Capitol Ideas | 2018 | Issue 4 | The Future of Work by The Council of State Governments

SEPT | OCT 2018

THE FUTURE OF WORK HOW AI IS SHAPING THE WORKFORCE SERVING CITIZENS WITH THE CLOUD DRIVING FORCES BEHIND THE GIG ECONOMY BEYOND BENEFITS: ATTRACTING A SKILLED WORKFORCE

5 QUESTIONS WITH SEN. M. TERESA RUIZ | New Jersey

CSG 2018 POLICY ACADEMY SCHEDULE The hallmark of The Council of State Governments is its ability to foster the exchange of insights and ideas to help state officials shape public policy through national and regional forums. We hope that you can join us at one of our policy academies this year!

M E D I C A I D LE A DE R SH I P Sept. 26–28 | Washington, D.C.

S TAT E S PL AC E T H E I R B E T S Dec. 5 | Northern Kentucky-Cincinnati

PRO M I SI N G A PPROAC H E S FOR A M E R I C A’ S A D D I C T I O N C R I SI S Dec. 5 | Northern Kentucky-Cincinnati

TH E I NTERSEC TION OF I N NOVATION A N D I N FR A S TRUC T U R E Dec. 6 | Northern Kentucky-Cincinnati

USI N G SC I E N C E TO I N FO R M S TAT E PO LI C Y M A K I N G Dec. 6 | Northern Kentucky-Cincinnati For more information, visit csg.org.

Sept/Oct THE FUTURE OF WORK ON THE COVER New Jersey Sen. M. Teresa Ruiz, a first-generation American, became the first Latina to serve in the New Jersey Senate in 2008. She currently serves as Senate president pro tempore and as chair of the Senate Education Committee. Ruiz spearheaded the Teacher Effectiveness and Accountability for the Children of New Jersey (TEACHNJ) Act, which passed with unanimous bipartisan support. She also sponsored legislation to ensure that all New Jersey students born in the United States are provided equal access to college, and a law permitting county colleges and vocational technical schools to implement green jobs training programs to prepare students for a 21st century workforce. Photo Courtesy Anthony Alvarez

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THERE’S AN (UPDATED) APP FOR THAT

SKILLS SHIFT

THE FUTURE OF WORK

THE GIG ECONOMY

By 2030 the demand for technological skills—from basic digital skills to advanced expertise in artificial intelligence—will increase, but the number of workers with these skills won’t grow fast enough to meet demand.

It is inevitable that as technology becomes more advanced, work will continue to change. Here, we look at not only occupational shifts but also attitudes toward a future where automation is at the forefront.

Intuit, a business and financial software company, estimates that gig workers represent 34 percent of the workforce, and will grow to be 43 percent by 2020.

From utilizing cloud computing technologies to simplify government operations to harnessing drones for bridge and power line inspections, technological innovations in state and local governments are helping officials improve services for citizens.

SEPT/OCT 2018 | CAPITOL IDEAS

SEPT/OCT

FEATURES

WHAT’S HAPPENING AT CSG

THEY TWEETED IT | the future of work

REGIONAL ROUNDUP | east

REGIONAL ROUNDUP | south

REGIONAL ROUNDUP | midwest

REGIONAL ROUNDUP | west

48 FINAL FACTS | robots

SPOTLIGHT: The Future of Work

10 There’s an (Updated) App for That

24 Expanding Access to Health care

40 Stops Along the Way to Driverless Trucks

with Telehealth

With the passage of Senate Bill 695, Wisconsin became one of seven states—the others included Alabama, Indiana, Kentucky, Mississippi, Oregon and Utah— to pass truck platooning legislation during the first half of 2018. They followed in the footsteps of eight states to pass such legislation in 2017 and brought the number of states where commercial deployment is allowed up to 17.

14 Skills Shift By 2030 the demand for technological skills—from basic digital skills to advanced expertise in artificial intelligence—will increase, but the number of workers with these skills won’t grow fast enough to meet demand. That’s according to a May 2018 report by McKinsey Global Institute that modeled skill shifts going forward to 2030—and found that these shifts are accelerating.

16 The Future of Work It is inevitable that as technology becomes more advanced, work will continue to change. Here, we look at not only occupational shifts but also attitudes toward a future where automation is at the forefront.

SEPT/OCT 2018 | CAPITOL IDEAS

20 License to Move

States are increasingly looking at how to address teacher shortages. Removing barriers to interstate mobility for teachers could help states fill these shortages. One strategy identified during the CSG 2018 Eastern Regional Conference Annual Meeting in Rye Brook, New York, was exploring the feasibility of a teacher licensing/certification interstate compact.

22 Get to Know New Jersey Sen. M. Teresa Ruiz New Jersey Sen. M. Teresa Ruiz, a first-generation American, became the first Latina to serve in the New Jersey Senate in 2008. She currently serves as Senate President Pro Tempore and as chair of the Senate Education Committee. In this piece, Ruiz shares her vision for a 21st workforce and talks about the importance of policies that support children and families.

Telehealth has proven to be an avenue to improved health access and outcomes and reduced health care systems costs. One whitepaper published in 2017 by The Rural Broadband Association estimated the widespread use of remote patient technology and virtual doctor visits could save the American health care system $305 billion annually, nearly $1,000 per year per American.

27 Exclusive Preview: CSG 2018 National Conference Check out this sneak peek of our speakers and events for the CSG 2018 National Conference Dec. 6–8 in Northern Kentucky-Greater Cincinnati. This year’s agenda features sessions on the national opioid addiction crisis, infrastructure innovations, marijuana policy, and more. The keynote speakers are J.D. Vance, author of the #1 New York Times best seller Hillbilly Elegy: A Memoir of a Family and Culture in Crisis, and NASA scientist-astronaut Story Musgrave, who completed six space flights.

32 The Gig Economy Intuit, a business and financial software company, estimates that gig workers represent 34 percent of the workforce, and will grow to be 43 percent by 2020. The Freelancing in America report by Upwork similarly estimates that 57.3 million people, or more than 35 percent of the U.S. workforce, are now freelancers.

36 Pulse Check States working to implement the federal Workforce Innovation and Opportunity Act, or WIOA, now have a new challenge: performance measurement and reporting. Under WIOA, states have created plans unique to their state needs to bring more people into the workforce by aligning the education, training, and support service systems.

44 States get Creative in Recruiting Talent The days of working for state government solely because the retirement and health benefits are better than those in the private sector are over. But state governments still have unique opportunities for talented workers, especially as states implement programs and initiatives to overcome workforce challenges and compete in the job market.

publisher DAVID ADKINS

dadkins@csg.org

editor-in-chief KELLEY ARNOLD karnold@csg.org

contributing DEBRA MILLER

writers CSG Director, Health Policy dmiller@csg.org

SEAN SLONE

CSG Director, Transportation and Infrastructure Policy sslone@csg.org

managing editor COURTNEY DANIEL cdaniel@csg.org

associate editors SHAWNTAYE HOPKINS ELIZABETH WHITEHOUSE shopkins@csg.org

LISA MCKINNEY

CSG Director, Center of Innovation ewhitehouse@csg.org

lmckinney@csg.org

CAPITOL IDEAS, ISSN 2152-8489, SEPT/OCT 2018, Vol. 61, No. 4—Published by The Council of State Governments, 1776 Avenue of the States, Lexington, KY 40511-8536. Opinions expressed in this magazine do not necessarily reflect the policies of The Council of State Governments nor the views of the editorial staff. Readers’ comments are welcome. Subscription rates: in the U.S., $42 per year. Single issues are available at $7 per copy. POSTMASTER: Send address changes to Capitol Ideas, Sales Department, The Council of State Governments, 1776 Avenue of the States, Lexington, KY 40511-8536. Periodicals postage paid at Lexington, Ky., and additional mailing offices. Mailing lists are available for rent upon approval of a sample mailing. Contact the sales department at (800) 800-1910. Copyright 2018 by The Council of State Governments. Periodicals postage paid at Lexington, Ky., and at additional mailing offices.

technical editor CHRIS PRYOR cpryor@csg.org 30

graphic designers THERESA CARROLL

SFI-01681

tcarroll@csg.org

CHRIS PRYOR cpryor@csg.org

CHAD YOUNG cyoung@csg.org

email capitolideas@csg.org website capitolideas.csg.org

Gov. Gary Herbert UTAH CSG National President

Assemblyman Michael Benedetto

KENTUCKY CSG National Chair

NEW YORK CSG East Co-Chair

David Adkins

Wendell M. Hannaford

CSG EXECUTIVE DIRECTOR/CEO dadkins@csg.org

CSG EAST DIRECTOR whannaford@csg.org

Sen. James Seward

Sen. Ed Charbonneau

NEW YORK CSG East Co-Chair

INDIANA CSG Midwest Chair

House Speaker Taylor Barras

Michael H. McCabe

Colleen Cousineau

Edgar Ruiz

CSG MIDWEST DIRECTOR mmccabe@csg.org

CSG SOUTH DIRECTOR fitzgerald@csg.org

CSG WEST DIRECTOR eruiz@csg.org

LOUISIANA CSG South Chair

Sen. Stuart Adams UTAH CSG West Chair

SEPT/OCT 2018 | CAPITOL IDEAS

Senate President Robert Stivers

what’s happening at csg

WHAT'S HAPPENING AT CSG?

CSG Gears Up for the 2018 National Conference

The CSG West Annual Meeting in Snowbird, Utah, on Sept. 11–15 provided legislators, legislative staff and private sector participants opportunities to learn from regional and national experts on issues important to Western legislators. Sessions topics included energy, public lands, education, fiscal affairs, health, economic development, trade, water, regional trends and environmental policy. CSG West Annual Meetings rotate among the 13 Western member states and have previously convened in the Canadian Provinces of British Columba and Alberta. The CSG West meeting was the last of the CSG annual meetings for 2018.

CSG is preparing an exciting line-up of speakers, policy academies and social events for the CSG 2018 National Conference Dec. 6–8 in Northern Kentucky-Greater Cincinnati. Early registration and the hotel block will close Nov. 7. This year’s agenda features sessions on the national opioid addiction crisis, infrastructure innovations, marijuana policy’s impact on state budgets, early child care for working families, and more. The keynote speakers are J.D. Vance, author of the #1 New York Times best seller Hillbilly Elegy: A Memoir of a Family and Culture in Crisis, and NASA scientist-astronaut Story Musgrave, who completed six space flights.

SEPT/OCT 2018 | CAPITOL IDEAS

CSG 2018 Toll Class Completes Fellowship The members of the Henry Toll Fellowship class of 2018, who hail from 32 states and Guam and represent all three branches of state government, convened Aug. 24–28 in Lexington, Kentucky, for one of the nation’s premier leadership development programs for state government officials. Every year, CSG brings 48 rising state leaders together at CSG headquarters for an intensive six-day, five-night “leadership boot camp” designed to stimulate personal assessment and growth, while providing professional relationship-building opportunities with colleagues from across the country. Plan to attend the 2018 Toll Fellow graduation ceremony at the CSG National Conference in Northern Kentucky-Greater Cincinnati. For more information on the Toll Fellowship, visit csg.org/leadershipdevelopment.

CSG West Holds its 71st Annual Meeting

Medicaid Leadership Academy Held in D.C. CSG held its Medicaid Leadership Academy Sept. 26–28 in Washington, D.C., as part of the CSG Medicaid Policy Academy series that began in 2012. The 2018 program was designed for legislators who have recently assumed committee leadership positions related to health, Medicaid, health finances and appropriations, or members who aspire to committee leadership positions in the future. Topics included the intersection of health care trends and politics, results from a 50-state Medicaid Budget Survey, state examples of innovative Medicaid initiatives, and state experiments with 1115 waivers. The program included thought leaders from the federal government, health policy organizations and state Medicaid programs.

Justice Center Releases 50-State Report on Public Safety The CSG Justice Center has released the 50-State Report on Public Safety, a first-of-its-kind, web-based resource that combines extensive data analyses, case studies and recommended strategies to help policymakers address their state’s specific public safety challenges. The report features more than 300 data visualizations comparing crime, recidivism and state correctional practices across all 50 states, creating a central hub of criminal justice information unmatched in its size and scope to date. The report couples these data with the latest research on strategies that work to improve public safety and more than 100 examples of public safety innovations drawn from every state in the country. For more information, visit 50statespublicsafety.us/.

they tweeted it

They Tweeted It Gov. John Carney @JohnCarneyDE • Aug 7 We are working to eliminate broadband deserts to help all Delawareans connect and compete in a new economy, and improve economic opportunity across our state. http:// de.gov/broadband

Gov. Chris Sununu @GovChrisSununu • Aug 16 The New Hampshire economy is bursting medical and hi-tech manufacturing companies, and this afternoon I stopped by @SoClean in Peterborough to learn more about their business! #NHEconomy

Gov. Kim Reynolds @IAGovernor • Aug 20 “Computer science is a new basic skill in the 21st century. It is critical to build a strong foundation early so students are ready for outstanding career opportunities in a technology-driven economy.” #iagov Gov. Kay Ivey @GovernorKayIvey • Aug 16 Every day, I’m working to increase the efficiency of our workforce development programs to meet AL’s growing economic demands. To support reaching our attainment goal, we’re adding 500,000 highly-skilled Alabamians to the workforce by 2025! #SSSF #SuccessPlus #ServingAL

Gov. Jay Inslee @GovInslee • July 26 Securing this grant money allows our state to take an innovative approach to addressing the devastating loss of a job that some Washingtonians experience when swept up in the opioid crisis. #PowerOfAJob

SEPT/OCT 2018 | CAPITOL IDEAS

Gov. Paul LePage @Governor_LePage • Aug 3 Pleased to be surrounded by ME university students as I sign LD 836, the bond bill for our higher ed institutions. This is an important investment in Maine’s people and economy. I thanked the students for being here today & asked them to stay in Maine after graduation #MEpolitics

Gov. Phil Murphy @GovMurphy • Aug 15 A stronger NJ is fueled by: - World-class education - Technological research & development - Commercialization - Entrepreneurship Today, we are proud to announce http://ResearchwithNJ.com & re-establish the Commission on Science, Innovation and Technology.outstanding career opportunities in a technology-driven economy.” #iagov

regional roundup

The East CT • DE • MA • MD • ME • NH • NJ • NY • PA • RI • VT • NB • NS • ON • PE • PR • QC • VI SPORTS BETTING REVENUE

INCOME TAXES

Sports betting generated $325,646 in sales tax for New Jersey in July, reports The Associated Press. Wagers, totaling $40.6 million, were taken in by three casinos and two racetracks following the U.S. Supreme Court’s ruling handed down in May that allows sports betting in all 50 states. More casinos and racetracks have begun or will begin accepting sports wagers, likely leading to increased sales tax revenue for the state.

