Response: See Schedule 1

Transcription

1 VOCATIONAL REHABILITATION 1a. The Division of Vocational Rehabilitation Services (DVRS) provides qualified disabled individuals who have a substantial impediment to employment with certain services designed to achieve an employment outcome. Grants-In-Aid funding for Vocational Rehabilitation (VR) Services is awarded to community service providers to support programs and services that assist persons with disabilities to prepare for, obtain, and maintain employment, such as: Extended Employment Transportation; Supported Employment Services; Extended Employment Support; and Independent Living Centers. Extended Employment is also referred to as Sheltered Workshop Services. Extended employment services, through 100 percent State funds, provide long-term employment services in occupation-oriented facilities operated by non-profit service providers, which, except for staff, employ only individuals with significant disabilities at subminimum wages. Beginning in FY 2015, extended employment services and related ancillary services were transferred from the Department of Human Services (DHS) to the department. The Governor s FY 2018 Budget Recommendation provides $108.5 million in State, federal, and dedicated funding for VR Services. This amount is $5.0 million less than the appropriations provided in FY The decline reflects the proposed discontinuation of a language provision that appropriated $5.0 million from the dedicated Workforce Development Partnership Fund to VR Services. Of the $5.0 million, the language allocated $3.6 million for extended employment client slots transferred to the department from the DHS and $1.4 million for extended employment transportation. According to Evaluation Data in the Governor s FY 2018 Budget, the department anticipates 3,176 extended employment client slots in FY 2018, a decrease of 163 slots from FY 2015 (page D-234). In addition, the department anticipates appropriating $9,502 for each client in FY 2018, a $396 decrease from FY Question: For FY 2017 and FY 2018, please provide the anticipated amount of VR Services State funding, federal funding, and other funding received by each program area. Response: See Schedule 1 Question: Please provide the number of extended employment client slots transferred to the department from DHS in FY 2015, and the number of slots in each subsequent fiscal year. For each fiscal year, please provide the amount of State funds allocated for these services, indicating amounts transferred from DHS. Response: FY 2015 FY 2016 FY 2017 FY 2018 DDD Sheltered Workshop Slots State Funding $5,560,842 $6,168,000 $9,768,000 $6,840,000 Question: What impact does the department anticipate that the decline in the FY 2018 appropriations for extended employment services will have on the program? What factors account for the anticipated decline in per client appropriations from FY 2015 to FY 2018? Have the level and quality of services provided decreased? Response: The reduction will not impact the program s level of capacity. Based on actual budget allocations during FY 2015 through FY 2018, per client appropriations 1

2 have not declined. In addition, the level and quality of services has remained unchanged during this period. 1b. The final rules implementing the federal Workforce Innovation and Opportunity Act (WIOA), Pub.L (29 U.S.C. s.3101 et seq.) (See Discussion Point 5) became effective in September 2016 and made several changes to Vocational Rehabilitation (VR) Services, including three key provisions focusing on youth with disabilities. The first provision requires state vocational rehabilitation programs to spend at least 15 percent of their federal allotment for vocational rehabilitation to provide pre-employment transition services to students with disabilities who are eligible or potentially eligible for services. Transition services include vocational counseling and guidance, placement services, job seeking skills, supported employment, and skills training The second provision requires state vocational rehabilitation programs to spend at least 50 percent of their federal allotment for supported employment programs for services to youth with the most significant disabilities. Under the regulations, youth are defined as individuals with disabilities who are between the ages of 14 and 24 when entering the program, while significant disability is defined as a severe physical, mental, cognitive, or sensory impairment that substantially limits an individual's ability to function independently in the family or community or to obtain, maintain, or advance in employment. The third provision institutes limitations on the payment of subminimum wages by employers holding special wage certificates, also known as sheltered workshop certificates, under the federal "Fair Labor Standards Act of Specifically, such employers are prohibited from hiring youth with disabilities at a subminimum wage level unless the youth are afforded meaningful opportunities to access services. In response to FY 2017 OLS Discussion Points, the department indicated that it is developing procedures to ensure VR counselors provide services that offer individuals 24 and under the opportunity to experience community-based, competitive integrated employment before being referred to a sheltered workshop. Question: How much federal money has the department spent on pre-employment transitional services for students with disabilities during FY 2016 and thus far in FY 2017? Does the FY 2017 amount satisfy the WIOA requirement? If not, what plan does the department have to achieve compliance? Response: FY 2016 FY 2017 Pre-Employment Transition Funding $160,021 $257,358 DVRS has been steadily increasing its commitment to implementing comprehensive pre-employment transitions services to students. As per the Workforce Investment Opportunity Act (WIOA), DVRS is setting aside $5 million dollars in FY 2018 to continue implementing services. The agency anticipates continued success with awarding community service provider contracts and implementing a new collaborative program with local school districts to provide funding support for students who need additional pre-employment vocational services not already provided by those school districts. 2

