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Workforce director says federal cuts shrink three‑county budget; training support will be reduced
Summary
Penny, the regional workforce program lead, told the committee the three‑county workforce budget declined from about $1.66 million last year to roughly $1.19 million this year after federal cuts and loss of a $200,000 incentive, reducing funds for training and support services and possibly prompting layoffs.
Penny, a program director speaking to the Otsego County Human Services Committee on June 9, said the three‑county workforce budget dropped substantially between last year and this year after federal cuts and the loss of incentive funding.
"Last year for our three county area, our budget was 1.66 million and that included a $200,000 incentive...this year our budget is 1.19," Penny said. She said the net effect is "about a $500,000 cut" from last year, including roughly $300,000 in cuts and the absence of the prior $200,000 incentive. Penny said the reduction will limit available funds for training, support services (for example, driver's license assistance, bus passes and immediate help for new employees) and could lead to staffing reductions: "we're probably looking at laying off somebody... probably somebody out of my office."
Penny said program staff are pursuing additional funds, including an application to a regional commission grant to help with transportation costs, and will reach out to county planning and social services to identify any unused funds.
The committee discussed coordination with social services and workforce partners and asked Penny to report back on grant applications and staffing plans. No formal budget reallocation or layoffs were approved at the meeting.
