SF 3503

as introduced - 89th Legislature (2015 - 2016) Posted on 04/12/2016 11:25am

A bill for an act
relating to workforce development; providing for career coursework completion;
appropriating money; proposing coding for new law in Minnesota Statutes,
chapter 116L.

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

Section 1.

new text begin [116L.175] CAREER COURSEWORK COMPLETION.
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new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms
have the meanings given.
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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) "Economic development region" means a development region described in
section 462.385.
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new text begin (d) "Educational costs" means the cost of attendance at a postsecondary institution,
as defined by the institution under the Higher Education Act of 1975, section 472, as
amended, less any Pell or state grants for which a student is eligible.
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new text begin (e) "Employee" means an individual who works for an employer located in the
state and does the majority of his or her work in the state. Employee does not mean an
independent contractor.
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new text begin (f) "Employer" means a person or entity located in Minnesota employing one or
more employees in Minnesota.
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new text begin (g) "High-demand occupation" means a standard occupational classification major
group for which the job vacancy rate in an economic development region is greater
than the job vacancy rate in the economic development region for all occupations, as
determined by the commissioner based on data reported in the job vacancy survey.
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new text begin (h) "Job vacancy rate" means the average of the job vacancy rate for the two most
recent quarters for which data is available as reported in the job vacancy survey.
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new text begin (i) "Prospective employee" means an individual identified by an employer as a likely
employee if the individual completes a qualifying academic program.
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new text begin (j) "Qualifying academic program" means a degree, diploma, or certificate program
offered by a state college operated by the Board of Trustees of the Minnesota State
Colleges and Universities and requiring no more than 60 credits.
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new text begin (k) "Standard occupational classification" means the 2010 standard occupational
classification adopted by the United States Bureau of Labor Statistics.
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new text begin (l) "Standard occupational classification major group" means a group of standard
occupational classifications designated by a two-digit standard occupational classification
code.
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new text begin Subd. 2. new text end

new text begin Program created. new text end

new text begin The commissioner shall create a program for
making monetary grants to reimburse employers that assist employees or prospective
employees with the educational costs of completing a qualifying academic program. The
commissioner must work with the Board of Trustees of the Minnesota State Colleges and
Universities, representatives of the colleges, and the commissioner of higher education
on the promotion of the program.
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new text begin Subd. 3. new text end

new text begin Eligible grantees. new text end

new text begin (a) An employer may apply for a grant to reimburse all
money paid by the employer, up to 50 percent of educational expenses of a qualifying
academic program paid to, or on behalf of, an employee or prospective employee for a
position that requires completion of a qualifying academic program.
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new text begin (b) To be eligible for a grant under this section, an employer must have had in the
previous calendar year or must anticipate having in the current calendar year at least one
job vacancy that requires a degree or certificate in a high-demand occupation for the
economic development region in which the employer is located.
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new text begin Subd. 4. new text end

new text begin Grant criteria. new text end

new text begin (a) To the extent feasible, the commissioner must allocate:
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new text begin (1) 50 percent of grant dollars to employers within the seven metropolitan counties
listed in section 473.121, subdivision 4; and
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new text begin (2) 50 percent of grant dollars to employers outside those counties.
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new text begin (b) The commissioner has discretion to prioritize certain high-demand occupations
for grant awards based on job vacancy rates. If the commissioner decides to prioritize
certain high-demand occupations, the commissioner must announce the decision at least
30 days before opening a round of grant applications.
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new text begin (c) In awarding grants, the commissioner must determine and consider the job gap
for the economic development region in which the employer is located. The job gap
equals the difference between:
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new text begin (1) the job vacancy rate for the high-demand occupation for which the employer had
or anticipates having a vacancy under subdivision 3, paragraph (b); and
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new text begin (2) the job vacancy rate for all occupations.
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new text begin Subd. 5. new text end

new text begin Application. new text end

new text begin (a) Applications must be made to the commissioner on a
form provided by the commissioner. The commissioner must, to the extent possible, make
the application form short and simple to complete. The commissioner shall establish a
schedule for applications and grants. The application must include, without limitation,
information sufficient to satisfy the reporting requirements under this section and section
116L.98, subdivision 3.
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new text begin (b) The commissioner must establish at least two rounds of applications in a calendar
year to best align with the academic calendars of relevant programs at Minnesota State
Colleges and Universities.
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new text begin Subd. 6. new text end

new text begin Reporting. new text end

new text begin The commissioner must report to the house of representatives
and senate committees with jurisdiction over higher education and economic and
workforce development no later than December 1, 2017, and each year thereafter as
long as the program is operating. The commissioner must require grantees to provide all
information needed from them to fulfill the commissioner's reporting requirement by
September 1, 2017, and each year thereafter as long as the program is operating. If any of
the information in this section is unknown to the commissioner at the time of employer
application, the commissioner must acquire the information before paying any grant
money. The report required under this subdivision must contain all information required
by section 116L.98, plus the following:
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new text begin (1) a categorical breakdown by the standard occupational classification major group
of the academic programs that employees and prospective employees completed under
the grant program, including the number of employees and prospective employees and
grant dollars broken out by each standard occupational classification major group and
economic development region;
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new text begin (2) a breakdown of the state colleges that employees and prospective employees
attended, including the number of employees and prospective employees and grant dollars
broken out by each college;
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new text begin (3) the rate of completion of qualifying academic programs among participating
employees and prospective employees;
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new text begin (4) total costs paid by employers toward employee or prospective employee
completion of qualifying academic programs by the standard occupational classification
major group and economic development region;
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new text begin (5) total costs paid by employees and prospective employees toward completion
of qualifying programs by the standard occupational classification major group and
economic development region;
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new text begin (6) grant dollars awarded by the standard occupational classification major group
and economic development region; and
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new text begin (7) an assessment by the commissioner of the efficacy of the program.
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Sec. 2. new text begin APPROPRIATION.
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new text begin (a) $10,000,000 in fiscal year 2017 is appropriated from the general fund to the
commissioner of employment and economic development for the purpose of making
grants under Minnesota Statutes, section 116L.175. This is a onetime appropriation. The
appropriation is available until December 31, 2019.
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new text begin (b) $300,000 in fiscal year 2017 and each year thereafter is appropriated from the
general fund to the commissioner of economic development to administer the program
under Minnesota Statutes, section 116L.175. A portion of this administration component
must be used to promote the program in cooperation with the Board of Trustees of the
Minnesota State Colleges and Universities, representatives of the colleges, and the
commissioner of higher education. This amount is added to the department's base.
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