Close to 40,000 Vermont residents will benefit from a new income tax exemption that was proposed by Gov. Phil Scott and passed by the legislature this year, according to a new release from the office of the governor. The exemption affects Social Security beneficiaries below certain income thresholds and applies to all taxable federal Social Security benefits. Beneficiaries’ savings for tax year 2018 are estimated to be $5 million.

TEXT ALERT SYSTEM

ALCOHOL SALES

The Pennsylvania Bureau of Consumer Protection has launched a text alert system to notify consumers about scams, according to Penn Live. Attorney General Josh Shapiro announced the program in early August. The alerts will be sent at least two times each month and will contain tips to avoid scams, warnings about current scams, and updates related to consumer protection issues. The service is provided at no cost.

The New Hampshire Liquor Commission in early September offered a one-time discount program on purchases up to $149.99 for residents of other states to increase revenue, according to the New Hampshire Union Leader. The “No Taxation on Our Libations” sale offered customers from Maine an 11 percent discount, which is twice Maine’s sales tax rate of 5.5 percent. The discounts offered to Massachusetts and Vermont residents also doubled the sales tax rates in those states. Residents of all other states were eligible for a 13 percent discount.

SEPT/OCT 2018 | CAPITOL IDEAS

TUITION ASSISTANCE

In July, Delaware Gov. John Carney signed the Delaware Advance Scholarship Program into law. According to Delaware State News, the program defrays tuition costs for students with intellectual disabilities that are not covered by other sources and seeks to facilitate successful transitions into adult life for its recipients. Aid will be available to students attending programs that have received a federal designation as one that promotes inclusive experiences.

For more on CSG East, visit capitolideas.csg.org and www.csg-erc.org.

Anti-Hazing Legislation Enacted in New York New York Gov. Andrew Cuomo signed legislation in August that aims to prevent physical abuse, serious injury, and death during college fraternity and sorority initiations. The legislation, passed in response to the 2013 death of a college student during a hazing ritual, prohibits certain physical contact or required physical activity for initiation ceremonies when the contact or activity creates a substantial risk of physical harm, reports the Times Union. Hazing activities range from forced alcohol consumption and humiliation to physical abuse and sleep deprivation. According to a national study of student hazing by professors at the University of Maine, over half of college students involved in extracurricular activities experience hazing. “As we prepare for the beginning of another school year, parents and students alike deserve to have peace of mind that we take hazing seriously and will have zero tolerance for these abuses in New York,” Cuomo said. Those who break the new law will be charged with first-degree hazing, a misdemeanor punishable by up to one year in jail. Lt. Gov. Kathy Hochul said, “This legislation will help to combat … dangerous rituals and prevent injury and potential fatality of our students.”

regional roundup

The South AL • AR • FL • GA • KY • LA • MO • MS • NC • OK • SC • TN • TX • VA • WV GDP GROWTH Florida’s gross domestic product hit $1 trillion in July, according to the Orlando Sentinel. Driven by strong growth—particularly in the manufacturing sector— low unemployment, population growth and tourism, the state’s economy would be the 17th largest in the world if it was an independent country. The figure was calculated based on the U.S. Bureau of Economic Analysis’ most recent GDP data and a formula that projects current statistics. The state’s GDP has grown nearly 40 percent since 2009, when it was $715 billion.

COAL ASH DISPOSAL

Missouri Program to Provide Drug Treatment for Women

TUITION ASSISTANCE According to the Statehouse Report, high school graduates at many of South Carolina’s poorest school districts now are eligible to receive technical certificates or two-year degrees for free. The program, known as the S.C. Promise Scholarship, provides tuition assistance and book purchases up to $2,000 at the state’s technical colleges after students have received other available scholarships. To qualify, students must have graduated within the past six years from one of 34 mostly rural, poor school districts across the state. South Carolina

RURAL BROADBAND Virginia Gov. Ralph Northam announced a new initiative to expand broadband internet in all rural areas across the state, The Roanoke Times reports. Both the Virginia General Assembly and the Tobacco Region Revitalization Commission have committed more money to Northam’s project, with the state increasing the amount of money from $2 million to $8 million, and the commission committing another $11 million. While Northam said he hopes the initiative will be completed by the end of his term, he acknowledges it may take up to 10 years to reach all communities.

ECONOMIC DEVELOPMENT Kentucky Gov. Matt Bevin recently created an Economic Opportunity Commission that will study growth opportunities across the state, The Associated Press reports. The commission will consist of 12 members, all appointed by the governor, who initially will conduct studies and collect data about discrimination faced by Kentuckians due to race, sex, ethnicity and socio-economic status. The commission’s efforts will support businesses owned by economically disadvantaged groups by connecting them with state agencies on matters related to construction contracts, personal service contracts and contracts for professional services and commodities.

For more on CSG South, visit capitolideas.csg.org and www.slcatlanta.org.

SEPT/OCT 2018 | CAPITOL IDEAS

Missouri officials recently approved $5 million for the Justice Reinvestment Initiative Treatment Pilot, reports the St. Louis Post-Dispatch. The pilot program, which will begin in Buchanan, Butler and Boone counties, will offer drug treatment and related services, primarily for women in the three counties who are on probation or parole and are at risk of returning to prison. The funding follows the recommendations of a governor-appointed task force consisting of lawmakers, judges, police and leaders from the departments of mental health and corrections to address ineffective drug treatment and other problems that often lead to high recidivism rates. The task force was convened after a 2017 report from The Council of State Governments Justice Center, which said the state would need to spend $189 million over the next five years to improve treatment options for people with behavioral health problems or risk paying nearly $500 million to build and operate two new prisons. More than 1,100 people are expected to participate in the pilot program. Organizers said the three counties were chosen for multiple reasons, including lower costs than in other areas, existing drug and mental health service providers and high property crime rates, a frequent indicator of drug addiction and parole revocations. The program will formalize a relationship between the Department of Corrections and Department of Mental Health, leaders from which will meet regularly to discuss the progress of each client in the pilot program.

NewsOK reports that Oklahoma is the first state in the nation to receive approval from the U.S. Environmental Protection Agency, or EPA, to oversee coal ash disposal within its borders. The Oklahoma Department of Environmental Quality, which has regulated coal ash for more than two decades under federal rules, will now assume responsibility for processing and suspending permits, issuing notices and assessing penalties.

is part of a growing national trend to provide free tuition for students, particularly those pursuing certificates or degrees in high-demand fields.

regional roundup

The Midwest IA • IL • IN • KS • MI • MN • ND • NE • OH • SD • WI • AB • MB • ON • SK ELDER ABUSE BACKLOG

FENTANYL SENTENCING

Minnesota’s Office of Health Facility Complaints, or OHFC, cleared its backlog of 3,147 elder abuse complaints this year, reports the Star Tribune. Last year, Gov. Mark Dayton gave the Minnesota Department of Human Services, or DHS, broader powers over the OHFC. DHS then sent a team to sort unreviewed cases and establish an electronic management system. The team’s efforts resulted in the cleared backlog and a reduction in the amount of time it takes to complete an investigation.

In July, Ohio Gov. John Kasich signed a bill to increase penalties for drug offenses involving fentanyl, according to The Associated Press. The new law allows up to eight years to be added to a sentence depending on the seriousness of the crime. If the conviction is related to a homicide, the law requires sentences for each conviction be served consecutively. The law does not apply if the offender did not know the drug contained fentanyl.

AUTISM TREATMENTS North Dakota Insurance Commissioner Jon Godfread issued a bulletin in July stating that insurance companies may not exclude autism spectrum disorder treatments from their policies, noting that the cost increase associated with the change is negligible. This change makes North Dakota the 48th state to have such a requirement, according to The Bismarck Tribune.

VETERANS HOME Nebraska Gov. Pete Ricketts, the State Department of Veterans’ Affairs and other state leaders gathered for a ribbon- cutting ceremony in August for the Central Nebraska Vet erans Home, a 225-bed, $89 million facility that spans a 10-building campus, according to the Omaha World-Herald. The center includes modern rehabilitation equipment, a chapel, library, and physical, occupational and speech therapy areas.

SEPT/OCT 2018 | CAPITOL IDEAS

TEXTING AND DRIVING

Illinois drivers now face stiffer penalties for texting while driving, according to the Herald & Review. Under a new law that went into effect in July, texting while driving is considered a moving violation and will be noted on driving records. The previous law treated a first offense as a nonmoving violation that was not reported on driving records. The stiffer penalty is meant to curtail distracted driving.

For more on CSG Midwest, visit: capitolideas.csg.org and www.csgmidwest.org.

Wisconsin Bridge Funding on its Way to Cities Since its adoption in 2017, the “Replace-In-Kind” program developed by the Wisconsin Department of Transportation, or DOT, to address more than 1,000 structurally deficient bridges has facilitated the approval of 183 replacement projects, reports Wisconsin Public Radio. The program has been described by Gov. Scott Walker and DOT Secretary Dave Ross as an efficiency measure aimed at responding to delays in replacement projects. To receive state funding under the program, local government must design replacement bridges that meet minimum state engineering standards based on current traffic data. If the local government’s application qualifies, the state pays 80 percent of the replacement cost. The local government is responsible for the remaining 10 percent. Some restrictions apply. Bridge designs may be above the minimum standards, but any additional cost is borne by the local government. Also, work done on approaches, or stretches of road leading to a bridge, is limited to what is necessary to conform to engineering and safety standards. “The department focus is on right-scoping projects,” said Ross. “This means we’re going to build exactly what is needed to achieve safety and to improve the transportation infrastructure.” The ultimate goal of the program is to maximize the number of replacement projects receiving state funding.

regional roundup

The west AK • AZ • CA • CO • HI • ID • MT • NM • NV • OR • UT • WA • WY • AB • AS • BC • CNMI • GU VOTING

BALLOT POSTAGE

New Mexico voters will have the option to select a straight ticket in November after Secretary of State Maggie Toulouse Oliver reversed a 2012 decision by her predecessor. Toulouse Oliver said the option would streamline the voting process, according to the Santa Fe New Mexican. But critics said straight-party voting encourages residents to put party over the qualities of individual candidates. The newspaper reported that only Alabama, Indiana, Kentucky, Oklahoma, Pennsylvania, South Carolina, Texas, Michigan and Utah have the straight-party option.

In July, Washington’s primary election ballots were sent to registered voters in all 39 counties with prepaid postage. The measure was approved by Gov. Jay Inslee in May at the request of Secretary of State Kim Wyman, reports The Seattle Times. As Washington is a vote-by-mail state, the decision to provide prepaid postage was an effort to increase voter participation.

DATA LAW

Alaskan Cities Granted Permission to Ban Cellphone Use While Driving

Assault weapon registration in California has increased by 43 percent, according to the Los Angeles Times. The increase is a result of a law enacted following the 2015 mass shooting in San Bernardino, California. The law bans the sale of semi-automatic assault rifles with detachable magazines and requires the registration of old ones with the state. California is one of six states that requires such registration.

SEX ED Earlier this year, Utah became the 22nd state to add “refusal skills” to its sex education curriculum, according to Deseret News. “Refusal skills” encompass a wide array of things including how to refuse unwanted sexual advances as well as the responsibility to end advances if rebuffed. The program is meant to foster healthy relationship habits that will be carried over into adulthood.

For more on CSG West, visit: capitolideas.csg.org and www.csgwest.org.

SEPT/OCT 2018 | CAPITOL IDEAS

Cities and boroughs in Alaska can now prohibit drivers from using their cell phones in school zones. According to a bill signed by Alaska Gov. Bill Walker in August, the ban doesn’t become effective unless a borough passes an ordinance implementing the ban, the Juneau Empire reported. “This is a straightforward way to improve safety for the students, visitors and staff at our schools,” Alaska state Rep. Chris Birch said. “Removing some of the dangers of cellphone use while driving in active school zones or on school property just makes sense.” An Anchorage school crosswalk guard originally proposed the idea in 2014. The bill is an exception to the Alaska law that prohibits boroughs and cities from approving ordinances that change traffic laws. Boroughs and cities may not prohibit hands-free cellphone use, and the ban can only apply to the person driving the vehicle. Boroughs and cities also cannot penalize someone for talking on a cellphone while their car is parked.

The Denver Post recently reported that a Colorado law that went into effect in September establishes key responsibilities for businesses and government entities that keep either paper or electronic documents containing residents’ personal identifying information, according to the Office of the Attorney General. The responsibilities include having a written policy explaining how they will dispose of personal information; alerting consumers within 30 days if data has been compromised; and taking reasonable steps to protect personal information. The Protections for Consumer Data Privacy Act was signed into law in May.

WEAPON REGISTRATION

the future of work

There’s an (Updated) App for That by Courtney Daniel

SEPT/OCT 2018 | CAPITOL IDEAS

When Salt Lake City Mayor Jackie Biskupski was on the campaign trail in 2015, she heard from many business leaders about their frustrations getting permits to open new businesses in a timely manner. Biskupski went to work after her election to streamline the permit process by harnessing technology, and cut the time it took to get a permit review in half, lowering the average wait time from 114 days in 2015 to 59 days in 2017.

“It was important to provide the resources and the tools so businesses would want to come to Salt Lake City and know we are doing everything we can to help them get up and running as quickly as possible,” Biskupski said. Salt Lake City implemented upgrades to software and placed an emphasis on the ease of interface with customers, which created quick and easy access across multiple city departments and divisions. Salt Lake City Building and Licensing Services Director Orion Goff said they used OpenCounter software to coordinate efforts with potential business owners, contractors and developers.

