NoRTEC
AGENDA
WIB AND GOVERNING BOARD
THURSDAY, JANUARY 29, 2004
10:00 A.M. - 1:00 P.M.
HOLIDAY INN
685 MANZANITA COURT
CHICO, CA
Last Updated January 23, 2004, @ 5:45 p.m.

1. CALL TO ORDER
2. ROLL CALL
3. WIB APPROVAL OF MINUTES, OCTOBER 31, 2003 (ACTION)

   The minutes from the October 31, 2003 meeting are attached: Minutes

   RECOMMENDED ACTION:

   WIB approval of the October 31, 2003, minutes, with revisions if needed, as posted.

   Governing Board approval of the October 31, 2003, minutes, with revisions if needed, as posted.

4. APPROVAL OF AGENDA (ACTION)

   RECOMMENDED ACTION:

   WIB approval of the agenda, with revisions if needed, as mailed.

   Governing Board approval of the agenda, with revisions if needed, as mailed.

5. PUBLIC COMMENT (INFORMATION)

   Members of the public will be invited to make brief comments regarding any aspect of NoRTEC business.

6. PROGRAM COMMITTEE REPORT (ACTION)

   M. Piller will present the Program Committee Report.

   1. Program Monitoring

      There have been no programmatic monitoring visits since the Spring of 2003. Spring of 2004 visits are currently being scheduled. They will begin around the end of March and be completed by mid May. An update will be given at the April 2004 WIB/Governing Board meeting. Please contact Terrianne on the NoRTEC Staff is you want to be notified of a specific County site visit.

   2. State Monitoring

      There were no program monitoring visits performed by the State since the last meeting. We have heard rumors of a cycle of programmatic monitoring , but NoRTEC has not been contacted as of the posting of this agenda.

   3. Client Numbers
      1.  One Stop Centers - Job Seekers Accessing One-Stop Centers
      2.  WIA Enrollments - Job Seekers Enrolled in the WIA Program
      3.  Client Exits* - Outcome Information On Customers Leaving The Programs
      4.  Core Service* - One Stop Center Utilization Information
         
         
      5.  Employer Service* - One Stop Center Employer Service Information

         * New reports open to the public. Click on "Reports" on the NoRTEC client tracking site.

   4. Contract Performance

      WIA Service Provider Contract Performance - Contract Performance
      
      As agreed, NoRTEC has not focused a lot of attention on the details of participant performance since WIA was implemented. This is our first look at individual program performance involving participants (those actually enrolled in the WIA program). We will continue to evaluate and report quarterly performance to the Board in preparation for next program year's contracts.

   5. NWI (Nurse Workforce Initiative)

      The sixteen county region of NCEN (NoRTEC's nine counties, plus Colusa, Glenn, Humboldt, Lake, Mendocino, Sutter, and Yuba Counties) was awarded $2.1 million dollars to provide Registered Nurse (RN) and Licensed Vocational Nurse (LVN) training to northern California residents. The contract will be effective from October 1, 2002, through December 31, 2005.

      Following is a report showing the award by county and Local Workforce Investment Area, and the number of enrollments so far. NWI

      Several of the programs within NoRTEC have requested additional funding to allow them to continue with another phase of NWI (new groups of trainees). Unfortunately, there is no additional funding available at this time. We were hoping additional funding would be available, recaptured from projects around the State that are not performing as expected, but lack of direction at this level from a new administration makes this less likely.

   6. Plant Closure Update

      There have been several plant closures in the nine county area of NoRTEC over the past three years. The following web site address is being updated as additional closures occur. Items in red are those additions since the last regularly scheduled WIB and Governing Board meeting.

      Humboldt and Mendocino County closures are now listed on the website, as they are now a part of our regional NCEN special project funding requests.

      Plant Closure Update

   7. Featured Community Coordinator Report

      Following are direct links to the reports received for the quarter ending December 31, 2003:
      
      (Note: If the link does not take you directly to the report for the October-December quarter, look for a menu selection on the web page entitled Community Coordinator or Community Coordinator Reports.)
      
