[Federal Register Volume 81, Number 127 (Friday, July 1, 2016)]
[Notices]
[Pages 43250-43254]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-15603]
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DEPARTMENT OF LABOR
Employment and Training Administration
Final Notice of Job Corps Center for Closure
AGENCY: Office of Job Corps, Employment and Training Administration
(ETA), Labor.
ACTION: Notice.
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SUMMARY: The Employment and Training Administration (ETA) of the U.S.
Department of Labor (the Department or DOL) issues this notice to
announce its final decision to close the Ouachita Civilian Conservation
Center (Ouachita) in Royal, Arkansas. The Office of Job Corps (OJC) in
ETA published an updated methodology for selecting a Job Corps Center
for closure and requested comments on the proposed decision to close
Ouachita at 81 FR 12529 on March 9, 2016. A total of 292 public
comments were received in response to the proposal to close Ouachita.
After reviewing all comments, the Department has decided to close the
Ouachita Job Corps Center.
FOR FURTHER INFORMATION CONTACT: Lenita Jacobs-Simmons, National
Director, Office of Job Corps, ETA, U.S. Department of Labor, 200
Constitution Avenue NW., Room N-4463, Washington, DC 20210; Telephone
(202) 693-3000 (this is not a toll-free number). Individuals with
hearing or speech impairments may access the telephone number above via
TTY by calling the toll-free Federal Information Relay Service at 1-
(877)889-5627 (TTY/TDD).
SUPPLEMENTARY INFORMATION
I. Closure Criteria
The Department originally announced its methodology for determining
whether to close a center based on chronic low performance in the
Federal Register at 79 FR 51198 on August 27, 2014. The March 9, 2016,
Federal Register Notice did not alter this
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criterion except for changing the five-year period of data reviewed
from Program Years (PYs) 2008-2012 to the most recent five years
available. Comments were not requested on the performance-based
criteria in proposing the closure of the Ouachita Center.
The March 9, 2016, Federal Register Notice also added two
additional criteria for the closure of a Job Corps center: Closure
based on a joint decision of the Secretaries of Labor and Agriculture,
as described in a December 2014 report to Congress; and closure based
on an evaluation of the effort required to provide a high-quality
education and training program at the center. The Department did not
use either of these criteria in proposing or evaluating the Ouachita
Center for closure. Comments were not requested on these closure
criteria.
II. Background of the Job Corps Program and Process of Selecting a
Center for Closure
The Job Corps program, with centers across the country, seeks to
change lives through education and job training for in-demand careers.
Job Corps serves at-risk young people who are overcoming major
challenges, which can include deep poverty, homelessness, or multiple
foster care placements. The program represents the core American value
that no matter who you are or where you come from, you should have the
opportunity to succeed.
On March 9, 2016, the Department proposed to close Ouachita under
the chronic low-performance criterion. Using data from PY 2010-2014,
OJC calculated each center's Overall Rating based on the center's five-
year Outcome Measurement System (OMS) performance level, the five-year
On-Board Strength (OBS), and the five-year Facility Condition Index.
Based on this methodology, Ouachita received the lowest Overall Rating
and, therefore, the lowest ranking of all centers considered. After
ranking the centers based on the primary criteria, the Department then
applied the four additional considerations and determined that none of
those considerations precluded the closure of Ouachita.
III. Summary of Comments and Discussion
The comment period was open from March 9, 2016, through April 8,
2016. Two hundred ninety-two public comments were received in response
to the proposal to close Ouachita. After considering these comments,
the Department has decided to close the Ouachita Civilian Conservation
Center due to its chronic low performance. The Department has concluded
that Ouachita's chronic inability to meet performance goals
necessitates its closure and the reallocation of these student slots
and resources to higher-performing Job Corps facilities. The Department
has also concluded that closing this Center will not reduce the overall
number of students who can be served in Job Corps.
The comments are summarized briefly and discussed below.
Two commenters generally support Job Corps' decision to close the
Ouachita Job Corps Center. A current student said he was not receiving
adequate instruction in his trade because his instructor is never
there. A member of the community commented that the center has been
going downhill for the past five years; the commenter says that morale
among the students is low and that there is racism and backstabbing
among the staff.
