National Dislocated Worker Grant operating guidance

CLASSIFICATION
   EMPLOYMENT AND TRAINING ADMINISTRATION                 WIOA National Dislocated Worker
               ADVISORY SYSTEM                            Grants
          U.S. DEPARTMENT OF LABOR                        CORRESPONDENCE SYMBOL
             Washington, D.C. 20210                       OWI
                                                          DATE
                                                          July 1, 2015

ADVISORY:       TRAINING AND EMPLOYMENT GUIDANCE LETTER WIOA NO. 2-15
                OPERATING GUIDANCE for the WORKFORCE INNOVATION AND
                OPPORTUNITY ACT (referred to as WIOA or the Opportunity Act)

TO:             STATE AND LOCAL STAKEHOLDERS IN THE WORKFORCE
                INNOVATION AND OPPORTUNITY ACT
                STATE WORKFORCE AGENCIES
                STATE AND LOCAL WORKFORCE BOARDS AND CHAIRS
                INDIAN AND NATIVE AMERICAN PROGRAM GRANTEES

FROM:           PORTIA WU /s/
                Assistant Secretary

SUBJECT:        Operational Guidance for National Dislocated Worker Grants, pursuant to the
                Workforce Innovation and Opportunity Act (WIOA or Opportunity Act)

1. Purpose. To provide guidance to the workforce investment system on the policies and
   priorities that govern the award and use of the Secretary’s discretionary National Dislocated
   Worker Grants (DWG), under the WIOA, Title I, Section 170, which becomes effective July
   1, 2015. The new program is preceded by National Emergency Grants (NEG) under Title I of
   the Workforce Investment Act of 1998 (WIA), and National Reserve Account grants under
   the Job Training Partnership Act Title III.

   DWGs are discretionary grants awarded by the Secretary of Labor, under Section 170 of
   WIOA. DWGs provide resources to states and other eligible applicants to respond to large,
   unexpected layoff events causing significant job losses. This funding is intended to
   temporarily expand capacity to serve dislocated workers, including military service members,
   and meet the increased demand for WIOA employment and training services, with a purpose
   to reemploy laid off workers and enhance their employability and earnings. Disaster DWGs
   provide funding to create temporary employment opportunities to assist with clean-up and
   recovery efforts, when an area impacted by disaster is declared eligible for public assistance

RESCISSIONS                                             EXPIRATION DATE
TEGL 16-03                                              Continuing
TEGL 16-03, Change 1-5

   from the Federal Emergency Management Agency (FEMA) or otherwise recognized by a
   Federal agency with authority or jurisdiction over Federal response to the emergency or
   disaster.

   WIOA was signed into law on July 22, 2014. WIOA is designed to help job seekers access
   employment, education, training, and support services to succeed in the labor market and to
   match employers with the skilled workers they need to compete in the global economy.
   WIOA supersedes Titles I and II of the Workforce Investment Act of 1998 and amends the
   Wagner-Peyser Act and the Rehabilitation Act of 1973. In general, the Act takes effect on
   July 1, 2015, the first full program year after enactment, unless otherwise noted.

   The Departments of Labor and Education published a set of regulations for implementing
   WIOA through the posting of five Notice of Proposed Rulemaking (NPRMs) documents.
   These NPRMs were open for public comment until June 15, 2015, and several hundred
   comments were received by both Departments. The Federal agencies will review, analyze
   and consider the comments received. The Final WIOA rules will be issued in 2016.

   In order to continue implementation prior to the final rule, a series of WIOA Operating
   Guidance documents are being issued in the form of Training and Employment Guidance
   Letters (TEGLs). These Operating Guidance documents on WIOA will inform the workforce
   system on how to begin the important planning and organizational work necessary to comply
   with the WIOA statutory requirements. The Operating Guidance TEGLs will provide a
   framework for program activities until the regulations are finalized. This TEGL is one in a
   series of WIOA Operating Guidance.

2. References. See Attachment I.

3. Background. In 2004, the Employment and Training Administration (ETA) issued Training
   and Employment Guidance Letter 16-03, “National Emergency Grant (NEG) Policy
   Guidance” and published in the Federal Register, “Workforce Investment Act: National
   Emergency Grants Application Procedures”. This Guidance replaces the 2004 Guidance,
   provides updates to DWG policy, and implements new provisions of WIOA.

4. Operating Guidance. New Operating Guidance for the DWG program is found in
   Attachment II of this TEGL.

5. Significant Changes. WIOA establishes DWGs, including grants for employment and
   training assistance and grants for disaster relief employment assistance, to supersede regular
   and disaster NEGs authorized under WIA. The new Operating Guidance updates a number
   of relevant NEG policies as they relate to the administration of DWGs, and provides
   guidance on new provisions under WIOA. Significant changes under WIOA include:
   • Authorizes DWGs to provide assistance to areas with a higher than average demand for
       employment and training services from dislocated members of the Armed Forces and
       military spouses.

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   •   For disaster relief employment DWGs, WIOA:
          o Allows Federal agency emergency or disaster declarations, in addition to those
              made by the Federal Emergency Management Agency, to trigger an opportunity
              for eligible entities to apply for assistance. The newly eligible situations must fit
              the definition of emergency or disaster situations of national significance that
              could result in a potentially large loss of employment, as declared or otherwise
              recognized by the chief official of a Federal agency with authority for the federal
              response to the emergency.
          o Allows circumstances where a substantial number of individuals from a disaster
              area relocate to another area to trigger an opportunity for eligible entities in the
              relocation area to apply for assistance.
          o Affirms eligibility for the grant program for self-employed individuals who
              become unemployed or significantly underemployed as a result of the emergency
              or disaster.
          o Increases the temporary employment duration from six months (under WIA) to 12
              months. The Secretary of Labor may extend the duration of disaster relief
              employment for up to an additional 12 months.

6. Transition of Participants. Most of the programmatic provisions of WIOA are effective
   July 1, 2015. Consistent with the transition provisions described in TEGL 38-14, all WIA
   NEG participants enrolled at that time must be grandfathered into the DWG program under
   WIOA. Grantees are not to complete eligibility redetermination for participants already
   determined eligible and enrolled under WIA. Grandfathered participants must be allowed to
   complete the WIA services, either with WIA PY 13 and 14 carry-in funds that become WIOA
   funds or with WIOA funds. The services authorized under WIOA become available July 1,
   2015 to new and existing participants. On or after July 1, 2015, grantees must make
   eligibility determinations for new DWG participants under the WIOA framework. All active
   NEG guidance not specifically rescinded by this TEGL continues to apply to DWGs, except
   where that guidance is inconsistent with the new Operating Guidance in Attachment II.

7. Submission Requirements. ETA will accept DWG applications on a continual basis. The
   current process for submitting draft applications for review by Regional Offices, followed by
   a formal application submission, is outlined in TEN 32-10, “Revised National Emergency
   Grant Application Submission and Review Process”. As WIOA is implemented and ETA
   updates the application submission process, additional information will be provided.