“The shared database provided by the software enables quick access and it provides the service 24/7/365,” Goff said. “Basically, wherever you have an internet connection, you have access to all of the data in the system.” OpenCounter is an online permitting portal that facilitates interactions between business and government. It is one of many civic startups that aim to improve the way public-sector agencies interface with citizens. This software has enabled a real-time, collaborative review of all construction projects submitted for permits in Salt Lake City, bringing together six departments/divisions of the city government. Goff said they’re now able to process 70 percent of permits online, which is about 8,500 permits a year. Cloud-computing technologies and Software-as-a-Service, or SaaS, providers like OpenCounter are allowing state governments to respond to developing technology needs, including managing cybersecurity issues, compliance, budget constraints, and hiring and retaining IT employees.

government innovation

It was important to provide the resources and the tools so businesses would want to come to Salt Lake City and know we are doing everything we can to help them get up and running as quickly as possible.” —Mayor Jackie Biskupski, Salt Lake City, Utah

While cloud services are projected to increase, technology solutions for governments are not a new phenomenon. The Accela Civic Platform has been working to provide technology solutions for governments for more than 20 years. “Our software solutions and professional services are used by nearly 80 percent of the largest cities in the United States and are being adopted by governments around the world from Dubai to Denver,” said Heidi Lorenzen, Accela’s vice president of marketing. “All solutions are built on the Accela Civic Platform,

which enables solutions for government agencies to automate and streamline civic processes.” Accela solutions include business and occupational licensing, alcohol and beverage control, cannabis regulation, public safety, environmental health, service request management, and finance and administration. “Our SaaS solutions are adopted by customers because they are built for specific use cases, are fast to deploy, easy to manage, cost-effective and securely serve the needs of citizens, businesses and governments,” Lorenzen said. A 2018 Granicus survey of more than 500 public-sector leaders found the primary driver of innovation in government is evolving citizen behavior and interest in performing basic tasks online, followed by the cost of maintaining legacy systems. continued on next page »

SEPT/OCT 2018 | CAPITOL IDEAS

In a 2018 survey of chief information officers, more than 80 percent said their state already migrated or were in process to migrate legacy or existing applications to the cloud. The survey also found that 75 percent of states observed an increase in adaptability and 38 percent observed cost savings.

the future of work

Which Agencies are Buying Drones?

46%

Corrections/Law Enforcement/Public Safety

11%

Departments of Transportation

Departments of Public Works

Fire Departments

Source: GovTech Navigator.

« continued from previous page

ProudCity is another company working with state and local governments to enhance services. ProudCity offers government websites, including online forms and payments, and also uses a SaaS approach to technology. “Our mission and opportunity is to fully empower governments to better serve their communities through the digital experience,” said Luke Fretwell, co-founder and chief executive officer of ProudCity.

SEPT/OCT 2018 | CAPITOL IDEAS

ProudCity was working with the city of Sonoma in 2017 when wildfires blazed throughout the county. The city’s legacy website wasn’t mobile-friendly or easy to manage. It also couldn’t provide community updates in a timely manner.

Even though the test site was not completely finalized, ProudCity worked with the city of Sonoma to launch it immediately so they could communicate more effectively with the community at a time when the need for government engagement and support was critical. “Two factors contributed to the success of these efforts: our ability to execute on modern, scalable technology solutions and empowered government leaders who realized how to leverage this technology to best and quickly serve their mission-critical needs,” Fretwell said. Innovations in technology expand beyond SaaS and the cloud. With the increased use of drones publicly and privately, new start-ups are responding to the need for communication and coordination.

According to Bill Goodwin, AirMap’s general counsel, state departments have used drones in disaster response, accident reconstruction, bridge inspections, fire response and evaluations of wildlife in state parks.

State and Local Government

IT Spending in billions of dollars

$103

$97

$99.8 $101.3

LOCAL

Gartner Inc., an information technology research company, predicts double-digit growth in government use of public cloud services, with spending forecast to grow on average 17.1 percent a year through 2021.

AirMap makes it easier for states and citizens to use drones through an app and developer platform. They share information about manned and unmanned aircraft so people operating drones know where it’s safe to operate, and the people managing air space can share information with operators.

$51

$52.4

$53.2

$51.6

STATE

“We recently detailed the top reasons government leaders are moving to the cloud, chief among these are cost savings and ability to adapt to a rapidly evolving technology and regulatory landscape,” Lorenzen said. “According to a recent Gartner survey, implementing cloud services and solutions is the top priority for nearly one-third of governments.”

$46

$47.4

$48.1

$51.4

2015

2016

2017

2018

Source: GovTech Navigator.

government innovation

Technology like ours is only part of the equation. True success is dependent on innovators willing to leverage it and change the status quo.” —Luke Fretwell, co-founder and chief executive officer of ProudCity

“States have been drivers of innovation in drone use,” Goodwin said. “Using drones can increase safety and save money.” The Association for Unmanned Vehicle Systems International estimates the economic benefit of Unmanned Aircraft System, or UAS, integration will grow through 2025 with more than 100,000 jobs created and an economic impact of $82 billion. “Governments are struggling to find the right balance on the regulatory side for welcoming drones while solving some of the challenges that they pose,” Goodwin said. “At the same time, we’ve seen an incredible interest in innovating from cities in not just welcoming drones that other operators perform, but actually adopting drones themselves.” Last year, the Kansas Department of Transportation launched an unmanned traffic management initiative using AirMap’s airspace management platform. The initiative created a digital infrastructure that communicates safety-critical information to drone operators about conditions in the surrounding airspace and on the ground. AirMap also worked in Texas and Florida last year in the aftermath of Hurricanes Harvey and Irma to coordinate missions

for both manned and unmanned aircraft that were essential to damage assessment, flood monitoring, bridge inspection and public information control. They supported 119 drone operations in Texas and 247 in Florida to supply weather data, infrastructure boundaries and manned traffic alerts on a cloudbased dashboard as part of response efforts. “In these situations, there is sensitive airspace with first responders flying planes to survey damage,” Goodwin said. “They are flying helicopters to save people, but there is also opportunity to explore under the tree level to determine the scope of damage. Mitigating those competing uses is where unmanned traffic comes in.” Technologies like the cloud, SaaS and drones will continue to evolve in response to the needs of state and local governments. There will be issues like security and information management to address, but they present an opportunity for leaders to serve their communities more efficiently and cost-effectively. “Technology like ours is only part of the equation,” Fretwell said. “True success is dependent on innovators willing to leverage it and change the status quo.”

State IT System Modernization Modern Systems

14%

Modernization Underway

33%

Legacy Systems

11%

Unknown

Source: Center for Digital Government, based on a review of 250 IT systems nationally.

SEPT/OCT 2018 | CAPITOL IDEAS

42%

the future of work

<td width=”280” height=”300” align=”left”><p style=”margin-top: 0; margin-bottom: 0;”>&nbsp;</ <h6><img src=”2015/workforce _ icon.png” alt=”CSG” width=”50” height=”50” class=”ImageText _ floatleft” /></h6> <h6>States continue to take significant actions to lessen barriers to workforce entry caused by occupational licensing. CSG facilitates a consortium of 11 states looking at occupational licensing reform as a part of a project in partnership with NCSL and NGA, funded by the U.S. Department of Labor. …<br /> <br /> <a href=”https://knowledgecenter.csg.org/kc/content/ more-states-take-hard-look-licensing-practices”><strong>Read the full article here &raquo;</strong></a></h6>

by Lisa McKinney

SEPT/OCT 2018 | CAPITOL IDEAS

By 2030 the demand for technological skills— from basic digital skills to advanced expertise in artificial intelligence—will increase, but the number of workers with these skills won’t grow fast enough to meet demand.

That’s according to a May 2018 report by McKinsey Global Institute that modeled skill shifts going forward to 2030—and found that these shifts are accelerating. “While the demand for technological skills has been growing since 2002, it will gather pace in the 2016 to 2030 period. The increase in the need for social and emotional skills will similarly accelerate. By contrast, the need for both basic cognitive skills and physical and manual skills will decline,” according to the report’s authors. The researchers predict demand for advanced IT and programming skills will rise at the fastest pace—growing as much as 90 percent between

2016 and 2030. “People with these skills will inevitably be a minority,” wrote the researchers. It is likely that manual labor will continue to be the biggest skill set in many countries’ labor forces, despite the fact that automation will reduce the need for humans to complete those types of tasks. Job tasks that require only basic cognitive skills, such as literacy and numeracy, will also decrease as automation becomes more prevalent and sophisticated. Data-input and processing skills will likely be most affected by automation, falling by 19 percent in the United States by 2030, according to the report. Although there is a need for a differently skilled workforce, in a McKinsey survey of more than 3,000 C-suite executives in seven countries, the respondents generally did not expect their workforces to shrink as a result of automation

and artificial intelligence. About 77 percent of the respondents expected no net change in the size of their workforces as a result of technology. More than 17 percent expected their workforces to grow. As advances in automation and artificial intelligence progress, government, education systems and the private sector all have a role in ensuring the workforce has the necessary skills to stay employed and successfully fill industry needs. Otherwise, increased labor costs, higher unemployment rates, and stymied innovation and technology development could result. The Markle Foundation, Microsoft, LinkedIn and the state of Colorado partnered to address the skills gap through the Skillful initiative, which uses data and technology to evaluate educational and training programs, help educators understand what skills are in demand in their

skills shift area, and arm businesses with information on what skills are available in their area’s workforce.

The effort is helping 50,000 workers in Colorado adapt to changing the workplace and access to in-demand skills and job opportunities.

PENNSYLVANIA invested $30 million in computer science and STEM (science, technology, engineering and mathematics) education and job training through the PAsmart initiative.

“Increasing access to digital skills is critical at every stage of life as these skills are needed to succeed in the 21st century economy,” said Fred Humphries, corporate vice president of U.S. Government Affairs at Microsoft. “That’s why we are engaging in communities across the country to increase access to computer science education and to partner on efforts to ensure everyone has the right skills to fill today’s jobs and pursue tomorrow’s opportunities.”

WYOMING Senate File 29 will make computer science education count for K–12 students.

MARYLAND HB 281 committed $7 million to computer science education, requires high schools to offer computer science by school year 2021–22, and establishes the Maryland Center for Computing Education.

Skillful also has a suite of online services and LinkedIn tools as well as coaches to help workers understand what skills are in demand and where they can obtain those skills—whether they are just out of college or further along in their careers.

FLORIDA HB 495 requires computer science courses to be integrated into each school district’s middle and high schools, and establishes a grant program to provide training to teachers to earn computer science educator certificates and industry certifications.

In February, Colorado Gov. John Hickenlooper, along with Zoë Baird, CEO and president of the Markle Foundation, announced an expansion of the Skillful initiative incubated in Colorado. Governors from 20 states came together to form the Skillful State Network, which will export the lessons learned in Colorado to other states and create a mechanism for participating states to share resources and best practices.

INDIANA SB 172 requires public and charter high schools to offer at least one computer science course each year as an elective and include computer science in the curriculum for K–12.

IDAHO appropriated $4.6 million to the STEM Action and Education Fund and authorized a STEM diploma for high school students who earn eight credits in math, eight credits in science, and five additional credits in science, technology, engineering or mathematics.

“As governors, we are joining together around a shared commitment to support a variety of career paths to good-paying jobs, and expand the talent pool for employers who need skilled workers to grow,” said Hickenlooper during the announcement. “We 20 governors, Republican and Democrat, are serious about transforming our labor markets in ways that will benefit our nation for decades to come. In a short time, Colorado’s partnership with Skillful has provided incredible value in supporting a skills-based, industry-driven talent marketplace.”

NEVADA SB 200 requires all students in a state school to receive a computer science course before the start of 6th grade and all high schools to offer a computer science course.

CALIFORNIA appropriated $75 million to create the Teacher Residency Grant Program to recruit STEM, special education and bilingual education teachers, and appropriated $150 million to establish a K–12 component of the “Strong Workforce Program” to expand the availability of high- quality, industry-aligned career technical education.

“In just our formative conversations, I am so inspired by the variety of programs as well as cutting-edge pilots each Skillful State Network member is bringing to the table,” said Beth Cobert, CEO of Skillful, during the announcement. “Each state is unique, yet shares a commitment to collaboration, experimentation and progress.” The network is open to all interested states.

90%

40%

Advanced IT and programming skills could grow as much as 90 percent by 2030.

The need for creativity—something that so far AI hasn’t been able to replace— will also increase by 40 percent.

Source: Skill Shift: Automation and the Future of the Workforce, McKinsey Global Institute, May 2018.

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The Skillful State Playbook, a free resource for state leaders, lays out the steps needed to create a “skills-based labor market.” The playbook offers insights from the Skillful incubator in Colorado, as well as input from educators and tech companies.

the future of work

THE F U T UR E O F WOR K by Shawntaye Hopkins It is inevitable that as technology becomes more advanced, work will continue to change. Here, we look at not only occupational shifts but also attitudes toward a future where automation is at the forefront.

L I K E L I H O O D O F R E P L AC I N G S P E C I F I C P R O F E S S I O N S Percent of U.S. adults who think it is likely that robots or computers will replace the following jobs in their lifetimes, according to the Pew Research Center.

FAST FOOD WORKER

SOM EWHAT L IKELY VERY L IKELY

15%

22%

38%

CONSTRUCTION WORKER

SOFTWARE ENGINEER

7% 17%

10%

12%

27% 38%

44%

39%

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N OT VERY L IKELY

INSURANCE CLAIMS PROCESSOR

N OT AT A L L L IKELY

LEGAL CLERK

32%

35%

39%

NURSE

TEACHER 4%

13%

12%

10% 26%

16% 34%

26% 36%

38% 38%

19%

46%

the future of work

Percent of U.S. adults who believe the following will happen in the next 20 years.

A R E YO U WO R R I E D ?

Doctors will use computer programs to diagnose and treat most diseases.

Percent of U.S. adults who said the possibility that robots and computers could replace many of the jobs currently done by humans makes them feel enthusiastic or worried.

2% Definitely will not 18% Probably will not 58% Probably will

ENTHUSIASTIC

WORRIED

21% Definitely will Most stores will be fully automated and involve little human interaction. 2% Definitely will not 32% Probably will not 53% Probably will 13% Definitely will Robots or drones, instead of humans, will make most deliveries in cities. 4% Definitely will not 31% Probably will not

6% VERY 27% SOM EWHAT 47% NOT TOO 20% N OT AT A L L

25% V ERY 48% SO MEW H AT 23% NOT TOO 4% NOT AT ALL

12% Definitely will People will create most of the products they buy at home using a 3D printer.