      Butte PIC (no link provided)
      Rural Human Services (Del Norte)
      Alliance for Workforce Development (Lassen)
      Alliance for Workforce Development (Modoc)
      Alliance for Workforce Development (Plumas)
      Shasta PIC
      STEP (Siskiyou)
      Job Training Center of Tehama County
      Trinity Occupational Training (Trinity)
      
      A few highlights from this quarter's reports are:

      • Del Norte County had a special visit from Ms. Georgina Lagos, Consulate General of Mexico. She attended the opening of the Plaza Communitaria in Smith River. The concept of the Plaza is to have an information and educational center where agricultural workers can go and obtain important information or educational opportunities. The event was well attended.
      • AFWD in Lassen County has a new "temporary" Community Coordinator, Laurie Wann, who is filling Traci Holt's shoes while she is on maternity leave (check out this quarter's report for a picture of the Holt Family's new addition). Ms. Wann is already well known to NoRTEC staff as she designed the original NoRTEC Business Services website.

        The report discusses two plant closures in Lassen County (JELD-WEN manufacturing, 60 employees, and Sierra Pacific Industries, 200 employees) whose closures have effectively eliminated manufacturing jobs in Lassen County. There is one bright spot in the Lassen County labor market, however. Sierra Army Depot has announced they will be hiring 250 full-time, temporary employees with wage rates of $12-$20 per hour.

      • AFWD in Modoc County reports two good pieces of news in their report. Patricia Cantrall, current NoRTEC Governing Board member, and Modoc County Supervisor is running unopposed for another term. AFWD reports that she has been a strong advocate for AFWD, and they are pleased she will continue as a Board of Supervisors member.

        There is good news on the labor market front for Modoc County. Lakeview, a small community in southern Oregon, has just been selected as a site for a new State prison. The prison will be hiring a variety of workers from cooks, to gardeners, to guards. As Lakeview is only 50 miles from Alturas, this will provide employment opportunities for many of our residents. The Modoc Employment Center will work as closely as possible with prison officials to assist them with their recruitment efforts.

      • AFWD in Plumas County reports on their abrupt move, due to a massive building maintenance issue beyond their control, from their previous location to a new location at 231 Main Street. The other partners in the original location have had to move to different locations, as well. The goal of the agencies involved is to reunite in eight months.

        AFWD has also presented two job seeker success stories for the WIB and Governing Board's information.

      • The Shasta PIC outlines many activities that took place throughout the county during the last quarter. Of particular interest, is a business success story. The Coca-Cola Remanufacturing company closed its busy Los Angeles location and merged with an existing facility in Redding. This resulted in the hiring of 25 additional workers (which were trained with the assistance of the Shasta PIC). Check out the details in Shasta's report.
      • STEP reports that the Discovery Channel was busy filming at College of the Siskiyous in Weed, recording some of the college's educational assets for a program which will air on the Discovery Channel sometime in March.
        
        The show "Champions of Industry," hosted by Pat Summerall, will focus on College of the Siskiyous' partnerships with area service providers such as Mercy Medical Center and STEP, and a number of emergency service agencies such as police and fire departments. COS's new Distance Learning Center and the Fire Training Tower were among the points of interest on the Weed campus. Filming included a simulated rescue situation involving fire and paramedic personnel.
        
        STEP also provided some valuable hiring assistance to the J.H. Baxter Company in Weed.
      • In response to local business requests, Ginger Rayl and Rebecca Burgess of the Job Training Center of Tehama County developed a one hour hands on course which underscores the importance of proper telephone etiquette in promoting a professional image. This workshop is a "fee for service" and will be presented to the employer community on January 22 for $29 per person.

        The Job Training Center has also perfected and polished another "fee for service" training workshop named "Providing Excellent Customer Service" which is also available to the employer community for $59 per person.

      • Trinity Occupational Training reports on a presentation given to the Trinity County Board of Supervisors to provide them with information on Business Services in Trinity County. Two local business people also attended to report on the services provided to them by TOT.

        There is also a nice success story about two women from Hayfork who received WIA training from TOT in the field of cosmetology. One has a job and the other now owns her own nail business.

