Connecticut Seal

General Assembly

File No. 576

    February Session, 2018

Substitute Senate Bill No. 444

Senate, April 18, 2018

The Committee on Appropriations reported through SEN. OSTEN of the 19th Dist. and SEN. FORMICA of the 20th Dist., Chairpersons of the Committee on the part of the Senate, that the substitute bill ought to pass.

AN ACT CONCERNING ADVANCED MANUFACTURING TRAINING AND THE CAPITAL NEEDS OF THE SUBMARINE INDUSTRY.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. (NEW) (Effective July 1, 2018) (a) The Commissioner of Economic and Community Development, for the fiscal years ending June 30, 2019, to June 30, 2023, inclusive, shall annually provide grants-in-aid to the regional workforce development boards for the purpose of funding advanced manufacturing training programs, including, but not limited to, all components of the Eastern CT Manufacturing Pipeline Initiative administered by the Eastern Connecticut Workforce Investment Board.

(b) Grants-in-aid provided in accordance with this section shall total the following amounts: (1) One million dollars for the fiscal year ending June 30, 2019; (2) two million dollars for the fiscal year ending June 30, 2020; (3) two million dollars for the fiscal year ending June 30, 2021; (4) two million five hundred thousand dollars for the fiscal year ending June 30, 2022; and (5) two million five hundred thousand dollars for the fiscal year ending June 30, 2023.

Sec. 2. (Effective from passage) The president of the Connecticut State Colleges and Universities shall make efforts to enter into a memorandum of understanding or other agreement to provide not less than one thousand square feet of existing, unused laboratory space on the campus of Three Rivers Community College to the Eastern Connecticut Workforce Investment Board for training related to the plastics manufacturing industry.

Sec. 3. (NEW) (Effective July 1, 2018) Not later than January 1, 2019, and every three years thereafter, the Commissioner of Economic and Community Development shall submit a report, in accordance with the provisions of section 11-4a of the general statutes, to the joint standing committees of the General Assembly having cognizance of matters relating to commerce and finance, revenue and bonding. Such report shall include a comprehensive review of the capital needs of businesses engaged in the manufacture of submarines in the state for the current fiscal year and the succeeding three fiscal years and legislative recommendations for the state to meet or provide relief to such businesses for such capital needs. The commissioner shall consult such businesses in the process of conducting the study submitted pursuant to this section.

This act shall take effect as follows and shall amend the following sections:

Section 1

July 1, 2018

New section

Sec. 2

from passage

New section

Sec. 3

July 1, 2018

New section

CE

Joint Favorable Subst. C/R

APP

APP

Joint Favorable Subst.

 

The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 19 $

FY 20 $

Department of Economic & Community Development

GF - Cost

1 million

2 million

Note: GF=General Fund

Municipal Impact: None

Explanation

The bill results in the following:

Section 1 results in a cost to the Department of Economic and Community Development (DECD) from FY 19 through FY 23 by requiring the agency to fund grants-in-aid for regional workforce development boards. The grant amounts are: $1 million in FY 19 and $2 million in FY 20; $2 million in FY 21; $2.5 million in FY 22; $2.5 million in FY 23.

Section 2 results in no fiscal impact as the Connecticut State Colleges and Universities system has sufficient expertise to make efforts to enter into a memorandum of understanding.

Section 3 results in no fiscal impact by requiring DECD to review and consult businesses on the capital needs of the submarine industry. The agency's Office of Business Development currently works with companies to address their short and long-term business needs.

The Out Years

The bill requires DECD to fund the grants-in-aid for regional workforce development board: $2 million in FY 21; $2.5 million in FY 22; $2.5 million in FY 23. There is no other fiscal impact beyond FY 23.

OLR Bill Analysis

sSB 444

AN ACT CONCERNING ADVANCED MANUFACTURING TRAINING AND THE CAPITAL NEEDS OF THE SUBMARINE INDUSTRY.

SUMMARY

This bill authorizes several initiatives to strengthen the state's plastics and advanced manufacturing industries.

It requires the Department of Economic and Community Development (DECD) commissioner to provide annual grants from FYs 19-23 to the state's regional workforce development boards (see BACKGROUND) to fund advanced manufacturing training programs, including all the components of the Eastern Connecticut Workforce Investment Board's Eastern CT Manufacturing Pipeline Initiative. She must provide $1 million in FY 19, $2 million each in FYs 20 and 21, and $2.5 million each in FYs 22 and 23.

The bill also requires the commissioner to periodically assess the state's submarine manufacturers' capital needs and make legislative recommendations for meeting or providing relief for those needs. Every three years, beginning January 1, 2019, she must submit a comprehensive report to the Commerce and Finance, Revenue and Bonding committees that provides a four-year outlook on those needs, including the current fiscal year and the subsequent three fiscal years. The bill requires the commissioner to prepare the report in consultation with these manufacturers.

Lastly, the bill requires the Connecticut State Colleges and Universities president to make efforts to provide existing, unused laboratory space to the Eastern Connecticut Workforce Investment Board for training plastics manufacturing workers. The president must make these efforts by entering into a memorandum of understanding or other agreement to provide at least 1,000 square feet of such laboratory space on Three Rivers Community College's campus.

EFFECTIVE DATE: July 1, 2018, except the provision regarding the laboratory space takes effect upon passage.

BACKGROUND

Regional Workforce Development Boards

Among other things, Connecticut's five regional workforce development boards assess regional employment and training needs, develop plans and oversee programs to address those needs, negotiate program performance measures, establish worker training education committees, and encourage businesses to participate in these activities.

The regional workforce development boards are:

COMMITTEE ACTION

Commerce Committee

Joint Favorable Substitute Change of Reference - APP

Yea

20

Nay

0

(03/22/2018)

Appropriations Committee

Joint Favorable Substitute

Yea

34

Nay

15

(04/05/2018)

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