Workforce Investment Act Bill Introduced in the House; President Bush Releases WIA Reauthorization Proposal

IMMIGRANTS & EMPLOYMENT

Workforce Development

Workforce Investment Act bill introduced in the House; President Bush releases WIA reauthorization proposal
Immigrants' Rights Update, Vol. 17, No. 2, April 8, 2003

Legislation to reauthorize the Workforce Investment Act (WIA) has been introduced in the House of Representatives. Authored by Rep. Howard "Buck" McKeon (R-CA), chairman of the House Subcommittee on 21st Century Competitiveness, the Workforce Reinvestment and Adult Education Act of 2003 (HR 1261) was introduced on Mar. 13, 2003, one week after President George W. Bush released an outline of his WIA reauthorization proposal.

While both proposals include some measures that would improve immigrants' access to WIA services, overall, they do not go far enough in improving the program to better serve immigrants. Specifically, the proposals to create Personal Reemployment Accounts (PRAs) and grant waiver authority to states would drastically limit the few services that immigrants and limited English-proficient (LEP) persons currently receive.

President Bush's Proposal. The Dept. of Labor issued the outline of the Bush administration's recommendations on Mar. 7, 2003. It included the following proposals to increase immigrants' access to services:

• Providing better access to training services. One-stop centers, which are the local agencies that provide WIA services, have taken a "work first" approach that emphasizes job placement over skills training. This approach has benefited individuals considered most employable, at the expense of those who require intensive skills training. As a result, most immigrants have not been able to enroll in intensive and training services, including programs that provide English classes and occupational skill training. The Bush proposal would allow individuals to receive services that are "most appropriate for their unique needs." The proposal specifically identifies programs that integrate ESL and occupational training as allowable training activities. The proposal also provides a separate funding stream for the one-stop infrastructure so money can be focused on "meeting the needs of businesses and workers."

• Reducing current barriers that have kept community-based organizations from participating in the WIA system. Providers who wish to receive WIA funds for training must meet a set of federal performance measures to remain on the "eligible provider list." The current performance measures have effectively excluded community-based organizations from participating in the program because of the onerous requirements. The Bush proposal would bring flexibility to the "eligible provider list" by allowing governors to set their own performance measures based on the unique situation of each state.

• Removing barriers to serving "most in need." The current performance system creates a disincentive to serve persons who are LEP because they generally need more intensive and longer periods of training than individuals who speak English. Although it offers no concrete recommendation, the Bush proposal recognizes the need to make changes to the current performance system.

The Bush proposal, however, also contains three key provisions that could make it much more difficult for immigrants and LEP persons to be served by the program. These proposals include the following:

• Block granting adult, dislocated worker, and employment services funding streams into one grant. Current separate funding streams recognize the different needs of job-seekers. The consolidation of the funding streams would potentially create competition for scarce resources among the different groups and ignore the unique needs of different job-seekers.

• Creating Personal Reemployment Accounts (PRAs). Under the PRA proposal, unemployed workers who are profiled as "likely to exhaust their benefits" would be eligible for PRAs of up to $3,000. The program would provide states with a total of $3.6 billion over two years. Funds could be used for job search expenses like child care, transportation, and job training, and would be available through the One-Stop Career Centers. While this proposal appears to make available new money for training and other services, $3.6 billion is inadequate to meet the expected demand for PRAs. According to a recent report from the Economic Policy Institute, if the 3.5 to 4 million workers who are expected to exhaust their unemployment insurance benefits this year apply for the program, each worker would receive a maximum of $458. (For a copy of the full report, see www.epinet.org/Issuebriefs/ib188.html.) In addition, workers who receive a PRA are barred from receiving one-stop center services for one year. Currently, workers in some states can receive services valued at as much as $1400. (For more detail on the Bush administration's PRA proposal, see www.doleta.gov/reemployment/Reemployment_index.cfm.)

• Granting new waiver authority to governors. Currently, governors are allowed to waive certain program rules under the WIA. The Bush proposal would broaden this authority, allowing governors to waive provisions in the law that protect against discrimination, as well as wage and labor standards. It would also give states the option to apply for a block grant of all WIA dollars, giving them complete discretion over how to administer the program.

Chairman Mckeon's Proposal (HR 1261). Chairman McKeon's bill, which is largely based on President Bush's proposal, includes the PRA proposal and the broadening of state waiver authority. Provisions in the McKeon bill that assist low-income immigrants include the following:

• Providing better access to training services. This provision is the same as the administration's proposal.

• Ensuring that adjusted performance measures take into consideration low levels of English proficiency. States are assessed on their effectiveness in delivering WIA services through a performance accountability system that allows for adjusted levels of performance. Adjusted levels of performance are currently negotiated between each governor and the U.S. Dept. of Labor, taking into account economic conditions and the characteristics of the population unique to each state. The McKeon bill defines those characteristics to include, among other indicators, levels of English proficiency.

• Creating incentives to serve "special populations." Under current law, bonus grants are awarded only to states that exceed their performance measures. The McKeon bill would also award grants based on the state's effectiveness in serving "special populations," including the level of services provided.

• Including "assisting immigrants who are not proficient in English" in the purpose of the Adult Basic Skills Education Act. Current law does not include this provision. o Including technical assistance to English language acquisition programs in state leadership activities. Leadership activities are funded through state grants to support education and literacy activities. Current law does not include English language acquisition programs as a leadership activity.

• Including "serving the LEP population" in the considerations that state agencies must make when distributing Adult Basic Education (ABE)/ESL funds. Current law requires states to ensure "direct and equitable access" in the distribution of ABE funding. However, in many states, community-based organizations are unable to compete against community colleges and larger institutions for these funds. The McKeon bill takes a step in the right direction by requiring states to consider the commitment of an agency to serve individuals who are LEP when awarding grants and contracts.

Outlook. The Subcommittee on 21st Century Competitiveness held a meeting to mark up HR 1261 on Mar. 20, 2003. At that session, the bill passed on a party-line vote. The bill heads to the full committee on Mar. 26, 2003, and is expected to reach the House floor by early April. Democrats are expected to offer a substitute bill in full committee. In the Senate, members of the Health, Education, Labor and Pensions (HELP) Committee will develop their own proposals for WIA reauthorization. These are likely to differ significantly from the House bill.

NILC has prepared an outline of immigrant priorities for WIA reauthorization, which can be viewed on NILC's Web site at: www.nilc.org/immsemplymnt/wrkfrc_dev/index.htm.