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United States General Accounting Office: 
GAO: 

Subcommittee on 21st Century Competitiveness, Committee on Education 
and the Workforce, House of Representatives. 

For Release on Delivery: 
Expected at 2:00 p.m. 
March 12, 2002: 

Workforce Investment Act: 

Coordination between TANF Programs and One-Stop Centers Is Increasing, 
but Challenges Remain: 

Statement of Sigurd R. Nilsen, Director: 
Education, Workforce, and Income Security Issues: 

GAO-02-500T: 

Mr. Chairman and members of the Subcommittee: 

Thank you for inviting me here today to discuss the coordination of 
services for the Temporary Assistance for Needy Families (TANF) program 
through one-stop centers established under the Workforce Investment Act 
of 1998 (WIA). Welfare reform legislation, which created TANF, directed 
welfare agencies to focus on helping needy adults find and maintain 
employment, a goal that has long been the province of the workforce 
development system. Congress passed WIA to unify a fragmented 
employment and training system—creating a new, comprehensive workforce 
investment system. Despite TANF’s similar focus, TANF was not mandated 
to participate in the one-stop system; however, as we have previously 
testified,[Footnote 1] many states and localities are coordinating 
their TANF programs with one-stop centers. With the emphasis on work 
intensifying in the current TANF reauthorization debate, the 
coordination of TANF and WIA programs may become increasingly 
important. 

You asked us to assess the extent to which states were coordinating 
their TANF services with their one-stop centers. As you requested, my 
remarks today focus on (1) the status of state and local efforts to 
coordinate TANF-related programs—including TANF work programs, TANF 
cash assistance, and other support services—with one-stop centers and 
how this status has changed since 2000, when WIA was implemented, and 
(2) the challenges that states and localities have faced in 
coordinating their TANF work programs with their one-stop centers and 
the approaches that they have taken to address these challenges. My 
testimony is based on a survey that we conducted from September through 
December 2001 of workforce development agency officials in all 50 
states and a similar survey that we conducted in the spring of 2000; 
visits to four states and nine localities from October 2001 to January 
2002;[Footnote 2] and phone interviews with state TANF and workforce 
officials in 12 states during January and February 2002. 

In summary, coordination between TANF-related programs and one-stop 
centers has increased since the spring of 2000, when WIA was first 
implemented. Nearly all states reported some coordination between the 
programs at either the state or the local level. Most often, 
coordination took one of two forms: through colocation whereby a client 
accessed TANF-related programs at the local one-stop, or through 
referrals and electronic linkages to off-site programs.[Footnote 3] How 
services were delivered also depended on state and local preferences 
and conditions. However, as we testified earlier, despite progress, 
states and localities continued to report a variety of challenges 
stemming from infrastructure limitations—such as inadequate facilities 
or antiquated computer systems that do not communicate with each 
other—and different program definitions and reporting requirements. 
These challenges complicated efforts to coordinate TANF work programs 
with one-stop centers. We found that some of the challenges—such as 
facilities limitations—could be overcome through state and local 
innovation, but others—such as multiple, sometimes conflicting, program 
requirements—will be resolved only though federal intervention. We saw 
some early evidence that states and localities were increasing their 
efforts to bring services together to fit local needs. As states and 
localities have begun to recognize the shared goals of the workforce 
and welfare systems, they have developed ways to coordinate services. 
However, these changes, like all culture changes, will take time. 

Background: 

In recent years, Congress passed two pieces of legislation intended, in 
part, to foster greater coordination among education, welfare, and 
employment and training programs. The Workforce Investment Act (WIA) 
was passed in 1998 to consolidate services for many employment and 
training programs, requiring states and localities to use a centralized 
service delivery structure—the one-stop center system—to provide most 
federally funded employment and training assistance. States and 
localities had been developing one-stop centers prior to WIA, helped in 
part by One-Stop grants from the Department of Labor (Labor), but they 
were not required to do so until the passage of WIA. The Temporary 
Assistance for Needy Families (TANF) block grant, created two years 
earlier by the 1996 Personal Responsibility and Work Opportunity 
Reconciliation Act (PRWORA), allowed states and localities greater 
flexibility than ever before in designing employment and training 
services for clients receiving cash assistance.[Footnote 4] While TANF 
is not one of 17 federal programs mandated to provide services through 
the one-stop system, states and localities have the option to include 
TANF as a partner. GAO’s prior work on pre-WIA programs found that 
states varied in the degree to which employment and training services 
for TANF clients were being coordinated through the one-stop system. 

