Springs center lands aid/ Nonprofit group offers help to laid-off

Gazette, The (Colorado Springs), May 8, 2003 by CHRIS WALSH

The primary Colorado Springs organization helping area workers find jobs will get a 34 percent boost in federal funding to cope with the onslaught of layoffs in recent years.

The nonprofit Pikes Peak Workforce Center will receive $900,000 more from two federal programs in the organization's fiscal year 2003, which begins in July, than it did in 2002.

The organization will use the increased funding mainly to offer more training programs for laid-off workers, youths and adults who want to update their skills or enter careers, said Peggy Herbertson, center director.

The increase surprised Herbertson because the main federal work- force development program will cut $655 million from funding nationwide in 2003.

The center's funding dipped 14 percent, or about $650,000, last year.

Although a $1.1 million emergency grant more than offset the decrease, the organization still is swamped.

The number of people registered with the center rose from 20,000 in 1999 to about 40,000 now.

"What's been so difficult this past year is trying to deal with all the people but not having enough staff and resources to do it," Herbertson said. "It's been hard to make sure we're providing good services. This increase certainly will help."

If it can secure another emergency grant, the center might hire more staff this year.

Work-force development money comes mainly from the Workforce Initiative Act and the Wagner-Peyser Act.

The U.S. Department of Labor runs both.

The Labor Department doles the money out to states based on such factors as unemployment and poverty levels.

States then allocate funding to regional work force organizations.

Colorado will receive a 28 percent boost in funding this year although funding for many states will dip.

Colorado will get the second highest increase in money to be used for dislocated, or laid-off, workers.

Why?

The state employment information used to allocate money is 2 years old, so massive layoffs in Colorado and the Springs since early 2001 are being reflected in the data now.

There have been nearly 9,000 layoffs since early January 2001 in Colorado Springs alone.

Colorado's average income actually declined slightly in 2002, the only state that had a decrease, Herbertson said.

"We've gone through so many layoffs and our unemployment rate has jumped; that's why we're getting more funding," she said.

Some areas of the state received bigger boosts than the Colorado Springs region.

The Boulder region, for instance, will get a 118 percent increase in funds for helping laid-off workers.

FEDERAL FUNDS

The Pikes Peak Workforce Center will receive more federal money this year for all its programs:

72 PERCENT INCREASE in money used for helping laid-off workers find jobs.

36 PERCENT INCREASE to help low-income adults find work.

25 PERCENT INCREASE to help 14- to 20-year-olds find work.

17 PERCENT INCREASE in funds used to help employers fill jobs.