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CTE Research Review (Part 2)

May 2nd, 2014

ResearchNote: This is the second part of our regular CTE Research Review series. Be sure to check out yesterday’s post for new research finding about education and the labor market.

This week, Northeastern University released a new survey called, “Innovation Imperative: Enhancing the Talent Pipeline,” which is its third in a series of public opinion polls on higher education and the global economy. Among the survey’s key findings, 96 percent of business leaders believe innovation is crucial to remain globally competitive while more than half of business leaders believe the U.S. higher education system is lagging behind most developed and emerging countries in preparing students for the workforce. Three-quarters of business leaders surveyed believe there is a skills gap among today’s workforce and 87 percent believe graduates lack the most important skills to succeed.

A new report from CareerBuilder, “The shocking truth about the skills gap,” asked employers, academics and job seekers (employed, unemployed and underemployed) about their perceptions of the “skills gap.” Although the U.S. economy continues to climb out of the Great Recession and positive signs of growth and recovery abound, 81 percent of employers say they are having a difficult time filling open jobs. This fact alone would support the idea that there is a gap between the skills needed for vacant jobs and the skills job seekers possess. This CareerBuilder report, however, uncovered a few surprising pieces of this complex puzzle.

Andrea Zimmermann, State Policy Associate

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CTE Research Review (Part 1)

May 1st, 2014

ResearchNote: Today’s post will focus on new research findings about education and the labor market. Stay tuned for tomorrow’s post, which will bring you some new public opinion surveys from the field.

A report from the Economic Policy Institute released Thursday shows that while the Great Recession may have ended officially in June 2009, the labor market’s slow recovery has been particularly devastating for young college and high school graduates and will likely have lasting consequences. The study found that unemployment rates for young graduates are improving, but remain substantially higher than before the recession began, and the overall rates for young graduates mask substantial disparities in unemployment by race and ethnicity, which are substantially higher than their white non-Hispanic peers. Also, graduating in a bad economy will have lasting consequences for this cohort. The study projected that for the next 10 to 15 years, those in the Class of 2014 will likely earn less than if they had graduated when job opportunities were plentiful.

This week, the U.S. Department of Education (ED) announced that the high school graduation rate has reached 80 percent for the first time in U.S. history. The numbers – released by ED’s statistics arm, the National Center for Education Statistics – also project that graduation rates could hit 90 percent by 2020, if states continue at this pace. This week, the America’s Promise Alliance also released a report that offered a detailed state-by-state look based on 2012 data.

Also, this week, Education Commission of the States takes a look at legislative activity in 2013 as it related to CTE and workforce development. The report, titled “Career and Technical Education: States Aligning Programs to Meet Workforce Needs,” cites activity in areas such as blending high school and postsecondary learning opportunities, incentivizing industry credentials, expanding internships, and formalizing governing structures. In case you missed it – NASDCTEc and ACTE released their own “2013 Year in Review: State Policies Impacting CTE,” in March.

Earlier this month, the Lumina Foundation launched a new issue paper series that focused on college costs and prices for students as well as institutions and states. In particular, the report takes a state-by-state look at the connection between the Great Recession, college tuition and affordability.

Understanding the federal appropriations process is already a steep challenge. An important facet of this process is when the money will be obligated as well as the difference between forward funding, advance appropriations and advance funding. Many programs administered by the U.S. Department of Education are advance or forward funded. Knowing how and when federal programs obligate funds is crucial in order for recipients – whether on the state, district or institution level – to plan accordingly. This brief from the Congressional Research Service, part of the Library of Congress, takes a closer look at these varying types of appropriations.

Andrea Zimmermann, State Policy Associate

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Legislative Update: ED Continues Program Integrity Negotiations, NASDCTEc & IBM Host Briefing on CTE, Perkins

April 25th, 2014

CapitolBeginning this past Wednesday and ending today, the U.S. Department of Education (ED) reconvened a panel for a third round of negotiated rulemaking on program integrity and improvement. Negotiators are discussing a number of proposed regulatory changes for postsecondary institutions including clock-to-credit-hour conversions, state authorization of distance learning programs, remedial coursework, cash management and — most contentiously — how to define adverse credit history for the purposes of certain federal financial aid eligibility.

