20030812_m

COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Human Services Agency

DATE:

BOARD MEETING DATE:

August 12, 2003

TO:

Honorable Board of Supervisors

FROM:

Maureen D. Borland, Director, Human Services Agency

Glen H. Brooks, Jr., Director, Central Region

SUBJECT:

Sixth Amendment to the Agreement with Opportunities Industrialization Center-West (OICW)

Recommendation

Adopt a resolution authorizing the execution of a Sixth Amendment to the Agreement with OICW to increase the amount of the Agreement by $599,744 making the total Agreement obligation $3,130,538.

Background

On July 25, 2000, the Board of Supervisors approved an Agreement with OICW for the purpose of closeout activities for the Job Training Partnership Act (JTPA), and to provide WorkFirst One-Stop Career Center services. The Board of Supervisors has approved five previous Amendments to add Comprehensive Year-Round Youth Services, extend the term of the Agreement, increase the amount of the Agreement, reduced the funds from the One-Stop Career Center Services in Menlo Park for PY 2001-02 to support the expansion of the PeninsulaWorks One-Stop system, increase services through the Jobs Now program and the One-Stop Career Center, extend the Agreement for OICW to offer a course in Medical Billing and Coding instructions and employability skills training targeted to dislocated workers, and to continue vocational training services for CalWORKs participants.

Discussion

This Sixth Amendment increases the amount of the Agreement so that OICW can continue to administer employment and training services which include: Comprehensive Year-Round Youth Services, Jobs Now, and One-Stop Career Center Services for FY 2003-04. The Comprehensive Year-Round Youth Services program will receive $125,000, Jobs Now will receive $250,000 and the One Stop Career Service Center will receive $224,744.

Youth programs administered by OICW include but are not limited to: tutoring, study skills, instruction leading to secondary school completion, alternative secondary schools, employment opportunities directly linked to academic and occupational learning, paid and unpaid work experience including internship and job shadowing, occupational skills training, leadership development, supportive services, adult mentoring, follow-up services and comprehensive guidance and counseling. Adult and Dislocated Worker programs include but are not limited to: job preparation workshops, employment counseling, structured job search, and vocational training.

A Request For Proposal process is not required for this Agreement as this Contractor was chosen through a selection process administered by the Workforce Investment Board. County Counsel has reviewed and approved this Sixth Amendment as to form. Risk Management has approved the Contractor’s Insurance to continue this Agreement.

Performance Measures

Performance Measures for Year Round Youth Program

Performance Measures for

Younger Youth (Ages 14-18)

FY 2002-03

PLANNED

FY 2002-03

ACTUAL

FY 2003-04

PLANNED

Skill Attainment Rate

77.88%

84.15%

77.88%

Diploma/Equivalent

66.45%

50%

66.45%

Retention Rate

46.73%

*Not Available

46.73%

*Diploma/Equivalent is lower than planned because more of the exits than expected were for participants who did not successfully earn a credential.

*Retention Rate is not available because this is based upon follow-up data in the JTA system which has no records of the data at this time.

Performance Measures for

Older Youth (Ages 19-21)

FY 2002-03

PLANNED

FY 2002-03

ACTUAL

FY 2003-04

PLANNED

Entered Employment Rate

40.66%

50%

40.66%

Employment Retention Rate at Six Months

78.88%

100%

78.88%

Average Earnings Change at Six Months

$1,110

*Not Available

$1,110

Credentialing Rate

55%

50%

55%

*Average Earnings Change data is not available because this is based upon follow-up data in the JTA system which has no records of this data at this time.

*Credentialing Rate is lower than planned because participants who did not obtain a credential or certificate exit program before participants who do obtain credential (and therefore show up on the performance measures earlier than those who are successful). In general, older youth who are WIA eligible typically face significant life challenges and obstacles (e.g. single parents, history with the criminal justice system) that often make it more difficult for them to obtain a credential or certificate. Actual performance is slightly under target level.

Service Level for Jobs Now Participants

FY 2002-03 PLANNED

FY 2002-03 ACTUAL

FY 2003-04

PLANNED

HSA Referrals

288

231

288

*Actual reflects available data through May 31, 2003.

Performance Measures for Local One-Stop System

Adults

FY 2002-03

PLANNED

FY 2002-03

ACTUAL

FY 2003-04

PLANNED

Entered Employment Rate

80%

73.21%

80%

Retention Rate at Six Months

87%

75%

87%

Earnings Gain at Six Months

$4,075

$1,883

$4,075

Credentialing Rate

70%

68.63%

70%

*Entered Employment Rate is lower than planned due to current economic and labor market conditions in San Mateo County and the greater Bay Area.

