HomeMy WebLinkAboutItem 12a - Withdrawal from Foothill Workforce Development Board
DATE: August 18, 2020
TO: Honorable Mayor and City Council
FROM: Jason Kruckeberg, Assistant City Manager/Development Services Director
By: Tim Schwehr, Senior Management Analyst
SUBJECT: CONSIDERATION OF WITHDRAWAL FROM THE FOOTHILL
WORKFORCE DEVELOPMENT BOARD
Recommendation: Authorize the City Manager to Withdraw and Join
County Program
SUMMARY
The Cities of Arcadia, Duarte, Monrovia, Pasadena, Sierra Madre, and South Pasadena
are members of the Foothill Workforce Development Board (“FWDB”), which receives
federal funds to provide job skills development, job training and placement, and overall
workforce development. Recently, the City of Monrovia analyzed the benefits of
membership in the FWDB, as there has been questionable local return for cities, other
than Pasadena, within this arrangement. The City of Monrovia has also explored the
possibility of opting out of this agreement and seeking a more localized agreement that
would include the Cities of Arcadia and Duarte. It is recommended that the City Council
authorize the City Manager to withdraw from the FWDB and join the County of Los
Angeles program along with Monrovia and Duarte.
BACKGROUND
The FWDB is a Joint Powers Authority (“JPA”) which receives federal funding through the
Workforce Innovation and Opportunity Act (“WIOA”). The WIOA provides funds to local,
centralized workforce development centers designed to meet local needs. The FWDB
utilizes City of Pasadena staff to administer the program at a facility located on Green
Street in Pasadena. Although the local plan calls for a second center on the eastern
portion of the region (in Monrovia at the Monrovia Community Adult School), this has not
been established and funding has not been allocated to this facility. The vast majority of
the focus of the funding and the programs are targeted in the City of Pasadena, which is
the grant recipient and fiscal agent for the program.
The Cities of Monrovia, Arcadia, and Duarte have maintained relationships with the
FWDB for a number of years. The most recent JPA renewal process was executed by the
Withdrawal From Foothill Workforce Development Board
August 18, 2020
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City in 2017. The FWDB has a Policy Board and representation from each of the member
cities. Mayor Pro Tem Tay is the City’s representative.
Despite the City’s membership in the JPA, tangible benefits from the program have not
been realized. Members of the Economic Development staff have been involved
intermittently in meetings or workshops, but no significant efforts for the Arcadia workforce
can be documented. Various staff members from the FWDB have reached out over time,
and programs have been discussed, but there has been a lack of continuity in these
efforts.
DISCUSSION
As mentioned, the City of Monrovia has completed a detailed analysis into the provision
of funding and status of the FWDB and its benefit to the Cities of Monrovia, Arcadia, and
Duarte (“MAD” Cities). It should be noted that Arcadia and Duarte staff are utilizing the
work done by Monrovia staff and are reliant on the numbers provided by Monrovia. Please
see the August 4, 2020, Staff Report by Monrovia City Manager Dylan Feik for the full
analysis of the program (Attachment No. 1).
The report states that of the overall allotment of WIOA funds of $1,594,035, the City of
Pasadena receives $1,057,575 (66.3%) of the funds while the MAD Cities receive
$422,726 (26.5%). This is despite the fact that Pasadena has 48.3% of the population of
the group while the MAD cities represent 39.2%. While this discrepancy is a significant
issue in and of itself, the report goes on to state that there is no documentation that the
funding allocated to any of the MAD Cities has actually gone toward training residents in
those communities. This is supported by the experience of the Arcadia Economic
Development Division, in that no reporting along these lines has been received. In
addition, the report goes on to state that the program uses nearly 60% of its budget for
administrative expenditures and only 40% for actual training and services, an unusually
low amount.
The City of Monrovia is recommending that the MAD Cities opt out of the JPA and form
a new memorandum of understanding to bring the resources of a local workforce
development center (the Monrovia Community Adult School) to receive and administer
funds. This would be done officially through the Los Angeles County Workforce
Development Board, who has said they would pass the funding from MAD Cities directly
to the newly formed MAD group. The rationale is that this move would provide a more
direct benefit to the MAD Cities as well as provide transparency and accountability for the
allocated funds that are received. The recommendation is that funds should be used for
on-the-job training for in-school youth as well as for displaced workers, veterans, and
adults. Monrovia’s staff report goes on to provide suggested breakdowns for how the
money would be allocated and expended, but all of this would be vetted and discussed if
this was a collective move that the three cities ultimately make. Based on a review of the
anticipated process and funding expenditures, it is anticipated that creating a local MOU
would lead to more direct benefits to Arcadia residents through this program.
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August 18, 2020
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In order to withdraw, the Cities must submit a 90-day notice to the FWDB.
Options for the City Council to consider include the following:
1. Stay in the existing JPA and reach out to administrative staff in Pasadena to gain a greater
understanding as to how allocated funding reaches Arcadia residents and is implemented.
2. Work with the Cities of Monrovia and Duarte to withdraw from the FWDB and develop a
MOU with these cities in the formation of a new group through the County program. This
would include working with the City Attorney to develop the appropriate paperwork to opt-
out.
It is recommended that the City Council approve Option No. 2 above and authorize the
City Manager to withdraw from the FWDB.
ENVIRONMENTAL ANALYSIS
The proposed action does not constitute a project under the California Environmental
Quality Act (“CEQA”), under Section 15061(b)(3) of the CEQA Guidelines, and it can be
seen with certainty that it will have no impact on the environment. Thus, this matter is
exempt under CEQA.
FISCAL IMPACT
There is no identified fiscal impact from either staying in the FWDB as a member of the
JPA or opting out to join a more local group of the MAD Cities. However, it is anticipated
that by joining a local group, more of the funding allocated to Arcadia will benefit Arcadia
residents directly.
RECOMMENDATION
It is recommended that the City Council determine that this project is exempt under the
California Environmental Quality Act (“CEQA”); and authorize the City Manager to
withdraw from the FWDB and join the County of Los Angeles Program along with the
Cities of Monrovia and Duarte.
Attachment No. 1: City of Monrovia Staff Report, dated August 4, 2020
Attachment No. 2: Joint Powers Agreement with the FWDB
Attachment No. 1
Attachment No. 2