Deval L. Patrick, Governor

1. WORKFORCE TRAINING FUND PROGRAM (WTFP) INFORMATION SESSION Deval L. Patrick, Governor Rachel Kaprielian, Secretary Executive Office of Labor and Workforce Development Alice Sweeney, Director, Department of Career Services Michael Corcoran Outreach Coordinator Workforce Training Fund Program Rev. 08-18-14

2. Overview • WTFP Mission, Priorities, and Statute • WTFP Compliance Requirements • Overview of Workforce Training Fund Programs • Hiring Incentive Training Grant (HITG) • Express Program • General Program • Consortium • Technical Assistance

3. MISSION AND PRIORITIES • To provide business and labor organizations funds for training initiatives • To upgrade the skills of Massachusetts workers • To fund projects that: • Promote job growth, job retention, or increased wages • Improve productivity, competitiveness, and ability to do business in Massachusetts • Include employers who have made a commitment to provide significant private investment in training during and after the grant

4. WTFP HISTORY • Enacted by Massachusetts State Legislature in 1998 (MGL Chapter 29 Section 2RR) • First grants awarded April 1999 • Funded by employer contributions - $8.40 per employee per year collected with quarterly UI payments • Contributions are collected into a Trust • Approximately $18M - $21M in collections each year • Workers must be paid while in training

5. STATUTORY REQUIREMENTS • Massachusetts companies are eligible as well as companies moving to Massachusetts • Department of Revenue Certificate of Good Standing required with each grant • CGS good for 6 months • Gubernatorial-appointed 9-member Advisory Board • Rolling on line application process for all grants

6. COMPLIANCE REQUIREMENTS • All companies must pay quarterly into Workforce Training Fund. Self insured companies are not eligible. • All trainees must be employed in Massachusetts • All companies must be current with: • Unemployment Insurance • Unemployment Health Insurance • Fair Share • Current Workers Compensation Coverage • Certificate of Good Standing

7. COMPLIANCE REQUIREMENTS • All companies must have a current Massachusetts Department of Revenue Certificate of Good Standing (CoGS) issued within 6 months of application. • Applications are considered complete when a current and valid CoGS has been submitted (along with other application materials). Not having a current a CoGS will cause delays in the review and approval of your Workforce Training Fund application. • The CoGS must be issued from the Department of Revenue, NOT the Secretary of the Commonwealth.

8. WTFP TRAINING GRANT PROGRAMS • Hiring Incentive Training Grant (HITG) • Hiring and training unemployed Mass residents and Mass veterans • Maximum award $40,000 ($5,000 flat fee per hire) • For companies of any size • Express Program Grant • Pre-approved, off-the-shelf training • maximum award $30,000 per calendar year/2 year contract • For small Mass companies of 100 employees or fewer • General Program Grants • Training Grant and Consortium Grant • Customized Training • Maximum award $250,000 • Companies of any size • Technical Assistance Grant • Training needs assessments and training plan development • maximum award $25,000

9. HIRING INCENTIVE TRAINING GRANT PROGRAM (HITG) • Program to encourage hiring Massachusetts residents who have been dislocated from the workforce (18 minimum age requirement) • $5,000 grant award per eligible employee; payment after 180 calendar days from date of hire (payroll documentation required). Minimum of $7,000 in gross wage earned at the 180 days from date of hire. • Maximum award of $40,000 per calendar year • Grantee may submit additional HITG applications for eligible new hires throughout 12-month calendar contract no waiting period between grants. • The grant does not pay for mandated federal, state, or municipal training or worker orientation • Can use external training or in-house trainer • Can have HITG and General grants at same time

10. HIRING INCENTIVE TRAINING GRANT PROGRAM (HITG) • Hired Employee must be a Massachusetts resident • Eligible: Full-and Part Time($7,000 gross wage ) • Unemployed a minimum of 6 months • Underemployed-In the 6 months prior to hire has not earned more than$6,000 in gross earning/ has not been employed by hiring company during the last 6 months prior to hire • 6 month waiting period waved for veterans- required/DD214, letter of service from dept. of Veterans Affairs or letter from National Personnel Records Center. • Not Eligible: • Temporary workers / Seasonal or Contract Workers • High School students/Non- Massachusetts residents • Company owner(full or Partial) relative of any owner

11. HIRING INCENTIVE TRAINING GRANT PROGRAM (HITG) • Applications must be submitted within 60 days of eligible new hire. Applications must consist of the following documentation: • Online application • Pre-screening Form • Certificate of Good Standing (not older then 6 months) • Veterans Status Documentation (if applicable) • Applications are reviewed and approved within 5 – 10 days • 12 month calendar contract • Reimbursement: • All Reimbursement Requests must be submitted within 30 days of the date that the new hire has met the retention requirement HITG Website: http://www.mass.gov/wtfp/hitg Commonwealth Corporation (617) 717-6912

