible institution” means a community college as defined in section 260C.2 or an accredited private institution as defined in section 261.9, that meets all of the following criteria:
   (1)  Applies to and is approved by the commission to participate in the future ready Iowa skilled workforce last-dollar scholarship program.
   (2)  Requires eligible students to complete and file application forms required by the commission, apply for all available state and federal financial aid, apply to the eligible institution to participate in the program, attend orientation in person or virtually, register for classes with the assistance of an academic advisor, and participate in academic and career advising sessions offered under the program.
   (3)  Facilitates, in collaboration with the commission on volunteer service created in section 15H.2, the assignment of a volunteer mentor to each eligible student, based on the eligible student’s interest. The volunteer mentor shall have successfully passed a background investigation and a check of the national sex offender registry as required under section 15H.9, subsection 2, and both the eligible student and the volunteer mentor shall have entered into a written agreement as provided in section 15H.9, subsection 3.
   (4)  Facilitates connections through campus career centers and services to internships and similar local, state, and federal programs.
   (5)  Markets the eligible institution’s future ready Iowa program of study and optional incentives, which may include but not be limited to credit for military experience, on the eligible institution’s internet site and to other relevant agencies and organizations as recommended by the college student aid commission, the commission on volunteer service, or the department of workforce development.
   (6)  Submits annually information and data regarding the eligible program operated by the eligible institution, the students and volunteer mentors participating in the eligible program, scholarship recipient eligible program completion results, and statistics on employment outcomes for eligible program participants by industry, to the commission in the manner required by the commission.
   d.  “Eligible program” means a program of study or an academic major jointly approved by the commission and the department of workforce development, in consultation with an eligible institution, that leads to a credential aligned with a high-demand job designated by the workforce development board pursuant to section 84A.1B, subsection 13A. If the department removes a high-demand job from the list created under section 84A.1B, subsection 13A, an eligible student who received a scholarship for a program based on that high-demand job shall continue to receive the scholarship until achieving a postsecondary credential, up to an associate degree, as long as the student continues to meet all other eligibility requirements.
   e.  “Eligible student” means an Iowa resident who meets all of the following requirements:
   (1)  Is either a new graduate of an Iowa high school who enrolls full-time in an eligible program at an eligible institution by the fall semester, or the equivalent, following graduation from high school or completion of private instruction under chapter 299A; or is an adult learner who has received a high school diploma or a high school equivalency diploma, who enrolls in an eligible program in an eligible institution as a full-time or part-time student.
   (2)  Completes and submits application forms required by the commission, including the free application for federal student aid; applies for all available state and federal financial aid; attends orientation in person or virtually; registers for classes with the assistance of an academic advisor; and participates in academic and career advising sessions required under the eligible program. To receive a renewal of a scholarship awarded under this section, an eligible student must annually submit a new application to the commission for reevaluation of eligibility.
   (3)  Is making satisfactory academic progress as defined by the eligible institution.
   (4)  Remains continuously enrolled unless granted a leave of absence by the eligible institution based on criteria adopted by rule by the commission.
   f.  “Full-time” means enrollment in at least twelve semester hours or the equivalent.
   g.  “Part-time” means enrollment in at least six but less than twelve semester hours or the equivalent.
   2.  Allowable activities.  An eligible student may work with an assigned volunteer mentor to help the student meet the requirements of this section or the requirements of an eligible program, identify and participate in work-based learning opportunities with the approval of the eligible institution, and make other career-related connections.
