(A67, R84, H3726)
AN ACT TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING CHAPTER 30 TO TITLE 41 SO AS TO ENACT THE "STATEWIDE EDUCATION AND WORKFORCE DEVELOPMENT ACT", TO STATE THE PURPOSE OF THE CHAPTER, TO CREATE THE OFFICE OF STATEWIDE WORKFORCE DEVELOPMENT IN THE DEPARTMENT OF EMPLOYMENT AND WORKFORCE AND PROVIDE FOR THE MANAGEMENT AND FUNCTIONS OF THE OFFICE, TO TRANSFER THE COORDINATING COUNCIL FOR WORKFORCE DEVELOPMENT TO THE DEPARTMENT AND PROVIDE FOR THE COMPOSITION AND FUNCTIONS OF THE COUNCIL, TO CREATE AN EXECUTIVE COMMITTEE OF THE COORDINATING COUNCIL AND PROVIDE FOR THE COMPOSITION AND FUNCTIONS OF THE COMMITTEE, TO REDESIGNATE REGIONAL EDUCATION CENTERS AS REGIONAL WORKFORCE ADVISORS AND PROVIDE FOR THE OVERSIGHT, FUNCTIONS, RESPONSIBILITIES, AND GEOGRAPHIC CONFIGURATION REQUIREMENTS OF THE CENTERS, AMONG OTHER THINGS; TO AMEND SECTION 41-31-160, RELATING TO CONTRIBUTION AND WAGE REPORTS REQUIRED BY THE DEPARTMENT, SO AS TO REVISE CRITERIA FOR EMPLOYERS WHO MUST FILE THE REPORTS, AND TO REQUIRE THE ELECTRONIC FILING OF THE REPORTS ABSENT DEMONSTRATED HARDSHIP; TO AMEND SECTION 41-35-615, RELATING TO DEPARTMENT NOTICES TO EMPLOYERS CONCERNING INSURED STATUS DETERMINATIONS AND EMPLOYER RESPONSES, SO AS TO REQUIRE THE ELECTRONIC FILING OF CERTAIN EMPLOYER RESPONSES ABSENT DEMONSTRATED HARSDSHIP; AND BY REPEALING ARTICLE 13 OF CHAPTER 1, TITLE 13 RELATING TO OVERSIGHT OF REGIONAL EDUCATION CENTERS BY THE DEPARTMENT OF COMMERCE, AND ARTICLE 15 OF CHAPTER 1, TITLE 13 RELATING TO THE COORDINATING COUNCIL FOR WORKFORCE DEVELOPMENT.
Be it enacted by the General Assembly of the State of South Carolina:
Citation
SECTION 1. This act may be cited as the "Statewide Education and Workforce Development Act".
Statewide education and workforce development provisions
SECTION 2. Title 41 of the S.C. Code is amended by adding:
Section 41-30-110. (A) The purpose of this chapter is to endeavor to reach the workforce potential of this State. It seeks to coordinate, align, and enhance all publicly funded workforce development services and centralize oversight of the entities that provide these services to enhance accountability, enhance transparency, and promote a customer-centric workforce system so that the opportunities available through it are easy to access, highly effective, and simple to understand, and to provide a mechanism to marshal workforce development resources and services to meet the immediate and future needs of specialized industry workforce demands and economic development commitments of this State and in specific areas of the State. Further, this chapter seeks to:
(1) deliver value-added services to business customers by collaborating with them to address skills shortages in priority industries and in-demand occupations;
(2) provide for broader dissemination of information to help students, parents of students, and job seekers make career choices based on an awareness of jobs, skills in demand, and related educational pathways;
(3) develop methods for coupling workforce training with a continuum of services to assist those who are struggling to overcome workforce participation barriers; and
(4) address obstacles unique to those in rural areas.
(B) To achieve this purpose:
(1) a unified comprehensive statewide education and workforce development plan is established;
(2) all entities performing publicly funded workforce development-related functions are required to comply with the obligations under the plan; and
(3) their compliance will be monitored and, when necessary, compelled by the Office of Statewide Workforce Development, and such reports will be made publicly available in order to further transparency and better inform workforce development spending and policymaking.
Section 41-30-120. As used in this chapter, unless the context clearly indicates otherwise:
(1) "Department" means the Department of Employment and Workforce;
(2) "Director" means the Director of the Office of Statewide Workforce Development;
(3) "Executive director" means the Executive Director of the Department of Employment and Workforce;
(4) "Executive committee" means the executive committee of the Coordinating Council for Workforce Development;
(5) "Unified State Plan" or "USP" means the comprehensive statewide education and workforce development plan that provides a systemwide approach to streamline and unify efforts of entities involved in education and workforce development in the State;
(6) "Office of Statewide Workforce Development" or "OSWD" means the Office of Statewide Workforce Development created in this chapter; and
(7) "Coordinating Council for Workforce Development" or "CCWD" means the Coordinating Council for Workforce Development administered by the department.
