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CSSB 289(FIN): "An Act relating to technical and vocational education and to employment assistance and training; and providing for an effective date."

00CS FOR SENATE BILL NO. 289(FIN) 01 "An Act relating to technical and vocational education and to employment 02 assistance and training; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. The uncodified law of the State of Alaska is amended by adding a new 05 section to read: 06 LEGISLATIVE INTENT; REPORT TO THE LEGISLATURE. (a) It is the intent of 07 the legislature that the Alaska Human Resource Investment Council undergo an internal 08 reassessment and reorganization to minimize the number of members of the council and to 09 improve its ability to efficiently and effectively serve as the state's primary planning and 10 coordinating entity for vocational and technical education. 11 (b) The Alaska Human Resource Investment Council shall report to the legislature by 12 the 15th legislative day of the First Regular Session of the Twenty-Second Alaska State 13 Legislature on the 14 (1) reorganization undertaken to accomplish the goals identified in (a) of this

01 section; and 02 (2) development of regulations and guidelines for implementation of the grant 03 programs for which it is responsible. 04 * Sec. 2. AS 23.15.640 is amended to read: 05  Sec. 23.15.640. Services for eligible people. Subject to the limits of its grant, 06 an entity receiving a grant under AS 23.15.651 shall provide one or more program 07 elements. The program elements include 08  (1) industry-specific training; 09  (2) on-the-job training; 10  (3) institutional or classroom job-linked training [; 11  (4) SUPPORT SERVICES, INCLUDING ALLOWANCES; 12  (5) RELOCATION ASSISTANCE; OR 13  (6) PROVISIONS OF NECESSARY TOOLS, WORK-RELATED 14 CLOTHING, SAFETY GEAR, OR OTHER NECESSITIES TO OBTAIN OR RETAIN 15 EMPLOYMENT]. 16 * Sec. 3. AS 23.15 is amended by adding new sections to read: 17 Article 7. Alaska Technical and Vocational Education. 18  Sec. 23.15.820. Powers and duties of the Alaska Human Resource 19 Investment Council. (a) The Alaska Human Resource Investment Council shall 20  (1) administer the Alaska technical and vocational education program 21 established in AS 23.15.820 - 23.15.850; 22  (2) facilitate the development of a statewide policy for a coordinated 23 and effective technical and vocational education training system in this state and, to 24 the extent authorized by federal and state law, plan and coordinate federal, state, and 25 local efforts in technical and vocational education programs; 26  (3) adopt regulations under AS 44.62 (Administrative Procedure Act) 27 to carry out the purposes of AS 23.15.820 - 23.15.850, including regulations that set 28 standards for the percentage of a grant that may be used for administrative costs; the 29 regulations must clearly identify and distinguish between expenses that may be 30 included in administrative costs and those that may not be included in administrative 31 costs; the percentage allowed for administrative costs may not exceed the lesser of five

01 percent or the amount permitted under the requirements of a federal program, if 02 applicable; 03  (4) administer the grant program under 23.15.840 and establish grant 04 administration requirements including accounting procedures that apply to qualified 05 entities and their grantees. 06  (b) The council may 07  (1) receive money designated for technical and vocational education 08 programs and may disburse money, including grants, to technical and vocational 09 education projects in accordance with AS 37.07 (Executive Budget Act); 10  (2) enter into partnership agreements through appropriate administrative 11 agencies with private industry training entities within the state in order to facilitate the 12 coordination of training opportunities; and 13  (3) recommend to the legislature changes to enhance the effectiveness 14 of the training programs it oversees under this section. 15  Sec. 23.15.830. Alaska technical and vocational education program 16 account. The Alaska technical and vocational education program account is 17 established in the general fund. The commissioner of administration shall separately 18 account for money collected under AS 23.15.835 that the department deposits in the 19 general fund. The legislature may appropriate the annual estimated balance in the 20 account to the council to implement AS 23.15.820 - 23.15.850. The legislature may 21 appropriate the lapsing balance of the account to the unemployment compensation fund 22 established in AS 23.20.130. 23  Sec. 23.15.835. Special employee unemployment contributions for program. 24 (a) In the manner provided in AS 23.20, the department shall collect from each 25 employee an amount equal to two-tenths of one percent of the wages, as set out in 26 AS 23.20.175, on which the employee is required to make contributions under 27 AS 23.20.290(d). The department shall remit to the Department of Revenue, in 28 accordance with AS 37.10.050, money collected under this subsection. 29  (b) Notwithstanding AS 23.20.290(d), the department shall credit each 30 employee with an amount equal to the amount collected from the employee under (a) 31 of this section against unemployment contributions owed by the employee under

