Like every State agency, nonprofit
organization and indeed the nation as a whole, the Office of Community
Services (OCS) faces financial challenges and constraints in the face
of a global recession.
In this shrinking economy, the resources
of the Office of Community Services are contracting as well. The
Legislative Budget Worksheet for FB 2010-2011shows a budget reduction
for OCS of $641,064.DLIR-OCS recently implemented an additional
budget reduction of $276,590. This drastically lowered DLIR-OCS funding
available for Purchase of Services (POS) contracts from $3,064,389 to
$2,146,735.In an effort to maintain contract funding at their
current levels and absorb budget reductions, DLIR-OCS has requested all
of its service providers to exercise prudent and responsible cost
savings in all contract spending. Three things must also occur for
DLIR-OCS to be able to maintain contract levels at their current
funding levels: 1) DLIROCS must continue to earn as much Temporary
Assistance for Needy Families (TANF) reimbursements from the Department
of Human Services (DHS) for its Employment Core Services for Low-Income
Persons (ECS-LIP) programs. DLIR-OCS will need TANF reimbursements of
approximately $400,000 each year in FY 2010 and FY 2011; 2) DHS renew
its contract via supplemental agreement with DLIR-OCS to continue Title
XX and TANF reimbursements for the ECS-LIP programs; and most
importantly, 3) DLIR-OCS receives no further budgetreductions or restrictions.In
the past two years OCS was able to absorb the cuts made to our office
without burdening service providers with cuts to their programs.
However, any further reductions by the legislature and/or
administration will result in cuts to current programs being offered by
service providers throughout the state. We are optimistic the economy
will recover and no further cuts will be mandated but have asked all
our service providers to spend cautiously.DLIR-OCS will make
every attempt to keep all of its providers informed as to the funding
status of their State POS contracts. If there are any questions or
concerns please direct them to DLIR-OCS Executive Director, Sam Aiona
at 586-8675 or sam.aiona@hawaii.gov