Three commenters requested an extension of the 30-day comment
period. Section 159(j)(2) of the Workforce Innovation and Opportunity
Act (WIOA) provides that prior to the closure of any Job Corps center,
the Department must establish ``a reasonable comment period, not to
exceed 30 days, for interested individuals to submit written comments
to the Secretary.'' The comment deadline of April 8, 2016, reflected
the 30-day maximum. By statute, the Department could not extend the
comment period on this proposed closure.
A large number of commenters generally expressed the view that the
Department should not close Ouachita because of the effect that closure
would have on the community. Several commenters urged DOL to maintain
Ouachita because of recent steps the center has taken to work with
local schools, with commenters asserting that the program could support
a new Arkansas state employment initiative. DOL recognizes the
beneficial effects of a center's operation on its local area, and that
closing a center may indirectly affect the local economy and the
broader community. However, the core mission of the Job Corps program
is to train students to become more employable, responsible, and
productive citizens. The closure of Ouachita advances this mission by
allowing OJC to shift these resources and opportunities to higher-
performing centers, thereby improving the performance of the entire Job
Corps system and ensuring that students have the best opportunity to
succeed.
Many commenters expressed their concern that current and future Job
Corps students will suffer if the center closes. DOL appreciates the
concern but is confident that disruption to students can be minimized
while ensuring that current and future students have access to a higher
performing Job Corps center. All students currently enrolled at
Ouachita will have the opportunity to complete their training and
graduate while the center remains open or transfer to higher-performing
centers in Arkansas or the region. In addition, prospective students
from Arkansas will continue to be served by the two other centers in
the state, as well as other centers in the region that offer training
in the area they wish to pursue. Given Ouachita's chronic poor
performance, we have concluded that current and future students will be
better served at higher performing centers.
Multiple commenters suggested that the decision to close Ouachita
be delayed. Several urged DOL to provide the center with additional
resources and give it the opportunity to improve its performance.
Another commenter suggested that the center be closed down temporarily
so that the center and its management could be retooled. Other
commenters suggested that other options and strategies be considered
before closing the center. Finally, one commenter asked the decision be
delayed until the Department presents an alternative plan to Congress
that includes providing direct technical assistance to the U.S. Forest
Service, which operates the center.
DOL has concluded that these suggestions will not lead to improved
center performance and that the resources will be better utilized at
higher preforming centers. DOL and the Forest Service's parent agency,
the U.S. Department of Agriculture (USDA), have used numerous
performance improvement tools and strategies at Ouachita over several
years, including intensive oversight and interventions; however, the
center has continued to chronically underperform. Ouachita has been on
a Performance Improvement Plan (PIP) for five years. For the last four
Program Years, the center received more frequent on-site visits,
audits, and direct technical assistance from DOL and the USDA. During
the year prior to the proposal for closure, Job Corps and the Forest
Service made additional concerted, targeted efforts to improve
Ouachita's performance, including implementing an interagency
performance improvement team. Even with these efforts, Ouachita failed
to meet a single OMS goal for on-center measures during PY 2014, the
most recent complete program year for which data is available.
Additionally, before proposing Ouachita for closure, the
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Department applied an additional consideration, as discussed in the
published closure methodology, of whether there had been significant
recent performance improvements as the center. There had not. This
prolonged inability to improve performance indicates that additional
resources and efforts are not likely to be successful and thus should
not be expended. Balanced against the lost opportunity to current and
future students to improve their lives by attending a higher-performing
center, the Department has concluded that closing Ouachita achieves the
best outcome for the Job Corps program and its students.
Some commenters complained that Ouachita has not received adequate
resources or support from DOL and the Forest Service. Some of these
commenters asserted that the center should not be closed because it has
been targeted by DOL or the USDA or because it has been poorly managed
by the Forest Service. Others argued DOL has specifically targeted
Civilian Conservation Centers (CCCs) for closure, or attributed the low
performance of Ouachita to problems between the Forest Service and DOL.
