This Fiscal Note is not an official copy and should not be quoted or cited.
Fiscal Note - SB 0502 - DOSS To Implement Direct Job Referral Prog. & Fed. Mandates
L.R. NO. 2384-01
BILL NO. SB 502
SUBJECT: Public Assistance
TYPE: Original
DATE: January 24, 1996
FISCAL SUMMARY
ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
Vocational
Rehabilitation Fund Unknown Unknown Unknown
Total Estimated
Net Effect on All
State Funds Unknown Unknown Unknown
ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
Federal Unknown and/or Unknown and/or Unknown and/or
(Unknown) (Unknown) (Unknown)
Total Estimated
Net Effect on All Unknown and/or Unknown and/or Unknown and/or
Federal Funds (Unknown) (Unknown) (Unknown)
*Costs could conceivably be less than $100,000. Savings cannot be quantified
at this time.
ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 1997 FY 1998 FY 1999
Local Government $0 $0 $0
FISCAL ANALYSIS
ASSUMPTION
The Coordinating Board for Higher Education (CBH) does not expect to be
fiscally impacted. Participation in a group to develop and implement a
statewide work force plan would be accomplished with existing resources.
The Department of Economic Development (DED), Division of Job Development &
Training does not expect to be fiscally impacted.
The Department of Elementary & Secondary Education (DES) indicated an unknown
fiscal impact as a result of this proposal. Section 208.329.3 could
conceivably result in a reduction in the number of field offices for the
Division of Vocational Rehabilitation, but it is unknown whether or not it
would be practical to combine these offices with the Division of Family
Services Offices (DFS). DES currently works in conjunction with DFS offices
and serves approximately 1,300 persons each year who are receiving Aid to
Families with Dependent Children (AFDC) benefits, but DES through their
Vocational Rehabilitation offices, serve a different clientele as well as
having a different funding source for this purpose.
The Department of Labor & Industrial Relations (DOL), Division of Employment
Security (ES) indicated a potential cost and/or savings. DOL is currently
implementing a one-stop career center with federal grants, but depending on
the local planning by inter- agency teams, there is the possibility that
co-location and automation equipment could result in costs and/or savings.
Until plans are completed and approved, the impact is unknown and will vary
in each of the 15 different service delivery areas. Basically, this system
will allow the Department of Social Services (DOS) to receive placement
service from DOL through the ES network. Oversight assumes that costs could
conceivably be under $100,000, with the bulk of the costs occurring in the
first year. DOL could incur moving costs for co-locating offices and
establishing a telecommunications network. Potential savings could occur if
the co-location of offices reduced rental costs. However, it is possible
that the co-location could increase rental costs as well if the co-location
could not be accomplished in existing office space.
The Department of Social Services (DOS) does not expect to be fiscally
impacted. DOS indicated that the proposal was a statement of the Division of
Family Services' (DFS) goals and legislative intent regarding welfare reform
initiatives. DFS is currently working on these items, and as such, would
incur no new costs.
FISCAL IMPACT - State Government FY 1997 FY 1998 FY 1999
(10 Mo.)
VOCATIONAL REHABILITATION FUND
Savings-Department of
Elementary & Secondary Education
Possible Reduction in Vocational
Rehabilitation Field Offices Unknown Unknown Unknown
ESTIMATED NET EFFECT ON
VOCATIONAL REHABILITATION FUND Unknown Unknown Unknown
FEDERAL FUNDS
Savings-Department of
Labor & Industrial Relations
Division of Employment Security (ES)
Co-location and Automation Equipment Unknown Unknown Unknown
Costs-Department of
Labor & Industrial Relations
Division of Employment Security (ES)
Co-location and Automation Equipment (Unknown) (Unknown) (Unknown)
ESTIMATED NET EFFECT ON Unknown Unknown Unknown
FEDERAL FUNDS and/or and/or and/or
(Unknown) (Unknown) (Unknown)
FISCAL IMPACT - Local Government FY 1997 FY 1998 FY 1999
(10 Mo.)
$0 $0 $0
DESCRIPTION
The proposal would amend provisions relating to public assistance programs.
The primary components of the proposal would include the following.
- The Division of Family Services (DFS) would be required to facilitate
the transition from Aid to Families with Dependent Children (AFDC) to
increase self-sufficiency and economic independence.
- DFS would be required to assist in the development of self-sufficiency
pacts, focusing on work activities such as unsubsidized employment, work
supplemented employment, community work experience, on-the-job training,
job search, job readiness assistance and job skills training.
- Direct job referrals would be made in order to allow an applicant the
opportunity to obtain employment while still applying for transitional
benefits.
- The Department of Social Services (DOS) would be required to apply to
amend the Jackson County work supplementation waiver for expansion to
other areas of the state, increasing subsidized employment
opportunities.
- AFDC and Food Stamp recipients who fail a controlled substance screening
would have 30 days to obtain employment with the screening employer or
other employment in order to retain their eligibility. Failure to pass
the screening or obtain employment would result in a recalculation of
benefits for the household without considering the needs of the
caretaker recipient. The caretaker would have the right to a review
with the director of DOS if benefits are suspended.
- The Departments of Economic Development (DED), Elementary & Secondary
Education (DES), Coordinating Board for Higher Education (CBH), Labor
and Industrial Relations (DOL) and DOS would be required to participate
in the development and implementation of a statewide work force plan.
- DOS would be required to participate in interagency capacity building
training for employment purposes.
- DOS would have the power to adopt, amend and repeal rules and
regulations necessary to implement federal mandates related to welfare
to work initiatives and time lines if federal monetary sanctions would
be imposed before May 16, 1997. Any regulation adopted would supersede
any prior statute defining eligibility for public assistance benefits
when related to welfare-to-work initiatives.
- The provisions of section 208.331 would expire on May 16, 1997.
This legislation is not federally mandated, would not duplicate any other
program and would not require additional capital improvements or rental
space.
SOURCES OF INFORMATION
Department of Social Services
Department of Economic Development
Division of Job Development and Training
Department of Elementary and Secondary Education
Coordinating Board for Higher Education
Division of Labor and Industrial Relations