Since a preliminary consensus had already been reached on clock-to-credit-hour conversions during the last round of negotiations, the panel moved quickly on a second draft of proposed regulatory language. The proposed changes maintain the existing conversion formula, but significantly improve the clarity of the regulation. The intent of this particular rule is to ensure that postsecondary students enrolled in programs which provide instruction based on clock hours rather than credit hours receive equivalent amounts of federal financial aid for the same amount of coursework. It is important to note that for a formal consensus to be completed, the panel must also reach consensus on the other issues currently under discussion.

A newly drafted set of rules governing state authorization of distance programs was also heatedly debated this week. These proposed regulations determine the legal authorization of postsecondary education programs provided by institutions that are not physically located in the state. These proposed rules would primarily affect online, distance and correspondence education programs. Such programs would need to meet the various legal requirements imposed by individual states to offer distance education programs in each state where an enrollee resides if 50 percent or more of a course can be completed remotely. Among many other proposed changes, an institution would not be eligible for federal financial aid for its students if its graduates are not able to receive a certification or complete a licensing examination required for employment in that state after program completion, unless the program obtains prior acknowledgement from the student.

A fourth and final round of negotiations is expected on May 19-20, 2014. As this process unfolds, NASDCTEc will continue to monitor these negotiations and gauge any potential impact on postsecondary Career Technical Education (CTE) programs. More information on these negotiations and additional supplemental information can be found here.

NASDCTEc & IBM Host Briefing on CTE, Perkins

Yesterday the National Association of State Directors of Career Technical Education Consortium (NASDCTEc) and IBM hosted a briefing for stakeholder groups interested in learning more about CTE and the Carl D. Perkins Career and Technical Education Act (Perkins). NASDCTEc’s Executive Director Kimberly Green and Stan Litow, IBM’s Vice President of Corporate Citizenship and Corporate Affairs and President of IBM’s Foundation, provided a joint briefing on these issues in an effort to prepare these groups for the reauthorization of Perkins.

While no official timeline has been laid out by Congress for the reauthorization of the law yet, employers and other stakeholders groups in the education and workforce communities have taken a significant interest in CTE and the Perkins Act over the past year as the law has come due for renewal. As both the House and Senate take steps to reauthorize Perkins, the briefing provided important background information on the 2006 reauthorization process, emerging themes and major changes occurring within the CTE enterprise over the past several years, employers’ growing interest in CTE, IBM’s P-Tech initiatives in New York and Connecticut and finally what to expect in the upcoming legislative process surrounding Congress’ consideration of the law.

NASDCTEc would like to thank IBM for hosting the event and for those who participated in the briefing. As the reauthorization process gets more fully underway in the coming year, NASDCTEc looks forward to working constructively with Congress, employers and other stakeholder groups to thoughtfully renew the law which constitutes the primary federal investment in CTE and our nation’s high schools.

OCTAE RFI Update

Earlier this week, NASDCTEc shared an announcement from the Departments of Education, Labor, and Health & Human Services (HHS) regarding a request for information (RFI) on career pathway systems. This multiagency RFI is soliciting information from a diverse group of stakeholders from both the public and private sectors, as well as from state, regional, tribal, and local entities on how to develop and improve career pathway systems. Specifically they are seeking information on effective career pathway models, best practices, barriers to their development and implementation, and also ways in which federal agencies can more effectively support these types of systems. Responses collected through this RFI will help inform future departmental career pathway strategies, policies, and investments.

Responses are due June 9th, 2014, and the official notice can be found here. The departments have also announced a webinar to provide an overview of this RFI and to provide instructions on how to respond. More information on that, including how to register, can be found here.

Steve Voytek, Government Relations Associate 

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Federal Agencies Launch Program to Reach Disconnected Youth

April 21st, 2014

Today, the federal government announced a new pilot program to enable communities, states and tribal governments to better address the needs of their disconnected youth.

The Performance Partnership Pilots, also known as P3, are designed to grant communities more flexibility in using discretionary funding across federal programs to improve the education, employment, health and well-being for more than 5 million disconnected youth across the country by leveraging existing partnerships and supporting promising local strategies.

The federal government defines disconnected youth as being between the ages of 14-24, are low income and either homeless, in foster care, involved in the juvenile justice system, unemployed or not enrolled in or at risk of dropping out of an educational institution. Depending on a person’s circumstances, he or she may have as many as four case managers in order to access the full range of services needed. This means duplicative paperwork for the youth as well as the social worker and a multitude of other barriers to service.

