Article 1. Local Workforce Development Board of California Unemployment Insurance Code >> Division 7. >> Chapter 4. >> Article 1.
(a) The local chief elected officials in a local workforce
development area shall form, pursuant to guidelines established by
the Governor and the board, a local workforce development board to
plan and oversee the workforce investment system.
(b) The Governor shall periodically certify one local board for
each local area in the state, following the requirements of the
federal Workforce Innovation and Opportunity Act of 2014.
(c) The Governor shall establish, through the California Workforce
Development Board, standards for certification of high-performance
local workforce development boards. The California Workforce
Development Board shall, in consultation with representatives from
local workforce development boards, initiate a stakeholder process to
determine the appropriate measurable metrics and standards for
high-performance certification. These standards shall be implemented
on or before January 1, 2013, and the first certification of
high-performance boards shall occur on or before July 1, 2013.
Certification and recertification of each high-performance local
workforce development board shall occur thereafter midway through the
implementation of the local and regional plans required by the
Workforce Innovation and Opportunity Act. In order to meet the
standards for certification, a high-performance local workforce
development board shall do all of the following:
(1) Consistently meet or exceed negotiated performance goals for
all of the measures in each of the three federal Workforce Innovation
and Opportunity Act of 2014 customer groups, which consist of
adults, dislocated workers, and youth.
(2) Consistently meet the statutory requirements of this division.
(3) Develop and implement local policies and a local strategic
plan that meets all of the following requirements:
(A) Meets all local and regional planning requirements specified
under the federal Workforce Innovation and Development Act of 2014.
(B) Is consistent with the California Workforce Development Board
State Plan.
(C) Describes the actions that the board shall take to implement
local policies in furtherance of its goals.
(D) Serves as a written account of intended future courses of
action aimed at achieving the specific goals of the local and state
board within a specific timeframe.
(E) Explains what needs to be done, by whom, and when each action
is required to occur in order to meet those goals.
(4) Demonstrate that the local planning process involves key
stakeholders, including the major employers and industry groups in
the relevant regional economy and organized labor.
(5) Demonstrate that the local planning process takes into account
the entire workforce training pipeline for the relevant regional
economy, including partners in K-12 education, career technical
education, the community college system, other postsecondary
institutions, and other local workforce development areas operating
in relevant regional economy.
(6) Demonstrate that the local planning process and plan are data
driven, and that policy decisions at the local level are evidence
based. Each high-performance local workforce development board shall
use labor market data to develop and implement the local plan, taking
care to steer resources into programs and services that are relevant
to the needs of each workforce development area's relevant regional
labor market and high-wage industry sectors. Local workforce
development areas shall demonstrate an evidence-based approach to
policymaking by establishing performance benchmarks and targets to
measure progress toward local goals and objectives.
(7) Demonstrate investment in workforce initiatives, and,
specifically, training programs that promote skills development and
career ladders relevant to the needs of each workforce investment
area's regional labor market and high-wage industry sectors.
(8) Establish a youth strategy aligned with the needs of each
workforce investment area's regional labor market and high-wage
industry sectors.
(9) Establish a business service plan that integrates local
business involvement with workforce initiatives. This plan at a
minimum shall include all of the following:
(A) Efforts to partner with businesses to identify the workforce
training and educational barriers to attract jobs in the relevant
regional economy, existing skill gaps reducing the competitiveness of
local businesses in the relevant regional economies, and potential
emerging industries that would likely contribute to job growth in the
relevant regional economy if investments were made for training and
educational programs.
(B) An electronic system for both businesses and job seekers to
communicate about job opportunities.
(C) A subcommittee of the local workforce development board that
further develops and makes recommendations for the business service
plan for each local workforce development board in an effort to
increase employer involvement in the activities of the local
workforce development board. The subcommittee members should be
comprised of business representatives on the local workforce
development board who represent both the leading industries and
employers in the relevant regional economy and potential emerging
sectors that have significant potential to contribute to job growth
in the relevant regional economy if investments were made for
training and educational programs.
(d) The Governor and the Legislature, as part of the annual budget
process, in consultation with the California Workforce Development
Board, shall annually reserve a portion of the 15-percent
discretionary fund made available pursuant to the federal Workforce
Innovation and Opportunity Act of 2014 for the purpose of providing
performance incentives to high-performance local workforce
development boards. The remaining discretionary funds shall continue
to be available for other discretionary purposes as provided for in
the federal Workforce Innovation and Opportunity Act of 2014.