12. EXPRESS PROGRAM • Program for small companies to quickly and easily access off-the-shelf training • Small business = Mass. businesses with 100 or fewer employees • Company chooses from a list of pre-approved courses on the WTFP website: • http://www.mass.gov/wtfp/express • Choose the “Training Provider Information” page, then click “Training Provider Directory” • The Workforce Training Fund Program will not award an Express Program grant if the employee participating in the course/training program has previously participated in the same or similar course/training program that was funded by the Express Program. • Maximum grant award of $30,000 per company per calendar year • $3,000 per trainee per course limit • Businesses may submit additional applications for additional courses throughout the contract period up to award maximum • Will not fund the same employee to take the same course multiple times • 12 month maximum training per course • Can have Express Grant, General Program Grant and Hiring Incentive Grant simultaneously

13. EXPRESS PROGRAM • Must submit completed application at least six weeks before anticipated start date of training. Applications consist of: • Online application • Applications are reviewed and approved approximately 10 days after submission. Application approval is contingent upon: • Submission of current and valid Certificate of Good Standing • Applicant passes internal compliance check (DUA, DIA) • After course is completed and paid, company/grantee is reimbursed 50% of training cost /maximum of$3000 Express Program website: http://www.mass.gov/wtfp/express

14. GENERAL PROGRAM For companies of any size to implement a customized training program for incumbent workers • $250,000 maximum grant / Requires a 1:1 match for every dollar requested company must have an in kind matching contribution • Primary match wages(hourly rate +fringe)paid while in training • Exception ESOL (English as a Second Language)allows 50/50 match • 2-year maximum training period • Companies may use training provider(s) of choice/ in or out of state • No preapproval process • Rolling Application Process • Applicants are notified within 90 days of application submission • Application documents found online • Waiting Time between General Program Grant is 1 year

15. GENERAL PROGRAM • Training Grant Application Materials • General Program Training Grant Application (pdf) • Consortium Partner Supplemental Form • Training Module Details and Budget Narrative (Excel) • Return on Investment (ROI) Statement • Financial Statements • Certificate of Good Standing • Union letter of support (for unionized companies) • General Program Application Workshop • Free 3 hour comprehensive review of the General Program Application for companies ready to apply for or are working on an application for submission(refer to web site for dates, times and locations)

16. Multiple Grants If under 100 employees (full time and part time) a company can have the HITG, Express and General Program grants at the same time. If over 100 employees (full time and part time) a company can have the HITG and General Program grants at the same time. If a company has a Consortium Grant and the their award is 1/3 or less of the Consortium grant they can also have a General Program grant with a max. of two grants with total awarded capped at $250,000. Must be different training. If a company finds unforeseen need for additional training a company can request adding training to an existing General Program grant provided it doesn’t go over the cap total of $250,000 and must be completed within the existing contract. There is no guarantee of approval. The request must go through the grants manager at Commonwealth Corporation.

17. GENERAL PROGRAM • Technical Assistance Grants • Assessment of workers skills deficiencies and development of skills-based training plan • $25,000 maximum 12 month maximum grant • Consortium Grants • Training involving multiple businesses with similar training needs • $250,000 maximum/Two-year training duration • May have an Express Grant at same time • A General Grant while in a Consortium if receiving less than a third of grant dollars/combined not to exceed $250,000

18. Consortium Grants- Who Can Be the Lead Applicant? The pool of entities eligible to receive and administer a consortium grant (with multiple partners) from the Workforce Training Fund General Program has been expanded to include: • Non-Profits • Charitable organization with expertise in training, business leagues, industry associations and Chambers of Commerce • Community College • Labor Organization • Other public entities/intermediary organizations such as Workforce Investment Boards (WIBs) with expertise in workforce development and/or industry training needs All employers whose employees will take part in training must comply with existing eligibility criteria and program guidelines. The designated lead organization may use up to 10% of the total grant to pay administrative costs.

19. What is the Responsibility of the Lead Applicant in a Consortium? • The Lead Applicant files the consortium application on behalf of the partners, assures all required application documentation such as financial, Mass Dept. of Revenue Certificates of Good Standing, cover letter, budgetary and Return of Investment (ROI) are submitted with the application. • Upon approval of a consortium grant the lead applicant will execute a contract on behalf of the consortium. File, in a timely manner, all required paperwork for reimbursement, pay training providers, track training and attendance and submit the final report upon completion of the grant.

20. GENERAL PROGRAM • General oversight of the Workforce Training Fund/Department of Labor and Workforce Development Administration of Program: • Commonwealth Corporation • a quasi-public state agency, reviews, administers and provides fiscal oversight to The Workforce Training Fund Program for all grants. General Program website: http://www.mass.gov/wtfp/general

21. WTFP Contact Information Website: www.mass.gov/wtfp Phone: (800) 252-1591 Robert Duncan, Sr. Program Manager, Commonwealth Corporation Tel: (617) 717-6927 Email: rduncan@commcorp.org General Program Information Michael Corcoran, Outreach Coordinator DCS Tel: (617) 626-6426 Cell: (857)753-3494 Email: mcorcoran@detma.org • These are cash grants not tax credits. Grant income may result in additional tax liability Companies should check with their accountants