Several said it is incumbent upon the Forest Service and DOL to devise
a reasonable solution to fix the problem of Ouachita's poor
performance. Two commenters stated that Ouachita should not be closed
because it has undergone too many changes in leadership over the last
several years.
Neither the Department nor the Forest Service has targeted Ouachita
for closure, nor has the Department targeted CCCs in general for
closure. DOL's decision to close Ouachita is based on its chronic low-
performance over the last five years, not on the entity that operates
the center. The Department has worked, and will continue to work, with
the Forest Service to improve the CCCs and maintain their important
role within the Job Corps system. As noted above, DOL and USDA
cooperated to provide significant resources toward improving Ouachita's
poor performance. Despite these efforts the center's performance showed
no sustained improvement, and the Department does not think investment
of additional time or resources will lead to improved performance at
the center. Finally, the Department understands the commenters'
concerns that frequent changes in leadership could affect improvement
efforts at a struggling center. However, center management failed to
make substantial improvements even with intensive federal assistance in
PY2014.
Four commenters stated that the center should remain open because
of its historical significance. While DOL agrees that the potential
historical nature of any building is important, historical significance
itself is not a reason to keep a center in operation and serving
students. By law, the possible historical significance of the center
must be taken into account in determining the future use of the
property.
One individual commented that Ouachita should remain open because
it is one of only six Job Corps centers offering the urban forestry
trade. Students currently in the urban forestry trade at Ouachita will
have an opportunity to complete their training at Ouachita or transfer
to a higher performing center offering the trade. Additionally, each
Job Corps center regularly evaluates its career technical training
offerings by reviewing local labor market information to determine in-
demand industry sectors and identify emerging occupations suitable for
its training program. These regular evaluations and other relevant
information will determine whether there is a need for another center
to offer training in the urban forestry trade.
Another commenter discussed the unique role played by the rural
CCCs, praising services--including fire suppression and controlled
burns, among others--that CCCs provide to small communities and the
skills students learn by aiding in the provision of those services. The
Department agrees that Job Corps provides valuable services to smaller
communities. However, the primary mission of the program is the
education and employment of disadvantaged youth, and the Department has
determined that continuing to operate Ouachita is not in the best
interest of students or the program as a whole because of the center's
chronic poor performance.
One commenter expressed opposition to the proposed decision to
close the center because he believes student recruitment is treated
differently for Forest Service-operated centers than contractor-
operated centers. This commenter also stated that Forest Service-
operated centers are at a disadvantage because they more strictly
enforce safety rules and Job Corps' zero-tolerance policy, resulting in
the termination of more students. However, another commenter had a
contrary view, stating Ouachita staff and leadership are afraid to
dismiss students from the program in accordance with the zero-tolerance
policy, even for ``major offenses.'' All Job Corps centers, including
CCCs operated by the Forest Service, must comply with all requirements
of the program as outlined in the Job Corps Policy and Requirements
Handbook (PRH), including compliance with the discipline policy.
Recruitment procedures and standards also are the same regardless of
the type of center operator.
Some commenters alleged that DOL has not done enough to ensure a
sufficient number of students are recruited for Ouachita, and several
commenters asserted that the Outreach and Admissions (OA) provider has
suppressed the center's OBS, either intentionally or through poor
performance. Some commenters blamed Job Corps' Dallas Regional Office
for these problems, asserting that the center is low performing because
Job Corps has not assisted with providing more applicants from Arkansas
and other states. One commenter complained that the standards for
maintaining OBS unfairly affected Ouachita because the contractor is
not recruiting students who are committed to the program and thus leave
within the first 90 days. This commenter and other commenters
complained that OBS goals are too difficult with the challenging
students Ouachita receives. Some commenters stated that the present OA
contractor for Arkansas operates the Little Rock Job Corps Center,
which is incorrect.