(e) Only a workforce development board that is certified as a
high-performance local workforce development board by the California
Workforce Development Board shall be eligible to receive any
incentive money reserved for high-performance local workforce
development boards, as described in subdivision (d). A board that is
not certified as a high-performance local workforce development board
shall not receive any portion of the money reserved for
high-performance local workforce development boards, as described in
subdivision (d).
(f) The California Workforce Development Board shall establish a
policy for the allocation of incentive moneys to high-performance
local workforce development boards.
(g) To the extent permitted by the Workforce Innovation and
Opportunity Act of 2014, the California Workforce Development Board
may consider the utilization of incentive grants, or direct
assistance, or both, to local workforce development boards for the
purposes of this section.
(h) There shall not be a requirement to set aside federal
Workforce Innovation and Opportunity Act of 2014 funds for the
purposes of subdivision (d), (e), (f), or (g) in years when the
federal government significantly reduces the share of federal
Workforce Innovation and Opportunity Act of 2014 funds appropriated
to the state for statewide discretionary purposes below the federal
statutory amount of 15 percent.
Local workforce development boards shall be established in
each local workforce development area of the state to assist the
local chief elected official in planning, oversight, and evaluation
of local workforce investment. The local board shall promote
effective outcomes consistent with statewide goals, objectives, and
negotiated local performance standards.
The Governor, in partnership with the board, shall establish
criteria for use by chief elected officials in the local areas for
appointment of members of the local boards. Such criteria shall
require that, at a minimum, all of the following:
(a) A majority of the members of each local board shall be
representatives of business in the local area, who:
(1) Are owners of businesses, chief executives or operating
officers of businesses, or other business executives or employers
with optimum policymaking or hiring authority.
(2) Represent businesses, including small businesses, or
organizations representing businesses described in this subdivision,
that provide employment opportunities that, at a minimum, include
high-quality, work-relevant training and development in in-demand
industry sectors or occupations in the local area.
(3) Are appointed from among individuals nominated by local
business organizations and business trade associations.
(b) Not less than 20 percent of the members of each local board
shall be representatives of the workforce within the local area, who:
(1) Shall include representatives of labor organizations, for a
local area in which employees are represented by labor organizations,
who have been nominated by local labor federations and these
representatives shall amount to not less than 15 percent of local
board membership, and be subject to the following:
(A) For a local area in which no employees are represented by such
organizations, other representatives of employees shall be appointed
to the board but any local board that appoints representatives of
employees that are not nominated by local labor federations shall
demonstrate that no employees are represented by such organizations
in the local area.
(B) Shall include a representative, who shall be a member of a
labor organization or a training director, from a joint
labor-management apprenticeship program, or if no such joint program
exists in the area, such a representative of a state-approved
apprenticeship program in the area, if such a program exists.
(2) May include representatives of community-based organizations
that have demonstrated experience and expertise in addressing the
employment needs of individuals with barriers to employment,
including organizations that serve veterans or that provide or
support competitive integrated employment for individuals with
disabilities.
(3) May include representatives of organizations that have
demonstrated experience and expertise in addressing the employment,
training, or education needs of eligible youth, including
representatives of organizations that serve out-of-school youth.
(c) Each local board shall include representatives of entities
administering education and training activities in the local area,
who:
(1) Shall include a representative of eligible providers
administering adult education and literacy activities under Title II
of the Workforce Innovation and Opportunity Act.
(2) Shall include a representative of institutions of higher
education providing workforce investment activities, including
community colleges.
(3) May include representatives of local educational agencies, and
of community-based organizations with demonstrated experience and
expertise in addressing the education or training needs of
individuals with barriers to employment.
(d) Each local board shall include representatives of governmental
and economic and community development entities serving the local
area, who:
(1) Shall include a representative of economic and community
development entities.
(2) Shall include an appropriate representative from the state
employment service office under the Wagner-Peyser Act (29 U.S.C. Sec.
49 et seq.) serving the local area.
(3) Shall include an appropriate representative of the programs
carried out under Title I of the Rehabilitation Act of 1973 (29
U.S.C. Sec. 720 et seq.), other than Section 112 or Part C of that
Title (29 U.S.C. Sec. 732, 741), serving the local area.
