CA AB765

Prohibits the Employment Training Fund from being used to pay interest on federal loans to the Unemployment Fund without explicit legislative approval by statute and a public report justifying the necessity

Reverses current law that allowed the fund to pay federal loan interest with mere legislative approval, now requiring both a statute and public justification

Requires unencumbered Employment Training Panel funds to revert to the Unemployment Insurance Fund at the end of each fiscal year, continuing existing policy from 1992-93

Declares that using Employment Training Fund money to pay down federal loan interest undermines workforce development and the state's ability to foster a skilled workforce

Maintains the Controller's authority to loan Employment Training Fund money to the General Fund with interest, provided it does not interfere with the fund's intended workforce training purpose