Through P3, the Obama Administration is hoping to identify and scale up innovative community solutions that address the challenges of reaching disconnected youth. Local, state and tribal agencies are encouraged to re-imagine its current funding streams and services to breakdown program silos for a more coordinated approach. This could include blending competitive and formula grants or obtaining waivers for nonessential program requirements in order to create more opportunities for communities and states to design approaches that best meet their needs and build on their strengths.

To apply, send a letter of interest to [email protected].

Andrea Zimmermann, State Policy Associate

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Legislative Update: President Obama Announces Final Round of TAACCCT Grants and an Apprenticeship Program, DOL Unveils WIA Incentive Grant Awards

April 18th, 2014

CapitolEarlier this week, President Obama and Vice President Biden traveled to the Community College of Allegheny County in Oakdale, Pennsylvania to announce two initiatives related to job training as part of the President’s larger job-driven training agenda outlined in his State of the Union address earlier this year. Both of these initiatives— one relatively new and the other part a larger existing program— are administered and funded by the Department of Labor (DoL).

The fourth and final round of the Trade Adjustment Assistance Community College & Career Training (TAACCCT) grant program was the first of these initiatives to be announced. As part of the American Recovery and Reinvestment Act (ARRA), the Obama Administration designated approximately $2 billion to provide community colleges and other eligible postsecondary institutions with funds to expand career training programs that can be completed in two years or less. Intended to nurture partnerships between these institutions and employers, funding has been targeted for programs that prepare students for high-skill, high-growth careers. Funds have been distributed on a competitive basis among eligible institutions and have gone out in three separate installments, each with their own overarching areas of focus.

This fourth and final round of TAACCCT grants, worth a total of $450 million, will focus on three priorities outlined by the Administration:

  • Scale In-Demand Job Training Across the Country through National Industry Partnerships.
  • Advance Education & Training to Ensure a Seamless Progression from One Stepping Stone to Another.
  • Improve Statewide Employment and Education Data Integration and Use.

The Obama Administration plans to award at least one grant in every state and applications which emphasize the above priorities may be eligible for larger award amounts. DoL’s full announcement can be found here. Applications are due by July 7th and detailed instructions for applying can be found here.

American Apprenticeship Grants

President Obama and Vice President Biden also announced a new American Apprenticeship Grants competition which is set to begin in the fall of 2014. Funded through H1-B visa applications fees, $100 million in grants will be used to incentivize partnerships between employers, labor organizations, training providers, community colleges, local and state governments, the workforce system, non-profits and faith-based organizations. Priority will be given to applications that meet three criteria laid out by the Administration:

  • Launch apprenticeship models in emerging, high-growth fields
  • Align apprenticeships to pathways for further learning and career advancement
  • Scale-up proven apprenticeship models

This announcement looks to strengthen Vice President Biden’s other recent effort  named the Registered Apprenticeship College Consortium (RACC), an initiative that seeks to allow graduates to use their apprenticeship experience for postsecondary credit. More information on RACC can be found here. Application information for American Apprenticeship Grants is forthcoming.

2014 WIA Incentive Grant Awards

The Department of Labor’s Employment and Training Administration (DOLETA), in conjunction with the Department of Education (ED), recently announced a list of eight states which are eligible to apply for approximately $9.9 million in incentive grant awards created under the Workforce Investment Act (WIA). To have qualified, states must have exceeded performance levels under WIA Title IB and Title II during the 2012 program year. These incentive grants can be used to fund specific programs under the aegis of WIA or programs funded by the Carl D. Perkins Career and Technical Education Act.

To receive funds, a state must submit its application for an incentive grant award to DOLETA no later than May 30, 2014. Eligible states include Georgia, Idaho, Indiana, Maine, Oklahoma, Pennsylvania, South Carolina, and Texas. More information can be found here.

Steve Voytek, Government Relations Associate 

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36 States Participate in Field Test for Common Core-aligned Exams

April 14th, 2014

Field testing for Common Core-aligned assessments developed by the Partnership for Assessment of Readiness for College and Careers (PARCC) and Smarter Balanced Assessment Consortium is well under way in schools across the country. Since testing began in late March, millions of students have taken the computer-based assessments in mathematics and English language arts and literacy.

The newly developed exams are designed to align with the Common Core State Standards (CCSS) and better determine students’

progress toward college and career readiness through more complex (and non-multiple choice) items. The massive field test – which will involve students from 36 states – is one of the final stages before the assessments are finalized for schools to use in spring 2015.

