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F I S C A L I M P A C T R E P O R T

SPONSOR Taylor

ORIGINAL DATE

LAST UPDATED

1-30-06

HB

SHORT TITLE

EMPLOYMENT-RELATED EDUCATIONAL

GOALS

SJM 11

ANALYST Lucero

Relates to Appropriation in the General Appropriation Act

SOURCES OF INFORMATION

LFC Files

Responses Received From

Office of Workforce Training and Development(OWTD)

Developmental Disability Planning Council (DDPC)

SUMMARY

Synopsis of Bill

Senate Joint Memorial 11 identifies a need to have an educated workforce in order to move resi-

dents out of poverty. SJM11 identifies that a public school education does not always translate

to appropriate workplace skills. SJM11 also identifies that some public assistance clients need

specific training in employment-related skills in order to succeed and to remain employed.

Senate Joint Memorial 11 encourages the Office of Workforce Training and Development

(OWTD) to:

1.

Focus on providing appropriate workforce training for its clients.

2.

Expand the focus of training programs to include more emphasis on particular em-

ployment-related skills.

SJM11 requires OWTD to report to the welfare reform oversight committee on the employment-

related training programs in place throughout the state by October 2006.

A copy of this memorial is to be transmitted to the executive director of the office of workforce

training and development.

FISCAL IMPLICATIONS

This memorial would impact on the Office of Workforce Training & Development by requiring

OWTD to dedicate staff resources to carry out the reporting as requested in the memorial. Al-

though estimated to be relatively modest in scope, the work appears to be within allowability re-

quirements of the federal Workforce Investment Act. OWTD has no General Fund that can be

used to conduct research, prepare reports, and publish studies outside the scope of those allow-

Senate Joint Memorial Bill 11 – Page

2

able under WIA, nor is any General Fund for this type of work included in the current version of

the General Appropriation Act. For FY07, OWTD requested approximately $100.0 for staff to

conduct such studies.

SIGNIFICANT ISSUES

OWTD provided the following statements:

•

While OWTD does not have jurisdiction of training programs available under the

Public or Private Education System in this state, we are working through the Co-

ordination Oversight Committee, which includes Secretary Garcia and Secretary

Hyde.

•

The SJM does not impose such requirements on the public or private educational

systems or providers, not does it require any coordination with the OWTD.

•

The OWTD only has enrollment authority under the provisions of the federally—

funded Workforce Investment Act, which specifically requires its enrollees to be

assessed and enrolled into training programs determined to be occupations in em-

ployment demand. The WIA requires tracking of all participants and reporting to

the USDOL on a quarterly and annual basis, and further requires the OWTD and

its boards to meet/exceed USDOL negotiated performance measures or face sanc-

tions. Reporting WIA information to the WROC is not an issue.

•

The SJM does not provide any funding for the OWTD to coordinate the enroll-

ment or tracking of non-WIA students into the various educational institutions lo-

cated in this state.

•

The OWTD receives WIA funds to perform WIA-related activities. SJM does not

provide funding or resources for this additional work.

•

Currently, local boards and their providers are administering TANF programs in

the Central and Eastern areas. On July 1, 2006, the Northern and Central regions

will be added.

ADMINISTRATIVE IMPLICATIONS

As indicated, OWTD would need to dedicate staff to conduct the work and prepare the reports

called for under the memorial. In addition, OWTD would need to devote staff and management

time to ensure that training programs are expanded in focus to include more emphasis on particu-

lar employment related skills and follow through with Local Workforce Areas to achieve this

end. OWTD does not have an administrative general fund appropriation to provide non-federally

mandated services to the state.

TECHNICAL ISSUES

SJM 11 does not require OWTD and public or private educational systems to collaborate or co-

ordinate efforts.

SJM 11 does not require coordinated efforts with other departments such as Human Services De-

partment; Division of Vocational Rehabilitation, Public Education Department, Special Educa-

tion Department, Health Department, Long Term Services Division.

Senate Joint Memorial Bill 11 – Page

3

SJM 11 does not require facilitation of employment training for individuals with developmental

disabilities.

OTHER SUBSTANTIVE ISSUES

SJM 11 would like OWTD to be encouraged to focus on providing appropriate workforce train-

ing for its clients. NM Statute 50-14-1.1 (NMSA 1978) identified OWTD’s purpose as one

which coordinates and maximizes the effectiveness of workforce programs in New Mexico.

OWTD is not a provider of workforce training.

WHAT WILL BE THE CONSEQUENCES OF NOT ENACTING THIS BILL

Status quo.

DL/mt