Workforce officials concerned over potential loss of JAG program funding
Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe Now
Workforce development officials in Indiana are sounding the alarm regarding a potential loss of funding for the state’s Jobs for America’s Graduates, or JAG, program. The concern stems from the proposed biennial budget currently being considered by the Indiana General Assembly.
Kurt Kegerreis, executive director of the Southeast Indiana Workforce Investment Board, says House Bill 1001, as it currently stands, removes the current line item providing $8 million in funding for JAG, which had previously been under the purview of the Indiana Department of Workforce Development.
Instead, JAG is being moved to the Indiana Department of Education as part of a group of programs under the “Freedom of and Opportunity in Education,” where they will have to compete for a share of funding.
In an interview with Inside INdiana Business, Kegerreis said having a direct line item would ensure JAG would continue as it has for many years.
“The removing of that line item is a little worrying that there’s no guarantee that they will fund it,” Kegerreis said. “There’s some movements to shift this to the Department of Education, and it can be successful at the Department of Education, in my assessment, as long as it stays a workforce program, as long as it’s understood that this is about creating and fostering talent, and those are the ultimate goals.”
Indiana’s JAG effort has been in place since 2006 and serves 7,000 students throughout the state through more than 250 programs. Enrollment is expected to grow to nearly 10,000 students in 2026, Kegerreis said.
JAG is designed as a workforce program primarily for high school students to prepare them for what happens after high school.
“We end up preparing them for interviews and searching for jobs, exposing them to higher education, exposing them to alternate pathways, exposing them to the possibilities of military service and full-time and part-time employment—really preparing them for everything that’s going to come afterwards,” he said.
The budget proposal now identifies the JAG program as “dropout prevention,” and while the program does have a 96.6% graduation rate among participants, Kegerreis said it’s about more than just dropout prevention.
“We’re really great at dropout prevention, and that’s one of the outcomes we’re very proud of,” he said. “That’s really just a value add to the program. The core thrust of this is about investing in the workers that we know that we need across the state of Indiana.”
Inside INdiana Business has reached out to the Indiana Department of Education and HB 1001 author Rep. Jeff Thompson’s office, but did not receive a response.
The JAG students who graduated in 2024 earned $20.4 million in scholarships. School districts and local employers have also touted the benefits of the program.
Karl Galey, superintendent of Lawrenceburg Community School Corp., said in an email to Inside INdiana Business that JAG has had a transformative impact on students.
“At a time when so many young people face overwhelming challenges—be it poverty, trauma, or a lack of direction—JAG provides hope, purpose, and a clear path forward,” Galey said. “It empowers students not only to stay in school and graduate, but to develop the job readiness and life skills that lead to meaningful careers and postsecondary success. JAG is more than just a program—it’s a lifeline, and we’re proud to be part of a mission that changes lives every single day.”
Kegerreis added that losing the direct funding for JAG could also put additional funding resources as risk. Currently, the program receives Workforce Innovation and Opportunity Act funding, Pre-Employment Transition Services funding, and Temporary Assistance for Needy Families (TANF) funding.
“In a world where this doesn’t get funded, you’re suddenly dismantling all of this effort,” he said. “Some of those pieces, like the extra TANF funding, took years to establish, and the relationships that we have developed with our superintendents are things that took years to foster. We had to earn their trust and let them know that while we’re dedicated to employment outcomes, we can also be good stewards for those students.”
Kegerreis said he hopes lawmakers see that the JAG program is an “impactful and efficient investment” worthy of continuing direct funding.