Congress Considers Spending for Key Workforce Programs

On July 27, 2010, the Senate Appropriations Subcommittee with jurisdiction over funding for the U.S. Departments of Labor, Health and Human Services (HHS), and Education Subcommittee considered its FY 2011 spending bill. The full Senate Appropriations Committee is scheduled to consider the bill on Thursday, July 29. While full details are not yet available, sources assert that funding for the Workforce Investment Act’s (WIA) youth, adult, and dislocated worker funding streams would be increased.

Under the Subcommittee bill, WIA’s adult funding stream would receive $896 million, up from $861 million in FY 2010, with $35 million going to fund the President’s proposed Workforce Innovation Fund. The Youth funding stream would receive 995 million, compared to $924 million in FY 2010, and $95 million going to fund the Workforce Innovation Fund. The Dislocated Worker funding stream would receive $1.2 billion, up slightly compared to FY 2010, and with $55 million being used to fund the Workforce Innovation Fund. The Senior Community Service Employment Program would receive $600 million, a $225 million decrease compared to FY 2010.

On July 15, the House appropriations Subcommittee that has jurisdiction over funding for the U.S. Departments of Labor, Health and Human Services (HHS), and Education passed its FY 2011 appropriations bill. The House version also provides an increase for WIA, and also includes $250 million in FY 2011 for a youth summer jobs program.

Congress has also been working to pass a supplemental spending bill (H.R. 4899) that proposes to provide funding for the war and disaster response. Previous versions of the supplemental bill also included $1 billion for a youth summer jobs program; however, on July 22, the Senate passed its version of the bill without a number of domestic spending provisions, including funding for summer jobs. Today, the House voted to accept the Senate version. With the legislative calendar growing short and summer half over, it is unlikely that Congress will find a way to provide supplemental funding in FY 2010 for a youth summer jobs program; however, there is hope that funds will be available in FY 2011.

GII’s public policy team is closely monitoring these developments and will provide more details and analysis when it is available. For more information, contact Seth Turner, Director of Government Affairs and Public Policy at (240) 333-5508.