   3.  Scholarship limitations —— requirements.
   a.  For an eligible student who is attending an eligible institution that is a community college during the fall, spring, or summer term of enrollment, and is pursuing a postsecondary credential up to an associate degree, the annual amount of a future ready Iowa skilled workforce last-dollar scholarship, when combined with other state and federal nonrepayable student aid, shall not exceed an amount equivalent to the tuition and any mandatory institution-wide fees charged by the community college for the eligible program. For an eligible student pursuing a postsecondary credential up to an associate degree at an eligible institution that is an accredited private institution during the fall, spring, or summer term of enrollment, the annual amount of a future ready Iowa skilled workforce last-dollar scholarship, when combined with other state and federal nonrepayable student aid, shall not exceed an amount equivalent to the average tuition rate plus the average institution-wide mandatory fees charged during the same term of enrollment by the eligible institutions that are community colleges.
   b.  If an eligible student receives nonrepayable financial aid under any other state or federal program, the full amount of that aid shall be considered part of the student’s available financial resources before determining the amount of the student’s future ready Iowa skilled workforce last-dollar scholarship for the same period during which the student receives other state or federal financial aid. However, each eligible student enrolled full-time in an eligible program shall receive at least five hundred dollars annually, and the amount received by each eligible part-time student shall be the same amount prorated by the commission based on the number of semester hours, or the equivalent, for which the part-time student is enrolled.
   c.  A full-time eligible student may receive a future ready Iowa skilled workforce last-dollar scholarship for not more than five semesters, or the equivalent, or until the eligible student earns the credential sought, up to an associate degree, under the program, whichever occurs first. A part-time eligible student may receive the scholarship for not more than eight semesters, or the equivalent, on a prorated basis, or until the eligible student earns the credential sought, up to an associate degree, under the eligible program, whichever occurs first. All classes identified by an eligible institution as required for completion of the eligible program by the eligible student shall be considered required under the eligible program for purposes of this section.
   d.  A future ready Iowa skilled workforce last-dollar scholarship shall be awarded on an annual basis, requiring reapplication by an eligible student each year. Scholarship payments shall be allocated equally among the semesters, or the equivalent, and paid upon certification by the eligible institution that the student meets the requirements of subsection 1, paragraph “e”.
   e.  If a scholarship recipient discontinues attendance before the end of any semester, or the equivalent, after receiving scholarship payments, the entire amount of any refund due that recipient, up to the full amount of all of the annual scholarship payments made, shall be paid by the eligible institution to the commission. A scholarship recipient, who is not approved for a leave of absence by the eligible institution, who discontinues attendance before the end of a semester, or the equivalent, is ineligible to receive future scholarships under this section.
   4.  Commission’s duties and responsibilities.  Subject to an appropriation of funds by the general assembly for purposes of this section, the commission shall administer the future ready Iowa skilled workforce last-dollar scholarship program and shall do all of the following:
   a.  Provide application forms for distribution to students by high schools and eligible institutions.
   b.  Adopt rules under chapter 17A, in collaboration with the department of workforce development, for administration of this section, including but not limited to establishing the duties and responsibilities of eligible institutions under the program; defining residence and satisfactory academic progress for purposes of the program; and establishing procedures for scholarship application, processing, and approval. The rules shall provide for determining the priority awarding of scholarships if funds available for purposes of this section are insufficient to pay all eligible students. Priority shall be given to fully awarding each eligible student approved for a scholarship rather than to prorating scholarship awards among all eligible students.
   c.  Approve and award future ready Iowa skilled workforce last-dollar scholarships on an annual basis.
   d.  Transmit to the department of workforce development the compilation of information, data, and statistics submitted in accordance with subsection 1, paragraph “c”, subparagraph (6), for the annual report required under section 84A.1B.
   5.  Fund created.  A future ready Iowa skilled workforce last-dollar scholarship fund is created in the state treasury as a separate fund under the control of the commission. All moneys deposited or paid into the fund are appropriated and made available to the commission to be used for scholarships awarded as provided under this section. Notwithstanding section 8.33, any balance in the fund on June 30 of each fiscal year shall not revert to the general fund of the state, but shall be available for purposes of this section in subsequent fiscal years.
    Sec. 13.  NEW SECTION.  261.131  Future ready Iowa skilled workforce grant program.
   1.  Definitions.  As used in this section, unless the context otherwise requires:
   a.  “Commission” means the college student aid commission.
   b.  “Eligible institution” means an institution of higher learning governed by the state board of regents or an accredited private institution as defined in section 261.9, that meets all of the following criteria:
   (1)  Applies to and is approved by the commission to participate in the future ready Iowa skilled workforce grant program.
