The Division of Apprentice Standards Did Not Ensure That Its Sponsors’ Apprentice Programs Met Established Quality Standards.

DAS is required to conduct a review of all new apprentice sponsors at the end of their first year in the program and at least once every five years after that. The audit shows DAS did not conduct any of these reviews for the sponsors.

Overview

During our audit period, the Department of Labor Standards’ Division of Apprentice Standards (DAS) did not perform quality assurance assessments (QAAs) in accordance with accepted standards, and did not use the “Apprenticeship Program Quality Assurance Assessment” form, for any of our sampled 35 sponsors’ apprentice programs after their first full year of operation as provisional sponsors. In addition, in a second sample we selected, representing 40 sponsors’ apprentice programs, DAS did not review any of the programs within five years after they were granted “permanent sponsor” status. As a result, there is inadequate assurance that people participating in apprentice programs are receiving the training they need in order to compete successfully for employment in their fields of study.

Authoritative Guidance

Section 26.03(4) of Title 454 of the Code of Massachusetts Regulations (CMR) states that DAS will ”review all programs for quality and conformity” to state regulations governing apprentice standards at the end of the first year of the program and at least once every five years thereafter. The US Department of Labor’s (DOL’s) “Office of Apprenticeship Circular 2013-01” provides the proper form, the “Apprenticeship Program Quality Assurance Assessment” form, to perform QAAs.

Reasons for Noncompliance

The DAS personnel responsible for conducting QAAs stated that they did not have the policies, procedures, and forms needed to perform the reviews.

DAS officials stated that the division’s current staff of two compliance officers provides ongoing technical support to sponsors and that therefore the division is insufficiently staffed to also schedule, conduct, and monitor all required QAAs for the approximately 634 apprentice sponsors that were active during the audit period.

DAS does not have written policies and procedures regarding scheduling and conducting QAAs or monitoring the QAA process to ensure that sponsors’ programs meet all the training quality standards established by state regulations.

Recommendations

1. DAS should conduct QAAs, using the “Apprenticeship Program Quality Assurance Assessment” form, after the first year of a sponsor’s apprentice program and at least once every five years thereafter.
2. DAS personnel responsible for conducting the QAAs should have the proper policies, procedures, and forms to complete them.
3. DAS management should identify existing financial resources that could be allocated to enable DAS to increase its number of compliance officers in order to conduct all required QAAs and, if necessary, should request additional funding from the Legislature for this purpose.
4. DAS should develop and implement written policies and procedures to schedule, conduct, and monitor the performance of QAAs.

Auditee’s Response

DAS’s current practices include performing quality assurance assessments. Refresher training has been provided to DAS staff, including on the use of “Apprenticeship Program Quality Assurance Assessment” forms as guidance and the proper documentation of assessment results. DAS will review, update, and/or develop and implement written policies regarding all aspects of Quality Assurance Assessments by 12/31/2019. Staff will be trained to ensure that QAAs are conducted after the first year of the program and at least every five years after that.

Additionally, funding has been requested within the FY20 budget to support an increase in staff and approval is pending. DAS is also exploring how to leverage existing financial and operational resources to ensure compliance with regulatory requirements to schedule and perform quality assurance assessments.

Date published:	August 15, 2019