Department of Employment, Training and Rehabilitation EMPLOYMENT SECURITY DIVISION AND DETR ADMINSTRIATION BUDGET REQUEST
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1 State of Nevada Department of Employment, Training and Rehabilitation EMPLOYMENT SECURITY DIVISION AND DETR ADMINSTRIATION BUDGET REQUEST DON SODERBERG Director, DETR Dennis Perea, Deputy Director, DETR RENÉE OLSON Administrator, ESD March 21, 2017
2 STRATEGIC PLAN 2 VISION MISSION CREATING SUCCESS FOR NEVADANS AND BUSINESSES EMPOWER A VIBRANT LABOR MARKET IN NEVADA BY CREATING BUSINESS AND WORKER CONNECTIONS WITH HIGH-QUALITY DEMAND DRIVEN SERVICES CUSTOMERS ALL EXISTING AND PROSPECTIVE WORKERS & BUSINESSES STATE AND FEDERAL LAWS: NRS 612, Social Security Act, Wagner-Peyser Act, Workforce Innovation and Opportunity Act, Federal Unemployment Tax Act, Temporary Extended Unemployment Compensation Act, Reed Act, Disaster Relief Act, Emergency Unemployment Compensation Act, Trade Act, Unemployment Compensation for Federal Employees Act, Cash Management Improvement Act, Personal Responsibility and Work Opportunity Reconciliation Act, SUTA Dumping Prevention Act, Middle Class Tax Relief and Job Creation Act
3 MAJOR ACTIVITIES 3 WORKFORCE DEVELOPMENT (WD) A combination of services, community supports, job training and education that positions an individual for success in the workforce. Business engagement activities connect business to a qualified workforce and develop employment opportunities for individuals in the workforce. UNEMPLOYMENT INSURANCE (UI) Temporary wage replacement for workers who are unemployed through no fault of their own.
4 WORKFORCE DEVELOPMENT MAJOR CHANGES/NEW PROGRAMS Create new Budget Account for UI 4772 Change name of Employment Security b/a 4770 to Workforce Development New Statewide Case Management and Data Analytics System Transition from intermittent to permanent staff 6 VETS/18 RESEA Eliminate 20 vacant permanent UI staff Move Adult Basic Education to ESD 4773 Move Commission on Post-Secondary Education to DETR/ESD
5 WORKFORCE DEVELOPMENT Workforce Innovation and Opportunity Act (WIOA) Employment Services - Labor Exchange Career Enhancement Program (CEP) Veterans Employment and Training Services (VETS) Re-employment Svc & Eligibility Assessment (RESEA) Reemployment & Eligibility Assessment NV (REA-NV) Trade Adjustment Act (TAA) Rapid Response Silver State Works Foreign Labor Certification Migrant Seasonal Farm Worker Work Opportunity Tax Credit Displaced Homemaker Adult Basic Education (if approved) Commission on Post-Secondary Education (if approved)
6 WORKFORCE DEVELOPMENT Positions Base New Eliminated Transferred-in Transferred-out Total Positions in 4770 Changes 437 FTE 28 FTE -20 FTE 1 FTE -251 FTE 195 FTE Federal Funding $88,480,224 Career Enhancement Program Funding $26,103,616 Other Funding $12,920,296 Total Operating Budget $127,504,136
7 WORKFORCE DEVELOPMENT Decision Units E 234 Replaces 6 intermittent with 6 permanent DVOP staff E 235 E 238 E 904 E 805 E 817 Replaces 18 intermittent with 18 permanent RESEA staff Requests 1 new Workforce Service Representative for the Sparks Day Labor Office Transfers 1 Program Officer from Research and Analysis B/A 3273 to Workforce Development for SAWS support E 504 Funds this request with WIOA funding Requests to change Deputy Administrator of Workforce Development from classified to unclassified service Requests to reduce the salary of the Administrator of the Employment Security Division $39,315 $53,452 $79,957 $82,522 $380 WD $380 U I $760 TOTAL $380 WD $380 U I $760 TOTAL -$6,454 -$6,450
