Senate Bill 2524

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    Florida Senate - 1998                                  SB 2524

    By Senator Harris





    24-1114-98

  1                      A bill to be entitled

  2         An act relating to the WAGES Program; amending

  3         s. 414.026, F.S.; requiring that the WAGES

  4         Program State Board of Directors approve the

  5         directives initiated by the Workforce

  6         Development Board of Enterprise Florida, Inc.,

  7         in implementing the WAGES Program; creating s.

  8         414.0262, F.S.; requiring that the Governor

  9         designate the staff of the WAGES Program State

10         Board of Directors as a nonprofit corporation;

11         amending s. 414.028, F.S.; revising

12         requirements for a member of a local WAGES

13         coalition in the case of a conflict of

14         interest; providing requirements for disclosing

15         any such conflict; providing for certain

16         nonvoting members to be appointed to a local

17         coalition; authorizing a local coalition to

18         deliver certain services under the WAGES

19         Program; providing for staff support for local

20         coalitions; amending s. 414.065, F.S.; deleting

21         provisions that require an employer to repay

22         certain supplements or incentives under

23         specified circumstances; creating a WAGES

24         training bonus to be paid to an employer who

25         hires certain program participants; amending s.

26         414.105, F.S.; providing for eligibility for

27         extended temporary cash assistance under

28         specified circumstances; providing that an

29         individual who cares for a disabled family

30         member is exempt from certain time limitations;

31         providing an effective date.

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  1  Be It Enacted by the Legislature of the State of Florida:

  2

  3         Section 1.  Present subsection (4) of section 414.026,

  4  Florida Statutes, is redesignated as subsection (5), and a new

  5  subsection (4) is added to that section, to read:

  6         414.026  WAGES Program State Board of Directors.--

  7         (4)  The WAGES Program State Board of Directors shall

  8  approve all programs, policies, proposed rules, requests for

  9  proposals, and other WAGES directives initiated by the

10  Workforce Development Board of Enterprise Florida, Inc., or a

11  state agency charged by law to implement the WAGES Program.

12  The board of directors is responsible for communicating such

13  directives to the local WAGES coalitions.

14         Section 2.  Section 414.0262, Florida Statutes, is

15  created to read:

16         414.0262  Staff of the WAGES Program State Board of

17  Directors.--

18         (1)  The Governor, by executive order, shall designate

19  the staff of the WAGES Program State Board of Directors as a

20  nonprofit corporation for the purpose of receiving federal

21  funds and providing oversight and maintenance to the WAGES

22  Program State Board of Directors in administering the State

23  Plans for Aid and Services to Needy Families with Children

24  under 42 U.S.C. s. 602, as amended. The nonprofit corporation

25  shall be known as WAGES, Inc., and is the designated state

26  agency required by 42 U.S.C. s. 602(a)(3).

27         (2)  The executive order designating the nonprofit

28  corporation must include provisions for the governance and

29  organizational structure of the corporation which are

30  consistent with 42 U.S.C. s. 602(a)(5).

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  1         (3)  The nonprofit corporation shall be organized under

  2  chapter 617 and shall possess all the powers granted by that

  3  chapter.

  4         (4)  The designated nonprofit corporation is eligible

  5  to use the state communications system in accordance with s.

  6  282.105(3).

  7         (5)  Pursuant to the applicable provisions of chapter

  8  284, the Division of Risk Management of the Department of

  9  Insurance may insure the nonprofit corporation under the same

10  general terms and conditions as other nonprofit, statutory

11  corporations.

12         (6)  All departments, officers, agencies, coalitions,

13  and institutions of the state shall cooperate with the

14  designated nonprofit corporation in the performance of its

15  duties.

16         (7)  The designated nonprofit corporation shall make

17  provisions for an annual postaudit of its financial accounts

18  by an independent certified public accountant. The annual

19  audit shall be submitted to the Executive Office of the

20  Governor for review.

21         (8)  WAGES, Inc., shall make all arrangements and

22  fulfill all legal conditions to become a nonprofit corporation

23  by July 1, 1998.

24         (9)  The nonprofit corporation shall make available to

25  the public, upon request, copies of 42 U.S.C. s. 602, as

26  amended; applicable state laws; and any executive orders

27  establishing WAGES, Inc.