3 Question: How much federal money has the department spent on supported employment programs for youth with the most significant disabilities during FY 2016 and thus far in FY 2017? Does the FY 2017 amount satisfy the WIOA requirements? If not, what plan does the department have to achieve compliance? Response: FY 2016 FY 2017 Youth Transition Funding $19,048 $249,896 As per the Workforce Investment Opportunity Act (WIOA), the agency will set aside $300,000 in FY 2018 to serve youth with significant disabilities and will be in compliance. Question: How many employers in the State have been issued special wage certificates to employ individuals with disabilities below minimum wage? Does the department have any procedures in place to monitor the use of special wage certificates to employ individuals with disabilities under the age of 24? Response: Special wage certificates have been issued by the NJ Department of Labor s Division of Wage and Hour Compliance to 168 employers in the State of New Jersey. Staff members of the Division of Vocational Rehabilitation Services (DVRS) monitors employers and or vendors who have been approved by DVRS to deliver rehabilitation services. Staff routinely visit employers, review files, meet with clients, and make eligibility determinations on a daily basis. The same monitoring procedures are used when a consumer under the age of 24 applies to work for a sub-minimum wage. DVRS is also required to follow federal WIOA regulations that pertain to eligibility of students/youth to receive below minimum wage. Before Wage and Hour issues a special wage certificate, a time study is performed to determine the rate of pay for the individual based on their production compared to the production of a regular employee performing the same type of functions. Records for Wage and Hour indicate no new certificates were issued for the current FY Question: In addition to the above WIOA provisions, please describe any further changes under the federal law that affect the federal and State funding of VR Services. Response: No further changes are seen at this time. WORKFORCE DEVELOPMENT 2. New Jersey provides extensive support for a wide range of workforce development programs. The three main components of workforce development programs in the department are: State programs funded by unemployment insurance payroll taxes redirected into the Workforce Development Partnership Fund (WDPF) and the Supplemental Workforce Fund for Basic Skills (SWFBS); programs funded by the federal Workforce Innovation and Opportunity Act (WIOA), including programs for adult training, dislocated workers, and youth; and State and federal programs to facilitate transitions from welfare to work, delivered under the State Work First New Jersey (WFNJ) program. WFNJ participants include individuals receiving public assistance from such programs as the federal Temporary Assistance for Needy Families 3

4 (TANF) program, the State General Assistance (GA) program, and the federal Supplemental Nutrition Assistance Program (SNAP), formerly the Food Stamps Program. Question: Please indicate, for each of the Workforce Development programs (WDPF/SWFBS, WIOA, WFNJ), how many individuals participated in job training during FY 2016 and how many are expected to do so during FY 2017 and FY Please indicate the cost per individual trained. Please indicate how many individuals accessed services other than job training through WDPF/SWFBS, WIOA, and WFNJ during FY 2016 and how many are expected to do so during FY 2017 and FY Please provide or estimate these data for each of the following programs: WDPF dislocated workers; WDPF disadvantaged workers; WDPF customized training grants; WDPF occupational safety and health training; WDPF youth transitions to work; WDPF SMART STEPS; SWFBS State One-Stop Career Centers basic skills training; SWFBS Workforce Investment Boards basic skills training; SWFBS customized training grants; SWFBS community college grant; WIOA dislocated worker training; WIOA adult training; WIOA youth training; WFNJ TANF recipients; WFNJ SNAP recipients; and WFNJ GA recipients. Response: See Schedule 2-1. Question: Please discuss, or provide data regarding the effectiveness of each program funded by the WDPF/SWFBS in assisting individuals without jobs to find employment providing self-sufficiency and assisting already employed individuals to retain employment or raise earning levels. Response: FY2016: Skills Partnership Grant by Industry Industry # of Grant # of Trainees Advanced Manufacturing Amount Awarded 107 8,183 $4,021,938 Construction 6 2,029 1,325,783 Finance 4 1,196 $485,102 Health Care 21 12,942 $1,494,882 Retail 9 2,988 $626,778 Technology $292,112 Transportation 13 1,613 $744,106 Non-targeted Industry related 8 21,788 $1,712,672 Totals ,342 $10,703,373 FY2017: Skills Partnership Grant by Industry (Thru April 2017) 4

5 Industry # of Grant # of Trainees Advanced Manufacturing Amount Awarded 76 5,793 $2,523,217 Construction 7 1,452 1,248,887 Finance $89,600 Health Care 12 2,614 $941,919 Retail ,693 $989,000 Technology $255,071 Transportation $328,407 Non-targeted Industry related 5 10,979 $933,716 Totals ,120 $7,309,817 *Applications for an additional round of awards are pending. Performance History Opportunity Grants - Contract vs Actual/YTD FY15 Year to date FY16 Year to date progress: progress*: Core Benchmarks Contract 345 Percent 5 Contract 188 Percent Course Enrollment % % 49 Course Completion % 85 57% 49 Job Placement (within 90 days) 54 32% 44 30% 22 *Grantees in process of recruiting FY 2016 and 2017* Opportunity Partnership Training Program by Industry Industry # of Contracts # of Employer- # of Trainees Partners Advanced Manufacturing Bio-Science Construction Finance Health Care Retail Technology Transportation Totals *FY2017 Data incomplete FY17 Year to date progress*: Contract 546 Percent

