LEO outlines workforce programs and requests $30 million to meet new federal work requirements

The House Appropriations Subcommittee on Labor and Economic Opportunity heard a departmental briefing on workforce programs and the governor's budget priorities, including a request for $30,000,000 in ongoing general funds to support new federal work requirements under HR 1.

Jashona Hicks, director of legislative affairs for the Department of Labor and Economic Opportunity, said the governor's proposal prioritizes access to health care, infrastructure, good-paying jobs and workforce training. —This is the governor's eighth and final budget recommendation,— she said before turning the presentation to Stephanie Beckhorn, deputy director for Employment and Training.

Beckhorn gave an overview of the Office of Employment and Training (ENT), saying almost 83% of ENT's budget comes from federal funding and reporting —total appropriated funding is just over $688,000,000.— She described ENT's program areas—including the Bureau of Services for Blind Persons, Michigan Rehabilitation Services, workforce development and operations—and listed delivery partners such as Michigan Works agencies, adult education providers and postsecondary institutions.

On the governor's budget, Beckhorn said $30,000,000 in ongoing general funds is proposed to meet new federal work requirements under HR 1. She said $5,000,000 of that would be dedicated to expanding registered apprenticeships —and the remaining $25,000,000 would support implementation of Medicaid and SNAP work requirements and associated state-level services.— Beckhorn described planned Michigan Works activities as including job search and training, job placement assistance and vocational rehabilitation services.

Beckhorn also cited program performance and participation figures: credential-attainment and wage gains after training, expansion of adult education providers and apprenticeship activity. She reported substantial increases in SNAP referrals and participation since recent federal rule changes.

Committee members pressed department officials on details: where adult education services are offered, how long certain federal deferral categories (for example, foster youth or homeless adults) would apply, and how Going Pro short-term training differs from registered apprenticeships. Beckhorn said Going Pro provides short-term training (often less than six months) and reimburses employers after training completion and retention; registered apprenticeships combine paid on-the-job training with related classroom instruction and can last from one to five years.

Hicks and Beckhorn said proposed new funding would help Michigan's workforce system meet increased demand stemming from HR 1 and related changes, while continuing existing programs that serve adults, youth, employers and people with disabilities. The subcommittee did not vote on the proposal during the hearing; members requested additional data on program applications, awards and denials for Going Pro and metrics on deferral categories under HR 1.