Ouachita has received a steady number of referrals of prospective
students over the last year from the OA contractor currently serving
Arkansas. For calendar year 2015, Ouachita received referrals of 246
prospective students from the OA contractor, which resulted in 213
students enrolling at the center. This is above the OA contract's
annual goal, which is to facilitate the enrollment of 209 students at
Ouachita each year. Further, while OBS is part of the chronic low-
performance closure methodology, it is only 5 percent of the
calculation that determines the center's rank. In contrast, OMS
performance, which measures the academic and career outcomes a center
produces for its students, is 90 percent. Thus, while OBS was a factor
in identifying the center as low-performing, it was not the predominant
factor. The center's consistent failure to produce the outcomes Job
Corps expects for its students, as measured through the OMS, was the
primary factor.
Ouachita has had a high rate of terminations and an unacceptably
short length of stay for many students, which is reflected in the
center's OMS data. In PY 2014, 30.2 percent of Ouachita students left
the center within the first 90 days, versus only 20.9 percent
nationally. Even after the performance
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improvement team provided additional technical assistance, the length
of stay for students remained unacceptably low and the center was not
able to meet its OMS or OBS goals. Job Corps is a training program for
at-risk youth, and is designed to help young people who have failed in
school and who have other challenges to change the direction of their
lives and become productive participants in the labor force. Many of
Job Corps' students face challenges in committing to the program and
complying with program rules, particularly those who have difficulty in
a structured environment. While some commenters blamed the OA
contractor for recruiting students who were not committed to the
program, part of the center's role is to help students transition and
adjust to center life--and to understand the rewards to sticking with
the program. A high termination rate is an indication that a center is
unable to meet this basic but critical element of Job Corps' operation.
One commenter requested that DOL speed the process of admission to
a center, noting that four applicants from students at a high school
were waiting for a placement and asserting that Job Corps ``is a vital
organization that needs to be saved'' for students who cannot perform
in school. As stated throughout, the Department is committed to the
future of the Job Corps program and will maintain current opportunities
for eligible Arkansas youth to participate, even with Ouachita's
closure. DOL cannot speak to the specific admissions issues for the
four applicants referenced in the comment, but it works to ensure an
efficient process for reviewing applications and admitting qualified
applicants to the program.
One commenter asserted that Ouachita's performance was adversely
affected by the nationwide moratorium on changing trades offered at
centers that began in 2010. In PY 2010, Job Corps temporarily stopped
accepting requests for trade changes outside of its ongoing process to
modernize its Career Technical Training (CTT) program. During this
process, trade-change requests made by Forest Service centers on PIPs,
including Ouachita, continued to be accepted. In fact, these centers'
trade-change requests were processed on an accelerated track. Ouachita,
however, made no trade-change request.
Multiple commenters stated that Job Corps must account for the
different backgrounds and challenges of students at Ouachita. Some
stated that students arrived at Ouachita with serious medical, mental
health, and drug problems. Every Job Corps center is expected to
deliver the best outcome for its students regardless of those students'
backgrounds. OJC recognizes that Job Corps students enter the program
with a variety of challenges, including those identified by the
commenters, but part of a center's role is to identify any challenges
each student has and develop strategies to address those challenges.
Ouachita's poor performance demonstrates that it has not adequately
done so and that is one reason students will be better served at higher
performing centers. One commenter asserted that Ouachita should not be
closed given the unique challenges it faces, including a low state
minimum wage in Arkansas, the poor educational attainment in the states
from which Ouachita draws its students, the poor economic conditions in
Arkansas, and the failure of OMS to reflect those challenges. The
performance data used in the methodology appropriately reflects the
challenges identified by the commenter. Several of the OMS performance
goals related to educational attainment and wage attainment are
adjusted based on factors such as the educational level of the
enrollees and the characteristics of the local labor market. Therefore,
these goals are tailored to the economic and educational environment
surrounding a center, and the challenges faced by students in Arkansas
and the surrounding area do not explain Ouachita's long-term poor
performance.
