Senate Appropriations Committee Approves FY2013 Labor, Health and Human Services Appropriations Measure

Posted on: June 21st, 2012 by NADO Admin

On June 14, the Senate Appropriations Committee approved the FY2013 Labor, Health and Human Services, Education, and Related Agencies (Labor-HHS-Education) appropriations bill.  The bill provides close to level funding for most WIA programs, including Adult Employment and Training, Youth Training, Dislocated Worker Assistance, and the Workforce Innovation Fund.

The House Labor-HHS Appropriations Subcommittee, which has not yet introduced a draft bill, is expected to mark up its version next week, with full Appropriations Committee consideration possible the following week. The House Republican leadership has allocated nearly $9 billion less than the Senate for programs funded under FY2013 Labor-HHS-Education appropriations.

The following are a few highlights of the Senate FY2013 appropriations bill:

U.S. Department of Labor Programs

  • Employment and Training Administration (ETA): The bill provides $3.176 billion for the Training and Employment Services account, which funds most activities under WIA.  ETA programs are currently funded at $3.192 billion.
    • Grants to States: The bill includes $2.60 billion for grants to states, level with FY2012 funding. As proposed in the Administration’s budget request, the Committee retains bill language that allows local workforce boards to transfer up to 30 percent between the adult and dislocated worker assistance State grant programs, if such transfer is approved by the Governor. In addition, a local board may award a contract to an institution of higher education or other eligible training provider if the board determines that it would facilitate the training of multiple individuals in high-demand occupations, if such contract does not limit customer choice.
    • Adult Employment and Training: For adult employment and training activities, the bill includes $770.81 million, level with current funding.
    • Youth Training: For youth training programs, the bill includes $824.35 million, just slightly below the current funding level of $825.91 million.
    • Dislocated Worker Assistance: For dislocated worker assistance, the bill includes $1.008 billion, level with current funding.
    • Governor’s Reserve Fund:  The bill would modify current law regarding the amount of WIA State grant funding that may be set aside by Governors.  As requested by the Administration, the Committee continues bill language authorizing the Governor of a State to reserve not more than 5 percent of the funds allotted to a State through the WIA State grant programs for statewide workforce investment activities.  The percentage was lowered from 15 percent to 5 percent in FY2011, and then maintained at that level in FY2012. The Committee adds new bill language allowing Governors to reserve up to 10 percent of WIA State grant program funding if half of the total set-aside is used to support on-the-job and incumbent training to improve the skills of workers, avert layoffs, or lead to employment, and is delivered on a local or regional basis for in-demand occupations or industries.
    • YouthBuild:  The bill includes $79.68 million, level with current funding and the Administration’s request.
    • Workforce Innovation Fund: The bill includes $49.90 million, level with current funding for competitive awards for workforce innovation activities.
  • Job Corps:  The bill includes $1.673 billion for Job Corps, instead of $1.706 billion level in FY2012.
  • Community Service Employment for Older Americans (COESA):  The bill includes $488 million for CSEOA, basically level with current funding.

U.S. Department of Health and Human Services Programs

  • Head Start:  The bill includes $8.039 billion for Head start, $70 million above the current level.  In FY2012, HHS began implementing new regulations that will require Head Start grantees that do not meet certain performance standards to re-compete for funding.  This year, over $1.2 billion in grants will be re-competed.  The bill supports the implementation of the re-competitions as well as an increase for each grantee to help defray rising operational costs.
  • Low Income Home Energy Assistance Program (LIHEAP):  The bill includes $3.472 billion for LIHEAP, level with FY2012 funding.  The administration had proposed a decrease of $452 million.
  • Community Services Block Grant (CSBG):  The bill includes $677 million for CSBG, level with FY2012 funding.  The administration had proposed a cut of $327 million.
    • Community Economic Development:  The bill includes $29.94 million, level with FY2012 funding level and the administration’s request.
    • Rural Community Facilities:  The bill includes $5.98 million for the rural community facilities program, an increase of $1 million over current levels.  The administration had proposed to eliminate funding.
  • Social Services Block Grant:  The bill includes $1.7 billion, level with FY2012 funding and the slightly lower than the Administration’s request.
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