28         Section 3.  Section 414.028, Florida Statutes, is

29  amended to read:

30         414.028  Local WAGES coalitions.--The WAGES Program

31  State Board of Directors shall create and charter local WAGES

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  1  coalitions to plan and coordinate the delivery of services

  2  under the WAGES Program at the local level. The boundaries of

  3  the service area for a local WAGES coalition shall conform to

  4  the boundaries of the service area for the regional workforce

  5  development board established under the Enterprise Florida

  6  workforce development board. The local delivery of services

  7  under the WAGES Program shall be coordinated, to the maximum

  8  extent possible, with the local services and activities of the

  9  local service providers designated by the regional workforce

10  development boards.

11         (1)(a)  Each local WAGES coalition must have a minimum

12  of 11 members, of which at least one-half must be from the

13  business community. The composition of the coalition

14  membership must generally reflect the racial, gender, and

15  ethnic diversity of the community as a whole. All members

16  shall be appointed to 3-year terms. The membership of each

17  coalition must include:

18         1.  Representatives of the principal entities that

19  provide funding for the employment, education, training, and

20  social service programs that are operated in the service area,

21  including, but not limited to, representatives of local

22  government, the regional workforce development board, and the

23  United Way.

24         2.  A representative of the health and human services

25  board.

26         3.  A representative of a community development board.

27         4.  Three representatives of the business community who

28  represent a diversity of sizes of businesses.

29         5.  Representatives of other local planning,

30  coordinating, or service-delivery entities.

31

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  1         6.  A representative of a grassroots community or

  2  economic development organization that serves the poor of the

  3  community.

  4         (b)  A person may be a member of a local WAGES

  5  coalition or a combined WAGES coalition as provided in

  6  subsection (2) regardless of whether the member, or an

  7  organization represented by a member, could benefit

  8  financially from transactions of the coalition. However, if

  9  the coalition enters into a contract with an organization or

10  individual represented on the coalition, the contract must be

11  approved by a two-thirds vote of the entire board, and the

12  board member who could benefit financially from the

13  transaction must abstain from voting. A board member must

14  disclose any such conflict in a manner that is approved by the

15  WAGES Program State Board of Directors and is consistent with

16  the procedures outlined in s. 112.3143. A representative of an

17  agency or entity that could benefit financially from funds

18  appropriated under the WAGES Program may not be a member of a

19  local WAGES coalition.

20         (c)  A member of the board of a public or private

21  educational institution may not serve as a member of a local

22  WAGES coalition.

23         (d)  A representative of any county or municipal

24  governing body that elects to provide services through the

25  local WAGES coalition shall be an ex officio, nonvoting member

26  of the coalition.

27         (e)  A representative of a county health department or

28  a representative of a healthy start coalition shall serve as

29  an ex officio, nonvoting member of the coalition.

30         (f)  This subsection does not prevent a local WAGES

31  coalition from extending regular, voting membership to not

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  1  more than one representative of a county health department and

  2  not more than one representative of a healthy start coalition.

  3         (2)  A local WAGES coalition and a regional workforce

  4  development board may be combined into one board if the

  5  membership complies with subsection (1), and if the membership

  6  of the combined board meets the requirements of Pub. L. No.

  7  97-300, the federal Job Training Partnership Act, as amended,

  8  and with any law delineating the membership requirements for

  9  the regional workforce development boards. Notwithstanding

10  paragraph (1)(b), in a region in which the duties of the two

11  boards are combined, a person may be a member of the WAGES

12  coalition even if the member, or the member's principal, could

13  benefit financially from transactions of the coalition.

14  However, members must recuse themselves from voting on all

15  matters from which they or their principals could benefit

16  financially. Failure to recuse on any such vote will

17  constitute grounds for immediate removal from the local WAGES

18  coalition.

19         (3)  The statewide implementation plan prepared by the

20  WAGES Program State Board of Directors shall prescribe and

21  publish the process for chartering the local WAGES coalitions.

22         (4)  Each local WAGES coalition shall perform the

23  planning, coordination, and oversight functions specified in

24  the statewide implementation plan, including, but not limited

25  to:

26         (a)  Developing a program and financial plan to achieve

27  the performance outcomes specified by the WAGES Program State

28  Board of Directors for current and potential program

29  participants in the service area. The plan must reflect the

30  needs of service areas for seed money to create programs that

31  assist children of WAGES participants.

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  1         (b)  Developing a funding strategy to implement the

  2  program and financial plan which incorporates resources from

  3  all principal funding sources.

  4         (c)  Identifying employment, service, and support

  5  resources in the community which may be used to fulfill the

  6  performance outcomes of the WAGES Program.

  7         (d)  In cooperation with the regional workforce

  8  development board, coordinating the implementation of one-stop

  9  career centers.

