Colorado Department of Labor

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• Colorado Department of Labor Employment (CDLE)
• Implementation of the American Recovery and
  Reinvestment Act (ARRA)
• Prepared for the Progressive 15 Spring Conference
• Presented by Jennifer R. Beck
• Burlington Workforce Center
• April 17, 2009

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• Workforce Development Programs
• Workforce Investment Act
• Wagner-Peyser

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Workforce Investment Act (WIA)Job Training

• The Workforce Investment Act was originally
  signed into law on August 7, 1998. Colorado
  implemented WIA in July 2000.
• WIA reformed previous job training programs by
  creating a comprehensive, seamless and integrated
  system of one-stop centers offering training and
  employment service to all job seekers and
  employers.
• The system allows Colorado to create a pipeline
  of skilled workers to meet industry needs and
  increase our competitive edge in the global
  economy.

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Workforce Investment Act (WIA)Job Training

• The Recovery Act provided an additional
  3,950,000,000 in funding for job training
  nationwide.
• Of this amount, 3,118,500,000 was directly
  disbursed to states and local workforce agencies
  in the form of formula grants.
• The federal formula and in-state formula are
  based on local need as reflected in poverty and
  unemployment figures and are mandated by federal
  law and regulation.
• Colorados total allocation amount equals
  31,132,248.
• WIA allocations are separated into three (3)
  distinct funding types Adult, Youth and
  Dislocated Worker.

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Workforce Investment Act (WIA)Job Training

• Adult
• Training and employment services for unemployed
  or underemployed individuals 18 or older.
• Priority of service to low income adults
• Skill upgrades and occupational training for
  high-growth industry/sector jobs including new
  energy and green jobs.
• Nationwide funding to states equals 495,000,000
• Colorados allocation equals 4,792,362.
• 15 for state administration and discretionary
  initiatives
• 718,854
• 85 formula-allocated to workforce regions
• 4,073,508

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Workforce Investment Act (WIA)Job Training

• Dislocated Worker
• Training and employment services for individuals
  18 and older, who through no fault of their own
  have been laid-off or are at risk of layoff.
• Retraining laid off workers to prepare for demand
  occupations including new energy and green jobs
• Retraining incumbent workers to avoid layoffs
• Nationwide funding to states equals
  1,435,500,000.
• Colorados allocation equals 14,464,916.
• 15 for state administration and discretionary
  initiatives
• 2,169,737
• 25 for Rapid Response (layoff assistance)
  activities
• 3,616,229
• 60 formula-allocated to workforce regions
• 8,678,950

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Workforce Investment Act (WIA)Job Training

• Youth
• Training and educational services for individuals
  age 14-24 who are low income, disabled, homeless
  or in need of assistance to increase basic
  literacy skills.
• Serve in-school and out-of-school youth with
  reading and math remediation
• Provide career and industry-specific exposure and
  work readiness through summer youth employment
  opportunities
• Nationwide funding to states equals
  1,188,000,000.
• Colorados allocation equals 11,874,970.
• 15 for state administration and discretionary
  initiatives
• 1,781,246
• 85 formula-allocated to workforce regions
• 10,093,724

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Workforce Investment Act (WIA)

• Core Services Initial assessment, labor market
  information, referrals to jobs, career planning,
  job search workshops, referrals to intensive and
  training services.
• Intensive Services Case management, in-depth
  assessment, career counseling, pre-vocational
  workshops, supportive services, subsidized work
  experiences and literacy classes.
• Training Services Occupational skills training,
  on-the-job training, customized training, skills
  upgrade, entrepreneurial and job readiness
  training.
• These services apply to the Adult, Youth and
  Dislocated Worker programs. The Youth program is
  further divided into more detailed federal
  reporting categories.

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Workforce Investment Act (WIA)

• Colorados WIA allocations are allotted further
  to Nine (9) Workforce Regions.
• These Regions are
• Adams County 2,503,234
• Arapahoe/Douglas Counties 2,613,208
• Boulder County 1,015,080
• City and County of Denver 3,883,971
• El Paso/Teller Counties 3,277,091
• Larimer County 1,014,913
• Rural Consortium 5,486,091
• Tri-County 1,762,002
• (Jefferson/Gilpin/Clear Creek)
• Weld County 1,290,599
• 22,846,183

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Workforce Investment Act (WIA)
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Workforce Investment Act (WIA)

• Rural Consortium Regional Allocations

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Wagner-Peyser (WP)

• Wagner-Peyser Act of 1933, as amended by Public
  Law 97-300 Job Training Partnership Act (JTPA),
  effective October 1, 1983 as amended by Public
  Law 105-220 Workforce Investment Act of 1998,
  effective August 7, 1998 and C.R.S. Title 8,
  Article 71, Sections 101 and 106.
• Labor exchange system providing core services to
  all job seekers and offering employer services
  including recruitment, screening and referral of
  qualified applicants
• Serves all job seekers and employers (no
  eligibility) and has no training activities can
  be self-service through automation, or
  staff-assisted
• There are two (2) categories of Wagner-Peyser
  ARRA Funding
• ARRA Wagner-Peyser labor exchange services
  Colorado received 2,329,663 which has been fully
  allocated to regions
• ARRA Reemployment Services core and intensive
  services targeted to Unemployment Insurance
  claimants- Colorado received 3,882,771 which has
  been fully allocated to regions

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Wagner-Peyser (WP)Labor-Exchange

• The Recovery Act provides an additional
  396,000,000 for Labor-Exchange activities
  nationwide.
• Of this amount, Colorados total allocation
  equals 6,212,434.
• The federal allocation is based on need as
  reflected by unemployment. The in-state
  allocation is based on unemployment, job seekers
  served, and size of region in square miles.
• Colorados total allocation is further separated
  into 3,882,771 for Reemployment Services (RES)
  and 2,329,663 for WP labor exchange.