6 Grants Open / in Progress FY 2016 Opportunity Partnership (OPG) Training Program FY2016 OPG Grantee Award Number Number Previous County Name Amount Trainees Employers Grant New Community Corp. $268, Y Essex ASI Career Institute $162, N Gloucester Hudson County Tech. $49, N Hudson Humane Concepts $223, N Union Mercer County Com. $35, N Mercer College Hudson County Tech. $58, N Hudson Totals $798, Grants Open / in Progress FY2017 Opportunity Partnership Grants (OPG) Training Program FY2017 Grantee Name Award Number Number Previous County Amount Trainees Employers Grant N Burlington Moe Shea Corporation $82, N Passaic William Paterson University $84, Academy of Training and Y Essex Employment $300, Rutgers, The State University $300, Y State wide Workforce Advantage $112, Y Union Samfeli Global, Inc. $299, N Middlesex Winsor, Inc. $299, N Union MCITC Training Center $271, N Cumberland TBD Totals $1,748, *Applications are accepted and reviewed monthly until May 2017 Library Partnership Grants 6

7 Grantee Award Amount Contracted to Serve Participants Served to Date Expected to Serve FY17-18 Camden County Library System $59, Elizabeth Public Library $91, Gloucester County Library $57, Kearny Public Library $34, Maplewood Memorial Library $72, Montclair Public Library $54, Newark Public Library $83, Passaic Public Library $64, Paterson Free Public Library $80, Somerset County Library System $99, Sparta Public Library $39, TOTAL $735, SWFBS Community College Grant Fiscal Year Funding Companies Served Employees Trained FY2016 $1,273,000 1,103 9,989 FY2017 $1,808, ,164 Displaced Worker Program Workforce Development Partnership (WDP) FY16 FY17 Opportunity Partnership Grants* Individual Training for Displaced Workers (WDP-ITG) (Contracts) (YTD** Receive Training) Avg. Cost per Participant Served YTD*** Projection (Contracts) (YTD** Projection Receive Training) Avg. Cost per Participant Served $3, TBD TBD *The revised WDP-ITG fund effective in FY13, was deployed as Opportunity4Jersey; in FY15 rebranded as Opportunity Partnership Grants. **FY16 and FY17 displaced worker recruitments are still in progress. ***FY17 numbers projected based on OPG applications to be reviewed in May of FY17. Note: FY18 Notice of Grant Opportunity Date TBD Question: Please indicate for the federally funded Work First New Jersey programs, how much funding was received in FY 2016 and is estimated to be received for FY 2017 and FY Please indicate the amounts of WFNJ funding distributed to local partners, specifying which local partners received the funding. What level of funding was retained by the State for administrative or separate programming costs? Response: See Schedule The New Jersey Workforce Development Partnership (WDP) program was created pursuant to P.L.1992, c.43 (N.J.S.A.34:15D-1 et seq.) to provide qualified displaced, disadvantaged and employed workers with the employment and training services most likely to enable the individual to obtain employment providing self-sufficiency and also to provide the greatest opportunity for long-range career advancement with high levels of productivity and earning power. To help implement that purpose, the law established the Workforce Development 7

8 Partnership Fund (WDPF) to provide training grants to disadvantaged and displaced workers and to employers offering training opportunities to their employees. The WDPF is funded by a dedicated assessment on workers and their employers. Workers are assessed percent on wages subject to the unemployment insurance (UI) tax, which in CY 2017 is the first $33,500 of wages earned by a worker. Employers are assessed based upon their employees wages subject to the UI tax. WDPF moneys are statutorily allocated as follows: Customized Training, 42 percent; Employment and Training Services for Dislocated Workers, 25 percent; administration, 10 percent; Employment and Training Services for Disadvantaged Workers, 6 percent; individual programs approved by the commissioner, 5.5 percent; Youth Transitions to Work Program, 5 percent; Occupational Safety and Health Training, 3 percent; New Jersey Innovation and Research Fellowship Program, 3 percent; and annual evaluation of the WDP program by the State Employment Training Commission (SETC), 0.5 percent. Section 3 of P.L.2015, c.235 (N.J.S.A.34:15D-26) established the New Jersey Innovation and Research Fellowship Program. This program is an effort of the department, in consultation with the New Jersey Economic Development Authority, to use WDPF moneys to fund no less than 20 fellowships focusing on information technology research and innovation. The Governor s FY 2018 Budget Recommendation transfers a total of $93.6 million of WDPF balances to other purposes in FY 2018, including language provisions transferring: $1.9 million to the New Jersey Youth Corps (page D-238); $64.7 million total to the Work First New Jersey programs (pages D-238 and D-214); and $19.0 million to Vocational Rehabilitation Services (page D-238). The amounts to be transferred out of the WDPF are identical to the FY 2017 amounts, except that the amount to be transferred to Vocational Rehabilitation Services is $5.0 million less. In addition, budget language proposed to be continued in the Governor s FY 2018 Budget Recommendation provides that WDPF resources are to be appropriated for any sum as may be necessary to allow for the matching of federal funds for Vocational Rehabilitation Services (page D-239). The Administration estimates that the employee and employer assessment revenues and investment earnings would generate approximately $121.6 million in the WDPF in FY 2018, while transfers to other funds would total approximately $93.6 million, or 77 percent of the fund s anticipated revenue. Furthermore, $35.8 million is estimated to be spent on WDPF statutory expenditures, while $36.5 million is estimated to be carried over from FY The anticipated year-end fund balance in FY 2018 is approximately $28.7 million (Page 96 of the Supplementary Information section in the FY 2018 Governor s Budget, available online). Question: For FY 2016, please provide the following actual funding data for each component of the WDP program (customized training, dislocated worker training, disadvantaged worker training, youth training, occupational safety and health training, program administration, New Jersey Innovation and Research Fellowship Program, annual evaluation by SETC, and transfers to programs other than WDP) and provide estimates of the same information for FY 2017 and FY Please include: Response: See Schedule 3 for points 1 through 4 below. 1) The amount required to be deposited in the accounts for each allocation, and the amount actually spent; 8

