Board of Directors Meeting

Transcription

1 Board of Directors Meeting May 21, 2014

2 Board of Directors Meeting Agenda MAY 21, :30 A.M. 12:30 P.M. ET CARIBE ROYALE 8101 WORLD CENTER DRIVE, ORLANDO, FL Chairman s Welcome & Remarks Dwayne Ingram Consent Agenda Approval of Minutes Tab 1 Direct Provider Designation Extension CareerSource Pinellas, Region 14 Tab 2 Regional Workforce Board Updates Florida Workforce Chairs Alliance (FWCA) Steven Parrish Florida Workforce Development Association (FWDA) Richard Williams Council Reports Strategic Policy Council Jennifer Grove Tab 3 Finance Council Alex Moseley Tab 4 Action Items Fiscal Year CareerSource Florida Network Funding Allocations Alex Moseley/Scott Fennell Tab 4 Approval of Contract under CareerSource Florida Contracting Policy Jay Barber Tab 5 o Gulf Power Company President s Report Chairman s Closing Remarks Chris Hart Dwayne Ingram UPCOMING MEETINGS Executive Committee Teleconference June 25, 2014 Executive Committee Teleconference July TBA Board of Directors/Council Teleconferences August 27-28, 2014 Joint Meeting - CareerSource Florida, Enterprise Florida, Florida Chamber of Commerce Future of Florida Forum September 29 October 1, 2014 Orlando

3 Consent Item 1 APPROVAL OF MINUTES CareerSource Florida Board of Directors Quarterly Meeting May 21, 2014 Action Item Approved Disapproved * * * * * * * * * * * In accordance with Article VII, Section 7.3, of the approved By-Laws, the Corporation is required to keep correct and complete books and records of account and shall keep minutes on the proceedings of the Board. Draft minutes for the February 20, 2014, Board of Directors meeting and the April 16, 2014, Executive Committee meeting have been prepared for approval by the Board. * * * * * * * * * * NEEDED ACTION To approve the draft minutes of the previous Board meetings to include any modifications or changes noted by the Board. Page 1 of 1

4 DRAFT MINUTES OF THE CAREERSOURCE FLORIDA BOARD OF DIRECTORS MEETING February 20, 2014 Call to Order/Chairman s Welcome & Remarks Board Chairman Dwayne Ingram called the meeting to order at 8:30 a.m. ET. At the Chairman s invitation, CareerSource Capital Region CEO Jim McShane led the board in the Pledge of Allegiance. Roll Call/Quorum Chairman Ingram requested a roll call. A quorum was present with the following board members in attendance: Mr. Dwayne Ingram, Chairman Ms. Jennifer Grove, Vice Chairman Dr. Brittany Birken Mr. Robert Bob Campbell Mr. Steve Capehart Sec. Charles Corley Dr. Duane De Freese Mr. Kevin Doyle Mr. Benedict Grzesik Chancellor Randy Hanna Ms. Elli Hurst Ms. Leslie Ingram Mr. Mike Carroll (for Interim Sec. Esther Jacobo) Mr. William Bill Johnson Dr. William Bill Law Dr. Ed H. Moore Mr. Alex Moseley Exec. Dir. Jesse Panuccio Ms. Linda Reiter Ms. Maria D. Rodriguez Mr. Ric Shriver Mr. Britt Sikes Dr. Linda Sparks Mr. Rod Duckworth (for Comm. Stewart) Mr. Al Stimac Ms. Christy Daly (for Sec. Wansley Walters) Board members not in attendance were Governor Rick Scott, Mr. Matthew Falconer, Mr. Rick Matthews, Sen. Bill Montford, Rep. Jeanette Nunez, Mr. Andy Perez, Rep. Keith Perry, Mr. Steven Sonenreich, Mr. Mike Tomas and Mr. Rodney Wickham. Chairman Ingram thanked board sponsors. He acknowledged the work of the Governor, Florida Legislature, board, staff and partners in the 18 months of effort involved in the transition to the new unified statewide brand, the CareerSource Florida network. He presented Brand Activation Awards to each region. Chairman Ingram discussed the new CareerSource Florida board governance model, mentioned upcoming meeting dates and outlined the meeting agenda. He provided a brief overview of the education panel discussion scheduled for later in the meeting. Regional Workforce Board Updates Florida Workforce Chairs Alliance (FWCA) Chairman Ingram introduced FWCA Chair Steven Parrish for brief remarks. Mr. Parrish noted the importance of legislative engagement at the local board level, and FWCA s intentions to offer more training opportunities to local board members. Draft Minutes of the 2/20/14 Board of Directors Meeting Page 1 of 5

5 Florida Workforce Development Association (FWDA) Chairman introduced Ms. Susan Nelms on behalf of FWDA President Richard Williams. Ms. Nelms recognized the many partners who assisted with the Workforce Academy in December. She noted there would be a new leader of the FWDA in the new fiscal year. She also provided an overview of the regional workforce boards new partnership with the Florida Department of Health to assist job seekers who wish to stop using tobacco products. Consent Agenda Chairman Ingram introduced the Consent Agenda. CONSENT ITEM 1 Approval of Minutes Motion: To approve the draft minutes of the previous board meetings to include any modifications or changes noted by the board. Additional information on this item is contained in the board meeting agenda packet. Chairman Ingram called for a motion for the consent item. Motion: Second: Dr. Ed H. Moore Duane De Freese The motion passed unanimously without discussion. Action Items Chairman Ingram introduced Program Director Jayne Burgess to provide an overview of the first action item, the annual approval of the Career & Professional Education (CAPE) Industry Certification List. Additional information on this item is contained in the board meeting agenda packet. Ms. Jennifer Grove asked how the proposed move to regional Target Occupation Lists would be implemented in the Career and Professional Education certification list. Ms. Burgess said legislation on the topic is under consideration, and the issue would be discussed after the legislative session concludes. Ms. Grove said she would like to be involved in that discussion. Ms. Grove also provided an overview of her recent attendance at a meeting of the Central Gulf Industrial Alliance. She said fellow attendees were impressed to learn about the progress Florida has made in providing opportunities for industry certifications at the middle and high school level, which she noted is an economic development tool for Florida. ACTION ITEM 1 Career & Professional Education (CAPE) Act Industry Certification List Motion: Approval of recommended additions to the Comprehensive Industry Certification List. Draft Minutes of the 2/20/14 Board of Directors Meeting Page 2 of 5

6 Approval of modifications to the current Comprehensive Industry Certification List. The modified list with newly approved certifications and modifications will constitute the Industry Certification List. Authorize CareerSource Florida staff, in collaboration with DEO and DOE staff, to make any necessary revisions to certifications on the approved Comprehensive Industry Certification List that may evolve from changes by the certifying entities relating to the release of newer versions, upgrades or other changes that may occur relating to eligibility issues of certification requirements. Motion: Second: Ms. Jennifer Grove Mr. Alex Moseley Chairman Ingram called for a vote. The motion passed unanimously. Mr. Al Stimac abstained. ACTION ITEM 2 QRT Contracts for Board Approval Chairman Ingram introduced CareerSource Florida General Counsel Jay Barber for an overview of the policy requiring board approval for Quick Response Training Grants for Northrup Grumman and Tech Data Corporation. As board member Rick Matthews is Vice President at Northrup Grumman, and board member Bill Law is president of St. Petersburg College, the administrative entity for the grant to Tech Data, both relationships must be disclosed to the board, both individuals must abstain from discussion and vote, and the board vote to approve the contacts must be by a 2/3 majority after a quorum is established. Mr. Matthews was not present at the board meeting and Dr. Law noted his abstention. Contractor Amount CFS Board Member Involved Northrop Grumman Systems Corporation Melbourne Tech Data Corporation Up to $1,596,400 on QRT contract. Up to $23,163 for admin. costs on QRT contract. Rick Matthews, Vice President Dr. Bill Law, President, St. Petersburg College Type of Contract Quick Response Training Quick Response Training CSF Contracting Policy Exemption Receipt of workforce services under workforce programs Agency (as defined in s (2), F.S Board Member Personally Benefit From Contract? No No Motion: Approve the above-listed contracts by a 2/3 vote when a quorum has been established. Draft Minutes of the 2/20/14 Board of Directors Meeting Page 3 of 5

7 Motion: Second: Ms. Maria Rodriguez Mr. Benedict Grzesik Chairman Ingram called for a vote. The motion passed unanimously without discussion. Chairman Ingram played a short video testimonial from an employer utilizing the QRT program, Centurion Cargo in Miami. The video can be found at President's Report Chairman Ingram introduced President Hart to provide the President s Report. President Hart thanked all involved in the transition to the new statewide unified brand, the CareerSource Florida network, and all involved in the workforce system training summit held in December. He provided a detailed overview of the new board governance structure and CareerSource Florida reorganization, as well as the progress being made by the state workforce system toward performance and federal common measures. President Hart showed the new CareerSource Florida Network Business Services video, viewable at He read the new brand promise. He also announced that as part of a move toward a more statewide presence, he would be opening an Orlando office for CareerSource Florida, and introduced Dr. Rod Lewis, CareerSource Florida s new Vice President for Strategic Initiatives, who will be based in Northwest Florida. Daily operations will continue from Tallahassee. Florida s Talent Supply System: How Education is Building the Talent Pool Chairman Ingram introduced board member Dr. Ed H. Moore, President, Independent Colleges & Universities of Florida, to facilitate the board panel discussion. Dr. Moore introduced the following panelists: Dr. Cammy Abernathy, Dean of Engineering, University of Florida Dr. Lois M.R. Ellis, Director of Nursing Programs, Santa Fe College Frank Kinney, Vice President for Research, Florida Institute of Technology Kathie Schmidt, Career and Technical Education Director, St. Lucie County Schools Dr. Moore directed attendees to the materials on the subject matter under discussion in the meeting agenda packet, online at Dr. Abernathy noted that her college s goals are to graduate more engineers in high demand majors, differentiate new, work-ready engineering graduates from other engineers, and help design mechanisms to create and grow jobs in the state. She applauded CareerSource Florida and its regional partners for their partnership in this effort. Dr. Ellis also discussed partnerships with the workforce system and education partners helping to address Florida s nursing shortage, talent retention and curriculum development. Mr. Kinney provided an overview of what Florida Tech is doing to address the gap between what universities produce in terms of graduates and what the workforce needs are of Florida Draft Minutes of the 2/20/14 Board of Directors Meeting Page 4 of 5

8 companies, noting that his college began as a private training college in the 1950 s to address continuing education needs in technology fields. Ms. Schmidt also highlighted partnerships that have helped her institution grow to meet evolving business needs, noting that industry certifications are critical as are solid foundations in STEM (science, technology, engineering and math) fields. She said there is a tendency in academia to focus on specific areas, such as reading, and miss a larger opportunity to integrate evolving business needs into more complete programs with business and industry input. Discussion ensued on the panelists and board members ideas for providing more graduates qualified to enter fields of critical need and fields with shortages in Florida. Dr. Lewis compiled a list of priorities suggested by board members as a result of discussion points. Formalized industry task force, aligned with Florida s target and infrastructure industry clusters Branding opportunities for the state education system/talent Internships/Externships Integrated, early-stage learning Bring industry members back as teachers (Teacher Quest) Entrepreneurship Economy Regional board involvement with local colleges Board members referenced two websites with valuable information, expertnet.org and smartcollege-choices.com. Chairman s Closing Remarks Chairman Ingram thanked sponsors and adjourned the meeting at 12:25 p.m. ET. * * * * * * * * * * * * * * * * * * * * * * Board Secretary Certification In accordance with Article VII, Section 7.3, I hereby certify that this summary reflects the proceedings by the Board of Directors of Workforce Florida, Inc., has been reviewed by the board, and approved or approved with modifications which have been incorporated herein. Chris Hart IV Board Secretary Date Draft Minutes of the 2/20/14 Board of Directors Meeting Page 5 of 5

9 DRAFT MINUTES OF THE CAREERSOURCE FLORIDA EXECUTIVE COMMITTEE MEETING APRIL 16, 2014 Call to Order Chairman Dwayne Ingram called the meeting of the CareerSource Florida Executive Committee to order at approximately 8:30 a.m. ET on April16, 2014, by welcoming all to the meeting. Roll Call/Quorum A quorum was present with the following Executive Committee members in attendance: Chairman Dwayne Ingram Mr. Steve Capehart Dr. Duane De Freese Ms. Jennifer Grove Ms. Eli Hurst Dr. Ed H. Moore Mr. Alex Moseley Mr. Britt Sikes Mr. Mike Tomas Mr. Ric Shriver was unable to attend. Welcome & Chairman s Remarks Mr. Ingram welcomed the committee members, the CareerSource Florida Executive Leadership Team, led by President/CEO Chris Hart IV, and the three audience members to the first of what is planned as an annual face-to-face meeting of the committee to discuss priorities, strategies and investments. He opened by noting his continuing commitment to helping the state workforce policy and investment board become more strategic and less operational. Mr. Hart said CareerSource Florida continues to drive the entire system toward the six statewide strategic goals and the organization is going in the right direction. Unemployment is declining and this board has continued to shape and build strategies and enact policies consistent with the board s mission. President Hart noted the Governor has been actively involved in providing leadership and supporting the workforce system and is clear about his expectations for the work the board needs to do. President Hart also introduced the leaders of the new councils: Strategic Policy Council, Chair Jennifer Grove, and Finance Council, Chair Alex Moseley. These leaders will filter the direction provided by the Executive Committee to their councils to help shape their agendas and actions moving forward. Mr. Ingram walked through the agenda, which included a report from the president, discussion of new priorities and investments, an update on current state board policies, and a look at current priorities, programs and investments of the CareerSource Florida network. President Hart was recognized to provide his President s Report. Draft Minutes of the Executive Committee Meeting Page 1 of 9

10 President s Report President Hart asked for brief self-introductions from the committee and leadership team as well as the audience members. Following the introductions, Mr. Hart explained that through the new governance structure the Executive Committee and the Executive Leadership Team now represent the combined executive leadership group for CareerSource Florida. The meeting s goal was for the professional team to leave knowing what the priorities are for the upcoming year. Mr. Hart explained that the May board meeting is always the biggest meeting of the year because it s the budget meeting. It s where the board allocates funding to the regional boards to deliver the outcomes expected by the Governor, the federal government and the regional boards. It s also where the professional team brings forward funding recommendations to support the statewide priorities, once determined. Mr. Hart said at the conclusion of the meeting he would like staff to have a clear understanding of the priorities CareerSource Florida should focus on next year from the Executive Committee. Mr. Hart also noted that this is the first time CareerSource Florida has held a meeting such as this one, as part of the new governance approach, and the plan is to hold these sessions regularly in April. Executive Committee members were given notebooks that provide a summary of current CareerSource Florida network priorities, initiatives and investments that will continue as well as three new proposals that the state board s executive leadership team recommends for next year to continue building toward strategic goals. CareerSource Florida s six strategic goals and brand values, vision, mission, promise and pillars were provided. President Hart noted that these items are the foundation for the organization s work. Mr. Hart called on the members of the Executive Committee to help build on the current initiatives in order to enhance outcomes as well as determine what new strategies or investments are needed. President Hart explained that CareerSource Florida is the principal workforce development organization for the state of Florida. The staff team works closely with Enterprise Florida on competitive projects as well as on capacity-building projects to enhance services to businesses system-wide. As part of the reorganization, CareerSource Florida has focused on how to better use technology and assess staff resources and bandwidth for workforce development projects given the size of the internal team. Mr. Hart called on the Executive Committee members to consider ways CareerSource Florida can leverage the bandwidth of its staff team and the entire network to drive to successful outcomes for key initiatives and investments both new and sustained. The team will take the direction provided by the committee to shape the next round of corporate goals for the organization then develop performance management plans for each staff member. President Hart said this kind of alignment of the strategic goals, system goals, corporate goals and individual performance goals is what makes the meeting vitally important. Draft Minutes of the Executive Committee Meeting Page 2 of 9

