OCS Faces Nearly $1M Budget Reduction in FB 2010-2011
July eNewsletter story
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 budget
reductions 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