9 2) The amount transferred out of the fund for each purpose not indicated in the WDP law (such as the Work First New Jersey program, the New Jersey Youth Corps program, and Vocational Rehabilitation Services); 3) The balance at the end of the year; and 4) The amount encumbered as a reserve for future payments of multi-year grants for each WDP program component. Question: Please describe the matching formula for federal Vocational Rehabilitation funds. What are the WDPF amounts used or anticipated to be used to match federal funds for Vocational Rehabilitation Services in FY 2016, FY 2017, and FY 2018? Response: The Federal share for expenditures made by the State under the State plan, including expenditures for the provision of vocational rehabilitation services and the administration of the state plan, is 78.7%. WDPF amounts expended on eligible client services used to match federal funds for Vocational Rehabilitation Services in FY 2016 were $4,128,978 and projected to be in FY 2017: $1,000,000 and FY 2018: $1,000,000. Question: Please provide the findings of the SETC s latest evaluation of the WDP program. How does the department utilize this information? Response: The full evaluation report can be found at: The Department is taking a variety of steps to build on the strong foundation of services in the One-Stop Career Centers and to use the information gathered through the evaluation to strengthen services. The Department outlined these efforts in a presentation to the SETC. A summary of these efforts can be found at: Question: Please provide an update on the work of the New Jersey Innovation and Research Fellowship Program. How many fellowships have been funded since inception? Please provide: the fellowship recipients names, the amounts awarded, and a description of how the funds were used. Response: The new law (N.J.A.C. 12:23-14) states that the Department, in consultation with the New Jersey Economic Development Authority, shall promulgate rules and regulations providing for the establishment, administration and evaluation of the New Jersey Innovation and Research Fellowship Program. The Department already has proposed those rules and anticipates the publication of a Notice of Adoption for final rules in June Upon publication of the Notice of Adoption, the new rules will become effective and the Department will begin the award process. 4. The Supplemental Workforce Fund for Basic Skills (SWFBS) was created pursuant to P.L.2001, c.152 (N.J.S.A.34:15D-21 et seq.) to provide basic skills training to the workforce. 9

10 The SWFBS is funded from a portion of employer and employee tax contributions. Workers are taxed percent on wages subject to the unemployment insurance (UI) tax, which in CY 2017 is the first $33,500 of wages earned by a worker. Employers are assessed based upon their employees wages subject to the UI tax. The funds collected are statutorily allocated in the following manner: 24 percent to support basic skills training delivered at the State s One-Stop Career Centers; 28 percent to fund basic skills training grants provided by local Workforce Investment Boards; 25 percent to Customized Training to fund grants to consortia of labor, business, and community groups providing basic skills training; 13 percent to fund a grant to the New Jersey Community College Consortium for Workforce and Economic Development to provide basic skills training; and 10 percent for administrative costs and other purposes at the discretion of the commissioner. The FY 2018 Budget Recommendation includes two language provisions appropriating a total of $21.0 million of the SWFBS s revenue to non-statutory purposes: $2.2 million to the New Jersey Youth Corps (page D-238) and $18.8 million to county colleges for remedial courses (page D-380). These amounts equal FY 2017 appropriations The Administration estimates that employee and employer assessment revenues and investment earnings would generate $33.2 million in the SWFBS in FY 2018, with expenditures, including the $21.0 million appropriated through budget language, totaling $30.5 million. Furthermore, $2.0 million is estimated to be transferred to other funds. The year-end fund balance would grow from $13.6 million in FY 2017 to $14.4 million in FY 2018 (Page 106 of the Supplementary Information section in the FY 2018 Governor s Budget, available online). Question: Please list by category how the funds from the SWFBS were utilized in FY 2016 and are estimated to be used in FY 2017 and FY Response: See Schedule 4. Question: Please detail any new programs that have been funded in FY 2017 and will be funded in FY 2018 from the SWFBS moneys. Response: In FY 2017, the Department continued the implementation of the Adult Literacy & Community Library Partnership Pilot Program. This program provided grants to local libraries to improve access and instructional opportunities for New Jersey residents to increase their Adult Basic Education and/or English Language proficiency skills. The Department will continue this program in FY In FY 2017, the Department also continued the implementation of the Skills Enhancement Centers to provide literacy services to able-bodied adults without dependents who are receiving SNAP benefits. This program will also continue in FY The federal Workforce Innovation and Opportunity Act (WIOA), Pub.L , which was enacted in 2014, is meant to modernize and improve federal workforce development programs. The final regulations implementing WIOA became effective in September and October of The United States Office of Management and Budget s America First FY 2018 budget blueprint proposes an unspecified reduction in WIOA funds. WIOA requires states to produce a single, unified or combined State Plan covering all core workforce development programs. The state plans are designed to improve service delivery and access to the workforce system for job seekers and employers. The State s plan, which was drafted by the department, in partnership with the State Employment and Training Commission 10