For well over a decade, states and localities have engaged in efforts 
to integrate services for their employment and training programs. In 
fiscal year 1994, Labor helped them in their efforts when it began 
awarding One-Stop Planning and Implementation grants, requiring states 
to include most Labor-funded programs in the new one-stop centers in 
order to receive the grants.[Footnote 5] The key objectives of Labor’s 
one-stop initiative, aside from integration, were to create a system 
that was customer-driven and accountable for its outcomes and that made 
its core services available to all job seekers. By 1998, all 50 states 
had received at least some one-stop planning or implementation grant 
funds. 

When WIA was enacted, it expanded the use of the one-stop system, 
requiring states and localities to use this once optional service 
delivery structure to provide many other employment and training 
services. In implementing WIA, Labor continued to promote the key 
objectives of the earlier one-stop initiative while emphasizing state 
and local flexibility and a strong role for the private sector on new, 
local boards that oversee the program. WIA also extended the one-stop 
concept beyond Labor programs, requiring states and localities to form 
partnerships with other agencies offering employment and training 
services. About 17 categories of programs, funded through four federal 
agencies—the Departments of Labor, Education, Health and Human 
Services, and Housing and Urban Development—must provide services 
through the one-stop center system under WIA. WIA does not require that 
all program services be provided on site (or colocated)—they may be 
provided through electronic linkages with partner agencies or by 
referral—but WIA does require that the relationships and services be 
spelled out in a Memorandum of Understanding between the partners. 

While several programs are required by WIA to provide services through 
the one-stop centers, others have been left to the discretion of state 
and local officials, including the TANF block grant program. State and 
local flexibility is also a key feature of the TANF program, which was 
passed by Congress two years before WIA. Under TANF, states have more 
flexibility than under its predecessor programs to determine the nature 
of financial assistance, the types of client services, the structure of 
the program, and how services are to be delivered. At the same time, 
TANF established new accountability measures for states—focused in part 
on meeting work requirements[Footnote 6]—and a 5-year lifetime limit on 
federal TANF assistance. These measures heighten the importance of 
helping TANF recipients find work quickly and retain employment. As 
states have used the new flexibility under TANF and have focused more 
on employment, the importance of coordinating services for TANF clients 
has received increased attention. To help clients get and retain jobs, 
states need to address problems that may interfere with employment, 
such as child care and transportation issues and mental and physical 
health problems. Frequently, solving these problems requires those who 
work directly with clients to draw on other federal and state programs, 
often administered by other agencies, to provide a wide array of 
services. While local welfare agencies have typically administered 
TANF, Food Stamps, and Medicaid, other programs that provide key 
services to TANF clients are administered by housing authorities, 
education agencies, and state employment services offices. TANF’s focus 
on employment means that welfare agencies may need to work more closely 
than before with state and local workforce development systems. In the 
past, under the Work Incentive program, welfare agencies and workforce 
development systems collaborated at some level, but our previous work 
on pre-WIA programs found wide variation in the degree to which the 
welfare and nonwelfare programs worked together to provide employment 
and training services.[Footnote 7] 

State and Local Coordination of TANF-Related Programs with One-Stop 
Centers Increased in 2001: 

State and local efforts to coordinate their TANF and WIA programs 
increased in 2001, at least one year after all states implemented WIA. 
Nearly all states reported some coordination at the state or local 
level, achieved with methods ranging from informal linkages (such as 
information sharing or periodic program referrals) to formal linkages 
(such as memoranda of understanding), shared intake, or integrated case 
management. Coordination of TANF-related services with one-stop centers 
increased from 2000 to 2001, and the form of coordination—colocation of 
services, electronic linkages or client referral—was based, in part, on 
the type of services provided—TANF work, TANF cash assistance, or 
support services—as well as state and local preferences and conditions. 