8. Inquiries. Questions may be directed to the appropriate ETA Regional Office.

9. Attachments.       Attachment I: References
                      Attachment II: National Dislocated Worker Grant Program Guidance

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Attachment 1

Official attachment: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2015/TEGL_02-15_Attachment_I_Acc.pdf

Attachment I

                      WIOA Operating Guidance TEGL References

   •   WIOA (Pub. L. 113-128) Title I
   •   WIA (Pub. L. 105-220), Title I
   •   TEGL No. 19-14, Vision for the Workforce System and Initial Implementation of the
       Workforce Innovation and Opportunity Act, dated February 19, 2015
   •   TEGL 38-14, Operational Guidance to Support the Orderly Transition of Workforce
       Investment Act Participants, Funds, and Subrecipient Contracts to the Workforce
       Innovation and Opportunity Act, dated June 8, 2015
   •   Training and Employment Guidance Letter (TEGL) No 16-03, National Emergency
       Grant (DWG) Policy Guidance, dated January 26, 2004
   •   TEGL No 16-03, Changes 1-5, National Emergency Grant (DWG) Policy Guidance
   •   Workforce Investment Act: National Emergency Grants – Application Procedures,
       Federal Register Notice, Vol. 69, No. 81, pages 23052-23081, dated April 27, 2004
   •   TEGL No. 17-05, Common Measures Policy for the Employment and Training
       Administration’s (ETA) Performance Accountability System and Related Performance
       Issues, dated February 17, 2006
   •   TEGL No.10-09, Implementing Priority of Service for Veterans and Eligible Spouses in
       all Qualified Job Training Programs Funded in whole or in part by the U.S. Department
       of Labor (DOL), dated November 10, 2009
   •   TEGL 15-10, Increasing Credential, Degree, and Certificate Attainment by Participants
       of the Public Workforce System, dated December 15, 2010
   •   TEN 49-11, Reporting on Attainment of Industry Recognized Credentials, dated June 6,
       2012
   •   TEN 32-10, Revised National Emergency Grant Application and Submission and Review
       Process, dated March 30, 2011
   •   TEGL 22-04, Serving Military Service Members and Military Spouses under the
       Workforce Investment Act Dislocated Workers Formula Grant, dated March 22, 2005.
   •   TEGL 19-08, National Emergency Grants Funded with American Recovery and
       Reinvestment Act of 2009 Resources, dated April 30, 2009
   •   TEGL 23-10, “National Emergency Grants Post American Recovery and Reinvestment
       Act of 2009 Funding Availability,” dated February 4, 2011
   •   TEGL 28-10, Federal Financial Management and Reporting Definitions, dated May 27,
       2011
   •   Information Collection Forms – ETA 9103, 9104, 9105, 9106, 9107 (OMB Control No.
       1205-0439); ETA Form 9090 and the Workforce Investment Act Standardized Record
       Data (WIASRD) format (OMB Control No. 1205-0420); and ETA Form 9130 (OMB
       Control No. 1205-0461)

Rescissions
   • Training and Employment Guidance Letter (TEGL) No 16-03, National Emergency
       Grant (NEG) Policy Guidance, dated January 26, 2004
   • TEGL No 16-03, Changes 1-5, National Emergency Grant (NEG) Policy Guidance

Attachment 2

Official attachment: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2015/TEGL_02-15_Attachment_II_Acc.pdf

Attachment II
                          National Dislocated Worker Grants
                                  Program Guidance

Table of Contents

    1. Introduction
    2. General Policy Framework for National Dislocated Worker Grants
    3. Types of Dislocated Worker Grants
          a. Dislocated Worker Grants for Layoffs
          b. Dislocated Worker Grants for Dislocated Service Members
          c. Dislocated Worker Grants for Trade Impacted Workers
          d. Dislocated Worker Grants for Emergencies and Disasters
    4. Performance and Post-Award

Section 1                                      Introduction

The purpose of this program guidance is to provide a policy framework for National Dislocated
Worker Grants (DWG) including policies, priorities, and requirements for the DWG program.
The Employment and Training Administration (ETA) accepts applications within four broad
categories: Layoffs, Military Service Members, Trade Impacted Workers, and
Emergency/Disaster. ETA may develop additional categories and conduct limited competitions
to meet particular needs of dislocated workers, and as program funding allows. In such cases,
ETA will issue a separate announcement and guidance.

Section 2                                      General DWG Policy Framework

Description
DWGs are discretionary grants awarded by the Secretary of Labor, under Section 170 of WIOA.
DWGs provide resources to states and other eligible applicants to respond to large, unexpected
layoff events causing significant job losses. This funding is intended to temporarily expand
capacity to serve dislocated workers, including military service members, and meet the increased
demand for WIOA employment and training services, with a purpose to reemploy laid off
workers and enhance their employability and earnings. Disaster DWGs provide funding to
create temporary employment opportunities to assist with clean-up and recovery efforts, when an
area impacted by disaster is declared eligible for public assistance by the Federal Emergency
Management Agency (FEMA) or otherwise recognized by a Federal agency with authority or
jurisdiction over Federal response to the emergency or disaster.

Eligible Applicants
Depending on the type of DWG being sought, eligible applicants for DWGs may include:
    1. A designated state or outlying area WIOA program agency;
    2. Local Workforce Development Board;
    3. Entities eligible to receive funding under 166(c) of WIOA (the Indian and Native
       American Program provision);

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    4. Entities determined to be appropriate by the Governor of the State or outlying area
      involved; and
    5. Entities that demonstrate to the Secretary of Labor the capability to effectively respond to
      circumstances relating to particular dislocations.

The typical applicants for each type of DWG are highlighted in the sections below.

In cases where the state is not the applicant, ETA expects that applicants will work
collaboratively with their respective state workforce development agency to ensure that Rapid
Response efforts are coordinated, and to assist in subsequent performance and fiscal reporting
requirements where the state is responsible for data collection and report submission.

Eligible Participants
Generally, participants must qualify as a Dislocated Worker as defined under WIOA Section
3(15). Certain DWGs, such as Disaster grants, have additional eligibility criteria. Participant
eligibility for each type of DWG is described in the applicable sections below.

General Program Policies

Project Start – Applicants must define the period of performance as part of the DWG application.
The project start date, otherwise known as the effective date referenced in the grant award, must
reasonably align with the date of the first dislocation event and the subsequent submission of the
DWG application. If a start date is requested that is prior to the date of submission, it is subject
to negotiation between the applicant and the Grant Officer. Generally, this date may only
include activities one quarter prior to the date of award. ETA expects that the amount of funds
requested to cover costs incurred prior to the application and award of the grant will be minimal.
For Disaster DWGs addressing an emergency or major disaster declared by FEMA, the project
start date cannot be before the disaster’s incident date listed in the FEMA declaration and no
costs may be covered prior to the date of the disaster declaration. For Disaster DWGs addressing
other emergency or disaster situations of national significance, the project start date must
coincide with the incident date as declared by the chief official of the federal agency with
jurisdiction over the Federal response of the emergency of disaster situation.

Project Duration – DWG funds may be expended during the months remaining in the program
year in which the award is made plus the subsequent two program years. (A program year is the
twelve month period from July 1 through June 30). Generally, planned durations for DWG
projects should not exceed 24 months.