   Take few minutes to read the reports from all nine counties. They are informative and fun. Our Community Coordinators are putting a lot of work into keeping you informed.

7. Business First Report

   The WIB and Governing Board adopted program policies and endorsed a program perspective that encourages the NoRTEC One Stops to assist local business as their primary customer. Local and NoRTEC wide efforts to achieve this goal will be presented as a regular agenda item.

   1. Web site Technology Initiative (Update)

      After the second round of "Website Initiative 2003," we have 103 websites developed through our one day website workshops. So far, at 25, Trinity County is the hands down winner for most local websites.

      Website Initiative 2003: http://www.websiteinitiative.org/

      Websites by County: /cb/pgb/business_websites.html
      
      No website training was offered since the October 30, 2003 update. Linda Morecraft of Trinity Occupational Training did provide training to three Shasta PIC staff on how to provide the training to local business. The feedback was positive. Shasta plans on providing additional website classes over the next couple of months.

   2. Entrepreneur Training (Update)

      Background
      We funded a pilot project a year ago to see if we could discover companies/entrepreneurs with fast-growth concepts/potential in the NoRTEC area. If yes, were any Venture Capitalists or "Angel Investors" willing to invest in our area? So far, none of the attendees of the two primary workshops we offered at that time have made it to the big time. But a couple of local companies have received Venture capital, which shows that the idea is sound.
      
      A Chico based wireless internet provider, Digital Path, has 50 employees, and is expected to double in size by the end of year. Another Chico company, AdExpedia, helps newspapers incorporate display ads and advertising inserts into their Web sites. It expedites ads. They have gone from three employees to 120 employees.
      
      With the cuts in funding, we had pretty much decided this was way down the maybe list for special project funding this year. But then we were notified by the State that we had received an incentive grant to fund an application we submitted a couple of years ago to implement this project. So regular updates will be provided.
      
      Update
      The project is underway, under the direction of Golden Capital Network (GCN). Jon Gregory, President and CEO of GCN will be at the meeting to provide a brief progress report on this year's efforts to identify both entrepreneurs and venture capital/angel investors, provide training/education to the entrepreneurs (needed to maximize their chance of making a positive impression on the investors), bring them together with investors, and get a new fast growth business started in the North State.

   3. One Stop Business Services (Information)
      
      NoRTEC has put together a website that provides a comprehensive look at our full range of business services; /business_services/home.html. It is open to the public, but kind of hidden while we wait for the programs to develop websites of their own (so we have a place to refer folks to for local service delivery). So far, the best example of a local Business Services website is the Shasta website: http://www.shastabrc.com/
      
      Business Services Tracking - One of the features of the NoRTEC Business Services website is access to the list of local businesses utilizing the various types of business services offered. There is also a business services report open to the public on our "Public" site: /cb/nortec_public.html. The e_learning report is another one available to the public on the "Public" site.
      
      Business Service Presentations

      • Business Startup - Bill Finley, Director of the Butte PIC, will introduce Mr. Merlin Newkirk, Owner, Wizard Graphics. The Butte PIC provided startup services, and Mr. Newkirk has agreed to provide the WIB and Governing Board with a brief review of how it went.
      • Business Startup - Colleen Shanley, Business Consultant, Corning branch of the Job Training Center of Tehama County (JTCTC), will introduce Ms. Kia Curley, General Manager, Ramada Inn, Corning. The JTCTC provided startup services, and Ms. Curley has agreed to provide the WIB and Governing Board with a brief review of how it went.
      • Employee Training - Kathryn Schmitz, Director, Job Training Center of Tehama County, will provide a brief report on the success of their "fee for service" Customer Service and Phone Etiquette training classes.
8. One-Stop Operator Contracts (ACTION)

   A potential problem has arisen with the way that NoRTEC contracts with One-Stop operators in our nine county area.

   Background

   NoRTEC contracts most of the incoming WIA funding to local CBOs to provide the full range of WIA programs and services in their county(s); the NoRTEC "Program Operators." The law also requires NoRTEC to contract for "One Stop Operator" services. These can range from the minimal (mostly an annual update of the MOU between the One Stop partners, as needed), to a full blown intermediary, responsible for the overall coordination and operation of the One Stops. The NoRTEC WIB and Governing Board opted for the minimal approach, and grand fathered in the WIA Program Operators to also be the One Stop Operators.