Reported they were worried about a future where robots and computers can do many human jobs

7% Definitely will not 50% Probably will not 36% Probably will 7% Definitely will

Reported they were either very or somewhat enthusiastic about the possibility of a future where robots can do many human jobs

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53% Probably will

the future of work

J O B S B E I N G I M PAC T E D RIGHT NOW

Reported they had already been impacted by automation in the form of lost jobs and/or lost wages

Reported they have personally lost a job because their employer replaced the position with a machine or computer program

R E D E F I N I N G WO R K As technology becomes more useful, sophisticated and economical, automation and robotics will continue to increase in various industries. However, technology historically has been a net creator of jobs, according to the U.S. Office of Personnel Managementâ&#x20AC;&#x2122;s Federal Workforce Priorities report. In the near future, most jobs will see the automation of certain activities rather than entire occupations.

Number of robots that were projected to be in use in 2017

Increase in spending in robotics other than drones in 2015 Reported they have had their pay or hours reduced because of a machine or computer program

G LO B A L WO R K F O R C E

Occupations that could be automated entirely

Occupations that could have 30% or more of their activities automated

Total work activities that could be automated Percentage of global workforce that research suggested would need to change occupational categories by 2030

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The discomfort associated with change can be minimized by:

Approximate percentage of work activities automatable by adapting currently demonstrated technologies

C U LT I VAT I N G SO F T S K I L L S I N T HE WO R KF O R C E Experts predict a shift from simple labor to more complex and creative labor P O SI T I O N I N G T HE O R GA NI Z ATI ON F O R F L E X I BI L I TY AN D A DA PTA B I L I TY

Percentage of occupations with more than 30% of activities that are technically automatable

Establish management systems that will support adopting new technologies and update talent strategies for evolving skill needs

the future of work

K E E P I N G U P W I T H T H E R O B OT S These are the most and least automated jobs in America, according to Occupational Information Network, a U.S. Department of Labor database.

0—Not at all automated 25—Slightly automated 50—Moderately automated 75—Highly automated 100—Completely automated

TOP 10

BOTTOM 10

Farmworkers and laborers, crop (74)

Watch repairers (1)

Claims examiners, property and casualty insurance (73)

Musicians, instrumental (1)

Travel agents (70)

Manufactured building and mobile home installers (1)

Postal service mail sorters, processors and processing machine operators (68)

Art therapists (1)

*Medical and clinical laboratory technologists (67)

Chemical plant and system operators (66)

Telephone operators (66)

Air traffic controllers (65)

Reservation and transportation ticket agents and ticket clerks (65)

10 Biofuels processing technicians (64)

5 *Midwives (2) 6

*Manicurists and pedicurists (2)

*Makeup artists, theatrical and performance (2)

Automotive glass installers and repairers (2)

*Bicycle repairers (3)

10 Aerospace engineering and operations technicians (3) *Bright outlook occupations, meaning they are expected to grow rapidly in the next several years, or will have a large number of job openings.

W H AT I S T H E F O U RT H I N D U ST R I A L R E VO LU T I O N ? “The possibilities of billions of people connected by mobile devices, with unprecedented processing power, storage capacity, and access to knowledge, are unlimited,” noted a 2016 article by the World Economic Forum. “And these possibilities will be multiplied by emerging technology breakthroughs in fields such as artificial intelligence, robotics, the Internet of Things, autonomous vehicles, 3-D printing, nanotechnology, biotechnology, materials science, energy storage, and quantum computing.”

F I R ST IN D U STRI AL REVO LUT I O N

Used water and steam power to mechanize production

S E CO N D IN D U ST RI AL REVO LUTI O N Used electric power to create mass production

T H I RD IN D U STRI AL REVO LUT I O N

Used electronics and information technology to automate production

Builds on the third. A digital revolution that has been occurring since the middle of the last century. Characterized by a fusion of technologies that blur the lines between physical, digital and biological spheres Sources: Pew Research Center, October 2017, “Automation in Everyday Life”, Occupational Information Network, Aug. 7, 2018, United States Office of Personnel Management, February 2018, “Federal Workforce Priorities Report”, McKinsey Global Institute, June 2018, “AI, automation, and the future of work: Ten things to solve for”, World Economic Forum, Jan. 14, 2016, “The Fourth Industrial Revolution, what it means, how to respond.”

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F O URTH IN D U STRI AL REVO LUTI O N

the future of work

Eastern States Explore Interstate Compact for Teachers by Matt Shafer

The foundation of any education system is teachers. Qualified, dedicated teachers are critical to the success of state education systems and preparing the next generation of Americans for success in school and life. As society becomes increasingly mobile, the impact of state licensing requirements is keenly felt by licensed professionals, including teachers, looking to move to a SEPT/OCT 2018 | CAPITOL IDEAS

new state. The National Center for Education Statistics cites that

at least 90 percent of teachers are certified by their home states. With the majority of states having no reciprocity or interstate agreements in place, these teachers must become recertified if they move across state lines. States are increasingly looking at how to address teacher shortages. Removing barriers to interstate mobility for teachers could help states fill these shortages. One strategy identified during the CSG 2018 Eastern Regional Conference Annual Meeting in Rye Brook, New York, was exploring the feasibility of a teacher licensing/certification interstate compact.

Interstate occupational licensure compacts have been used in recent years to foster greater licensure portability for professionals in the medical professions, namely physicians, nurses and physical therapists. Unlike federally imposed mandates that often dictate unfunded and rigid requirements, interstate compacts provide a flexible, state-developed structure for collaborative and dynamic action while building consensus among the states. Compacts can settle interstate disputes, provide state-developed solutions, allow states to retain sovereignty, and create economies of scale to reduce administrative costs for professions. Dan Logsdon, manager of the CSG National Center for Interstate Compacts, talked about the role of his organization during a teacher licensure seminar at the CSG ERC Annual Meeting. “We’re not a compact mill,” Logsdon said. “We work for states and if states aren’t on board, we’re not going to pull a state into a compact, but we believe their utility speaks for themselves. We believe compacts are a way to ease barriers to employment, while protecting consumers and state sovereignty. But it does take lots of negotiation to reach this equilibrium and ultimately that was what this seminar was about.” The seminar was created to give state officials from Eastern states an opportunity to discuss the potential for a teacher licensure compact. The seminar examined teacher licensing practices in the ERC, the current rules

interstate compact for teachers

full reciprocity for teachers’ licensing Currently is available in 6 States

of teacher licensure mobility, opportunities for creating interstate mechanisms for licensure portability as well as the challenges for policymakers and ways state leaders can address these obstacles. “This is an opportunity to address the needs of the states in our region on education and how to best meet the needs of teachers, families and our communities,” said Massachusetts state Sen. Michael Moore, the ERC Education Committee chairman. “This is an example of why interstate compacts are so important because we just don’t have the resources to fill the needs in every industry that we have to fulfill.”

MISSOURI

HAWAII

NEVADA

MISSISSIPPI

NEW MEXICO

We’re a small state & our colleges don’t produce nearly enough teachers to meet rising demand ... So, this is certainly a timely subject for Delaware.” » Rep. Earl Jaques, Delaware

“This helps us start to think about ways to improve educational opportunities for people who want to go into teaching so that we have a better balance between the labor market and the labor pool,” said Robert Higgins, secretary of New Jersey’s Board of Examiners.

have struggled with significant teacher shortages. These states are using full-reciprocity as a tool to attract new teachers to come and practice in their state.

There are currently six states that offer full-reciprocity for eligible, fully licensed teachers. In these states, fully licensed out-of-state teachers, regardless of experience, are immediately eligible to receive a teaching license without fulfilling additional requirements. These states are Florida, Hawaii, Mississippi, Missouri, Nevada and New Mexico , all of which

“We’re a small state and our colleges don’t produce nearly enough teachers to meet rising demand,” Delaware state Rep. Earl Jaques said. “On top of that our neighboring states pay better than we do. We have desperate shortages of teachers, particularly special education teachers, and there’s not much we can do about it. So, this is certainly a timely subject for Delaware.”

SEPT/OCT 2018 | CAPITOL IDEAS

ERC state education policy leaders as well as representatives from the Education Commission of the States, the National Association of State Directors of Teacher Education and Certification, the Council of Chief State School Officers, the National Education Association, The National Center for State Authorization Reciprocity Agreements, and the Department of Defense were in attendance to share their experiences and expertise as well as engage with ERC members in thoughtful discussions about the issues surrounding enhanced teacher licensing portability and reciprocity.

FLORIDA

G E T • T O • K N O W

M. Teresa Ruiz N E W J E R S E Y S TAT E S E N AT O R

Photo Courtesy Anthony Alvarez

A strong education is the first step in growing a robust workforce. How have you worked to ensure your state will have a trained, 21st century workforce?

NEW JERSEY SEN. M. TERESA RUIZ, a first-generation American, became the first Latina to serve in New Jersey’s Senate in 2008. She currently serves as Senate president pro tempore and as chair of the Senate Education

SEPT/OCT 2018 | CAPITOL IDEAS

Committee. Ruiz spearheaded the Teacher Effectiveness

and Accountability for the Children of New Jersey (TEACHNJ) Act, which passed with unanimous bipartisan support. She also sponsored legislation to ensure that all New Jersey students born in the United States are provided equal access to college, and a law permitting county colleges and vocational technical schools to implement green jobs training programs to prepare students for a 21st century workforce.

“The foundation of a highly skilled, trained and ready workforce relies on the quality of education one receives throughout their life. That is why I have devoted so much time and effort as a state senator toward changing the conversation from concentrating our efforts to educate our children during the traditional school grades (K–12) to now focusing on every aspect of a child’s life from cradle to career pathway. In addition, we have worked toward reforming the decades-old tenure process in the state so we have the best possible teachers in the classroom, and expanding computer science courses across the state. Taking a holistic approach will ensure students are given a fair shot at success and will grow up to be a productive workforce that is second to none.”

What education and/or workforce priorities have you spearheaded during your time as assistant majority leader and chair of the Senate Education Committee? “Working families in New Jersey have a huge responsibility juggling the demands of their professional and personal life. From taking time off from work when they welcome a child into their home to selecting a preschool for their toddler, parents often make these types of decisions not based on their first choice, but on what would make the most financial sense for their families. That is why I am fighting to reform family leave insurance and expand public preschool so working parents can make choices based on what’s best for their child regardless of their socioeconomic background.”

q&a

INTERESTING FACTS

What’s something you keep in your office and why?

“When my daughter was born nearly two years ago, my life was forever changed in the best way imaginable. Pictures of her on my desk remind me that everything we do must be legacy driven, provide for long-term solutions and protect the most vulnerable. She keeps me centered and focused, especially during high stress times. Also, there is a small shoe collection under my desk. I joke and say they keep me grounded, but the truth is I just enjoy a great shoe.”

What restaurant would someone have to eat at if they visited your district?

“There are too many to mention. Diverse cultures and restaurants thrive in my district. There are amazing culinary delights from paellas to soul food, from sushi to empanadas, from lasagna to world-renowned bakeries.”

As a first-generation Puerto Rican American, what unique perspective do you bring to the New Jersey Senate? “I think it is important to note that when I was elected in 2007, I was the first Puerto Rican elected in the state of New Jersey. Nearly 20 percent of New Jersey’s population is made up of Latinos, and it was shocking that out of a body of 40 people designated to represent the people of New Jersey, there was not a single Latino in the room. The more diverse and inclusive we are at the decision- making table the better the outcomes are for policy and people. For instance, this past year we afforded tuition equality to DREAMERs, making them eligible for in-state tuition and state financial aid. Everyone’s background gives them a unique perspective as to how policies will impact different communities and that insight is invaluable.”

How is the workforce evolving in New Jersey to adapt to changing business and industry needs?

Does your family have any interesting traditions?

“Christmas Eve is huge in our family. We cook traditional Puerto Rican food and celebrate with coquito, a Boricua version of egg nog. The night is filled with love and hope for the next year to come.”

What do you see when you look out your office window in the capitol building?

“My window is very high and faces a wall. But when I look out, I look through the wall and see a future filled with tolerance, compassion and love, and the hope that all of our schools get stronger and provide the best quality education for all children.”

What is something you would like people to know about New Jersey? “We are an incredibly diverse state, and that is our greatest asset. You can find food from all over the world, and if you listen carefully you can hear people speaking more languages than you can count. People who call New Jersey their home share the same dream my father did when he came from Puerto Rico to make a better life for his family. I am honored to represent such a culturally and geographically diverse state. From our beautiful beaches to our breathtaking mountain ranges, I am constantly in awe of all that this state has to offer.”

What did you earn your bachelor’s degree in? “English.”

SEPT/OCT 2018 | CAPITOL IDEAS

“As a Legislature we are constantly looking for ways to help the workforce in New Jersey adapt to the dynamic economy we have today, and ensure students are prepared for the competitive job market when they graduate. Whether we are passing legislation about school standards, increasing funding for career and technical education programs or working to make college more affordable, it’s a never-ending effort for us.”

the future of work

SEPT/OCT 2018 | CAPITOL IDEAS

Expanding Access to Health Care, From Bedside to Webside

by Debra Miller Telehealth has proven to be an avenue to improved health access and outcomes and reduced health care systems costs. One whitepaper published in 2017 by The Rural Broadband Association estimated the widespread use of remote patient technology and virtual doctor visits could save the American health care system $305 billion annually, nearly $1,000 per year per American. Experts agree that telehealth is not a singular health or medical serviceâ&#x20AC;&#x201D;it is a tool for the delivery of health services, from education to prevention to treatment. Applications of telehealth are broken into four broad categories: live video, store-and-forward, remote patient monitoring and mobile health.

telehealth

Four Types of Telehealth Applications

Live video: Live, two-way interaction between a person (a patient, a caregiver or a provider) and a provider using audiovisual telecommunications technology. This tool is referred to as real-time service and may substitute for an in-person encounter. Live video can be used for consultation, diagnosis or treatment services.

Store-and-forward: Transmission of recorded health history or digital images such as X-rays through a secure electronic communications system to a practitioner who uses the information to evaluate the case or render a service outside of a real-time or live interaction. This telehealth application provides patient access to specialty care not available in their community.

Remote patient monitoring: Personal health and medical data is collected from a patient in one location, via electronic communication technologies, and transmitted to a provider in a different location for use in care and related support. This type of service allows a provider to track health data for a patient outside of any clinical setting or encounter.