   (2)  Requires eligible students to complete and file application forms required by the commission, apply for all available state and federal financial aid, apply to the eligible institution to participate in the program, attend orientation in person or virtually, register for classes with the assistance of an academic advisor, and participate in academic and career advising sessions required under the program.
   (3)  Certifies that prior to participating in the program an eligible student has earned at least half of the credits necessary for a bachelor’s degree and is able to complete a bachelor’s degree in an eligible program of study or academic major leading to a designated high-demand job in the prescribed grant time frame.
   (4)  Facilitates the assignment of a volunteer mentor to each eligible student based on the eligible student’s interest. The volunteer mentor shall have successfully passed a background investigation and a check of the national sex offender registry as required under section 15H.9, subsection 2, and both the eligible student and the volunteer mentor shall have entered into a written agreement as provided in section 15H.9, subsection 3.
   (5)  Facilitates connections through campus career centers and services to internships and similar local, state, and federal programs.
   (6)  Markets the eligible institution’s eligible program and optional incentives, which may include but not be limited to credit for military experience, on the eligible institution’s internet site and to other relevant agencies and organizations as recommended by the college student aid commission, the commission on volunteer service, or the department of workforce development.
   (7)  Submits annually information and data regarding the eligible program operated by the eligible institution, the students and volunteer mentors participating in the eligible program, and statistics on employment outcomes for eligible program participants by industry, to the commission in the manner required by the commission.
   c.  “Eligible program” means a program of study or an academic major jointly approved by the commission and the department of workforce development, in consultation with the eligible institution, that leads to a bachelor’s degree aligned with a high-demand job designated by the workforce development board pursuant to section 84A.1B, subsection 13A. If the department removes a high-demand job from the list created under section 84A.1B, subsection 13A, an eligible student who received a grant for a program based on that high-demand job shall continue to receive the grant until achieving a bachelor’s degree as long as the student continues to meet all other eligibility requirements. 
   d.  “Eligible student” means an Iowa resident who meets all of the following requirements:
   (1)  Has earned at least half of the credits necessary for a bachelor’s degree and is able to complete a bachelor’s degree in an eligible program of study or academic major leading to a designated high-demand job in the prescribed grant time frame.
   (2)  Completes and submits application forms required by the commission, including the free application for federal student aid; applies for all available state and federal financial aid; attends orientation in person or virtually; registers for classes with the assistance of an academic advisor; and participates in academic and career advising sessions required under the eligible program. To receive a renewal of a grant awarded under this section, an eligible student must annually submit a new application to the commission for reevaluation of eligibility.
   (3)  Has not been enrolled in postsecondary education during the twenty-four months preceding the date on which the commission receives the individual’s application to participate in the program.
   (4)  Enrolls in at least six semester hours, or the equivalent, in an eligible program. However, an eligible student may enroll in fewer than six semester hours, or the equivalent, if the eligible student needs fewer than six semester hours of credit, or the equivalent, to achieve a bachelor’s degree under the eligible program.
   (5)  Is making satisfactory academic progress as defined by the eligible institution.
   (6)  Remains continuously enrolled unless granted a leave of absence by the eligible institution based on criteria adopted by rule by the commission.
   e.  “Full-time” means enrollment in at least twelve semester hours or the equivalent.
   f.  “Part-time” means enrollment in at least six but less than twelve semester hours or the equivalent.
   2.  Allowable activities.  An eligible student may work with an assigned volunteer mentor to help the student meet the requirements of this section or the requirements of an eligible program, identify and participate in work-based learning opportunities with the approval of the eligible institution, and make other career-related connections.