Incremental Funding – ETA typically funds DWG awards on an incremental basis. The release
of subsequent funding increments is based on demonstrated need, as evidenced by enrolled
participants and accrued expenditures. Such accrued expenditures are monitored by ETA
through the submission of quarterly ETA 9130 financial reports. Funding increments may be
requested when grantee expenditures have reached 70 percent of the total DWG funds awarded.
Cash disbursements from the Federal level via the Payment Management System (PMS) to
grantees, which are tracked in real time, may also be used to verify the usage of funds between
quarterly reporting periods. Further guidance on financial management and reporting definitions
are provided in ETA TEGL 28-10, “Federal Financial Management and Reporting Definitions”,

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which will be updated to include changes affected by the release of the Uniform Guidance at 2
CFR Part 200 and the DOL exceptions at 2 CFR Part 2900.

For Disaster DWGs, the initial incremental award is generally one-third of the total “up-to”
amount approved. This allows the state to enroll DWG participants and begin project
implementation while completing an assessment of the needs of the affected community and
developing a complete (“Full”) application. The initial incremental award may also take into
account the state’s experiences with past disaster NEGs, as applicable. For Disaster DWGs,
additional increments may be requested after the submission of the Full Application and when
the grantee has expended 70 percent of the initial award.

Supplemental Funding – If a DWG project’s funding requirements surpass the approved award
amount, a grantee may request supplemental funding to complete the project. As with the
release of incremental funding, the award of supplemental funds is based on demonstrated need,
as evidenced by enrolled participants and accrued expenditures. Generally, ETA expects a 70
percent expenditure rate to be met before it will award supplemental funding. Cash
disbursements from the Federal level to grantees, which are tracked in real time, may also be
used to verify the usage of funds between quarterly reporting periods. Additionally, the grantee
must provide an explanation/justification for additional funding that addresses the changes in
project requirements that exceeded the initial planning assumptions.

Performance Goals – State performance goals for the Dislocated Worker formula program serve
as a basis for each DWG’s performance goals. ETA negotiates with states to determine
acceptable performance targets for the Dislocated Worker program, including use of regression
adjusted targets. These goals will be utilized for DWGs unless applicants request additional
considerations in setting performance targets for an individual grant. Native American Program
section 166 applicants should use goals established for that program as a basis for DWG
performance targets. Goals approved in the application serve as final performance targets.

Reasonable Costs – DWGs are subject to the Uniform Guidance: Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal Awards at 2 CFR Part 200
and OMB’s approved exceptions for DOL at 2 CFR Part 2900, which require that costs must be
reasonable, necessary, and allocable.

The decision making process for determining whether a cost is allowable to a grant includes
evaluating necessity, reasonableness, and allocability. For a cost to be allowable, it must first be
determined as necessary to carry out the goals of the grant. Necessary means the cost is required
in order to carry out the requirements of the grant or needed for the proper & efficient operation
of the grant. After the decision of necessity, reasonableness must be evaluated. A cost is
reasonable if, in its nature and amount, it does not exceed that which would be incurred by a
prudent person under the circumstances prevailing at the time the decision was made to incur the
cost. A cost is allocable to a particular Federal award or other cost objective if the goods or
services involved are chargeable or assignable to that Federal award or cost objective in
accordance with relative benefits received. Additional guidance on the allowability,
reasonableness and allocability of costs and other factors to be considered in determining
allowability can be found at 2 CFR 200.402-4011.

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Additionally, ETA will assess the overall cost per participant. While this is not a stand-alone
metric, it may provide a baseline measure for reasonableness when assessed in conjunction with
other components of the DWG’s proposed implementation. The following assessments may be
done for the cost-per-participant analysis:
   • The cost per participant may be assessed against the cost per participant of previously
        awarded DWGs similar in size, scope, and geographic area served. In general, DWG
        projects should offer services comparable to the services received by individuals being
        served by the State’s DW Formula fund program. If the proposed project has a cost per
        participant which is significantly higher than similar DWG projects, or higher than the
        average Dislocated Worker formula fund cost per participant, the applicant may be
        required to submit additional narrative to justify the proposed costs.
   • The cost per participant for each DWG-funded service must reflect the scope of the
        project, based on the number of participants receiving each service, and the types of
        services provided. In particular, training or supportive services costs that exceed the
        costs of similar past DWG projects are subject to additional scrutiny, and may also
        require the submission of additional narrative to justify the proposed costs.

Disaster projects’ cost per participant generally are not compared to formula fund costs, but may
be evaluated for reasonableness, including through elements of the cost per participant analysis
described above.

Administrative Costs – In general, an entity that receives a grant to carry out a DWG program or
project may not use more than 10 percent of the amount of the grant to pay administrative costs
associated with the program or project. If the state is the grantee and one or more local areas operate
the DWG program, the state may retain up to five percent of the award amount for administrative
costs and the project operator(s) may retain up to 10 percent of the award amount (for a total of 15
percent). Administrative costs may be negotiated with the applicant. If the direct recipient/grantee is
also the project operator, the administrative cost limit is 10 percent.

For grants that are incrementally funded, the administrative limitations apply to each increment.
Administrative costs are defined in sec. 3(1) of WIOA. The Grant Award terms and conditions
will specify the limitation of administrative costs.

Waivers – Grantees who seek to apply one or more of the waivers that have been approved for
formula WIOA program(s) must submit a request to apply the waiver to the DWG, either in the
initial application, or in a subsequent grant modification. DWG applicants should also include a
copy of the relevant waiver approval letter(s) addressed to the Governor as an attachment to the
DWG application or modification request. Typically, if a WIOA waiver is approved for a state,
it then may be applied to DWGs.

The process for requesting a WIOA waiver is separate from the DWG application process and
will be addressed through separate guidance. There are some components of Disaster DWGs
that are not subject to the waiver authority authorized in WIOA, including the limitation on the
length of temporary disaster relief employment. Submit questions on waivers to the WIOA
waiver point of contact in the National Office or ETA Regional Office.

Veterans’ Priority – DWGs are subject to the provisions of 38 U.S.C. 4215, which provides
priority of service to veterans and eligible spouses in all Department of Labor-funded job

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training programs. DWG participants who are also veterans will receive priority of service for
training made available under DWGs as described in TEGL 10-09, which provides guidance on
implementing priority of service.

Consistent Services – On projects with multiple regional, local, or state project operators, ETA
will award the grant to the entity designated as grant recipient. The project should be designed to
operate under a consistent set of service policies. An agreement must be executed among all of
the involved eligible applicants and the agreement must designate one of the entities to be the
grant recipient, as well as identify the service policies and procedures that will apply.

Section 2a                                      Dislocated Worker Grants for Layoffs

Description
The Secretary of Labor is authorized to award DWGs to eligible entities where the State or local
board has expended formula funding and the eligible entity can demonstrate the need for
additional funds to provide employment and training assistance to workers affected by major
economic dislocations. These DWGs provide direct services and assistance to dislocated
workers. Major dislocation events generally are defined as layoffs of 50 or more individuals, as
well as additional criteria described in this section.