Mobile health (mHealth): Health care and public health educational information is directed to mobile communication devices such as cell phones and tablets. Applications can range from targeted text messages that promote healthy behavior to wide-scale alerts about disease outbreaks or disasters.

Source: The National Telehealth Policy Resource Center at The Center for Connected Health Policy, http://www.cchpca.org/what-is-telehealth.

At facilities owned by HCA Healthcare, telehealth services are offered inside their brick and mortar institutions. Christopher Northam, vice president of telehealth for HCA, says these new technological tools supplement existing patient-provider relationships.

Instead, HCA uses telehealth in acute care settings where there is an existing patient-provider relationship but appropriate specialty physicians may be scarce. “Improved outcomes are the goal,” said Gwen McCoy, HCA director of telehealth operations. She says HCA strives to deliver telehealth at the

McCoy offered caring for stroke patients as an example. Within 15 minutes of the patient’s arrival by ambulance at a rural hospital, a highly trained doctor can “beam” in to examine the patient’s CT scan and determine if administration of medication to dissolve a brain clot and improve blood flow is appropriate. HCA is working to address new skills required for telehealth, such as training for developing a “webside manner,” instead of the traditional “bedside manner,” when using audio and video connections. HCA incorporates this training into its training programs for medical students. Hospital management practices, according to Northam and McCoy, may need to be refined to enhance—not hinder—work flow when telehealth tools are used. While broadband service is increasingly available, even in more rural areas, hospitals may need to boost broadband or Wi-Fi within their facilities to accommodate

all demands, including from patients and visitors who increasingly stream large amounts of data on their personal devices. While the federal government has set some telehealth rules for Medicare, some health care providers and state lawmakers see them as overly restrictive, according to Mei Wa Kwong, the executive director of the Center for Connected Health Policy. Kwong said states have been very active in passing laws that encourage the use of telehealth within their Medicaid programs as well address other telehealth issues. Over 160 telehealth bills were introduced in the 2018 legislative sessions in 44 states. In the 2017 session, 63 bills were introduced in 34 states. In 49 states, Medicaid definitions and reimbursement policies have been set. Laws also have been passed that apply to private payer insurance in 38 states, according to the 50-state report Kwong’s organization puts out each year. continued on next page »

SEPT/OCT 2018 | CAPITOL IDEAS

“We shouldn’t be distracted by real-time consumer relationships—what I call immediate gratification medicine—where you can use your iPhone to connect to a doctor anytime, from anywhere,” Northam said. He estimated less than 5 percent of telehealth falls into this live video category, although it may be what comes most often to people’s minds.

same or higher standard of care than traditional in-person care.

the future of work « continued from previous page

“The current bills address the usual suspects— reimbursement, Medicaid and licensure compacts, but we are starting to see some new trends,” Kwong said. “Some bills are addressing over-prescribing and the opioid crisis. Other bills are taking on telehealth in schools.” In addition, a few states are attempting to define how network adequacy—a standard in Medicaid that requires covered services to be widely available throughout a state—is measured. Old definitions measured availability by time and distance, but since telehealth is not rooted in brick and mortar facilities such a definition is outdated. Kwong says California is one state working to update their definition. “There are still places in rural communities where there is no broadband,” Kwong said.

“Think about how frustrating it is when your Netflix broadcast stops to buffer or has a pixelated picture. Now imagine that happens during a sensitive

Missouri: Early Adopter of Telehealth Tackles Increasing System Capacity Missouri has used telehealth tools since 1994, according to Rachel Mutrux, senior program director for the telehealth network at the University of Missouri. “We know that it increased access to health care. One-third of the early patients said without telehealth they would have had no care,” she said. “But these telehealth tools don’t do anything about increasing the capacity of the health care system.” Mutrux said the Show-Me ECHO, program adopted by Missouri, based on a model started at the University of New Mexico by Dr. Sanjeev Arora, provides training to local primary care providers to treat their local clients in their own offices. Arora’s Extension for Community Healthcare Outcomes project, now copyrighted as ECHO, uses an online platform for specialists—in areas such as hepatitis C treatment, medication-assisted treatment for opioid use disorder, dermatology, or severe mental illness—to share knowledge (often on a provider’s lunch hour) and conduct patient case reviews with rural providers so they can learn to treat patients on their own. Missouri state Rep. Diane Franklin was an early supporter of the ECHO model, making more than one trip to New Mexico to learn more about how rural primary care providers can be empowered to provide more specialized or complex care in their local communities, which eliminates long treatment waiting lists and long drives to specialty clinics. Mutrux said Franklin and other legislative champions have been critical to building the Missouri ECHO program. The Missouri Legislature provided $1.5 million this year to support the Show-Me ECHO program. In addition, Medicaid leadership increased per-member, per-month managed care payments to provide funding back to ECHO, according to Mutrux. “We are using it for the prevention and treatment of opioid addiction and for care of infants born with neonatal abstinence syndrome,” she said. “Missouri has high rates of fetal and maternal mortality. ECHO could be effective there too.”

mental health evaluation or a dermatology consult.” A February 2018 media release from the Federal Communications Commission estimated over 24 million Americans lacked fixed terrestrial broadband at the federally recommended speed or at all in 2016. Mobile broadband deployment up to the recommended speed was only available to about 70 percent of rural residents and 64 percent of residents in tribal areas in 2016.

SEPT/OCT 2018 | CAPITOL IDEAS

Live video links and remote patient monitoring are impossible without a connection, or sufficient income to afford an internet connection. But, as Kwong pointed out, insufficient speeds are also problematic.

“Think about how frustrating it is when your Netflix broadcast stops to buffer or has a pixelated picture. Now imagine that happens during a sensitive mental health evaluation or a dermatology consult,” she said. “The goal for us is to have a system both strong enough and flexible enough for a provider and patient to decide if telehealth is appropriate to use at that moment.” Many lawmakers have the same goal as telehealth tools appear to be money-savers for the financially stressed health care system and bring increased care options to their constituents.

Mississippi Awarded $1 Million for Rural Patient Telehealth Monitoring Mississippi leads the nation in telemedicine and is one of only seven states to receive an “A” rating from the American Telemedicine Association, wrote Gov. Phil Bryant in a guest editorial in the Jackson Clarion Ledger last year. One reason for its “A” rating is the Mississippi Diabetes Telehealth Network, piloted by the University of Mississippi Medical Center in 2014. Android tablets were given to 100 patients to track their sugar levels and watch educational videos. Doctors provided treatment through two-way communication. None of the patients in the program visited the emergency room or were hospitalized. Ninety-six percent took their medications and 83 percent kept their appointments. The program savings for the 100 patients in the pilot were estimated to be $339,184. The university has also used telehealth to close care gaps in the state by working with private businesses to provide telehealth services. Care in over 35 specialties has been provided through live video connections. The Federal Communications Commission is interested in expanding remote patient monitoring programs and awarded Mississippi $1 million to expand telehealth in July 2018. When the award was announced, U.S. Sen. Roger Wicker said this telehealth tool is critical to his state.” “We are at the cutting edge of this type of medicine because we have to be, because we need to be in Mississippi,” Wicker said in an interview with Mississippi Public Broadcasting.

CSG Exclusive Conference Preview

KY Senate President

NORTHERN KENTUCKY CONVENTION CENTER

ROBERT STIVERS

EARLY REGISTRATION & HOTEL BLOCK CUTOFF: NOV. 7

CSG 2018 National Chair

WWW.CSG.ORG/2018NATIONALCONFERENCE

csg exclusive conference preview

HOTEL

Registrants and guests of the CSG National Conference will have full access to the following: • Admission to all CSG 2018 National Conference sessions (unless designated “invitation only”) • Admission to all sessions presented by the CSG National Center for Interstate Compacts • Admission to any CSG Policy Academy Session • Breakfast & lunch provided Thursday-Saturday • Evening receptions • Access to the CSG 2018 National Conference App

CSG has reserved rooms for the 2018 National Conference at the Embassy Suites RiverCenter and Marriott RiverCenter. More hotel reservation information is available at csg.org/2018nationalconference/hotel. In order to receive the CSG group rate, reservations must be made by Nov. 7, 2018. CSG cannot guarantee the group rate after Nov. 7. Rooms with the CSG room block are available on a firstcome, first-served basis and are only open to registered attendees of the CSG 2018 National Conference.

To register for the CSG 2018 National Conference, visit www.csg.org/2018nationalconference.

KEYNOTE SPEAKER Vance will give the keynote address at the CSG 2018 National Conference opening session and luncheon at noon on Dec. 7, 2018. The address will be followed by a Q&A and book signing opportunity.

SEPT/OCT 2018 | CAPITOL IDEAS

J.D. Vance is an investor, innovator, and author of the #1 New York Times best seller Hillbilly Elegy: A Memoir of a Family and Culture in Crisis, inspired by his childhood in the Rust Belt city of Middletown, Ohio, and the Appalachian town of Jackson, Kentucky. Described by the National Review as a “brilliant book” and by The Economist as “one of the most important” reads of 2016, Hillbilly Elegy is a searing portrait of the lives of the white working class, providing timely perspective on the rise of political populism and the growing concerns of many Americans. Vance’s gripping examination of his upbringing strikes a chord with audiences as he shares the personal impact of a social, regional, and economic decline. Ron Howard and Brian Grazer of Imagine Entertainment have announced plans to produce a movie based on Vance's book.

A veteran of the U.S. Marine Corps and Operation Iraqi Freedom and a graduate of Yale Law School, Vance followed a stint at a large corporate law firm with a venture capital career, becoming a principal at Mithril Capital, cofounded by Peter Thiel and Ajay Royan. As an investor, Vance focuses on innovative and transformative sectors of the economy. In early 2017, he joined as a partner in AOL founder Steve Case’s venture capital company, Revolution LLC, which concentrates on bolstering entrepreneurship and disruptive, high-growth companies outside of the sphere of Silicon Valley. Vance also returned home to Ohio in 2017 to found Our Ohio Renewal, a nonprofit organization dedicated to addressing the state’s opioid crisis and bringing high-quality employment and educational opportunities to Ohioans.

J.D. Vance

A contributor to The New York Times and a regular political and public policy commentator, Vance has appeared on ABC, CBS, and FOX News, and currently serves as a contributor on CNN.

csg exclusive conference preview

CSG CONFERENCE APP The 2018 CSG Conference app will be available for download at csg.org/2018csgapp. The app provides session times, room assignments, maps and conference documents at your fingertips while keeping you informed in real time about conference events. With more than 40 different sessions on the agenda, downloading the app will ensure you don’t miss any of the important events CSG has planned. Get the app and make your plans to join us in Northern Kentucky – Greater Cincinnati!

KEYNOTE SPEAKER Dr. Musgrave will give the keynote address at the CSG 2018 National Conference closing plenary session and luncheon at noon on Dec. 8, 2018. Dr. Musgrave entered the United States Marine Corps in 1953, served as an aviation electrician and instrument technician, and as an aircraft crew chief while completing duty assignments in Korea, Japan, Hawaii, and aboard the carrier USS WASP in the Far East. He has flown 17,700 hours in 160 different types of civilian and military aircraft, including 7,500 hours in jet aircraft. He has earned FAA ratings for instructor, instrument instructor, glider instructor, and airline transport pilot, and U.S. Air Force Wings. An accomplished parachutist, he has made more than 500 free falls, including over 100 experimental free-fall descents involved with the study of human aerodynamics. Dr. Musgrave was employed as a mathematician and operations analyst by the Eastman Kodak Company, Rochester, New York, in 1958. He served a surgical internship at the University of Kentucky Medical Center in Lexington from 1964 to 1965, and continued there as a U.S. Air Force post-doctoral fellow (1965–1966), working in aerospace medicine and physiology, and as a National Heart Institute postdoctoral fellow (1966–1967), teaching and doing research in cardiovascular and exercise physiology. From 1967 to 1989, he continued clinical and scientific training as a part-time surgeon at the Denver General Hospital and as a part-time professor of physiology and biophysics at the University of Kentucky Medical Center. SEPT/OCT 2018 | CAPITOL IDEAS

Story Musgrave

Dr. Musgrave was selected as a scientist-astronaut by NASA in August 1967. He completed astronaut academic training and then worked on the design and development of the Skylab Program. He was the backup science-pilot for the first Skylab mission, and was a CAPCOM for the second and third Skylab missions. He participated in the design and development of all Space Shuttle extravehicular activity equipment including spacesuits, life support systems, airlocks, and manned maneuvering units. A veteran of six space flights, Dr. Musgrave has spent a total of 1,281 hours, 59 minutes, and 22 seconds in space.

csg exclusive conference preview

AGENDA

Wednesday, Dec. 5

8 a.m. – 5 p.m.

CSG Registration/Information Desk Open

8 a.m. – 5 p.m.

CSG Policy Academy: Promising Approaches for America’s Addiction Crisis

(open to all registered national conference attendees)

8 a.m. – 5 p.m.

CSG Policy Academy: States Place Their Bets

1:30 – 5 p.m.

U.S.-Canada Breakout

1:30 – 5 p.m.

CSG Shared State Legislation: Part 1

5 – 6 p.m.

Japan Local Government Center Reception

(open to all registered national conference attendees)

6 p.m.

An Evening at the Newport Aquarium

Special Guest: country music singer Carly Pearce

Friday, Dec. 7

7 a.m. – 5 p.m.

CSG Registration/Information Desk Open

7 – 8 a.m.

Buffet Breakfast

7 – 8 a.m.

Wake Up with WIG!

Presented by Women in Government (WIG)

(open to all registered national conference attendees)

SEPT/OCT 2018 | CAPITOL IDEAS

(open to all registered national conference attendees)

2 – 5 p.m.

CSG 21st Century Foundation

(invitation only)

Thursday, Dec. 6

7 a.m. – 5 p.m.

CSG Registration/Information Desk Open

7 – 8 a.m.

Buffet Breakfast

8 a.m. – Noon

CSG Leadership Council

(invitation only)

8 a.m. – Noon

Stay at Work/Return to Work State Toolkit

In partnership with the U.S. Department of Labor, Office of Disability Employment Policy’s State Exchange on Employment and Disability

8 a.m. – 5 p.m.

CSG Policy Academy: Using Science to Inform State Policymaking

8 – 9:30 a.m. The Future of Electrification: Impact on Grid Infrastructure

Presented by the CSG Energy and Environmental Public Policy Committee

8 – 9:30 a.m.

