HF 3143

as introduced - 88th Legislature (2013 - 2014) Posted on 03/17/2014 02:19pm

A bill for an act
relating to workforce development; establishing a new employee training
partnership; providing rebates for employer training costs; requiring a report;
appropriating money.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin NEW EMPLOYEE TRAINING PARTNERSHIP.
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new text begin Subdivision 1. new text end

new text begin Training partnership initiative. new text end

new text begin (a) The commissioner of
employment and economic development shall develop and implement a new employee
training partnership to provide rebates to employers that hire and train new employees.
To be eligible for a rebate under this section, an employer must enter into an agreement
with the commissioner under subdivision 3. The commissioner shall give priority to
employers in counties in which the county unemployment rate over the preceding 12
months exceeded the state average unemployment rate over the same period.
new text end

new text begin (b) Before entering into an agreement with an employer, the commissioner must
investigate the applicability of other training programs and determine whether the job skills
partnership grant program is a more suitable source of funding for the training and whether
the training can be completed in a timely manner that meets the needs of the employer.
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new text begin The investigation must be completed within 15 days or as soon as reasonably possible
after the employer has provided the commissioner with all the requested information.
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new text begin (c) The commissioner shall prescribe the form of all applications for rebates, the
timing for submission of applications, the execution of agreements with the commissioner,
and the payment of rebates.
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new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin For the purposes of this section, the following terms have
the meanings given.
new text end

new text begin (a) "Agreement" means the agreement between an employer and the commissioner
for a training partnership.
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new text begin (b) "Commissioner" means the commissioner of employment and economic
development.
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new text begin (c) "Cost of training" means all necessary and incidental costs of providing training
services. The term does not include the cost of purchasing equipment to be owned or used
by the training or educational institution or service.
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new text begin (d) "Disability" has the meaning given under United States Code, title 42, chapter 126.
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new text begin (e) "Employee" means an individual employed in a new job.
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new text begin (f) "Employer" means an individual, corporation, partnership, limited liability
company, or association providing new jobs and entering into an agreement.
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new text begin (g) "Long-term unemployed" has the meaning given by the United States Department
of Labor, Bureau of Labor Standards.
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new text begin (h) "New job" means a job:
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new text begin (1) that is provided by a new or expanding business at a location outside of the
metropolitan area, as defined in section 473.121, subdivision 2;
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new text begin (2) that provides 32 hours of work per week for a minimum of nine months of the
year and is permanent with no planned termination date; and
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new text begin (3) for which the employee hired was not (i) formerly employed by the employer
in the state or (ii) a replacement worker, including a worker newly hired as a result of a
labor dispute.
new text end

new text begin (i) "Rebate" means a payment by the commissioner to an employer for the cost
of training an employee. Rebates are limited to a maximum of $3,000 per employee,
except that the maximum rebate for the training costs of an employee with a disability, an
employee who was considered long-term unemployed, or an employee who is a veteran,
is $4,000 per employee.
new text end

new text begin (j) "Training partnership" means a training services and rebate arrangement that is
the subject of an agreement entered into between the commissioner and an employer.
new text end

new text begin (k) "Training services" means training and education specifically directed to new
jobs, determined to be appropriate by the commissioner, including in-house training;
services provided by institutions of higher education, or federal, state, or local agencies;
or private training or educational services. Administrative services, assessment, and
testing costs are included.
new text end

new text begin Subd. 3. new text end

new text begin Agreements; required terms. new text end

new text begin (a) To be eligible for a rebate under this
section, an employer must enter into an agreement with the commissioner that:
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new text begin (1) identifies the training costs to be incurred by the employer and the amount of the
rebate to be provided by the commissioner;
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new text begin (2) provides for a guarantee by the employer of payment for all training costs; and
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new text begin (3) provides that each employee must be paid wages of at least $13 per hour, plus
benefits.
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new text begin Subd. 4. new text end

new text begin Verification prior to payment of rebate. new text end

new text begin The commissioner shall not
pay any rebate until all training costs and payment of the training costs by the employer
have been verified.
new text end

new text begin Subd. 5. new text end

new text begin Allocation. new text end

new text begin The commissioner shall allocate payment for rebates to
employers based on a first-come, first-served basis, as determined by the commissioner
upon receipt of a complete application for the rebate, including the provision of all of the
required information and the execution of an agreement.
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new text begin Subd. 6. new text end

new text begin Report. new text end

new text begin (a) By February 1, 2016, the commissioner shall report to the
committees of the house of representatives and the senate having jurisdiction over economic
development policy and finance. The report must include the following information:
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new text begin (1) the total amount of rebates issued;
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new text begin (2) the number of individuals receiving training, including disaggregate data
for employees who are individuals with disabilities, veterans, or who were long-term
unemployed;
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new text begin (3) an analysis of the effectiveness of the rebate in encouraging employment; and
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new text begin (4) any other information the commissioner determines appropriate.
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Sec. 2. new text begin APPROPRIATION.
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new text begin $1,000,000 in fiscal year 2015 is appropriated from the general fund to the
commissioner of employment and economic development for rebates under section 1.
This is a onetime appropriation and is available until expended. Up to five percent of this
appropriation may be used by the commissioner for administration.
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