Qualifying Layoff Events

Mass Layoff or Closure – Layoffs at one or more companies where the dislocation from each
company impacts 50 or more workers. If at least one company has a large layoff of 50 or more
workers, companies with smaller layoffs may be included if the primary layoff caused or
contributed to the smaller layoffs.

Industry–Wide Layoffs – Multiple company layoffs from companies in the same industry as
determined by the two-digit code level in the North American Industrial Classification System
(NAICS). Layoffs of less than 50 workers may be included in an industry-wide DWG
application when at least one company of 50 or more is included in the application and the
additional companies are in the same NAICS two-digit code level.

Community Impact – Multiple small dislocations occurring over a period of up to twelve months
that have significantly increased the total number of unemployed individuals in a designated
regional or local workforce area. Community impact grants typically serve rural areas where the
employer base is predominantly smaller companies with less than 50 employees each, and where
layoffs may not meet the definition of “mass layoffs” above. The project must have a total of 50
impacted workers.

Eligible Applicants
Entities as described below are typically eligible to apply for Layoff DWGs. Eligible applicants
include:
                1. A designated state or outlying area WIOA program agency
                2. A state or local Workforce Development Board

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               3. An entity eligible for funding through the Native American Programs (WIOA
                  Section 166(c))

Eligible Participants
Dislocated workers are eligible participants for Layoff DWGs. Generally, a dislocated worker is
an unemployed individual who had previous attachment to the workforce and was laid off.
Previously self-employed individuals as well as temporary or contract workers impacted by a
plant closure or a layoff are also eligible. For a full definition of dislocated worker eligibility,
see WIOA Section 3(15). Governors and local boards have the authority to establish policies and
procedures for frontline staff to determine dislocated worker eligibility.

Certain individuals that have served National Guard active duty are eligible as described under
WIOA section 170(c)(2)(A)(iv) and Section 2b of this guidance.

BRAC Eligible Participants
Where military installations are intended to be closed or realigned through a formal Base
Realignment and Closure (BRAC) process, eligible impacted individuals may be served with
DWG funds. Civilians employed at a military installation (employed by the Department of
Defense or the Department of Energy) that is being closed or that will undergo realignment are
eligible participants. Department of Defense contractors who are employed in non-managerial
positions, and who are determined to be at risk of termination as a result of reductions in defense
expenditures, are also eligible. In the event of an announcement of a new round of BRAC
activities, ETA will issue specific guidance for DWG applications reflecting the requirements of
the BRAC law. If there is a military installation or closure not specific to a BRAC action,
applicants should follow eligibility guidelines for Layoff DWGs.

General Policies: Layoff DWGs

Timing of Application – Applications should be submitted within 120 days of a qualifying layoff
event to facilitate the timely delivery of reemployment services to the affected workers. The
targeted participants are eligible for assistance upon notification of layoff (receipt of an
individual layoff notice or the date of the company’s layoff announcement), or the date of the
layoff itself.

Applications may be submitted under “emergency” status for a mass layoff event without notice
to workers, such as an unannounced facility closure or other unexpected events such as the
destruction of a place of employment due to a fire. The emergency application must be
submitted no later than 15 days after the event occurs. A full application must be submitted
within sixty business days following the date of award. After that time, applicants should have
access to data to support a full application.

Rapid Response Information – Rapid Response and other early intervention strategies for
assisting dislocated workers should be deployed as soon as the government entity has
information that workers are going to be laid off. Effective strategic planning through Rapid
Response and other sources will contribute to positive employment and earnings outcomes for
dislocated workers, and is a critical tool in the development of service strategies to support DWG
applications. Assessments, demographic information, and interest in services should be collected

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through surveys or other mechanisms. These data provide a rationale for enrollment estimates
and justify that proposed grant activities will meet the needs of the participants.

Formula program expenditure rates – To demonstrate the need for additional funds, states and
outlying areas should expend at least 70 percent of the prior program year’s total DW formula
funds (including Rapid Response and carry-in) in order to request DWG funding. This
expenditure threshold demonstrates that the state has maintained an adequate rate of expenditures
on services for dislocated workers, and that the available funds are not sufficient to provide the
services for the proposed DWG. This expenditure threshold is also utilized for local board
applicants. The expenditure threshold does not apply to Native American Program entities. For
Disaster DWGs, the expenditure threshold does not apply to the temporary jobs component.
ETA uses financial reports (ETA 9130 form) to verify expenditures of the DW formula funds of
the prior program year. Cash disbursements from the Federal level to grantees, which are
tracked in real time, may also be used to verify the usage of funds between quarterly reporting
periods.

Adding layoff events – The modification request to add employers to a DWG project not
included in the initial grant award should generally be submitted within the same program year
in which the grant award was made. Rarely is it permissible to add employers outside the
program year of award. If the addition of new employers results in a change in scope to the
DWG project, such additions may be prohibited by federal appropriations law. Grant recipients
must administer DWG projects for the original purpose under which the funds were awarded.

Allowable Grant Activities

Career Services – Career services, as defined in WIOA section 134(c)(2), are allowable and may
include outreach, intake, labor exchange services, initial and comprehensive assessments,
referrals, provision of labor market information, provision of information on eligible training
providers, and provision of information on the availability of supportive services.

Training Services – Training services, as defined in WIOA section 134(c)(3), are allowable and
may include occupational training, on-the-job training, entrepreneurial training, customized
training, and transitional jobs as defined in WIOA section 134(d)(5). For on-the-job training,
DWG funds may be used to reimburse up to 50 percent of the wage rate for on-the-job training
participants, and up to 75 percent if certain criteria are met as outlined in 134(c)(3)(H). The use
of DWG funds for training are subject to the limitations or requirements as applicable to the
Dislocated Worker formula program delineated in WIOA and its implementing regulations.

Transitional jobs provide subsidized work experiences and are an allowable training service for
DWG participants. Ten percent of the awarded funds for a DWG project may be used for
transitional jobs. WIOA Sec. 134(d)(5) sets an expenditure cap on transitional jobs of ten
percent of the amount of funds provided to a local area to carry out the Adult and Dislocated
Worker programs in the area for a program year. This requirement is extended to DWGs.

Supportive Services - Supportive services, as defined in WIOA section 134(d)(2), are allowable
for DWG participants receiving career services and training services. The use of DWG funds for
supportive services is subject to the requirements delineated in WIOA and the implementing
regulations.
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Needs-Related Payments (NRP) - NRPs, as defined in WIOA section 134(d)(3), are allowable
for DWGs to enable participants to participate in training services. NRPs offered in a DWG
must adhere to state and/or local area policies and procedures that are in place for all customers,
and may not be specifically created for DWG participants. Applicants for DWGs must include a
copy of the applicable NRP policies as part of the grant submission.

If unemployed dislocated workers receiving DWG services are not able to meet the 13 week
deadline for enrollment in training requirement at WIOA section 134(d)(3)(B), due to a lack of
formula or DWG funds, these individuals are still eligible for needs-related payments if they are
enrolled in training by the end of the sixth week following the date of the DWG award.

Section 2b:                                     Dislocated Worker Grants for Dislocated
                                                Service Members

Description
DWGs may provide assistance to areas where there is a higher-than average demand for
employment and training activities from dislocated military service members and certain spouses
that exceeds state and local resources for providing such activities.

