SB2528.DOC

SECTION 1. The legislature finds that governmental siloes between the department of education; University of Hawaii system; department of business, economic development, and tourism; and department of labor and industrial relations contribute to the shortage in skilled workers and increased outsourced employment in the State. A 2012 study by the Boston Consulting Group identified Hawaii as one of seven states with significant or severe shortages of skilled workers. Many high school and community college programs in Hawaii continue to provide the path to a four year degree; however this does not produce a skilled workforce or meet local demand. Education, economic development, and labor need to be precisely aligned to produce workforce-ready graduates that have the skill sets to successfully seek available opportunities.

The purpose of this Act is to establish a pathways for academic career and employment (PACE) program within the department of education to provide funding to community colleges for the development of projects in coordination with the department of business, economic development, and tourism, the department of labor and industrial relations, advisory boards, and community partners to implement a simplified, streamlined, and comprehensive process, along with customized support services, that enables eligible participants to acquire effective academic and employment training to secure gainful, quality, in-state employment.

SECTION 2. The Hawaii Revised Statutes is amended by adding a new chapter to be appropriately designated and to read as follows:

"Chapter

Pathways for academic career and employment act

§ -1 Definitions. For purposes of this chapter:

"Department" means the department of education.

"PACE Hawaii" means the pathways for academic career and employment program established by this chapter.

"Target population" includes:

(1) Persons deemed low skilled for the purposes of attaining gainful, quality, in-state employment;

(2) Persons earning incomes at or below two hundred fifty per cent of the federal poverty level as defined by the most recently revised poverty income guidelines published by the United States Department of Health and Human Services;

(3) Unemployed persons;

(4) Underemployed persons; and

(5) Dislocated workers, including workers eligible for services and benefits under the federal Trade Act of 2002, P.L. 107-210, as determined by the department of business, economic development, and tourism and the Internal Revenue Service.

§ -2 Title; establishment; special fund. (a) This chapter shall be known and may be cited as the "Pathways for Academic Career and Employment Act".

(b) There is established within the department the pathways for academic career and employment program, to be known as PACE Hawaii. The department shall adopt rules pursuant to chapter 91 necessary to carry out the purposes of this chapter.

(c) The purpose of PACE Hawaii is to provide funding to community colleges for the development of projects in coordination with the department of business, economic development, and tourism, the department of labor and industrial relations, PACE Hawaii advisory boards established pursuant to section -4, and community partners to implement a simplified, streamlined, and comprehensive process, along with customized support services, that enables eligible participants to acquire effective academic and employment training to secure gainful, quality, in-state employment.

(d) There is established a pathways for academic career and employment special fund within the state treasury to be administered by the department and into which shall be deposited all appropriations made by the legislature to the fund. Moneys in the special fund shall be used by the department for PACE Hawaii. The aggregate total of grants awarded from the special fund during a fiscal year shall not be more than $5,000,000. The department may use moneys in the special fund to employ pathway navigators to assist students applying for or enrolled in eligible PACE Hawaii projects. The department may use moneys in the special fund to provide staff and support for the development and implementation of regional industry sector partnerships within the county served by the community college. Regional industry sector partnerships may include but are not limited to the following activities:

(1) Bring together representatives from industry sectors, government, education, local workforce boards, community-based organizations, labor, economic development organizations, and other stakeholders within the regional labor market to determine how PACE Hawaii projects should address workforce skills gaps, occupational shortages, and wage gaps;

(2) Integrate PACE Hawaii projects and other existing supply-side strategies with workforce needs within the county served by the community college;

(3) Develop PACE Hawaii projects that focus on the workforce skills, from entry level to advanced, required by industry sectors within the county served by the community college; and

(4) Structure pathways so that instruction and learning of workforce skills are aligned with industry-recognized standards where such standards exist.

§ -3 Eligibility; outcomes; program. (a) Projects eligible for funding for PACE Hawaii shall be projects that:

(1) Further the ability of members of target populations to secure gainful, quality employment;

(2) Further partnerships that link the community colleges to industry and nonprofit organizations;

(3) Enable the target populations to:

(A) Acquire and demonstrate competency in basic skills;

(B) Acquire and demonstrate competency in a specified technical field;

(D) Earn a national career readiness certificate;

(E) Obtain employer-validated credentials; and

(F) Secure gainful employment in high-quality, local jobs; and

(4) Satisfy economic and employment goals including but not limited to:

(A) Economic and workforce development requirements in each county served by the community colleges as defined by PACE Hawaii advisory boards established pursuant to section -4; and

(B) Needs of industry partners located in in-demand areas including but not limited to:

(i) Information technology;

(ii) Health care;

(iii) Advanced manufacturing;

(iv) Transportation and logistics; and

(v) Any other industry designated as in-demand by a PACE Hawaii advisory board established pursuant to section -4.

(b) Program components of a PACE Hawaii project implemented at a community college shall:

(1) Include measurable and effective recruitment, assessment, and referral activities designed for the target populations;

(2) Integrate basics skills and work-readiness training with occupational skills training;

(3) Combine customized supportive and case management services with training services to help participants overcome barriers to employment; and

(4) Provide training services at times, locations, and through multiple, flexible modalities that are easily understood and readily accessible to the target populations. These modalities shall support timeless entry, individualized learning, and flexible scheduling, and may include online remediation, learning lab and cohort learning communities, tutoring, and modularization.