(4) May include representatives of philanthropic organizations
serving the local area.
(e) Each local board may include such other individuals or
representatives of entities as the chief elected official in the
local area may determine to be appropriate.
The local board shall elect a chairperson for the local
board from among the business representatives.
Consistent with the requirements of the Workforce Innovation
and Opportunity Act, the local board shall do all of the following:
(a) In partnership with the chief elected official for the local
area involved, develop and submit a local plan to the Governor that
meets the requirements of the Workforce Innovation and Opportunity
Act. If the local area is part of a planning region that includes
other local areas, the local board shall collaborate with the other
local boards and chief elected officials from such other local areas
in the preparation and submission of a regional plan as described in
the Workforce and Innovation and Opportunity Act.
(b) In order to assist in the development and implementation of
the local plan, the local board shall do all of the following:
(1) Carry out analyses of the economic conditions in the region,
the needed knowledge and skills for the region, the workforce in the
region, and workforce development activities, including education and
training, in the region described in Section 3123(b)(1)(D) of Title
29 of the United States Code, and regularly update such information.
(2) Assist the Governor in developing the statewide workforce and
labor market information system described in Section 15(e) of the
Wagner-Peyser Act (29 U.S.C. Sec. 49l-2(e)), specifically in the
collection, analysis, and utilization of workforce and labor market
information for the region.
(3) Conduct such other research, data collection, and analysis
related to the workforce needs of the regional economy as the board,
after receiving input from a wide array of stakeholders, determines
to be necessary to carry out its functions.
(c) Convene local workforce development system stakeholders to
assist in the development of the local plan under Section 3123 of
Title 29 of the United States Code and in identifying nonfederal
expertise and resources to leverage support for workforce development
activities. The local board, including standing committees, may
engage such stakeholders in carrying out the functions described in
this subdivision.
(d) Lead efforts to engage with a diverse range of employers and
with entities in the region involved to do all of the following:
(1) Promote business representation, particularly representatives
with optimal policymaking or hiring authority from employers whose
employment opportunities reflect existing and emerging employment
opportunities in the region, on the local board.
(2) Develop effective linkages, including the use of
intermediaries, with employers in the region to support employer
utilization of the local workforce development system and to support
local workforce investment activities.
(3) Ensure that workforce investment activities meet the needs of
employers and support economic growth in the region, by enhancing
communication, coordination, and collaboration among employers,
economic development entities, and service providers.
(4) Develop and implement proven or promising strategies for
meeting the employment and skill needs of workers and employers, like
the establishment of industry and sector partnerships, that provide
the skilled workforce needed by employers in the region, and that
expand employment and career advancement opportunities for workforce
development system participants in in-demand industry sectors or
occupations.
(e) With representatives of secondary and postsecondary education
programs, lead efforts in the local area to develop and implement
career pathways within the local area by aligning the employment,
training, education, and supportive services that are needed by
adults and youth, particularly individuals with barriers to
employment.
(f) Lead efforts in the local area to accomplish both of the
following:
(1) Identify and promote proven and promising strategies and
initiatives for meeting the needs of employers, and workers and
jobseekers, including individuals with barriers to employment, in the
local workforce development system, including providing physical and
programmatic accessibility, in accordance with Section 3248 of Title
29 of the United States Code, if applicable, and applicable
provisions of the Americans with Disabilities Act of 1990 (42 U.S.C.
Sec. 12101 et seq.), to the one-stop delivery system.
(2) Identify and disseminate information on proven and promising
practices carried out in other local areas for meeting these needs.
(g) Develop strategies for using technology to maximize the
accessibility and effectiveness of the local workforce development
system for employers, and workers and jobseekers, by doing all of the
following:
(1) Facilitating connections among the intake and case management
information systems of the one-stop partner programs to support a
comprehensive workforce development system in the local area.
(2) Facilitating access to services provided through the one-stop
delivery system involved, including facilitating the access in remote
areas.
(3) Identifying strategies for better meeting the needs of
individuals with barriers to employment, including strategies that
augment traditional service delivery, and increase access to services
and programs of the one-stop delivery system, such as improving
digital literacy skills.
(4) Leveraging resources and capacity within the local workforce
development system, including resources and capacity for services for
individuals with barriers to employment.