Qualifying Layoff Events

Higher than Average Demand - Assisting military service members with the transition from
military service to the civilian workforce is a priority. Generally, it is expected that existing
WIOA formula funds are available to provide transition assistance for veterans. These services
are provided in coordination with resources made available through the Jobs for Veterans State
Grants Program and transition assistance programs administered by the Department of Defense
and the Department of Veterans Affairs, as well as the Transition Assistance Program (TAP)
administered by the Department of Labor's Veterans Employment and Training Service. In
communities experiencing a higher than average demand for services, DWG resources are
available to meet that need.

To demonstrate higher than average demand, applicants must draw from administrative data
sources to document unemployment levels among veterans within a local area for the current
quarter, compared to the same quarter one year ago. Appropriate sources of data include
workforce data, unemployment include Unemployment Compensation for Ex-service members
(UCX) data, or Transition Assistance Program (TAP) data. Dislocation events also qualify for
DWGs when there are 50 or more recently separated veterans within 48 months of separation, as
defined in WIOA section 3(63)(B). Service members with notification before separation may be
included in these calculations. States are well-positioned to work with bases to determine the
expected number of service members that will seek employment and training assistance from the
workforce system. Local board applicants and WIOA section 166 Native American Program
applicants should coordinate with states to obtain data to determine the demand from military
service members for employment and training services.

                                                 8

Eligible Applicants
Entities as described below are typically eligible to apply for Dislocated Service Member DWGs.
Eligible applicants include:
                1. A designated state or outlying WIOA program agency
                2. A state or local Workforce Development Board
                3. An entity eligible for funding through the Native American Programs (WIOA
                    Section 166(c))

Eligible Participants
    • Dislocated members of the Armed Forces (service members who are transitioning to the
       civilian workforce) as defined in TEGL 22-04 “Serving Military Service Members and
       Military Souses under WIA Dislocated Worker Formula Grants”.
    • Recently separated veterans who are within 48 months of discharge or release as defined
       in WIOA Section 3(63)(B).
    • Spouses of members Armed Forces on active duty if they: (1) Have experienced a loss of
       employment as a direct result of relocation to accommodate a permanent change in duty
       station of the member of the Armed Forces; or (2) are unemployed or underemployed and
       experiencing difficulty obtaining or upgrading employment.
    • A member of the Armed Forces who:*
           o Was on active duty or full-time National Guard duty and is involuntarily
               separated, or is separated under section 1174A or voluntarily separated under
               section 1175 of Title 10 of the United Sates Code;
           o Is not entitled to retired or retained pay incident to the separation; and
           o Applies for employment and training assistance within 180 days of separation.

*Note: this population is also eligible under a regular Layoff NEG. Active duty means “full-time
duty in the active military service of the United States,” including “full-time training duty,
annual training duty, and attendance, while in the active military service, at a school designated
as a service school by law or by the Secretary of the military department concerned.” 10 U.S.C.
101(d)(1). Full-time National Guard duty means “training or other duty, other than inactive
duty, performed by a member of the Army National Guard of the United States or the Air
National Guard of the United States in the member's status as a member of the National Guard of
a State or territory, the Commonwealth of Puerto Rico, or the District of Columbia . . . for which
the member is entitled to pay from the United States or for which the member has waived pay
from the United States.” 10 U.S.C. 101(d)(5).

Allowable Grant Activities
The policies described in “Section 2a: Dislocated Worker Grants for Layoffs” above are
applicable to Dislocated Service Member DWGs. Participants should use services and benefits
funded through veterans’ programs first, such as relocation assistance, before utilizing DWG-
funded services. Applicants should describe how the project will be coordinated with other
veterans’ services and avoid duplication.

                                                9

Section 2c                                     Dislocated Worker Grants for Trade
                                               Impacted Workers

All of the policies described in “Section 2a: Dislocated Worker Grants for Layoffs” above are
applicable to Trade Adjustment Assistance (TAA) DWGs. Each of the Layoff DWG types can
serve as a TAA DWG project if any of the participants are TAA certified. The following
specific criteria apply to TAA DWGs.

Description
The primary purpose of a TAA DWG project is to provide dislocated workers certified as
eligible for TAA with a full range of reemployment services in cases where such services are not
available through the TAA program and cannot be provided with the state’s WIOA Dislocated
Worker formula funds, as those funds are insufficient to cover such services. These services are
often referred to as wraparound services. TAA DWG projects are intended to supplement TAA
funded services with DWG-funded services to meet the reemployment needs of the affected
workers.

Qualifying Layoff Events
TAA-certified workers include workers in a certified group employed by a firm that produces
articles (a “primary firm”), a certified group employed by a firm that produces and supplies
component parts for a primary firm (a “supplier”), and a certified group employed by a firm that
provides additional, value-added production processes (a “downstream producer”) for a primary
firm. TAA DWG funds may be requested to provide assistance for layoffs at one or more
companies, which include primary firms, suppliers or downstream producers, as long as the
layoff impacts 50 or more workers and at least one worker group employed by the companies has
been certified as TAA-eligible by the Department or has a TAA petition investigation pending.

If the project for which funds are requested includes workers of more than one employer, only
one of the companies is required to have workers in a TAA-certified group or have a TAA
petition determination pending for a group of its workers. The companies whose workers are not
TAA-certified or the subject of a TAA petition under investigation may be included in the TAA
DWG project.

Eligible Applicants
Applicants for TAA DWGs must be the state workforce agency designated by the Governor to
receive WIOA Dislocated Worker formula funds.

Eligible Participants
In order to be eligible to receive services through a TAA DWG project, all participants must
meet the definition of a dislocated worker as defined in WIOA Section 3(15). A subset of
participants in a DWG project must be part of a worker group certified as eligible to apply for
TAA benefits, and are in need of services not provided by the TAA program. Participants
eligible for TAA must meet the eligibility requirements of the TAA program in order to receive
TAA program benefits. Those individuals who are not eligible for TAA may be included in the
DWG project and are eligible to receive the full array of DWG services.

                                               10

General Policies: TAA DWG

Expenditure Requirements - In addition to the requirement that state agencies applying for DWG
funding meet the 70 percent expenditure threshold for the prior year of their DW Formula funds,
ETA will also review the state’s expenditures for the TAA program. The collective assessment
of the expenditure patterns in both programs assists ETA in determining the reasonableness of
the state’s DWG funding request and to ensure the state has adequate TAA training funds
available.

Pending TAA Petition Investigations - State agencies may apply for TAA DWG funds to assist
workers for which a petition for TAA eligibility is pending (under investigation), so that the
duration of unemployment is minimized and dislocated workers receive the skills training needed
for available jobs. The cost of training may shift from DWG to the TAA program at the next
logical break in training for grant project participants who become eligible for TAA and whose
training is approved under the TAA program. Under those circumstances, new accrued
expenditures would shift from DWG to TAA. If a TAA petition is denied after a DWG award,
the grantee must request a modification to adjust the DWG budget and plan accordingly.
Projected grant project participants who are not eligible for TAA may receive the full array of
DWG services, including DWG-funded training.