11 (SETC), was approved by the United States Department of Labor (USDOL) on October 21, New Jersey s Combined State Plan may be found on the SETC website at: WIOA provides federal funding for training to help unemployed and underemployed workers qualify for better jobs. It also supports a network of American Job Centers, known as One-Stop Career Centers (OSCCs), where job seekers can find information on job openings, training, and career openings. WIOA requires state boards, which in New Jersey is the SETC, to establish criteria for use by local boards to assess the effectiveness, physical and programmatic accessibility, and continuous improvement of OSCCs at least every three years. In addition, WIOA creates a single set of common performance measures for adults across all core programs authorized under the law, including both occupational training and adult education programs, and a similar set of common performance measures across all youth serving programs authorized under the law. Adult measures include: unsubsidized employment; median earnings; receipt of a secondary diploma or recognized postsecondary credential; measurable skills gains toward a credential or employment; and employer engagement. Under WIOA, the department is required to develop performance report templates for use by the State, local areas, and eligible providers. WIOA also requires that at least 75 percent of available local area funding under the youth component of WIOA be spent on workforce investment for out-of-school youth. This includes those who have dropped out of high school, individuals subject to the juvenile or adult justice systems, homeless youth, runaways, current and former foster care or out-of-home placement youth, and pregnant or parenting youth. The age range for out-of-school youth eligibility under WIOA is 16 to 24. In-school youth eligibility includes low-income individuals ages 14 to 21 who are English language learners and those who have a disability. According to the Governor s FY 2018 Budget Recommendation, the department anticipates approximately $126.7 million in federal WIOA funds in FY 2018 (page C-20). The majority of the money is to be distributed to local Workforce Investment Boards (WIBs) through a federal funding formula. Additionally, the State may apply for discretionary federal grants for Statewide programs. Question: Please indicate the funding levels allocated for WIOA dislocated worker training, WIOA adult training, and WIOA youth training for FY 2016, and estimated for FY 2017 and FY Please detail the uses of these funds, including the names of local funding recipients (i.e., local WIBs or other entities) and any funds retained by the State for administrative or separate programming costs. Response: See Schedules 5-1 and 5-2. Question: Has the department applied for or received any discretionary federal WIOA grant moneys in FY 2016 or FY 2017? Does the department anticipate applying for any discretionary federal WIOA grants for FY 2018? If so, please provide information on these grant applications, including budget and program proposals. Response: FY 2016: Disconnected Youth Demonstration Project (Camden): $1,994,350 FY 2016: Apprenticeship USA State Accelerator Grant: $200,

12 FY 2017: Reemployment & System Integration Dislocated Worker Grant: $1,100,000 Question: Please report any feedback the department received from the USDOL in regard to the Combined State Plan. Response: The NJ Combined State Plan for Workforce Development 2016 was submitted to the federal government on April 1, The U.S. Departments of Labor and Education provided feedback in a letter to Governor Christie on June 28, The letter indicated that the Departments are encouraged by the progress that New Jersey has made to implement and operationalize WIOA. After making requested revisions, most of which involved clarification of existing language in the plan, the revised plan was approved by the U.S. Department of Labor and Education on October 20, Question: Please provide information on the SETC criteria used by the local boards to assess the OSCCs and how the evaluation of the OSCCs is performed. Currently, how many OSCCs have been evaluated and how many have successfully met the established criteria? Please describe the details of the non-compliance of any OSCC with established criteria. Response: The SETC approved the NJ Local OSCC Certification Process on September 20, The policy can be found here: New Jersey s One Stop Career Center certification process will take effect on July 1, Question: Please detail the common performance measures for adults and youth under WIOA and how the department intends to apply them to all core programs authorized under the law. Please provide an attachment of the department s performance report template. Has the department begun the use of the template? If not, when does the department plan on implementing the document? Response: The common performance measures for Adults and Youth under WIOA include the following: Adults and Dislocated Workers Employment Rate 2nd Quarter After Exit: The percentage of participants who are in unsubsidized employment during the second quarter after exit from the program (for title I Youth, the indicator is the percentage of participants in education or training activities, or in unsubsidized employment during the second quarter after exit); Employment Rate 4th Quarter After Exit: The percentage of participants who are in unsubsidized employment during the fourth quarter after exit from the program (for title I Youth, the indicator is the percentage of participants in education or training activities, or in unsubsidized employment during the fourth quarter after exit); Median Earnings 2nd Quarter After Exit: The median earnings of participants who are in unsubsidized employment during the second quarter after exit from the program; 12