(h) In partnership with the chief elected official for the local
area, shall conduct oversight for local youth workforce investment
activities as required under the federal Workforce Innovation and
Opportunity Act, ensure the appropriate use and management of the
funds as required under the Workforce Innovation and Opportunity Act,
and, for workforce development activities, ensure the appropriate
use, management, and investment of funds to maximize performance
outcomes as required under the federal Workforce Innovation and
Opportunity Act.
(i) Negotiate and reach agreement on local performance
accountability measures, as described in Section 3141(c) of Title 29
of the United States Code, with the chief elected official and the
Governor.
(j) Select and provide access to system operators, service
providers, trainers, and educators, in a manner consistent with the
requirements of the Workforce Innovation and Opportunity Act and
applicable state laws, including all of the following:
(1) Consistent with Section 3151(d) of Title 29 of the United
States Code, and with the agreement of the chief elected official for
the local area, designate or certify one-stop operators as described
in Section 3151(d)(2)(A) of Title 29 of the United States Code and
terminate for cause the eligibility of these operators.
(2) Consistent with Section 3153 of Title 29 of the United States
Code, identify eligible providers of youth workforce investment
activities in the local area by awarding grants or contracts on a
competitive basis, except as provided in Section 3153(b) of Title 29
of the United States Code, based on the recommendations of the youth
standing committee, if such a committee is established for the local
area and terminate for cause the eligibility of these providers.
(3) Consistent with Section 3152 of Title 29 of the United States
Code and paragraph (4) of subdivision (d) of Section 14020, identify
eligible providers of training services in the local area.
(4) If the one-stop operator does not provide career services
described in Section 3174(c)(2) of Title 29 of the United States Code
in a local area, identify eligible providers of those career
services in the local area by awarding contracts.
(5) Consistent with Section 3152 of Title 29 of the United States
Code and paragraphs (2) and (3) of Section 3174(c) of Title 29 of the
United States Code, work with the state to ensure there are
sufficient numbers and types of providers of career services and
training services, including eligible providers with expertise in
assisting individuals with disabilities and eligible providers with
expertise in assisting adults in need of adult education and literacy
activities, serving the local area and providing the services
involved in a manner that maximizes consumer choice, as well as
providing opportunities that lead to competitive integrated
employment for individuals with disabilities.
(k) Consistent with the requirements of the Workforce Innovation
and Opportunity Act, coordinate activities with education and
training providers in the local area, including providers of
workforce development activities, providers of adult education and
literacy activities under Title II of the Workforce Innovation and
Opportunity Act, providers of career and technical education, as
defined in Section 2302 of Title 20 of the United States Code, and
local agencies administering plans under Title I of the
Rehabilitation Act of 1973 (29 U.S.C. Sec. 720 et seq.), other than
Section 112 or Part C of that Title (29 U.S.C. Sec. 732, 741).
The local board, in order to carry out its functions:
(a) Shall prepare a budget for the purpose of carrying out the
duties of the local board as specified under this section, subject to
the approval of the local chief elected official.
(b) Shall direct the activities of the local board's executive
director.
(c) May employ additional staff to carry out the activities as
described in the local board's plan.
(d) May solicit and accept contributions and grant funds from
other sources.
(e) Shall not provide training services unless the Governor grants
a written waiver in accordance with the process outlined in the
Workforce Innovation and Opportunity Act.
(f) May provide career services described in Section 3174(c)(2) of
Title 29 of the United States Code through a one-stop delivery
system or be designated or certified as a one-stop operator only with
the agreement of the chief elected official in the local area and
the Governor.
A local workforce development board may establish as a
standing committee to provide information and to assist with
planning, operational, and other issues relating to the provision of
services to youth, which shall include community-based organizations
with a demonstrated record of success in serving eligible youth.
Members of this committee shall be appointed in conformity with the
requirements of the federal Workforce Innovation and Opportunity Act.
It is the intent of the Legislature that if appointing
members to any standing committee on the provision of youth services,
the local workforce investment board and the local chief elected
official shall endeavor to appoint:
(a) Representatives of youth who are enrolled in school and
out-of-school youth.
(b) Representatives from the private sector.
(c) Representatives of local educational agencies serving youth.
(d) Representatives of private nonprofit agencies serving youth.
(e) Representatives of apprenticeship training programs serving
youth.