Growing Green: Marijuana Policy Impacts on State Budgets

8 – 9:30 a.m.

CSG Finance Committee

8 – 9:30 a.m.

NCIC Summit of the States: A Tested Solution to Today’s Policy Issues

10 – 11:30 a.m.

Working Families and the Struggle to Find Early Care and Education

Presented by the CSG Education & Workforce Development Public Policy Committee

(open to all registered national conference attendees)

8 a.m. – 5 p.m.

CSG Policy Academy: The Intersection of Innovation & Infrastructure

(open to all registered national conference attendees)

Noon – 1:30 p.m. Lunch

10 – 11:30 a.m. CSG Fiscal & Economic Development Public Policy Committee

csg exclusive conference preview 10 – 11:30 a.m.

CSG Associates Advisory Committee

10 – 11:30 a.m.

NCIC Summit of the States: How State Collaboration Can Strengthen the Workforce

10 a.m. – Noon

Book Sale: Hillbilly Elegy

Noon – 2 p.m.

Opening Luncheon

Keynote: J.D. Vance, investor, commentator and author of the #1 New York Times best seller Hillbilly Elegy: A Memoir of a Family and Culture in Crisis 2 – 2:30 p.m.

NCIC Summit of the States: The Nuts and Bolts—Administering Interstate Occupational Licensure Compacts

2:30 – 5 p.m.

Leading the Way in the Logistics Economy

Presented by the CSG Transportation & Infrastructure Public Policy Committee CSG Election Cybersecurity Communications Mapping Initiative

2:30 – 5 p.m. Opioid Crisis: How States Have Financed Treatment Presented by the CSG Health Public Policy Committee 2:30 – 5 p.m.

CSG Henry Toll Fellow Alumni Event

(invitation only)

National Underground Railroad Freedom Center 3:30 – 4:30 p.m.

NCIC Summit of the States: Over Here— States Work Together to Increase Opportu- nities for Military Families and Members

CSG Henry Toll Fellow Alumni Reception

(invitation only)

6 p.m.

Evening Event: MainStrasse Holiday Village

Saturday, Dec. 8

7 a.m. – 4 p.m.

CSG Registration/Information Desk Open

7 – 8 a.m.

Buffet Breakfast

8 – 9:30 a.m.

CSG Campaign Against Hunger Service Project

10 – 11:30 a.m.

Federal Mid-Term Report: From POTUS to SCOTUS

NCIC Summit of the States: Legal Roundtable —The Year in Interstate Compact Law

5 – 6 p.m.

SGAC Reception

(open to all registered national conference attendees)

Presented by the CSG Intergovernmental Affairs Committee 10 – 11:30 a.m.

CSG Interbranch Affairs Committee

10 a.m. – Noon

CSG Shared State Legislation: Part 2

10 a.m. – Noon

CSG Midwestern Legislative Conference Executive

Committee Meeting

Noon – 2 p.m.

CSG 2018 Toll Fellowship Graduation and Luncheon

Keynote: astronaut Story Musgrave

2:30 – 4 p.m.

CSG Executive Committee

4:30 p.m.

Evening Event: Cincinnati Boychoir

Aronoff Center

Reception to follow at the convention center

7 – 8 p.m.

CSG Executive Committee Reception

(invitation only)

EARLY REGISTRATION DEADLINE

SEPT/OCT 2018 | CAPITOL IDEAS

4:30 – 5 p.m.

5 – 6 p.m.

Book Signing: J.D. Vance

2:30 – 3:30 p.m.

2:30 – 5 p.m.

the future of work

Hannah Faust, 29, can work anywhere there is Wi-Fi. She built a career doing freelance web design and digital marketing over the last six years while traveling the world and spending time with her family. For Faust, the number one benefit of working in what has become known as “the gig economy” is that she is in full control of her lifestyle.

THE

ECONOMY

by Lisa McKinney The gig economy refers to the inclination for businesses to hire independent contractors, often for short-term jobs, and the increased availability of workers for these nontraditional arrangements.

SEPT/OCT 2018 | CAPITOL IDEAS

“I have worked while traveling in South America, Mexico and all over the USA,” Faust said. “I also enjoy being able to honor my energy better, and when I need a personal day I can have one. I work out more too as I don’t have a commute and have more time in the evening. I’ve been able to see family and friends more as I don’t have to rely on PTO.”

Intuit, a business and financial software company, estimates that gig workers represent 34 percent of the workforce, and will grow to be 43 percent by 2020. The Freelancing in America report by Upwork similarly estimates that 57.3 million people, or more than 35 percent of the U.S. workforce, are now freelancers. Faust said she enjoys getting to be as creative as she wants in her projects and generating and executing her own ideas. “The impact I make as a freelance consultant with companies who lack digital resources or don’t have the capacity for a web designer in-house is often a game changer for their brand and sales,” she said. “I also get to shift when I feel like

I need to. If a web project burnt me out, I have the opportunity to pause that service and shift to another digital skill, say social media advertising, to make money.” Millennials like Faust, who want more autonomy over their own work lives, are one of the driving forces behind the gig economy. Additionally, many millennials who graduated from college during the Great Recession had no choice but to take temporary or freelance work, and for many the career path stuck. However, the on-demand economy is largely staffed by Gen Xers, which make up 41 percent of the workforce, according to a survey of workers on on-demand platforms that connect service providers with customers conducted by Intuit and Emergent Research. Millennials make up 35 percent of the survey participants and baby boomers make up 24 percent. About 1 percent is seniors over age 69. Websites and apps aimed at connecting workers with gigs are capitalizing on the desire for this kind of work. Ride-hailing companies such as Uber and Lyft, whose drivers act as independent contractors, built their business models on it. On-demand work, like that found on gig apps and websites, is often used to supplement existing income. The average person working an

The On-Demand

Gig Workforce Gen Xers

41%

Millennials 35% Baby Boomers

24%

Seniors

~1%

Over Age 69

the gig economy on-demand job spends 11 hours per week and earns 24 percent of their income via on-demand work, according to the Intuit and Emergent Research survey. Forty-one percent of those studied also have a traditional full- or part-time job.

At least eight states this year considered bills that would expand the definition of independent contractor to effectively classify most gig workers as independent contractors. All eight bills have passed at least either the state’s house or senate.

The survey also showed that those working in the gig economy are generally satisfied with their work, with 38 percent saying they are better off and 14 percent saying they are worse off. Eighty-one percent said they plan to keep working in their on-demand job over the next 12 months and 67 percent said they are satisfied with their on-demand work.

With the increase in independent contractors, states are looking for ways to support and protect this growing class of workers. One potential solution is having a third category of worker, referred to by some as a dependent contractor, which would cover gig workers who float in a gray area between independent contractors and employees. For example, freelancers who receive the majority of their income from one company would be considered dependent contractors, and the company would provide some benefits or be required to follow certain regulations.

Despite the swift rise of ride-sharing companies and the proliferation of gig-matching apps, data is mixed on whether the gig economy is growing. According to data from the Bureau of Labor Statistics, about 10 percent of U.S. workers in 2017 were employed through an alternative work arrangement, which includes everything from Uber drivers to freelance marketers to temp workers. That percentage is actually a slight decline from 2005, when about 11 percent of workers were employed outside a traditional employment arrangement. The large discrepancy between the bureau’s data and studies from private-sector and nonprofit researchers that put the percentage of gig workers in the 30–40 percent range is likely because the Bureau of Labor Statistics only looks at those who do gig work as their primary source of income, although many workers participate in the gig economy in addition to a full- or part-time job. Many state leaders are reacting to economic trends they see in their own communities and gearing up for the gig economy as the way of the future. State governments have been responding in various ways to the need for new employment definitions, worker protections and economic development legislation.

Historically, the difference between a contractor and an employee had to do largely with how much control an employer retained over things like when and how the job is performed, whether training or supplies are provided, how the worker is paid and whether expenses are reimbursed.

Stonier said as more people find themselves working in nontraditional employment arrangements, the safety net of benefits that have been traditionally provided by employers is weakening. “What is happening to our middle class and to folks that are making below a middle wage, is there is no mechanism there to provide (gig workers) with benefits,” Stonier said. “You could be working for several companies, working several jobs and not have access to health care or workers’ compensation or a retirement fund, and I saw that as a real indicator that 10 to 20 years down the road we will have a generation who has been working without contributing to any kind of benefits that would keep them healthy, safe and economically sound in their later years.” Stonier said one of the goals in proposing the bill was to get all the stakeholders to the table.

“You could be working for several companies, working several jobs and not have access to health care or workers’ compensation or a retirement fund, and I saw that as a real indicator that 10 to 20 years down the road we will have a generation who has been working without contributing to any kind of benefits that would keep them healthy, safe and economically sound in their later years.” » Washington state Rep. Monica Stonier benefits have three characteristics: Workers, rather than companies, own their benefits; companies make contributions at a fixed rate based on how much a worker works for them; and the benefits cover independent workers, not just traditional employees.

She said many of the affected companies want to see solutions like those proposed in the bill because it allows them to contribute to a staterun benefits plan, which makes them more competitive in attracting workers and creating a strong workforce.

State leaders in California, New Jersey, New York and Washington are taking action to introduce portable benefits systems in their states.

She said the Legislature is seeking proposals from employers and the workforce to get a portable benefits plan that works for everyone. Part of that may be prioritizing some benefits over the others by letting workers or companies decide what benefits they want to receive or offer to ensure the costs stay manageable.

Washington HB 2812, introduced by Washington state Rep. Monica Stonier in the 2017–2018 legislative session, would require business entities to make contributions to benefit providers for the purposes of providing certain benefits, including industrial insurance, to workers who provide services to consumers under 1099 federal tax status. It would also create the Employee Fair Classification Act, which prohibits misclassification of employees as independent contractors and creates remedies, including civil penalties and damages. Additionally, it would define “independent contractor” for purposes of the Employee Fair Classification Act and establish the same definition for purposes of the Minimum Wage

“By and large, workers I’ve talked to prioritize workers’ compensation above all else,” Stonier said. “Above health care, above retirement. There are so many stories of (on-demand) delivery drivers, for example, who have to accept jobs before they know what they are delivering and where they are delivering it to. Then you have people carrying heavy loads up flights of stairs or doing other work that they may not be prepared for and folks can end up injured with no workers’ compensation. There is no safety net and the worker has no choice or discretion in what they are doing in their work.” continued on next page »

SEPT/OCT 2018 | CAPITOL IDEAS

Much of this legislation hinges on worker classification, specifically the definition of an independent contractor. How a worker is classified determines whether a company has to pay benefits, what taxes they must pay and what labor laws apply to them. Gig workers generally don’t receive employer-paid benefits, such as paid leave, premiums on health insurance and contributions to retirement plans. They are also likely ineligible for workers’ compensation and unemployment benefits and their employers may not have to abide by minimum wage or antidiscrimination laws that protect traditional workers.

Another solution is portable benefits packages that are attached to an individual rather than a job. According to the Aspen Institute, portable

Act, unemployment insurance, industrial insurance and other employment laws.

the future of work

2020

WORKFORCE

2018

ÂŤ continued from previous page

According to a forecast by Intuit and Emergent Research, the number of Americans working on-demand jobs will grow from 3.9 million in 2018 to 7.7 million in 2020.

3.9

MILLION

7.7

MILLION

Among the On-Demand Workers Responding to the Intuit/Emergent Research Survey â&#x20AC;Ś

100

91%

liked controlling when, where & how they work

67%

were satisfied with their on-demand work

62%

said their top challenge was getting enough work

41%

had a full- or part-time job in addition to their gig work

$12,000

did not get medical treatment during the past year because they could not afford the care

was the average gross income from an on-demand economy provider for the past 12 months

90 80 70 60 50

SEPT/OCT 2018 | CAPITOL IDEAS

30 20 10

26%

the gig economy

Alternative Work Arrangements within the On-Demand Workforce in the U.S. Include… Contingent WORKERS

Who is Part of the New Gig Economy? Technology Platform COMPANIES Have been a major force in the expansion of the gig economy Included are companies such as Uber, Lyft, Airbnb, Etsy and TaskRabbit These platform companies have a few distinct commonalities:

Have no implicit or explicit contract for ongoing work 5.9 Million Workers in U.S.

Independent CONTRACTORS Independent contractors, independent consultants, and freelance workers, regardless of whether they are wage and salary workers or self-employed 10.6 Million Workers in U.S.

On-Call WORKERS Called to work only as needed, but can be scheduled to work several days or weeks in a row 2.6 Million Workers in U.S.

Temporary Help Agency WORKERS

• Direct transactions facilitated between consumer and producer • Flexible work schedules for gig workers • Online payments, from which platforms take a cut • Online profiles and reviews of both producers and consumers

AND

Gig WORKERS Can be classified into two broad categories and the types defined at left can fall into either category:

• Labor PROVIDERS For example—drivers, handymen, delivery men Lower-income and less-educated workers who rely on gig work for their entire livelihood, often because they have trouble finding other job options

• Goods PROVIDERS For example—artists, craftsmen, clothing retailers Higher-income and more-educated workers who do not depend on their gig work income, often because they have another full-time job; their gig work generally provides supplemental income Source: Presentation by Molly Turner at “The Gig Economy: The Rise of the Freelance Workforce” at NACo’s 2017 Annual Conference & Exposition in Franklin County, Ohio, July 2017.

Paid by a temporary help agency, whether or not their jobs are temporary

Popular Occupations for Gig Employment

1.4 Million Workers in U.S.

musicians, graphic designers, and craft and fine artists

Arts and design Computer and information technology

Contract Firm WORKERS

Construction and extraction carpenters, painters, and other construction workers

Media and communications technical writers, interpreters and translators, and photographers

Transportation and material moving

933,000 Workers in U.S.

ridesharing drivers and on-demand shopping service delivery drivers

Source: The Bureau of Labor Statistics, May 2017.

Source: The Bureau of Labor Statistics Occupational Outlook Handbook.

SEPT/OCT 2018 | CAPITOL IDEAS

Employed by a company that provides them or their services to others under contract, usually assigned to only one customer, and usually work at the customer’s worksite

web developers, software developers, and computer programmers

the future of work

Pulse Check S TAT E S S H O W P R O G R E S S BUILDING A STRONG WORKFORCE

by Elizabeth Whitehouse and Jay Phillips

SEPT/OCT 2018 | CAPITOL IDEAS

States working to implement the federal Workforce Innovation and Opportunity Act, or WIOA, now have a new challenge: performance measurement and reporting. WIOA, passed in 2014, is designed to strengthen the nation’s public workforce system by helping Americans get into high-quality jobs and helping employers hire and retain skilled workers. Each state was required to develop and submit a plan in 2016, and now states are submitting their first full annual performance report this October.

