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Senate Bill 2858

Senate Bill sb2858

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2004                                  SB 2858

    By Senator Bennett





    21-1195-04

  1                      A bill to be entitled

  2         An act relating to workforce development

  3         funding; amending s. 1011.80, F.S.; revising

  4         criteria for funding workforce development

  5         programs; replacing performance-based funding

  6         with funding based on workload plus

  7         performance; requiring the Department of

  8         Education to develop funding-allocation models

  9         for community colleges and for school district

10         programs; deleting references to the Workforce

11         Development Education Fund; allowing certain

12         workload measures to be adjusted to account for

13         the length of program segments; requiring

14         workload estimates to be agreed upon by the

15         Education Estimating Conference and requiring

16         that funding for workload be added to base

17         funding on the basis of such estimates;

18         increasing the maximum percentage that base

19         funding may constitute of the total allocation

20         for workforce development programs for the

21         current fiscal year; requiring that the

22         calculation of certain performance incentives

23         be based on empirical evidence; providing

24         restrictions on base funding; providing for

25         allocation of the base funding; requiring local

26         educational agencies to return unused funds to

27         the state; requiring that, when a program moves

28         from one local educational agency to another,

29         the funds move to the new agency within a

30         specified period of time; providing an

31         effective date.

                                  1

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  Be It Enacted by the Legislature of the State of Florida:

 2  

 3         Section 1.  Subsections (4), (5), (6), (8), and (9) of

 4  section 1011.80, Florida Statutes, are amended, present

 5  subsection (10) of that section is redesignated as subsection

 6  (11), and a new subsection (10) is added to that section, to

 7  read:

 8         1011.80  Funds for operation of adult technical

 9  education programs.--

10         (4)  The Florida Workforce Development Education Fund

11  is created to provide Performance-based funding for all

12  workforce development programs, whether the programs are

13  offered by a school district or a community college, must be

14  provided on a workload plus performance basis. The Department

15  of Education shall develop for the 2005-2006 fiscal year an

16  allocation model for community colleges and an allocation

17  model for school district programs using a common set of

18  criteria. Funding for all workforce development education

19  programs must be from the Workforce Development Education Fund

20  and must be based on cost categories, performance output

21  measures, and performance outcome measures.

22         (a)  The cost categories must be calculated to identify

23  high-cost programs, medium-cost programs, and low-cost

24  programs. The cost analysis used to calculate and assign a

25  program of study to a cost category must include at least both

26  direct and indirect instructional costs, consumable supplies,

27  equipment, and standard program length.

28         (a)(b)1.  The workload performance output measure for

29  career and technical education programs of study is student

30  completion of a career and technical program of study that

31  leads to an occupational completion point associated with a

                                  2

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  certificate; an apprenticeship program; or a program that

 2  leads to an applied technology diploma or an associate in

 3  applied science or associate in science degree. Performance

 4  output measures for registered apprenticeship programs shall

 5  be based on program lengths that coincide with lengths

 6  established pursuant to the requirements of chapter 446. The

 7  workload measure for career and technical education programs

 8  may be adjusted to account for program segment length.

 9         2.  The workload performance output measure for an

10  adult general education course of study is measurable

11  improvement in student skills. This measure shall include

12  improvement in literacy skills, grade level improvement as

13  measured by an approved test, or attainment of a State of

14  Florida diploma or an adult high school diploma. The workload

15  measure for adult general education programs may be adjusted

16  to account for program segment length.

17         (c)  The performance outcome measures for workforce

18  development education programs funded through the Workforce

19  Development Education Fund are associated with placement and

20  retention of students after reaching a completion point or

21  completing a program of study. These measures include

22  placement or retention in employment that is related to the

23  program of study; placement into or retention in employment in

24  an occupation on the Workforce Estimating Conference list of

25  high-wage, high-skill occupations with sufficient openings, or

26  other High Wage/High Skill Program occupations as determined

27  by Workforce Florida, Inc.; and placement and retention of

28  participants or former participants in the welfare transition

29  program in employment. Continuing postsecondary education at a

30  level that will further enhance employment is a performance

31  outcome for adult general education programs. Placement and

                                  3

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  retention must be reported pursuant to ss. 1008.39 and

 2  1008.43.

 3         (5)  State funding and student fees for workforce

 4  development instruction funded through the Workforce

 5  Development Education Fund shall be established as follows:

 6         (a)  For a continuing workforce education course, state

 7  funding shall equal 50 percent of the cost of instruction,

 8  with student fees, business support, quick-response training

 9  funds, or other means making up the remaining 50 percent.

