Trump administration approves Arkansas’ plan to consolidate functions of workforce boards

Gov. Sarah Huckabee Sanders announced $10 million in grant funding for site development projects on Dec. 11, 2024. Clint O’Neal, executive director of the Arkansas Economic Development Commission and Commerce Secretary Hugh McDonald stand with Sanders. (Mary Hennigan/Arkansas Advocate)
The federal government approved Arkansas’ plan to consolidate functions of its 10 independent workforce development boards, the state Department of Commerce announced Thursday.
The approved plan also combines Arkansas’ required Workforce Innovation and Opportunity Act and Carl Perkins Career and Technical Education Act state plans, a first for the state. The Workforce Innovation and Opportunity Act is a 2014 law meant to assist job seekers with gaining employment, as well as the education and training needed to do so.
It comes after the U.S. Department of Education and U.S. Department of Labor announced in May that 21 states submitted combined plans this year, compared to nine states in 2024. The plan details how the state will use its federal funds to achieve the goals of the two laws.
Presently, the local workforce boards set priorities for the area they cover, and partner with community colleges, training providers and employers for job training and other services.
Under the new plan, Arkansas Workforce Development Board will take over the functions of the local boards, helping create an “integrated approach” that “supports a comprehensive career pathway framework spanning K-12 education, post-secondary education, and employment,” according to the draft plan. Arkansas Workforce Connections, which is part of the Department of Commerce, will deliver the services.
Gov. Sarah Huckabee Sanders said in the press release that the results were what “conservative government looks like.”
“Arkansas taxpayers deserve a workforce system that spends its money on people, not paperwork,” the Republican said. “By consolidating ten boards into one statewide system, we are moving millions of dollars out of overhead and into training and serving hundreds more Arkansans every year.”
Central to the newly-approved plan is the reduction of administrative and operating costs “across the workforce system,” according to the draft plan. In a press release announcing the approval, the commerce department said the transition to a single statewide planning area will result in around $6 million being redirected from “duplicative” expenses to “direct services for Arkansans and employers.”
The planned implementation date for the plan is July 1, 2027.
“The approval of our WIOA State Plan is a major turning point for Arkansas, enabling the state to modernize our workforce development efforts to better meet the needs of Arkansans and industry partners,” said Arkansas Secretary of Commerce Hugh McDonald.
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