   3.  Grant limitations —— requirements.
   a.  A full-time eligible student may receive a future ready Iowa skilled workforce grant annually for not more than four semesters, or the equivalent, or until the eligible student earns a bachelor’s degree under the program, whichever occurs first. A part-time eligible student may receive the grant for not more than eight semesters, or the equivalent, on a prorated basis, or until the eligible student earns a bachelor’s degree under the eligible program, whichever occurs first.
   b.  The amount of a future ready Iowa skilled workforce grant to a full-time eligible student shall be at least one thousand dollars annually. The amount of a future ready Iowa skilled workforce grant to a part-time eligible student shall be equal to the amount that would be awarded to a full-time student except that the commission shall prorate the amount based on the recipient student’s semester hour or equivalent enrollment.
   c.  A future ready Iowa skilled workforce grant shall be awarded on an annual basis, requiring reapplication by an eligible student each year. Payments under the grant shall be allocated equally among the semesters, or the equivalent, and paid upon certification by the eligible institution that the student meets the requirements of subsection 1, paragraph “d”.
   d.  If a grant recipient discontinues attendance before the end of any semester, or the equivalent, after receiving grant payments, the entire amount of any refund due that recipient, up to the full amount of all annual grant payments made, shall be paid by the eligible institution to the commission.
   4.  Commission’s duties and responsibilities.  Subject to an appropriation of funds by the general assembly for purposes of this section, the commission shall administer the future ready Iowa skilled workforce grant program and shall do all of the following:
   a.  Provide application forms for distribution to students by eligible institutions.
   b.  Adopt rules under chapter 17A, in collaboration with the department of workforce development, for administration of this section, including but not limited to establishing the duties and responsibilities of eligible institutions under the program; defining residence and satisfactory academic progress for purposes of the program; and establishing procedures for grant application, processing, and approval. The rules shall provide for determining the priority awarding of grants if funds available for purposes of this section are insufficient to pay all eligible students. Priority shall be given to fully awarding each eligible student approved for a grant rather than to prorating grant awards among all eligible students.
   c.  Approve and award grants on an annual basis.
   d.  Transmit to the department of workforce development the compilation of information, data, and statistics submitted in accordance with subsection 1, paragraph “b”, subparagraph (7), for the annual report required under section 84A.1B.
   5.  Fund created.  A future ready Iowa skilled workforce grant fund is created in the state treasury as a separate fund under the control of the commission. All moneys deposited or paid into the fund are appropriated and made available to the commission to be used for grants awarded as provided under this section. Notwithstanding section 8.33, any balance in the fund on June 30 of each fiscal year shall not revert to the general fund of the state, but shall be available for purposes of this section in subsequent fiscal years.
    Sec. 14.  Section 261E.8, Code 2018, is amended by adding the following new subsection:
   NEW SUBSECTION.  7A.  Subject to an appropriation of funds by the general assembly for this purpose, the department shall establish a program to provide additional funds for resident high school pupils enrolled in grades nine through twelve to attend a community college for college-level classes or attend a class taught by a community college-employed instructor through a contractual agreement between a community college and a school district that satisfies the requirements for classes under section 257.11, subsection 3, except that the classes eligible for funding under this program are offered during the summer and outside of the regular school year and are aligned with career pathways leading to postsecondary credentials and high-demand jobs designated by the workforce development board created in section 84A.1B. A community college shall not charge students tuition for a class offered partially or completely outside of the regular school year under this program.
    Sec. 15.  EFFECTIVE DATE.  This division of this Act takes effect July 1, 2019.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to workforce development by establishing a volunteer mentoring program, a registered apprenticeship development program, an employer innovation fund, a summer youth intern program, and future ready Iowa skilled workforce scholarship and grant programs and funds, and providing for shared postsecondary summer classes for high school students that are aligned with career pathways. The bill also makes conforming changes.
   DIVISION I —— TITLE OF ACT. The bill provides that it may be known and cited as the “Future Ready Iowa Act”.
   DIVISION II —— FUTURE READY IOWA REGISTERED APPRENTICESHIP DEVELOPMENT PROGRAM. Subject to an appropriation of funds by the general assembly for this purpose, the bill creates a future ready Iowa registered apprenticeship development program, to be administered by the economic development authority, to provide financial assistance meant to incentivize small and medium-sized apprenticeship sponsors to establish new or additional eligible apprenticeable occupations to support the growth of apprenticeships and expand high-quality work-based learning experiences in high-demand fields and careers.
