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Labor committee reviews DLI budget, MnOSHA federal funding and workforce-development programs
Summary
Senate fiscal analyst Megan Bursch presented the November 2024 forecast summary to the Labor Committee on Jan. 30, reviewing Department of Labor and Industry (DLI) expenditures and funding sources; witnesses explained federal funds largely support Minnesota OSHA and that the workforce development fund backs apprenticeships and training programs.
On Jan. 30 the Senate Labor Committee received an overview of the Department of Labor and Industry's current budget base and related agencies from Megan Bursch, fiscal analyst with Senate Research and Fiscal Analysis.
Bursch told members the Labor Committee's jurisdiction includes DLI, the Bureau of Mediation Services, the Public Employment Relations Board and the Workers' Compensation Court of Appeals. She said DLI has the largest budget in the committee's jurisdiction with total all-funds expenditures of $266,884,000 in the current 2024-25 biennium and a base of $260,799,000 in the 2026-27 biennium. She said DLI's direct appropriations totaled $99,021,000 in 2024-25 and a base of $93,663,000 in 2026-27; a portion of those direct appropriations come from the general fund (Bursch cited $17,691,000 in 2024-25 and $14,443,000 in 2026-27). Bursch also described DLI's statutory and open appropriations (for example, the Construction Code Fund), which she said show higher totals in the planning biennium on the spreadsheet provided to members.
Bursch said Bureau of Mediation Services general fund expenditures were $5,955,000 in 2024-25 with a 2026-27 base of $6,048,000, and she noted the Public Employment Relations Board and Workers' Compensation Court of Appeals budgets are tracked in committee materials.
Committee members asked follow-up questions. Senator Pappas asked whether items in the governor's change list would be presented later; Bursch said departments will present recommended change items at a later date. Josiah Moore, legislative director at DLI, told the committee the largest chunk of DLI's federal funds go to Minnesota OSHA (MnOSHA), which operates under a state plan and receives federal matching funds: "The biggest chunk of our federal funding is, to MnOsha," Moore said.
When Senator Pratt asked about the workforce development fund, DLI staff (Mr. Roark) described programs funded from that source: youth skills training, the dual-training pipeline program, registered apprenticeship supports, the Labor Education and Advancement Program (LEAP) grants that support recruitment and retention of registered apprentices from historically underrepresented groups, and the DLI prevailing-wage unit.
Bursch directed members to budget-tracking spreadsheets on the Senate Fiscal Analysis website and said the governor's budget recommendations were available in the posted materials. Members did not take committee-level fiscal action in the hearing; analysts and agency staff will return for further briefings and department presentations on change items.