   Problem

   The 10% administrative expenses cap. A recent DOL Financial Accountability TAG (Technical Assistance Guidance) has (mis)interpreted the law to require any entity receiving WIA finding for both the One Stop Operator and the Program Operator services to track and cost out all activities considered to be "administrative." Right now, the minimal "administrative" activity expenses are separately tracked and reported for the One Stop Operator contracts. Not so for the Program Operators. The law allows all expenses contracted for WIA Program Operation to be charged to "Program" costs. This was an important concession in the law to make it possible for the WIBs to operate within the 10% administrative cap imposed under WIA. According to this new TAG, our dual contracts with the NoRTEC Program Operators will make it impossible to operate within the 10% administrative cap.

   Current Situation

   NoRTEC has a small contract with each of the NoRTEC WIA funded Program Operator to perform minimal "One Stop Operator" duties.

   Staff Recommendation

   Let a small contract with a single entity to be the NoRTEC "One Stop Operator," to perform minimal duties as required under the law.

   RECOMMENDED ACTION:

   WIB approval for the NoRTEC Program Committee to meet and develop a recommendation to the full WIB and Governing Board regarding the NoRTEC contract(s) for One Stop Operator Services for PY 2004/2005.

   Governing Board approval for the NoRTEC Program Committee to meet and develop a recommendation to the full WIB and Governing Board regarding the NoRTEC contract(s) for One Stop Operator Services for PY 2004/2005.

9. One-Stop Staff Training (Information)

   As discussed in a previous update to WIB and Governing Board members, a number of NoRTEC business service staff took and passed the California Accredited Consultant Exam (CAC) on November 15, 2003. The study materials and exam are intended to assist professionals increase their knowledge of the staffing profession in areas such as ADA, FMLA, Constitutional Law, Common Law, State and Federal Regulations, INS, Age in Discrimination and a comprehensive overview of other legal issues that face us and our clients every day. Displaying "CAC" after your name signifies your commitment to the staffing industry and your knowledge of the laws that govern it. An added bonus for this first group is that everyone accredited prior to January 1, 2004, has been grand fathered into the new certificate called CSP (Certified Staffing Professional). This is good because this is a national certificate.

   Following are a list of the individuals who passed the test:

   • Gary Corderman, Executive Director, Alliance for Workforce Development
   • Bonnie Westlake, Resource Specialist, Business Resource Center/Shasta PIC
   • Tom Cowles, Business Resource Consultant, Business Resource Center/Shasta PIC
   • Lorrie Berry-Trudeau, Business Services Supervisor, Business Resource Center/Shasta PIC
   • Inez Bays, Business Resource Consultant, Business Resource Center/Shasta PIC
   • Colleen Shanley, Business Consultant, Business One Stop Services/Job Training Center of Tehama County
   • Kathy Garcia, Business Services Coordinator/Community Coordinator, Business One Stop Services/Job Training Center of Tehama County
   • Betti Austin, Program Services Director, NoRTEC

   Congratulations to these California Accredited Consultants, who now join Ginger Rayl, CAC (Business Consultant, Job Training Center of Tehama County) who was the first individual in NoRTEC to pass this exam.

RECOMMENDED ACTION:

The Program Committee recommends approval of the Second Quarter Program Committee Report

WIB approval of the Second Quarter Program Committee Report.

Governing Board approval of the Second Quarter Program Committee Report.

• FINANCE COMMITTEE REPORT (ACTION)

  B. Hamby, Finance Committee Chair, will present the Finance Committee report.

  1. PY 2003/2004 Funding (Information)

     NoRTEC currently has $12,123,647 in available funds for the PY 2003/2004 Program Year. Another $3,416,837 has been requested. If all the requested funds are received, NoRTEC will have $15,540,484 available for the 2003/2004 program year.