01 AS 23.20. 02  (c) The Department of Labor and Workforce Development shall assess and 03 collect, under AS 23.20.185 - 23.20.275, interest and penalties for delinquent reports 04 and payments due under this section. Interest and penalties collected shall be handled 05 in accordance with AS 23.20.130(d). 06  Sec. 23.15.840. Grants for technical and vocational education. (a) The 07 council shall award grants, in accordance with the priority list adopted under (f) of this 08 section, to technical and vocational education entities. A technical and vocational 09 entity is eligible for a grant under this section if the entity meets program 10 requirements, the grant program is physically located in Alaska, and the entity can 11 demonstrate that 12  (1) the entity's accounting systems include controls adequate to check 13 the accuracy and reliability of accounting data, promote operating efficiency, and 14 assure compliance with program requirements and generally accepted accounting 15 principles; 16  (2) the entity's activities do not replace or compete in any way with a 17 federally approved, jointly administered apprenticeship program or any other existing 18 training programs; and 19  (3) the entity has secured matching funds for the program for which the 20 grant is requested. 21  (b) The council may not award a grant if the grant would displace money 22 available through existing public or private technical and vocational education 23 programs. 24  (c) Subject to the limits of its grant, an entity receiving a grant under this 25 section shall provide one or more program elements. The program elements include 26  (1) industry-specific training; 27  (2) on-the-job training; and 28  (3) institutional or classroom job-linked training. 29  (d) A technical or vocational educational institution that receives a grant from 30 the council shall give appropriate state agencies full access to accounting records 31 concerning the grant to assure compliance with program standards.

01  (e) In making a grant under this section, the council shall require that the 02 qualified entity and grantees of the qualified entity limit the amount of the grant 03 proceeds spent on administration so that the total spent on administration from the 04 proceeds of the technical and vocational education program account, including amounts 05 spent by the council itself, does not exceed five percent. A training program funded 06 by the council must 07  (1) meet the standards adopted by the council concerning the 08 percentage of a grant that may be spent on administrative costs; 09  (2) be operated by an institution that holds a valid authorization to 10 operate issued under AS 14.48 if the program is a postsecondary educational program 11 operated by a postsecondary educational institution subject to regulation under 12 AS 14.48. 13  (f) To the extent that funding is available, grants shall be awarded to entities 14 that apply for funding by the deadline established by the council by regulation. The 15 council shall give priority to grant applications from qualified entities whose purpose 16 is listed first on the list of priorities adopted under this subsection. If money remains 17 after grants for the first priority have been awarded, the council may make grants to 18 entities whose purpose is listed next on the list of priorities. The council shall proceed 19 in this fashion until it has exhausted the money available for granting for the year. 20 The council shall adopt a priority list each year based on economic, employment, and 21 other relevant data in order to maximize employment opportunities for participants. 22  Sec. 23.15.850. Definitions. In AS 23.15.820 - 23.15.850, 23  (1) "council" means the Alaska Human Resource Investment Council; 24  (2) "program" means the Alaska technical and vocational education 25 program established in AS 23.15.820 - 23.15.850. 26 * Sec. 4. The uncodified law of the State of Alaska is amended by adding a new section 27 to read: 28 PROVISIONS FOR FIRST-YEAR OPERATION. Notwithstanding AS 23.15.840(a), 29 enacted by sec. 3 of this Act, for the fiscal year ending June 30, 2001, the money collected 30 under AS 23.15.835, enacted by sec. 3 of this Act, or otherwise appropriated to the Alaska 31 Human Resource Investment Council shall be allocated directly in the following percentages

01 to the following institutions for programs consistent with AS 23.15.820 - 23.15.850, enacted 02 by sec. 3 of this Act, and capital improvements: 03 University of Alaska 76 percent 04 Kotzebue Technical Center 8 percent 05 Alaska Vocational Technical Center 16 percent. 06 * Sec. 5. This Act takes effect July 1, 2000.