MONTGOMERY, Ala. — Members of the Alabama House advanced five of the seven-bill package of workforce development bills Thursday that its supporters say will help break down barriers to employment, albeit with several modifications through amendments and substitutions.
“The goal of this package of bills is really to provide incentives to help people get back into the workforce,” said Rep. Cynthia Almond, R-Tuscaloosa, who was carrying the Alabama Workforce Housing Credit Act, the first of the five workforce bills to hit the floor.
The Alabama Workforce Housing Credit Act, which would provide up to a total of $5 million in tax credits a year to eligible housing projects, passed unanimously with one minor, inconsequential change that saw no opposition on the House floor.
Other workforce bills, however, saw greater changes that were met with some pushback.
One such bill was the Alabama Growth Alliance Act, carried by Rep. Randall Shedd, R-Baileyton, which would create a public corporation composed of business and economic experts from both the private and public sector. This corporation would provide recommendations on workforce and economic development for the state.
An amendment to the bill introduced by Shedd would make one consequential change, which he explained would exclude private sector members of the public corporation from having to file an economic interest form under the state’s ethics laws.
Rep. Thomas Jackson, D-Thomasville, asked Shedd what the purpose of the change was. Shedd said that requiring those from the private sector – who would serve on the public corporation voluntarily, and without pay – to file forms of economic interest may discourage them from participating and offering their expertise.
“In my opinion, we are asking the private sector to come on board and give us their greatest ideas,” Shedd said. “We’re asking for expertise and advice only, and we don’t want to discourage any expertise.”
Rep. Juandalynn Givan, D-Birmingham, took a more overt position against the proposed change, calling it “problematic.”
“I don’t care if it’s a dollar to $200,000, we should not be creating bodies of individuals that we give authority to act on any matter of fiscal responsibility for the state of Alabama and they are not held to a standard,” Givan said.
“And I definitely want to know more about them if they are in that class. We are creating a bill to say to the world that these people, because of who they are, should not have to submit a form each year of economic interest, (and) I just don’t see how that’s right.”
Another bill that saw some significant changes was House Bill 358, which would establish a new child care tax credit program that would offset tax liabilities for child care providers and employers who invest in expanding child care services.
When first introduced, the bill would have been capped at $15 million for the first year, and an additional $5 million annually for five years, eventually topping out at $35 million. The bill also initially had an annual tax credit cap of $1 million for individual businesses. Tax credits were also awarded to employers on a 1:1 ratio based on employer investments in child care services.
Under a committee substitute, the child care tax credit program would still be capped at $15 million for its first year, but only increase by $2.5 million for a period of three years, topping out at $20 million in 2027. Annual caps for individual business would also be reduced from $1 million to $600,000, and the rate of accrued tax credits reduced from 1:1 to $.75 on the dollar.
Unlike the Alabama Growth Alliance Act, however, the changes were not met with opposition, nor was the bill itself, which House members passed unanimously.
The Alabama Workforce Transformation Act, which would rebrand the Department of Labor as the Department of Workforce, as well as expand and redefine some of the department’s responsibilities, also passed unanimously.
The Alabama Workforce Pathways Act, the last of the five workforce bills to be taken up in the House, saw one minor change before being approved. Championed by State Superintendent Eric Mackey, the bill would provide high school students an alternate pathway to earning a diploma, with a focus on career tech.
The change, proposed by Rep. Terri Collins, R-Decatur, through an amendment, while minor, would brand the diplomas of students who pursued an alternative path with an identifying seal. The amendment was adopted, as was the bill itself unanimously.
“I’m proud of our members for coming together and getting these important bills passed in such a strong fashion,” said House Speaker Nathaniel Ledbetter Thursday in a statement. “The Working for Alabama Package builds on our historic economic success by addressing many of the key challenges standing between our state and its full potential. I have no doubt that our efforts to support Alabama’s working families and streamline Alabama’s workforce development initiatives will take our state to new heights.”
The remaining two bills in the package would allow Alabamians to approve through a constitutional amendment the creation of “innovation districts” where counties and municipalities can create public corporations that can acquire property; collect taxes and fees and loan funds. They have come out of committee in the House and Senate. In the Senate, they met some opposition last week and have not advanced.