Coordination of Funding Sources – TAA DWG projects and TAA program funds must be
managed in a coordinated manner to best meet the needs of the workers while abiding by all
applicable statutes, regulations and federal policies. The Trade Act, as amended, contains
provisions allowing the costs of a training program approved under the Act to be paid by TAA
funds or from other sources, but does not allow duplication of payment of training costs. Those
authorities and restrictions are spelled out in 20 CFR 617.25(b). Under certain circumstances, the
costs of training may be shared, but such an arrangement must not authorize reimbursement from
TAA funds of any training costs that were incurred before a participant was certified and
determined individually eligible for TAA and that training was TAA-approved. Additionally, the
TAA Governor-Secretary Agreement, Section D, requires that the TAA program will be the
primary source of assistance to adversely affected workers covered by a certification and that to
the extent adversely affected workers covered by a certification enrolled in the TAA program
require assistance or services not authorized under the TAA program, or for which TAA program
funds are unavailable or insufficient (including for required employment and case management
services), such assistance will be made available through the one-stop delivery system. This
provision includes services provided by TAA DWGs.

Allowable Grant Activities

Career and Supportive Services – The primary purpose of TAA DWG projects is to provide
TAA-eligible dislocated workers with Career and Supportive Services that are not available
through the TAA program, or when state TAA or formula Dislocated Worker program funds are
not authorized or sufficient to provide such services. These services include providing
supportive services relating to child care, transportation, dependent care, housing assistance, and
need-related payments, and may also include career services such as conducting comprehensive
assessments, developing individual employment plans, providing on-going and post-training case
management, and providing other Career and Supportive Services as authorized by WIOA that
are necessary to enable an individual to participate in training. TAA generally provides case
                                                11

management and employment services, training, job search, and relocation allowances for
workers covered by a certified petition. Career and Supportive Services authorized by WIOA
may be provided with the TAA DWG funds.

Training - Grantees must ensure that each individual reemployment plan is developed in concert
with the worker and is signed by the worker (including training, as appropriate). Participants who
are certified as eligible for TAA may receive DWG-funded training otherwise provided under
TAA under limited circumstances, the details of which must be explained in the narrative of the
application. These circumstances are:

           a. If TAA-eligible participants are unable to begin a training program immediately
              as required, the DWG may fund training for a limited time period. Systems must
              be in place to seamlessly accommodate a change in the funding of training, as
              appropriate. In this instance, any training proposed with DWG funds to TAA-
              eligible workers must be delivered through a training provider eligible under both
              the TAA and the WIOA program requirements, and the training must be
              approvable under the TAA program.
           b. When a TAA petition has been filed by or on behalf of a group of workers but a
              determination of group eligibility has not been made, DWG funding may be used
              for training in the short-term until an affirmative decision is rendered after a
              completed TAA investigation, and the state agency operating the TAA program as
              an agent of the Department determines the worker’s individual eligibility and
              approves the training. Again, systems must be in place to seamlessly
              accommodate a change in the funding of training, as appropriate after TAA
              program approval is obtained. Training may be modified by the TAA program to
              allow a worker additional training under the TAA program in order to meet
              retraining needs as indicated in individual reemployment plans. Such a
              participant may remain enrolled in DWG/WIOA and the TAA program as the
              individual may need continued career and supportive services through the DWG.
           c. In the event that state TAA funds are not available at a sufficient level to provide
              training to the affected workers, DWG funds may be requested to provide training
              when the state also demonstrates that WIOA DW formula funds are limited.
              States must also determine if TAA Reserve Funds under the Trade program are
              available and apply for such funds, in order to receive additional TAA funding.
              Any training proposed to be provided with DWG funds to trade-eligible workers
              must qualify and be approvable under both the trade and WIOA programs, and
              must be in accordance with 20 CFR 617.25(b)..

           Note: DWG-funded Career and Supportive services are subject to the limitations and
           requirements delineated in WIOA and its regulations and guidance; these may not be
           adjusted to match TAA levels when the individuals are subsequently deemed TAA-
           eligible DWG participants.

                                               12

Section 2d                                      Disaster DWGs

Description
Disaster DWG projects create temporary jobs for eligible individuals to assist with clean-up,
recovery, and humanitarian efforts in areas impacted by disasters or emergency situations as
outlined in Section 170(d)(4). These projects also provide funds for employment and training
services where needed, to help impacted individuals return to full employment as quickly as
possible.

Qualifying Events
DWG funds are available to assist with clean-up and other activities under three circumstances:

    1. Emergencies and major disasters, as defined in paragraphs (1) and (2) of section 102 of
      the Robert T. Stafford Disaster Relief and Emergency Assistance Act, which are declared
      eligible for public assistance by the Federal Emergency Management Agency (FEMA).
      Public Assistance is a specific eligibility term used by FEMA in designation of disaster
      areas.

       Applications must include a copy of the FEMA declaration, as well as amended FEMA
       declarations as the project is implemented, confirming that the counties targeted for
       DWG-funded clean-up activities are eligible for FEMA Public Assistance. States
       awaiting FEMA declarations may submit a Disaster DWG application if the governor of
       a state has formally requested such a declaration. However, final FEMA declaration
       determinations are required before a grant award is made. An emergency declaration by
       the governor of a state is not sufficient to receive funding assistance.

    2. Federal agency declarations, other than FEMA, are eligible for DWG assistance. These
      must fit the definition of emergency or disaster situations of national significance that
      could result in a potentially large loss of employment, as declared or otherwise
      recognized by a Federal agency. Federal declarations from the Department of Commerce
      and the Small Business Administration are examples of eligible federal declarations.

       Applications must include the following information: 1.) Name of the federal agency
       declaring the emergency event/disaster; 2.) Date of the emergency or disaster; and 3.)
       Other pertinent information, as defined in DWG application tools and technical
       assistance.

    3. Circumstances where a substantial number of individuals, defined as 50 or more, relocate
      to another area from a disaster area.

Eligible Applicants
All Disaster DWG applications must be submitted by the state agency or outlying area
designated by the Governor to receive WIOA Dislocated Worker formula funds or by an
organization eligible for funding through the Native American Programs (WIOA Section
166(c)). This agency or organization will be the grantee, as well as the fiscal agent responsible
for the appropriate allocation of funding to the affected areas.

                                                13

States may subgrant funds to local boards and/or may expend such funds through public and
private agencies and organizations engaged in such projects. States are expected to be able to
deobligate and reobligate funds to affected areas and service providers quickly in order to ensure
the funds are where they need to be in order to fulfill the purposes of this grant and to ensure that
workers needing assistance are receiving it.

Eligible Participants
Participants must be determined eligible as defined in WIOA Sec. 170(d)(2). The following
eligibility requirements apply to the following individuals residing within the declared disaster
area, or who are forced to relocate due to the disaster or emergency event:
            1. Individuals who are temporarily or permanently laid off as a consequence of the
             disaster;
            2. Other eligible dislocated workers as defined in WIOA Section 3(15);
            3. Long-term unemployed workers, as defined by the state; and
            4. Self-employed individuals who become unemployed or significantly underemployed
             as a result of the emergency or disaster.

