Relating to the use of the skills development fund by certain entities.

SB 856 amends Texas labor law to clarify how specific entities can use the skills development fund for workforce training. It directly affects public community colleges, workforce boards, and Texas A&M Engineering Experiment Station/Extension Service by allowing them to recover costs for customized training programs when there’s a local labor shortage and wages meet prevailing rates. Key provisions require that training programs address unmet workforce needs and that Texas A&M entities prioritize statewide initiatives or programs unavailable through local colleges. The bill also permits fund use for business networks and consortiums, effective September 1, 2025.