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--- version:Introduced+++ version:(document, no version)@@ -1,213 +1,19 @@-LEGISLATURE OF NEBRASKA-ONE HUNDRED NINTH LEGISLATURE-FIRST SESSION-LEGISLATIVE BILL 45+One Hundred Ninth Legislature - First Session - 2025+Introducer's Statement of Intent+LB45-Introduced by McKinney, 11.-Read first time January 09, 2025+Chairperson: Senator Kathleen KauthCommittee: Business and Labor-A BILL FOR AN ACT relating to jobs; to amend section 48-622.03, Reissue1-Revised Statutes of Nebraska, and section 48-622.02, Revised2-Statutes Cumulative Supplement, 2024; to provide for grants for job3-programs for historically underserved youth; to state intent4-regarding appropriations; to harmonize provisions; and to repeal the5-original sections. 6-Be it enacted by the people of the State of Nebraska,7-LB45-2025-LB45-2025--1--Section 1. Section 48-622.02, Revised Statutes Cumulative1-Supplement, 2024, is amended to read: 2-48-622.02 (1) The Nebraska Training and Support Cash Fund is3-created. Any money in the fund available for investment shall be invested4-by the state investment officer pursuant to the Nebraska Capital5-Expansion Act and the Nebraska State Funds Investment Act. No6-expenditures shall be made from the Nebraska Training and Support Cash7-Fund without the written authorization of the Governor upon the8-recommendation of the commissioner. Transfers may be made from the fund9-to the General Fund at the direction of the Legislature. Any interest10-earned on money in the State Unemployment Insurance Trust Fund shall be11-credited to the Nebraska Training and Support Cash Fund.12-(2) Money in the Nebraska Training and Support Cash Fund shall be13-used for (a) administrative costs of establishing, assessing, collecting,14-and maintaining state unemployment insurance tax liability and payments,15-(b) administrative costs of creating, operating, maintaining, and16-dissolving the State Unemployment Insurance Trust Fund and the Nebraska17-Training and Support Cash Fund, (c) support of public and private job18-training programs designed to train, retrain, or upgrade work skills of19-existing Nebraska workers of for-profit and not-for-profit businesses,20-(d) recruitment of workers to Nebraska, (e) training new employees of21-expanding Nebraska businesses, (f) retention of existing employees of22-Nebraska businesses, (g) the costs of creating a common web portal for23-the attraction of businesses and workers to Nebraska, (h) developing and24-conducting labor availability and skills gap studies pursuant to the25-Sector Partnership Program Act, for which money may be transferred to the26-Sector Partnership Program Fund as directed by the Legislature, and (i)27-payment of unemployment insurance benefits if solvency of the state's28-account in the Unemployment Trust Fund and of the State Unemployment29-Insurance Trust Fund so require , and (j) awarding grants under section 330-of this act. 31-LB45-2025-LB45-2025--2--(3) The Administrative Costs Reserve Account is created within the1-Nebraska Training and Support Cash Fund. Money shall be allocated from2-the Nebraska Training and Support Cash Fund to the Administrative Costs3-Reserve Account in amounts sufficient to pay the anticipated4-administrative costs identified in subsection (2) of this section.5-(4) The State Treasurer shall transfer two hundred fifty thousand6-dollars from the Nebraska Training and Support Cash Fund to the Sector7-Partnership Program Fund no later than July 15, 2016.8-Sec. 2. Section 48-622.03, Reissue Revised Statutes of Nebraska, is9-amended to read: 10-48-622.03 (1) There is hereby created the Nebraska Worker Training11-Board. The board shall consist of seven members appointed and serving for12-terms determined by the Governor as follows: 13-(a) A representative of employers in Nebraska;14-(b) A representative of employees in Nebraska;15-(c) A representative of the public; 16-(d) The Commissioner of Labor or a designee; 17-(e) The Director of Economic Development or a designee;18-(f) The Commissioner of Education or a designee; and19-(g) The chairperson of the governing board of the Nebraska Community20-College Association or a designee. 21-(2) The chairperson of the Nebraska Worker Training Board shall be22-the representative of the employers in Nebraska. 23-(3) By July 1 of each year, the board shall prepare an annual24-program plan for the upcoming fiscal year containing guidelines for the25-program under subdivisions (2)(c) through (f) of section 48-622.0226-financed by the Nebraska Training and Support Cash Fund. The guidelines27-shall include, but not be limited to, guidelines for certifying training28-providers, criteria for evaluating requests for the use of money under29-subdivisions (2)(c) through (f) of section 48-622.02, and guidelines for30-requiring employers to provide matching funds. The guidelines shall give31-LB45-2025-LB45-2025--3--priority to training that contributes to the expansion of the Nebraska1-workforce and increasing the pool of highly skilled workers in Nebraska.2-(4) By December 31 of each year, the Department of Labor shall3-provide a report to the Governor covering the activities of such the4-program financed by the Nebraska Training and Support Cash Fund for the5-previous fiscal year. The report shall contain an assessment of the6-effectiveness of the program and its administration.7-Sec. 3. (1) For purposes of this section, historically underserved8-youth means a person who is eighteen years of age or younger and who has9-experienced homelessness, is from a low-income family or resides in a10-poverty area as determined by the department, has been involved in foster11-care or the juvenile justice system, is at risk of dropping out of12-school, or resides in a qualified census tract as defined in 26 U.S.C.13-42(d)(5)(B)(ii)(I), as such section existed on January 1, 2025.14-(2) The Department of Labor shall establish a five-year pilot grant15-program to provide grants to any entity that meets the requirements of16-subsection (2) of this section subject to the amount appropriated for17-this purpose. The department shall implement an initial pilot phase in a18-city of the metropolitan class, a city of the primary class, and two19-rural communities, allowing for assessment of program efficacy,20-challenges, and resource requirements before statewide expansion.21-Following the pilot phase, the department shall compile a comprehensive22-evaluation report outlining successes, obstacles, and recommended program23-modifications. The statewide program shall then be expanded based on24-these findings to maximize impact. The department may establish a25-regional distribution mechanism to ensure equitable access to grants by26-applicants from various regions of the state. If the appropriation is not27-sufficient to award grants to all eligible applicants, the grants shall28-be awarded on a first-come, first-served basis and priority shall be29-given to grant recipients operating in census tracts with the highest30-poverty rates, lowest employment rates, or greatest need as determined by31-LB45-2025-LB45-2025--4--the department. 