11 Mr. Hart noted that he had recently spoken with Governor Rick Scott about the priorities and proposed projects for next year. He went on to say that the Governor uses the CareerSource Florida system as a success example everywhere he goes. As a board member, he is engaged in the organization s work and understands the big picture. He is fully supportive of CareerSource Florida s direction and the focus on continuous improvement and performance measurement. Mr. Ingram asked members to consider whether, after reviewing the summaries of current initiatives and proposed new projects, anything was missed. Ms. Grove said the leadership group should consider where we are trying to move the needle. She noted that some initiatives have short-term goals, others have long-term goals and some may not have ample return on investments. Andra Cornelius, Senior Vice President of Programs and Policy, said that CareerSource Florida must document value. What are we doing to help businesses thrive in a competitive environment? Dr. Rod Lewis, Vice President of Strategic Initiatives, added that we must identify real measurable outcomes. He looks forward to working with the Department of Economic Opportunity in his new role to review measurements and metrics. Mr. Ingram said this will help the board and staff better identify what we are doing as a system to directly support our strategic goals. This also will help identify gaps. Mr. Hart added that prioritization is key. What are we doing that we should not do anymore? We have a dynamic state team that works hard and pushes toward meaningful achievements that advance our goals. Ms. Hurst said we will need key performance indicators (KPIs) for our goals. Noting some of the outcomes outlined for current initiatives, Dr. De Freese said we have to consider that traditional outcomes do not always apply. For example, in the area of entrepreneurship, an investment today in a startup could yield a Fortune 200 company in the future, but it will take years to realize the larger ROI. How do we capture this in our strategies? He suggested measures should reflect best-in-class, reviewing other states that are best-in-class, for example, in serving veterans and the disabled. We don t want to just be good. We want to be the best state in the nation, he said. That is why measurement toward goals is critical, noted Mr. Tomas; you can t manage what you don t measure. Noting their presence at the meeting, Mr. Moseley said it s important to talk to regional workforce board leaders to gain a greater understanding of top workforce development investments that are yielding the best outcomes. Draft Minutes of the Executive Committee Meeting Page 3 of 9

12 The leaders briefly discussed the current six strategic goals, which were recently reaffirmed by the entire board. At least two of them may no longer be needed because they focus internally, Ms. Grove said. Mr. Hart noted the current goals were developed by the board for , so the time for establishing new goals is approaching. Going forward, he asked the executive committee to think about how CareerSource Florida works with its regional partners and how to leverage the efforts of these partners (both their boards and professional teams) and our own board and professional team. Mr. Ingram noted that given the board s reaffirmation of the current goals, CareerSource Florida should continue to move forward with these goals but also start building the framework for a new strategic goal-setting process. There are two issues and opportunities. First, how can the organization s leaders be positioned to use the months of September and October as the annual strategic goals planning period to set and reevaluate our goals? Second, what improvements can CareerSource Florida make now for achieving current goals? The focus for the meeting was on priorities and investments to support the current goals. Mr. Hart reports monthly on what he and the staff are doing to support these goals. New Priorities and Investments for President Hart opened the discussion about the three new state-led projects recommended for next year that would build on current accomplishments and continue the current momentum for driving toward key outcomes. Each of the proposals has been developed based on the ongoing dialogue the professional team has had with our board including the February session moderated by Dr. Ed Moore. The first project for discussion is a Performance Funding Model. How is the system measured? How is success measured? How is improvement measured? How is improvement rewarded? How is success rewarded? How does CareerSource Florida build a culture of excellence? Mr. Hart provided a high-level overview of the new performance funding model for the State University System, which has 10 key strategic measures for each of Florida s public universities. Eight of these measures are specific to the entire system and two are customized for each institution based on individual priorities and strengths. Mr. Hart noted that building a performance funding model for the workforce system will demand high collaboration between the state board and regional boards. This project will need guiding principles and committed leadership to determine how best to define key performance measures and incentivize excellence and improvement. Dr. Moore, who along with Mr. Hart, serves on the Higher Education Coordinating Council (HECC), an advisory board to the Governor and Florida Legislature that is made up of Draft Minutes of the Executive Committee Meeting Page 4 of 9

13 talent supply system leaders, noted the State University System performance model has a consequence of the loss of base funding for poor performance. It will be important to the process of developing a model for the workforce system to assess and address the potential for unintended consequences. Mr. Hart explained that today s discussion is about the merit of pursuing the development of a performance funding model for the workforce system. If there is agreement, then the focus would turn to who needs to be engaged and how to develop such a model. That process would allow for evaluation of how to design it and once designed how to implement it. The question for the meeting s dialogue was whether there is agreement that staff should devote resources to develop a performance funding model move forward and take the appropriate steps to evaluate, collaborate and build it. Mr. Sikes noted his support for moving in this direction. There has to be meaningful funding to drive outcomes, he said. Mr. Sikes said the organization should take the next year to develop this model which would provide time the board needs to engage others and determine where the board thinks funds should come from to make this meaningful. Dr. De Freese noted there needs to be alignment among performance measures and outcomes for the entire system, CareerSource Florida, state universities and colleges, and Enterprise Florida, among others, to ultimately achieve global excellence. Responding to questions about next steps, Mr. Hart explained that in the Executive Committee s role of determining strategic priorities, under the new governance structure, we are seeking agreement with the staff recommendation to pursue this and the other priorities beginning next year. With strategic direction from this leadership group, staff will prepare budget recommendations for next year for the CareerSource Florida network and will include these priorities for consideration in May by the Finance Council and board. Mr. Ingram acknowledged that a focus on building a performance funding model will generate red flags and cautions, thus underscoring the importance of engaging regional partners. He said the board would not be asking for permission but should ensure our partners are informed and have an opportunity to contribute. Mr. Hart explained that before staff begins to engage external partners on these projects, there needs to be clear direction from the board s executive leadership that these are the three priorities they wish for our organization to pursue. With this direction, staff will reach out to inform partners and collaborate as the process to design these projects is built. Staff also will develop a business case for each project. In fact, Mr. Hart explained that one way in which the professional leadership team works more closely than in the past with regional leaders is by hosting a quarterly meeting with the Florida Workforce Development Association s Executive Committee and Region 23, CareerSource South Florida. During these quarterly face-to-face meetings, CareerSource Florida, Department of Economic Development and several executive directors led by Richard Williams, of CareerSource Chipola and FWDA President, discuss key workforce Draft Minutes of the Executive Committee Meeting Page 5 of 9

14 system issues including a review of key action items planned for the next quarterly state board meeting. The FWDA leaders then have an opportunity to share the outcome of this dialogue with all executive directors including a preview of board action items. The CareerSource Florida team will work to continue building on the partnership with the Florida Workforce Chairs Alliance, participating in and supporting their quarterly meetings. The chairs group is becoming increasingly engaged, through their strong leadership, in working with CareerSource Florida. Ms. Cornelius introduced the second project Marketplace Business Intelligence. Guided by the five-year strategic goals particularly the focus on delivering world-class service to Florida s target industry clusters and infrastructure industries since 2010, CareerSource Florida has led strategic projects to drive greater value in services provided to these industries. CareerSource Florida reached out to C-level executives in these industries to determine what they know about our system, what value they find in our services and to better understand their short-term and long-term talent needs. Area Development magazine in a recent survey of CEOs found that skilled labor is their top issue. CareerSource Florida spent $4.4 million on strategic initiatives ranging from target industry cluster task forces to customer-satisfaction and supply/demand analytics. Some of the work was successful and some was not. CareerSource Florida commissioned the task forces with C-level executives to look at all business climate issues impacting companies in these sectors. Much of the intelligence was better suited for other partners, but they didn t necessarily receive it and take action, Ms. Cornelius explained. CareerSource Florida also faced limitations in the effectiveness to keep the intelligence evergreen. These CEOs, for example, had time-certain commitments for their engagement having to move on to other priorities. Ms. Cornelius said, as we consider our values, identified through our recent branding initiative, we must remain business-driven. We have also made some monumental changes in the past year to become more responsive and business-driven such as the new regional Targeted Occupations List process, which gives regional boards more flexibility to better serve the businesses in their region. With this new project, CareerSource Florida has an opportunity to build on what has been learned and accomplished to date and develop a sector-strategy approach that lifts the entire system, she explained. Ms. Cornelius also noted that CareerSource Florida can t continue to invest at the level of previous investments given declining state-level financial resources. To begin this new, more focused approach, the organization looked at what sectors are critical to every region of our state and on the Enterprise Florida list of targeted industries. CareerSource Florida considered where it could best leverage the collective resources to create and refine talent delivery for these sectors and health care and advanced manufacturing were chosen. Through this project, the aim is to determine how CareerSource Florida can build a better pool of talent from which all companies can draw. Developing and delivering market intelligence to better inform the workforce system is critical, noted Ms. Grove. The workforce business services consultants must understand the environment within which companies compete and what their talent needs are as a foundation for their work without having to always come to the table at the starting line. Draft Minutes of the Executive Committee Meeting Page 6 of 9

15 Mr. Tomas noted now is also an ideal time, as these new projects are considered, to think about and begin defining new system goals for Added Dr. De Freese, this approach to a sector strategy seems a logical next step to build on prior work. Having participated in the previous task forces, he said, it s important to separate impasses and roadblocks from opportunities for success. Today s clean tech sector is very different from the sector that existed and was a primary focus just a few years ago. He suggested that the CareerSource Florida take a deeper dive sector-bysector, in order to ensure that the right sectors are chosen. He added that he thinks the first two sectors selected are the right choices. He also suggested that CareerSource Florida consider how to identify and address roadblocks that prevent these industries from moving forward in Florida. He also suggested that all involved focus on gaining intelligence that helps the entire state including regions in order to be transformational. Ms. Hurst noted the goals developed for these strategic projects must be digestible and actionable so they can be measured. Mr. Lewis then introduced the third project Strategic Integration Initiative noting all three projects are interconnected. He noted that when the intelligence from target industry cluster task forces was evaluated, 90 percent of what was learned was beyond the scope of our workforce system to respond. Also when the six areas that resulted from the February panel discussion and dialogue with the board were evaluated, again informed by current strategic work, it was found that much of what was highlighted can t be done by the workforce system alone. He said it was clear that in order to begin to move the needle in areas such as developing sustained market intelligence through industry task forces and building Florida s talent brand, the entire workforce network has to better plug into the education system and the marketplace. The project would allow CareerSource Florida to use the HECC, by leveraging leadership participation on this board, to move a system CareerSource Florida does not control to a new level of action responding to the marketplace. CareerSource Florida is the only statewide organization that is looking across talent systems and also tapping directly into targeted industry clusters. Mr. Lewis said the work through the HECC is a starting point for how the workforce system can better engage other critical strategic partners to respond to the marketplace. Mr. Hart noted the goal of this project is to ensure there is a mechanism or structure for delivering market intelligence to the broader talent delivery system that gets acted upon. This project will allow CareerSource Florida to examine what it takes to deliver the right skills, at the right time, to the right industries. Dr. Moore expressed concern that with limited staff available to the HECC and its advisory role, along with a constitutional amendment that guides the entire public university system, this proposal may have a limited impact and limited opportunities for success, particularly if there is a desire to address education governance issues. Draft Minutes of the Executive Committee Meeting Page 7 of 9

16 President Hart noted some of the state leaders who join him and Dr. Moore in serving on the council (including the university and college system chancellors, representatives from the Board of Governors and Board of Education and the education commissioner). He said the idea is to use this project to explore how best to use the resources of CareerSource Florida network and the resources of each of these entities to improve talent delivery. For example, what can they learn from CareerSource Florida s investment in data analytics that will improve their performance outcomes? CareerSource Florida has to ensure that what we bring forward is valuable to these partners, he added. Executive Discussion Discussion of all three projects continued. Dr. De Freese said he likes the direction of the three initiatives and their connectivity. He noted that all of this leads to strategies and actions that create, grow and retain jobs. There is performance, intelligence and integration. This work should also drive our next strategic planning process. Ms. Grove said we should not look to incremental gains for our investment but leverage our resources to their fullest. Dr. De Freese said the approach to these projects should include an examination of any existing best practice models. Coming back to the question of whether there is anything missing from the new priority projects for next year, Mr. Ingram said he would like to continue to discuss the issue of entrepreneurship. He asked whether consideration should be given to establishing a special task force on entrepreneurship given the job growth that is anticipated to result from this area of the economy over the next 20 years. Mr. Hart advised that using staff resources to create and support a task force is time and resource intensive, and recommended that the board take a closer look at the $12 million investment underway in Florida in the Startup Quest program. Mr. Hart suggest the board look at what can be learned from Startup Quest and how CareerSource Florida can best support its success. Mr. Ingram noted through the continuing dialogue that the Executive Committee agreed that the three staff-recommended projects were important areas of focus and should become priorities for the staff team. With the Executive Committee s consensus, these projects will be brought forward to the board for consideration through the budget recommendation process, noted Mr. Hart. Dr. De Freese said each project going forward needs to clearly underscore the importance of innovation. Mr. Ingram asked staff to outline within each project how it aligns to the current strategic goals as part of the information that will be provided to the board in May. Draft Minutes of the Executive Committee Meeting Page 8 of 9

17 Ms. Grove asked what needs to be done to prepare for the May board and council meetings since both new councils will meet for the first time. She requested additional information on the expectations for the Strategic Policy Council, which she chairs, in light of today s discussion and direction. Mr. Hart explained that receiving consensus on the strategic direction and priorities for next year from the Executive Committee was a major step under this new board governance system. The Executive Committee now directly plays a greater role in providing strategic direction for the organization. Staff will now work with the council chairs to prepare the agendas for May s inaugural meetings. The budget will continue to be the primary focus of the May board meeting. It also will be the central focus of the Finance Council meeting. Scott Fennell, Chief Operating Officer, will work with Mr. Moseley to prepare. Mr. Hart said the Strategic Policy Council s work will be important to guide the organization s efforts in these new strategic areas next year. This council also will receive a report from staff in the coming months, probably in August, regarding the current board policies. Mr. Hart noted that, as part of the efficiency efforts, staff is conducting a complete review of all board policies since this organization began in 2000 to determine which remain relevant and which should be discontinued. Staff will also look at a new sunset provision for all policies that will allow CareerSource Florida to retain those that are relevant and discontinue those that have become irrelevant due to other changes in policy or circumstances. Mr. Hart thanked the Executive Committee for their work throughout the day. The staff now has the direction it needs to move forward with budget recommendations and to continue defining the necessary steps for launching the new strategic work for performance funding, market intelligence and strategic integration. Closing Remarks Mr. Ingram thanked everyone for a productive executive committee meeting. The meeting adjourned at 12:36 p.m. ET. *************************** Board Secretary Certification In accordance with Article VII, Section 7.3, I hereby certify that these minutes reflect the proceedings by the Executive Committee of the Board of Directors of CareerSource Florida, have been reviewed by the Board, and approved or approved with modifications which have been incorporated herein. Chris Hart IV Board Secretary Date Draft Minutes of the Executive Committee Meeting Page 9 of 9