   The bill includes definitions relating to apprenticeships that correspond to U.S. department of labor standards. However, “eligible apprenticeable occupation” means those identified by the Iowa workforce development board as a high-demand job in consultation with the authority.
   To receive financial assistance, an apprenticeship sponsor must demonstrate how the program’s financial assistance would be used.
   An apprenticeship sponsor is eligible to apply for financial assistance for a new or additional apprenticeable occupation in the apprenticeship sponsor’s apprenticeship program if 20 or fewer apprentices are in the existing apprenticeship program and more than 70 percent of the applicant’s apprentices are Iowa residents.
   An apprenticeship sponsor is ineligible to receive financial assistance from this program and the apprenticeship training program established under Code chapter 15B during the same fiscal year.
   The authority’s administrative expenditures shall not exceed 2 percent of the moneys appropriated for a fiscal year for purposes of the program. Moneys appropriated for the program carry over for use in subsequent fiscal years. 
   DIVISION III —— VOLUNTEER MENTOR PROGRAM. Subject to an appropriation by the general assembly, the commission on volunteer service shall establish a volunteer mentor program to support implementation of the future ready Iowa skilled workforce last-dollar scholarship and the future ready Iowa skilled workforce grant programs. The commission must adopt rules to implement and administer the program and establish standards, guidelines, and expectations for a productive and appropriate relationship between mentors and mentees, which must be part of the required written agreements between mentors and mentees.
   A prospective volunteer mentor must have successfully passed a background investigation and a check of the national sex offender registry. The mentor assigned to a prospective mentee must be appropriate to the prospective mentee’s field of study whenever possible.
   Moneys appropriated for purposes of the program may carry over to the succeeding fiscal year for purposes of the program.
   STATE WORKFORCE DEVELOPMENT BOARD —— HIGH-DEMAND JOBS AND ANNUAL PROGRAM REPORT. The state workforce development board is directed to create and update a list of high-demand jobs statewide for purposes of the future ready Iowa registered apprenticeship development program, the summer youth intern pilot program, the Iowa employer innovation program, the future ready Iowa skilled workforce last-dollar scholarship program, the future ready Iowa skilled workforce grant program, and postsecondary summer classes for high school students. The board has full discretion to select and prioritize high-demand jobs, but must consult with business and education stakeholders, and seek public comment. “High-demand job” is defined to mean a job in the state for which the board determines work opportunities are available and qualified applicants are lacking.
   The board must also compile and submit an annual report relating to participation in the programs to the governor and the general assembly.
   SUMMER YOUTH INTERN PROGRAM. A summer youth intern program is established within the department of workforce development to promote learning by providing internship opportunities that allow youths who are at risk of not graduating from high school, are from low-income households, are from communities underrepresented in the Iowa workforce, or otherwise face barriers to success and upward mobility in the labor market, to explore and prepare for high-demand careers, to gain work experience, and to develop personal attributes necessary to succeed in the workplace.
   Subject to an appropriation of funds by the general assembly for this purpose, the department shall award grants for summer youth intern pilot projects on a competitive basis and work with employers, nonprofits, and educational institutions to place youth in internships primarily in high-demand career fields. The department must annually issue a request for proposals to the public specifying the expectations and requirements for summer youth intern pilot project grant qualification. The bill specifies what the department must consider before awarding a grant. 
   IOWA EMPLOYER INNOVATION PROGRAM AND FUND. Subject to an appropriation by the general assembly for this purpose, an Iowa employer innovation program is established in the department of workforce development to expand opportunities for credit and noncredit education and training leading to high-demand jobs for the residents of Iowa and to encourage Iowa employers, community leaders, and others to provide leadership and support for regional workforce talent pools throughout the state. 
   An employer, employer consortium, community organization, or other entity seeking matching moneys must submit an application and a proposal to the department. The bill describes the factors the department must take into account in awarding matching moneys.
   An Iowa employer innovation fund is created in the state treasury under the control of the department. Moneys in the fund carry over for use in subsequent fiscal years.