Coordination between the TANF and WIA Agencies Increased at Both the 
State and Local Levels: 

Modest increases in states’ efforts to coordinate the management of 
TANF and WIA programs occurred between 2000 and 2001. Twenty-eight 
states reported that in 2001 they made extensive use of formal 
linkages, such as memoranda of understanding and state-level formal 
agreements, between the agencies administering TANF and WIA, compared 
with 27 states in 2000. Similarly, states increased their use of 
coordinated planning in 2001, with 19 states reporting that they used 
it to a great extent compared with 18 states in 2000 (see figure 1). 
When we looked at states individually, we saw that many were using 
additional coordination methods in 2001. Seventeen states indicated 
that the number of the state-level coordination methods they used to a 
great extent increased in 2001. In fact, in 2001, nine states used all 
five of the coordination methods that we analyzed—formal linkages, 
shared performance measurement and reporting, interagency and intra-
agency workgroups, coordinated planning, and informal linkages and 
interagency communication (such as sharing program information)— up 
from 7 states in 2000.[Figure 8] 

Figure 1: Methods of State Coordination Occurring to a Great Extent, 
2000 and 2001: 

[Refer to PDF for image] 

This figure is a multiple vertical bar graph depicting the following 
data: 

Methods of State Coordination Occurring to a Great Extent, 2000 and 
2001: 

Coordination method: Formal linkages; 
Number of states, 2000: 27; 
Number of states, 2001: 28. 

Coordination method: Informal linkages; 
Number of states, 2000: 29; 
Number of states, 2001: 27. 

Coordination method: Interagency; 
Number of states, 2000: 22; 
Number of states, 2001: 23. 

Coordination method: Coordinated planning; 
Number of states, 2000: 18; 
Number of states, 2001: 19. 

Coordination method: Shared performance; 
Number of states, 2000: 7; 
Number of states, 2001: 9. 

[End of figure] 

Increased coordination between TANF and WIA programs was also seen in 
the use of TANF funds to support one-stop center infrastructure or 
operations or both. The number of states using TANF funds to support 
one-stop centers increased to 36 in 2001 from 33 in 2000. In addition, 
the number of states ranking TANF as one of the three largest funding 
sources for their one-stop centers rose to 15 from 12. 

Some of the largest gains in program coordination between 2000 and 2001 
were seen at the local level, with the most dramatic changes occurring 
in informal linkages, such as periodic program referrals or information 
services. Forty-four states reported that most of their one-stop 
centers had informal linkages with their TANF programs in 2001, 
compared with 35 states in 2000 (see figure 2). Similarly, 16 states 
reported that most of their one-stop centers had shared intake or 
enrollment systems in 2001—up from 13 in 2000; and 15 states reported 
in 2001 that they used an integrated case management system in most of 
their one-stop centers—an increase of 1 state from our 2000 results. 
Also, our analysis suggests that more coordination methods are in use 
at the local level. The number of states that reported that most of 
their one-stop centers used all seven methods of local-level 
coordination increased in 2001 to 10 states from 7 in 2000.[Footnote 9] 
Some of these coordination methods have the potential to reduce the 
administrative burden on both clients and staff by decreasing the 
number of applications that clients must complete and eliminating the 
need for staff to enter similar client information into several 
systems. For example, one locality in Connecticut cross-trained staff 
to provide both TANF and WIA services and developed an integrated case 
management system so that one case manager could track clients across 
both TANF and WIA programs, in an effort to reduce the amount of time 
that staff needed to spend on administrative tasks like data entry. 

Figure 2: Coordination Methods That States Reported Most of Their One-
Stop Centers’ Using, 2000 and 2001: 

[Refer to PDF for image] 

This figure is a multiple vertical bar graph depicting the following 
data: 

Coordination Methods That States Reported Most of Their One-Stop 
Centers’ Using, 2000 and 2001: 

Coordination method: Informal linkages; 
Number of states, 2000: 35; 
Number of states, 2001: 44. 

Coordination method: Formal linkages; 
Number of states, 2000: 28; 
Number of states, 2001: 28. 

Coordination method: Coordinated planning; 
Number of states, 2000: 22; 
Number of states, 2001: 21. 

Coordination method: Shared intake, enrollment; 
Number of states, 2000: 13; 
Number of states, 2001: 16. 

Coordination method: Integrated case management; 
Number of states, 2000: 14; 
Number of states, 2001: 15. 

Coordination method: Shared client tracking; 
Number of states, 2000: 13; 
Number of states, 2001: 14. 

Coordination method: Shared performance; 
Number of states, 2000: 11; 
Number of states, 2001: 12. 