Students in grades 3 through 11 will take the field tests through June 6, 2014. The assessments are as much a test for the students as they are for the technology being used. Many districts had to make large technological investments to administer the exams.

There haven’t been major incidents reported, aside from smaller technical glitches for both field test efforts. Smarter Balanced was scheduled to launch its tests on March 18, but delayed it by a week for “quality checking,” according to a spokeswoman.

Two additional consortia are developing similar tests for students with severe cognitive disabilities.  Field tests for those assessments are ongoing.

You can keep up with the field testing progress through regular updates from PARCC and Smarter Balanced.

Students aren’t the only ones who can enjoy the testing fun. Put yourself to the test – how would you fare on a practice exam?

Andrea Zimmermann, State Policy Associate

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Legislative Update: House Appropriators Question Administration’s FY15 Priorities, New Proposals on Perkins Emerge

April 11th, 2014

CapitolOn Tuesday, Secretary of Education Arne Duncan testified before the House Labor, Health and Human Services and Education Appropriations Subcommittee regarding the Obama Administration’s FY 2015 budget request for education.  As we shared previously, the Administration requested $1.117 billion for the Carl D. Perkins Career and Technical Education Act’s (Perkins) basic state grant program— a figure that would maintain the same level of funding as in FY 2014, but would keep the program below pre-sequestration levels. The request also proposed to use a portion of these funds for a competitive “innovation fund” similar to what the Administration has previously proposed in its 2012 Blueprint for Career Technical Education (CTE).

During the subcommittee hearing, members from both parties strongly questioned these aspects of the budget request, asked why additional funds were not requested for the Perkins Act and voiced strong opposition to the Administration’s other proposals for new competitively funded programs.

“The concern is that these proposals would be made at the expense of meeting our current obligations,” Rep. Lucille Roybal-Allard (D-CA) said. The ranking Democrat on the subcommittee, Rep. Rosa DeLauro (D-CT), echoed these sentiments and emphasized the importance of the overall federal investment in education. The full hearing and testimony transcripts can be found here.

Rep. Martha Roby (R-AL) questioned the Secretary further on these issues asking, “Why does the Administration continue to propose competitive grants that only benefit a few students rather than investing in proven programs like CTE that help to further the goal of career readiness for all students?”

Secretary Duncan did point out that 89 percent of the funds from his department actually go to formula programs and that the Administration on the whole has invested heavily in CTE via alternative funding streams such as the Youth CareerConnect program.

However, there was genuine skepticism from many of the members present for how these proposals would negatively impact the ability of students to equitably access CTE programs throughout the country. As Rep. Roby pointed out, “We have yet to fulfill our commitment to fully fund existing formula-driven programs.”

To that end, members of Congress on and off the subcommittee have been hard at work over the past several weeks to push for additional investments for the Perkins Act ahead of the Congressional FY 2015 appropriations process. Two Dear Colleague letters, one in the House and the other in the Senate, were supported on a bipartisan basis by 93 Representatives and 25 Senators respectively, calling for a restoration of the Perkins Act basic state grant program to pre-sequester levels.

NASDCTEc encourages its members and those in the CTE community to reach out to all of the lawmakers who supported these efforts and thank them for their strong support for the Perkins Act and CTE. Special recognition must go to Sens. Blumenthal (D-CT), Kaine (D-VA), Baldwin (D-WI) and also Reps. Thompson (R-PA) and Langevin (D-RI) who lead these efforts in both Chambers.

Don’t know how to get in touch with Congress? Find out here!

Perkins Amendment Introduced in the House

Earlier this week Reps. Joe Kennedy III (D-MA), Adam Kinzinger (R-IL), Rodney Davis (R-IL) and Jared Polis (D-CO) introduced the “Perkins Modernization Act of 2014,” which seeks to more closely align CTE programs with labor market needs. Specifically it would substitute all references to “high skill, high wage, or high demand occupations in current or emerging professions,” currently found in the Perkins Act and substitute them with “employment in current or emerging in-demand industry sectors or occupations.” A definition for an “in-demand industry sector or occupation” is also proposed, which would be informed to a greater extent by labor market information culled from various sources at the local, state and national levels.

