Q&A
Impact of Program to Eliminate the Gap (PEGs) on SBS programs
0:26:10
·
126 sec
Council Member Feliz and Commissioner Kim discuss the Program to Eliminate the Gap (PEGs) and its impact on SBS programs. Commissioner Kim explains how the agency is managing the required savings.
- The preliminary plan includes $5,300,000 in PEGs for fiscal 2025
- Most savings come from workforce development areas, with federal Workforce Innovation and Opportunity Act (WIOA) funds replacing city funds where possible
- Some savings come from the Cannabis NYC program due to delays in state licensing
- Other savings are achieved through efficiencies, such as bringing marketing in-house
Oswald Feliz
0:26:10
Few questions related to the program to eliminate the gap pegs.
0:26:15
So the preliminary plan includes 5,300,000 in pegs for fiscal 2025.
0:26:21
The department took approximately 2,500,000 in savings from various business programs.
0:26:29
What programs were reduced from the business savings program savings?
Kevin Kim
0:26:34
So for the pegs themselves, we expect very minimal if no impact to our all of our programming, and I think it really shows in the work that we did this past year.
0:26:45
In terms of the actual programming, the bulk of it comes from workforce development side of the areas, but We're lucky because as I explained originally, we also have the Wioa funds from the federal dollars.
0:27:00
So wherever possible, we're able to swap out CTL money for the federal funds, we owe funds.
0:27:07
And so I think almost $4,000,000 or over $4,000,000 of that.
0:27:11
What you speak of comes from the workforce end where we're able to wherever possible swap out into the federal dollars.
0:27:17
And some In terms of some of the other programs, cannabis NYC, for example, we cut almost $400,000, but we did that only because of the fact that the state encountered a lot of lawsuits.
0:27:31
And so there was a delay in the rollout of the licensing for the licensing, legal licensing.
0:27:38
And so because of that, there was less money anticipated to help new applicants so we took it from actual savings.
0:27:47
But other than that, there are a couple of other programs where we were able to bring in, for example, marketing in house, where one of our contract partners might have been looking to use some money to do outreach and marketing.
0:28:01
But because at SBS, in the 1st year I was here, we were able to reorganize our agency to create a separate outreach team.
0:28:10
We knew that we could handle the marketing in house, so we we found cost efficiencies there as well.