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Department of Labor outlines budget adjustments: close WEP fund and return $8 million to general fund
Summary
Michael Harrington, commissioner of the Department of Labor, told the Appropriations Committee that the department is supporting two technical budget adjustments in the current budget-adjustment bill: closing the state’s Workforce Education and Training (WEP) fund and allowing about $8 million in prior-year appropriations tied to unemployment insurance modernization to revert to the general fund.
Michael Harrington, commissioner of the Department of Labor, told the Appropriations Committee that the department is supporting two technical budget adjustments in the current budget-adjustment bill: closing the state’s Workforce Education and Training (WEP) fund and allowing about $8 million in prior-year appropriations tied to unemployment insurance (UI) modernization to revert to the general fund.
Harrington said the WEP fund balance is roughly $2.600.000 and appears to be mostly carryover from subgrants and awards made before 2016. "We wouldn't be defunding any programs by wiping out the fund," Harrington said, explaining that the fund has not received a direct legislative appropriation in several years and that unused subgrantee balances have accumulated.
The second adjustment involves $8 million that Harrington said originated in the department’s base budget for fiscal years 2023 and 2024 for UI modernization work. The money remained…
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