BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021

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BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
BUILDING A
FUTURE READY IOWA

 Bet h Tow nsend, Dir ect or
       Febr u ar y 16, 2021
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
BETH TOWNSEND
Director

APPOINTED BY GOV. REYNOLDS
Confirm ed by Iowa Senate in 2019
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
ROD A. ROBERTS             JOE CORTESE II
Com m ission er            Com m ission er
Division of Labor          Workers’ Com pensation

                           APPOINTED BY GOV.
APPOINTED BY
                           BRANSTAD
GOV. REYNOLDS
                           Confirmed by Iowa Senate
Confirmed by Iowa Senate
                           April 2015
April 2019

RYAN WEST                  JON PEPPETTI
Depu t y Dir ect or        Chief of Staff

JOINED IWD IN              JOINED IWD IN
JUNE 2009                  M AY 2019
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
M ICHAEL WITT                 CHRISTINA STEEN
Division Adm in ist r at or   Division Adm in ist r at or
Am erican Job Centers -       Unem ploym ent
IowaWORKS                     Insurance & Labor
                              Market Inform ation

BRENDA BOTEN                  NEIL SHAH
Division Adm in ist r at or   Ch ief In f or m at ion Of f icer
Adm inistrative Services      Division Adm in ist r at or
                              Inform ation Technology
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
M ICHELLE M CNERTNEY               SCOTT PERKINS
Division Adm in ist r at or        Bu r eau Ch ief
Workforce Services                 Unem ploym ent
                                   Insurance

DAVID STEEN
Gen er al Cou n sel Su per visor
Legislative Liaison
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
•   “ St at e Un em ploym en t Agen cies Cou ld Tak e M on t h s
                    To Adapt To WH Pr oposal, M em os Sh ow ” – Nat ion al
                    Pu blic Radio, Ju ly 25, 2020
                •   “ Un der f u n ded, u n der st af f ed an d u n der siege:
Im pact of          Un em ploym en t of f ices n at ion w ide ar e st r u gglin g t o
Pan dem ic on   •
                    do t h eir jobs” – Wash in gt on Post , Apr il 6, 2020
                    “ Th e ‘black h ole’ of u n em ploym en t ben ef it s: Six
St at e             m on t h s in t o t h e pan dem ic, som e ar e st ill w ait in g f or
                    aid” – CNBC, Sept em ber 27, 2020
Wor k f or ce   •   “ Cor on avir u s in Texas: St at e agen cy st r u ggles w it h
Agen cies           delu ge of n ew ly jobless” – St at esm en , M ar ch 25, 2020
                •   'Too sw eet of a pie': Cyber cr im in als st eal $8B in
                    Covid r elief f u n ds: St at es' syst em s ar e
                    over bu r den ed an d an t iqu at ed an d h ave been u n able
                    t o st op m u ch of t h e f r au d.” – Polit ico, Oct ober 12,
                    2020
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
•   “ Washingt on’s unem ploym ent f r aud m ay have hit
                    $650 m illion; st at e r ecover s $333 m illion” – Seat t le
                    Tim es, June 4, 2020
Im pact of      •   “ Calif or nia Em ploym ent Depar t m ent adm it s paying
Pan dem ic on       as m uch as $31 billion in unem ploym ent f unds t o
                    cr im inals” – ABC Channel 7 New s, Januar y 25, 2021
St at e         •   “ AUDIT: M ichigan m ay have paid out $1.5 billion in
Wor k f or ce       f r audulent unem ploym ent claim s; dir ect or
                    r epor t edly said it w as not a " high pr ior it y“ ” – Fox
Agen cies           New s 17, Novem ber 25, 2020
                •   “ Consult ant est im at es Kansas lost $700 m illion in
                    unem ploym ent f r aud” – KWCH New s, Febr uar y 5,
                    2021
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
IWD Respon se = All Han ds on Deck
                                                   Portion of Full-Time Employees supporting the Unemployment Insurance Division

FOR COMPARISON,
IN “NORMAL” TIMES:

 139      FTEs directly in support
          of UI Division (2018)

 145      FTEs directly in support
                                      Em ployees

          of UI Division (2019)

25%       of entire FTE staff
                                                         74%     79%      79%     78%      74%     74%     74%     73%      73%    73%   73%

NOW:
          average num ber of FTEs

 476      directly in support of UI Division
          (March 2020-January 2021)