(a) (1) Beginning program year 2012, an amount equal to at
least 25 percent of funds available under Title I of the federal
Workforce Innovation and Opportunity Act of 2014 (Public Law 113-128)
provided to local workforce investment boards for adults and
dislocated workers shall be spent on workforce training programs.
This minimum may be met either by spending 25 percent of those base
formula funds on training or by combining a portion of those base
formula funds with leveraged funds as specified in subdivision (b).
(2) Beginning program year 2016, an amount equal to at least 30
percent of funds available under Title I of the federal Workforce
Innovation and Opportunity Act of 2014 (Public Law 113-128) provided
to local workforce development boards for adults and dislocated
workers shall be spent on workforce training programs. This minimum
may be met either by spending 30 percent of those base formula funds
on training or by combining a portion of those base formula funds
with leveraged funds as specified in subdivision (b).
(3) Expenditures that shall count toward the minimum percentage of
funds shall include only training services as defined in Section
3174(c)(3)(D) of Title 29 of the United States Code and the
corresponding sections of the Code of Federal Regulations, including
all of the following:
(A) Occupational skills training, including training for
nontraditional employment.
(B) On-the-job training.
(C) Programs that combine workplace training with related
instruction, which may include cooperative education programs.
(D) Training programs operated by the private sector.
(E) Skill upgrading and retraining.
(F) Entrepreneurial training.
(G) Incumbent worker training in accordance with Section 3174(d)
(4) of Title 29 of the United States Code.
(H) Transitional jobs in accordance with Section 3174(d)(5) of
Title 29 of the United States Code.
(I) Job readiness training provided in combination with any of the
services described in subparagraphs (A) to (H), inclusive.
(J) Adult education and literacy activities provided in
combination with services described in any of subparagraphs (A) to
(G), inclusive.
(K) Customized training conducted with a commitment by an employer
or group of employers to employ an individual upon successful
completion of the training.
(b) (1) Local workforce development boards may receive a credit of
up to 10 percent of their adult and dislocated worker formula fund
base allocations for public education and training funds and private
resources from industry and from joint labor-management trusts that
are leveraged by a local workforce development board for training
services described in paragraph (3) of subdivision (a). This credit
may be applied toward the minimum training requirements in paragraphs
(1) and (2) of subdivision (a).
(A) Leveraged funds that may be applied toward the credit allowed
by this subdivision shall only include the following:
(i) Federal Pell Grants established under Title IV of the federal
Higher Education Act of 1965 (20 U.S.C. Sec. 1070 et seq.).
(ii) Programs authorized by the federal Workforce Innovation and
Opportunity Act of 2014 (Public Law 113-128).
(iii) Trade adjustment assistance.
(iv) Department of Labor National Emergency Grants.
(v) Match funds from employers, industry, and industry
associations.
(vi) Match funds from joint labor-management trusts.
(vii) Employment training panel grants.
(B) Credit for leveraged funds shall only be given if the local
workforce development board keeps records of all training
expenditures it chooses to apply to the credit. Training expenditures
may only be applied to the credit if the relevant training costs can
be independently verified by the Employment Development Department
and training participants must be coenrolled in the federal Workforce
Innovation and Opportunity Act of 2014 performance monitoring
system.
(2) The use of leveraged funds to partially meet the training
requirements specified in paragraphs (1) and (2) of subdivision (a)
is the prerogative of a local workforce development board. Costs
arising from the recordkeeping required to demonstrate compliance
with the leveraging requirements of this subdivision are the
responsibility of the local board.
(c) Beginning program year 2012, the Employment Development
Department shall calculate for each local workforce development
board, within six months after the end of the second program year of
the two-year period of availability for expenditure of federal
Workforce Innovation and Opportunity Act of 2014 funds, whether the
local workforce development board met the requirements of subdivision
(a). The Employment Development Department shall provide to each
local workforce development board its individual calculations with
respect to the expenditure requirements of subdivision (a).
(d) A local workforce development area that does not meet the
requirements of subdivision (a) shall submit a corrective action plan
to the Employment Development Department that provides reasons for
not meeting the requirements and describes actions taken to address
the identified expenditure deficiencies. A local workforce
development area shall provide a corrective action plan to the
Employment Development Department pursuant to this section within 90
days of receiving the calculations described in subdivision (c).
(e) For the purpose of this section, "program year" has the same
meaning as provided in Section 667.100 of Title 20 of the Code of
Federal Regulations.