10         (b)  For all other workforce development education

11  funded through the Workforce Development Education Fund, state

12  funding shall equal 75 percent of the average cost of

13  instruction with the remaining 25 percent made up from student

14  fees. Fees for courses within a program shall not vary

15  according to the cost of the individual program, but instead

16  shall be based on a uniform fee calculated and set at the

17  state level, as adopted by the State Board of Education,

18  unless otherwise specified in the General Appropriations Act.

19         (c)  For fee-exempt students pursuant to s. 1009.25,

20  unless otherwise provided for in law, state funding shall

21  equal 100 percent of the average cost of instruction.

22         (6)(a)  A school district or a community college that

23  provides workforce development education funded through the

24  Workforce Development Education Fund shall receive funds in

25  accordance with distributions for workload plus base and

26  performance funding established by the Legislature in the

27  General Appropriations Act, pursuant to the following

28  conditions:

29         1.  A college's or district's base funding may shall

30  not exceed 90 85 percent of the current fiscal year total

31  Workforce Development Education Fund allocation for workforce

                                  4

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  development programs, which shall be distributed by the

 2  Legislature in the General Appropriations Act based on a

 3  maximum of 90 85 percent of the institution's prior year total

 4  allocation from base and performance funds.

 5         2.  Workload estimates must be agreed upon by the

 6  Education Estimating Conference. Funding for workload shall be

 7  added to an institution's base funding based on these

 8  estimates.

 9         3.2.  Performance funding shall be at least 10 15

10  percent of the current fiscal year total Workforce Development

11  Education Fund allocation for workforce development programs,

12  which shall be distributed by the Legislature in the General

13  Appropriations Act based on the previous fiscal year's

14  achievement of output and outcomes in accordance with formulas

15  adopted pursuant to subsection (9). Performance funding must

16  incorporate payments for at least three levels of placements

17  that reflect wages and workforce demand. Payments for

18  completions must not exceed 60 percent of the payments for

19  placement. School districts and community colleges shall be

20  awarded funds pursuant to this paragraph based on performance

21  output data and performance outcome data available in that

22  year.

23         4.3.  If a local educational agency achieves a level of

24  performance sufficient to generate a full allocation as

25  authorized by the workforce development funding formula, the

26  agency may earn performance incentive funds as appropriated

27  for that purpose in a General Appropriations Act. If

28  performance incentive funds are funded and awarded, these

29  funds must be added to the local educational agency's prior

30  year total allocation for workforce development programs from

31  

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  the Workforce Development Education Fund and shall be used to

 2  calculate the following year's base funding.

 3         (b)  A program is established to assist school

 4  districts and community colleges in responding to the needs of

 5  new and expanding businesses and thereby strengthening the

 6  state's workforce and economy. The program may be funded in

 7  the General Appropriations Act. A school district or community

 8  college may expend funds under the program without regard to

 9  performance criteria set forth in subparagraph (a)3. (a)2. The

10  district or community college shall use the program to provide

11  customized training for businesses which satisfies the

12  requirements of s. 288.047. Business firms whose employees

13  receive the customized training must provide 50 percent of the

14  cost of the training. Balances remaining in the program at the

15  end of the fiscal year shall not revert to the general fund,

16  but shall be carried over for 1 additional year and used for

17  the purpose of serving incumbent worker training needs of area

18  businesses with fewer than 100 employees. Priority shall be

19  given to businesses that must increase or upgrade their use of

20  technology to remain competitive.

21         (8)  The State Board of Education and Workforce

22  Florida, Inc., shall provide the Legislature with recommended

23  formulas, criteria, timeframes, and mechanisms for

24  distributing performance funds. The commissioner shall

25  consolidate the recommendations and develop a consensus

26  proposal for funding. The Legislature shall adopt a formula

27  and distribute the performance funds to the State Board of

28  Education for community colleges and school districts through

29  the General Appropriations Act. These recommendations shall be

30  based on formulas that would discourage low-performing or

31  

                                  6

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  low-demand programs and encourage through performance-funding

 2  awards:

 3         (a)  Programs that prepare people to enter high-wage

 4  occupations identified by the Workforce Estimating Conference

 5  created by s. 216.136 and other programs as approved by

 6  Workforce Florida, Inc. At a minimum, Performance incentives

 7  shall be calculated for adults who reach completion points or

 8  complete programs that lead to specified high-wage employment

 9  and to their placement in that employment.

10         (b)  Programs that successfully prepare adults who are

11  eligible for public assistance, economically disadvantaged,

12  disabled, not proficient in English, or dislocated workers for

13  high-wage occupations.  At a minimum, performance incentives

14  shall be calculated at an enhanced value for the completion of

15  adults identified in this paragraph and job placement of such

16  adults upon completion, based on empirical evidence of the

17  additional effort required to serve these students. In

18  addition, adjustments may be made in payments for job

19  placements for areas of high unemployment.

