A Rigid 50% Training Requirement Doesn’t Reflect Local Needs
Local workforce boards understand their communities. They know which industries are growing, which skills are in demand, and what barriers job seekers face.
ASWA 2026 would implement a one‑size‑fits‑all 50% training expenditure requirement for Adult and Dislocated Worker programs. While the bill allows a 10% set‑aside for supportive services or individualized career services, this new mandate is arbitrary and disconnected from real‑world needs.
This requirement would:
• Force boards to meet a metric rather than serve people holistically
• Limit funding for essential services like business engagement, labor market analysis, and sector partnerships
• Ignore barriers—such as childcare, transportation, or housing—that often determine whether someone can complete training at all
If training is needed, shouldn’t we prioritize the successful completion of that training? This often requires these wraparound services, including case management, to ensure the appropriate supports are in place.
Expanded Governor’s Reserve That Reduces Local Capacity
ASWA 2026 would allow governors to set aside an additional 10% of state allocations (on top of the existing 15%) for a new Critical Industry Skills Fund.
While supporting critical industries is important, this approach would further divert vital WIOA funding away from serving workers and employers. The U.S. Department of Labor has already distributed grants for this purpose. Duplicating that effort at the expense of local funding is misguided.
Single State Redesignation Authority Undermines Local Leadership
Under ASWA 2026, states with fewer than 5.1 million people (or fewer than six local workforce boards) could redesignate as Single State Areas. At least 26 states would qualify.
This would be a dramatic departure from WIOA’s design, which centers local business and civic leadership in workforce decision‑making. Consolidating authority at the state level risks weakening the responsiveness and innovation that local boards bring to their communities.
A Block Grant Pilot Threatens the Local Workforce Model
The bill would also expand the Make America Skilled Again (MASA) block grant concept from the Administration’s FY2027 budget request.
The pilot would:
• Allow up to 10 states to collapse multiple workforce funding streams into a single block grant
• Remove previous guardrails related to labor market participation and population
This shift would jeopardize the success of the locally driven workforce system and concentrate funding authority at the state level, moving away from the community‑based approach that has proven effective.
So, where do we go from here?
NAWB has been deeply engaged with lawmakers, committee staff, and partners across the workforce ecosystem to ensure that any reauthorization of WIOA strengthens—not weakens—the system that millions of workers and businesses rely on.
We have:
• Provided detailed feedback on ASWA provisions
• Shared data and stories from local boards nationwide
• Coordinated with national partners to amplify concerns
• Engaged directly with committee members and staff
• Advocated for increased funding and flexibility to meet local needs
We will continue this work, but your voice is essential.
Take Action: Contact House Education and Workforce Committee Members Today
The committee may take up ASWA 2026 as soon as next week. Now is the time to make sure lawmakers understand how this bill would affect your community.
[Link to Committee Contact Page]
Tell them:
• Local workforce boards need flexibility—not rigid mandates
• Funding must reflect the scale of economic trends, new work requirements, and technological change
• Workforce development works best when decisions are made close to the community
• ASWA 2026, as drafted, does not meet the needs of workers, job seekers, or businesses
Your outreach can make a real difference in shaping the future of workforce development.
Contact us at NAWB (link to
nawb@nawb.org) for assistance. We are here to help.