Purpose: to assist local areas in moving their MOU process forward. These questions are designed to identify essential components of a successful MOU Process. They can be used to help you assess where you are and on what areas you will need to focus attention or where you may need assistance. Other useful documents include NYSDOL's MOU Template and the NYATEP/NYSDOL One-Stop System Building Toolkit. These two documents will be used as the basis for review and compliance with the law.
The system is the overall method or plan for serving the universal population within a local workforce investment area. To define the "system" requires the bringing together of all the partners (mandated and non-mandated as identified by the chief elected official) to identify the clients to be served by each of the partners. The law defines the responsibilities for being a partner as:
The system is broader than the one-stop centers in a given area. The system brings together partners and programs to provide universal access to the core services of the programs in a seamless fashion. The goal is to increase system access for all customers. Not all system programs will be universal; that is all programs will not be able to serve all people. However, all people can be served somewhere in the system. The system is about defining "common turf" across programs and services to provide core services. No individual program is required to cede its "unique" turf or to violate its governing statute.
In accordance with the Design Team report, the system is defined as being customer driven, demand side led, performance driven, providing multiple access points, providing a value added dimension to services and improving continuously. How services will be delivered and through what mechanisms should be defined through negotiation among the partners in the system. Many of the partners perform similar functions while some of the partners are specifically precluded from engaging in certain activities. The key to operationalizing the system is to maximize each program's capabilities while minimizing administrative duplication
Please consider the following:
All One-Stop partners are expected to participate proportionately in the system. The MOU should distinguish between the services delivered at the One-Stop site(s) and services delivered within the One-Stop system through the agreed upon systematic referral of services. The identification in the MOU of total system costs and the resources that will support those costs is a critical step in making the One-Stop system sustainable.
For further assistance in developing this section, please see the "Guidelines for Cost Allocation Plans."
What is the difference between "shared" costs and "direct" costs within the local One-Stop system?
The "system" is the overall methodology or plan for serving the universal population in the local workforce area. Since the MOU is a system level agreement, it must identify all of the costs necessary to operate and provide services in the system. One-Stop system costs are all costs associated with the unified delivery of numerous employment and training programs within a workforce investment area. Because the One-Stop system is, by its very nature, a partnership and, because all partners have ownership in the system, system costs fall into two general categories:
Shared system costs: are those costs that facilitate the unified delivery of services. Partners must elect to participate in the system and, as such, elect to financially support the system. Shared system costs are costs that will eventually be allocated back to all participating partners in proportion to the actual use attributable to each partner. In this context, the collective financial support of the partners might be used to fund a variety of system activities that will be performed for the benefit of the partnership such as, but not limited to:
Program delivery costs are those costs which each partner program incurs related to the delivery of employment and training services. These are:
Using this definition, One-Stop Center costs could be either direct or shared service costs. In addition, affiliate site costs would generally be direct service costs.
The WIA provides no new money for the operating and administrative costs of the system (which includes the operating costs of the One-Stop Centers, Resource Rooms and Affiliated Sites). The ability to fund these costs will come from optimizing program capabilities to achieve administrative efficiencies.
See the NYATEP/NYSDOL One-Stop System Building Toolkit, Services and Funding section for more assistance. This can be found at http://www.nyatep.org/ in the publications section or on the Workforce New York website at http://www.workforcenewyork.org/toolkits.htm
Note: Page 16 of the toolkit lists six (6) system components. It is likely that not all components will have costs that qualify as shared system costs.
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