20         (c)  Programs that are specifically designed to be

21  consistent with the workforce needs of private enterprise and

22  regional economic development strategies, as defined in

23  guidelines set by Workforce Florida, Inc. Workforce Florida,

24  Inc., shall develop guidelines to identify such needs and

25  strategies based on localized research of private employers

26  and economic development practitioners.

27         (d)  Programs identified by Workforce Florida, Inc., as

28  increasing the effectiveness and cost efficiency of education.

29         (9)  A high school student dually enrolled under s.

30  1007.271 in a workforce development program funded through the

31  Workforce Development Education Fund and operated by a

                                  7

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  community college or school district technical center

 2  generates the amount calculated by the funding formula

 3  Workforce Development Education Fund, including any payment of

 4  performance funding, and the proportional share of full-time

 5  equivalent enrollment generated through the Florida Education

 6  Finance Program for the student's enrollment in a high school.

 7  If a high school student is dually enrolled in a community

 8  college program, including a program conducted at a high

 9  school, the community college earns the funds generated

10  through the formula Workforce Development Education Fund and

11  the school district earns the proportional share of full-time

12  equivalent funding from the Florida Education Finance Program.

13  If a student is dually enrolled in a technical center operated

14  by the same district as the district in which the student

15  attends high school, that district earns the funds generated

16  through the formula Workforce Development Education Fund and

17  also earns the proportional share of full-time equivalent

18  funding from the Florida Education Finance Program. If a

19  student is dually enrolled in a workforce development program

20  provided by a technical center operated by a different school

21  district, the funds must be divided between the two school

22  districts proportionally from the two funding sources. A

23  student may not be reported for funding in a dual enrollment

24  workforce development program unless the student has completed

25  the basic skills assessment pursuant to s. 1004.91.

26         (10)(a)  With respect to base funding as identified in

27  subparagraph (6)(a)1., funds provided for apprenticeship

28  training may be used only for registered and approved state

29  apprenticeship programs as defined in s. 446.071 and must be

30  distributed to school districts and community colleges based

31  on no less than $3,500 per full-time-equivalency (FTE)

                                  8

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1  enrollment figures for the immediately previous year.

 2  Providers shall certify and attest to the accuracy of the

 3  amount of the contributions, in real dollars, of contractors

 4  and other sources. Records relating to provider funds must be

 5  maintained for a period of 3 years and are subject to audit by

 6  the local educational agency (LEA) or its designee.

 7         (b)  Base funding must be allocated as follows:

 8         1.  Ten percent of the FTE to the provider of

 9  classrooms.

10         2.  Twenty percent of the FTE to the provider of labs.

11         3.  Thirty percent of the FTE to the LEA for fixed

12  overhead and costs for instructors and administrators.

13         4.  Accredited or state-certified program providers in

14  charge of the technical training shall receive $3 of Workforce

15  Development Education funds for each $1 of funds in actual

16  dollars, not in-kind contributions, generated by contractors

17  or other providers, up to but not exceeding 40 percent of the

18  program FTE.

19         (c)  The LEA shall return any unused funds to the

20  state. If an approved program moves from one LEA to another,

21  the funding for that program must move to the new LEA in the

22  next fiscal year, provided that the program switched LEAs

23  between school years, not after the school year began.

24         Section 2.  This act shall take effect July 1, 2004.

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    Florida Senate - 2004                                  SB 2858
    21-1195-04




 1            *****************************************

 2                          SENATE SUMMARY

 3    Amends criteria for funding workforce development
      programs. Replaces performance-based funding with funding
 4    based on workload plus performance. Requires the
      Department of Education to develop funding-allocation
 5    models for community colleges and for school district
      programs. Deletes references to the Workforce Development
 6    Education Fund. Allows certain workload measures to be
      adjusted to account for the length of program segments.
 7    Requires workload estimates to be agreed upon by the
      Education Estimating Conference and requires that funding
 8    for workload be added to base funding on the basis of
      such estimates. Increases from 85 to 90 percent the
 9    maximum percentage that base funding may constitute of
      the total allocation for workforce development programs
10    for the current fiscal year. Provides that the
      calculation of certain performance incentives must be
11    based on empirical evidence. Provides restrictions on
      base funding. Provides for allocation of the base
12    funding. Requires local educational agencies to return
      unused funds to the state. Requires that, when a program
13    moves from one local educational agency to another, the
      funds move to the new agency in the next fiscal year, if
14    the program switched agencies between school years.

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                                  10

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