[End of figure] 

Coordination of Services through One-Stops Increased, and the Form It 
Took Varied According to Services Provided: 

Increases in coordination between the TANF program and one-stop centers 
were also seen in the use of the one-stop center system to provide 
services to TANF clients. While the same number of states—24—reported 
in both 2000 and 2001 that services for the TANF work program were 
colocated at the majority of their one-stops, the use of electronic 
linkages or referrals increased. Fifteen states reported in 2001 that 
services for the TANF work program were either electronically linked to 
the majority of their one-stop centers or provided by referral between 
the two programs. In 2000, 11 states reported these types of linkages. 

About half of the states coordinated their TANF cash assistance or Food 
Stamps or Medicaid programs with the one-stop centers, electronically 
or by referral in 2000 and 2001. State officials in both Connecticut 
and New Jersey reported that even though one-stop staff did not 
determine eligibility for Medicaid and Food Stamps at the one-stops, 
the staff were expected to refer clients to appropriate support 
services outside one-stop centers. While not as prevalent as electronic 
linkages or referrals, colocation of cash assistance appeared to 
increase in 2001: 16 states reported that they provided cash assistance 
services at least part time at the majority of their one-stop centers, 
compared with 9 states in 2000. Colocation of Food Stamps and Medicaid 
remained the same: seven states reported in both years that they 
provided those services at least part time at the majority of one-
stops. 

In general, the form of coordination between TANF and one-stops was 
different depending on the particular program services that were 
provided. For example, when the TANF work programs were being 
coordinated through the one-stop centers, services were more likely to 
be colocated. TANF cash assistance and the Food Stamps and Medicaid 
programs were more likely to be connected electronically or by 
referrals (see figure 3). Sometimes states instituted policies to 
further strengthen the relationships between the programs and ensure 
that clients were connected to one-stop services. In Michigan, for 
example, TANF clients were required to attend an orientation session at 
the one-stop before they could receive cash assistance. Similarly, in 
Connecticut, where there were low participation rates for TANF clients 
at one-stop centers, the legislature enacted a law requiring TANF 
clients to use one-stop centers as a condition of receiving cash 
assistance. 

Figure 3: Forms of Coordination That States Reported the Majority of 
Their One-Stops’ Using in 2001: 

[Refer to PDF for image] 

This figure is a stacked vertical bar graph depicting the following 
data: 

Forms of Coordination That States Reported the Majority of Their One-
Stops’ Using in 2001: 

Service provided: TANF work; 
Electronic linkage/referrals: 15 states; 
Colocation: 24 states. 

Service provided: TANF cash; 
Electronic linkage/referrals: 26 states; 
Colocation: 16 states. 

Service provided: Support Programs; 
Electronic linkage/referrals: 25 states; 
Colocation: 7 states. 

[End of figure] 

In our site visits, we saw wide variation in the degree to which other 
support services, such as child care and transportation, were provided 
through the one-stop system. For child care assistance, the forms of 
coordination ranged from the colocation of child care programs at the 
one-stop to providing information on services available elsewhere. In 
New Jersey, for example, representatives from child care assistance 
programs were colocated at some of the one-stop centers, whereas in 
Arizona, coordination was limited to brochures supplied to one-stop 
centers. Many of the one-stops that we visited provided some kind of 
transportation assistance, although the nature of the services and 
whether or not the services were reserved for TANF clients varied from 
locality to locality. For example, in one location in New Jersey that 
we visited, the one-stop center reimbursed transportation expenses to 
any low-income client attending training, whether or not the client was 
covered under TANF. Another New Jersey one-stop provided van services 
to transport former TANF clients to and from job interviews and, once 
clients were employed, to and from their jobs, even during evening and 
night shifts. Similarly, a one-stop in Connecticut provided mileage 
reimbursement to current and former TANF clients for their expenses 
associated with going to and from their jobs. And in Louisiana, a one-
stop we visited contracted with a nonprofit agency to provide van 
services to transport Welfare-to-Work grant recipients to and from work-
related activities. 