75%       of entire FTE staff
          (on average)                              ADDITIONALLY:

                                                            IWD hired 204 tem p em ployees (88 rem ain)
  3x      the percentage of FTE
          staff of previous years

                                                            6 other state agencies “loaned” a total of 59 em ployees
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
Over t im e . . . M or e Th an 20 Year s of Wor k
                                         Total Employees and Overtime Hours Worked per Pay Period: March 6, 2020 – January 7, 2021

                                                           Pay Per iod Apr il 17-30 = 17,400 OT Hours
                                                           by 436 Em ployees (average 40 hours per em ployee)

179,584
Total OT Hours

                                                                                                                                               Overtim e Hours
                            Em ployees

8,163
Average Number
of OT Hours
(worked per pay period)

19/ 22                                       M ar ch
                                              6-19
                                                                                                      August
                                                                                                       7-20
                                                                                                                              Decem ber 25 -
                                                                                                                                Januar y 7
Pay Periods Included                                                                                 Pay Period

Over 5,000 OT Hours
BUILDING A FUTURE READY IOWA - Bet h Townsend, Direct or February 16, 2021
Cu st om er Calls . . . Un pr eceden t ed Volu m e
                                2020 Call Intake versus 2019 Call Intake
                                                                                      Apr il 2020 = 519,126 total calls presented

1,587,636
Total Calls in 2020

                      Total Calls
 76.7%
 Overall Answer
 Rate in 2020
                                               Januar y 2019 = highest volum e of calls presented in CY 2019 at 36,591

269,778
Total Calls in 2019
                         Total Calls

94.1%
Overall Answer
Rate in 2019
Websit e Tr af f ic . . . Pr ovidin g Cu st om er s Updat es
an d Keepin g Iow an s In f or m ed

  PERIOD              USERS                 SESSIONS               PAGEVIEWS

 CY2019               931,692                2,642,835               5,453,657

 CY2020              4,330,105               14,019,700              31,242,250

  ● Session = every time a customer accesses the IWD website
  ● Pageview = number of views of an IWD webpage by a customer during a session
M an agin g t h e Flow of In f or m at ion Th r ou gh Pr oact ive
                      Com m u n icat ion s

   ● New IWD Webpages = 9
   ● Press releases (March 2020 - Feb. 4, 2021) = 79
   ● CARES Act and UI Webinars = 19
     ○ Over 210,000 combined views on IWD's YouTube Page
   ● Translations = CARES Act information translated into 9
     additional languages (45 pages total)
Implementing Eight New Federal Unemployment Programs in 10
                             Months
                Iowa has consistently been among the first states in the nation to
                   implement and issue payments under each new program

                          INITIAL USDOL    FIRST PAYM ENTS
      PROGRAM
                            GUIDANCE            ISSUED        12 DAYS OR LESS
FPUC                           4/4/20            4/16/20
                                                              To implement FPUC, PUA,
                                                                     and FPUC2
PEUC                          4/10/20            5/28/20

Extended Benefits             5/14/20            7/21/20

PUA                            4/5/20            4/16/20

Lost Wage Assistance          8/12/20            9/4/20

FPUC 2 ($300)                  1/5/21            1/16/21

PEUC 2                         1/4/21            2/16/21

PUA 2                          1/8/21             TBD
Regu lar UI Claim s Pr ocessed
                                           CY 2020 versus CY 2019

                                                                            June 2020 = 723,839 Total Regular Claim s Processed

 4.2 m illion
 Regular Claims
                   Total Regular Claim s

 Processed in CY
 2020                                                  Febr uar y 2019 =
                                                       2019’s highest
                                                       m onth of total
COM PARED TO:                                          regular claim s at
                                                       127,991

 1.0 m illion
 Regular Claims
 Processed in CY
 2019
Tot al Claim s Pr ocessed
                                   CY 2020 versus CY 2019
                                                                    June 2020 = 891,88 Total Claim s Processed

 5.5 m illion
 Total Claims
                   Total Claim s

 Processed in CY
 2020                                          Febr uar y 2019 =
                                               2019’s highest
                                               m onth of total
COM PARED TO:                                  claim s at 127,991

 1.0 m illion
 Total Claims
 Processed in CY
 2019
Reducing Impact of Pandemic Through Timely,
                Correct Payments to Iowans
               BENEFITS PAID              CY 2020            CY 2019
Regular UI Claims                         $1.3 Billion     $381.8 Million
Total benefits paid