(c) Each community college receiving funding for PACE Hawaii shall develop a pipeline program in order to better serve the academic, training, and employment needs of the target populations. A pipeline program shall include the following goals:

(1) Strengthen partnerships with community-based organizations and industry representatives;

(2) Improve and simplify the identification, recruitment, and assessment of qualified participants;

(3) Conduct and manage an outreach, recruitment, and intake process, along with accompanying support services, reflecting sensitivity to the time and financial constraints and remediation needs of the target populations;

(4) Conduct orientations for qualified participants to describe regional labor market opportunities, employer partners, and program requirements and expectations;

(5) Describe the concepts of the project implemented with funds from PACE Hawaii and the embedded educational and support resources available through the project;

(6) Outline the basic skills participants will learn and describe the credentials participants will earn;

(7) Describe success milestones and ways in which temporal and instructional barriers have been minimized or eliminated; and

(8) Review how individualized and customized service strategies for participants will be developed and provided.

(d) Each community college receiving funding for PACE Hawaii shall develop a career pathways and bridge curriculum development program in order to better serve the academic, training, and employment needs of the target populations. A career pathways and bridge curriculum development program shall include the following goals:

(1) Articulation of courses and modules, the mapping of programs within career pathways, and establishment of bridges between credit and noncredit programs;

(2) Integration and contextualization of basic skills education and skills training to provide for seamless progressions between adult basic education and general education development programs and continuing education and credit certificate, diploma, and degree programs; and

(3) Development of career pathways that support the attainment of industry-recognized credentials, diplomas, and degrees through stackable, modularized program delivery.

(e) Pathway navigators shall provide services and support to aid students in selecting PACE Hawaii projects that will result in gainful, quality, in-state employment and ensure students are successful once enrolled in PACE Hawaii projects. Services the pathway navigators may provide include but are not limited to the following:

(1) Interview and select students for enrollment in PACE Hawaii projects;

(2) Assess students' skills, interests, and previous academic and work experience for purposes of placement in PACE Hawaii projects;

(3) Work with students to develop academic and career plans and adjust such plans as needed;

(4) Assist students in applying for and receiving resources for financial aid and other forms of tuition assistance;

(5) Assist students with the admissions process, remedial education, academic credit transfer, meeting assessment requirements, course registration, and other procedures necessary for successful completion of PACE Hawaii projects;

(6) Assist in identifying and resolving obstacles to students' successful completion of PACE Hawaii projects;

(7) Connect students with useful college resources or outside support services such as access to child care, transportation, and tutorial assistance, as needed;

(8) Maintain ongoing contact with students enrolled in PACE Hawaii projects and ensure students are making satisfactory progress toward the successful completion of projects;

(9) Provide support to students transitioning from remedial education, short-term training, and classroom experience to employment;

(10) Coordinate activities with community-based organizations that serve as key recruiters for PACE Hawaii projects and assist students throughout the recruitment process; and

(11) Coordinate adult basic education services.

(f) The department shall report its findings and recommendations on PACE Hawaii, including any proposed legislation, to the legislature no later than twenty days prior to the convening of each regular session.

§ -4 PACE Hawaii advisory boards. (a) There is established within the department for administrative purposes only, a PACE Hawaii advisory board in each county. Each advisory board shall consist of seven members, as follows:

(1) A representative from the department of education;

(2) A representative from the department of business, economic development, and tourism;

(3) A representative from the department of labor and industrial relations;

(4) A representative of the community college in that county; and

(5) Three representatives from relevant community-based organizations or industries,

to be appointed by the governor, pursuant to section 26-34; provided that the members appointed under paragraph (4) and (5) shall be appointed from a list of names submitted by county elected officials and community college directors.

(b) The duties and responsibilities of each advisory board shall be to:

(1) Identify workforce development needs in that county;

(2) Advise the department in the awarding of funding for PACE Hawaii projects by the department in that county;

(3) Assist in monitoring the performance of the PACE Hawaii projects;

(4) Make annual reports and recommendations to the department concerning workforce development; and

(5) Report its findings and recommendations on the workforce development needs and the impact of PACE Hawaii in its county, including any proposed legislation, to the legislature no later than twenty days prior to the convening of each regular session.

(c) Each advisory board shall elect annually from among its members a chairperson who shall preside at its regular meetings. Board meetings shall be held at such times and places as shall be determined by the chairperson. Meetings may be called as needed, either by the chairperson or a majority of the members. Written notice of the time and place of each meeting shall be given to each member of the advisory board. A majority of the members shall constitute a quorum for meetings.

(d) The members of the advisory board shall serve without compensation, but shall be reimbursed for expenses, including travel expenses, necessary for the performance of their duties."

SECTION 3. There is appropriated out of the general revenues of the State of Hawaii the sum of $ or so much thereof as may be necessary for fiscal year 2016-2017 to be deposited into the pathways for academic career and employment special fund established pursuant to section -2, Hawaii Revised Statutes.

SECTION 4. There is appropriated out of the pathways for academic career and employment special fund the sum of $ or so much thereof as may be necessary for fiscal year 2016-2017 for the establishment of PACE Hawaii.

The sum appropriated shall be expended by the department of education for the purposes of this Act.

SECTION 5. This Act shall take effect upon its approval; provided that sections 3 and 4 shall take effect on July 1, 2016.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	2528
TWENTY-EIGHTH LEGISLATURE, 2016
STATE OF HAWAII