The same commenter stated that that there is a goal disparity
between Ouachita and its Career Transition Services (CTS) contractor
because the career placement goals based on wages and earnings for the
CTS contractor are lower than the average wage goals for the three
Arkansas centers that the contractor serves. The commenter stated this
difference is ``incongruous'' and ``can lead to cross purposes'' for
the centers and the CTS contractor. However, Job Corps' model-based
goals for centers and CTS providers are not simply an average of the
goals of the three centers in Arkansas, but rather are calculated based
on regression analysis and estimate what impact various factors may
have on the achievement of the measure in question. The goals for wages
and earnings are designed to adjust for differences in the background
characteristics of the students served as well as differences in the
types of training programs students received and differences in the
local labor markets where students are expected to find employment.
There is not perfect overlap in the students served by ArkansasWEN, the
CTS provider serving Ouachita, and the student population served at
Ouachita and the other Arkansas centers. In addition, about 15 to 20
percent of the students served by ArkansasWEN attended centers outside
of Arkansas and a similar percentage of students attending Arkansas
centers were placed outside of Arkansas and served by other CTS
providers. OJC believes it fairly calculated the wage goals for
Ouachita based on the students it serves, type of training, and labor
market conditions. Ouachita, like any center, is expected to meet its
annual performance goals regardless of the goals assigned to other
centers or service providers. Its chronic inability to do so, despite
ample assistance from DOL and USDA, supports the decision to close
Ouachita.
One commenter questioned whether the Department considered the
performance of the OA/CTS provider for Ouachita as part of its proposal
to close the center, given that Ouachita's OMS rating is based in part
on the performance of the OA/CTS provider. While there is overlap in
performance metrics applied to center operators and OA and CTS service
providers, as stated above, each Job Corps center is responsible for
meeting the performance goals established for that center. As such, the
Department looked only at the each center's performance over the last
five years on the 15 OMS performance measures, and it did not consider
the performance of the OA/CTS provider before making its decision.
Several commenters noted that Ouachita would not be considered low
performing under WIOA. The Department maintains that it is not possible
to make this determination. Job Corps has not yet begun to collect data
on WIOA performance measures. As such, it is not possible to determine
which centers will be considered low performing under WIOA, though the
Department notes that the post-WIOA OMS is unlikely to be significantly
different than the WIA OMS. Further, given Ouachita's chronic poor
performance, it would be to the detriment of current and future
students to continue operation of the center until WIOA performance
data is available.
One commenter noted that all three Arkansas centers, including
Ouachita, are among Job Corps' lowest performers, asserting that the
Department should not close Ouachita until it deduces why. This
commenter suggested that under WIOA, both of Arkansas' remaining
centers, Cass and Little Rock, could be in line for closure due to
their low performance. As stated in the Additional Criteria for
potential Job Corps closures, Job Corps aims to maintain a presence in
all 50 states. The
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Department is committed to making the Job Corps program accessible to
eligible Arkansas youth, and it will reinvest resources from Ouachita
to improve the outcomes at its remaining, higher-performing centers,
including those in Arkansas.
Several commenters urged DOL to transfer management of Ouachita to
a private operator. Many of these commenters asserted that DOL is
legally required to do so by WIOA. Some commenters stated that WIOA
requires the Department to ``exhaust'' its options prior to closing a
center. In fact, WIOA does not require the Department to competitively
select a private entity to operate this center. WIOA sec. 159(f)(4)
empowers the Secretary of Labor, in consultation with the Secretary of
Agriculture, to competitively select an entity to operate a CCC if
certain conditions related to the center's performance under the WIOA
performance measures are met. Division H, title I, section 109 of the
Consolidated Appropriations Act, 2016, also stated that the Secretary
of Labor, in consultation with the Secretary of Agriculture, ``may
select an entity on a competitive basis to operate'' a CCC if it has
had consistently low performance under Job Corps' pre-July 1, 2016
performance accountability system or its post-July 1, 2016 performance
system. Neither of these provisions require the Department to transfer
management of Ouachita to a private operator--the WIOA performance
system, as noted above, is not yet in effect, making WIOA sec.
159(f)(4) inoperative at this point. Furthermore, the language of sec.
109 grants the Secretary of Labor discretion as to whether DOL will
competitively select an entity to operate a CCC.