Outreach efforts should emphasize workers who lost employment as a result of the disaster.
Veterans’ preference applies within these eligible groups.

Allowable Grant Activities

Temporary Jobs - Disaster DWGs provide funding for the creation of Disaster Relief
Employment, or temporary jobs, which are restricted to the following activities:

        1. Clean-up and recovery efforts including demolition, repair, renovation and
          reconstruction of damaged and destroyed structures, facilities and lands located
          within the disaster area and in offshore areas related to the emergency or disaster.
        2. The distribution of food, clothing, and other humanitarian assistance for disaster
          victims.

DWG funds allocated for wages should cover the activities related to humanitarian work and
must not cover the actual humanitarian aid itself. Humanitarian assistance includes actions
designed to save lives, alleviate suffering, and maintain human dignity in the aftermath of
emergencies.

Career and Training Services – DWG projects provide Career and Training services for those
grant participants already enrolled in the temporary jobs component of a Disaster DWG project,
who are unlikely to return to their prior employment. DWG funds may provide employment and
training services concurrently with participation in the temporary jobs component. The state
must have met the expenditure threshold (70 percent of the prior program year’s DW formula
funds) in order to request Career and Training services for a Disaster DWG. Clean-up and
recovery activities take precedence when offered in conjunction with Career and Training
activities.

Disaster DWGs for emergencies or disaster situations of national significance that could result in
a large loss of employment, but which may not cause physical damage, are authorized to provide
Career and Training services only, depending on the circumstances of the specific event.
                                                 14

Generally, Disaster grants serving individuals relocated from a disaster area will provide Career
and Training services as the primary service, because participants are relocated outside of the
disaster area. These grants may also include disaster relief employment or humanitarian
assistance.

Supportive Services - For Disaster DWGs, supportive services are allowable for participants to
participate in disaster relief employment and Career and Training services, including
reimbursement or payment for such costs as child care and transportation to and from the job
site.

Temporary Jobs Policies

Limit on Temporary Job Duration – A participant may hold a temporary job for no longer than
12 months or 2,080 hours. If clean-up work remains in the project even after the participants
reach their temporary employment limit, generally the state must bring in additional new eligible
workers to replace those who have worked 12 months. It is possible for individuals to be cycled
in and out of the project for longer than 12 months, with participants working intermittently over
an extended time period that does not exceed 2,080 hours. Grantees may submit a modification
request to extend an individual’s disaster relief employment for up to an additional 12 months.

Participant Wages – Participants in a Disaster DWG temporary jobs project must be paid the
higher of the Federal, state, or local minimum wage, or the comparable rates of pay for other
individuals employed in similar occupations by the same employer. In accordance with WIOA
Section 181(a)(1)(A), generally, participants shall be compensated at the same rates, including
periodic increases, as employees who are similarly situated in similar occupations by the same
employer and who have similar training, experience, and skills, and such rates shall be in
accordance with applicable law, but in no event less than the higher of the rate specified in
section 6(a)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 206(a)(1)) or the applicable
State or local minimum wage law. Fringe benefits should be paid in accordance with the policies
of the employer of record.

Where the local project operator or another approved worksite employer hires temporary workers
for positions for which wage levels have not been established and supervision of the temporary
workers is performed by another agency, the agency performing the supervisory responsibilities
could be consider the worksite employer for purposes of determining the appropriate wage for
the temporary worker. In such a case, the temporary worker’s wage could be established based
on similar or same work performance by employees of the worksite employer.

Grantees must ensure that the DWG funding allocated for wages of the temporary workers is
appropriately apportioned to only the entities approved as official employers of record for the
Disaster DWG project. The employers of record for temporary workers are limited to public
entities, not-for-profit organizations, and private for-profit entities such as outplacement or
staffing agencies.

Worksite Selection – The geographic areas where the worksites are located must be located in
the geographic area covered by a FEMA declaration eligible for public assistance or within the
area subject to another Federal agency’s declaration of an emergency or disaster situation of
                                                15

national significance. Grantees must prioritize the worksites for temporary jobs so that the
highest priority is given to public facilities which have been most severely damaged, consistent
with the strategic plans of the community.

Generally, worksites will be limited to public and private non-profit facilities. Under certain
circumstances, work on private property is authorized to the extent that it achieves a greater
positive benefit for the workers and the community being assisted. Work on private property
must meet the requirements outlined below.

    1. Clean-up activities on private property may be performed by grant participants if workers
      from units of general local government are also:
          a. authorized to conduct such work; and
          b. perform such work.
    2. As determined by the extenuating circumstances of the disaster for which Title I funds are
      being provided, repair and restoration activities are authorized on the private property of
      economically disadvantaged individuals, under the following specific conditions.
          a. Work can only be performed on the homes of economically disadvantaged
             individuals who are eligible for the federally-funded Weatherization program; and
          b. Work may be performed on private land or homes of such individuals if the non-
             WIOA employees of the employing unit or state or local government workers are
             authorized to do the same work and are in fact engaged in performing the work
             using non-WIOA funds; and
          c. Work on private land or buildings is performed to remove health and safety hazards
             to the larger community; and
          d. The work is limited to returning a home to a safe and habitable level -- not to make
             home improvements; and
          e. Priority is given for service to the elderly and individuals with disabilities; and
          f. WIOA funds cannot be used for the cost of materials to do repairs; and
          g. Work must be disaster-related and not related to general home improvements
             authorized under the Federal Weatherization program; and
          h. Work is coordinated with or supervised by the local agency responsible for the
             Federal Weatherization program.

General Policies: Disaster DWGs

Emergency Application – Generally, an initial request for Disaster DWG funding is made in an
abbreviated Emergency Application to facilitate timely delivery of DWG assistance in response
to a disaster event. Emergency applications for Disaster DWGs should be submitted within 15
days of the qualifying Federal Agency or FEMA declaration. States submitting after the fifteenth
day must provide a reasonable justification for the late submission, or submit a full application.

Full Application – Within sixty business days following an award of Disaster DWG funds
requested via an Emergency Application, the grantee must submit a Full Application via the
DWG electronic application system. The system will generate the applicable screens to collect
additional information pertaining to the budget and implementation plan for the disaster DWG
project. In addition, grantees must provide information including a list of worksites in the
counties where the work will be performed, job titles of each of the temporary jobs associated
with those worksites, and the amount of funds allocated to each county being served under the
                                                16

projects. The grantee is required to submit additional information per conditions of the initial
DWG award.

Coordination with Emergency Management Agencies – In an effort to ensure non-duplication of
services and maintenance of effort requirements, the State must coordinate the activities funded
under a disaster DWG with those funded by and/or performed under the auspices of FEMA.
Disaster DWG grantees should also coordinate where applicable with the appropriate
organizations, including state emergency management agencies and other federal response
agencies, to ensure a comprehensive response and to prevent duplication of services. The
website www.disasterassistance.gov provides additional resources.

Obtaining Equipment – FEMA or other federal, state, or local agencies provide assistance in
obtaining equipment needed for temporary jobs participants to conduct clean up, renovation,
restoration, and other allowable activities. In situations where the state is unable to obtain
funding or equipment from another source, DWG funds may be used to lease or buy necessary
equipment for worksites where Disaster DWG participants are employed to support clean-up and
recovery activities. Purchase of equipment is subject to prior approval and disposition
requirements in 2 CFR 200 and 2 CFR 2900.