   FUTURE READY IOWA SKILLED WORKFORCE LAST-DOLLAR SCHOLARSHIP PROGRAM. A future ready Iowa skilled workforce last-dollar scholarship shall be administered by the college student aid commission subject to an appropriation of funds by the general assembly for the program. An Iowa resident, who may be a new high school graduate or adult learner, at a participating community college or accredited private institution is eligible for a scholarship if the student is enrolled in an eligible program of study leading to a certificate, diploma, or associate degree aligned with a high-demand job as designated by the state workforce development board. A full-time eligible student may receive a scholarship for not more than five semesters, or the semester equivalent, or until the eligible student earns a postsecondary credential up to an associate degree under the program, whichever occurs first. A part-time eligible student may receive the scholarship on a prorated basis for not more than eight semesters or until earning a postsecondary credential up to an associate degree, whichever occurs first.
   For an eligible student attending a community college, the annual amount of the scholarship, when combined with other state and federal nonrepayable student aid, shall not exceed an amount equivalent to the tuition and any mandatory institution-wide fees charged by the community college for the eligible program. For an eligible student pursuing an associate degree at an accredited private institution, the annual amount of the scholarship, when combined with other state and federal nonrepayable student aid, shall not exceed an amount equivalent to the average tuition rate plus the average institution-wide mandatory fees charged during the same term of enrollment by eligible community colleges. Each full-time eligible student shall receive at least $500 annually, with part-time students receiving a prorated amount. 
   If a scholarship recipient discontinues attendance before the end of any semester, and is not approved for a leave of absence by the institution, any annual refund due shall be paid by the eligible institution to the commission, and the recipient is ineligible to receive future scholarships under the program.
   The bill tasks the commission with adopting rules, including for the priority awarding of scholarships if funds are insufficient to pay all eligible students.
   The future ready Iowa skilled workforce last-dollar scholarship fund is created in the state treasury under the control of the commission. Moneys in the fund carry over for use in subsequent fiscal years.
   FUTURE READY IOWA SKILLED WORKFORCE GRANT PROGRAM. Subject to an appropriation by the general assembly for the program, the future ready Iowa skilled workforce grant shall be administered by the college student aid commission. An Iowa resident who for two years preceding application was not enrolled in a postsecondary institution is eligible for a grant if the person has earned half the credit needed for a bachelor’s degree and is enrolled in a participating regents university or accredited private institution in an eligible program that leads to a bachelor’s degree aligned with a high-demand job designated by the state workforce development board. A full-time eligible student may receive a future ready Iowa skilled workforce grant annually for not more than four semesters or until the eligible student earns a bachelor’s degree under the program, whichever occurs first. A part-time eligible student may receive the grant on a prorated basis.
   The annual grant amount to a full-time eligible student shall be at least $1,000. The annual grant amount to a part-time eligible student is prorated based on the recipient’s semester hour or equivalent enrollment.
   The grant is awarded on an annual basis, requiring reapplication by an eligible student each year.
   If a grant recipient discontinues attendance before the end of any semester, or the equivalent, the eligible institution shall pay to the commission any refund due to the recipient up to the full amount of annual grant payments made.
   The commission must adopt rules, including the priority awarding of grants if funds are insufficient to pay all eligible students.
   The future ready Iowa skilled workforce grant fund is created in the state treasury as a separate fund under the control of the commission. Moneys in the fund carry over for use in subsequent fiscal years.
   POSTSECONDARY SUMMER CLASSES FOR HIGH SCHOOL STUDENTS.  Subject to an appropriation by the general assembly, the department is directed to establish a program to provide additional funds for resident high school pupils enrolled in grades 9-12 to attend summer classes for postsecondary credit under a contractual agreement between a community college and a school district. The classes must be aligned with career pathways leading to postsecondary credentials and high-demand jobs. The bill prohibits a community college from charging a pupil tuition for such a class.
   EFFECTIVE DATE OF DIVISION III. Division III takes effect July 1, 2019.