BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      AB 1308


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          ASSEMBLY THIRD READING


          AB  
          1308 (Perea)


          As Introduced  February 27, 2015


          Majority vote


           ------------------------------------------------------------------- 
          |Committee       |Votes |Ayes                 |Noes                 |
          |----------------+------+---------------------+---------------------|
          |Labor           |5-2   |Roger Hernández,     |Harper, Patterson    |
          |                |      |Chu, Low, McCarty,   |                     |
          |                |      |Thurmond             |                     |
          |                |      |                     |                     |
          |----------------+------+---------------------+---------------------|
          |Appropriations  |12-4  |Gomez, Bloom, Bonta, |Bigelow, Gallagher,  |
          |                |      |Calderon, Daly,      |Jones, Wagner        |
          |                |      |Eggman, Eduardo      |                     |
          |                |      |Garcia, Holden,      |                     |
          |                |      |Quirk, Rendon,       |                     |
          |                |      |Weber, Wood          |                     |
          |                |      |                     |                     |
          |                |      |                     |                     |
           ------------------------------------------------------------------- 


          SUMMARY:  Revises a specified "needs requirement" under existing  
          law related to the approval of apprenticeship programs.   
          Specifically, this bill:


          1)Requires, in order to establish that apprenticeship training  
            needs justify the approval of a new program, that existing  








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            programs do not have the capacity, or neglect or refuse, to  
            dispatch sufficient apprentices to qualified employers who "have  
            requested apprentices", as shown by a "sustained pattern of  
            unfilled requests."


          2)Eliminates a provision of existing law that authorizes the  
            California Apprenticeship Council to approve a new  
            apprenticeship program if special circumstances, as established  
            by regulation, justify the establishment of the program.


          3)Provides that for purposes of this requirement, an existing  
            apprenticeship program serves the "same craft or trade" as a  
            proposed apprenticeship program when there would be a  
            substantial overlap in the work processes covered by the  
            programs or when graduates of the existing program would be  
            qualified to perform a substantial portion of the work that  
            would be performed by graduates of the new program.


          FISCAL EFFECT:  According to the Assembly Appropriations  
          Committee, this bill would have no state fiscal impact.


          COMMENTS:  This bill is sponsored by the State Building and  
          Construction Trades Council.  They argue that it provides much  
          needed clarification to Division of Apprenticeship Standards (DAS)  
          for the purpose of determining when an existing program is  
          deficient.  Adding "have requested apprentices" to the law  
          clarifies that contractors must actually request apprentices  
          before existing programs may be found to lack the capacity or  
          willingness to dispatch them.   The sponsor states that during  
          Governor Schwarzenegger's administration, the DAS sought to rely  
          on Employment Development Department projections of future  
          apprentice needs to justify approval of new programs even though  
          there was no evidence contractors had sought apprentices from  
          existing programs and were unable to receive them.









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          In addition, current law allows the California Apprenticeship  
          Council (CAC) to promulgate a regulation providing for "special  
          circumstances" that justify approval of new apprenticeship  
          programs even if one is not needed.   The sponsor notes that this  
          statutory provision was adopted in 1999, and CAC has never  
          promulgated such a regulation.   Therefore, this bill removes this  
          statutory provision.  


          Finally, the sponsor states that this bill protects existing high  
          performing programs that graduate apprentices by ensuring the DAS  
          approves new programs only when the proposed new program does not  
          substantially overlap with an existing program's work processes.


          Opponents argue that this bill exacerbates the damaging aspects of  
          the needs test by adding ambiguous language and deleting the very  
          modest authority of the CAC to approve a new apprenticeship  
          program "justified by special circumstances by regulation." While  
          it may be suggested that adding a requirement that there be a  
          "sustained pattern of unfilled requests" to justify new  
          apprenticeship opportunities, they argue that this vague  
          requirement of "sustained" will never be satisfactory to those who  
          prefer monopoly over fair and open competition and training  
          opportunities for all.




          Analysis Prepared by:                                               
          Ben Ebbink / L. & E. / (916) 319-2091  FN: 0000213















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