Last week, the House Appropriations Labor, Health and Human Services, Education and Related Agencies (Labor-HHS) Subcommittee released its draft of the Fiscal Year 2019 (FY 2019) Labor-Health and Human Services-Education appropriations bill. Despite an increased budget cap for FY 2019 agreed to earlier this year as part of a two-year, bipartisan budget agreement, the FY 2019 House Labor-HHS allocation was essentially the same as the FY 2018 allocation. This level allocation means increases to some programs under the bill, including to Perkins Career and Technical Education state grants and apprenticeship funding for the administration’s new Industry Recognized Apprenticeship Program but also more significant increases for programs under the National Institute of Health and Health and Human Services, are offset by cuts to other workforce and education programs.
Department of Labor
Funding for the Department of Labor overall is decreased by $88.1 million, with $216 million in cuts coming to programs under the Employment and Training Administration.
Funding for Workforce Innovation and Opportunity Act (WIOA) state formula grants would be the same as FY 2018 levels, $2.8 billion – still a 40 percent cut since 2001 and below authorized levels. Wagner-Peyser Employment Service grants would be cut by almost $81 million below FY 2018 levels to $585,788,000. The bill would also cut more than $20 million in funding from the Dislocated Worker National Reserve for FY 2019 and rescind $200 million appropriated to the program for FY 2018.
The bill would fund Workforce Data Quality Initiative grants at the same levels as FY 2018, $6 million.
The bill would provide a $5 million increase in funding for apprenticeship opportunities. Unlike FY 2016, 2017 and 2018 appropriations, the House bill would not restrict this funding to expand only registered opportunities. This change would allow DOL to use funds to support new industry recognized apprenticeships, consistent with expansion called for in the President’s June 2017 Executive Order.
Department of Education
Under the House bill, Department of Education funding would increase by $43 million over FY 2018 levels. Perkins Career and Technical Education State Grants would be funded at almost $115 million more than FY 2018 levels. This is consistent with the administration’s focus on CTE as an important component of their job creation agenda and bipartisan Congressional efforts to reauthorize the current legislation authorizing the program.
Adult Education and Family Literacy State Grants would be funded at FY 2018 levels and the bill would maintain the maximum Pell award at $6,095.
What’s Next
Aided by increased spending levels agreed to in the bipartisan budget agreement, both the House and Senate are advancing the appropriations process at a faster pace than last year. Members are motivated to complete the process with relatively regular order before mid-term elections in the fall and because of threats from the White House to veto omnibus funding legislation or continuing resolutions.
The full House Appropriations committee is expected to mark up the bill Tuesday, June 26th where it will likely advance on a party-line vote, with Democrats registering continued opposition to the subcommittee allocation and cuts required to offset increases to some programs above FY 2018 levels. In the Senate, the Labor-HHS allocation was slightly higher than in FY 2018 and the process continues to be slightly more bipartisan. The Senate Labor-HHS subcommittee is expected to mark up their bill (also) on June 26th. The Senate Labor-HHS bill has not yet been released. It is likely to include level funding for most workforce and education programs and be closer to the final funding levels than the more partisan House bill.
Through the Campaign to Invest in America’s Workforce, NSC was one of more than 35 national organizations to send a letter urging members of the subcommittee to support vital investments in workforce and education programs. NSC will continue to advocate for these investments as the House and Senate continue the appropriations process.
| FY 2018 Omnibus | FY 2019 House Labor-HHS Bill | Difference FY 2017 – FY 2018 House Bill | |
|
Department of Labor |
|
||
| Workforce Innovation and Opportunity Act Title I – State Formula Grants |
$2,789,832,000 |
$2,789,832,000 |
– |
| WIOA Adult |
$845,556,000 |
$845,556,000 |
– |
| WIOA Dislocated Worker |
$1,040,860,000 |
$1,040,860,000 |
– |
| WIOA Youth |
$903,416,000 |
$903,416,000 |
– |
| Wagner-Peyser Employment Service Grants |
$666,413,000 |
$585,788,000 |
-$80,625,000 |
| Workforce Data Quality Initiative Grants |
$6,000,000 |
$6,000,000 |
– |
| Apprenticeship Grants |
$145,000,000 |
$150,000,000 |
$5,000,000 |
| DW National Reserve |
$220,859,000 |
$200,000,000 |
-$20,859,000 |
| Native American Programs |
$54,000,000 |
$55,000,000 |
$1,000,000 |
| Ex-Offender Activities |
$93,079,000 |
$93,079,000 |
– |
| Migrant and Seasonal Farmworkers |
$87,896,000 |
$87,896,000 |
– |
| YouthBuild |
$89,534,000 |
$92,534,000 |
$3,000,000 |
| Senior Community Service Employment Program |
$400,000,000 |
$400,000,000 |
– |
|
Department of Education |
|
||
| Career and Technical Education State Grants |
$1,192,598,000 |
$1,307,287,000 |
$114,689,000 |
| Adult Education and Family Literacy State Grants |
$616,955,000 |
$616,955,000 |
– |