10         (e)  Advising the Department of Children and Family

11  Services and the Department of Labor and Employment Security

12  with respect to the competitive procurement of services under

13  the WAGES Program.

14         (f)  Selecting an entity to administer the program and

15  financial plan, such as a unit of a political subdivision

16  within the service area, a not-for-profit private organization

17  or corporation, or any other entity agreed upon by the local

18  WAGES coalition.

19         (5)  A local WAGES coalition may deliver the full

20  continuum of services provided under the WAGES Program,

21  including services that are provided at the point of

22  application. However, a local WAGES coalition may not

23  determine an individual's eligibility for temporary cash

24  assistance. Before assuming responsibility for providing

25  services, the local WAGES coalition must receive approval by

26  the WAGES Program State Board of Directors.

27         (6)(5)  The WAGES Program State Board of Directors may

28  not approve the program and financial plan of a local

29  coalition unless the plan provides a teen pregnancy prevention

30  component that includes, but is not necessarily limited to, a

31  plan for implementing the Florida Education Now and Babies

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  1  Later (ENABL) program under s. 411.242 and the Teen Pregnancy

  2  Prevention Community Initiative within each county segment of

  3  the service area in which the teenage pregnancy childhood

  4  birth rate is higher than the state average. Each local WAGES

  5  coalition is authorized to fund community-based welfare

  6  prevention and reduction initiatives that increase the support

  7  provided by noncustodial parents to their welfare-dependent

  8  children and are consistent with program and financial

  9  guidelines developed by the WAGES Program State Board of

10  Directors and the Commission on Responsible Fatherhood. These

11  initiatives may include, but are not limited to, improved

12  paternity establishment, work activities for noncustodial

13  parents, and programs aimed at decreasing out-of-wedlock

14  pregnancies, encouraging the involvement of fathers with their

15  children, and increasing child-support payments.

16         (7)(6)  At the option of the local Wages coalition,

17  local employees of the department and the Department of Labor

18  and Employment Security shall provide staff support for the

19  local WAGES coalitions. At the option of the local WAGES

20  coalition, Staff support may be provided by another agency, or

21  entity, or by contract if it can be provided at no cost to the

22  state and if the support is not provided by an agency or other

23  entity that could benefit financially from funds appropriated

24  to implement the WAGES Program.

25         (8)(7)  There shall be no liability on the part of, and

26  no cause of action of any nature shall arise against, any

27  member of a local WAGES coalition or its employees or agents

28  for any lawful action taken by them in the performance of

29  their powers and duties under this section and s. 414.029.

30         Section 4.  Paragraph (b) of subsection (1) of section

31  414.065, Florida Statutes, is amended to read:

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  1         414.065  Work requirements.--

  2         (1)  WORK ACTIVITIES.--The following activities may be

  3  used individually or in combination to satisfy the work

  4  requirements for a participant in the WAGES Program:

  5         (b)  Subsidized private sector employment.--Subsidized

  6  private sector employment is employment in a private

  7  for-profit enterprise or a private not-for-profit enterprise

  8  which is directly supplemented by federal or state funds. A

  9  subsidy may be provided in one or more of the forms listed in

10  this paragraph.

11         1.  Work supplementation.--A work supplementation

12  subsidy diverts a participant's temporary cash assistance

13  under the program to the employer. The employer must pay the

14  participant wages that equal or exceed the applicable federal

15  minimum wage. Work supplementation may not exceed 6 months. At

16  the end of the supplementation period, the employer is

17  expected to retain the participant as a regular employee

18  without receiving a subsidy for at least 12 months. A The work

19  supplementation agreement may not be continued with any

20  employer who exhibits a pattern of failing to provide

21  participants with continued employment after the period of

22  work supplementation ends must provide that if the employee is

23  dismissed at any time within 12 months after termination of

24  the supplementation period due in any part to loss of the

25  supplement, the employer shall repay some or all of the

26  supplement previously paid as a subsidy to the employer under

27  the WAGES Program.

