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The Workforce Investment Act of 1998

The Workforce Investment Act of 1998. The Workforce Investment Act of 1998. I. Background/Goals & Objectives II. Funding III. State Governance/Wagner Peyser IV. Performance Accountability V. Local Governance. The Workforce Investment Act of 1998. VI. One-Stops/Delivery System

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The Workforce Investment Act of 1998

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  1. The Workforce Investment Act of 1998

  2. The Workforce Investment Act of 1998 I. Background/Goals & Objectives II. Funding III. State Governance/Wagner Peyser IV. Performance Accountability V. Local Governance

  3. The Workforce Investment Act of 1998 VI. One-Stops/Delivery System VII. Employment Statistics (LMI) VIII. National Programs/General Provisions IX. Implementation Schedule

  4. I. Background/Goals & Objectives

  5. The Workforce Investment Act of 1998 • Signed into law August 7, 1998 (Public Law 105-220) • Caps a seven-year bipartisan effort to consolidate/streamline employment & training programs

  6. The Workforce Investment Act of 1998 • Rewrites federal statutes governing • job training programs (JTPA) • adult education & literacy • vocational rehabilitation

  7. The Workforce Investment Act of 1998 • Goals & Objectives of WIA • Provides a more coordinated, customer-friendly, locally driven workforce development system • “Codifies” the one-stop career center system approach • Provides individual choice through the use of Individual Training Accounts (vouchers) for training

  8. Workforce Investment Act of 1998 • Goals & Objectives of WIA (con’t) • Establishes a Performance Accountability System • Recognizes the importance of LMI--establishes and reinforces the importance of a “comprehensive employment statistics program”

  9. II. Funding

  10. The Workforce Investment Act of 1998 • Specifies three funding streams for: • adult employment & training; • dislocated workers; and, • youth (summer and year-round youth now combined)

  11. The Workforce Investment Act of 1998 • Maintains separate funding streams for: • Wagner Peyser • Adult Education and Literacy • Vocational Rehabilitation • But services are to be integrated and/or linked with workforce investment system

  12. The Workforce Investment Act of 1998 • Funding • Authorizes “such sums as may be necessary” for five years (FY 1999-FY 2003)

  13. The Workforce Investment Act of 1998 • Funding • 20% transfer at local level between adult and dislocated worker funding streams • Not more than 15% from each of the three funding streams (adult, dislocated and youth) can be reserved for statewide activities • Of the 15%, no more than 5% can be used for administration

  14. The Workforce Investment Act of 1998 • Funding (con’t) • Statewide activities funds can be pooled • Core services funded under the adult funding stream available on a “universal” basis with no eligibility criteria (just like Wagner Peyser funds)

  15. III. State Governance & Wagner Peyser

  16. The Workforce Investment Act of 1998 • State Workforce Investment Boards • Governor • State Legislators (Two members from each chamber) • Business Representatives (majority) • Chief Local Elected Officials • Youth Leaders • Workforce Development Leaders • Lead State Agency Representatives

  17. The Workforce Investment Act of 1998 • State Alternative Entity • State may use any state alternative entity (including state HRIC, state workforce board, combination of regional boards) that was in existence on 12/31/97, or is substantially similar to the state board.

  18. The Workforce Investment Act of 1998 • State Workforce Investment Boards-Responsibilities • Develop 5-year state plan • Advises Governor on developing the statewide system and the LMI system • Assists Governor in reporting to Secretary of Labor • Assists in monitoring the statewide system

  19. The Workforce Investment Act of 1998 State Plan • States must submit a plan outlining their 5-year strategy for the statewide workforce investment system and activities under Wagner Peyser including: • description of the state board • performance accountability • state workforce & economic information • identification of local areas

  20. The Workforce Investment Act of 1998 • Wagner Peyser Act • Amends Wagner Peyser Act and retains separate authorization and funding stream • SESA retains responsibility for Wagner Peyser funds • Requires Wagner Peyser activities to be part of the one-stop system • Wagner Peyser plan integrated into statewide workforce investment plan

  21. The Workforce Investment Act of 1998 • Wagner Peyser Act (con’t) • Local ES must be a partner in one-stop (either physically or electronically) • Merit staffing requirement retained for Wagner Peyser funded staff

  22. IV. Performance Accountability System

  23. The Workforce Investment Act of 1998 Performance Accountability System • Establishes indicators of performance for all adult, dislocated worker, and youth programs to be applied to states as well as local areas.

