CalFresh Employment & Training Counties Partnering with Social Enterprises

The California Department of Social Services (CDSS) has issued guidance to County Welfare Departments (CWDs) regarding partnering with an employment social enterprise in the development of their county CalFresh Employment and Training (E&T) programs.

The purpose of CalFresh E&T program is to provide CalFresh recipients with resources to increase their employability and earning capacity. E&T programs provide assistance with job search and job search training, workfare, work experience opportunities, education, self-employment training, apprenticeship programs, and on-the-job training as well as supportive services associated with finding employment.

AB 415 authorizes the CDSS to contract directly with entities that provide CalFresh E&T services locally or statewide. CDSS is authorized to receive federal reimbursement on behalf of the entity so long as the entity complies with its contract and meets necessary requirements.  AB 415 also allows E&T-participating counties to contract directly with an employment social enterprise or an intermediary to provide CalFresh E&T services.

Counties that do not provide E&T services directly or contract with an organization to provide services on the county’s behalf can partner with community-based organizations (CBOs), which include social enterprises. Under this “third-party model,” CBOs that incur the cost of providing E&T services with non-federal funding are eligible to receive a 50% reimbursement from the federal government. The purpose of the third-party model is to expand access to E&T services and encourage community investments in employment and training.

An employment social enterprise is a business – a social purpose corporation, benefit corporation, or nonprofit corporation – that, provides employment with on-the-job and life skills training to participants at least 80% of whom face multiple barriers to employment. The enterprises must demonstrate that they meet these requirements.   (ACIN I-34-18, June 11, 2018.)