Section 41-30-130. On July 1, 2023, all functions, powers, and duties provided by law to the Department of Commerce with respect to the Coordinating Council for Workforce Development, formerly the Education and Economic Development Coordinating Council, are hereby transferred from the Department of Commerce to the Department of Employment and Workforce, and these functions, powers, and duties are devolved upon the Department of Employment and Workforce, and the Coordinating Council for Workforce Development's officers, members, records, property, personnel, and unexpended appropriations also are transferred to the Department of Employment and Workforce. All rules, regulations, standards, orders, or other actions of these entities shall remain in effect unless specifically changed or voided by the department in accordance with the Administrative Procedures Act. The Department of Commerce and the Department of Employment and Workforce shall work together at all stages of the process until the transition is complete.
Section 41-30-310. The Office of Statewide Workforce Development is created in the Department of Employment and Workforce to coordinate, align, and direct workforce efforts throughout the State to maximize available resources and actively foster a customer-centric workforce development system that is readily accessible, highly effective, and easily understandable.
Section 41-30-320. The Governor shall appoint the Director of the OSWD with advice and consent of the Senate, subject to removal from office by the Governor pursuant to the provisions of Section 1-3-240(B). The state agency head salary review process and the rules and guidelines thereunder apply to the director. The OSWD shall:
(1) oversee and ensure implementation of Coordinating Council for Workforce Development responsibilities pursuant to Section 41-30-540;
(2) efficiently marshal public resources to optimally align, consolidate, streamline, and coordinate publicly funded workforce development efforts in this State;
(3) provide centralized oversight of all publicly funded workforce development services in this State provided by state and local government agencies, nonprofit groups, and quasi-governmental groups that are appropriated state funds or are authorized to expend federal funds related to workforce development;
(4) provide oversight of Regional Workforce Advisors as required in Section 41-30-710, et. seq.;
(5) monitor compliance of each state and local government agency, nonprofit group, and quasi-governmental group that is appropriated state funds or is authorized to expend federal funds related to workforce development and, when necessary, direct those entities to take any action necessary to comply with the responsibilities set forth in the USP. Noncompliance with a directive of the OSWD must be recorded and made part of the report made as required in subitem (6); and
(6) shall submit an annual report by November first of each fiscal year to the Governor, Speaker of the House, President of the Senate, Chair of the House Ways & Means Committee, and Chair of the Senate Finance Committee detailing all funds used for workforce development projects by all reporting state and local government agencies, nonprofit groups, and quasi-governmental groups that are appropriated state funds or are authorized to expend federal funds related to workforce development. This report also must identify those entities that did not comply with the provisions of this chapter.
Section 41-30-330. Any decision of the executive committee must be made by a majority vote of the entire membership of the committee.
Section 41-30-340. The Director of the OSWD and the executive committee of CCWD shall develop and publish uniform procedures and guidelines for the conduct of their responsibilities and duties, including the procedure for considering and voting on recommendations of the CCWD or the director.
Section 41-30-510. The Coordinating Council for Workforce Development is reconstituted and generally is responsible for:
(1) engaging in discussions, collaboration, and information sharing concerning the ability of the State to prepare and train workers to meet current and future workforce needs; and
(2) performing the other required duties of this chapter under the direction of the Chairman of the CCWD.
Section 41-30-520. The CCWD consists of the following members:
(1) the Executive Director of the Department of Employment and Workforce or his designee, who shall serve as chairman;
(2) the Director of the Office of Statewide Workforce Development or his designee;
(3) the Director of the South Carolina Department of Veterans Affairs or his designee;
(4) the Commissioner of South Carolina Vocational Rehabilitation or his designee;
(5) the Chairman of the South Carolina Research Authority or his designee;
(6) the Commissioner of Agriculture or his designee;
(7) the Director of the Department of Labor, Licensing and Regulation or his designee;
(8) the Director of the Office of Revenue and Fiscal Affairs or his designee;
(9) the Director of the Education Oversight Committee or his designee;
(10) the President of the South Carolina Manufacturing Extension Partnership or his designee;
(11) the Secretary of the Department of Commerce or his designee;
(12) the State Superintendent of Education or his designee;
(13) the Executive Director of the State Board for Technical and Comprehensive Education or his designee;
(14) the Executive Director of the Commission on Higher Education or his designee;
(15) the Director of the South Carolina Department of Parks, Recreation and Tourism or his designee;
(16) the president or provost of a research university in this State who is selected by the presidents of the research universities in this State;
(17) the president or provost of a four-year college or university in this State who is selected by the presidents of the four-year universities in this State;
(18) the president of a technical college in this State who must be appointed by the Chairman of the State Board for Technical and Comprehensive Education;
(19) the following members appointed by the State Superintendent of Education who have expertise regarding the South Carolina Education and Economic Development Act:
(a) a school district superintendent;
(b) a school counselor; and
(c) a career and technology education director;
(20) the Chairman of the South Carolina State Workforce Development Board or his designee;
(21) a representative of a local workforce board, appointed by the Executive Director of the Department of Employment and Workforce;
(22) the Executive Director of South Carolina First Steps or his designee;
(23) the Director of the South Carolina Department of Revenue or his designee;
(24) two representatives from the business community, appointed by the Governor, who have professional expertise in economic development and workforce issues;
(25) one person appointed by the Chairman of the House Education and Public Works Committee and one person appointed by the House minority party leader;
(26) one person appointed by the Chairman of the Senate Education Committee and one person appointed by the Senate minority party leader;
(27) the Executive Director of South Carolina State Housing Finance and Development Authority or his designee;
(28) three persons appointed by the Governor who are considered current or past small business owners under the North American Industry Classification System (NAICS) code;
(29) representatives of any other agencies or entities selected by vote of the executive committee.