     This would be a $1,758,696 decrease in total NoRTEC funding from the PY 2002/2003 program year. The decrease in funding is primarily due to the 25% cut in allocated funding (Adult, Youth and Dislocated Worker) for 2003/2004 program year.

     Project	Funds Available from July 1, 2003	Additional Funds Requested	Total
     Adult	$3,687,947	$0	$3,687,947
     Youth	$3,604,747	$0	$3,604,747
     Dislocated Worker	$1,697,226	$0	$1,697,226
     Rapid Response	$558,746	$316,837	$875,583
     MCLAUS	$965,665	$0	$965,665
     Nurse Workforce Initiative	$1,229,062	$600,000	$1,829,062
     North STARRS II	$0	$2,500,000	$2,500,000
     Incentive Funds	$68,790	$0	$68,790
     Recission Replenishment	$253,474	$0	$253,474
     Groundfish	$57,990	$0	$57,990
     TOTAL	$12,123,647	$3,416,837	$15,540,484

  2. Approval of PY 2003/2004 Second Quarter Financial Reports (Action)
     1. PY 2003/2004 Contracts Summary (Information)

        This report shows the total amount of funding in contracts with the State, the source of that funding and its allocation within NoRTEC for the 2003/2004 program year. As of December 31, 2003, NoRTEC had a total of $12,123,647 available in State contracts for the 2003/2004 program year. This report includes only amounts available in the 2003/2004 program year. Amounts expended in prior years are not included.

     2. PY 2003/2004 Service Provider Contract Modifications

        This report shows the changes between June 30, 2003, and December 31, 2003, in the service provider contract amounts available for expenditure in the current program year. This report shows only contract amounts available in the current year. Contract amounts expended in prior years are not included.

        The contract modifications during this period were (1) the addition of $60,000 per county for MCLAUS funding, and (2) a $2,500 increase in Shasta's Rapid Response funding. These amounts include any unspent funds carried forward from the prior year. See report for detail.

     3. PY 2003/2004 Program Expenditure Report

        This report shows each subcontractor's total available balance for the program year (July 1, 2003, to June 30, 2004), the cumulative expenditures for the six months ended December 31, 2003, and the remaining balance at December 31, 2003, for each specific funding title and program type. This report shows only contract amounts available in the current year. Contract amounts expended in a prior year are not included.

        The funding titles in bold italics are those titles in which a service provider is not within a 10% variance of the quarterly expenditure target rate (40% at December 31, 2003). For each of these titles, a corrective action plan has been requested. There do not appear to be any items of concern at this time.
        
        Background:

        NoRTEC service providers are generally required to spend 80% of each year's allocation by the end of the program year. For the convenience of monitoring, NoRTEC uses a 20% per quarter expenditure rate as a guide for assessing expenditures throughout the fiscal year (20% first quarter, 40% second quarter, 60% third quarter and 80% final quarter). A corrective action plan (an explanation from the service provider of how they intend to utilize the funds by the end of the funding period) is automatically required from a service provider if quarterly expenditures vary by more than 10% from the quarterly target rate. The required expenditure rates apply to regular funding titles only and do not apply to special projects.

        "Excess" funds may be voluntarily returned by a service provider or recaptured by NoRTEC if it appears that a service provider will not be able to effectively utilize them by the end of the funding period. These funds are then redistributed to other NoRTEC service providers demonstrating a greater need, or returned to the State if they cannot be effectively utilized within the consortium. Early detection and correction of expenditure problems is important because it allows time for the funds to be put to good use by service providers in other consortium counties. In addition, the effective use of funds directly affects NoRTEC's ability to secure additional funding in future years.

     4. PY 2003/2004 NoRTEC Administrative Entity Expenditure Report

        This report shows the Administrative Entity (AE) expenditures against the annual line item budget for the six months ended December 31, 2003. At December 31, 2003, the NoRTEC Administrative Entity had expended 45% of its Operating budget, 37% of its Special Projects budget, 84% of its Capacity Building budget, and 59% of the Incentive Funds budget. The budget expenditures are detailed in the attached line item report.

        There are no items of concern at this time.