Pandemic Unemployment Assistance (PUA)   $170.1 Million          $0

Federal Pandemic Unemployment
                                          $1.5 Billion           $0
Compensation (FPUC)

Pandemic Emergency Unemployment
                                         $183.6 Million          $0
Compensation (PEUC)

State Extended Benefits                  $17.7 Million           $0

   Sub Tot al                            $3.1 Billion      $381.8 M illion

Lost Wage Assistance                     $156.9 Million          $0

    All Claim s
                                         $3.3 Billion     $381.8 M illion
                                                                             $2.9 Billion
   Total benefits paid                                                       Difference 2020 to 2019
Ou t r each . . . New St r at egies f or Job Seek er s

M obile Opt ion s f or Job Seek er s
    ○ Over 15 very successful drive-thru job fairs to date
    ○ Launched the IowaWORKS.gov mobile application to reach job seekers

Vir t u al Job Clu b
      ○ Launched a weekly virtual job club in October for participants in the
          RESEA program and have now expanded that to all job seekers

Vir t u al Tr ain in g Wor k sh ops
      ○ Recorded over 20 training workshops that had been given in-person at
          the American Job Centers
Oppor t u n it ies Th r ou gh New Cor on avir u s
Relief Fu n d Gr an t s

                               FUNDS                 NUM BER                   IOWANS
    PROGRAM                  EXPENDED               OF GRANTS                  ASSISTED                 OVER $16 M IL
                             (as of Feb. 3, 2021)                      (if all grants are successful)
                                                                                                         in funds expended
Employer Innovation
                             $4.304 Million               63                   Over 6,000
Fund Grant Awards
                                                                                                               177
Registered                                                                                                grants awarded
Apprenticeship
                             $6.168 Million               69                   Over 1,000
Incentive Grant
Awards                                                                                                       8,800
Earn and Learn Grant                                                                                     estimated Iowans
                              $5.83 Million               45            Approximately 1,800
Awards                                                                                                        assisted
Implemented with federal CARES Act funding between September - December 2020
Dir ect Car e Tr ain in g In clu din g CNA Pr ogr am s

● Includes CRF funds and the EIF fund:
   ○ $2,839,157 awarded to programs that include CNA
     certification
   ○ 803 estimated CNA slots
   ○ 9 new CNA Registered Apprenticeship Programs
RECEIPT OF UI TAXES

             TOTAL EM PLOYERS WITH A                                     PAYM ENT
  PERIOD                                       TOTAL PAYM ENTS
                    PAYM ENT                                              TOTALS

 CY2019                  50,079                       158,981           $420,964,420.44

 CY2020                  48,934                       154,034           $416,450,129.16

  ● Payment amounts received did not drop significantly from a “normal” year to the
    pandemic year
  ● Iowa remains stable from a UI tax collections perspective
STATE TAX WITHHOLDINGS

 PERIOD   BENEFITS PAID      PAYM ENT TOTALS   % of BENEFITS

 CY2019     $381.8 Million      $12,339,241        3.23%

 CY2020      $3.3 Billion       $119,401,354       3.62%
FY20 Bu dget by Fu n din g Sou r ce

83.06% Federal
16.94% State

Note - Federal funding does not
include Federal Pandemic
Assistance
2020 Special Con t in gen cy Fu n d
                 Expen dit u r es
                                                                                                                    Budget
                Appr opr iat ion s      Field Of f ices                                                           $1,766,084

                 Expen dit u r es       Un em ploym en t ^                                                        $120,660
                                        Wor k er s Com pen sat ion *                                              $226,307
                                        IWD Adm in ist r at ion ~                                                 $294,691
                                        Labor M ar k et In f or m at ion ~                                        $66,313
                                        In f or m at ion Tech n ology~                                            $0
                                        In f r ast r u ct u r e~                                                  $89,562
                                        Fu t u r e Ready Iow a*                                                   $76,992
                                        Hom e Base Iow a*                                                         $103,483
Total Appropriations/
Expenditures                   *Th e p rogra m is n ot fe d e ra lly fu n d e d .

