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Rescission Means Millions Lost in Workforce Dollars November 2, 2007 The National Workforce Association Times is reporting the latest actions related to an Administration and House proposal to rescind $335 million in Workforce Investment Act funds for Fiscal Year 2008. The impact of such a rescission would be felt across the country, and is estimated to affect the Massachusetts allocation by more than $4million, and, subsequently, Greater New Bedford by more than $300,000. The Greater New Bedford Workforce Investment Board has been in contact with Congressman Barney Frank’s office to alert him of the rescission issue; to highlight the impact on our area; and, to solicit his assistance in removing the rescission language. In support of the workforce development system and the thousands of people trained in necessary skills, Congressman John F. Tierney (Ma), along with 76 signatories, including Congressman Barney Frank (Ma), wrote a plea to the Committee on Labor, Health and Human Services to eliminate the proposed rescission. Congressman Tierney’s letter cited the impact to as many as 134,000 workers not having access to job training; One Stop Career Centers would be adversely impacted; and, the capacity to train workers could be greatly diminished with the rescission. Click here for a copy of the letter. On November 1st, the House-Senate Labor HHS Conference Committee approved its FY ‘08 Labor HHS Appropriations bill, which will be voted on in the House and Senate this week and sent to the President by Veteran’s Day. The Conference Committee restores over $750 million in cuts proposed by the Administration’s budget request to WIA, including a full restoration to the WIA formula programs. However, it also includes a $245 million rescission of prior year WIA funds. The Senate proposal did not include a rescission. The bill, which now includes funding for Veterans and Military Construction, will be brought to the floor for a vote this week. There is an expectation that there will be an amendment to split off funding for the Veterans bill from Labor HHS. While the bulk of the President’s proposed cuts have been restored in the Conference, the inclusion of the rescission highlights the need to reauthorize WIA quickly. Until WIA is reauthorized, our system is highly vulnerable to the Administration’s claim that there is unexpended carryover. It is expected that the Labor HHS Conference Report will be vetoed by the President and the Congressional leadership will attempt to override this veto. The most likely outcome for the Labor HHS bill appears to be its inclusion in a giant Omnibus Appropriations package in December or as part of a long term Continuing Resolution which will level fund all government programs for the upcoming fiscal year. Stay tuned. 227 Union Street, Suite 206, New Bedford, MA 02740-5946 PH 508.979.1504 FAX 508.979.5680 E-mail: Webmaster@gnbwib.org |