     5. PY 2003/2004 NoRTEC WIB and Governing Board Expenditure Report

        This report shows the WIB and Governing Board expenditures against the annual line item budget for the six months ended December 31, 2003. At December 31, 2003, the WIB/Governing Board expended 30% of its total budget.

        There are no items of concern at this time.

     RECOMMENDED ACTION:

     The WIB Finance Committee is recommending NoRTEC WIB and Governing Board approval of the PY 2003/2004 Second Quarter Finance Reports.

     WIB approval of the PY 2003/2004 Second Quarter Financial Reports.

     Governing Board approval of the PY 2003/2004 Second Quarter Financial Reports.

  3. Updated Salary Survey (Action)

     NoRTEC Salary Survey Matrix Updated June 2003

     The NoRTEC salary survey matrix was updated by Lori Figoni in June 2003. The Finance Committee has reviewed the matrix and is recommending that the Executive Committee meet to review the report and recommend action to the WIB/Governing Board. The Board has not addressed NoRTEC staff salaries for three years, during which time salaries have been unchanged.

     RECOMMENDED ACTION:

     The Finance Committee recommends that the WIB Executive Committee hold a meeting prior to the April 2004 WIB/Governing Board meeting to discuss the results of the salary survey and recommend action to the WIB/Governing Board.
     
     WIB approval of scheduling an Executive Committee meeting prior to the April 2004 WIB/Governing Board meeting to discuss the results of the salary survey and to recommend action to the WIB/Governing Board.

  RECOMMENDED ACTION:

  The Finance Committee recommends approval of the PY 2003/2004 Second Quarter Finance Committee Report.

  WIB approval of the PY 2003/2004 Second Quarter Finance Committee Report.

  Governing Board approval of the PY 2003/2004 Second Quarter Finance Committee Report.

• 2004 ANNUAL COUNTY PROFILE SERIES (INFORMATION)
  
  Dan Ripke, Director, Center For Economic Development, will present the 2004 profiles. Not all of the County reports are completed, but those that are will be distributed to the WIB and Governing Board members that are present at the meeting. The rest will be distributed locally upon completion. Mr. Ripke will also briefly discuss their developing on-line North Sate Business Climate Survey, and a business startup video project they are working on for Public Television.
• JOBS AND CALIFORNIA'S WORKFORCE: WIB DIALOGUE AT THE CAPITOL (INFORMATION)
  
  C. Brown and J. Madden plan on attending this meeting at the State Chamber of Commerce offices in Sacramento this January 28th. Two cabinet secretaries and Senator Dede Alpert will be there, as well as the host the new chair of the State Chamber of Commerce, John Koeberer. Also attending are 29 other WIB chairs (besides Judi), some State WIB members (Scott Hauge will be there), Mary Wollesen, the new State Director for the Small Business Development Center, invited policy makers from other systems, and a few legislative staff.
  
  The purpose of this event is to discuss ways to improve the workforce system to meet the needs of businesses, increase the skills of workers, and create jobs in California. Participants will include private sector members of Workforce Investment Boards (WIBs) and local economic development professionals who are very interested in helping Governor Schwarzenegger and his Administration think through these issues. This event is very much a follow-up to the December 16th meeting organized by the Business Transportation & Housing Agency to discuss ways to stimulate California's economy.
  
  A verbal report on what happened will be presented at the NoRTEC meeting.
• STATUS OF FUNDING APPLICATIONS (UPDATE)
  1. Prior Approval:
     1. The North STARRS II application is pending approval of the new Governor.
     2. The Work Incentive application (job coaching for disabled participants) submitted as part of a State WIB application was not funded.
     3. The Rapid Response application has been fully funded.
  2. New Applications:

     Nonew applications to present.

• OLD BUSINESS (INFORMATION)

  Old Business items may be brought up for discussion, at the pleasure of the NoRTEC WIB/Governing Board members.

• NEW BUSINESS (DISCUSSION)
  1. WIB and Governing Board - Thursday, April 29, 2004, in Redding.
  2. Additional New Business items may be brought up for discussion, at the pleasure of the NoRTEC WIB/Governing Board members.
• ADJOURNMENT