*Retention Rate is lower than planned for reasons similar to Entered Employment Rate. Additionally, employers have been hiring for specific projects and temporary assignments with many assignments lasting only about 90 days. Workers are having a harder time staying on the job when employers are struggling to meet their expenses – and keep their bottom line in the black.

*Earnings Gain is lower than planned due to soft labor market, putting downward pressure on wages (30 to 40% below market rate) across many sectors of the economy, impacting both entry level and senior level job opportunities. This decline is reflected by the continued rise in unemployment (1.9% in mid 2000 to 5.1% in April 2003) in San Mateo County for the past 18 – 24 months.

*Credentialing Rate is slightly below plan due in part to economic pressures, requiring some participants to accept employment before completing training.

*Actual reflects available data through March 31, 2003

Dislocated Workers

FY 2002-03

PLANNED

FY 2002-03

ACTUAL

FY 2003-04

PLANNED

Entered Employment Rate

81.86%

82.86%

81.86%

Retention Rate at Six Months

87%

63.64%

87%

Earnings Replacement Rate at 12 Months

98%

344%

98%

Credentialing Rate

70%

68.57%

70%

*Retention Rate - is lower than planned due to some employers hiring for specific projects and temporary assignments with many assignments lasting no more than 90 days. Workers are having a harder time staying on the job when employers are struggling to meet their expenses – and keep their bottom line in the black.

*Credentialing Rate - is slightly below plan due to economic pressures, requiring some participants to accept employment before completing training.

*Actual reflects available data through March 31, 2003.

Vision Alignment

The Agreement with OICW keeps the commitment of both: Creating opportunities for every household to participate in our prosperity and Sowing the seeds of our future prosperity, and goals number 17 and 19: The skills level of new workers rises with improved K-12 education and training options and All households experience real gains in income. This Agreement contributes to these commitments and goals by providing educational, vocational and support services to youth and by supporting employment and training services, that assist individuals in finding gainful employment and reaching self-sufficiency.

Fiscal Impact

This Amendment increases the Agreement by $599,744 for FY 2003-04, which changes the total Agreement obligation from $2,530,794 to $3,130,538. This Agreement is funded with WIA and CalWORKs funds and is included in the FY 2003-04 Recommended Budget. There is no Net County Cost.



COUNTY OF SAN MATEO Inter-Departmental Correspondence
Human Services Agency

DATE:
BOARD MEETING DATE:				August 12, 2003

TO:	Honorable Board of Supervisors
FROM:	Maureen D. Borland, Director, Human Services Agency
	Glen H. Brooks, Jr., Director, Central Region
SUBJECT:	Sixth Amendment to the Agreement with Opportunities Industrialization Center-West (OICW)

Recommendation
Adopt a resolution authorizing the execution of a Sixth Amendment to the Agreement with OICW to increase the amount of the Agreement by $599,744 making the total Agreement obligation $3,130,538.

Background
On July 25, 2000, the Board of Supervisors approved an Agreement with OICW for the purpose of closeout activities for the Job Training Partnership Act (JTPA), and to provide WorkFirst One-Stop Career Center services. The Board of Supervisors has approved five previous Amendments to add Comprehensive Year-Round Youth Services, extend the term of the Agreement, increase the amount of the Agreement, reduced the funds from the One-Stop Career Center Services in Menlo Park for PY 2001-02 to support the expansion of the PeninsulaWorks One-Stop system, increase services through the Jobs Now program and the One-Stop Career Center, extend the Agreement for OICW to offer a course in Medical Billing and Coding instructions and employability skills training targeted to dislocated workers, and to continue vocational training services for CalWORKs participants.

Discussion
This Sixth Amendment increases the amount of the Agreement so that OICW can continue to administer employment and training services which include: Comprehensive Year-Round Youth Services, Jobs Now, and One-Stop Career Center Services for FY 2003-04. The Comprehensive Year-Round Youth Services program will receive $125,000, Jobs Now will receive $250,000 and the One Stop Career Service Center will receive $224,744.

Youth programs administered by OICW include but are not limited to: tutoring, study skills, instruction leading to secondary school completion, alternative secondary schools, employment opportunities directly linked to academic and occupational learning, paid and unpaid work experience including internship and job shadowing, occupational skills training, leadership development, supportive services, adult mentoring, follow-up services and comprehensive guidance and counseling. Adult and Dislocated Worker programs include but are not limited to: job preparation workshops, employment counseling, structured job search, and vocational training.

A Request For Proposal process is not required for this Agreement as this Contractor was chosen through a selection process administered by the Workforce Investment Board. County Counsel has reviewed and approved this Sixth Amendment as to form. Risk Management has approved the Contractor’s Insurance to continue this Agreement.