(30) one person appointed by the Speaker of the House and one person appointed by the Senate President, both of whom have professional expertise in economic development and workforce issues, both of whom also shall serve on the executive committee.
Section 41-30-530. (A) The executive committee of the CCWD is created and consists of the following members or their designees:
(1) the Executive Director of the Department of Employment and Workforce, who shall serve as chairman;
(2) the Director of the Office of Statewide Workforce Development;
(3) the Secretary of the Department of Commerce;
(4) the State Superintendent of Education;
(5) the Executive Director of the State Board for Technical and Comprehensive Education;
(6) the Executive Director of the Commission on Higher Education; and
(7) the one person appointed by the Speaker of the House and the one person appointed by the Senate President to the full CCWD in Section 41-30-520(30).
(B) The executive committee:
(1) shall review and vote on recommendations made by the CCWD or Director of OSWD;
(2) shall review and approve any actions proposed to be undertaken by the CCWD including adoption or modification of the USP or any provision of the USP; and
(3) may recommend the appropriate actions necessary to eliminate duplicative programs and workforce activities that do not further the USP, improve programs not meeting stated performance targets, and, when necessary and to the extent not prohibited in law, recommend that entities discontinue programs that repeatedly do not meet targets or may no longer be needed.
Section 41-30-540. (A) The CCWD shall:
(1) make recommendations to the General Assembly as needed to implement the provisions of this chapter;
(2) regularly meet with industry associations to gain an understanding of their workforce needs and ideas;
(3) facilitate and coordinate the development of the USP;
(4) use data and analysis to create measurable, time-sensitive metrics for the USP in which all workforce pipeline stakeholders including, but not limited to, education and workforce boards, councils, and partner representatives, participate. These measurable, time-sensitive metrics include, but are not limited to:
(a) ten-year labor participation rate target; and
(b) ten-year target for the number of South Carolinians who possess a high-quality credential or postsecondary degree;
(5) create an education and workforce dashboard or other application to enable the public to monitor and track progress of the USP; and
(6) annually review the USP and update as needed.
(B) The USP should include, but is not limited to, the following:
(1) assurance that agency constituents remain served;
(2) compliance with federal and state laws including, but not limited to, those relating to state plans, to avoid duplication of efforts;
(3) identification of statewide workforce priorities and methods for identifying and addressing long-term workforce needs;
(4) assurance that the components of Chapter 59, Title 59, the South Carolina Education and Economic Development Act, are implemented with fidelity to provide a better prepared workforce, student success in postsecondary education, and enhanced coordination between K-12, higher education, and employers;
(5) establishment and maintenance of standardized education and workforce terminology and definitions to be used across all agencies and sectors;
(6) development and implementation of an annual statewide workforce and education supply gap analysis which may include, but is not limited to:
(a) evaluation of current and projected future employer demands;
(b) determination of the makeup of the state's labor force and identifying the industries and occupations that are thriving by constructing a baseline analysis of the state's demographics and performing an analysis of the trends in the workforce and education infrastructure pipeline, including the supply of graduates in the State and the number of graduates by degree/certificate category;
(c) identifying the supply of skills found in the workforce, and demand for skills employers need from the workforce, and a means for determining how to close gaps that exist between the supply and demand of such skills; and
(d) reviewing growing industry and occupation clusters;
(7) creation and maintenance of an Education and Workforce Portal to provide South Carolinians with information critical to their lifelong educational journey, which may include, but is not limited to:
(a) an "Educational Program Alignment Toolkit" that serves as an infrastructure of resources to enable the K-12, technical college, and higher education systems to individually and collectively ensure their respective educational curriculum, initiatives, and programming match workforce needs;
(b) a "Career Pathways Tool" that uses applicable occupational data, educational programming, workforce needs, salary information, job market analyses, in-demand occupations, and other information to provide students, parents of students, job seekers, educators, and counselors with useful information about potential career pathways and the various routes to meaningful employment;
(c) real-time labor market information;
(d) comprehensive inventory of all education and training assets in the State; and