States must report the total number of participants they have served, the funds spent on career and training services, participant employment rates, median earnings, credential attainment, skills gains, and other measures intended to show progress. According to the Bureau of Labor Statistics, the labor underutilization rate last year was about 9 percent. Under WIOA, states have created plans unique to their state needs to bring more people into the workforce by aligning the education, training, and support service systems.

In Alabama, WIOA brought changes to the state’s workforce system through AlabamaWorks!. The program aims to align state, education and business sectors into a unified system that works to recruit and train a skilled workforce with business and industry needs in mind. “We have totally transformed our state’s approach for WIOA service delivery under AlabamaWorks!,” Alabama Secretary of Commerce Greg Canfield said. “Our governor and state WIOA board directed a total overhaul of local boards and Alabama went from three local boards to seven local boards with a goal of more local involvement in how the funds authorized by WIOA are delivered. We have just completed our first full year and all indicators point to success.” Alabama served more than 75,000 people through one-stop employment services in the 2016 program year. A report from the Alabama Workforce Council earlier this year states a goal of adding 500,000 high-skilled employees to Alabama’s workforce by 2025 and plans to feature information about earning certificates, credentials,

Through WIOA One-Stop Employment Services, Alabama’s WIOA Program

AlabamaWorks! Served Over

75,000 People during the 2016 Program Year

pulse check

ABOUT WIOA

WIOA INCLUDES FIVE TITLES

The Workforce Innovation and Opportunity Act replaced the Workforce Investment Act in 2014. It is the primary federal legislation that supports workforce development. WIOA was enacted to bring about increased coordination and alignment among federal workforce development and related programs. It authorizes appropriations for WIOA programs from 2015 to 2020.

The WIOA system provides central points of service via its system of about 2,500 one-stop centers nationwide, through which state and local WIOA employment and training activities are provided and certain partner programs must be coordinated. This system is designed to provide employment and training services that are responsive to the demands of local area employers.

2,500

II III

ONE-STOP WIOA CENTERS NATIONWIDE

Workforce Development Activities—authorizes job training and related services to unemployed or underemployed individuals. Title I Adult Program helps prepare adults for good jobs through formula grants to states. States use the funds to provide employment and training services through a network of American Job Centers. Adult Education and Literacy—authorizes education services to assist adults in improving their basic skills, completing secondary education and transitioning to postsecondary education. Amendments to the Wagner-Peyser Act—amends the Wagner- Peyser Act of 1933 to integrate the U.S. Employment Service into the one-stop system authorized by WIOA. The Employment Service provides a variety of employment-related labor exchange services including job search assistance, job referral and placement assistance for job seekers. Amendments to the Rehabilitation Act of 1973—authorizes employment-related vocational rehabilitation services to individuals with disabilities, to integrate vocational rehabil itation into the one-stop system. General Provisions—specifies transition provisions from WIA to WIOA. Source: The Workforce Innovation and Opportunity Act and the One-Stop Delivery System, October 27, 2015.

and degrees that lead to high-demand jobs on AlabamaWorks! one-stop website. “We, in Alabama, keep a report card for performance of all our workforce programs that the Alabama Department of Commerce is responsible for and if WIOA expires in 2020, and is not replaced, we will use the performance measures to determine successful programs that should continue with the governor’s approval and legislative support, of course,” said Alabama Deputy Secretary of Commerce Ed Castile.

served over

77,000 adults

Illinois has been working to foster the inter governmental collaboration required in WIOA by organizing webinars and working groups, maintaining an implementation website, and distributing monthly newsletters.

according to the 2016 Workforce Development Annual Report

The 2016 Illinois Workforce Development Annual Report showed that Illinois served more than 77,000 adults and 7,000 youths through WIOA.

According to IWIB member Sen. Chuck Weaver, one of the main barriers to Illinois implementing its WIOA plan was the fact that addressing workforce issues doesn’t involve a one-size-fitsall solution.

“We’re hopeful that the final plan adopted will allow for a robust workforce path that integrates education, workforce and economic development resources and services,” Weaver said. “Doing this will ultimately put Illinois on a path that supports economic growth and job creation for individuals, businesses and communities in every part of our state well beyond 2020.” continued on next page »

SEPT/OCT 2018 | CAPITOL IDEAS

Illinois has implemented a similar program called WIOA Works Illinois. WIOA Works Illinois is an online resource for employers, policymakers, community organizations and workforce professionals to share updates on state policy, best practices and successes stories. The Illinois Workforce Innovation Board, or IWIB, the oversight body of WIOA Works Illinois, consists of state, business, industry, labor, education and community-based officials or organizations that seek to meet the workforce needs of the state.

WIOA WORKS ILLINOIS

“As a board, we had to try and figure out how we address workforce issues across our diverse state to meet the varying needs of a lot of different people,” Weaver said. “A major focus of our work was trying to connect people to the technology or educational opportunities they need to advance their careers.”

the future of work

American

WA 56 MT 23

Job Centers

OR 45

ID 25

SD 16

WY 20

WIOA authorizes one-stop career centers, also known as AMERICAN JOB CENTERS. These centers provide workers with career services, education and training, and other supportive services.

ND 9

NE 14

NV 12

UT 32

CA 215

CO 51

KS 23

There are almost 2,500 centers nationwide, as of May 2017. AZ 58

Up to 25 Centers | 19 States

OK 29

NM 22

26 to 50 Centers | 13 States 51 to 75 Centers | 9 States

TX 169

AK 16

76 to 100 Centers | 5 States More than 100 Centers | 4 States

HAWAII 9

Source: U.S. Department of Labor, Workforce System Results, May 30, 2017.

SEPT/OCT 2018 | CAPITOL IDEAS

WIOA In 2016

TITLE I PROGRAMS

NEARLY 165,000

85,000+

STATE GRANTEES

Served

Adults Received

Dislocated Workers Received

Served

TRAINING SERVICES

NEARLY 5.5 MILLION

1.5+ MILLION Adults & Youth Nationwide And

823,000+ Participants with a Barrier to Employment

TITLE III PARTICIPANTS

18%

17%

Or Nearly 23,000 Achieved a

Or 8,500+ Achieved a

57.7%

MEASURABLE SKILL GAIN

Were Low-Income Individuals

Source: WIOA, Title I and III National Performance Summary Program Year 2016 (July 1, 2016 through June 30, 2017), March 5, 2018.

Of Which the Majority

pulse check

ME 12 VERMONT 12 MN 47

NEW HAMPSHIRE 12 NY 90

WI 55

MI 93

IA 19 IL 65

PA 68 OH 89

IN 83

MO 44

SC 45 AL 47

NEW JERSEY 29 MARYLAND 31

TN 70

MS 37

CONNECTICUT 19

VA 47 NC 98

AR 41

RHODE ISLAND 4

DELAWARE 4 WV 19

KY 115

MASSACHUSETTS 30

GA 58

WIOA Title I,

Workforce Development Activities Authorizations for FY2018 (dollars in thousands)

LA 65 FL 110

PROGRAM

FY2018

Adult Employment & Training Activities

$814,853

Youth Activities

$867,485

Dislocated Workers Employment & Training

2015 Youth Outcomes 156,520

Placement in Employment/ Education Rate

66.7%

Degree/Certificate Attainment Rate

50.1%

Literacy/Numeracy Gains Rate

Source: U.S. Department of Labor, 2015 WIOA Youth Program, March 2018.

Indian & Native American Programs

$49,660

Migrant & Seasonal Farmworkers

$81,340

Technical Assistance

$2,483

Reentry Employment Opportunities

$87,480

Apprenticeship Grants

$94,355

Workforce Data Quality Initiative

$5,959

YouthBuild

$83,960

Job Corps

$1,692,581

Employment Service Source: U.S. Department of Labor, Fiscal Year 2019 Budget in Brief.

$686,537

SEPT/OCT 2018 | CAPITOL IDEAS

69.2%

Youth Participants Served

$1,240,485

SEPT/OCT 2018 | CAPITOL IDEAS

the future of work

Stops Along the Way to Driverless Trucks

by Sean Slone

When the state of Wisconsin wanted to allow for the testing of driver assistive truck platooning technology, which uses a lead truck to control the speed and braking of other trucks following behind, lawmakers faced an issue common across the country: a state law that prohibits motor vehicles from following other vehicles â&#x20AC;&#x153;more closely than is reasonable and prudent.â&#x20AC;?

truck platooning

“(Eliminating) this limitation … was the only change necessary to give trucking companies the ability to take advantage of the safety and fuel efficiency opportunities that platooning can provide,” said Sen. Jerry Petrowski, who chairs the Wisconsin Senate Transportation and Veterans Affairs Committee. “The purpose of the bill … was to allow large, heavy trucks utilizing connected vehicle technology the ability to operate closer to one another than the minimum 500 feet otherwise required under state law.”

Mississippi state Rep. Charles Busby, who chairs the House Transportation Committee, sponsored his state’s truck platooning legislation, House Bill 1343, at the request of the trucking industry.

One of the reasons Busby and others are quick to point out that a driver will be in the cab of every truck of every platoon is that many believe platooning could be the first step toward significant truck automation that could result in the elimination or redefinition of many truck driving jobs in the future. California-based Peloton Technology is one of the companies adhering perhaps most closely to the truck platooning concept envisioned by states like Wisconsin and Mississippi. Company officials announced this spring they plan to have their two-truck platooning system, called PlatoonPro, in day-to-day commercial operation by the end of the year in Tennessee and Texas, with plans to ramp up activity in 2019. Steve Boyd, the company’s founder and vice president of external affairs, said it’s important to note what PlatoonPro is and what it is not.

“The PlatoonPro system is not an automated driving system, an autonomous system or a self-driving truck technology,” he said. “It automates only longitudinal control—brake and throttle—while platooning and the drivers in both trucks remain fully engaged in the driving task at all times.” But Boyd said his company and the industry as a whole see an important role for commercial truck drivers even as automation on trucks increases in the decades ahead. “As an increasing number of thoughtful observers have noted, there is no looming risk that millions of jobs will suddenly be destroyed,” he said. “It will be many years before highly automated trucks enter parts of the market on any scale sufficient to cause major changes to workforce roles. In the intervening time, it’s important for key associations, technology developers, industry and the driver community to have thoughtful and meaningful dialog about how new technology can impact the role of drivers—and the ways that new technologies can bring improvements to the safety, health and productivity of drivers and other freight industry workers.” continued on next page »

SEPT/OCT 2018 | CAPITOL IDEAS

With the passage of Senate Bill 695, Wisconsin became one of seven states—the others included Alabama, Indiana, Kentucky, Mississippi, Oregon and Utah—to pass truck platooning legislation during the first half of 2018. They followed in the footsteps of eight states to pass such legislation in 2017 and brought the number of states where commercial deployment is allowed up to 17.

“We felt like it was sticking our toe into the water with our first little piece of autonomous vehicle legislation—although this isn’t exactly what this is because these trucks will have drivers in them,” he said.

the future of work

Solving the Driver Shortage Problem « continued from previous page

But some wonder whether it wouldn’t be such end?” he said. “Even if it’s accepted that there will a bad thing if self-driving trucks ended up need to be a driver in each vehicle, the safety eliminating some trucking jobs. That’s because and quality of the job in the trailing trucks in a the trucking industry is experiencing a 15-yearplatoon remain as very significant questions.” long severe shortage of drivers. According to He also doesn’t buy one of the promises made the American Trucking Associations, about about automation technology: that truck 51,000 more drivers are needed to meet the drivers would one day be able to flip on the audemand from companies such as Amazon and topilot and be freed up to do other job duties. Walmart that are shipping ever more goods around the country. An industry analysis found “Anyone who knows trucking knows there that for every 12 loads needing to be shipped aren’t really other job duties a driver could be at the start of 2018, just one truck was available. expected to perform … while the vehicle is ATA predicts the problem is likely to get worse moving,” Loesche said. “Drivers don’t have a lot in the years ahead. The industry will need to hire 900,000 more drivers over the next decade to meet demand. The trucking workforce is aging as well. The average age of U.S. truck drivers is 55, more than 10 years older than the median age of the workforce as a whole. Factors including long hours and low wages are believed to be among the reasons trucking jobs have less appeal to younger people. Sam Loesche, a lobbyist for the International Brotherhood of Teamsters, which represents about 40,000 truck and delivery drivers nationwide, said while he’s encouraged by the promises of truck platooning companies to keep drivers in the cab, those promises don’t resolve some outstanding issues.