How Services Were Delivered Depended on State and Local Preferences and 
Conditions: 

Little is known about the relative success of TANF clients who use one-
stop centers compared with those receiving services elsewhere, and 
state and local officials told us that decisions about how services 
were delivered were based on state and local preferences and 
conditions. Some state and local officials expressed a preference for 
colocating TANF programs at one-stop centers. For example, officials in 
a local area in Louisiana believed that colocation of TANF programs at 
the one-stop center would benefit TANF clients by exposing them to the 
one-stop center’s employer focus. These officials also said that 
colocation would result in a more seamless service delivery approach, 
giving clients easier access to the services. Other state and local 
officials preferred not to colocate all TANF-related programs. While 
they supported the colocation of TANF work programs, they thought that 
cash assistance, Food Stamps, or Medicaid should be provided elsewhere. 
For example, Michigan officials told us that keeping eligibility 
functions for TANF cash, Food Stamps and Medicaid separate was 
beneficial, because welfare staff had more expertise in the provision 
of social services while labor staff were better equipped to provide 
work-related services. Still other state and local officials were 
concerned about the colocation of any TANF-related programs, because 
TANF clients required special attention and were best served by staff 
trained to address their unique barriers. For example, in Arizona, TANF 
work programs were provided to TANF clients through a system that was 
not connected to one-stop centers. Rather than colocating or 
systematically referring welfare clients to one-stop centers, officials 
there said that one-stop staff should refer TANF clients to one-stop 
centers on a case-by-case basis. State officials in Washington reported 
that TANF clients need a higher level of supervision and more 
structured assistance than they believed one-stop centers could 
provide. Officials saw the one-stop centers as better structured to 
serve those clients whose participation was voluntary, whereas TANF 
clients are generally required to engage in work. 

Local conditions, such as geographically dispersed one-stop centers and 
low population density of TANF clients, also influenced state and local 
decisions about how to coordinate TANF-related programs with one-stop 
centers. For example, officials in Alabama reported that although 
welfare agencies were located in every county, one-stop centers were 
less prevalent in their state. They felt it was impractical to have 
TANF-related services colocated at one-stop centers, because one-stop 
centers would be inaccessible to many TANF clients. In addition, 
officials in Illinois said that they were hesitant to coordinate the 
provision of work-related services for TANF clients at one-stop centers 
in areas where the TANF population had recently declined. Because of 
declining TANF caseloads in Illinois, state officials stressed the 
importance of allowing local areas the flexibility to determine how to 
coordinate TANF-related services with one-stop centers. Conversely, 
other states were working to make one-stop centers more accessible to 
TANF clients. For example, both New Jersey and Louisiana established 
plans to create satellite one-stop centers in public housing areas. 
Because of the variation in local conditions, several state officials 
stressed the importance of local flexibility in determining the nature 
of coordination of TANF-related programs with one-stop centers. 

Coordinating TANF Services with One-Stop Centers Has Continued to 
Present Challenges to States and Localities: 

Despite increases in coordination between the TANF program and one-
stops from 2000 to 2001, states and localities have continued to face 
challenges in coordinating their TANF work programs with one-stop 
centers. For some of the challenges, the existing flexibility under 
both TANF and WIA allowed states and localities to find solutions; and 
we found that some areas developed ways to resolve them. However, other 
challenges cannot be easily resolved at the local level. Most 
challenges are similar to those we reported in 2000 when WIA was first 
implemented. In general, the challenges result from state and local 
efforts to (1) develop the one-stop infrastructure that allows staff to 
readily provide needed services to TANF clients and (2) develop more 
compatible program definitions and requirements. 

Developing One-Stop Infrastructure to Provide Services to TANF Clients: 

Infrastructure limitations—in terms of both facilities and computer 
systems—continued to challenge states and localities in their efforts 
to coordinate TANF-related programs with one-stop centers. 

Limited Facilities: 

Colocation of TANF services within the one-stop was not a viable option 
in many of the locations that we visited. Officials in several states 
reported that available space at one-stop centers was limited and that 
the centers could not house additional programs or service providers. 
In addition, state officials explained that long-term leases or the use 
of state-owned buildings often prevented TANF work programs from 
relocating to one-stop centers. States developed ways to overcome these 
challenges to colocation in order to meet the needs of TANF clients. 
For example, Louisiana’s Department of Labor placed a Welfare-to-Work 
staff member in all local welfare offices. These staff members provided 
TANF clients with information about the services available at one-stop 
centers. In addition, one state assigned TANF staff to one-stop centers 
to serve TANF clients. 