18 Consent Item 2 CareerSource Florida Board of Directors Quarterly Meeting May 21, 2014 Action Item Approved Disapproved CAREERSOURCE PINELLAS REQUEST FOR AN EXTENSION OF THEIR DESIGNATION AS A DIRECT SERVICE PROVIDER * * * * * * * * * * Section (6), Florida Statutes, states that a regional workforce board may be designated as a one-stop operator and direct provider of intake, assessment, eligibility determinations, or other direct provider services except training services. Further, it states that Workforce Florida, Inc., (d/b/a CareerSource Florida) shall establish procedures by which a regional workforce board may request permission to operate under this section and the criteria under which such permission may be granted. The criteria shall include, but need not be limited to, a reduction in the cost of providing the permitted services. Such permission shall be granted for a period not to exceed 3 years for any single request submitted by the regional workforce board. CareerSource Pinellas is currently operating as a direct service provider under previous board authorization. Such authorization is limited to a three year term. CareerSource Pinellas term ends on June 30, They have requested a three-year extension of this designation beginning July 1, 2014 through June 30, CareerSource Pinellas has provided all required documentation, which we have attached to this Action Item. The Department of Economic Opportunity has reviewed the submitted documentation, and as the administrative entity for the CareerSource Florida Network has recommended approval. Professional staff at CareerSource Florida concurs with that recommendation. * * * * * * * * * * * NEEDED ACTION To approve the request by CareerSource Pinellas for an extension of their designation as a direct provider of services for an additional three year period beginning July 1, 2014 and ending June 30, Page 1 of 1

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28 Strategic Policy Council Meeting Agenda May 20, P.M. ET Caribe Royale 8101 World Center Drive, Orlando, FL Meeting Room: Caribbean III Chairman s Welcome & Remarks Governance: Council Role & Charter Review Council Briefing: CSF Executive Committee Meeting Jennifer Grove Jennifer Grove Jennifer Grove New Strategic Initiatives for State Board Policies Plan of Action Discussion Public Comments Chairman s Closing Remarks

29 Strategic Policy Council Charter CSF-BOD-06 Position Title: Strategic Policy Council Adopted: May 12, 2014 Effective: May 12, 2014 I. INTRODUCTION Workforce Florida Incorporated d/b/a CareerSource Florida (Workforce Florida or the Corporation), according to Florida Statutes (2), is the principal workforce policy organization for the state. State statute defines CareerSource Florida s purpose as one of designing and implementing strategies that help Floridians enter, remain and advance in the workplace. CareerSource Florida s objectives are to help people become more skilled and successful thus benefiting the individual, Florida businesses and the entire state, and to assist in developing the state s business climate. By law, CareerSource Florida is the statewide Workforce Investment Board charged with policy setting and oversight of the workforce system. CareerSource Florida is governed by an independent Board of Directors consisting of public and private sector representatives. CareerSource Florida reports to the Governor and, in its role, aligns and supports the Governor s economic and workforce goals through the development of strategic workforce policies and plans. The strategic workforce policies developed by the Board give overall direction to the state s workforce system. In addition, the Board takes actions and makes decisions regarding workforce programs, ensures that there are sufficient and appropriate human and financial resources for CareerSource Florida to accomplish its work and ensures the health of the organization. As specified in Florida Statutes, the Chairman of the Board has the authority to appoint committees or councils to fulfill the Board s responsibilities, to comply with federal requirements or to obtain technical assistance. Under this authority, the Strategic Policy Council is thus chartered. Individual members have no authority to control or direct the operations of Workforce Florida, Inc. (d/b/a CareerSource Florida) or the actions of its officers and employees, including the President.

30 STRATEGIC POLICY COUNCIL CHARTER May 12, 2014 CSF-BOD-06 Page 2 of 3 II. AUTHORITY This Council operates under the authority and responsibilities specified in Section 445, Florida Statutes, and the Bylaws of Workforce Florida, Inc. As such, the Strategic Policy Council has the authority assigned to it by the Chairman of the Board. In coordination with the President/CEO, the Council shall have the resources and authority necessary to discharge its duties and responsibilities and may, after consultation with the Chairman of the Board, designate ad hoc committees to facilitate the Council s role. If this document is in conflict with federal or state statue or the bylaws of the corporation, those documents shall take precedence. III. TERM The members of the Strategic Policy Council, including a Chairman and Vice Chairman, shall be appointed by the Chairman of the Board and shall serve for a period of time determined by the Chairman. All Council members shall serve at the pleasure of the Chairman of the Board. IV. COMPOSITION The Council shall comprise individuals appointed by the Chairman of CareerSource Florida from the membership of the Board and individuals from outside CareerSource Florida who possess relevant experience or expertise in the subject area of the Council. In all matters pertaining to Council business, Council members shall report directly to the Council Chairman (or, in the Chairman s absence, the Council Vice Chairman). The Council Chairman shall report to the Chairman of the Board. In selecting members, the Chairman must incorporate at least one member from a regional workforce development board into the Council. Should the Council form ad hoc committees, the Chairman of CareerSource Florida shall designate committee membership. A majority of the membership of each Council must be members of the Board of Directors of CareerSource Florida. Membership on the Strategic Policy Council makes no presumption concerning future roles on the Board. V. MEETINGS The Strategic Policy Council meets quarterly whether in person, by telecommunications or webinar in conjunction with the regular quarterly meetings of the Board of Directors if there is business that needs to go before the Council. Additional meetings, whether held in person or by telephone, may be conducted at the request of the Board Chairman or the Council Chairman. VI. RESPONSIBILITIES The Strategic Policy Council is formed to make recommendations to the CareerSource Florida Board of Directors on specific policies, strategies, programs and activities affecting workforce development. Florida law gives CareerSource Florida the authority to create state employment,

31 STRATEGIC POLICY COUNCIL CHARTER May 12, 2014 CSF-BOD-06 Page 3 of 3 education and training policies that ensure programs are preparing workers responsive to present and future business and industry needs and complements the initiatives of Enterprise Florida, Inc., the state s economic development organization (Section (6)(a), F.S.). Consistent with CareerSource Florida s strategic goals, priority is given to addressing workforce needs for businesses in the state s target and infrastructure industries. The Strategic Policy Council s role is both to review existing policies as well as develop new strategies and policies designed to foster a performance-driven talent delivery system with the ability to serve individuals at all levels, businesses of all sizes and entrepreneurs in order to meet the demands of Florida s growing and diversifying economy. VII. STRATEGIC POLICY COUNCIL PRIMARY POINT OF CONTACT In order to conduct its business and administer its affairs the primary point of contact for the Strategic Policy Council is: Andra Cornelius, CEcD, Senior Vice President Phone: (850) acornelius@careersourceflorida.com VIII. REVISION INFORMATION (IF APPLICABLE) Date Description of Revision 05/07/14 Version for Chairman s review and approval. 05/12/14 Approved by Chairman

32 Finance Council Meeting Agenda May 20, :30 4:30 P.M. ET Caribe Royale 8101 World Center Drive, Orlando, FL Meeting Room: Caribbean III Chairman s Welcome & Remarks Governance: Council Role & Charter Review Council Briefing: CSF Executive Committee Meeting Fiscal Year CareerSource Florida Network Funding Allocations Alex Moseley Alex Moseley Alex Moseley Alex Moseley/Scott Fennell Discussion Public Comments Chairman s Closing Remarks

33 Finance Council Charter CSF-BOD-05 Position Title: Finance Council Adopted: May 12, 2014 Effective: May 12, 2014 I. INTRODUCTION Workforce Florida Incorporated d/b/a CareerSource Florida (Workforce Florida or the Corporation), according to Florida Statutes (2), is the principal workforce policy organization for the state. State statute defines CareerSource Florida s purpose as one of designing and implementing strategies that help Floridians enter, remain and advance in the workplace. CareerSource Florida s objectives are to help people become more skilled and successful thus benefiting the individual, Florida businesses and the entire state, and to assist in developing the state s business climate. By law, CareerSource Florida is the statewide Workforce Investment Board charged with policy setting and oversight of the workforce system. CareerSource Florida is governed by an independent Board of Directors consisting of public and private sector representatives. CareerSource Florida reports to the Governor and, in its role, aligns and supports the Governor s economic and workforce goals through the development of strategic workforce policies and plans. The strategic workforce policies developed by the Board give overall direction to the state s workforce system. In addition, the Board takes actions and makes decisions regarding workforce programs, ensures that there are sufficient and appropriate human and financial resources for CareerSource Florida to accomplish its work and ensures the health of the organization. As specified in Florida Statutes, the Chairman of the Board has the authority to appoint committees or councils to fulfill the Board s responsibilities, to comply with federal requirements or to obtain technical assistance. Under this authority, the Finance Council is thus chartered. Individual members have no authority to control or direct the operations of Workforce Florida, Inc. (d/b/a CareerSource Florida) or the actions of its officers and employees, including the President.

34 FINANCE COUNCIL CHARTER May 12, 2014 CSF-BOD-05 Page 2 of 4 II. AUTHORITY This Council operates under the authority and responsibilities specified in Section 445, Florida Statutes, and the Bylaws of Workforce Florida, Inc. As such, the Finance Council has the authority assigned to it by the Chairman of the Board. In coordination with the President/CEO, the Council shall have the resources and authority necessary to discharge its duties and responsibilities and may, after consultation with the Chairman of the Board, designate ad hoc committees to facilitate the Council s role. If this document is in conflict with federal or state statue or the bylaws of the corporation, those documents shall take precedence. III. TERM The members of the Finance Council, including a Chairman and Vice Chairman, shall be appointed by the Chairman and shall serve for a period of time determined by the Chairman. All Council members shall serve at the pleasure of the Chairman of the Board. IV. COMPOSITION The Council shall comprise individuals appointed by the Chairman of CareerSource Florida from the membership of the Board and individuals from outside CareerSource Florida who possess relevant experience or expertise in the subject area of the Council. In all matters pertaining to Council business, Council members shall report directly to the Council Chairman (or, in the Chairman s absence, the Council Vice Chairman). The Council Chairman shall report to the Chairman of the Board. In selecting members, the Chairman must incorporate at least one member from a regional workforce development board into the Council. Should the Council form ad hoc committees, the Chairman of CareerSource Florida shall designate committee membership. A majority of the membership of each Council must be members of the Board of Directors of CareerSource Florida. Membership on the Finance Council makes no presumption concerning future roles on the Board. V. MEETINGS The Finance Council meets quarterly whether in person, by telecommunications, or webinar in conjunction with the regular quarterly meetings of the Board of Directors if there is business that needs to go before the Council. Additional meetings, whether held in person or by telephone, may be conducted at the request of the Board Chairman or the Council Chairman. VI. RESPONSIBILITIES The Finance Council s primary goal is to work to ensure that the workforce system is in good financial health, that its assets are protected, and the state s resources are used appropriately and accounted for sufficiently. Through this effort, the Council assists the CareerSource Florida Board of Directors in ensuring that the resources available to the state for workforce training

35 FINANCE COUNCIL CHARTER May 12, 2014 CSF-BOD-05 Page 3 of 4 programs and support services are used effectively and efficiently with utmost accountability to maintain public confidence and support. As such, the following specifies the role and responsibilities of this Council and its members: 1. Directing the allocation of statewide workforce funding The Finance Council is responsible for proposing allocations of federal and state workforce funds for the 24 regional workforce boards and for state-level discretionary funding provided through the federal grant awards and state appropriations. Discretionary funding under the auspices of the Board is used to fund the Department of Economic Opportunity, CareerSource Florida and for demonstration and pilot programs funded through the Board. In the event there are changes in overall funding levels during the course of the budget cycle, the Council is responsible for reviewing and proposing modifications to the previous budgets to ensure that over-commitments do not occur. An integral part of this responsibility is the charge of ensuring that the workforce system is operating as efficiently as possible at the state and local levels. The Council must also ensure that limited workforce funding is used appropriately and in accordance with federal, state, and Board policies. 2. Safeguarding the Workforce System s Resources and Assets The Finance Council shall ensure that appropriate policies and practices are in place to protect the system assets and the integrity of the workforce system. The Council is charged with the responsibility to protect the financial integrity of Florida s workforce system and to promote full accountability among all workforce partners. The Council shall receive regular updates regarding the Department of Economic Opportunity s financial monitoring efforts, results of special internal audits conducted by the Department of Economic Opportunity s Inspector General and program and financial audits conducted for the state and regional partners. Based upon these reviews and audits, the Council is charged with reviewing corrective action plans which may require the establishment of financial/program policies or modifications of existing policies for consideration by the full Board. VII. FINANCE COUNCIL PRIMARY POINT OF CONTACT In order to conduct its business and administer its affairs the primary point of contact for the Finance Council is: Scott Fennell, Chief Operating and Financial Officer/Treasurer Telephone: (850) sfennell@careersourceflorida.com

36 FINANCE COUNCIL CHARTER May 12, 2014 CSF-BOD-05 Page 4 of 4 VIII. REVISION INFORMATION (IF APPLICABLE) Date Description of Revision 05/07/14 Version for Chairman s review and approval. 05/12/14 Approved by Chairman

37 CareerSource Florida Board of Directors Meeting May 21, 2014 Action Item Action Item 1 Approved Disapproved APPROVAL OF STATE AND REGIONAL BUDGET ALLOCATIONS FOR FISCAL YEAR 2014/15 * * * * * * * * * * * Each year, Florida receives notification of several federal awards and various state appropriations to be received during the upcoming fiscal year. In most cases, the manner for distributing these funds among the state and 24 workforce regions is defined in the authorizing Federal Act or in the state appropriations bill; however, the specific state and regional calculations are not known until updated allocation factors are applied to the funding award. This action item defines these specific allocations in accordance with the authorizing grants, provides recommendations for the allocation of state-level funds for various state initiatives that advance the statewide strategic goals for workforce development and seeks board approval for specific reserves, commitments and regional workforce board allocations. Florida s workforce investment is driven by the workforce system s strategic goals: World-Class Service to Florida s Target Industry Clusters World-Class Service to Florida s Infrastructure Innovators Top National and State Leadership for the Demand-Driven Solution Aligned, Responsive, Jointly Engaged Talent Supply System Outstanding Business Communications and Intelligence for Performance and Accountability Dedicated Commitment to Change Management and Transformation This action item covers several major funding streams including the Workforce Investment Act (WIA), Temporary Assistance for Needy Families (TANF) and Wagner-Peyser (WP) as well as other workforcerelated funding initiatives. It serves as the financial blueprint for operationalizing the new unified brand values, vision, mission, promise and pillars of the CareerSource Florida network: Our Values Business-Driven Continuous Improvement Integrity Talent Focus Purpose-Driven Our Vision Florida will be the global leader for talent. 1