As the House Committee on Education and the Workforce (HEW) along with the Senate Committee on Health, Education, Labor and Pensions (HELP) continue to work to reauthorize the Perkins Act, it is important to note that the above proposal is not a comprehensive reauthorization bill. Instead the Perkins Modernization Act introduces into the reauthorization discussion an issue important to these members of Congress.  NASDCTEc appreciates Reps. Kennedy, Kinzinger, Davis, and Polis’ recognition that CTE programs are crucial components to the nation’s economic competitiveness and agrees that a greater availability and use of labor market information is needed to ensure that CTE programs prepare students for success in the workforce.

NASDCTEc looks forward to working constructively with Congress to thoughtfully reauthorize the Perkins Act and to ensure that programs are empowering students with the necessary skills and knowledge demanded by today’s employers and affording graduates the opportunity to secure family-sustaining wages.

House Education and the Workforce Committee Moves on ESRA

The House Education and the Workforce Committee (HEW) moved forward on the Strengthening Education through Research Act (H.R. 4366). This bill, introduced by Representatives Todd Rokita (R-IN) and Carolyn McCarthy (D-NY), reauthorizes the Education Sciences Reform Act (ESRA). Currently, ESRA supports educational research programs such as the National Center for Education Statistics (NCES), NAEP exams, and state longitudinal data systems. “Quality education research is critical to successful schools,” Rep. Rokita said upon the Committee’s approval of the bill by voice vote.

A particularly promising aspect of the bill would amend the authorization for state longitudinal data system grants to encourage the alignment of data across K-12, postsecondary and workforce programs. This would greatly support efforts to report on post-program employment outcomes for CTE graduates. Moreover, H.R. 4366 emphasizes the importance of using data effectively and lays out a more thoughtful approach to its use. The Workforce Data Quality Campaign, of which NASDCTEc is a national partner, supported this bill. The text of the bill, fact sheets, and other useful information can be found here.

Senators Introduce Bipartisan Apprenticeship Bill

On Wednesday Sens. Cory Booker (D-NJ) and Tim Scott (R-SC) introduced the Leveraging and Energizing America’s Apprenticeship Programs (LEAP) Act, a bill that incentivizes employers to increase the number of apprenticeships available to young people. Specifically the LEAP Act would grant companies a $1,500 tax credit for hiring new registered apprentices under the age of 25. A $1,000 tax credit would also be offered to employers hiring apprentices older than 25 years of age. The bill would also incent the expansion of existing apprenticeship programs

The Workforce Investment Act

Both Chambers of Congress have continued discussions on the Workforce Investment Act (WIA) this week. According to recent reports, the Chairman of the Senate HELP Committee, Tom Harkin (D-IA) and Chairman of the House HEW Committee, John Kline (R-MN), have publicly stated that they have “resolved nearly all differences” and hope to complete the legislation when Congress returns from recess in late April.

“The likelihood is that the staff will be able to hammer out what is left while we are gone,” Chairman Kline said. “Hopefully, by the time we come back, we’ll have it all put together,” Chairman Harkin was reported as saying.

There has also been speculation that the reauthorization of WIA could possibly be attached to Congress’ consideration of extending unemployment insurance benefits. NASDCTEc will monitor this process as it evolves and will continue to work with policymakers to ensure that a thoughtful reauthorization of the law emerges from these negotiations.

Steve Voytek, Government Relations Associate 

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Spring Meeting Recap: CTE & STEM— Making the Connection

April 10th, 2014

STEM-CTERepresentatives from the Science, Technology, Engineering, Math (STEM) and business communities discussed the ways in which STEM and Career Technical Education (CTE) are linked on Wednesday, April 2nd at NASDCTEc’s annual spring meeting. The panel, moderated by Jay Scott Assistant Director at the Kansas Department of Education, explored the ways in which CTE and STEM are connected and examined issue areas which are of interest to both communities. The panel, spurred in part by NASDCTEc’s Associate Executive Director’s recent publication, CTE is your STEM Strategy, tackled this fundamental linkage and looked for ways to build upon this interconnectedness.

Linda Rosen, CEO of Change the Equation (CTEq), started the session off by outlining what a STEM occupation is and the positive impact STEM skills and knowledge have on one’s ability to find gainful employment. Noting that STEM occupations constitute 11 percent of the U.S. workforce, she pointed out that job postings for those with a strong STEM background generally fared much better than those without similar knowledge and skills. She went on to argue that CTE is an effective method of delivery for STEM education and one way to improve upon existing programs that link the two is through greater alignment of CTE programs with the labor market. “Above all, corporate America expects results,” she said. Among other proposals, Dr. Rosen suggested that employers should be engaged (and vice versa) in more meaningful ways and that accountability provisions within current law should be more closely linked with labor market needs.