8 WORKFORCE DEVELOPMENT Decision Units OWINN E 228 Creates the Director, Economist, Program Officer for the Office of Workforce Innovation for a New Nevada $369,395 $354,395 E 503 Provides WIOA funding for OWINN staff after transfer $371,422 $357,190 E 509 E 903 Provides WIOA funding for OWINN Administrative Assistant transferred from Research and Analysis Bureau b/a 3273 Transfers the OWINN staff created in E 228 to the Governor s Office b/a 1004 $54,976 $54,662 -$369,083 -$354,095
9 WORKFORCE DEVELOPMENT Decision Units Unemployment Insurance (UI) E-901 Transfers the entire UI program into a separate budget account within the Employment Security Division called Unemployment Insurance $30,909,054 -$30,751,854 > 4770 Decision Units Associated with UI Activities/Programs moved with E 901 E 227 E 233 Requests funding for the New Hire Independent Verification and Validation study required every 4 years Requests authority to employ Contract Legal Services $122, $120,000 $120,000 E 490 Eliminates 20 vacant UI positions -$1,316,963 -$1,363,960 E 501 Funds collecting CEP taxes w/ CEP funding $2,176,880 $2,265,172 E 805 Requests to change Deputy Administrator of UI from classified to unclassified service $380 $380
10 WORKFORCE DEVELOPMENT Decision Units Replacement Equipment E 710 E 711 E 712 Replaces PC equipment according to the 5-yr standard replacement schedule, printers, fax machines, and staff & customer chairs Replaces 1 agency-owned vehicle for Southern UI Field Audit Unit, and 2 Maryland Parkway Job Connect agency-owned vehicles that were over 8 years old or 100,000 miles with Fleet Services monthly rentals. Requests 1 Fleet Services vehicle for the Reno Business Services Office. Replaces unsupported inadequate telephone system at the Winnemucca Job Connect with new more functional phone system $211,505 WD $162,005 UI $373,511 Total $ 9,837 WD $ 3,279 UI $13,116 Total $151,996 WD $ 69,276 UI $221,272 Total $ 8,649 WD $ 2,883 UI $11,532 Total $26,072 WD -0-
11 SPECIAL FUND Penalties and Interest BASE Accept Credit Card Payments (Cat 04) $65,700 $65,700 BASE BASE Provide Funding for the UI program for staffing and associated operating costs (Cat 44) Provide Ongoing Programming and Maintenance Support for UINV (Cat 74) $1,436,347 $1,470,050 $700,000 $700,000 E 730 Agency-Owned Building Maintenance (Cat 07) $452,773 $417,773 Reserves by end of the year. $2,014,353 $1,234,882
12 UNEMPLOYMENT INSURANCE Benefits Process Claims Adjudicate / Determine Eligibility Benefit Payment Control / Integrity Contributions Unit UI Tax Collection Collect UI & CEP Taxes Collect Bond Assessment Tax Audit National Directory of New Hire Unemployment Insurance Support Services (UISS) Policy/Federal Guidance and UInv System Support Work Histories Child Support Intercept Appeals - level 1 appeal Board of Review level 2 appeal Benefit Accuracy and Measurement Legal Services
13 UNEMPLOYMENT INSURANCE Positions Base New Eliminated ( in E 490 in 4770) Transferred-in Transferred-out Total Positions in 4770 Changes 268 FTE 0 FTE -20 FTE 248 FTE 0 FTE 248 FTE Federal Funding $50,913,646 Cost Reimbursement $7,840,865 Other Funding (P&I) $2,906,397 Total Operating Budget $61,660,908
14 UNEMPLOYMENT INSURANCE Decision Units Unemployment Insurance (UI) E-901 Transfers the entire UI program into a separate budget account within the Employment Security Division called Unemployment Insurance 4772 $30,909,054 $30,751,854 > 4770 Decision Units Associated with UI Activities/Programs all moved with E 901 E 227 E 233 Requests funding for the New Hire Independent Verification and Validation study required every 4 years Requests authority to employ Contract Legal Services $122, $120,000 $120,000 E 490 Eliminates 20 vacant UI positions -$1,316,963 -$1,363,960 E 501 Funds collecting CEP taxes w/ CEP funding $2,176,880 $2,265,172 E 805 Requests to change Deputy Administrator of UI from classified to unclassified service $380 WD $380 U I $760 TOTAL $380 WD $380 U I $760 TOTAL