13 Credential Attainment: The percentage of those participants enrolled in an education or training program (excluding those in on-the-job training (OJT) and customized training) who attain a recognized postsecondary credential or a secondary school diploma, or its recognized equivalent, during participation in or within one year after exit from the program. Measurable Skill Gains: The percentage of program participants who, during a program year, are in an education or training program that leads to a recognized postsecondary credential or employment and who are achieving measurable skill gains, defined as documented academic, technical, occupational, or other forms of progress, towards such a credential or employment. Youth Title I Youth Education and Employment Rate 2nd Quarter After Exit: The percentage of title I Youth program participants who are in education or training activities, or in unsubsidized employment, during the second quarter after exit from the program. Title I Youth Education and Employment Rate Fourth Quarter After Exit: The percentage of program participants who are in education or training activities, or in unsubsidized employment, during the fourth quarter after exit from the program. Credential Attainment: The percentage of those participants enrolled in an education or training program (excluding those in OJT and customized training) who attained a recognized postsecondary credential or a secondary school diploma, or its recognized equivalent, during participation in or within one year after exit from the program. Also, the following measure is applied to all three programs beginning in the next program year: Effectiveness in Serving Employers: The federal Departments of Labor and Education are piloting three approaches designed to gauge three critical workforce needs of the business community. Approach 1 Retention with the same employer addresses the programs efforts to provide employers with skilled workers; Approach 2 Repeat Business Customers addresses the programs efforts to provide quality engagement and services to employers and sectors and establish productive relationships with employers and sectors over extended periods of time; and Approach 3 Employer Penetration Rate addresses the programs efforts to provide quality engagement and services to all employers and sectors within a State and local economy. These indicators of performance will be used to measure how efficiently the workforce system is placing customers into employment that leads to self-sufficiency and the impact that the system has on the State economy. LWD will also use the Credential Attainment indicators in conjunction with other efforts such as the Industry-Valued Credential List. Together, these will be used to ensure that the State is meeting its goal of increasing the number of citizens who have industry-recognized credentials that will lead them to a meaningful career. The State will also use the Employer centered indicator as to gauge how well the workforce system is engaging the employer community and meeting their needs. All together, the indicators will serve as a dashboard that will be used to inform policy-making, so that the State and localities have solid data upon which to base their decisions and make changes in policy when necessary. There are two performance report templates developed by USDOL for WIOA: the ETA is a quarterly report and the ETA-9169 is an annual report. The Department has already implemented the use of the ETA-9173 when we submitted our first quarter 13

14 PY2016 WIOA Performance report for Title 1. When we receive guidance from USDOL, we will implement the ETA Question: Please outline the department s efforts to comply with the youth funding requirements under WIOA. For each of the three fiscal years prior to the implementation of WIOA, please provide the amount of youth funding and the percentage of that funding spent on workforce investment for out-of-school and inschool youth. Response: The Department, in close partnership and collaboration with the State Employment and Training Commission, provides technical assistance, guidance and monitoring to local Workforce Development Boards in the support of the development and implementation of programs for out-of-school youth. See Schedule 5-3. Question: How would a reduction in WIOA funds impact the State s workforce development system and the clients it serves? What plan, if any, does the department have to maintain services through the use of State funds? Response: The impact of federal funding changes cannot be calculated until a federal budget is enacted. 6. One-Stop Career Centers (OSCCs) are designed to provide a full range of assistance to job seekers under one roof. The centers offer consumers the ability to access unemployment insurance (UI) staff (federally funded), employment services (State and federal funding), and other social service programs. Customers can visit a center in person or connect to the center's information through a computer or remote access kiosk. Many of the workforce development training programs in the State are accessed and managed through OSCCs located in all 21 counties and are funded through a variety of State and federal sources; such as the Workforce Innovation and Opportunity Act (WIOA), Workforce Development Partnership Fund (WDPF), and public assistance (federal Temporary Assistance for Needy Families, or TANF, program; the State General Assistance, or GA, program; and the federal Supplemental Nutrition Assistance Program, or SNAP). These services are co-located at OSCCs. The One-Stop Operator hired with the consent of the local Workforce Development Board is empowered to convene and coordinate the funding partners. Each OSCC is unique in the services it offers and its funding sources. In May 2016, the John J. Heldrich Center for Workforce Development at Rutgers, The State University of New Jersey released an independent evaluation of the OSCCs. The evaluation report findings can be grouped into seven areas: 1) ensuring the OSCCs are responsive to the diverse needs of communities across the State, while ensuring high-quality services are available across the State; 2) enhancing and expanding the successful New Jersey Jobs Clubs, which provide tools and support to jobseekers; 3) streamlining the training approval process; 4) improving customer service; 5) using technology to improve services to jobseekers; 6) integrating sector strategy approaches implemented through the department s Talent Network in the OSCCs; and 7) ensuring proper allocation of staff and the coordination and integration of services. 14