When it comes to looking out for your constituents and American workers in general, it is better to be overly cautious than to be caught flat-footed and wish you had done more when you had the chance.” Sam Loesche, lobbyist, International Brotherhood of Teamsters

“How does a driver keep their attention sharp while staring at the back of a trailer for hours on

SEPT/OCT 2018 | CAPITOL IDEAS

Colorado’s ‘Beer Run’ Provided Glimpse Into Future

Shailen Bhatt has a somewhat unique perspective on the recent history of trucking automation in the United States. As executive director of the Colorado Department of Transportation in 2016, he gave the go-ahead for a self-driving truck startup called Otto, which later became an Uber subsidiary but which the company shuttered this year to refocus on self-driving cars, to complete the 120-mile delivery of 45,000 cans of Budweiser from a brewing plant

in Fort Collins to a warehouse in Colorado Springs. While there was a specialist onboard to monitor things, there was no driver behind the wheel. “The completion of what I call the world’s first commercial autonomous vehicle delivery—and what other folks refer to as ‘the beer run’— ended up getting us worldwide recognition,” recalled Bhatt, who now as president of the Intelligent Transportation Society of America

of paperwork to complete, especially since the move to electronic logs, and having a driver do route planning wouldn’t fit into most companies’ existing business models.” That lack of understanding of how the job works today makes many drivers skeptical about automation technology making their lives better, Loesche said. “Many segments of industry with the worst turnover … are segments where the biggest complaints are the low wages, time spent away from home, sedentary nature of the lifestyle, and more,” he said. “Which of these issues could be mitigated by the adoption of some of the proposed technologies? … It sounds like companies making grand promises that will never actually come to fruition in order to pacify unrest from drivers who are rightly concerned about the impact automation will have on their jobs.” Loesche believes it’s important for policymakers to engage early to consider the potential impacts of automation and perhaps to learn the lessons of history. “I think every level of government needs to look at every industry in their jurisdiction where there has been sizable displacement, job loss or wage reductions in the past 100 years and ask themselves, ‘knowing what we know now, if we could go back and put policies into place pre-emptively that would have made things better for those workers, what would they have been?’ And then take those same set of solutions and work to apply them to the commercial driving industries,” Loesche said. “When it comes to looking out for your constituents and American workers in general, it is better to be overly cautious than to be caught flat-footed and wish you had done more when you had the chance.”

keeps his finger on the pulse of technologies reshaping transportation around the country. “But when you’re a (state department of transportation) director … you don’t want to appear in The Times of London. We ended up doing it because I’m a firm believer that technology is our best tool in the toolbox to reduce fatalities and improve operation of our (transportation) system.” Bhatt said he sees a key difference between a driver-assistive automated truck and other types of autonomous vehicles being tested on the nation’s roads. That key difference could keep thousands of truck drivers gainfully employed for the foreseeable future. “I would say the truck is more akin to a plane in that there is a lot of automation in planes but you still have pilots in them,” he said. “The

truck platooning

I think that policymakers at all levels need to be thinking broadly about how automation will impact jobs of all folks. Whether it’s taxi drivers, truck drivers, the rise of robots and artificial intelligence, this is a societal debate that we need to be having now…” Shailen Bhatt, president, Intelligent Transportation Society of America

vision may be for no drivers eventually, but I think these rigs represent a big investment and so I would say the medium-term goal would be for these companies to be able to let these trucks operate longer hours and one of their limits right now is around driver sleep requirements and rest requirements, so if there’s a way to use some of this platooning to increase the productivity of the rigs without getting rid of all drivers, I think that’s going to be where the short- to medium-term focus is.” But Bhatt believes even if more extensive automation of the commercial trucking fleet is still years or even decades away, it’s important for policymakers to start the conversation now about where those jobs are headed. “I think that policymakers at all levels need to be thinking broadly about how automation will impact jobs of all folks,” said Bhatt. “Whether it’s taxi drivers, truck drivers, the rise of robots and artificial intelligence, this is a societal debate that we need to be having now so we don’t end up five or 10 years from now where you’re starting to get displacement of drivers and people are saying ‘why didn’t we think about this?’” Boyd, of Peloton Technology, agrees.

PELOTO N TEC H N O LO GY is just one of the companies

working in the truck automation space. Others have their own visions for the technology, the business model and how things might evolve.

S I L I CO N VAL L EY STA RTU P EM B A R K announced in

February that their self-driving truck completed a five-day test run from Los Angeles to Jacksonville, Florida, which the company said was the first coast-to-coast trip by an automated truck. The company’s current system requires a driver to remain attentive and monitor the vehicle’s progress. But Embark officials say their goal is to further develop the technology so their trucks can travel on limited, specific highway routes with no driver at all. That would allow their trucks to operate around the clock and complete trips like Los Angeles to Jacksonville in just two days, something the company says could “radically change the dynamics of freight.”

S AN FR A N C I S CO -B A S ED STA R S KY RO BOT IC S

has said they plan to have a fleet of self-driving semis by the end of 2018.

TES L A in November 2017 introduced a fully electric semitruck

that comes with Enhanced Autopilot, the second generation of the company’s semiautonomous technology that includes automatic braking, lane keeping and lane departure warning features. Walmart, Meijer and J.B. Hunt Transport Services were among the first customers that expressed interest in buying the new semis.

WAY M O , the self-driving car unit owned by Google parent

company Alphabet, announced this winter they were beginning to deliver freight for Google’s data centers in Atlanta using its autonomous trucks. While the trucks aren’t completely driverless, they are operating on public roads in the area. The company began testing its autonomous technology on Class-8 tractor trailers in 2017 in Arizona and California.

SEPT/OCT 2018 | CAPITOL IDEAS

“It’s important for federal and state governments to understand the needs of both the future workplace and workforce to develop the best job training programs possible,” he said. “We think that there should be increased collaboration between government, industry, the education sector and other stakeholders to develop better, more relevant high school programs, vocational training programs, apprenticeship programs, workforce training and reskilling programs and other types of programs that assist workers with expanding skills and entering new opportunities.”

The Visions of Companies Involved in Autonomous Trucking

the future of work

States Get

Creative in Recruiting

Talent by Shawntaye Hopkins The days of working for state government solely because the retirement and health benefits are better than those in the private sector are over. But state governments still have unique opportunities for talented workers, especially as states implement programs and initiatives to overcome workforce challenges and compete in the job market. “States are really challenged in the job market,” said Leslie Scott, executive director of the National Association of State Personnel Executives, a CSG affiliate. The challenges increase in states with low unemployment rates.

SEPT/OCT 2018 | CAPITOL IDEAS

“And states typically aren’t able to match the wages and the compensation that the private sector can offer,” she said. “So that’s always a challenge for state governments. Even in competing with local and federal governments, states tend to offer lower wages than those groups.”

In addition, retirement and health care benefits are not as strong as they once were in state government and, therefore, don’t make up for lower wages. Finally, young people often don’t think about working for state government when planning their careers. “If you’re going to be an accountant, most people don’t think about being an accountant for government,” Scott said. “People aren’t aware of the opportunities in government and the array of occupations. So, we’re really working on trying to get in earlier with high school students, and even younger than that, and getting them to think about government as a career.”

state employment practices

82%

of state & local employers reported staff recruitment and retention as a top workforce priority

44%

of state & local employers reported that retirements in the most recently completed year were higher than the year before

Source: Center for State & Local Government Excellence

Human resources directors regularly meet through NASPE to name the top challenges facing state government workforces. Recently, a committee was formed out of those discussions to develop a presentation that detailed state workforce challenges and solutions that would benefit any agency in any state. (See page 46.) Four challenges falling under the categories of talent, culture, strategic alignment and technology were identified. Specifically, the challenges were: attracting, inspiring and retaining human capital that is productive and engaged; creating shared values, assumptions and beliefs, which govern how people behave in organizations; linking an organization’s structure and resources with its strategy and business environment; and accessing reliable technology. Not only is compensation a factor but there are also unique challenges involved in some positions, such as those in corrections, making it difficult for state governments to hire and retain talented employees. In addition, young employees tend to move around more than older generations.

Overall, states have started giving long overdue raises. In some cases, raises are being handed out for the first time in almost a decade, Scott said. States may not be where they need or want to be, but the situation is improving. The four challenges identified by the NASPE committee were not surprising for the committee members who work in the field. However, the meaning of the top issue regarding culture

“After we developed culture as one of our issues, the heightened awareness of sexual harassment, and the #MeToo movement, really kicked that up a notch,” Decoteau said. He said awareness about how sexual harassment impacts state government, including the morale of employees, is increasing. Decoteau said some of the programs that states are coming up with to address workforce issues are inventive but rarely spotlighted in the field of human resources. “The more that we can, as an organization, spotlight some of these things, I think you will see that we are leveraging ourselves very equal with private industry,” he said. “We are at a point in time where we can no longer sit back and think that candidates are going to come to us just because they want to work for government because of the retirement or the benefits.” But while the money and benefits may not be enough to attract people to state government nowadays, people entering into careers in state government are interested in making a difference, he said. “I do believe that we’re headed in the right direction,” Decoteau said. “Sometimes we are limited with our resources just because of states grappling with budget issues. But we have talent in state government … people are very innovative and they have great ideas.” Tennessee reformed its hiring practices in efforts that culminated with the Tennessee continued on next page »

SEPT/OCT 2018 | CAPITOL IDEAS

“One of the things states are doing is really trying to identify their high performers early and getting them into additional training, additional leadership opportunities and special projects, and allowing them to move from agency to agency,” Scott said.

changed as committee members polled their peers and others in state government, said Byron Decoteau Jr., director of the Louisiana State Civil Service and the 2018– 2019 NASPE president. Originally, the issue was related to perceptions of state government employees and efforts to brand state government as attractive while empowering employees to be proud of their public service.

the future of work « continued from previous page

Excellence, Accountability and Management— or TEAM—Act signed by Gov. Bill Haslam in 2012. Rebecca Hunter, commissioner of the Tennessee Department of Human Resources, said Haslam often lists civil service reform among his biggest accomplishments. The reform has allowed the state to transition from a focus on seniority to a focus on performance while simultaneously focusing on learning and development. Hunter said reform happened in Tennessee not only because of the leadership of a governor who wanted to create an environment where employees could develop and be innovative but also because Tennessee is a very collaborative state. “As we have increased the focus on learning and development, our promotions have increased in direct proportions, which is pretty exciting when you think about it because we

really do believe in growing our own,” Hunter said. In the past, it would have been difficult for someone who just graduated from college to get a job in Tennessee because the testing involved in the hiring process focused on seniority and experience. But the state has transitioned to focus on knowledge, skills, abilities and competencies. In addition, Tennessee launched an internship program this year for college graduates to “begin to build the foundation for our future state workforce,” Hunter said. “Government traditionally focused on benefits, and that’s what got people to come work for the public sector,” Hunter said. “That’s not what people are focused on anymore. What we’re really trying to do is let people know about the exciting and challenging work that you can do and the impact that you can have in state government.”

45% of state & local employers reported offering flexible scheduling or flexible work hours to recruit and retain a skilled workforce Source: Center for State & Local Government Excellence.

NASPE TOP WORKFORCE ISSUES 1. Attracting, inspiring and retaining human capital that is productive and engaged Roadblocks: antiquated merit systems; budget shortages; ineffective pay practices; ineffective hiring practices; outdated work practices; talent shortage Solutions: Demonstrate talent’s return on investment; promote the positive sides of the merit system and don’t be afraid to push for reforms; recruit beyond the typical applicant pool; achieve a unified job applicant experience; develop flexible pay mechanisms; establish a mutual value between employee and employer; emphasize state service as a career and link employees to the overall mission; build a philosophy of continuous learning

SEPT/OCT 2018 | CAPITOL IDEAS

2. Accessing reliable technology

Roadblocks: antiquated systems; rapidly changing systems; decentralized structures; budget concerns; lack of reliable data; concerns over privacy Solutions: Push systems to the limit; demonstrate the value added from data decisions; seek technological skills from within the organization; ensure policies and practices are in place for reliable data entry

3. Creating shared values, assumptions and beliefs, which govern how people behave in organizations Roadblocks: bureaucracy; low morale; political environment; negative public perception; lack of clear and consistent communication Solutions: create a visual picture of what needs to be achieved and define the values that need to be portrayed; ensure middle managers and first-line supervisors are trained on the organization’s culture; promote employee engagement

4. Linking an organization’s structure and resources with its strategy and business environment Roadblocks: political environment; competing needs of stakeholders; departmental silos; laws, rules, policies not aligned with mission and vision; no statewide alignment of strategy Solutions: Demonstrate and communicate your mission, vision and goals; make decisions that are in agreement with strategic objectives; understand the fundamental needs of each stakeholder and ensure alignment between processes and goals; review leadership programs from other states Source: National Association of State Personnel Executives, www.naspe.net.

state employment practices

OF STATE & LOCAL EMPLOYERS SURVEYED

27% reported that positions in policing were difficult to fill

80% reported employee morale as a top workforce priority

25% reported their employees are financially prepared for retirement

reported hosting wellness programs or on-site fitness facilities to help recruit and retain workers Source: https://slge.org/publications/state-and-local-government-workforce-2018-data-and-10-year-trends.

For nearly 10 years, the Center for State & Local Government Excellence in coordination with the International Public Management Association for Human Resources, or IPMA-HR, and the National Association of State Personnel Executives, or NASPE, has conducted surveys on workforce issues facing state and local employers. Survey results were published in May 2018 following an online survey conducted between March 22 and April 16, 2018, and sent to 6,700 members of IPMA-HR and 138 members of NASPE. The percentages represent survey respondents. Photo ÂŠ 400tmax / iStock by Getty Images

SEPT/OCT 2018 | CAPITOL IDEAS

37%

State and Local Government Workforce: 2018 Data and 10-Year Trends

final facts

Go, Go

Gadget

by Shawntaye Hopkins Artificial intelligence, automation and robots are all around us, providing assistance with trivial tasks in our homes and helping businesses thrive. If you want a few fun facts to share with your robo-colleagues at the water cooler, you’re in the right place.

SEVERAL COFFEE ROASTERS partnered with CAFÉ X TECHNOLOGIES

t o c r e at e a $ 2 5 , 0 0 0 robot barista

A slew of robots, including robot guides,

The word “robot” was introduced by Czech writer Karel Čapek

that can serve 120 drinks an hour including espressos, flat whites and cortados.

helped with various tasks at the

2018 Pyeongchang Winter Olympics.

in his 1920 play R.U.R., or

Rossum’s Universal Robots. The word comes from the

MORE THAN HALF of the nation’s

233,305

INVENTOR FRANCIS HOUDINA

which refers to servitude or forced labor.

industrial robots

radio-controlled car

are located in

which moved through

10 MIDWESTERN AND S O U T H E R N S TAT E S

THE STREETS OF MANHATTAN

SEPT/OCT 2018 | CAPITOL IDEAS

led by Michigan.

In 1925

Old Church Slavonic word “robota,”

Created by WESTINGHOUSE ELECTRIC for the

New York World’s Fair

demonstrated a

without anyone at the steering wheel. The car could start its engine, shift gears and sound its horn.

Inventor George C. Devol Jr. created the first programmable robotic arm called Unimate in 1954.

THE WALKING & TALKING

humanoid robot

Elektro

DEBUTED IN 1939.

IT BECAME THE PROTOTYPE FOR ROBOTS

used on automobile assembly lines.

Safety is central to transporting hazardous materials where they are needed so they can be used to provide essential benefits people rely on every day â&#x20AC;&#x201D; from safe drinking water to abundant food supply. Thatâ&#x20AC;&#x2122;s why chemical manufacturers are committed to working closely with their transportation partners and regulators to help achieve the safe delivery of their products. Learn more about this commitment at safetymovesus.com.

SAFETY MOVES US

The Council of State Governments 1776 Avenue of the States Lexington, KY 40511

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