[wiaattorneys] Re: Question on Incorporating One Stop Consortiums

  • From: "O'Neill, Paul (EOL)" <Paul.O'Neill@xxxxxxxxxxx>
  • To: <jpomerantz@xxxxxxxxxxx>, <wiaattorneys@xxxxxxxxxxxxx>
  • Date: Mon, 25 Apr 2005 13:02:09 -0400

Several of our LWIBS are incorporated as non-profit 501(c)(6)
corporations.  The Commonwealth is not a party to these corporations.
Many LWIBs are doing this here in order to be able to qualify for
foundation and other grants that typically are not available to strictly
public entities.  In incorporating they follow the general MA law.  We
recognize them and generally have no issue with this configuration so
long as their fiscal systems are certified by our monitoring group and
the agreements are in place that still make the local CEO and their
local government ultimately responsible for any funds provided to the
entity.  Some areas have a statutory LWIB and then also a separate
non-profit as well.  That configuration sometimes gets confusing and can
lead to problems if areas don't clearly delineate who's doing what and
how funds are flowing.  We try and keep a handle on that by forcing a
written articulation of all the finances and permissible uses etc.
Paul T. O'Neill
Chief Legal Counsel
Massachusetts Departments of Labor & Workforce Development
One Ashburton Place, Room 2112
Boston, MA 02108
Tel:  617-727-6573 x 107
Fax: 617-727-1090
-----Original Message-----
From: wiaattorneys-bounce@xxxxxxxxxxxxx
[mailto:wiaattorneys-bounce@xxxxxxxxxxxxx] On Behalf Of John L. Yeary
Sent: Monday, April 25, 2005 12:31 PM
To: jpomerantz@xxxxxxxxxxx; wiaattorneys@xxxxxxxxxxxxx
Subject: [wiaattorneys] Re: Question on Incorporating One Stop
Jane - 
I believe a couple of our LWIBs have incorporated into domestic not for
profit corporations in order to formalize their existence (Kansas lacks
any State WIA legislation).
John Yeary
Deputy Chief Attorney
Kansas Department of Commerce
-----Original Message-----
From: wiaattorneys-bounce@xxxxxxxxxxxxx
[mailto:wiaattorneys-bounce@xxxxxxxxxxxxx] On Behalf Of Pomerantz, Jane
C. (GC-LI)
Sent: Monday, April 25, 2005 11:00 AM
To: wiaattorneys@xxxxxxxxxxxxx
Subject: [wiaattorneys] Question on Incorporating One Stop Consortiums
A consultant for a local area's one stop consortium has advised it to
incorporate for several reasons.  
Has any of the organizations in your state, i.e. WIBs, One stops and or
one stop consortiums incorporated.  If so, why and into what? If they
have not is it because of any laws in your state.  PA Constitution
states that the Commonwealth cannot become a joint owner or stockholder
in any company, corporation or association.  I'm not sure if this would,
according to case law, prohibit the Commonwealth from being part of a
non profit corporation for the public purpose of administering the WIA.
Can I get some help please? 
Thanks JP 
Jane C. Pomerantz 
Deputy Chief Counsel 
Department of Labor & Industry 
Phone: 717-787-4186 
Fax:     717-787-1303 
Wisdom is knowing the right road to take. 
Integrity is taking it. 

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