June Streckfus, Executive Director of the Maryland Business Roundtable for Education (MBRT), focused her remarks on the work her organization is currently doing in the state of Maryland. She outlined the main points of emphasis for her organization and Maryland’s STEM strategy— accelerating student & teacher growth along with cultivating public support for these initiatives. This last point guided the rest of her presentation where she convincingly demonstrated that employer engagement— something the state of Maryland is ideally situated to leverage given its close proximity to many large national employers— was a key tool for improving employment outcomes for students. To support her argument, she highlighted an article that found a strong positive correlation between the number of employer or professional mentor interactions with students and employment outcomes after program completion.

Ted Wells, Chief Strategy Officer for STEM Connector®, rounded out the discussion with an overview of how his organization seeks to support public-private investment in STEM programs. Throughout his presentation he highlighted the importance of CTE and STEM as strategies to effectively address the nation’s skills gap. He went on to argue that this skills gap is clearly evident and that it has persisted for far too long. Wells recommended that CTE be incorporated more heavily into the standards movement, specifically within the Next Generation Science Standards (NGSS) and the Common  Core State Standards (CCSS). He also emphasized the importance of involving STEM leaders within the CTE enterprise and stressed the importance of educating policymakers on the importance of these twin issues.

Steve Voytek, Government Relations Associate 

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The Obama Administration Unveils Youth CareerConnect Grants and a New Apprenticeship Program

April 7th, 2014

This morning President Obama visited Bladensburg High School in Prince George’s County, Maryland to announce the winners of the Administration’s Youth CareerConnect (YCC) grant program. This competitive grant initiative, administered jointly by the Department of Labor (DOL) and the Department of Education (ED), seeks to scale up successful collaborative partnership models between school districts, postsecondary institutions, the workforce investment system and employers.

Specifically it aims to improve the high school experience by encouraging the integration of classroom and workplace learning experiences in an effort to better equip students “with the knowledge, skills, and industry-relevant education needed to get on the pathway to a successful career, including post-secondary education or registered apprenticeship,” a White House official said.

Structured similarly to the Administration’s Race to the Top program, the YCC grants are comparable to the “innovation fund” proposed in the President’s 2012 Career Technical Education (CTE) Blueprint. “The idea behind this competition is, how do we start making high school in particular more interesting, more exciting, more relevant to young people?” the President said. “We want to reward the schools that are being most innovative.”

In all, the President announced twenty-four grants totaling $107 million which derive funding from H1-B visa fees collected by the Department of Labor. Bladensburg High School, the venue for today’s announcement, was part of a larger group within Prince George’s County which received a $7 million award. Their portion of the grant will support the school’s efforts to expand its Health and Biosciences Academy which was prominently featured during the announcement.  As President Obama pointed out, these grants support “cooler stuff than when I was in high school.”

More information on the YCC grant program can be found here. The White House has also released an additional fact sheet on the program which includes a full list of awards.

Vice President Biden Announces Registered Apprenticeship College Consortium

The President’s unveiling of these grants also coincided with Vice President Joe Biden’s announcement of a new Registered Apprenticeship College Consortium (RACC) initiative. The main objective of this new effort is to ensure students who participate in certain apprenticeships have the opportunity to earn credits that will transfer to a community or technical college of their choice. RACC is aiming to make these types of articulation agreements more common throughout the country by creating a national network of postsecondary institutions, employers, unions and associations which will expedite the process of transferring a student’s work experience within a Registered Apprenticeship into credit for a program at a participating institution.

The RACC is part of the Administration’s larger goal of doubling the number of apprenticeships over the next several years and will be jointly administered by the Department of Labor and Education. “As a result of this exciting new consortium, graduates of a Registered Apprenticeship program will not only have better access to jobs that lead to a sustainable career, but they’ll also have better access to an education – all with little or no debt” Secretary of Labor Thomas Perez said at a separate announcement. Consortium participants must be accredited degree granting institutions in order to be eligible. At the moment, specific third-party organizations will evaluate the postsecondary credit value of a particular apprenticeship for the purposes of a completion certificate at the end of a program.

More information on RACC, including how to join the consortium, can be found here.