38 Our Mission The Florida Workforce System connects employers with qualified, skilled talent and Floridians with employment and career development opportunities to achieve economic prosperity. Our Promise Florida s Workforce System promises a dedicated team of professionals who possess an understanding of your needs. Uniquely positioned, we offer assets, expertise and effective partnerships to deliver seamless and efficient services, demonstrate our value to all customers through results and drive economic priorities through talent development. Our Pillars Collaborate Innovate Lead Funding provided under the Workforce Investment Act must be allocated in accordance with the authorizing Federal Act (Public Law , ). This act defines specific allocation methodologies for its three principal funding streams (Adult, Youth, and Dislocated Worker) to be followed in allocating funding to regional workforce boards and defines allowances for funding levels for the state rapid response initiative and the state-level set-aside (also referred to as the Governor s Reserve or as discretionary state board funding). In the case of the Temporary Assistance for Needy Families (TANF) state appropriated funds, the Florida Legislature allocates a certain level of funding to the workforce system but does not define specific regional allocations or the specific allocation methodology that the state board must use. However, the Legislature does define specific allocations in the form of specific line-item appropriations or specific proviso language, which are often deducted from total funding available prior to the allocation of TANF funds to regions. This board, in determining specific regional allocations, is required to maximize funds distributed directly to the regional workforce boards through these appropriations, with such distributions to be based on the anticipated client caseload and the achievement of performance standards. Specific direction and approval is needed by the board for key workforce investment areas as follows: 1. Workforce Investment Act Funding consisting of the Adult, Youth, and Dislocated Worker funding streams with three primary allocation categories: a. Regional Workforce Board Allocations b. State-Level Set-Aside or Governor s Reserve c. State Rapid Response Funds 2. Temporary Assistance For Needy Families including: a. State-Level Allocations and Initiatives b. Regional Workforce Board Allocations and Initiatives 3. Jointly Managed Programs including: 2

39 a. Wagner-Peyser b. Combined Veterans Programs 4. Other Workforce-Related Programs including: a. Supplemental Nutrition Assistance b. Reemployment Assistance Services 5. Budget Implementing Actions WORKFORCE INVESTMENT ACT (WIA) FEDERAL PROGRAM YEAR 2014 for Fiscal Year 2014/15 - $150,361,328, (Prior Year 2013/14 $162,222,368; decrease of $11,861,040 or 7.31%) BASIC PURPOSE AND ELIGIBILITY: 1. Core, intensive and training services for adults, youth and dislocated workers through the CareerSource Florida network; and 2. Broad, nearly universal eligibility for low-cost core services (e.g. access to job listings), but more restrictive eligibility for intensive and training services based on low-income, employment barriers and/or dislocation from employment. SPECIFIC MANDATES/LIMITATIONS: At present, there are multiple federal restrictions and regulations governing allocation to state and regional workforce boards, the use of funds, reporting, etc. Further, state law mandates percentages of WIA funds that must be used for Individual Training Accounts (ITAs) at the local level. DISTRIBUTION MECHANISMS: Federal laws specify formulas for distributing WIA among states and for sub-state allocations, primarily based upon relative shares of workforce, unemployment and poverty factors. The original Public Law provided that for Adult and Youth funding streams, 85% of the total federal award must be distributed to regional workforce boards by formula, and allowed the Governor to reserve up to 15% at the state level for operational expenses, performance-based incentive payments to regions, program management and oversight, and state board-authorized initiatives. Similarly, WIA Dislocated Worker funds also contributed 15% to the state-level pool, with another 25% of the total federal award allocated for purposes of funding a state-level program for rapid response assistance to dislocated workers, including emergency supplements to regional workforce boards. The remaining 60% of the federal dislocated funds were then distributed to the regions based on a formula emphasizing relative unemployment factors. For the last three fiscal years, congressional actions have decreased the portion of the formula grant funds that governors may reserve for statewide activities from 15% to 5%. This year, however, the reserve for statewide activities increased from 5% to 8.75%, which still represents a 43%-reduction from the original 15% reserve. The latest change in the state set-aside is not permanent and efforts continue at the national level to fully restore the 15% discretionary funding. SPECIFIC FUND DISTRIBUTIONS FOR FY 2014/15: For specific identification of amounts to be received under the various WIA categories by the state and regions, refer to the flowchart titled Florida 3

40 Funding for Workforce Investment Act. As shown on this chart, a total of $150,361,328 has currently been awarded to Florida from Program Year 2014 funds for Fiscal Year 2014/15, down by $11,861,040 or a decrease of 7.31% from the previous year s grant award. From the total WIA funds awarded, an increased percentage of 8.75%, or $13,156,617, is allocated by the Federal Act to the state-level set-aside pool; the statewide Dislocated Worker Program for the Rapid Response Unit is allocated 25%, or $15,078,788, of the federal Dislocated Worker funding, and the balance of $122,125,923 is allocated to the 24 regions. FY 2013/14 FY 2014/15 Change Total WIA Grant Award $ 162,222,368 $ 150,361,328 $ (11,861,040) State Set-Aside (8.75%) 8,111,118 13,156,617 5,045,499 Rapid Response 16,777,344 15,078,788 (1,698,556) Regional Allocations 137,333, ,125,923 (15,207,983) REGIONAL WORKFORCE BOARD ALLOCATIONS As shown on the Florida Funding for Workforce Investment Act chart for Program Year 2014, a total of $122,125,923 is available through direct formula allocations to regions from the Adult, Youth and Dislocated Worker funds. Federal laws specify formulas for distributing WIA among the 24 regions, primarily based upon relative shares of workforce, unemployment and poverty factors. The spreadsheet titled Program Year 2014 Workforce Investment Act, Regional Workforce Board Formula Allocations, shows the total allocations of WIA funds with a comparison to the prior year, and the four spreadsheets that follow it reflect the individual allocations for each of the three funding streams. STATE SET-ASIDE ALLOCATIONS 8.75% State Set-Aside Allocation As shown in the Florida Funding for Workforce Investment Act chart, the Federal Act allocates a portion of each of the WIA Adult, Youth, and Dislocated Worker funding streams for use by the Governor for state-level initiatives. For Fiscal Year 2014/15, the amount currently allocated to the state is $13,156,617. Although the level of funding represents an increase from the previous year in total dollars ($5,045,499), the state-level funding is still 42% below its historical share provided in the Workforce Investment Act of Under the Workforce Investment Act, 15% of WIA funds are required to be set aside for state-level activities, which would have resulted in $22,554,199 (a difference of $9,397,582) available for statewide activities. From these state-level funds, the Florida Legislature appropriates certain funds for administrative and program costs of the Department of Economic Opportunity and this board. Additionally, in accordance with Section (3)(a)2, Florida Statutes, $2 million in WIA set-aside funds must be allocated for the Incumbent Worker Training (IWT) program, administered by state board staff. From the balance of state-level WIA funds, this board determines any additional or specific allotments for purposes of state demonstration and pilot projects as well as other workforce development initiatives. 4

41 FY 2014/15 Total PY WIA Set-Aside Pool $13,156,617 Plus Estimated Balance of Recaptured Funds 1,163,214 Total WIA Funds Available 14,319,831 Less Appropriations and Required Allocations: DEO/CareerSource Florida Program Services -6,388,288 RWB Support and Shared Services -828,727 Incumbent Worker Training (Per FL Statutes) -2,000,000 Balance of Funds Available for Board Discretion $5,102,816 Discretionary Board Allocations As shown in the previous tabulation, CareerSource Florida has available discretionary funding in the amount of $5,102,816, after combining the balance of WIA unobligated funding brought forward from the prior year with the new-year grant award and accounting for appropriations and required allocations. The following funding recommendations reflect strategic initiatives directed by the CareerSource Florida Executive Committee, specific funding requests from the Department of Economic Opportunity and regional workforce boards, and other discretionary funding priorities recommended by state board staff, that advance the CareerSource Florida network s collective effort to respond to the employment and training needs of businesses, job seekers and workers today and in the future. Supplemental Funding for Incumbent Worker Training (IWT) Program ($1,000,000) Since 2000, the IWT program has been funded at $2M per year (consistent with Florida Statutes). During the last three years, the CareerSource Florida Board allocated additional funds to the program given the economic imperative of business and job retention and the overwhelming demand for training resources by businesses. With the additional use of recaptured dollars from previously closed out grants (all funds were allocated to specific projects by April 2014), the IWT program was able to support 159 businesses this fiscal year in upgrading the skills of 7,757 employees (with an average of $19,064 per award or $393 per trainee). Continued allocations to the IWT grant program will enable the workforce system to meet Florida businesses high demand for skills upgrade training. The results of the IWT grant program also underscore the value of increased economic prosperity for workers. Trainees wages increased 9.2 percent 15 months after the completion of training under IWT, according to 2011/2012 data from the Florida Education and Training Placement Information Program (FETPIP). Funding for New Strategic Initiatives Supported by the Executive Committee ($500,000) Collaborate. Innovate. Lead. Our three brand pillars aptly define the course of action and a primary impetus for focusing on three new strategic initiatives in 2014/15 to continue driving toward achievement of the state strategic goals for the workforce system. Building on past strategic investments, intelligence and success and supported by Governor Rick Scott and the CareerSource Florida Executive Committee, which helps provide strategic direction and priority-setting three statewide initiatives are envisioned to enhance performance outcomes, create replicable strategies that cultivate business intelligence and improve the marketplace responsiveness of Florida s talent delivery system and 5

42 strengthen coordination among the state s education and employment and training systems. Funding approval for these initiatives will set the stage for development of a CareerSource Florida Network Performance Funding Model, a sector strategy for ensuring Marketplace Business Intelligence drives talent development to build and maintain a globally competitive workforce and a method for improved Strategic Integration of the state s education and employment and training systems. Though outlined separately below, these three priorities are interrelated: Performance Funding Model Over the next year, led by CareerSource Florida and through a collaborative statewide process, the workforce system would design for implementation a datadriven, outcome-based performance funding model for the CareerSource Florida network that will inform policy discussions and decisions, align resources to shared goals, reward excellence and showcase improvement through a series of critical metrics. This model would form the basis for awarding of annual regional performance incentives and would reflect essential system-wide success indicators that align with both state and regional priorities. Worth noting is that the development of a performance funding model for the workforce system is very timely given the performance and investment priorities set by Governor Scott and the Florida Legislature as well as recent work to implement performance-based funding models for state universities and colleges. The effort to develop a performance funding model for the workforce system will harness the CareerSource Florida network s collective intelligence, experience and financial and human capital resources to focus on achieving shared strategic goals. Marketplace Business Intelligence A new sector strategy approach for marketplace business intelligence would be developed to position the CareerSource Florida network to respond to rapid economic and competitiveness changes as Florida s economic recovery continues following an extraordinary recessionary economy. Sector partnerships address common needs of employers and generate coordinated solutions across all segments of the talent delivery system. Among other benefits, a sector strategy will position the workforce system to more effectively engage employers, address current and emerging skills gaps, identify and respond to key policy needs and more effectively align and leverage programs and resources that serve employers, job seekers and workers so that the system s collective efforts are better coordinated, consistent and responsive to the needs of business. This initiative would build on past strategic efforts to gather, analyze and distribute data and intelligence to galvanize Florida s efforts to deliver the right skills, to the right industries at the right time and help Floridians enter, remain and advance in the state s workforce. Two sectors would be selected as focal areas for the first year healthcare and advanced manufacturing. Strategic Integration Initiative Seeking new and sustainable ways to enhance coordination and integration of Florida s entire talent delivery system remains a clearly established strategic priority for the workforce system. In order to act on market-driven intelligence continually gained by the CareerSource Florida network, fully realize the value of this knowledge for talent production in Florida and meet goals outlined by the CareerSource Florida Board, CareerSource Florida must further strengthen its relationships with key education and training communities. Through this Strategic Integration Initiative, CareerSource Florida would leverage its leadership role and partnerships through the statutorily established Higher Education Coordinating Council (HECC). The project would lead to development of a framework and methodology for better integration of business intelligence and workforce system talent development tools and resources to drive improved talent delivery system outcomes that address today s and tomorrow s marketplace needs. The 11-member HECC is an advisory body to the Governor and Florida Legislature, capable of sharing and transferring information and 6

43 submitting proposed action items to various recipients. Council membership includes leaders from public and private education entities, business, workforce development and economic development. With the intensified focus on education outcomes that lead to employment, as underscored by new performance funding for public higher education institutions, there is an unprecedented opportunity for Florida s workforce system to integrate its market-driven data and talent development strategies to positively inform and influence the decision-making processes of educational institutions and support greater success by Florida s entire talent delivery system. Collectively, these three state projects focus on strategic performance, intelligence and integration, consistent with our unified brand values, vision, mission, promise and pillars. They also would seamlessly lay the groundwork for development of new statewide strategic goals that move the system beyond current strategic priorities to continually position the CareerSource Florida network as a strong, capable and valuable contributor to Florida s efforts to become the global leader for talent. Emerging Initiatives Funding ($500,000) As the previous funding recommendation notes, the Executive Committee has given its support for three, staff-recommended strategic initiatives for 2014/15. However, through CareerSource Florida s new disciplined process of validating project ideas and activities, we recognize the need to continually evaluate prospective project proposals as well as current initiatives. If a decision is made during the fiscal year to fund a new initiative based on how it advances our strategic goals and principles, the state will need to ensure there are funds available, if needed, for any new project costs. To position, CareerSource Florida to address and respond to workforce development strategies resulting from emerging ideas and initiatives throughout the year, these funds would be available to support new project needs and goals. Regional Innovation Funds ($1,000,000) Innovation remains key to the continued success and sustainability of the CareerSource Florida network. Leaders at every level continue to call for development of strategies that enhance workforce system effectiveness and efficiency in responding to the needs of businesses, job seekers and workers. With a talented and dedicated group of workforce professionals throughout Florida s 24 regional workforce boards, there is both knowledge and experience in developing and deploying innovative solutions that advance the workforce system s mission and demonstrate value to our core customers, stakeholders and the public. However, regional innovative efforts may, at times, be hampered by a lack of funding to implement new strategies. Regional Innovation Funds will be used to provide either full or partial funding for outcome-based, innovative workforce solutions at the regional level that align with our unified values, advance state strategic goals and may be replicated statewide as best practices. Regional Performance Incentives ($400,000) At last August s board meeting, the board adopted a policy that allowed for specific performance evaluation criteria to be set each year based on the current economic environment, state priorities for workforce development and critical outcomes the board chooses to incentivize to continue propelling Florida s workforce system to a higher level of effectiveness. Once the performance evaluation criteria are defined and approved, these funds would be released pursuant to positive performance outcomes achieved by regional workforce boards. To be eligible for this funding, regions would need to achieve performance evaluation criteria that will be approved by the CareerSource Florida Executive Committee. Also to build on statewide efforts to strengthen the statewide unified brand, regions must comply with unified brand standards, as documented in the CareerSource Florida Brand Standards Manual, to be eligible for performance incentives awarded by CareerSource Florida. 7