The Department has determined that the better approach for Ouachita
is closure. The problems at Ouachita are extensive, and there is
insufficient evidence that would suggest that a change in operators
would result in dramatic improvement. Closing Ouachita will allow the
Department to reinvest its resources into improving its remaining
centers while maintaining student opportunities to participate in the
Job Corps program. Importantly, the Department has concluded that
closing Ouachita will not reduce the number of students who can be
served in Job Corps. Thus, for the reasons stated above, the Department
has decided to close Ouachita, not contract it to a private entity.
One commenter asserted that it is improper to use the most recent
performance data as a basis for selecting a center to close. The
commenter referenced the DOL Office of the Inspector General's (OIG)
February 27, 2015, audit report that some centers did not comply with
Job Corps' zero-tolerance policy to avoid adverse effect on their
performance measures. Based on this report, the commenter concludes
that ``utilizing the [OMS] rating system is a flawed approach'' because
``those same centers would be willing to fabricate information in their
books about other matters as well, negating the accuracy of any rating
system.''
Nothing in OIG's audit report supports or suggests the conclusion
drawn by the commenter. There is no evidence or allegation that center
operators are undermining the OMS system--and in turn, the method by
which the Department selected Ouachita for closure--by directly
fabricating or altering performance data. Job Corps conducts regular
data-integrity audits through a third-party consultant to identify and
sanction any fraudulent behaviors or non-compliance with Job Corps
policy and rules. Additionally, before finalizing each year's OMS
scores and rankings, Job Corps conducts a comprehensive review of the
performance data to ensure its accuracy. Given these procedures, Job
Corps has no reason to conclude that performance data has been
fabricated, and it is confident that the center performance data used
in the closure methodology accurately reflects each center's
performance.
One commenter alleged that an individual from an Idaho Job Corps
center had sabotaged the Ouachita center so the Idaho center would
receive more funding. The Department is not aware of any attempts to
sabotage Ouachita's operation.
Three commenters stated that every Job Corps Center, including
Ouachita, benefits youth in need and thus should not be closed. The
Department's decision to close Ouachita is based on the center's
inability to efficiently and effectively deliver the best possible
outcomes for youth in need. The Ouachita Center has performed poorly
over the last five years, and closing this center will improve Job
Corps' ability to provide the highest-quality education and career
technical training to its future and current students, including those
presently at Ouachita.
Six commenters criticized the methodology that Job Corps developed
and applied in determining which center to close. One commenter
suggested that the OMS used to determine center ranking is itself
flawed. Three commenters were opposed to the two additional closure
criteria identified in the March 9, 2016, Notice proposing closure.
Because the closure Notice requested comments only on the proposed
selection of Ouachita for closure, DOL considers these comments outside
the scope of the requested response and will not respond to them here.
Multiple commenters suggested that the waste of other government
programs be cut instead of closing the Ouachita Job Corps Center. These
comments are outside the scope of the requested response and were
therefore not considered.
IV. Job Corps Center Selected for Closure and the Closure Process
Based on its application of the updated closure methodology as
described in the March 9, 2016, Notice, and the Department's
consideration of the comments received in response to that Notice, DOL
has decided to close the Ouachita Job Corps Center.
Job Corps' focus is on managing the performance of its centers in
order to best to serve students. Overall funding for the program is not
being reduced, nor is the number of students served. By closing low-
performing centers, Job Corps can shift limited program dollars to
centers that will better prepare students. As Job Corps finalizes the
closure of Ouachita, existing students will have the opportunity to
complete their training and graduate at Ouachita or transfer to other
Job Corps centers to complete their training and graduate. Prospective
students in Arkansas will continue to be served by two other Job Corps
centers in the state and other centers in the region.
In the coming weeks, DOL will implement the closure process
following the center closure requirements in WIOA at section 159(j) and
as stipulated in the DOL/USDA Interagency Agreement.
Dated: June 27, 2016.
Portia Wu,
Assistant Secretary for Employment and Training, Labor.
[FR Doc. 2016-15603 Filed 6-30-16; 8:45 am]
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