15 UNEMPLOYMENT INSURANCE Decision Units Unemployment Insurance (UI) Replacement Equipment > 4770 Decision Units Associated with UI Activities/Programs all moved with E 901 E 710 Replaces PC equipment according to the 5-yr standard replacement schedule, printers, fax machines, phone headsets, and staff chairs $211,505 WD $162,005 UI $373,511 Total $151,996 WD $ 69,276 UI $221,272 Total E 711 Replaces 1 agency-owned vehicle for Southern UI Field Audit Unit, and 2 Maryland Parkway Job Connect agency-owned vehicles that were over 8 years old or 100,000 miles with Fleet Services monthly rentals. Requests 1 Fleet Services vehicle for the Reno Business Services Office. $ 9,837 WD $ 3,279 UI $13,116 Total $ 8,649 WD $ 2,883 UI $11,532 Total
16 ADULT BASIC EDUCATION Federal Adult Basic Education ABE is one of the 6 core partners of the Workforce Innovation and Opportunity Act (WIOA) under Title II of the Act - Adult Education and Literacy Transferring this program to DETR/ESD creates a better alignment of WIOA partners to provide more opportunities to better coordinate services to clients and build partnerships. Decision Units E 802 Funding for ABE portion of DETR Indirect Costs $30,885 $31,632 E 903 Transfers Federal Adult Basic Education program under Title II of WIOA from Department of Education b/a 2680 to the Employment Security Division/DETR $5,999,568 $6,001,561 Pending amendment will add General fund authority for Category 14 Adult Literacy - State 2 staff Associated Operating, Travel, Training Expenses Sub-Grants to Education Providers (Cat 13 & 14)
17 ADMINISTRATIVE SERVICES AGENCY 908 To provide optimum service to external and internal customers through the effective allocation of the Administrative Services Division resources based upon responsibilities, priorities and need. 17 BA 3272: DETR Administration Administers the activities of: Director s Office; Audit and Quality Assurance; Public Information; Operations Management; Fiscal Management; Human Resources; and, The overall leadership, direction, logistical support, and evaluation for all of the department s federal and state programs for ongoing development of the workforce investment system.
18 ADMINISTRATIVE SERVICES AGENCY 908 continued 18 BA 3273: Research and Analysis Bureau Provides reliable and timely labor market and economic information and analyses. Partners with the U.S. Department of Labor for the collection, development and dissemination of a variety of information such as labor force, employment, occupational, economic, and demographic data and analyses important to policymakers, the business community and Nevada citizens.
19 ADMINISTRATIVE SERVICES AGENCY 908 continued 19 BA 3270: Nevada P20 Workforce Reporting Supports the automated system of accountability for Nevada per NRS , i.e., the State Longitudinal Data System (SLDS). Allows for the linkage of aggregate educational and workforce data. Links various data systems, automating the exchange of data and facilitating the assignment of unique IDs that will de-identify the data and enable DETR, the Nevada Department of Education and the Nevada System of Higher Education, and stakeholders (e.g., Executive office, Nevada Legislature, and Nevada policymakers) to augment their accesses, research and reporting capabilities. Will transfer to the Office of Workforce Innovation (OWINN), in the Office of the Governor (BDR 17A ).
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