Joint Training Presentation on Governor's Guidelines

Governors Guidelines to State and Local Program Partners

Negotiating Costs and Services under WIOA

December 2015

1Webinar OverviewBackground and contextFour main segmentsGeneral guidelines for negotiation of local Memoranda of Understandings (MOUs)Guidelines for negotiation of comprehensive one-stop center infrastructure costsGuidelines for negotiation of local one-stop delivery system costsGuidelines for negotiation process and timingShort presentation Q & A after each segment

2Background and ContextBasic purposes of Governors GuidelinesFulfill WIOA requirementOptimize service quality and value for customersEstablish ground rules for cost sharingWebinar objectivesProvide local partner representatives the same information in a common settingOpportunity for local partners to not only ask questions but to hear questions others are askingResources embedded in Guidelines

3Guidelines for Local MOU negotiationsBasic principles for MOUsImportant tool to achieve integration of programs and services goals of WIOAReflect shared vision and commitments of local boards and partnersNegotiation only by individuals empowered to make commitments for a partner - financial and programmatic All negotiations in good faith

4Basic Decisions Reflected in MOUServices available in local one-stop delivery systemLocations at which services are providedEach program partners methods of service deliveryRole of comprehensive one-stop center operatorsCoordination of referralsHow local comprehensive one-stop center infrastructure costs and delivery system costs will be shared5Time for Questions of Clarification6Guidelines for negotiation of Comprehensive one-stop Center Infrastructure costsDefinition of infrastructure costs [(Sec. 121(h)(4)]non-personnel costs that are necessary for the general operation of the one-stop center, including the rental costs of facilities, the costs of utilities and maintenance, equipment (including assessment-related products and assistive technology for individuals with disabilities), and technology to facilitate access to the one-stop center, including the centers planning and outreach activities.

7Two Infrastructure cost funding mechanismsLocal funding mechanism (when all partners agree)In-kind contributions allowedNo new statutory caps on partner contributionsPossibility of sharing infrastructure costs for multiple comprehensive one-stop centers if partners agreeIncreased flexibility to decide on basis of allocation

8Two infrastructure cost funding mechanismsState infrastructure cost funding mechanism (last resort only if local agreement fails)In-kind contributions not allowedPartner contributions subject to new statutory capsLimited funds, in part due to these capsFunds available for only one comprehensive one-stop center (except Chicago)Forced partner acceptance of infrastructure cost allocation a possibility

9Other Infrastructure cost guidelinesLocal agreement is the expectationState infrastructure funding mechanism only as a last resortAllocation by FTEs is the preferred method of allocation of infrastructure costsBoth onsite and offsite FTEs are countedFTEs are the only allowable basis for allocation under the State funding mechanismOther allocation methods are possible under the local funding mechanism (consistent with new OMB Circular on Uniform Administrative Requirements)10Time for Questions of Clarification11Guidelines for Negotiation of local One-stop System costsDefinition of Shared System CostsAdditional, non-infrastructure costs, to which required program partners must contribute. These shared costs may include the cost of shared services authorized for an individual participant, such as intake and assessment costs, as well as shared costs of local board functions.12Guidelines for Negotiating local One-stop System costsAll required partners must share in these costsSpecific costs to be shared are determined locallyIn-kind contributions to shared system costs are permissiblePriority is for costs that promote integration, streamline service delivery or improve outcomes13Examples of Possible shared System costsCosts to support local board functionsSalary and benefits for board staffBoard meeting costsErrors and omissions insurance for board directors and officersAudit costs for incorporated boardsCosts of marketing services to employersCosts of strategic data gathering and analysis projects14Examples of Possible shared System costsCosts to promote integration and streamliningJoint training and staff development for one-stop center staffCustomer satisfaction measurement costsBusiness services costsReceptionists at service facilitiesResource room materials and staffing costs at service locations15Time for Questions of Clarification16Negotiation Process and TimelineLocal board chair appoints:Individual to lead MOU negotiationsPrivate sector board member, or other impartial individual, to lead negotiations of infrastructure and shared costs17Negotiation Process and TimelineMOUShared costs18Negotiated every 3 years Negotiated annually(includes one-stop center infrastructure costs)Negotiation Process and TimelineMOUShared costs1990-day period for negotiationsMust report at end of 90 days (March 31)45-day remediation period by State-level team for local areas reporting no agreement reachedUse standard budget formatBudget developed in stagesDraft budget due February 28Final budget must be included in MOUPeriodic reconciliation of allocated costs to actual costs requiredNegotiation Process and TimelineTimeframeActivityOn or before January 1, 2016Start of local MOU negotiations and infrastructure cost sharing agreementsFebruary 28, 2016(every year)Draft budget using standard format due to Governors designeeMarch 31, 2016(every year an MOU is negotiated)Local MOU negotiations endLocal chairs/CEOs report MOU outcomes to Governors designeeApril 15, 2016(every year)45-day remediation period begins for LWIAs not reaching agreement on infrastructure costsMay 31, 2016(every year an MOU is negotiated)45-day remediation period expires LWIAs at an impasse if no agreement reachedJuly 1, 2016(every year an MOU is negotiated)Signed MOU must be submitted to the Governors designee20Time for Questions of Clarification21Wrap up

Where to go for questions22