Steve Voytek, Government Relations Associate 

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Legislative Update: ED Introduces New Gainful Employment Regulations, The FIRST Act Moves to Full Committee

March 14th, 2014

CapitolAs we have shared previously, last December the Department of Education (ED) concluded a three-part series of negotiated rulemaking sessions regarding the Department’s proposed regulations on “gainful employment.” These proposed rules aim to introduce stricter accountability requirements for vocational programs at for-profit institutions and community colleges across the country in an effort to ensure they are helping their student’s find gainful employment upon graduation. ED assembled a negotiated rulemaking committee, composed of representatives from for-profits institutions, community colleges, and other relevant stakeholders, to establish a consensus on these proposals.

Unfortunately, the committee failed to come to such a consensus on ED’s draft regulations during the last of the negotiated rulemaking sessions this past December. Per the Department’s policies, a lack of consensus among the rulemaking committee allows ED to introduce new regulations on its own. Today, ED released these new regulations and will soon open them up for public comment over the next two months.

The regulations—over eight hundred pages in length— introduce stricter standards for the amount of debt students can accrue while attending institutions offering career-training programs. There are three main criteria a program must pass in order to maintain eligibility to receive federal financial aid under Title IV of the Higher Education Act. The first two are related to loan payments. Programs which have student loan payments higher than 30 percent of discretionary income or 12 percent of total income would fail under the new rules if those ratios persisted for any two out of three consecutive years. The third criterion is tied to a program’s cohort default rate (pCDR) for both completers and non-completers. If a program’s pCDR exceeds 30 percent for three consecutive years, the program is deemed failing.

Another important feature of these new regulations affords programs the ability to appeal for those that have less than half of their completers take on debt. This is an important change from ED’s last draft proposal in December and will benefit programs at Community Colleges and elsewhere which typically offer two-year programs at a relatively lower cost to students.

Barring any major revisions between now and October 30th of this year, these regulations are set to go into full-effect in 2016. As with previous iterations of ED’s gainful employment regulations, these new rules will likely be challenged in court. As this process unfolds, please check our blog for updates on how these regulations will likely impact those in the Career Technical Education community.

ED’s full gainful employment regulations can be found here and additional information on the process can be found here.

House Subcommittee Passes the FIRST Act

Yesterday, the House Committee on Science, Space and Technology’s Subcommittee on Research and Technology passed the Frontiers in Innovation, Research, Science and Technology (FIRST) Act (H.R. 4186). The bill would reauthorize the America Competes Act of 2010 and has now moved on to the full committee for consideration.

While some Democrats on the Subcommittee voiced concerns over reduced levels of funding for the National Science Foundation (NSF) and the National Institute of Standards and Technology (NIST), Republicans highlighted the bill’s focus on better coordination of existing federal Science, Technology, Engineering and Mathematics (STEM) initiatives. Among other provisions, the FIRST Act would create a STEM Education Coordinating Office to better manage STEM education activities and programs at the federal level and would be overseen by NSF.

Notably, the legislation would broaden the definition of STEM to include not only the core components laid out in its acronym, but also “other academic subjects that build on these disciplines such as computer science and other academic subjects that a State identifies as important to the workforce of the State.”

NASDCTEc will continue to monitor this legislation as it moves to the full Committee. The full bill can be found here and a statement from the Committee Chairman Lamar Smith (R-TX) can be found here.

JOBS Tax Credit Act Introduced in the House

This past Tuesday, Representative Maffei introduced the Job and Opportunity Bonus (JOB) Tax Credit Act which seeks to address the nation’s persistent skills gap by creating a temporary tax credit for employers to help pay for the cost of training their employees.

According to the Congressman, “So many of our local businesses want to invest in training for current and new employees, but don’t have the resources to do it. My bill helps address this issue by providing a tax credit for worker training programs.”

Among the provisions contained in the bill, the JOBS Tax Credit Act would pay for 50 percent of the cost to train employees in an approved program which would include apprenticeship programs, training offered by vocation or technical schools or community colleges, and a variety of industry or labor union-sponsored training programs. The tax credit would only be able to be utilized by employers with 500 employees or less and would last between 2015 to 2017.

NASDCTEc applauds Rep. Maffei’s work to better address the nation’s skills gap and urges Congress to take up this important piece of legislation.  His office’s full press release on the JOB Tax Credit Act can be found here.

Steve Voytek, Government Relations Associate 

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Posted in Legislation, News, Public Policy | Comments Off on Legislative Update: ED Introduces New Gainful Employment Regulations, The FIRST Act Moves to Full Committee

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