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Wagner-Peyser (WP)Regional Allocations
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Wagner-Peyser (WP)Regional Allocations
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Total Recovery Act Fundingby State (in millions)
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• Unemployment Insurance
• Emergency Unemployment Compensation (EUC)
• Federal Additional Compensation (FAC)
• Unemployment Insurance Modernization
• Unemployment Insurance Administrative Funding

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Emergency Unemployment Compensation(EUC)

• The Recovery Act extended the expiration of the
  EUC Program from August 29, 2009, to May 31,
  2010.
• The goal of the program is to promote economic
  recovery and assist persons most impacted by the
  recession.
• The EUC Program under the Recovery Act begins for
  claims filed on or after March 2009.
• Monitor/Tracking Process
• CDLEs Finance office has integrated coding and
  tracking of Recovery Act funds into the existing
  accountability structures and systems. The CDLE
  Finance and Budget offices are jointly
  responsible for the monitoring and reporting of
  ARRA funds monthly, quarterly and as needed.

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Federal Additional Compensation(FAC)

• The Federal Additional Compensation Program
  provides a 25 weekly supplement to the
  unemployment insurance benefits.
• FAC is payable to unemployed individuals who are
  receiving either state or federal unemployment
  insurance benefits.
• FAC is paid for by Federal General Revenue.
• The program pays benefits for the week ending
  February 28, 2009.
• The last payable week for FAC will be the week
  ending July 3, 2010.
• The department estimates that a total of 58,000
  Coloradoans will receive FAC benefits weekly.

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Unemployment Insurance Modernization

• The Recovery Act sets aside 7,000,000,000 in
  incentives for states that enact specified UI
  Modernization provisions in state law.
• If Colorado enacts all necessary changes, the
  state will receive 127,469,762.
• Funding for UI Modernization is from the Federal
  Unemployment Account (FUA).

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Unemployment Insurance Modernization

• If Colorado enacts alternative base period
  legislation, it will receive one-third (1/3) of
  its available allocation which equals
  42,489,921.
• An alternative base period allows claimants to
  include the most recent quarter of earnings in
  the base period calculation.

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• Additional Colorado Department of Labor and
  Employment ARRA Provisions
• Trade Adjustment Assistance (TAA)
• Worker Training and Placement in High-Growth
  Industries
• Dislocated Worker National Reserve
• YouthBuild
• Job Corps
• Federal Income Tax Deduction
• Cobra
• Work Opportunity Tax Credit (WOTC)
• Leaking Underground Storage Tank Fund (LUST)

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Other ARRA Provisions Impacting the CDLE

• Trade Adjustment Assistance. The bill
  reauthorizes and expands the Trade Adjustment
  Assistance (TAA) program by, among other things,
  extending TAA benefits to trade-affected service
  sector workers, increasing funding available to
  states, and increasing the accessibility of
  training, health care, and reemployment TAA
  benefits.
• Worker Training and Placement in High Growth
  Industries. The bill provides 750,000,000 for
  competitive grants for worker training and
  placement in high-growth occupations. Of this
  amount, 500,000,000 is dedicated to preparing
  workers for occupations in renewable energy and
  energy efficiency as described in the Green Jobs
  Act of 2007. Of the remaining 250,000,000 the
  priority will be to prepare workers for careers
  in health care.
• Dislocated Worker National Reserve. The bill
  provides 200,000,000 for the dislocated national
  reserve. This funding provides the Secretary of
  USDOL to make emergency grant awards for areas
  experiencing mass layoffs, plant closings, and
  other types of worker dislocations.

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Other ARRA Provisions Impacting the CDLE

• YouthBuild. The bill provides 50,000,000 for
  the YouthBuild program dedicated to funding for
  services for at-risk youth who gain experience
  and occupational credentials while constructing
  or rehabilitating affordable housing.
• Job Corps. The bill provides 250,000,000 for
  the Office of Job Corps. The funds will be used
  to for the construction of residential facilities
  serving at-risk youth. Job Corps provides career
  development services to at-risk youth ages 16-24.
  
• Federal Income Tax Deduction. Under current law,
  unemployment insurance benefits are included in
  the calculation of an individuals gross income
  for tax purposes. The bill excludes from the
  calculation of up to 2,400 of unemployment
  insurance benefits. This deduction becomes
  effective for the 2009 taxable year.

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Other ARRA Provisions Impacting the CDLE

• COBRA. The bill provides a 65 percent subsidy
  for COBRA health insurance payments to persons
  who have been involuntarily separated from a job.
  The subsidy is limited to nine months.
• Work Opportunity Tax Credit. The bill expands
  eligibility for the Work Opportunity Tax Credit
  to employers who hire unemployed veterans and
  disconnected youth between the ages of 16 and 25.
  
• Leaking Underground Storage Tank Fund. The ARRA
  provides the Environmental Protection Agency with
  190,700,000 for environmental cleanups of
  underground petroleum storage tanks. On April 8,
  2009, the departments Division of Oil and Public
  Safety was awarded 2,540,000 for cleanups.