  24. The Workforce Investment Act of 1998 Performance Accountability System • Four indicators relating to adults • placement • retention • earnings • skills attainment

  25. The Workforce Investment Act of 1998 Performance Accountability System • Three indicators relating to youth (14-18) • basic skills attainment and, as appropriate, occupational skills attainment • high school diplomas • placement and retention in post secondary education, advanced training, or employment

  26. The Workforce Investment Act of 1998 Performance Accountability System • Secretary of Labor negotiates the expected levels of performance for each indicator with each state • In turn, state negotiates expected levels of performance with each local area • Negotiations take into account special economic & demographic factors

  27. The Workforce Investment Act of 1998 Incentives/Sanctions • Secretary authorized to award incentive grants to states that exceed the expected levels of performance • Secretary may reduce states’ grant up to 5% for those states that fail to meet expected performance levels for 2 consecutive years

  28. V. Local Governance

  29. The Workforce Investment Act of 1998 • Governors designate local workforce areas • must approve units with populations of 500,000 • must temporarily (two years) approve units of 200,000 if it was a JTPA SDA and performed successfully and has sustained fiscal integrity • may approve any unit (or combination thereof recommended by state board)

  30. The Workforce Investment Act of 1998 • Local Workforce Investment Boards • Appointed by chief local elected officials • Membership: • business (majority) • local educational entities • labor organizations • community based organizations • economic development agencies • one-stop partners

  31. The Workforce Investment Act of 1998 • Local Workforce Investment Boards (con’t) • A "youth council" will operate as a subgroup within each local board to be responsible for the selection and oversight of local youth programs

  32. The Workforce Investment Act of 1998 • Local Workforce Investment Boards--Functions • develop local plans and budget • designate, certify and oversee one-stop operators • identify eligible training providers • develop and enter into MOU’s with one-stop partners

  33. The Workforce Investment Act of 1998 • Local Workforce Investment Boards--Functions (con’t) • negotiate local performance measures • coordinate a linkage to employers • oversee program & assist in development of statewide employment statistics (LMI) system • develop 5-year local plan to be submitted to Governor for approval

  34. The Workforce Investment Act of 1998 • Local Workforce Investment Boards-- • prohibited from directly providing training services unless the Governor waives the prohibition based on determination that another entity is not available to meet local demand for such training

  35. The Workforce Investment Act of 1998 • Local Workforce Investment Boards-- • may not directly provide non-training services unless the local elected official and Governor agree to allow the board to provide such services

  36. The Workforce Investment Act of 1998 • Local Plan--Requirements • identification of the workforce investment and job skill needs of the local area • description of the one-stop delivery system • local levels of performance • type and availability of adult and dislocated worker employment and training activities • description of how local board will coordinate statewide rapid response activities

  37. The Workforce Investment Act of 1998 • Local Plan--Requirements (con’t) • description of available local youth activities • description of process for providing public comment • identification of local fiscal agent • other such information as required by Governor

  38. VI. One-Stops/Service Delivery System

  39. The Workforce Investment Act of 1998 • Requires a one-stop delivery system in each local workforce investment area • must be at least one physical location in each local area • must provide “core services” • must provide access to intensive services, training and related services

  40. The Workforce Investment Act of 1998 One-Stop Selection Process • One-stop operators are to be selected by local Workforce Investment Boards through a competitive process or designation of a consortia • Legislation encourages retaining existing one-stops if they are effective

  41. The Workforce Investment Act of 1998 • Local one-stop operators may include: • higher educational institutions (community colleges) • local ES offices • private, non-profit orgs. (including CBO’s) • private, for-profit organizations • local government agencies • local chambers of commerce

  42. The Workforce Investment Act of 1998 • Local One-Stop operators may not include: • elementary schools • secondary schools

  43. The Workforce Investment Act of 1998 • Core Services required in one-stops • determination of eligibility for services • intake, orientation to services • assessment of skills • job search, placement & counseling • labor market information (job vacancy listings, job skills, information related to local occupations in demand & earnings and skill requirements for such occupations)

  44. The Workforce Investment Act of 1998 • Core Services (con’t) • performance & program cost info. about eligible providers • local area performance information • information on support services • information on filing UI claims • eligibility determination for w-2-w • follow-up services

  45. The Workforce Investment Act of 1998 • Intensive Services • Available for unemployed individuals who have been unable to obtain jobs through core services and those who are employed but need additional services to reach self-sufficiency

  46. The Workforce Investment Act of 1998 • Intensive services may include: • comprehensive and specialized assessment • development of individual employment plans • group counseling • individual counseling and career planning • case management for participants seeking training services • short-term pre-vocational services

  47. The Workforce Investment Act of 1998 • Training Services • Available for those who meet intensive services eligibility, but were unable to find employment through those services

  48. The Workforce Investment Act of 1998 • Creates "individual training accounts” (vouchers) for use by eligible customers • Can be used at any provider that makes a local board’s provider list based on minimum criteria established by Governor • If adult funds are limited in a local area, priority for intensive and training services must be given to welfare and other low-income individuals.

  49. The Workforce Investment Act of 1998 • Training Services may include: • basic skills training • occupational skills training • on-the-job training • customized training • cooperative education programs

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