44 Rural Initiatives ($600,000) Four workforce regions (Regions 3, 6, 7 and 19) are designated by the Executive Office of the Governor as Rural Areas of Critical Economic Concern (RACEC); Region 2, although not designated as a RACEC, has counties within its boundaries that face similar economic challenges. Several priorities have been previously identified by the Executive Directors of these regions, with the top priority being the maintenance of funding at a minimal level to sustain operations within Florida s rural regions and provide a minimal level of workforce service to employers and residents in rural counties. In some past years, this board has provided supplementary funds to support rural workforce development. Previous initiatives within these regions using such funds include entrepreneurial programs, employer outreach efforts and projects to address e-commerce, information technology and the rural WIRED initiative. Funding recommended for Fiscal Year 2014/15 would be invested in innovative initiatives by the five rural regions to address critical workforce needs. Each region would be allotted $120,000 and would submit a project recommendation(s) to CSF with goals, outcomes and costs. AmeriCorps Program ($83,203) AmeriCorps programs provide opportunities for Americans to make an intensive commitment to service. The AmeriCorps network of local, state and national service programs engages more than 80,000 Americans in projects around the nation each year. Members focus on disaster service, economic opportunity, education, environmental stewardship, a healthy future and veterans and military families. In Florida, the AmeriCorps projects are managed by Volunteer Florida through funding from the Corporation for National and Community Service (CNCS). DEO has proposed an AmeriCorps workforce project focused on job training and placement, consistent with the program s economic opportunity objectives. The goal of the workforce project is to increase youth engagement through employment readiness services and to increase employment opportunities for youth. The proposed AmeriCorps workforce project will target out-of-school and at-risk youth (14 21) and those who are disconnected from the workforce or education. DEO surveyed the 24 regions to determine which would be interested in participating in this program by sponsoring AmeriCorps members. Nine expressed an interest in sponsoring AmeriCorps members to serve in their area for this project. DEO, working with those regions, has prepared a CNCS grant proposal to fund 35 AmeriCorps members to participate in this initiative. Federal funds received from the grant will be used to directly support the AmeriCorps members (i.e., stipend, FICA, etc.). DEO has committed agency funding to support a full-time equivalent (FTE) position to serve as the project director. The nine regional workforce boards also have agreed to contribute funding and in-kind support to the project. However to ensure the project s viability, additional funding is needed for the purchase of AmeriCorps members workers compensation insurance, health insurance and training costs as well as costs for attending state and national meetings (all required by the grant). DEO is requesting $83,203 in funds from the CareerSource Florida Board for year one of this pilot project for the period of August 1, 2014 July 31, Proposed Budget Plan CNCS $408,960 DEO $58,494 RWBs $226,957 CareerSource Florida $83,203 Total $777,614 8

45 Budget Reserve ($1,000,000) For a fourth consecutive year, state-level WIA discretionary funding is provided at the reduced amount (42% below historical levels for Program Year 2014). In addition, as our economy continues to improve, the overall amount of WIA funding for Florida continues to decline, further affecting the amount of funds available at the state-level. For these reasons, our fixed costs from state-level funding is becoming a much larger percentage of revenue, which in turn reduces carryforward funds. Tough decisions will have to be made over the coming years concerning the financial commitments and activities that are appropriate at the state-level as well as which services and activities should no longer be performed. In addition, recent events at the federal level have shown that cash-flow can be halted through no fault of the state workforce system. Our system demonstrated, during the sequestration, that having a budget reserve not only provides a level of comfort, but also is essential to maintain fiscal responsibility. Because of responsible spending at the state-level, Florida was able to come through sequestration relatively unscathed. Therefore, we recommend the maintenance of a reasonable budget reserve that does not adversely affect the workforce network s performance. The recommended reserve funding level equals approximately 7 percent of total Program Year 2014 statelevel funding, which is estimated to be about a one-month reserve. Discretionary Funding Summary In the event the foregoing reserves and commitments are approved by the board, an estimated balance of $19,613 will remain available to CareerSource Florida to fund new initiatives or carry forward into the next fiscal year. Please note this amount is an estimate because certain current-year funds may be required to be expended before the closeout of Fiscal Year 2013/14 and may not be available for carryforward purposes or allocated funds may not be expended at the level expected during the fiscal year. Total 2014/15 WIA Funds Available $5,102,816 Less Proposed Discretionary Board Allocations: Supplemental Funding - IWT (1,000,000) New Strategic Initiatives (500,000) Emerging Initiatives (500,000) Regional Innovation Funds (1,000,000) RWB Performance Incentives (400,000) Rural Initiatives (600,000) AmeriCorps Workforce Pilot Project (83,203) 7% Budget Reserve (1,000,000) Balance Remaining for State Projects $ 19,613 WIA - STATE RAPID RESPONSE FUNDS As noted previously 25%, or $15,078,788, of the total federal WIA Dislocated Worker funding ($60,315,153) provided to the state for Fiscal Year 2014/15 is reserved by federal law for purposes of establishing and operating the state-level Rapid Response Unit. From this amount, the board is required by Chapter 445, F.S., to maintain an emergency reserve, historically set at $3,000,000, and to fund operational costs of the DEO Rapid Response Unit. 9

46 The following tabulation shows the distribution of the total federal award for 2014/15: Total Dislocated Worker Funds (14/15) $60,315,153 Less Regional Pass-Through (66.25%) - 39,958,789 Less State-Level Set Aside (8.75%) - 5,277,576 Balance for State-Level Set Aside (25%) $15,078,788 From the total Rapid Response funding available to the board from new-year funding, program management costs of $500,069 are being requested as well as continuation of the $3,000,000 emergency reserve to address major events that may occur during Fiscal Year 2014/15. Total Rapid Response State-Level Allocation $15,078,788 Plus: Projected Carry-forward from FY 2013/14 1,300,000 Projected Funds Available for FY 2014/15 $16,378,788 Less: Proposed RR Program Unit Costs -500,069 Less: Proposed Emergency Reserve (Chapter 445, F.S.) -3,000,000 Balance Fund Reserve $12,878,719 CareerSource Florida staff propose allocating an additional $10,000,000 of the $12,878,719 that is available in discretionary Dislocated Worker funding through the use of the regional pass-through allocation formula. Combined with the $3 million emergency reserve, the board will have a total of $5,878,719 to fund supplemental requests from regions during the upcoming fiscal year for major dislocations and plant closures as well as the needs of the unemployed and long-term unemployed. CareerSource Florida staff will provide another distribution through the use of the regional pass-through allocation formula after hurricane season, as the risk of major statewide disaster is reduced, allowing these funds to be used by regions for Dislocated Worker-related services. The amount will be determined based on perceived need for holding the funds in reserve at the state level and remaining funding at the regional level. In the event of a major dislocation, if funding held at the state-level is insufficient to meet the needs of affected regions, CareerSource Florida will deobligate funds from unaffected regions and reobligate those funds to the affected regions. * * * * * * * * * * * NEEDED ACTIONS 1. Approval of the Program Year 2014/15 regional WIA Adult, Youth and Dislocated Worker fund allocations. 2. Approval to establish the 2014/15 WIA state-level set-aside allocations, authorize operations and administration funding, other reserves, obligations, and commitments for the Department of Economic Opportunity and CareerSource Florida. Additionally, to authorize flexibility by the President and Treasurer to adjust actual spending categories as necessary within the total approved budget. 10

47 FLORIDA FUNDING FOR WORKFORCE INVESTMENT ACT FUNDING FROM USDOL - PROGRAM YEAR 2014 $150,361,328 PY 2013 ($162,222,368) (7.31% Decrease) ADULT PROGRAM $44,979,171 ($47,321,672) (4.95% Decrease) YOUTH PROGRAM $45,067,004 ($47,791,321) (5.70% Decrease) DISLOCATED WORKER PROGRAM $60,315,153 ($67,109,375) (10.12% Decrease) REQUIRED RESERVE FROM EACH FUNDING STREAM FOR STATE-LEVEL ACTIVITIES $13,156,617 ($8,111,118) (62.20% Increase) 25% RESERVE FROM DISLOCATED WORKER PROGRAM FOR RAPID RESPONSE $15,078,788 ($16,777,344) (10.12% Decrease) REGIONAL WORKFORCE BOARD FORMULA ALLOCATIONS $122,125,923 ($137,333,906) (11.07% Decrease) ADULT PROGRAM $41,043,493 ($44,955,588) (8.70% Decrease) YOUTH PROGRAM $41,123,641 ($45,401,755) (9.42% Decrease) DISLOCATED WORKERS $39,958,789 ($46,976,563) (14.94% Decrease) 11

48 Program Year 2014 Workforce Investment Act Regional Workforce Board Formula Allocations REGIONAL WORKFORCE BOARDS WIA ADULT WIA YOUTH WIA DISLOCATED WORKER PY 2014 FINAL ALLOCATION PY 2013 FINAL ALLOCATION DIFFERENCE % 1 CareerSource Escarosa $959,783 $1,116,559 $825,731 $2,902,073 $3,482,638 ($580,565) -16.7% 2 CareerSource Okaloosa Walton $398,633 $333,329 $375,224 $1,107,186 $1,193,422 ($86,236) -7.2% 3 CareerSource Chipola $427,733 $369,696 $175,571 $973,000 $1,112,194 ($139,194) -12.5% 4 CareerSource Gulf Coast $454,796 $448,969 $423,135 $1,326,900 $1,652,670 ($325,770) -19.7% 5 CareerSource Capital Region $820,539 $1,617,011 $607,437 $3,044,987 $3,216,820 ($171,833) -5.3% 6 CareerSource North Florida $353,423 $415,933 $206,770 $976,126 $1,093,360 ($117,234) -10.7% 7 CareerSource Florida Crown $319,251 $383,368 $193,667 $896,286 $953,741 ($57,455) -6.0% 8 CareerSource Northeast Florida $2,858,901 $3,189,246 $3,165,904 $9,214,051 $11,385,664 ($2,171,613) -19.1% 9 CareerSource North Central Florida $604,497 $1,321,803 $375,050 $2,301,350 $2,471,690 ($170,340) -6.9% 10 CareerSource Citrus Levy Marion $1,211,420 $1,144,873 $896,679 $3,252,972 $3,515,316 ($262,344) -7.5% 11 CareerSource Flagler Volusia $1,284,790 $1,318,083 $1,309,844 $3,912,717 $4,454,961 ($542,244) -12.2% 12 CareerSource Central Florida $4,456,739 $4,720,338 $4,908,921 $14,085,998 $15,717,173 ($1,631,175) -10.4% 13 CareerSource Brevard $1,088,846 $984,154 $1,277,869 $3,350,869 $3,902,221 ($551,352) -14.1% 14 CareerSource Pinellas $1,836,043 $1,371,234 $1,823,667 $5,030,944 $5,460,855 ($429,911) -7.9% 15 CareerSource Tampa Bay $2,543,763 $2,885,777 $2,631,409 $8,060,949 $8,804,892 ($743,943) -8.4% 16 CareerSource Pasco Hernando $1,299,492 $1,217,305 $1,187,136 $3,703,933 $4,020,118 ($316,185) -7.9% 17 CareerSource Polk $1,425,275 $1,484,947 $1,298,109 $4,208,331 $4,546,645 ($338,314) -7.4% 18 CareerSource Suncoast $1,285,201 $1,071,918 $1,140,806 $3,497,925 $4,141,364 ($643,439) -15.5% 19 CareerSource Heartland $465,528 $498,013 $305,100 $1,268,641 $1,464,188 ($195,547) -13.4% 20 CareerSource Research Coast $1,418,506 $1,313,643 $1,500,816 $4,232,965 $4,870,307 ($637,342) -13.1% 21 CareerSource Palm Beach County $2,630,536 $2,480,120 $2,685,757 $7,796,413 $9,317,139 ($1,520,726) -16.3% 22 CareerSource Broward $3,301,917 $2,774,853 $3,954,628 $10,031,398 $11,186,656 ($1,155,258) -10.3% 23 CareerSource South Florida $7,272,231 $6,479,160 $6,532,535 $20,283,926 $22,015,021 ($1,731,095) -7.9% 24 CareerSource Southwest Florida $2,325,650 $2,183,309 $2,157,024 $6,665,983 $7,354,851 ($688,868) -9.4% STATEWIDE TOTALS $41,043,493 $41,123,641 $39,958,789 $122,125,923 $137,333,906 ($15,207,983) -11.1% 12

49 Program Year 2014 Workforce Investment Act Adult Program Regional Workforce Board Formula Allocations AREA OF SUBSTANTIAL UNEMPLOYMENT ECONOMICALLY PY 2014 PY 2013 LABOR UNEMPLOYED DISADVANTAGED RWB HH FINAL FINAL REGIONAL WORKFORCE BOARDS FORCE Total Rate Excess Total Excess SHARE * ALLOCATION ALLOCATION DIFFERENCE % 1 CareerSource Escarosa 216,083 15, % 6,213 37,565 34, $959,783 $1,063,000 ($103,217) -9.7% 2 CareerSource Okaloosa Walton 100,736 6, % 1,975 17,175 15, $398,633 $445,378 ($46,745) -10.5% 3 CareerSource Chipola 49,450 3, % 1,220 22,405 21, $427,733 $471,584 ($43,851) -9.3% 4 CareerSource Gulf Coast 100,800 7, % 2,996 17,705 16, $454,796 $510,337 ($55,541) -10.9% 5 CareerSource Capital Region 182,006 12, % 4,097 35,540 33, $820,539 $898,146 ($77,607) -8.6% 6 CareerSource North Florida 49,867 3, % 1,657 15,390 14, * $353,423 $407,120 ($53,697) -13.2% 7 CareerSource Florida Crown 49,405 3, % 1,468 14,815 14, $319,251 $355,072 ($35,821) -10.1% 8 CareerSource Northeast Florida 732,564 55, % 22,286 98,835 89, $2,858,901 $3,174,808 ($315,907) -10.0% 9 CareerSource North Central Florida 134,005 8, % 2,618 27,380 25, $604,497 $669,580 ($65,083) -9.7% 10 CareerSource Citrus Levy Marion 207,280 18, % 8,985 46,225 43, $1,211,420 $1,341,566 ($130,146) -9.7% 11 CareerSource Flagler Volusia 287,964 23, % 10,882 43,265 39, $1,284,790 $1,420,393 ($135,603) -9.5% 12 CareerSource Central Florida 1,190,263 89, % 35, , , $4,456,739 $4,992,088 ($535,349) -10.7% 13 CareerSource Brevard 268,347 22, % 10,243 33,130 29, $1,088,846 $1,207,671 ($118,825) -9.8% 14 CareerSource Pinellas 445,673 34, % 13,962 65,180 59, $1,836,043 $2,050,005 ($213,962) -10.4% 15 CareerSource Tampa Bay 635,561 48, % 19,681 88,835 80, $2,543,763 $2,818,383 ($274,620) -9.7% 16 CareerSource Pasco Hernando 255,986 22, % 11,288 44,040 40, $1,299,492 $1,456,672 ($157,180) -10.8% 17 CareerSource Polk 271,004 24, % 11,830 50,110 46, $1,425,275 $1,545,791 ($120,516) -7.8% 18 CareerSource Suncoast 304,547 23, % 9,919 45,445 41, $1,285,201 $1,437,941 ($152,740) -10.6% 19 CareerSource Heartland 66,278 5, % 2,722 20,175 19, $465,528 $496,702 ($31,174) -6.3% 20 CareerSource Research Coast 272,096 26, % 13,816 44,180 40, $1,418,506 $1,501,425 ($82,919) -5.5% 21 CareerSource Palm Beach County 635,424 50, % 22,179 87,490 79, $2,630,536 $2,947,603 ($317,067) -10.8% 22 CareerSource Broward 1,022,989 67, % 21, , , $3,301,917 $3,769,433 ($467,516) -12.4% 23 CareerSource South Florida 1,351, , % 60, , , $7,272,231 $7,410,056 ($137,825) -1.9% 24 CareerSource Southwest Florida 528,988 42, % 18,731 80,745 74, $2,325,650 $2,564,834 ($239,184) -9.3% STATEWIDE TOTALS 9,358, , % 316,577 1,462,075 1,344, $41,043,493 $44,955,588 ($3,912,095) -8.7% 13

