The bill amends the Labor Code to enhance the use of the skills development fund by including the Texas A&M Engineering Experiment Station and the Texas A&M Engineering Extension Service as eligible entities alongside public community and technical colleges and local workforce development boards. The amendments aim to remove administrative barriers and incentivize these institutions to provide customized training and assessment in response to industry needs. Specifically, the bill allows these entities to recover costs for customized training if there is a labor shortage in the relevant occupation and if the wages for job placements meet local market standards.

Additionally, the bill mandates that the Texas Higher Education Coordinating Board conduct biennial reviews of customized training programs to ensure appropriate use of state funds. It requires the Texas A&M Engineering Experiment Station, the Texas A&M Engineering Extension Service, and public colleges to submit detailed reports on the effectiveness of their training programs and their impact on participants' wages. Failure to submit these reports will result in the need to refund unexpended state funds and will prevent the awarding of additional grants until compliance is achieved. The bill is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Labor Code 303.001, Labor Code 303.002, Labor Code 303.003, Labor Code 303.004 (Labor Code 303)
House Committee Report: Labor Code 303.001, Labor Code 303.002, Labor Code 303.003, Labor Code 303.004 (Labor Code 303)