$2,744,092                     ~Th e work b e in g p e rform e d is n o t a n e ligib le e xp e n d itu re to b e ch a rge d to a fe d e ra l gra n t.
                               ^ Dolla rs from th e P&I fu n d m u st b e sp e n t o n u n e m p lo ym e n t a ctivitie s e a ch ye a r to ke e p fro m
                               re ve rtin g a ll co lle ction s b a ck to th e Fe d e ra l Go ve rn m e n t.
2021 Special Con t in gen cy Fu n d
                 Expen dit u r es - Pr oject ed
                                                                                                                     Budget
                Appr opr iat ion s Field Of f ices                                                                $1,766,084

                 Expen dit u r es       Un em ploym en t ^                                                        $127,594
                                        Wor k er s Com pen sat ion *                                              $0
                                        IWD Adm in ist r at ion ~                                                 $406,698
                                        Labor M ar k et In f or m at ion ~                                        $110,483
                                        In f or m at ion Tech n ology~                                            $75,000
                                        In f r ast r u ct u r e~                                                  $86,282
                                        Fu t u r e Ready Iow a*                                                   $62,583
                                        Hom e Base Iow a*                                                         $320,227
                                        Field Of f ice Relocat ion +                                              $0
Total Appropriations/
Expenditures
                                *Th e p rogra m is n ot fe d e ra lly fu n d e d .

$2,954,951                      ~Th e work b e in g p e rform e d is n o t a n e ligib le e xp e n d itu re to b e ch a rge d to a fe d e ra l gra n t.
                                + Th e re is a sh ortfa ll in sta te /fe d e ra l fu n d in g fo r wo rk b e in g p e rfo rm e d .
                                ^ Dolla rs from th e P&I fu n d m u st b e sp e n t o n u n e m p lo ym e n t a ctivitie s e a ch ye a r to ke e p fro m
                                re ve rtin g a ll co lle ction s b a ck to th e Fe d e ra l Go ve rn m e n t.
Governor’s Recommendations
                              FY2022
                             Wor k er s’ Com pen sat ion         $3,321,044

                             Labor                               $3,491,252

                             Field Oper at ion s                 $6,675,650

                             Of f en der Re-En t r y             $387,158

                             M isclassif icat ion                $379,631

                             Su m m er You t h Pilot Pr ogr am   $250,000

To ta l Ge n e ra l Fu n d   Hom e Base Iow a                    $250,000
Ap p ro p ria tio n :
                             Em ployer In n ovat ion Fu n d      $4,200,000
$19,183,557
                             I3 St at e Accou n t in g Syst em   $228,822
UNEMPLOYMENT

       Compensation Fund
                                                   $1,252,449,000
                                  $1,174,967,593
                 $1,099,789,593
$1,005,772,052                                                      $993,538,383   $949,551,933.84

   2016             2017             2018             2019              2020           2021
                                                                    *Numbers based on Calendar Year
UNEMPLOYMENT

                     Tr u st Fu n d - 2020 by M on t h
                     2020 Daily UI Trust Fund Available for Benefits
                                                                                                        June 30, 2020:
                      Januar y 1, 2020 = $1.246 b illion
                                                                                                        $490 m illio n CARES Act d e p o sit
                                                           Januar y 1 t o June 25 = -$523.9 m illio n

$1.2 bil
Ja n u a ry 1

$723.4 m il
Ju n e 25

+ $490 m il
o n Ju n e 30 to :
$1.2 bil

$993.5 m il
De ce m b e r 31
SPECIAL EMPLOYMENT

 Secu r it y Con t in gen cy Fu n d
$3,780,588

             $2,646,526   $2,608,132
                                       $2,287,329
                                                    $2,105,241

  2016       2017          2018         2019         2020
                                                           Numbers based on State Fiscal Year
NASWA 2021 State of the Workforce Report
         Released February 10, 2021
                 Dedication

We dedicate this report to a group of unsung heroes who have worked
diligently through the pandemic: state workforce agency staff. They are the
boots on the ground, partners in the community, and innovators striving to
assist every unemployed worker. They endeavor daily to strengthen their
state’s workforce and struggling economy.

In spite of the many obstacles they face - the stress of the pandemic, an
inability to quickly respond to requests because of dramatic increases in
workload, as well as personal threats and attacks from the very
communities they serve - these workforce agency staff continue in their
dedication to public service. We applaud and owe a debt of gratitude to
these men and women.
M eet
ou r Team
BUILDING A FUTURE READY
      WORKFORCE
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