Foothill Workforce Board Prepares for Potential Federal Cuts in 2027

The Foothill Workforce Development Board, which serves the five cities of Pasadena, South Pasadena, Sierra Madre, Arcadia, and Duarte, is taking proactive steps to prepare for potential federal funding reductions in fiscal year 2027 while maintaining current service levels. During a presentation to Pasadena’s Economic Development & Technology Committee on May 8, officials outlined their budget planning strategy and recent accomplishments. Pasadena represents over 53% of the population served by the Board.

“60% of our funding is through the Department of Labor and Federal billing, 40% state local grants,” explained Debbie Brookman, director of the Board. “In the new proposal, they’re cutting the Department of Labor by about 35%. Doesn’t necessarily mean it’s the grants we get, but we are anticipating about a 30% if it’s passed as recommended.”

The workforce agency, which is 100% grant funded, projects a budget of $3.6 million for fiscal year 2026, with reductions in both personnel and $300,000 in services and supplies primarily due to reductions in subcontracts to training services.

Officials confirmed that funding levels for the upcoming fiscal year appear stable, as federal budget changes wouldn’t take effect until October, while the agency receives its funding in July.

As part of their preparation strategy, the Foothill Workforce Development Board has already decided not to fill four positions that became vacant through retirements.

“This is more a pay forward move,” Brookman noted, indicating that reducing staff now helps prepare for potential funding cuts later.

Despite these challenges, the agency reported impressive service metrics for the past year.

According to Paul Enge, Management Analyst for the Workforce Development Board, approximately 6,000 individuals visited their center on Green Street near the Pasadena City College campus,.

The agency processed 278 internal job orders and made nearly 5,000 job referrals.

“For the individuals that came into our center, we provided 46,000 services to those individuals,” Eng reported. “We also provide services to employers. Over a thousand services were provided to employers as well.”

The Board members also highlighted their success in connecting with businesses facing layoffs and their community outreach efforts.

“We were able to work with businesses that had individuals close to 600 employees that were laid off due to layoffs and closures,” Eng said. The agency also organized “22 total events with a thousand people in attendance including six job fairs.”

Looking ahead to fiscal year 2026, the agency plans to allocate 30% of its funding toward training programs and aims to host seven vocational training and job fairs.

Officials said they intend to pursue new grant opportunities, including apprenticeship programs for youth in partnership with Pasadena City College and Duarte, a grant with Caltech for a lithium battery manufacturing plant and training facility, and additional grants specifically targeting youth services.

The agency recently launched two significant initiatives: the Regional Equity Recovery Partnership grant in collaboration with Pasadena City College, which began on April 21st with 17 individuals starting their work experience program toward a target of 35 participants.

The second initiative, the HIRE (Helping Justice Impacted Reenter Employment) grant, was approved by City Council in March 2025 and launched in partnership with Flintridge Center to help 40 individuals who have come back from the justice system with supportive services and training support.

The funding outlook remains uncertain, as Paul Eng noted, “The Workforce Innovation Act, which is our primary funding, expired about three years ago and has been continuing resolution for three years. So this is status quo for us.”

Foothill Workforce Development Board Executive Director Dianne Russell-Carter — who is retiring after 30 years with the agency—emphasized the program’s lasting impact.

“About two years ago we presented at California Workforce Association Conference and we were the plenary session and we took nine individuals who came to work with us — nine!” Russell-Carter said.

“They came to us as youth and they got a chance to tell their stories and now they’re in their early thirties. And we had people who now own two houses. We have a gentleman who owns his own Chick-fil-A, people who own their therapy businesses.”

Pasadena City Councilmembers expressed concern about the potential federal cuts.

Councilmember Steve Madison noted the irony of rhetoric about “helping working families” while cutting programs “that are so critical for working people.”