ODJFS performance audit identifies nearly $17 million in yearly savings

As part of a mandate in state law (Ohio Revised Code 117.46), the Ohio Auditor is required to do a performance audit of four state agencies each biennium. Their performance audits have identified millions in savings for local municipalities, school districts and other state departments.

Yesterday Dave Yost's office released a preliminary audit of the Ohio Department of Job and Family Services which identifies a potential of $8-18.5 million in yearly savings by reducing the supervisor-to-staff ratio within the department.

“More people should be doing the work instead of bossing the work,” Yost said in a press release. “I give credit to Director Colbert, who previously improved his supervisory ratios. I’m confident he will move quickly on these recommendations.”

ODJFS has a goal of one supervisor to seven staff and meeting that goal would save $2.76. million each year. They are currently at a ratio of 1:6.737.

But the performance audit says the ratio should be between 1:8 and 1:10, which is consistent with peer states and best practices.

"Reduction of an additional 84 to 195 FTE (full-time equivalent) supervisory positions through attrition, reassignment or reduction in force will lead to a savings range of up to $8M to $18.5M annually in payroll costs."

The auditor issued the interim report in order to assist the agency with immediate actions that should not wait until the final report was issued. This interim report was limited to the organizational structure at ODJFS, the Supplemental Nutrition Assistance Program (SNAP) and the Medicaid provider enrollment process.

A prior interim report that focused on the Unemployment Compensation Review Commission found that "using appropriate state job classifications and increasing efficiency" would save another $1 million yearly.

The full recommendations from the organizational review, along with the dollar amounts of savings are available here.

ODJFS Director Helen Jones-Kelly resigns

NBC4 in Columbus is reporting that Helen Jones-Kelly has resigned her position as Director of the Ohio Department of Job and Family Services. She was the one who authorized the illegal computer checks on Sam "Joe the Plumber" Wurzelbacher during the election.

According to the statement, Director Helen Jones-Kelley said, in part, “…It is with sadness and clarity that I have decided to resign my position as director of the Ohio Department of Job and Family Services. The decision comes after having a time of pause, in which I realize that I continue to be used as a political postscript, providing a distraction from urgent state priorities.“

Keith Dailey, of the governor’s office said her resignation was effective as of Wednesday.

The resignation comes more than a month after an inspector general report found Jones-Kelley authorized an improper search of confidential records of Joe the Plumber—the Ohio resident turned political celebrity.

Strickland suspended Kelley without pay for four weeks, but Republicans called for her firing.

In late-November, Strickland gave his reasoning for not firing Jones-Kelley, saying she made a mistake, and the punishment he settled on was appropriate.

Two other ODJFS workers were suspended Friday afternoon without pay for their roles in the incidents. Deputy Director of Child Support Doug Thompson received a four-week unpaid suspension. Assistant Director Fred Williams received a two-week unpaid suspension.

Her 30-day suspension would have been over on Sunday.

Resignation letter courtesy of the Dayton Daily News.

Ohio could lose millions in WIA funds

As part of the Omnibus Bill passed recently by Congress, Ohio could lose millions in Workforce Investment Act funds.

The legislation calls for rescinding unspent FY2005 and 2006 funds as of June 30, 2007. WIA monies fund multiple programs across the state and are used in Lucas County for The Source, the one-stop employment/training office, and for Youth, Adult and Dislocated Worker services.

Under the Act, about $250 million would be rescinded. Ohio's portion of the rescission would be close to $22 million. While there may be a loophole that allows states to apply for part of the rescission to be used during the 2007 program year, nothing is certain.

The Ohio Department of Job and Family Services (ODJFS), which receives the money on behalf of the state, is in the process of obtaining more details from the Department of Labor on how the rescission will be apportioned in Ohio. How the DOL recaptures these funds will determine the actual impact on services and programs in Ohio and the counties.

In the past, ODJFS has been able to absorb such rescissions with its own money without adversely affecting local service. But given the state's tight budget this year, they may not be able to absorb any losses this time.

(hat tip to the CCAO)