15 Question: Please provide the amount of funding each OSCC location receives through both State and federal sources; such as funding associated with UI, WIOA, WDPF, and public assistance (TANF/GA/SNAP). Response: See Schedules 2-2 and 5-1. Question: Please explain how the department is implementing the recommendations included in the Heldrich Center s evaluation report. What funding does the department intend to use to further the implementation? Response: See response to question 3.3. The Department is using existing funding from the Workforce Innovation and Opportunity Act to support on-going continuous improvement efforts in the One-Stop Career Centers. 7a. Over the past four years, the department has supported the establishment of Talent Networks, which aim to develop the workforce in seven key industries. These networks, led by colleges, universities, and business organizations with knowledge and expertise in their specific industries, have built partnerships with employers, educational institutions, and workforce organizations while providing assistance to students and jobseekers. The seven talent networks and their associated lead organizations include: transportation, logistics and distribution led by the New Jersey Institute of Technology and Essex County College; life science led by BioNJ; advanced manufacturing led by the New Jersey Institute of Technology; financial services led by the African-American Chamber of Commerce; health care led by Rutgers, The State University of New Jersey; technology and entrepreneurship led by the New Jersey Institute of Technology; and retail, hospitality and tourism led by Stockton University in South Jersey and Farleigh Dickenson University in North Jersey. Since the implementation of the federal Workforce Innovation and Opportunity Act, which emphasizes creating a workforce system that is responsive to the needs of employers, Talent Networks have shifted from a focus on the workforce generally to a concentration on highquality employer-driven partnerships composed of employers, local workforce boards, educational institutions, and other stakeholders known as Targeted Industry Partnerships (TIPs). Using TIPs to understand common skill gaps, workforce needs, and the industrial credentials that are in demand, Talent Networks seek to assist students and job-seekers in finding long-term jobs and boost the economy. According to the department, a minimum of $5.0 million is being dedicated to support the implementation of workforce investment ideas developed by the TIPS. The Talent Networks also develop industry intelligence to inform workforce investments by working closely with the department and hosting industry summits. According to a FY 2017 Discussion Point response, each Talent Network will produce an annual industry report with quantitative data and feedback from employers. In FY 2015, the department expended $2.5 million on Talent Networks. Question: How much did the department expend in FY 2016 and how much does it estimate spending in FY 2017 and FY 2018 on Talent Networks, by industry and funding source? How is the funding amount determined for each Talent Network? Response: See chart below 15

16 TALENT NETWORK FY 2016 FY 2017 Estimated FY 2018 Proposed Advanced Manufacturing $300,000 $300,000 $300,000 Financial Services $250,000 $250,000 $275,000 Health Care $250,000 $250,000 $275,000 Life Sciences $250,000 $250,000 $275,000 Technology & Entrepreneurship $150,000 $150,000 $200,000 Transportation, Logistics & Distribution $300,000 $300,000 $275,000 Retail, Hospitality & Tourism (North) $250,000 $250,000 $275,000 Retail, Hospitality & Tourism (South) $250,000 $250,000 $275,000 ** Proposed for 2018 FEDERAL WIOA FUNDS $1,600,000 $1,600,000 $1,720,000 STATE WDP $400,000 $400,000 $430,000 TOTAL $2,000,000 $2,000,000 $2,150,000 Question: Please detail how each lead organization utilizes the funds provided by the department to fulfill the goals of the Talent Network, itemizing the funds used for administrative and programming expenses. Response: See chart below. Talent Network Advanced Manufacturing Financial Services Lead Agency New Jersey Institute of Technology African American Chamber of Commerce of New Jersey Administrative Expenses Programming Expenses Grant Total $227, $72, $300, $217, $32, $250, Health Care Rutgers, The State University $243, $6, $250, Life Sciences Retail, Hospitality & Tourism North BioNJ Fairleigh Dickinson University $220, $30, $250, $238, $11, $250, Retail, Stockton $227, $22, $250,

17 Hospitality & Tourism South Technology Transportation, Logistics & Distribution University New Jersey Institute of Technology New Jersey Institute of Technology $96, $53, $150, $248, $51, $300, Question: Please detail the performance metrics used by the department to assess each individual network. Response: Each Talent Network is expected to complete the following tasks. Task 1. - Serve as a key source of intelligence about the workforce needs of the industry. - Provide feedback to LWD in the identification of industry-valued credentials upon request. - Provide feedback to LWD in the development of career awareness materials upon request. - Convene roundtable discussions with employers and report findings to LWD labor market analysts and staff bi-monthly. - Host an annual, one-day industry workforce summit to bring together education, workforce and employers to identify opportunities for partnerships to highlight high-quality partnerships. - Maintain a website and a presence on social media (with a focus on LinkedIn) to disseminate industry intelligence and labor market information to job seekers, students, employers and education and workforce stakeholders. Task 2. - Build high-quality employer-driven partnerships between employers, educational institutions and workforce organizations in three regions of the state. - Facilitate the development of high-quality, employer-driven partnerships in three regions of the state each year. - Identify three regions of the state based on labor market information and industry intelligence to be the subject of partnership development efforts. - Engage with employers and industry associations in each region to identify overarching short, medium and long term workforce needs and to identify key workforce and skill shortages. - Engage with key education and workforce providers / stakeholders in the region including high schools, community colleges, four year colleges and universities, training providers, Workforce Development Boards and community and faith-based organizations to identify the capacity of local partners to meet industry workforce needs. - Form partnerships that are employer-driven (involving multiple employers and industry associations) and that include at least three key education and workforce providers / stakeholders including high schools, community colleges, four year colleges and universities, training providers, Workforce Development Boards and community and faith-based organizations. - Facilitate the development of a Targeted Industry Partnership Plan for each region with input from employer and education and workforce stakeholders. 17