28         2.  On-the-job training.--On-the-job training is

29  full-time, paid employment in which the employer or an

30  educational institution in cooperation with the employer

31  provides training needed for the participant to perform the

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  1  skills required for the position. The employer or the

  2  educational institution on behalf of the employer receives a

  3  subsidy to offset the cost of the training provided to the

  4  participant. Upon satisfactory completion of the training, the

  5  employer is expected to retain the participant as a regular

  6  employee without receiving a subsidy. An The on-the-job

  7  training agreement may not be continued with any employer who

  8  exhibits a pattern of failing to provide participants with

  9  continued employment after the on-the-job training subsidy

10  ends must provide that in the case of dismissal of a

11  participant due to loss of the subsidy, the employer shall

12  repay some or all of the subsidy previously provided by the

13  department and the Department of Labor and Employment

14  Security.

15         3.  Incentive payments.--The department and the

16  Department of Labor and Employment Security may provide

17  additional incentive payments to encourage employers to employ

18  program participants. Incentive payments may include payments

19  to encourage the employment of hard-to-place participants, in

20  which case the amount of the payment shall be weighted

21  proportionally to the extent to which the participant has

22  limitations associated with the long-term receipt of welfare

23  and difficulty in sustaining employment. In establishing

24  incentive payments, the department and the Department of Labor

25  and Employment Security shall consider the extent of prior

26  receipt of welfare, lack of employment experience, lack of

27  education, lack of job skills, and other appropriate factors.

28  A participant who has complied with program requirements and

29  who is approaching the time limit for receiving temporary cash

30  assistance may be defined as "hard-to-place." Incentive

31  payments may include payments in which an initial payment is

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  1  made to the employer upon the employment of a participant, and

  2  the majority of the incentive payment is made after the

  3  employer retains the participant as a full-time employee for

  4  at least 12 months. An The incentive agreement may not be

  5  continued with any employer who exhibits a pattern of failing

  6  to provide participants with continued employment after the

  7  incentive payments cease must provide that if the employee is

  8  dismissed at any time within 12 months after termination of

  9  the incentive payment period due in any part to loss of the

10  incentive, the employer shall repay some or all of the payment

11  previously paid as an incentive to the employer under the

12  WAGES Program.

13         4.  Tax credits.--An employer who employs a program

14  participant may qualify for enterprise zone property tax

15  credits under s. 220.182, the tax refund program for qualified

16  target industry businesses under s. 288.106, or other federal

17  or state tax benefits. The department and the Department of

18  Labor and Employment Security shall provide information and

19  assistance, as appropriate, to use such credits to accomplish

20  program goals.

21         5.  WAGES training bonus.--An employer who hires a

22  WAGES participant who has less than 6 months of eligibility

23  for temporary cash assistance remaining and who pays the

24  participant a wage that precludes the participant's

25  eligibility for temporary cash assistance may receive $240 for

26  each full month of employment for a period that may not exceed

27  3 months. An employer who receives a WAGES training bonus for

28  an employee may not receive a work supplementation subsidy for

29  the same employee.

30         Section 5.  Section 414.105, Florida Statutes, is

31  amended to read:

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  1         414.105  Time limitations of temporary cash

  2  assistance.--Unless otherwise expressly provided in this

  3  chapter, an applicant or current participant shall receive

  4  temporary cash assistance for episodes of not more than 24

  5  cumulative months in any consecutive 60-month period that

  6  begins with the first month of participation and for not more

  7  than a lifetime cumulative total of 48 months as an adult.

  8         (1)  The time limitation for episodes of temporary cash

  9  assistance may not exceed 36 cumulative months in any

10  consecutive 72-month period that begins with the first month

11  of participation and may not exceed a lifetime cumulative

12  total of 48 months of temporary cash assistance as an adult,

13  for cases in which the participant:

14         (a)  Has received aid to families with dependent

15  children or temporary cash assistance for any 36 months of the

16  preceding 60 months; or

17         (b)  Is a custodial parent under the age of 24 who:

18         1.  Has not completed a high school education or its

19  equivalent; or

20         2.  Had little or no work experience in the preceding

21  year.

22         (2)  A participant who is not exempt from work activity

23  requirements may earn 1 month of eligibility for extended

24  temporary cash assistance, up to a maximum of 12 additional

25  months, for each month in which the participant is fully

26  complying with all the requirements of the WAGES Program and

27  is employed part-time or full-time. A participant may not

28  receive temporary cash assistance under this subsection, in

29  combination with other periods of temporary cash assistance,

30  for longer than 48 months.

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  1         (3)(2)  Hardship exemptions to the time limitations of

  2  this chapter shall be limited to 10 percent of participants in

  3  the first year of implementation of this chapter, 15 percent

  4  of participants in the second year of implementation of this

  5  chapter, and 20 percent of participants in all subsequent

  6  years. Criteria for hardship exemptions include:

  7         (a)  Diligent participation in activities, combined

  8  with inability to obtain employment.

  9         (b)  Diligent participation in activities, combined

10  with extraordinary barriers to employment, including the

11  conditions which may result in an exemption to work

12  requirements.

13         (c)  Significant barriers to employment, combined with

14  a need for additional time.