50 Program Year 2014 Workforce Investment Act Youth Program Regional Workforce Board Formula Allocations AREA OF SUBSTANTIAL UNEMPLOYMENT ECONOMICALLY PY 2014 PY 2013 LABOR UNEMPLOYED DISADVANTAGED RWB HH FINAL FINAL REGIONAL WORKFORCE BOARDS FORCE Total Rate Excess Total Excess SHARE * ALLOCATION ALLOCATION DIFFERENCE % 1 CareerSource Escarosa 216,083 15, % 6,213 8,925 6, * $1,116,559 $1,292,624 ($176,065) -13.6% 2 CareerSource Okaloosa Walton 100,736 6, % 1,975 3,025 1, $333,329 $364,484 ($31,155) -8.5% 3 CareerSource Chipola 49,450 3, % 1,220 3,305 2, $369,696 $395,914 ($26,218) -6.6% 4 CareerSource Gulf Coast 100,800 7, % 2,996 3,365 2, * $448,969 $531,532 ($82,563) -15.5% 5 CareerSource Capital Region 182,006 12, % 4,097 14,900 12, $1,617,011 $1,715,510 ($98,499) -5.7% 6 CareerSource North Florida 49,867 3, % 1,657 3,580 2, $415,933 $441,079 ($25,146) -5.7% 7 CareerSource Florida Crown 49,405 3, % 1,468 3,335 2, $383,368 $412,637 ($29,269) -7.1% 8 CareerSource Northeast Florida 732,564 55, % 22,286 24,245 15, $3,189,246 $3,446,940 ($257,694) -7.5% 9 CareerSource North Central Florida 134,005 8, % 2,618 12,565 10, $1,321,803 $1,414,877 ($93,074) -6.6% 10 CareerSource Citrus Levy Marion 207,280 18, % 8,985 8,130 5, $1,144,873 $1,235,889 ($91,016) -7.4% 11 CareerSource Flagler Volusia 287,964 23, % 10,882 9,220 5, * $1,318,083 $1,530,786 ($212,703) -13.9% 12 CareerSource Central Florida 1,190,263 89, % 35,708 34,990 20, $4,720,338 $5,163,776 ($443,438) -8.6% 13 CareerSource Brevard 268,347 22, % 10,243 6,140 2, $984,154 $1,065,988 ($81,834) -7.7% 14 CareerSource Pinellas 445,673 34, % 13,962 8,880 3, $1,371,234 $1,504,712 ($133,478) -8.9% 15 CareerSource Tampa Bay 635,561 48, % 19,681 22,075 14, $2,885,777 $3,123,037 ($237,260) -7.6% 16 CareerSource Pasco Hernando 255,986 22, % 11,288 7,990 4, $1,217,305 $1,331,022 ($113,717) -8.5% 17 CareerSource Polk 271,004 24, % 11,830 10,475 7, $1,484,947 $1,565,883 ($80,936) -5.2% 18 CareerSource Suncoast 304,547 23, % 9,919 7,255 3, $1,071,918 $1,176,296 ($104,378) -8.9% 19 CareerSource Heartland 66,278 5, % 2,722 3,925 3, * $498,013 $577,847 ($79,834) -13.8% 20 CareerSource Research Coast 272,096 26, % 13,816 7,905 4, $1,313,643 $1,351,998 ($38,355) -2.8% 21 CareerSource Palm Beach County 635,424 50, % 22,179 16,935 8, $2,480,120 $2,891,189 ($411,069) -14.2% 22 CareerSource Broward 1,022,989 67, % 21,739 21,105 8, $2,774,853 $3,135,472 ($360,619) -11.5% 23 CareerSource South Florida 1,351, , % 60,362 41,130 24, * $6,479,160 $7,382,674 ($903,514) -12.2% 24 CareerSource Southwest Florida 528,988 42, % 18,731 15,170 8, $2,183,309 $2,349,589 ($166,280) -7.1% STATEWIDE TOTALS 9,358, , % 316, , , $41,123,641 $45,401,755 ($4,278,114) -9.4% 14

51 Program Year 2014 Workforce Investment Act Dislocated Worker Program Regional Workforce Board Formula Allocations REGIONAL WORKFORCE BOARDS 20% 25% 25% 30% PY 2014 PY 2013 UC CLAIMANTS UC CONCENTRATION MASS LAYOFF LONG-TERM UNEMPLOYED RWB SHARE FINAL ALLOCATION FINAL ALLOCATION DIFFERENCE % 1 CareerSource Escarosa 1,869 14,844 15, $825,731 $1,127,014 ($301,283) -26.7% 2 CareerSource Okaloosa Walton 811 6,773 7, $375,224 $383,560 ($8,336) -2.2% 3 CareerSource Chipola 382 3,158 3, $175,571 $244,696 ($69,125) -28.2% 4 CareerSource Gulf Coast 921 6,853 8, $423,135 $610,801 ($187,666) -30.7% 5 CareerSource Capital Region 1,165 11,349 11, $607,437 $603,164 $4, % 6 CareerSource North Florida 428 3,630 3, $206,770 $245,161 ($38,391) -15.7% 7 CareerSource Florida Crown 381 3,412 3, $193,667 $186,032 $7, % 8 CareerSource Northeast Florida 6,901 51,267 61,855 1, $3,165,904 $4,763,916 ($1,598,012) -33.5% 9 CareerSource North Central Florida 702 7,865 6, $375,050 $387,233 ($12,183) -3.1% 10 CareerSource Citrus Levy Marion 1,931 16,962 16, $896,679 $937,861 ($41,182) -4.4% 11 CareerSource Flagler Volusia 2,841 22,016 24, $1,309,844 $1,503,782 ($193,938) -12.9% 12 CareerSource Central Florida 10,443 82,288 94,497 1, $4,908,921 $5,561,309 ($652,388) -11.7% 13 CareerSource Brevard 2,847 20,901 23, $1,277,869 $1,628,562 ($350,693) -21.5% 14 CareerSource Pinellas 3,948 31,409 33, $1,823,667 $1,906,138 ($82,471) -4.3% 15 CareerSource Tampa Bay 5,686 44,577 50, $2,631,409 $2,863,472 ($232,063) -8.1% 16 CareerSource Pasco Hernando 2,580 21,186 21, $1,187,136 $1,232,424 ($45,288) -3.7% 17 CareerSource Polk 2,752 22,393 24, $1,298,109 $1,434,971 ($136,862) -9.5% 18 CareerSource Suncoast 2,440 21,877 20, $1,140,806 $1,527,127 ($386,321) -25.3% 19 CareerSource Heartland 679 5,311 5, $305,100 $389,639 ($84,539) -21.7% 20 CareerSource Research Coast 3,455 24,750 24, $1,500,816 $2,016,884 ($516,068) -25.6% 21 CareerSource Palm Beach County 5,990 47,684 45,179 1, $2,685,757 $3,478,347 ($792,590) -22.8% 22 CareerSource Broward 8,639 62,632 73,846 1, $3,954,628 $4,281,751 ($327,123) -7.6% 23 CareerSource South Florida 13, , ,599 2, $6,532,535 $7,222,291 ($689,756) -9.6% 24 CareerSource Southwest Florida 4,692 39,278 38, $2,157,024 $2,440,428 ($283,404) -11.6% STATEWIDE TOTALS 86, , ,048 15, $39,958,789 $46,976,563 ($7,017,774) -14.9% 15

52 Program Year 2014 Workforce Investment Act Supplemental Dislocated Worker Program Regional Workforce Board Formula Allocations REGIONAL WORKFORCE BOARDS RWB SHARE TOTAL SUPPLEMENTAL AWARD 1 CareerSource Escarosa $206,646 2 CareerSource Okaloosa Walton $93,903 3 CareerSource Chipola $43,938 4 CareerSource Gulf Coast $105,893 5 CareerSource Capital Region $152,016 6 CareerSource North Florida $51,746 7 CareerSource Florida Crown $48,467 8 CareerSource Northeast Florida $792,292 9 CareerSource North Central Florida $93, CareerSource Citrus Levy Marion $224, CareerSource Flagler Volusia $327, CareerSource Central Florida $1,228, CareerSource Brevard $319, CareerSource Pinellas $456, CareerSource Tampa Bay $658, CareerSource Pasco Hernando $297, CareerSource Polk $324, CareerSource Suncoast $285, CareerSource Heartland $76, CareerSource Research Coast $375, CareerSource Palm Beach County $672, CareerSource Broward $989, CareerSource South Florida $1,634, CareerSource Southwest Florida $539,812 STATEWIDE TOTALS $10,000,000 16

53 Action Item 1, Continued TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF) * * * * * * * * * * * STATE APPROPRIATIONS FISCAL YEAR 2014/15 $59,744,036 (Prior Year 2013/14 $59,653,991; increase of.15%) The 2014 Legislature has authorized the following appropriations of Temporary Assistance for Needy Families (TANF) funding for use in the workforce system: FY 2014/15 TANF State Level Administration & Initiatives: DEO and Board Administration $4,313,129 TANF Regional: Regional Allocations 54,014,907 Non-Custodial Parent Employment Program 1,416,000 BASIC PURPOSE AND ELIGIBILITY: TANF replaced the former Aid to Families with Dependent Children (AFDC) and serves low-income families with children, including two-parent families. The TANF program strongly emphasizes a Work First philosophy, combining time limits and sanctions with added assistance in obtaining needed training, starting work, receiving childcare, transportation and transitional supports to retain employment, advance and become self-sufficient. SPECIFIC MANDATES/LIMITATIONS: Eligibility limits for receiving Temporary Cash Assistance (TCA) benefits are fairly complex and rigid and include not only having a gross income equal to or less than 185% of the federal poverty level but also limited assets. Services/programs that assist families in avoiding welfare dependency by gaining and retaining employment are available in the form of one-time payments, job placement assistance and transitional work support services and can be more broadly extended to needy families (set at 200% of the poverty level in Florida). Also there are other diversion programs designed to reduce and/or prevent welfare dependency, such as teen pregnancy prevention programs, programs that enable the formation and maintenance of two-parent families and post-employment career advancement and job retention programs. Florida is required to provide matching state general revenue funds to satisfy the federal maintenance of effort (MOE). TANF funds may not be used for medical expenses, undocumented immigrants or convicted felons. TANF funds, which are unspent at the local level within specified time limits, are restricted to benefits only and can no longer be used for other purposes such as workforce and support services. 17

54 DISTRIBUTION MECHANISMS: TANF funds are provided to the state by federal block grants with some special supplements provided to Florida and other states. There are no federally established formulas for sub-state distribution of TANF funds, noting that TANF administration in most states is state or county-based, with no decentralized governance/delivery structures similar to Florida s regional workforce boards. The Florida Legislature defines and approves the yearly appropriation of TANF funds to the Department of Economic Opportunity and the board to address both state and regional needs, which are further administered, allocated and directed by the state board. State-Level Initiatives for Fiscal Year 2014/15 As in prior fiscal years, the 2014 Florida Legislature provided TANF funds for program and administrative support for the Department of Economic Opportunity and the CareerSource Florida Board. For 2014/15, the Legislature has appropriated a total of $4,313,129 for these purposes. Regional Boards Grants and Aids and Specific Legislative Proviso A total of $55,430,907 in TANF funds was appropriated by the 2014 Legislature for all other purposes. This amount includes a specific appropriation of $750,000 for the Non-Custodial Parent Employment Program (NCP) for Pinellas, Pasco and Hillsborough counties, and an additional $666,000 for Miami-Dade to be administered by CareerSource Pinellas. After deducting the $1,416,000 for the Non-Custodial Parent Employment Program, the remaining amount available for regional allocation is $54,014,907, which is the same level of funding as the prior year. The Legislature retained the specific language in proviso that requires the CareerSource Florida Board to maximize funds distributed directly to regional workforce boards with an equitable distribution of funds to the boards based on anticipated client caseload and the achievement of performance standards. Allocation factors previously approved by the state board to allocate funds to the regions meet this mandate in law regarding the anticipated client caseload, so staff is proposing no modification at this time. Updated actual numbers for both factors for 2013 were obtained and used to calculate the regional distribution. The determination of the total amount proposed for distribution to regions is shown as follows: FY 2014/15 Total TANF Workforce Services Appropriation $55,430,907 Less: Non-Custodial Parent Allocation -1,416,000 Balance of Appropriation for Distribution to Regions $54,014,907 The proposed allocation of these appropriations is designed to maximize the amounts allocated via direct allocation factors that are based upon client caseload. Additionally, this allocation plan incorporates the required distributions defined in the appropriations act, proviso, or accompanying implementing bill. As instructed by proviso language, a portion of these funds must be distributed to regions based upon achieved performance. Further, all funds distributed under this proposed plan, including the Non-Custodial Parent Employment Program will be based upon actual achieved performance outcomes. Regional TANF Distributions for Fiscal Year 2014/15 Since the state workforce board s inception in July 2000, the board has transitioned the historical TANF (Welfare Transition) allocation formula 18

55 (based only on the cash assistance caseload) to a 50/50 allocation formula 50% of the available funds are allocated to regional workforce boards based upon their share of the number of children within households receiving food stamps and the remaining 50% based upon cash assistance caseload, or TANF households with an adult member. The data on numbers of children receiving food stamps and the cash assistance caseload are readily available from Department of Children and Families. In calculating the 2014/15 distributions, the board applied a 90% Hold Harmless provision to ensure that no region would face an inordinate shift or reduction of funds from the prior fiscal year due to shifts in data used in the funding methodology. This is the same hold harmless provision required under the WIA Adult and Youth programs, which calculates a two-year average percentage for each region and assures they will not receive less than 90% of that average. Using these amounts and assuming no additional changes in the allocation methodology, the total amounts by region are reflected on the attached chart titled Regional TANF Formula Allocations Fiscal Year 2014/15. * * * * * * * * * * * NEEDED ACTION Approval of the allocation methodology as proposed for the distribution of TANF funding for Fiscal Year 2014/15. Additionally, to authorize flexibility by the President and Treasurer to adjust actual spending categories and regional allocations as necessary within the total approved budget. 19

56 FLORIDA FUNDING FOR Temporary Assistance for Needy Families (TANF) State Appropriations from TANF Block Grant FY $59,744,036 (FY $59,653,991) (.15% Increase) State-Level Program Management and Administration FY $4,313,129 (FY $4,223,084) Regional Board Allocations and Proviso FY $55,430,907 (FY $55,430,907) Regional Boards $ 54,014,907 Non-Custodial Parent Program $ 1,416,000 20