Performance Measures

Performance Measures for Year Round Youth Program
Performance Measures for Younger Youth (Ages 14-18)		FY 2002-03 PLANNED	FY 2002-03 ACTUAL		FY 2003-04 PLANNED
Skill Attainment Rate		77.88%	84.15%		77.88%
Diploma/Equivalent		66.45%	50%		66.45%
Retention Rate		46.73%	*Not Available		46.73%
*Diploma/Equivalent is lower than planned because more of the exits than expected were for participants who did not successfully earn a credential.
*Retention Rate is not available because this is based upon follow-up data in the JTA system which has no records of the data at this time.

Performance Measures for Older Youth (Ages 19-21)		FY 2002-03 PLANNED	FY 2002-03 ACTUAL		FY 2003-04 PLANNED
Entered Employment Rate		40.66%	50%		40.66%
Employment Retention Rate at Six Months		78.88%	100%		78.88%
Average Earnings Change at Six Months		$1,110	*Not Available		$1,110
Credentialing Rate		55%	50%		55%
*Average Earnings Change data is not available because this is based upon follow-up data in the JTA system which has no records of this data at this time.
*Credentialing Rate is lower than planned because participants who did not obtain a credential or certificate exit program before participants who do obtain credential (and therefore show up on the performance measures earlier than those who are successful). In general, older youth who are WIA eligible typically face significant life challenges and obstacles (e.g. single parents, history with the criminal justice system) that often make it more difficult for them to obtain a credential or certificate. Actual performance is slightly under target level.

Service Level for Jobs Now Participants		FY 2002-03 PLANNED	FY 2002-03 ACTUAL		FY 2003-04 PLANNED
HSA Referrals		288	231		288
*Actual reflects available data through May 31, 2003.

Performance Measures for Local One-Stop System
Adults		FY 2002-03 PLANNED	FY 2002-03 ACTUAL		FY 2003-04 PLANNED
Entered Employment Rate		80%	73.21%		80%
Retention Rate at Six Months		87%	75%		87%
Earnings Gain at Six Months		$4,075	$1,883		$4,075
Credentialing Rate		70%	68.63%		70%
*Entered Employment Rate is lower than planned due to current economic and labor market conditions in San Mateo County and the greater Bay Area.
*Retention Rate is lower than planned for reasons similar to Entered Employment Rate. Additionally, employers have been hiring for specific projects and temporary assignments with many assignments lasting only about 90 days. Workers are having a harder time staying on the job when employers are struggling to meet their expenses – and keep their bottom line in the black.
*Earnings Gain is lower than planned due to soft labor market, putting downward pressure on wages (30 to 40% below market rate) across many sectors of the economy, impacting both entry level and senior level job opportunities. This decline is reflected by the continued rise in unemployment (1.9% in mid 2000 to 5.1% in April 2003) in San Mateo County for the past 18 – 24 months.
*Credentialing Rate is slightly below plan due in part to economic pressures, requiring some participants to accept employment before completing training.
*Actual reflects available data through March 31, 2003

Dislocated Workers		FY 2002-03 PLANNED	FY 2002-03 ACTUAL		FY 2003-04 PLANNED

Entered Employment Rate		81.86%	82.86%		81.86%
Retention Rate at Six Months		87%	63.64%		87%
Earnings Replacement Rate at 12 Months		98%	344%		98%
Credentialing Rate		70%	68.57%		70%
*Retention Rate - is lower than planned due to some employers hiring for specific projects and temporary assignments with many assignments lasting no more than 90 days. Workers are having a harder time staying on the job when employers are struggling to meet their expenses – and keep their bottom line in the black.
*Credentialing Rate - is slightly below plan due to economic pressures, requiring some participants to accept employment before completing training.
*Actual reflects available data through March 31, 2003.

Vision Alignment
The Agreement with OICW keeps the commitment of both: Creating opportunities for every household to participate in our prosperity and Sowing the seeds of our future prosperity, and goals number 17 and 19: The skills level of new workers rises with improved K-12 education and training options and All households experience real gains in income. This Agreement contributes to these commitments and goals by providing educational, vocational and support services to youth and by supporting employment and training services, that assist individuals in finding gainful employment and reaching self-sufficiency.

Fiscal Impact
This Amendment increases the Agreement by $599,744 for FY 2003-04, which changes the total Agreement obligation from $2,530,794 to $3,130,538. This Agreement is funded with WIA and CalWORKs funds and is included in the FY 2003-04 Recommended Budget. There is no Net County Cost.