Rising to the Challenge Investing Stimulus Funding with our Core Principles in Mind
We're proud of Florida's well-earned national reputation as a state with a top-notch workforce system. Mostly federally funded, our demand-driven workforce system is guided by core principles that include a shared vision among workforce partners, business-led decision-making, innovation, a bias toward action and strategic partnerships with an emphasis on performance and accountability. These principles continue to serve us well as we assist Floridians (1 million last year) and tens of thousands of businesses with their workforce needs. In fact, in recent years, our system has continued to develop and deploy strategies for meeting rising employment and training demands even as federal funding declined. Now, in the midst of a global recession, the American Recovery and Reinvestment Act of 2009, holds the promise of an infusion of federal dollars to help our state -- with its 16-year high unemployment rate -- put Floridians back to work while investing in building world-class talent that will keep businesses competitive in the global economy.
 
Current estimates for federal stimulus funding for Florida's workforce system show as much as $160 million could be on the way. By comparison, Florida received $119 million for the current budget year from the same two major federal funding streams. I must emphasize the stimulus funding for workforce remains an estimate only, as we have grown accustomed at Workforce Florida to watching these figures fluctuate. No matter the final amount, last week, we heard a clear message from our Workforce Florida Board of Directors: Florida's investment of these stimulus dollars will remain true to our system's mission and values. While we will deploy these resources as quickly as possible, our board also expects enhanced performance from our system as we seek to maximize both the value and scope of this investment to ensure long-term outcomes consistent with our Governor's plans for growing and sustaining a robust economy.
 
To that end, Workforce Florida and the Agency for Workforce Innovation continue to work closely with the Executive Office of the Governor and our U.S. Department of Labor (USDOL) and other policy contacts in Washington, D.C. Recently returned from the nation's capital, Agency for Workforce Innovation Deputy Director Barbara Griffin shared with workforce system leaders some of the direction she received from USDOL leaders about investing the stimulus money. Among other things, she said, federal workforce leaders are emphasizing that any training must result in jobs with the key focus being on helping unemployed workers find employment. This funding also should not be spent on infrastructure and should help drive national (and state) priorities such as an increased reliance on alternative and renewable energy resources. States will have the opportunity to focus their investment on high-growth and emerging occupations, but the workforce system also is expected to link training to jobs created as a result of increased spending in areas such as construction.
 
Meanwhile, the stimulus package also has major implications for Florida's unemployment compensation system administered by the Agency for Workforce Innovation. These include a federally funded increase through December in benefits resulting in an additional $25 per week for Floridians as well as an extension of the time period during which people may apply and qualify for up to 59 weeks of unemployment benefits. Because both allowances are federally funded, the state has no obligation to continue them beyond the December deadlines and they aren't expected to result in any increase in unemployment costs to Florida businesses. However, there are some additional provisions of the stimulus law that warrant a closer look and will require policy decisions by the Governor and Legislature, as they could expand eligibility for unemployment benefits and would result in more money from the state's Unemployment Compensation Trust Fund -- and ultimately more money from Florida businesses.
 
Workforce Florida and the Agency for Workforce Innovation have created teams, including representatives from local workforce boards, to evaluate the stimulus law and devise action plans that help position Florida to invest its workforce funding wisely and effectively as we rebound from this economic downturn.

Governor Crist Releases His Budget Proposal and Legislative Priorities
Governor Charlie Crist has unveiled his proposed $66.5-billion budget for 2009-2010 and developing Florida's workforce as a driver for strengthening the state's economy remains a top priority. Among the workforce highlights are: $4 million for the Quick Response Training (QRT) and $4 million for Incumbent Worker Training (IWT) grant programs. Administered by Workforce Florida, both programs are popular with Florida businesses. For every $1 of public funding invested in QRT an additional $14 was contributed by businesses for training most often for newly created jobs. For IWT, businesses invested nearly $8 in upgrading the skills of their existing workforce for every $1 of public funding.
 
Recognizing that these are difficult times for many Floridians seeking jobs, the Governor's budget also includes about $87 million in workforce system funding from Temporary Assistance for Needy Families (TANF). This funding is critical because it's used by the workforce system to help people receiving public assistance who are looking for employment or those most at-risk of seeking welfare if they lose their jobs with services such as job search, skills assessment and remedial and skills-upgrade training. The funding also is used to remove barriers to employment such as transportation for people transitioning from welfare to work.
 
Now that the Governor has provided his recommendations, the Florida Legislature will get to work in earnest on crafting a new state budget during the 60-day session that starts Tuesday, March 3. We'll continue to work closely with the Governor and Legislature throughout the budget process. Most encouraging is the commitment at every level of leadership -- both in the public and private sector -- to meeting the workforce needs of the people and businesses in our state.