57 REGIONAL TANF FORMULA ALLOCATIONS Fiscal Year 2014/15 With Comparisons to Fiscal Year 2013/14 REGIONAL WORKFORCE BOARDS 50% SNAP 50% WELFARE CASELOAD RWB SHARE HH * FY 2014/15 PLANNING ALLOCATION FY 2013/14 FINAL ALLOCATION DIFFERENCE % 1 CareerSource Escarosa 189,596 4, $1,216,745 $1,308,285 ($91,540) -7.0% 2 CareerSource Okaloosa Walton 78,723 1, $392,988 $394,235 ($1,247) -0.3% 3 CareerSource Chipola 53, $298,086 $264,814 $33, % 4 CareerSource Gulf Coast 89,881 1, $485,339 $476,006 $9, % 5 CareerSource Capital Region 141,024 5, $1,185,763 $1,071,021 $114, % 6 CareerSource North Florida 62,795 1, $347,592 $338,776 $8, % 7 CareerSource Florida Crown 59,552 1, $409,489 $432,917 ($23,428) -5.4% 8 CareerSource Northeast Florida 631,756 20, $4,979,351 $4,676,342 $303, % 9 CareerSource North Central Florida 100,278 2, $693,419 $551,928 $141, % 10 CareerSource Citrus Levy Marion 229,273 4, $1,385,987 $1,346,356 $39, % 11 CareerSource Flagler Volusia 246,223 8, $1,916,786 $1,821,688 $95, % 12 CareerSource Central Florida 1,075,946 19, $6,159,882 $6,322,777 ($162,895) -2.6% 13 CareerSource Brevard 189,322 3, $1,078,606 $1,082,835 ($4,229) -0.4% 14 CareerSource Pinellas 311,977 9, $2,342,302 $2,212,352 $129, % 15 CareerSource Tampa Bay 659,324 18, $4,775,267 $5,071,360 ($296,093) -5.8% 16 CareerSource Pasco Hernando 255,670 6, $1,715,480 $1,667,761 $47, % 17 CareerSource Polk 330,757 8, $2,243,922 $2,188,372 $55, % 18 CareerSource Suncoast 236,478 8, $1,902,228 $1,969,984 ($67,756) -3.4% 19 CareerSource Heartland 85, $363,479 $365,983 ($2,504) -0.7% 20 CareerSource Research Coast 240,757 4, * $1,478,483 $1,569,137 ($90,654) -5.8% 21 CareerSource Palm Beach County 495,385 5, $2,384,478 $2,292,437 $92, % 22 CareerSource Broward 709,673 14, $4,246,689 $4,152,672 $94, % 23 CareerSource South Florida 1,564,690 29, * $9,688,201 $10,216,788 ($528,587) -5.2% 24 CareerSource Southwest Florida 473,210 5, $2,324,345 $2,220,081 $104, % STATEWIDE TOTALS 8,511, , $54,014,907 $54,014,907 $0 0.0% *Indicates 90% Hold Harmless in Effect 21

58 Action Item 1, Continued WAGNER-PEYSER (W-P) * * * * * * * * * * * FEDERAL AWARD FY FOR WAGNER-PEYSER - $38,551,390 (Prior Year $38,965,509) Statutory Reference: Wagner-Peyser Act of 1933, 48 Stat.113 as amended, Public Law ; Workforce Investment Act of Grantor Agency: United States Department of Labor (USDOL) Grant Program Objectives: To place persons in employment by providing a variety of placementrelated services without charge to job seekers and to employers seeking qualified individuals to fill job openings. Description of the Grant Program: The Wagner-Peyser Act of 1933 established a nationwide system of public employment offices known as the Employment Service. The Wagner-Peyser Act was amended by the Workforce Investment Act of 1998 making the Employment Service part of the one-stop delivery system. Employment services are an integral part of the one-stop delivery system that provides an integrated array of high-quality services so that workers, job seekers and businesses can find the services they need under one roof in easy-to-reach locations. Employment services include a variety of services related to a labor exchange system including job search assistance, referral and placement assistance to job seekers, reemployment services to unemployment insurance claimants and recruitment services to employers with job openings. Services may be delivered through self-service, facilitated self-help services and staff-assisted services. Also available may be core services, such as an assessment of skill levels, abilities and aptitudes; career guidance when appropriate; job search workshops; and referral to training as appropriate. The services offered to employers, in addition to referral of job seekers to job openings, include matching job requirements with job seeker experience, skills and other attributes, helping with special recruitment needs, assisting employers analyze hard-to-fill job orders, assisting with job restructuring and helping employers address with layoffs. Description of Process used to Allocate Available Grant Funds: Wagner-Peyser 7(a) Funds As shown on the chart, CareerSource Florida and the Department of Economic Opportunity reserves approximately 8% of the 7(a) grant funds ($2,818,672) for state-level program operations and administration. Nearly 92% ($31,877,579) of these funds are available to support local one-stop program services at the local level. 22

59 The allocation of Wagner-Peyser funding to local boards is based on the federal formula used to distribute grant funds among the states. The formula is: 2/3 based on the relative share of the state s Civilian Labor Force (based on an annualized average) 1/3 based on the relative share of the state s number of unemployed individuals (based on an annualized average) Total PY 2014 WP 7(a) $34,696,251 RWB Salaries and Pass-Through (27,530,410) Labor Exchange System (3,980,283) RWB Insurance and HR Fees (366,886) Remaining for State-Level Administration $2,818,672 Wagner-Peyser 7(b) Funds - Section 7(b) of the Wagner-Peyser Act reserves 10% (or $3,855,139) of the available grant funds allocated to Florida ($38,551,390) for use by this board for state-level activities including special projects and performance incentives. The remaining grant funds are available for additional eligible activities. Total PY 2014 WP 7(b) $3,855,139 Plus Est. Bal. of Unreserved W-P 7(b) Funds 1,143,893 Total WP 7(b) Funds Available $4,999,032 The following recommendations are presented to the board for the establishment of reserves and commitments for incentives and business outreach efforts for 2014/15. Regional Performance Incentives ($2,000,000) As noted under the WIA funding section, in August 2014, the state board adopted a policy that allowed for specific performance evaluation criteria to be set each year based on the current economic environment, state priorities for workforce development and critical outcomes the board chooses to incentivize to continue propelling Florida s workforce system to a higher level of effectiveness. Once the performance evaluation criteria are defined and approved, these funds would be released pursuant to positive performance outcomes achieved by regional workforce boards. To be eligible for this funding, regions would need to achieve performance evaluation criteria that will be approved by the CareerSource Florida Executive Committee. Also to build on statewide efforts to strengthen the statewide unified brand, regions must comply with unified brand standards, as documented in the CareerSource Florida Brand Standards Manual, to be eligible for performance incentives awarded by CareerSource Florida. Integrated Communications CareerSource Florida and Statewide ($1,275,000) Each year the state board approves funding administered by its staff to advance the mission and outreach of the organization and system through integrated communications. This funding request represents continuation funding, providing resources to maintain statewide advertising and essential integrated communications support services for the state board. This investment supports CareerSource Floridaled efforts in public relations, media relations, public affairs, social media and advertising, among 23

60 others. Advertising remains a critical investment especially in a state as large and diverse as Florida in order to raise awareness and increase the use of resources available statewide to address the employment and training needs of job seekers, workers and employers. Now, with the activation of the unified brand, and building on the brand implementation success, CareerSource Florida has an unprecedented opportunity to further leverage statewide advertising dollars through state-directed and regional cooperative campaigns. These funds advance CareerSource Florida s efforts to build and maintain brand consistency through the development of shared resources such as the online brand portal, which provides time-saving and money-saving brand templates and tools for use by workforce partners statewide, as well as competitively procured services to enhance the communications efforts of the CareerSource Florida staff team. Through contracted services, the CareerSource Florida staff, which works to meet statewide demands, receives support services that include, but are not limited to, media relations, public relations, strategic communications, content creation, graphic design, digital media outreach and advertising creative development and placement services. The current firm of record for CareerSource Florida is Tallahassee-based Moore Communications Group. Youth Outreach Efforts Florida Trend NEXT ($296,000) Consistent with the CareerSource Florida network s priority for developing the skills for Florida youth to prepare them for college or careers, Florida Trend s NEXT magazine serves as an outstanding tool to inform and educate Florida youth (ages 15-18) about career, education and training opportunities available to them in their home state. CareerSource Florida is the annual sponsor of the publication, which is written about and for Florida high school students. CareerSource Florida s support enables distribution to 250,000 high school students and allows the state workforce system to directly inform Florida students about the Employ Florida Marketplace at EmployFlorida.com and other CareerSource Florida network resources available to assist them in their career preparation and job search efforts. Florida Trend s print-run includes 4,800 copies for distribution through Florida s 24 regional workforce boards and their career centers. For its investment, CareerSource Florida also receives advertising for the system on the FloridaTrend.com websites, in its e-newsletters and in its main monthly business publication, Florida Trend magazine. Other Business Outreach Initiatives ($500,000) Staff recommends approval for sustained funding for a variety of initiatives under the broad category of business outreach. These uses are consistent with both state law priorities under Chapter 445, as they relate to facilitating business awareness and access to workers from special population groups (e.g., youth, veterans, older workers, disabled) as well as by addressing workforce needs in targeted industry sector groups. Among the areas that are funded through this reserve are partnership programs with faith-based or community-based organizations, the annual workforce summit, regional workforce board and economic development partnerships and workforce workshops. This funding also may be used to support cooperative outreach efforts to leverage state and regional resources for enhancing services to business services. Military Family Employment Advocacy Program ($753,650) The Military Family Employment Advocacy Program (MFEAP) was established by Section , F.S., to provide employment advocates and services at Florida career centers, in regions with high military populations associated with military bases. Persons eligible for assistance through this program include spouses and dependents of active-duty military personnel; activated National Guard members; and activated military reservists located in Florida. General Revenue funds were appropriated for this program prior to 2008/09; however, General Revenue funds have not been appropriated since that time. As a result, CareerSource Florida has allocated Wagner-Peyser 7(b) funds to Regions 1, 2, 4, 8, 13, 15 and 23 to keep this successful 24

61 program operational. There are approximately 49,000 military spouses, including spouses of mobilized National Guard Members, who currently reside in Florida, and 60 percent of them live in these regions. The current funding helps facilitate the work of 10 Military Family Employment Program Advocates currently assigned to career centers in Pensacola, Fort Walton Beach, Panama City, Jacksonville, Cocoa, Tampa Bay and Miami/Dade. The MFEAP Advocate s sole focus is to assist active duty military spouses and dependents in obtaining and retaining gainful employment. Many of the advocates are co-located at Family Support Centers within the military bases. Advocates frequently participate in welcome events and briefings for newly stationed families as well as area job fairs held throughout the region. Specific services provided by the Military Family Employment Advocacy Program include, but are not limited to job search assistance; placement assistance; career planning and counseling; case management; resume assistance; assessment and testing services; interviewing skills training; and referrals to educational and training programs, job fairs; and job clubs. In conjunction with each region s Business Services Center, services are also provided to employers seeking to hire military family members, including on-site visits with employers to refer applicants and deliver employment packages. A significant number of military family members have been served by staff funded through this program. The chart below shows the five-year performance of the program, noting that in 2013/14 performance is available only for a six-month period until the conclusion of the current fiscal year. The success of the program is particularly notable given the challenges faced by military family members, such as frequent relocations, recurring deployments, and lengthy periods of separation during times of conflict. This situation, coupled with the realization that some employers are interested in employees who can make long-term employment commitments, limits the availability of employment opportunities for military family members. Despite such obstacles, the MFEAP has been successful in helping military family members obtain employment. Program Year (PY) # Participants Served # Participant Services # Employer Services Entered Employment Rate , ,024 3, % , ,539 4, % , ,241 1, % , ,433 2,243 57% (2Qtrs) 6,845 77,218 2,322 59% It is recommended that funding for the Military Family Employment Advocacy Program be continued in 2014/15 to assist military spouses and other eligible family members in obtaining gainful employment to help improve the quality of life and financial health of Florida military families. DEO, which manages the program, requests $753,650 in Wagner-Peyser 7(b) funds to continue the program for the period July 25

62 1, 2014, to June 30, The allocation of funds will support regional budget requests, totaling $696,585, while keeping DEO level funded at $57,065. The regional workforce board portion of this request represents an increase of $51,605 from the previous program year. Program funding has remained constant for a number of years and the additional funding is needed to support increased regional oversight and other costs required to meet an expected increase in the number of participants served by the program. Funds also will be used to support the State MFEAP Coordinator position and associated expenses. Wagner-Peyser 7(b) Funding Summary In the event the foregoing reserves and commitments are approved by the board, an estimated balance of $174,382 will remain as a budget reserve or available to the CareerSource Florida staff to fund other initiatives and projects during the course of the year. Please note this amount is an estimate because certain current year funds may not be available for carry-forward purposes or allocated funds may not be expended at the level expected during the fiscal year. Total 2014/15 WP7b Funds Available $4,999,032 Less Proposed Discretionary Board Allocations: Regional Performance Incentives (2,000,000) Integrated Communications - Statewide Outreach (1,275,000) Other Business Outreach (500,000) Military Family Employment Advocacy Program (753,650) Florida Trend Next (296,000) Budget Reserve $174,382 * * * * * * * * * * * NEEDED ACTION Approval of the regional Wagner-Peyser 7(a) fund allocations and 7(b) state-level activities for state Fiscal Year 2014/15 and authorization for the President and Treasurer to adjust actual spending categories as necessary within the total approved budget. 26

63 FLORIDA FUNDING FOR WAGNER-PEYSER Funding from USDOL - Program Year 2014 FY $38,551,390 (FY $38,965,509) (1.06% Decrease) Wagner-Peyser 7(a) (90%) FY $34,696,251 (FY $35,068,958) Wagner-Peyser 7(b) (10%) FY $3,855,139 (FY $3,896,551) State-Level Projects; Incentives; Exemplary Models; Services to Groups with Special Needs State-Level Program Management and Administration* FY $2,818,672 (FY $1,855,623) * Includes the following functions: Department Management and Program Operations including: Financial Management; Programmatic and Financial Monitoring; Training & Technical Assistance, Planning & Policy Development, etc. for a total of $2,628,011. An additional $190,661 is reserved for CareerSource Florida costs associated with this program. RWB Direct Services FY $31,877,579 (FY $33,213,335) RWB Salaries and Pass-Thru $ 27,530,410 Labor Exchange System/OSMIS $ 3,980,283 RWB Insurance and HR Fees $ 366,886 27

