Putting AARA to Work in Minnesota
September 2009
By David Niermann
The federal stimulus funding that was awarded last spring under the American Recovery and Reinvestment Act (ARRA) included more than $300 million for DEED programs. The goal of ARRA is to stimulate economic recovery through such strategies as federal tax relief for companies and individuals, jobs creation, training and education programs, expanded unemployment benefits, infrastructure programs and much more.
Gov. Tim Pawlenty signed legislation in April authorizing funding to be spent in the state, and DEED officials began putting the money to work on a variety of services and programs.
“We are moving quickly to put people back to work and reinvigorate the economy,” said DEED Commissioner Dan McElroy. “Our main priority is to help communities and job seekers throughout the state.”
Here is a breakdown of how the money is being spent by the agency:
Unemployment Insurance Program, $130 million
Funding went into the state’s Unemployment Insurance Trust Fund, which pays weekly benefits to people who have lost their jobs.
Public Facilities Authority, $107 million
Funding provided low-interest loans and grants for clean water and drinking water infrastructure projects in Minnesota.
Dislocated Worker Program, $21 million
Funding is helping to train laid-off workers for new careers. More details on the program are available at Minnesota WorkForce Centers.
Youth employment programs, $17.8 million
The programs help “disconnected youth” gain access to education and training opportunities that will prepare them for entering the workforce. Services are available in all 87 Minnesota counties.
WorkForce Centers, $6.9 million
Temporary staff members were hired to work in Minnesota’s 47 WorkForce Centers through September 2010. They are helping customers with their job searches, including offering assistance with writing resumes and interviewing, finding job leads and networking. Expanded services are also available for employers.
Adult employment and training, $6.9 million
The goal is to help people move from low-income jobs to middle-income work, primarily through training. Services include skills assessments, job training and job search guidance. More information is available at Minnesota WorkForce Centers.
Vocational Rehabilitation Services, $6.3 million
Funding is being spent in three broad categories, with the aim of making short-term investments that will produce long-term benefits for people with disabilities. The first category, “system improvement,” includes investments in technology, management systems and staff training. The second category, “capacity building,” includes investments in such areas as on-the-job training and work experience programs, skill development, and services to unserved and underserved populations and regions. The third broad category is “innovation.” One example is the awarding of competitive grants to expand education and skills training to youth with disabilities. More information is available at Minnesota WorkForce Centers.
Small Cities Development Program, $5.6 million
Greater Minnesota communities received funding for housing, infrastructure and other economic development activity.
State Services for the Blind (SSB), $1.4 million
SSB hired additional counselors and placement coordinators to help its customers find and keep jobs. The Senior Services Unit hired two additional counselors to respond to an increasing number of customers and one assistive technology specialist. The unit helps visually-impaired people who have difficulty living independently in their homes or communities. SSB is also helping to make Web sites and application software accessible to visually-impaired customers.
Senior Community Service Employment Program, $543,700
This program provides part-time community service assignments for people who are 55 or older and have earnings that are less than 125 percent of federal poverty income guidelines.