Incompatible Information Systems: 

The states that we visited reported that the inability to link the 
information systems of TANF work programs and one-stop centers 
complicated efforts to coordinate programs. A recent conference that we 
cosponsored also highlighted this issue,[Footnote 10] specifically 
identifying the age of information systems as inhibiting coordination 
efforts. The need to modernize the systems stemmed from the shift in 
objectives under TANF—focusing more on preparing TANF clients for work 
than had previous welfare programs— which created new demands on 
information systems; from the fact that systems used by agencies 
providing services to TANF clients did not share data on these clients, 
thus hindering the case management of clients; and from the antiquated 
information systems that made it difficult for agencies to take 
advantage of new technologies, such as Web-based technologies. Some of 
these concerns were also raised during our site visits and phone 
interviews. Some local officials said that they could not merge or 
share data and were not equipped to collect information on clients in 
different programs. TANF clients are often tracked separately from 
clients of other programs, and even Labor’s system, the One-Stop 
Operating System (OSOS), does not allow one-stop centers to include 
TANF programs. In addition, other officials expressed concerns that 
sharing data across programs would violate confidentiality 
restrictions. The issues of incompatible computer systems are not 
easily resolved. Officials from two states we visited said that their 
states’ WIA and TANF agencies were exploring the development of a 
shared system but that cost estimates were too high for it to be 
implemented at this time. 

Developing More Compatible Program Definitions and Requirements: 

As states and localities attempted to coordinate services for TANF 
clients through the one-stop, they encountered challenges to 
harmonizing program definitions and meeting reporting requirements. 

Incompatible Program Definitions: 

State officials noted that although the focuses of TANF work and WIA 
programs were related, differences in program definitions—such as what 
constitutes work or what income level constitutes self-sufficiency—made 
coordination difficult. While many program definitions are established 
by legislation and cannot be changed at the state or local level, a few 
can be locally determined, and two states found ways to harmonize their 
locally determined definitions. For example, Connecticut developed a 
self-sufficiency standard that could be uniformly applied across TANF 
and WIA, so that both programs would place clients in jobs with similar 
wage levels. One local one-stop center we visited in Arizona also 
worked to accommodate differences in program definitions. At this 
center, TANF and WIA officials worked together to develop training for 
both programs that enabled TANF clients to meet the requirement of a 
TANF work activity. 

Incompatible Reporting Requirements: 

As is the case with other programs in the one-stop centers, states and 
localities continue to struggle with the different reporting 
requirements attached to the various funding streams. Each program has 
restrictions on how its money can be used and what type of indicators 
it can use to measure success. Because the federal measures evaluate 
very different things, tracking performance for the TANF and WIA 
programs together was difficult. Despite the flexibility in TANF, state 
officials felt constrained by the need to meet federally required work 
participation rates, and they told us that they used these federal 
requirements to gauge how well their TANF work programs were 
performing. For example, one state official was concerned that the 
state TANF agency was focused more on meeting work participation rates 
than on designing programs that might help their TANF clients become 
self-sufficient. WIA, on the other hand, has a different set of 
performance measures geared toward client outcomes, including the 
degree to which clients’ earnings change over time and whether or not 
the clients stay employed.[Footnote 11] Many states and localities are 
organizing their WIA programs to maximize their ability to achieve 
these and other key client outcomes. These differences in program 
indicators often lead to very different program services for clients. 
Because of these differences, coordinating TANF work programs with the 
one-stop centers was difficult. These different reporting requirements 
may need either state or federal action to resolve. 

Concluding Observations: 

Even though TANF was not made a mandatory partner under WIA, we see 
some early evidence that states and localities are increasing their 
efforts to bring services together to fit local needs. These changes, 
like all culture changes, will take time. It appears, however, that as 
the systems have matured and their shared purposes and goals have 
become evident, many states and localities have found it advantageous 
to coordinate TANF and WIA programs. This move toward integrating 
services is not happening everywhere—it has been left to state and 
local discretion. Many state and local officials hailed this 
flexibility in the programs as an important step in helping them to 
design their service delivery systems and to integrate services where 
appropriate. But their efforts to bring services together continue to 
be hampered by the same obstacles that we reported nearly two years 
ago: limited capacity to develop the needed infrastructure— both in 
terms of facilities and information systems—and the need to respond to 
the multiple, sometimes incompatible, federal requirements of the 
separate programs. As Congress moves toward reauthorizing both WIA and 
TANF, consideration should be given to finding ways to remove these 
obstacles to service integration. 