15         (d)  Diligent participation in activities and a need by

16  teen parents for an exemption in order to have 24 months of

17  eligibility beyond receipt of the high school diploma or

18  equivalent.

19         (e)  A recommendation of extension for a minor child of

20  a participating family that has reached the end of the

21  eligibility period for temporary cash assistance. The

22  recommendation must be the result of a review which determines

23  that the termination of the child's temporary cash assistance

24  would be likely to result in the child being placed into

25  emergency shelter or foster care. Temporary cash assistance

26  shall be provided through a protective payee. Staff of the

27  Children and Families Family Services Program Office of the

28  department shall conduct all assessments in each case in which

29  it appears a child may require continuation of temporary cash

30  assistance through a protective payee.

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  1  At the recommendation of the local WAGES coalition, temporary

  2  cash assistance under a hardship exemption for a participant

  3  who is eligible for work activities and who is not working

  4  shall be reduced by 10 percent. Upon the employment of the

  5  participant, full benefits shall be restored.

  6         (4)(3)  The department shall establish a procedure for

  7  reviewing and approving hardship exemptions, and the local

  8  WAGES coalitions may assist in making these determinations.

  9  The composition of any review panel must generally reflect the

10  racial, gender, and ethnic diversity of the community as a

11  whole. Members of a review panel shall serve without

12  compensation, but are entitled to receive reimbursement for

13  per diem and travel expenses as provided in s. 112.016.

14         (5)(4)  The cumulative total of all hardship exemptions

15  may not exceed 12 months, may include reduced benefits at the

16  option of the community review panel, and shall, in

17  combination with other periods of temporary cash assistance as

18  an adult, total no more than 48 months of temporary cash

19  assistance. If an individual fails to comply with program

20  requirements during a hardship exemption period, the hardship

21  exemption shall be removed.

22         (6)(5)  For individuals who have moved from another

23  state and have legally resided in this state for less than 12

24  months, the time limitation for temporary cash assistance

25  shall be the shorter of the respective time limitations used

26  in the two states, and months in which temporary cash

27  assistance was received under a block grant program that

28  provided temporary assistance for needy families in any state

29  shall count towards the cumulative 48-month benefit limit for

30  temporary cash assistance.

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  1         (7)(6)  For individuals subject to a time limitation

  2  under the Family Transition Act of 1993, that time limitation

  3  shall continue to apply. Months in which temporary cash

  4  assistance was received through the family transition program

  5  shall count towards the time limitations under this chapter.

  6         (8)(7)  Except when temporary cash assistance was

  7  received through the family transition program, the

  8  calculation of the time limitation for temporary cash

  9  assistance shall begin with the first month of receipt of

10  temporary cash assistance after the effective date of this

11  act.

12         (9)(8)  Child-only cases are not subject to time

13  limitations, and temporary cash assistance received while an

14  individual is a minor child shall not count towards time

15  limitations.

16         (10)(9)  An individual who receives benefits under the

17  Supplemental Security Income program or the Social Security

18  Disability Insurance program is not subject to time

19  limitations.

20         (11)  An individual who cares for a disabled family

21  member is not subject to time limitations if the need for the

22  care is verified and alternative care is not available for the

23  family member.

24         (12)(10)  A member of the WAGES Program staff shall

25  interview and assess the employment prospects and barriers of

26  each participant who is within 6 months of reaching the

27  24-month time limit.  The staff member shall assist the

28  participant in identifying actions necessary to become

29  employed prior to reaching the benefit time limit for

30  temporary cash assistance and, if appropriate, shall refer the

31  participant for services that could facilitate employment.

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  1         Section 6.  This act shall take effect upon becoming a

  2  law.

  3

  4            *****************************************

  5                          SENATE SUMMARY

  6    Requires the Governor to designate the staff of the WAGES
      Program State Board of Directors as a nonprofit
  7    corporation to be known as "WAGES, Inc." Provides
      conditions under which a member of a local WAGES
  8    coalition must disclose the existence of a conflict of
      interest. Provides that a local coalition may provide all
  9    services offered under the WAGES Program, with the
      exception of determining an individual's eligibility for
10    temporary cash assistance. Deletes requirements that an
      employer repay certain supplements or incentives if the
11    employer dismisses a program participant from employment.
      Provides for an employer to be paid a training bonus if
12    the employer hires certain program participants. Provides
      for extended temporary cash assistance under certain
13    circumstances. Provides that an individual who cares for
      a disabled family member is exempt from certain time
14    limitations on receiving benefits. (See bill for
      details.)
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