1-(3) The purpose of the program is to provide job training,2-employment, and mentorship opportunities to historically underserved3-youth in urban areas as determined by the department. The program shall4-aim to provide historically underserved youth with skills that lead to a5-certification or qualifications for high-demand fields, including, but6-not limited to, information technology, health care, and skilled trades.7-The department shall report on placement rates within these fields in the8-report required by this section. 9-(4) In order to be eligible to apply for a grant, an entity shall:10-(a) Have its headquarters in a qualified census tract as defined in11-26 U.S.C. 42(d)(5)(B)(ii)(I), as such section existed on January 1, 2025;12-(b) Demonstrate to the department that it is committed to hiring13-historically underserved youth. Commitment to hiring historically14-underserved youth shall be demonstrated through structured job training15-or employment programs with clear timelines, resources, and personnel16-dedicated to supporting historically underserved youth; and17-(c) Demonstrate to the department that it is committed to reach18-historically underserved youth to create safety and stability for the19-youth and the community. 20-(5) An applicant shall demonstrate in the application to the21-satisfaction of the department that the applicant has the ability to22-provide job training, competitive wages, mentorship initiatives, and any23-other resources necessary to support employment and social wellness24-development for historically underserved youth and that the job training25-will provide practical skills and valuable work experience.26-(6) As a condition of acceptance of the grant, the grant recipient27-shall provide a report annually to the department that states the number28-of historically underserved youth employed with grant funds in the past29-calendar year, the specific expenditures of the grant funds during such30-time, and the plan to use any unexpended funds. The report shall include31-LB45-2025-LB45-2025--5--evidence of skill attainment, such as an industry-recognized1-certification, within six months after youth program completion, if2-applicable. Each grant recipient shall track and report on metrics,3-including youth job retention rates, wage progression over time, and the4-number of youth who transition to higher-skilled roles or pursue further5-education after completing the program offered by the grant recipient.6-(7) A grant recipient is encouraged to create partnerships with7-employers or educational institutions that commit to offering8-internships, apprenticeships, or job placements upon completion of the9-program offered by the grant recipient. If available, the department may10-award additional grant funds to grant recipients that partner with local11-businesses, educational institutions, or workforce development agencies12-to expand training and mentorship opportunities. The department shall13-review the reports prior to awarding any future grants to make sure that14-the grant funds are used appropriately and to measure the effectiveness15-and impact of the grant program. Following the submission of annual16-reports, the department shall provide feedback to each grant recipient,17-highlighting areas of strength and areas for potential improvement based18-on program performance data. The department shall compile an annual19-report of best practices from high-performing grant recipients and20-distribute this to all grant recipients to enhance program quality.21-The department shall annually evaluate program impact, assessing22-youth employment outcomes, long-term job retention, and economic23-advancement for historically underserved youth. 24-(8) It is the intent of the Legislature to appropriate twenty25-million dollars for fiscal year 2025-26 and every fiscal year thereafter26-to the Department of Labor from the Nebraska Training and Support Cash27-Fund for the purposes of awarding grants under this section. The28-department shall use no more than one percent of the appropriation for29-administration of the grants. Administrative costs shall be limited to30-expenses directly related to grant program oversight, including personnel31-LB45-2025-LB45-2025--6--for application review, program auditing, and data management. No portion1-of administrative costs shall be allocated for unrelated departmental2-expenses. The department shall publish an annual report detailing3-administrative expenditures, ensuring transparency in the management of4-allocated funds. 5-Sec. 4. Original section 48-622.03, Reissue Revised Statutes of6-Nebraska, and section 48-622.02, Revised Statutes Cumulative Supplement,7-2024, are repealed. 8-LB45-2025-LB45-2025--7-+Date of Hearing: February 10, 2025++The following constitutes the reasons for this bill and the purposes which are sought to be+accomplished thereby:+This bill proposes the curation of the Nebraska Historically Underserved Youth Employment+Grant Program that will allocate state funds to community organizations and associations to+create employment opportunities for underserved youth. This initiative aims to create positive+outcomes for the youth by way of providing job training, employment, and mentorship+opportunities.++Principal Introducer: ________________________________+Senator Terrell McKinney+- 1 -
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