NISH and the Institute for Economic Empowerment

1. NISH and the Institute for Economic Empowerment • The Institute for Economic Empowerment was created and funded in 2007 by NISH to expand employment opportunities for persons with severe disabilities • NISH is a national nonprofit agency whose mission is to create employment opportunities for people with severe disabilities by securing Federal contracts through the AbilityOne Program for its network of community-based rehabilitation programs • The AbilityOne Program creates jobs and training opportunities for more than 40,000 people who are blind or who have other severe disabilities by requiring Government agencies to purchase selected products and services from nonprofit organizations employing such individuals

2. Overview of the Institute • Vision: For individuals with severe disabilities: • Expanded employment opportunity • Higher wages and improved benefits • Increased opportunities for advancement • Greater opportunity for supported, competitive and self-employment • Increased self-determination, economic self-sufficiency & net worth • Mission: • Test the effectiveness and validate models, strategies and policies which advance the Vision • Effectively disseminate the results of the research and demonstration activities shown to be successful • Actively promote the adoption, replication and adaptation of these models, strategies and policies

3. Background – Federal Benefits • Today, over 12 million Americans of working age receive Federal disability cash and health benefits • 4 million+ Americans receive SSI/Medicaid benefits; 36% are persons with a mental impairment • 8 million+ Americans receive SSDI/Medicare benefits; more than 50% are persons with mental impairments as a primary or secondary diagnosis • Serious conflict in Social Security rules between the definition of disability and the reality that work is therapeutic and “treatment” is mandatory • Over 5 million Americans with mental impairments (most with a primary or secondary mental health diagnosis) receive Federal disability benefits (45%)

4. Background – Federal Expenditures • Annual expenditures for Federal disability benefits (cash and health) are increasing rapidly • This year, expenditures exceed $500 Billion • By 2017, expenditures will exceed $1 Trillion • At least 40% of the current annual expenditure for Federal disability benefits ($200 Billion) represent benefits for persons with a primary or secondary mental health diagnosis • By 2017, these annual expenditures will approach $500 Billion • Each year, fewer than 1% of working age Federal disability beneficiaries leave the benefit rolls for work

5. Institute Strategic Goals • To make significant progress toward full and fair employment for individuals with severe disabilities: • Increase employer demand for workers with severe disabilities • Increase the availability and productivity of persons with severe disabilities willing and able to work • Expand and improve employment support infrastructures

6. Research Initiative – Employer Payroll Tax Incentive • Concept: expand employer demand for workers with severe disabilities through a payroll tax incentive that links employing a specific percentage of persons with severe disabilities to reduction of the employer’s overall payroll tax rate • A pay-as-you-go model that tracks industry “experience rating” of premiums • Builds in resources for reasonable accommodation and ongoing supports to sustain employment • Low administrative costs for employers and for the Government; updates continually as payrolls are met • Contract with MPR to develop and test the model

7. Research Initiatives - Employment Opportunities for Veterans • Research Focus: • Identify career goals and employment interests of OEF/OIF veterans with Traumatic Brain Injury and/or Post-Traumatic Stress Disorder • Identify and pursue DoD contract-related employment opportunities and help veterans secure employment • Develop models for long-term employment supports • Next Steps: • RFP to be published this month • Interviews and focus groups beginning early Fall

8. Further Information on Institute Activities: www.InstituteforEmpowerment.org