18 Questions: How many jobs seekers has each network served and what percentage of those individuals has achieved employment? Please identify the composition of the TIPs for each network. Response: The Workforce Innovation and Opportunity Act has placed increased emphasis on creating a workforce system that is responsive to the needs of employers. The Talent Networks address these needs, challenges and opportunities by developing high-quality, employer-driven partnerships and career pathways and collecting and providing industry intelligence to inform workforce investments. The Talent Networks work with employers, local workforce boards, educational institutions and other stakeholders to develop Targeted Industry Partnerships in specific geographic areas of the state. The Talent Networks engage employers and identify industry workforce needs, assemble stakeholders to assess capacity and facilitate the development of a workforce plan for each Targeted Industry Partnership in each area. Question: How much did the department expend in FY 2016 and how much does it estimate spending in FY 2017 and FY 2018 on the implementation of ideas developed by the TIPs, and what is the source of the funding? Please identify the nature of the programs, and the associated industry and Talent Network, utilizing these funds in FY 2016 and thus far in FY Response: The Talent Networks, based on extensive employer involvement, have developed a total of 40 proposed employer-driven partnerships. The Department is currently reviewing these proposed partnerships and will be making decisions regarding funding and implementation. Question: What is the status of each Talent Network s annual industry report? Where can the reports be accessed? Response: The annual industry reports developed by each Talent Network were assimilated into the industry reports produced by the department s Office of Research and Information. Reports for each industry represented by the Talent Networks can be accessed at this link: 7b. The department announced in April of 2016 the establishment of three Talent Development Centers to promote partnerships between key industries and the State s colleges and universities. The Centers will provide workforce training and skills development focused on a key industry in New Jersey: advanced manufacturing at Camden County College; health care at Rutgers, The State University of New Jersey; and transportation, logistics, and distribution at Union County College. According to the department, the Talent Development Centers will each receive $900,000 in State funds to provide workforce development training programs in their respective industries. Question: What qualifications was each Talent Development Center required to meet? Was there a competitive application process and, if so, how many applications did the department receive? 18

19 Response: Non-profit, post-secondary educational institutions in New Jersey were eligible entities to apply for this opportunity. Applicants had to demonstrate subject matter expertise in the selected industry-sector and had to demonstrate the ability to connect with New Jersey employers, industry associations, Talent Network(s), and other educational institutions to achieve the goal of providing needed industry specific training to a statewide audience of job seekers and employers and their employees. Applicants needed to demonstrate extensive experience in providing education and training in the target industry. Notice of Grant Opportunity was announced on September 25 th, 2015 for FY The department received a total of six applications from post-secondary educational institutions. Question: Please expand upon the difference between the Talent Networks and the Talent Development Centers. Also, please explain how funds provided to Rutgers, the State University of New Jersey, are differentiated for the purposes of the healthcare talent network and the healthcare talent development center. Response: Talent Networks serve as a key source of intelligence about the workforce needs of the industry and build high-quality employer-driven partnerships between employers, educational institutions and workforce organizations in three regions of the state. The primary mission of each Talent Development Center (TDC) is to provide training to individuals (dislocated workers and currently employed/incumbent workers). Each designated TDC serve as a Center for Excellence for training and skill development within a specific industry. Rutgers, the State University of New Jersey, serves as the Health Care Talent Network and is providing intelligence about the workforce needs of the health care industry and is developing new high-quality employer-driven partnerships between employers, educational institutions and workforce organizations in three regions of the state. Rutgers, the State University of New Jersey, also serves as the Health Care Talent Development Center and is providing training to dislocated and incumbent workers. Question: How much did the department expend in FY 2016 and how much does it estimate spending in FY 2017 and FY 2018 on Talent Development Centers, by center and funding source? Response: The FY 2016 through 2018 Talent Development Centers are funded by the Workforce Development Partnership Fund. Talent Development Centers FY 16 FY 17 FY 18 Contract Period 6/1/16-5/31/17 7/1/17-6/30/18 Advanced Manufacturing $ 900,000 $ - $ 1,100,000 Transportation, Logistics and Distributio $ 900,000 $ - $ 1,100,000 Health Care $ 900,000 $ - $ 1,100,000 Retail, Hospitality and Transportation $ - $ - $ 1,100,000 Construction and Utilities $ - $ - $ 1,100,000 19