2014 -- S 3136

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LC006020

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2014

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S E N A T E   R E S O L U T I O N

RESPECTFULLY REQUESTING THE RHODE ISLAND HIGHER EDUCATION

ASSISTANCE AUTHORITY, IN COOPERATION WITH THE GOVERNOR'S

WORKFORCE BOARD, UNDERTAKE A COMPREHENSIVE STUDY REGARDING THE

ESTABLISHMENT OF A LIFELONG LEARNING SAVINGS ACCOUNT PROGRAM IN

RHODE ISLAND

     

     Introduced By: Senators DaPonte, Gallo, DiPalma, and Ottiano

     Date Introduced: June 20, 2014

     Referred To: Placed on Senate Calendar

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     WHEREAS, In a highly competitive 21st century global economy, education should not

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be considered a temporary effort, but a lifelong endeavor that requires continuous retraining,

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upgrading, and evolution to keep up with the rapidly changing demands of the workplace; and

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     WHEREAS, Continuous training and education is vitally important in the development of

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a skilled Rhode Island workforce and the promotion of a competitive state economy; and

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     WHEREAS, Whether enrolling in college courses, learning a new language, or

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participating in training on new equipment and technology, there are a range of opportunities for

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Rhode Islanders to upgrade their skill set, increase their employability and earnings capacity, and

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increase the competitiveness and productivity of Rhode Island employers; and

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     WHEREAS, The costs of such education and training can be difficult for many Rhode

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Islanders to meet; and

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     WHEREAS, Current state and federal incentives and programs to promote educational

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attainment have considerable gaps in eligibility, allowable training expenses, and enrollment

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criteria that do not adequately reflect a policy of lifelong learning and training; and

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     WHEREAS, The "Rhode to Work" legislative action plan prepared by the Senate Policy

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Office found that several states have introduced Lifelong learning savings accounts, also known

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as "LiLAs", which are state-administered savings accounts, owned by individual workers and

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designed to help save for, and pay for, approved education and training expenses; and

 

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     WHEREAS, Such accounts are intended to fill the gaps left by other state and federal

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savings programs and may include matching funds from employers and/or the state; now

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therefore be it

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     RESOLVED, That this Senate of the State of Rhode Island and Providence Plantations

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hereby respectfully requests that the Rhode Island Higher Education Assistance Authority, in

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cooperation with the Governor's Workforce Board, undertake a comprehensive study regarding

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the establishment of a lifelong learning savings account program in Rhode Island; and be it

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further

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     RESOLVED, That this Senate hereby respectfully requests that said comprehensive study

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include, but not be limited to:

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     1. A review of the appropriate role for the authority in administering such a program;

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     2. A review of the appropriate role of in-state financial institutions and other public

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private, and nonprofit organizations in establishing and maintaining such accounts;

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     3. Recommendations as to how such a program might be designed to best meet the

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training and skill needs of Rhode Island employers and industry sectors;

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     4. Recommendations as to how such a program might be designed to best meet the

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training needs of Rhode Island workers, particularly low-wage workers, including the feasibility

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of providing matching state funds, up to a certain amount, to help low-wage workers begin such

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accounts;

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     5. Definitions for approved education and training expenses, provided that the definitions

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shall be flexible and inclusive of short-term training and career-related training that are not

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typically covered by current education tax benefits and savings programs;

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     6. Recommendations regarding the state tax treatment of contributions to, and

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withdrawals from, such accounts; and

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      7. Recommendations on how to coordinate lifelong learning accounts with existing

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training and workforce development programs in the state; and be it further

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     RESOLVED, That this Senate hereby respectfully requests that the Authority complete

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and submit said study to the Governor, the Speaker of the House of Representatives, and the

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President of the Senate, on or before July 1, 2015; and be it further

 

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     RESOLVED, That the Secretary of State be and hereby is authorized and directed to

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transmit duly certified copies of this resolution to the Executive Director of the Rhode Island

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Higher Education Assistance Authority, and the Chair of the Board of Directors of the Rhode

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Island Higher Education Assistance Authority.

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LC006020

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