Mr. Chairman, this concludes my prepared statement. I will be happy to 
respond to any questions that you or other members of the subcommittee 
may have. 

GAO Contacts and Acknowledgements: 

If you or other members of the subcommittee have questions regarding 
this testimony, please contact Sigurd Nilsen at (202) 512-7215 or 
Dianne Blank at (202) 512-5654. Suzanne Lofhjelm, Mikki Holmes, Natalya 
Bolshun, and Kara Finnegan Irving made key contributions to this 
testimony. 

[End of section] 

Footnotes: 

[1] U.S. General Accounting Office, Workforce Investment Act: 
Implementation Status and the Integration of TANF Services, [hyperlink, 
http://www.gao.gov/products/GAO/T-HEHS-00-145] (Washington, D.C.: June 
29, 2000). 

[2] We conducted fieldwork in Arizona, Connecticut, Louisiana, and New 
Jersey. 

[3] Colocation refers to TANF clients’ being served directly at the one-
stop either by TANF staff or by other staff cross-trained to provide 
TANF-related services. Electronic linkages refers to the use of 
computers, telephones, or other electronic connections between the one-
stop and a separate office where services are provided to TANF clients. 

[4] TANF also gave states more flexibility in determining the nature of 
financial assistance, the types of client services, the structure of 
the program, and the ways in which services were provided. 

[5] Integration is characterized by features such as common intake and 
“seamless” service delivery. The customer may receive a range of 
services from different programs without repeated registration 
procedures, waiting periods, or other administrative procedures. 
Integrated services are sometimes, but not always, physically 
collocated. 

[6] Work requirements under PRWORA include countable work activities, 
such as unsubsidized employment; subsidized private or public sector 
employment; work experience; on-the-job training; job search and job 
readiness assistance; community service programs; vocational 
educational training and job skills training directly related to 
employment; education directly related to employment; satisfactory 
attendance at a secondary school or a course of study leading to a 
certificate of general equivalence; or the provision of child care 
services to an individual who is participating in a community service 
program. For more information on work activities that states and 
localities are using as part of their TANF programs, see U.S. General 
Accounting Office, Welfare Reform: Work-Site-Based Activities Can Play 
an Important Role in TANF Programs, [hyperlink, 
http://www.gao.gov/products/GAO/HEHS-00-122] (Washington, D.C.: July 
28, 2000). 

[7] U.S. General Accounting Office, Workforce Investment Act: 
Implementation Status and the Integration of TANF Services, [hyperlink, 
http://www.gao.gov/products/GAO/T-HEHS-00-145] (Washington, D.C.: June 
29, 2000); Welfare Reform: States’ Experiences in Providing Employment 
Assistance to TANF Clients, [hyperlink, 
http://www.gao.gov/products/GAO/HEHS-99-22] (Washington, D.C.: February 
26, 1999). 

[8] Our survey asked states to report the extent to which different 
types of coordination were occurring at the state level between WIA and 
TANF programs. We analyzed five types formal linkages (such as 
memoranda of understanding, state-level agreements, or mutual referral 
agreements); informal linkages and interagency communication (such as 
sharing information about programs or changes in programs as they 
occur); interagency and intra-agency workgroups and consolidated 
advisory boards; coordinated planning; and shared performance 
measurement and reporting. 

[9] Our survey asked states to tell us whether most of the centers 
coordinated TANF and WIA programs. We analyzed seven methods— informal 
linkages (such as periodic program referrals or information services) 
and interagency communication (such as phone calls, memos, or flyers 
announcing program services); formal linkages (such as memoranda of 
understanding or mutual referral agreements); coordinated planning; 
shared intake and enrollment; integrated case management; shared client 
tracking; and shared performance measures. 

[10] For more information on integration of information systems for 
human services programs, see U.S. General Accounting Office, Human 
Services Integration: Results of a GAO Cosponsored Conference on 
Modernizing Information Systems, [hyperlink, 
http://www.gao.gov/products/GAO-02-121] (Washington, D.C.: January 31, 
2002). 

[11] For more information on performances measures for WIA-funded 
programs, see U.S. General Accounting Office, Workforce Investment Act: 
Improvements Needed in Performance Measures to Provide a More Accurate 
Picture of WIA’s Effectiveness, [hyperlink, 
http://www.gao.gov/products/GAO-02-275] (Washington, D.C.: February 1, 
2002). 

[End of section] 

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