64 Program Year 2014 Wagner-Peyser Act Regional Workforce Board Formula Allocations 2/3 1/3 REGIONAL WORKFORCE BOARDS CIVILIAN LABOR FORCE UNEMPLOYED INDIVIDUALS RWB SHARE PY 2014 FINAL ALLOCATION PY 2013 FINAL ALLOCATION DIFFERENCE % 1 CareerSource Escarosa 211,316 14, $610,715 $666,669 ($55,954) -8.4% 2 CareerSource Okaloosa Walton 133,789 6, $351,372 $373,954 ($22,582) -6.0% 3 CareerSource Chipola 48,638 3, $137,092 $151,103 ($14,011) -9.3% 4 CareerSource Gulf Coast 101,994 6, $290,580 $316,606 ($26,026) -8.2% 5 CareerSource Capital Region 183,766 11, $510,128 $546,304 ($36,176) -6.6% 6 CareerSource North Florida 48,989 3, $144,118 $157,364 ($13,246) -8.4% 7 CareerSource Florida Crown 49,456 3, $142,096 $154,573 ($12,477) -8.1% 8 CareerSource Northeast Florida 732,635 51, $2,114,704 $2,275,758 ($161,054) -7.1% 9 CareerSource North Central Florida 144,607 7, $387,100 $426,552 ($39,452) -9.2% 10 CareerSource Citrus Levy Marion 204,446 16, $625,817 $684,559 ($58,742) -8.6% 11 CareerSource Flagler Volusia 286,806 22, $854,010 $928,986 ($74,976) -8.1% 12 CareerSource Central Florida 1,199,782 82, $3,440,670 $3,704,275 ($263,605) -7.1% 13 CareerSource Brevard 264,024 20, $794,693 $866,785 ($72,092) -8.3% 14 CareerSource Pinellas 443,466 31, $1,285,103 $1,388,443 ($103,340) -7.4% 15 CareerSource Tampa Bay 634,531 44, $1,833,884 $1,976,607 ($142,723) -7.2% 16 CareerSource Pasco Hernando 255,189 21, $781,332 $851,367 ($70,035) -8.2% 17 CareerSource Polk 273,565 22, $833,313 $895,578 ($62,265) -7.0% 18 CareerSource Suncoast 311,439 21, $900,074 $963,792 ($63,718) -6.6% 19 CareerSource Heartland 65,669 5, $199,170 $217,208 ($18,038) -8.3% 20 CareerSource Research Coast 274,468 24, $866,753 $918,153 ($51,400) -5.6% 21 CareerSource Palm Beach County 648,891 47, $1,903,590 $2,017,565 ($113,975) -5.6% 22 CareerSource Broward 1,033,081 62, $2,852,086 $3,058,284 ($206,198) -6.7% 23 CareerSource South Florida 1,336, , $4,083,564 $4,337,440 ($253,876) -5.9% 24 CareerSource Southwest Florida 545,001 39, $1,588,446 $1,690,230 ($101,784) -6.0% STATEWIDE TOTALS 9,432, , $27,530,410 $29,568,155 ($2,037,745) -6.9% 28

65 Action Item 1, continued COMBINED VETERANS PROGRAMS (DVOP and LVER) * * * * * * * * * * * ESTIMATED FEDERAL AWARD FY FOR DVOP and LVER - $ 11,485,000 (Prior Year $11,485,000) Statutory Reference: Grantor Agency: Jobs for Veterans Act (Public Law ); Title 38, United States Code (USC), Chapters 41-42, as amended by the Jobs for Veterans Act (Public Law ); Title 38, USC, Chapter 31; Servicemen s Readjustment Act of United States Department of Labor (USDOL) Grant Program Objectives: To develop jobs and job training opportunities for disabled and other veterans through contacts with employers; promote and develop on-the-job training and apprenticeship and other on-the-job training positions within federal job training (e.g. Veterans Workforce Investment Program, Veterans Affairs programs); provide outreach to veterans through all community agencies and organizations; provide assistance to community-based groups and organizations and appropriate grantees under other federal and federally funded employment and training programs; develop linkages with other agencies to promote maximum employment opportunities for veterans; and to provide employability development and vocational guidance to eligible veterans, especially disabled veterans, utilizing a case-management approach to services, wherever applicable. To provide job development, placement and support services directly to veterans and to ensure there is local supervision of State Employment Agencies compliance with federal regulations, performance standards and grant agreement provisions in carrying out requirements of 38 U.S.C in providing veterans with maximum employment and training opportunities. Description and Limitations of the Grant Program: Funds must be used only for salaries and expenses necessary to reasonably support veterans staff who shall be assigned only those duties directly related to meeting the employment needs of eligible veterans according to the provisions of 38 U.S.C. 4103A. Description of Process used to Allocate Available Grant Funds: Funding for this program is expected to exceed the local requirements for this year. The allocation methodology of Disabled Veterans Outreach Program (DVOP)/Local Veterans Employment Representative (LVER) funds to regional workforce boards is therefore based on the staffing cost needs of each board for approved DVOP/LVER positions and related costs to support these positions. Local boards may request additional positions or pass-through funding through the DEO program office. Funding for dedicated Vocational Rehabilitation and Employment Program (VR&E) and the Incarcerated Veteran s Training Program (IVT), as negotiated by DEO with the U.S. Department of Labor, will not be included in the affected regional boards DVOP/LVER annual awards. These funds 29

66 will be separately awarded. In addition, 1 percent of the total Veterans grant award has been reserved for required performance incentives. As needed, the Department of Economic Opportunity will consult with CareerSource Florida staff and reallocate any funding that is no longer needed for the original purpose to other allowable uses within the program. * * * * * * * * * * * NEEDED ACTION Approval of the state and regional DVOP and LVER allocation methodology for state Fiscal Year 2014/15 with authority given to Department of Economic Opportunity and state board staff to reallocate funds that may become available due to deobligations or a changes in original need. 30

67 Action Item 1, continued SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM EMPLOYMENT & TRAINING PROGRAM (SNAP E&T) (Formerly known as Food Stamp Employment & Training Program - FSET) * * * * * * * * * * * ESTIMATED FEDERAL AWARD FY 2014/15 FOR SNAP E&T PROGRAM - $8,685,259 (Prior Year 2013/14 $8,685,259) Statutory Reference: Food Stamp Act of 1977, as amended, Section 16, Public Law , 91 Stat. 958, 7 U.S.C. 2025; Public Law , Public Law , Public Law Grantor Agency: U.S. Department of Agriculture (USDA) Grant Program Objectives: To provide federal financial aid to state agencies for costs incurred to operate Employment and Training Program for Food Stamp recipients. The Department of Children and Families is the state s recipient of federal grant funds for the Food Stamp Program. The Department of Economic Opportunity operates the SNAP E&T Program directly for USDA. Description and Limitations of the Grant Program: By April 1, 1987, all states were to implement a Food Stamp Employment Training (E&T) Program as mandated by Public Law The state agency is responsible for reimbursing participants for expenses incurred in fulfilling E&T requirements. Expenditures that may be included in this category are transportation, dependent care, books or training manuals, uniforms or other special equipment that a participant must have for participation and any other necessary and reasonable cost that a participant incurs. Participant reimbursements must be paid for with the 50/50 percent federal grant. State E&T Plans are not approvable unless USDA receives assurance that participant reimbursement funds are available. The Balanced Budget Act (Public Law ) provides additional funding (100 percent grant) for grants to states for work/training programs generally targeted for non-working able-bodied adults without dependents. These grants do not require a match. Description of Process used to Allocate Available Grant Funds: The SNAP E&T Program operates on the federal fiscal year and a new state plan is needed for the new federal year that will begin October 1, Due to past high unemployment rates, the state received a waiver to exempt all counties from mandatory participation in this program, also known as waived state status until September 30, For the period beginning October 1, 2014, Florida has been advised that the state will once again be eligible for a waiver to operate this program on a voluntary participation basis. If the state chooses to continue its voluntary status, all regional workforce boards will have the option to participate and will 31

68 be funded if they so choose. Staff recommends approval of delegation of authority to CareerSource Florida and DEO staff to approve SNAP E&T allocations to those boards electing to operate the program on a volunteer basis. It is further recommended that CareerSource Florida and DEO staff be given the authority to establish a need-based formula to allocate available funding to those regional workforce boards that choose to participate, and the additional authority to maximize the utilization of funds through the de-obligation and reallocation of funds between regional workforce boards and DEO. If the state chooses not to operate the program on a voluntary basis, an action item to address the allocation of SNAP E&T funds to local boards, that would be required to participate in the mandatory program, would need to be presented at the August 2014 state board meeting. * * * * * * * * * * * NEEDED ACTION Approval of the delegation of authority to CareerSource Florida and DEO staff to formally approve the SNAP E&T Program allocations for the period July 1, 2014, through June 30, 2015, and authorize CareerSource Florida and DEO staff to make funding shifts among workforce boards, CareerSource Florida and DEO to maximize utilization of available SNAP E&T funds during the year. If the voluntary status is not extended beyond September 30, 2014, the board approval only applies to the period July 1, 2014, through September 30,

69 Action Item 1, Continued REEMPLOYMENT ASSISTANCE (RA) SERVICES * * * * * * * * * * * FEDERAL AWARD FOR RA SERVICES - FY Year 2014/15 - $3,000,000 (Prior Year 2013/14 - $3,500,000) Statutory Reference: Grantor Agency: Social Security Act, as amended, 42 U.S.C , ; Trade Act of 1974, as amended, Public Law , 88 Stat. 2024, 19 U.S.C. 2311; Federal Unemployment Tax Act, as amended, 26 U.S.C note; Federal Employees and Ex-Service Members, 5 U.S.C and 8521; Robert T. Stafford Disaster Relief and Emergency Assistance Act, as amended, Public Law , 88 Stat. 153, 42 U.S.C United States Department of Labor (USDOL) Grant Program Objectives: To administer the state s program of unemployment insurance for eligible workers through federal and state cooperation; to administer payment of trade adjustment assistance; disaster unemployment assistance; unemployment compensation for federal employees and ex-service members. Description and Limitations of the Grant Program: Funds are provided to support local career center staff that assist customers with filing Reemployment Assistance initial and continuing claims via the state s online system. Description of Process used to Allocate Available Grant Funds: Funds are directly distributed to regional workforce boards based on the following work-based formula: 100% based on the relative share of the state s number of RA claims (based on an annualized average) Staff recommends that DEO and state board staff be given the authority to reallocate any of the funding initially reserved for a regional workforce board that no longer needs the funding to other boards in need of additional resources. * * * * * * * * * * * NEEDED ACTION Approval of the regional Reemployment Assistance Services fund allocations for state Fiscal Year 2014/15 with authority given to DEO and CareerSource Florida staff to reallocate such funds between workforce regions as needed. 33

70 Action Item 1, Continued BUDGET IMPELMENTING ACTIONS NEEDED For Fiscal Year 2014/15 * * * * * * * * * * * IWT and QRT Training Programs The proposed budgets for the Incumbent Worker Training (IWT) and Quick Response Training (QRT) programs funded by federal Workforce Investment Act funds and state funds respectively are defined in the current state appropriations and substantive legislation. Funding for QRT appropriated in the General Appropriations Act for the 2014/15 totaled $12,000,000. Additional first-time funding totaling $100,000 was appropriated to CareerSource Florida to market and promote QRT. As required by Section (3), F.S., funding for the IWT Program includes recurring WIA funding of $2,000,000. As previously noted as part of the Workforce Investment Act state-level set aside, an additional $1,000,000 is recommended for IWT. If the additional funding is approved, the total funding for IWT will be $3,000,000. Individual Training Account (ITA) Waiver for Fiscal Year 2014/15 In the current fiscal year, the board approved an ITA waiver policy that allowed for regions to request either a one-year extension of their ITA waiver percentage or select their waiver percentage based on a sliding scale. Due to the continuing trend of declining funding and, in an effort to provide additional fiscal flexibility for regional workforce boards to meet customer demands, for the upcoming fiscal year, CareerSource Florida is recommending a modified approach to last year s policy. Staff recommends that regions are allowed to select a waiver percentage based on two options: 1) additional one-year extensions of their approved ITA percentage or 2) a sliding scale ITA percentage based on their reduced funding levels (WIA, WP, and TANF) as compared to 2012/13. Regional workforce boards may request a percentage between the statutorily required amount of 50% and the lowest option available on the attached Waiver Analysis. For example, a region may be eligible for a waiver that would reduce its required ITA percentage to 35%. However, the region may want its waiver percentage to be at some higher level, such as 42%. Under this scenario, the region would request a 42% waiver. Regional workforce boards will submit waiver requests to CareerSource Florida including an explanation of their waiver request amount. CareerSource Florida staff will send instructions to regional workforce boards outlining the specific information that will need to be included in such requests. If a region does not request a waiver percentage based on this policy, it will be required to either meet the statutorily required ITA percentage (50%) or submit a full waiver request under the board s existing ITA Waiver Policy. All full waiver requests will be submitted to the CareerSource Florida Executive Committee for approval or denial. 34

71 * * * * * * * * * NEEDED ACTION To approve Individual Training Account waiver operational policy and Quick Response Training and Incumbent Worker Training grant program funding that are needed to implement the General Appropriations Act and funding decisions being considered by the CareerSource Florida Board. 35

72 Consolidated Action Item 1 Approval of Funding Allocations and Implementing Operational Policies 1. Approval of the Program Year 2014/15 regional Adult, Youth, and Dislocated Worker fund allocations. 2. Approval to establish the 2014/15 WIA state-level set-aside allocations, authorize operations and administration funding, other reserves, obligations, and commitments for the Department of Economic Opportunity and CareerSource Florida. 3. Approval of the allocation methodology as proposed for the distribution of TANF funding for Fiscal Year 2014/ Approval of the regional Wagner-Peyser 7(a) fund allocations and 7(b) state-level activities for state Fiscal Year 2014/ Approval of the state and regional DVOP and LVER allocation methodology for state Fiscal Year 2014/15 with authority given to Department of Economic Opportunity and CareerSource Florida staff to reallocate funds that may become available due to deobligations or a changes in original need. 6. Approval of the delegation of authority to CareerSource Florida and DEO staff to formally approve the SNAP E&T Program allocations for the period July 1, 2014, through June 30, 2015, and authorize CareerSource Florida and DEO staff to make funding shifts among workforce boards, in order to maximize use of available SNAP E&T funds during the year. If the voluntary status is not extended beyond September 30, 2014, the board approval only applies to the period July 1, 2014, through September 30, Approval of the regional Reemployment Assistance Services fund allocations for state Fiscal Year 2014/15 with authority given to DEO and CareerSource Florida staff to reallocate such funds between workforce regions as needed. 8. Approval of the Individual Training Account waiver operational policy and Quick Response Training and Incumbent Worker Training grant program funding that are needed to implement the General Appropriations Act and funding decisions being considered by the CareerSource Florida Board. 9. Approval of authorization for the President and Treasurer to adjust actual spending categories as necessary within the total approved budget for all funding allocations approved through this action. 36

73 Action Item 2 CareerSource Florida Board of Directors Quarterly Meeting May 21, 2014 Action Item Approved Disapproved APPROVAL OF A CONTRACT UNDER CAREERSOURCE FLORIDA CONTRACTING POLICY * * * * * * * * * * * Pursuant to the CareerSource Florida Contracting Policy, CareerSource Florida is not to enter into a contract with one of its own board members, with an organization represented by its own board member or with any entity where a board member has any relationship with the contracting vendor; however, the Contracting Policy further provides that, at the Board s discretion, the a contract may be exempted from the preceding prohibition by the following exemption: A contract with a member receiving a grant for workforce services under federal, state or other governmental workforce programs. (Paragraph II(c), CSF Contracting Policy) If, in the Board s discretion, the Board chooses to exempt the contract, the approval process must meet the requirements of Section III of the Contracting Policy: a) The conflict of interest of the Board member must be fully disclosed. b) The Board member must abstain from the vote. c) The Board must approve by a 2/3 vote when a quorum has been established. The following contract is submitted for the Board s review and approval: Contractor Amount CFS Board Member Involved Gulf Power Company Plant Crist Up to $31,143 on IWT contract. Jennifer Grove, Workforce Development Coordinator Type of Contract Incumbent Worker Training CSF Contracting Policy Exemption Receipt of workforce services under workforce programs Board Member Personally Benefit From Contract? No * * * * * * * * * * NEEDED ACTION Approve the above-listed contracts by a 2/3 vote when a quorum has been established.

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