Thursday, March 24, 2011

WI Governor Walker's Biennial Budget Cuts To Eliminate Transitional Jobs Demonstration Project Affecting Hundreds Of Workers

Governor Scott Walker

Minimum wage earners to become jobless under Governor Walker's budget cuts.

By H. Nelson Goodson
March 24, 2011

Madison - In less than one year that former Governor Jim Doyle (D) announced a $34 million Transitional Jobs project to help thousands of people across the state gain skills and re-enter the workforce. The federal funded pilot program will be eliminated under the new proposed Governor Scott Walker's (R) Biennial Budget 2011-2013. "The bill also eliminates the transitional jobs demonstration project under which DCF (Department of Children and Families) provides wage subsidies to employers who employ eligible individuals." (See AB Bill 40, page 22 at link) http://bit.ly/f8rKR1
The pilot program is funded by the Recovery Act funding provided to the state’s Temporary Assistance for Needy Families (TANF) program. The program doesn't cost the state any money, but provides skills and a living wage for those workers who would otherwise end up homeless and can't collect unemployment insurance compensation to temperarily survive during hard times at no fault of their own.
The qualified workers under the program earn a state minimum wage of $7.25 per hour compared to none, if the Republican controlled legislature decides to approve the budget eliminating the program.
In July 2010 Doyle said, “The Transitional Jobs Project will help us work toward my number one priority this year – helping our businesses create jobs and giving our workers the opportunities to get those jobs. This innovative program will work closely with communities throughout the state to help workers gain important job skills to re-enter the workforce and find good, family-supporting jobs.”
Under Governor Walker, hundreds of Wisconsin workers experiencing hard times will lose their jobs, a source of income and the program will end once the budget is approved without amending it to keep the federally funded pilot program. If the funds are not used up by Wisconsin workers, the remainder of funds will have to be return to the feds.
The first year of the program ends next July and the program was designed to work for two years, ending the contracts for those non-profit organizations participating until July 2012. 
Doyle explained in 2010 that the transitional Jobs targeted Wisconsin residents who are not eligible for working family assistance through the state’s W-2 program, including fathers without custody of their children or young adults exiting the foster care system. The program focuses on building partnerships with local organizations to help individuals acquire new skills and work experience.
The Department of Children and Families began working closely with 17 local organizations to carry out the pilot project in 38 counties, with the possibility of future expansion throughout the state. The Transitional Jobs program builds on the success of similar programs throughout the nation, according to the press release.
The following recipients of Transitional Jobs Demonstration Project Grants in 2010 who received awards could be affected, if the program is eliminated under Walker's proposed budget cuts.
So far, the DCF hasn't officially notified the recipients that the pilot program will be eliminated, according to several recipients.
Governor Walker and DCF Secretary Eloise Anderson could not be reached for comment in regards to eliminating the program.

Goodwill Industries of Southeastern WI, Inc., Preliminary Award (PA): $5,975,700.

Policy Studies, Inc., PA: $3,104,800

Milwaukee Careers Cooperative, PA: $291,473

United Migrant Opportunity Services, PA: $4,530,720

Milwaukee Area Workforce Investment Board, PA: $7,847,350

Silver Spring Neighborhood Center, PA: $635,340

Step Industries, PA: $523,000

Racine County Human Services Department, PA: $568,680

Forward Service Corporation, PA: $593,490

Workforce Development Board of South Central WI, PA: $2,802,625

Community Action Inc., PA: $560,525

Workforce Connections, Inc., PA: $336,315

Workforce Resource, Inc., PA: $1,793,680

Sheboygan County Health and Human Services, PA: $329,190

WOW Workforce Development Board, PA: $1,345,260

Northwest WI Concentrated Employment Program, PA: $396,000

Indianhead Community Action Agency, PA: $730,850

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