A grantee must request approval for all equipment purchases with a cost of $5,000. Equipment
at 2 CFR 200.33 is defined as tangible personal property (including information technology
systems) having a useful life of more than one year and a per-unit acquisition cost which equals
or exceeds the lesser of the capitalization level established by the non-Federal entity for financial
statement purposes, or $5,000. When obtaining equipment, grantees are advised to follow the
appropriate procurement procedures as defined by state procurement policies; subrecipients,
unless a state government, must follow the procurement requirements in 2 CFR 200.

Grantees must summarize equipment purchases in the application and subsequent modifications.
The grantee may use the following methods to request approval for equipment purchases. Each
method requires that the grantee identify the type of equipment, the required quantity of each
type, the estimated price per unit, and a brief justification for the type and quantity of heavy
equipment requested:
        1. The applicant may request the purchase in the Emergency Application;
        2. The applicant may request the purchase in the Full Application; or,
        3. The grantee may request the purchase in subsequent modification requests to the
          disaster DWG.
              a. If the grantee finds it necessary to make an urgent modification request for
                  equipment purchases, states may send an email directly to the Grant Officer in
                  the Regional Office, with a copy to the associated Federal Project Officer in
                  the Region. Note, ETA will not approve requests emailed before the initial
                  DWG award.
Endangered Species/Habitats Protection – In order to ensure compliance with the National
Environmental Policy Act (NEPA) and the Endangered Species Act (ESA) and to protect
valuable habitats and endangered species, all disaster projects in which participants will be
entering or impacting natural areas must ensure that activities are not negatively affecting
endangered species or their habitats. NEPA and ESA require DWG projects to either affirm with
the Fish and Wildlife Service (FWS) that there are no endangered species or habitats within the
                                                17

project area, or to consult with FWS to mitigate negative impacts where there are endangered
species or protected habitats before beginning any work in those areas. To contact a state FWS
field office visit http://www.fws.gov/offices/.

Health and Safety Standards – In all DWG projects, Federal and state standards, otherwise
applicable to working conditions of employees, apply to the working conditions of participants.
Where a participant is engaged in activities not covered under the Occupational Safety and
Health Act (OSHA) of 1970, as amended, the participant shall not be required or permitted to
work, be trained, or receive services in buildings or surroundings or working conditions that are
unsanitary, hazardous, or dangerous to the participant’s health or safety. Health and safety
standards must be followed as outlined in WIOA Section 181(b)(4). Additional information and
local contacts can be found at OSHA’s website: www.osha.gov

Section 4                                               Reporting and Post-Award

Performance and Fiscal Reporting

Applicable Performance Measures – To satisfy reporting requirements, states must report the
characteristics, services received, and outcomes of participants served with WIOA funds,
including DWGs. Such information is necessary to determine the success of these investments.
Performance measures as described in WIOA Section 116 apply to the DWG program.1 If a
grantee is not a state, ETA will work with the grantee to determine accessibility options to wage
records, in order to verify outcomes.

Reporting – To ensure ETA is able to assess the success of DWGs and other WIOA programs,
the collection of accurate data is a critical component of financial and performance
accountability. The data collected on program activities, participants, and outcomes are used for
program management, and to convey information on the performance of workforce programs to
policymakers and stakeholders. The required reports for DWG grantees include quarterly
reporting requirements under WIOA, a DWG quarterly report, and the quarterly ETA 9130
financial report.
        • Individual record file submission (currently the Workforce Investment Act
           Standardized Record Data (WIASRD) Quarterly Submission). Note this requirement
           is described in more detail below.
        • ETA 9090 – WIA Quarterly Report which is generated automatically with quarterly
           individual record file submission
        • ETA 9130 – U.S. DOL ETA Quarterly Financial Status Report
        • ETA 9104 – Quarterly Performance Report (QPR)

Individual Record Submission –The quarterly WIASRD submission is the means for calculating
individual participant performance outcomes as well as performance for the DWG. Grantees
will continue reporting DWG participants in the current WIASRD until new performance
reporting requirements are approved and the system is revised to reflect WIOA requirements.

1
 Section 116 of WIOA does not go into effect until July 1, 2016. Until then, grantees will continue reporting on the
WIA performance measures in the current Workforce Investment Act Performance Management System until new
performance reporting requirements are approved and the system is updated
                                                        18

Grantees must submit an individual record file quarterly on all participants and exiters. DWGs
who are also co-enrolled through an additional WIA/WIOA funding stream should utilize a
common exit (i.e. when the participant has completed all partner services).

All relevant data elements on the individual record layout must be completed. Grantees must
identify participants enrolled in a DWG project as persons receiving assistance with DWG funds
and enrolled in DWG projects. In order to ensure that each DWG participant is appropriately
recorded and tracked to a DWG project, the project number must be captured in WIASRD
element 923 and 924. Each DWG has a four-digit project identifier to be entered for DWG
participants, which will ensure that each DWG participant is recorded and tracked to a DWG
project. This number is identified in the DWG Grant Award Letter, and is generally the state
code and the numeric figure immediately following it (e.g. AK01). Grantees must record
services provided through a NEG Disaster grant in WIASRD data element 1402 “Received
Services Through a Disaster NEG”

Post-Award Policies

Grant Modifications - Modifications are formal changes made to an awarded grant project.
Grantees must submit modifications to request changes to the budget and project plan which
address changing circumstances affecting the project’s implementation. Modifications for
DWGs are also submitted to respond to the terms and conditions of a previous award, and to
request additional incremental or supplemental funding. Modifications must follow the Uniform
Guidance. Additional information on the DWG modification process is contained in TEGL 17-
14 “National Emergency Grant Revised Modification Process”.

As with new DWG applications, grantees must request all changes requiring a grant modification
through the DWG eSystem. The DWG eSystem provides grantees data fields for the specific
information to be submitted, based upon the modification type.

Project Implementation Plan - Each grantee is required to develop an implementation plan to
reflect the approved project design and funding parameters in the grant award. The grantee must
complete the implementation plan within 60 calendar days following grant award and transmit it
to the Federal Project Officer upon completion.

Deobligation Limitations – Deobligations are only possible within the program year of award.
ETA generally will not consider requests from grantees to return grant funds when those requests
are made outside of the program year of award. Where grantees are experiencing unforeseen
issues with the ability to expend funds (for example, if affected dislocated workers are recalled
following a layoff) the grantee should work with the grantee’s Federal Project Officer and the
Grant Officer to identify opportunities to use the existing grant funds to serve eligible
participants.

Grant Close-Out Package - Grantees receive a closeout packet which includes required closeout
documents. The grantee then has 90 days to complete all required closeout documents, including
the closeout financial report. All outstanding terms and conditions on the grant must be resolved
prior to close-out.

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Other Terms - The Department may negotiate and fund projects under terms other than those
specified in these DWG guidelines, where it can be clearly demonstrated that such adjustments
will achieve a greater positive benefit for the workers and/or the communities being assisted.

                                               20