WorkSource Montgomery outlines workforce gains, warns of federal funding uncertainty

WorkSource Montgomery, the county’s designated workforce development board and operator of the American Job Center network, briefed the Economic Development Committee on Jan. 27 on program outcomes, youth career advising expansion and fiscal risks tied to changes in federal funding.

Anthony Featherstone, executive director, presented data showing steady placements and expanded youth programming while cautioning that federal workforce formula funds under WIOA (Workforce Innovation and Opportunity Act) are uncertain. “We want to make sure we connect with [disconnected residents], figure out where they are today, what supports they need,” Featherstone said, describing priorities that include system building, community engagement, business engagement, talent pipelines, youth career education and measurable impact.

Why it matters: WorkSource Montgomery delivers training and employer services that connect residents to jobs and addresses county workforce gaps. The organization’s ability to maintain services depends in part on federal and state funding; WorkSource told the committee it expects downward pressure on formula funding and is pursuing private grants and county support to maintain programs.

Key outcomes and programs: WorkSource said it has placed more than 2,000 residents into employment year‑to‑date and works with hundreds of employers. The Montgomery County career advising program (the local implementation of a Blueprint for Maryland’s Future partnership) has reached roughly 25,000 students since launch; staff reported that student survey responses show improvements in career clarity and that hundreds of educators have been engaged as “teacher champions.” SkillUp Montgomery, the county’s virtual training platform, reported 767 users, more than 11,000 course launches and around 2,000 course completions to date.

WorkSource highlighted ALICE (asset‑limited, income‑constrained, employed) data showing an increase in households at or near the basic cost threshold — packet materials cited the United Way region’s analysis showing Alice + poverty rising from 32% to 37% in the most recent available data — and said the county’s older adult households and Hispanic and Black households have the highest Alice rates. Featherstone urged the council to consider funding approaches that preserve capacity for training and business grants should federal WIOA allocations fall.

Federal funding outlook: Committee members pressed WorkSource on contingency plans; Featherstone said the board faces an FY25 reduction the packet characterized as a roughly 22% cut in a recent year and that the state’s preliminary guidance indicated a possible additional 7% decline to federal allocations in FY26. WorkSource said it is pursuing other revenue sources — private foundations, county grants and demonstration funding (including past ARPA‑funded pilots) — to offset formula reductions.

Youth career advising and apprenticeship for coaches: WorkSource described the Montgomery County Career Advising program, noting the program’s career‑theory basis (RIASEC) and that career coaches are enrolled in a registered apprenticeship program approved by U.S. and Maryland apprenticeship authorities. Deputy director John Hattery reported that individual student surveys are converted into PDFs for coaches to use in follow‑up and that the program is piloting a large “World of Work” occupational exploration event for middle schools.

Next steps: WorkSource will return with budget implications and a workforce plan under development; the board asked the council to consider program fidelity and possible county funding if federal formula revenue declines.

No formal council action was taken during the briefing.