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FY 2019 Trade Adjustment Assistance second distribution
Summary ETA gave states the second FY 2019 distribution of Trade Adjustment Assistance Training and Other Activities funds. It explained the allocation formula and how states could request reserve funds for additional needs, with state amounts in its attachment. ETA now labels this funding advisory Canceled.
Document
Federal guidance
Agency
U.S. Department of Labor, Employment and Training Administration (ETA)
Document number
TEGL No. 02-19
Date issued
July 12, 2019
Status
Withdrawn
ETA marks this listing entry Canceled as of October 24, 2026. The letter prints an expiration date of Continuing and does not identify a cancellation instrument.
Status last verified October 24, 2026
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This document has been withdrawn. Ezel checks what federal law requires today, under current federal labor law, and answers your situation with citations.
About this page: The full text below is the official document from U.S. Department of Labor, Employment and Training Administration (ETA). Ezel adds the plain-English summary and tracks the document's status. The official source linked on this page is authoritative for any reliance.
Official attachments: Attachment 1.
CLASSIFICATION
EMPLOYMENT AND TRAINING ADMINISTRATION Trade Adjustment Assistance
ADVISORY SYSTEM CORRESPONDENCE SYMBOL
U.S. DEPARTMENT OF LABOR OTAA
Washington, D.C. 20210 DATE
July 12, 2019
ADVISORY: TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 2-19
TO: STATE WORKFORCE AGENCIES
STATE WORKFORCE LIAISONS
AFFILIATE AMERICAN JOB CENTER MANAGERS
COMPREHENSIVE AMERICAN JOB CENTER MANAGERS
STATE WORKFORCE ADMINISTRATORS
STATE AND LOCAL WORKFORCE BOARD CHAIRS AND DIRECTORS
STATE LABOR COMMISSIONERS
RAPID RESPONSE COORDINATORS
TRADE ADJUSTMENT ASSISTANCE LEADS
FROM: MOLLY E. CONWAY /s/
Acting Assistant Secretary
SUBJECT: Second Distribution of Fiscal Year (FY) 2019 Trade Adjustment Assistance
(TAA) Training and Other Activities (TaOA) Funds and the Process for
Requesting TAA Reserve Funds
1. Purpose. To assist State Workforce Agencies or agencies designated by Governors as
“Cooperating State Agencies” (also jointly referred to as “states”) by specifying the FY 2019
Second Distribution of TaOA funding amounts to states; describing the formula methodology
the Department of Labor (Department) used to calculate these amounts; and providing the
process for states to request TAA Program reserve funds for TaOA. TaOA includes training,
job search allowances, relocation allowances, employment and case management services,
and related state administration.
2. Action Requested. States are required to implement the guidance set forth herein and must
continue to administer the TAA Program in accordance with applicable regulations and
administrative guidance, including Operating Instructions for the 2002 Program, the 2009
Program, the 2011 Program, and the 2015 Program. States must inform all appropriate staff
of the contents of this guidance.
3. Summary and Background.
a) Summary - The Department distributes TaOA funding according to regulations at 20 CFR
§ 618.900 through 618.940, which provide, among other things, for an initial allocation
according to a prescribed formula (the Initial Allocation), potential reserve fund
distributions in response to state requests, and a “second distribution” of TaOA funds.
RESCISSIONS EXPIRATION DATE
None Continuing
The second distribution is implemented according to 20 CFR § 618.930, which provides
that at least 90 percent of the funds appropriated for TaOA must be distributed by July 15
of the FY (the Second Distribution) according to the prescribed formula, which specifies
distribution of such funds to those states that received an Initial Allocation. The
remaining 10 percent of FY TaOA funds not distributed in the Second Distribution will
be distributed to states before the end of the FY. This Second Distribution, as described
at 20 CFR § 618.930 is the subject of this TEGL.
b) Background - The Trade Act of 1974 (Pub. L. No. 93-618), as amended (the Trade Act)
(codified at 19 U.S.C. §§ 2271 et seq.), Title II, Chapter 2, established TAA for Workers,
Alternative Trade Adjustment Assistance (ATAA), and Reemployment Trade Adjustment
Assistance (RTAA) programs. These programs, collectively referred to as the TAA
Program, provide assistance to workers who have been adversely affected by foreign
trade.
TEGL No. 12-18 describes provisions of the Department of Defense and Labor, Health
and Human Services, and Education Appropriations Act, 2019 and Continuing
Appropriations Act, 2019 (Department of Labor Appropriations Act, 2019), Division B,
Title I (Pub. L. 115-245), signed into law on September 28, 2018, governing the use of FY
2019 TaOA funds. States may use these funds to provide TaOA to workers certified under
the 2002 Program, the 2009 Program, the 2011 Program, and the 2015 Program, in
accordance with the requirements of the TAA law in effect at the time of filing of a
petition for certification. Please refer to TEGL No. 12-18 for the definitions of these
programs.
Funds provided under the FY 2019 FUBA appropriation for TaOA are available for
expenditure for three fiscal years (i.e., FY 2019, FY 2020, and FY 2021). Funds provided
under the FUBA appropriation for Trade Readjustment Assistance (TRA), ATAA, and
RTAA are available for expenditure for one fiscal year (i.e., through September 30,
2019). States may refer to the FY 2019 TAA Annual Funding Agreement and Notice of
Award for additional information on the expenditure period for TaOA funds, and the
Unemployment Insurance (UI) Annual Funding Agreement for additional information on
TRA, ATAA, and RTAA expenditure periods.
TEGL No. 12-18 also describes the application of Sequestration, the FY 2019 National
Aggregate TaOA amounts, the Initial Allocation and the process by which states may
request TaOA reserve funds. Please refer to TEGL No. 12-18 for detailed information
regarding these aspects of TaOA funding.
4. Second Distribution of FY 2019 TaOA Funds. In accordance with 20 CFR § 618.930, by
July 15 of each FY, the Department will distribute at least 90 percent of the funds
appropriated for the entire FY for TaOA to the states. To allow adequate processing of these
funds, the Department interprets this requirement to mean that ETA will announce the
amount of funds available to states in the Second Distribution by July 15 of each FY.
The Department will allocate any funds that remain after the Second Distribution to the states
before the end of the fiscal year.
a) FY 2019 Second Distribution State Amounts of TaOA Funds The Department applies
the same formula and methodology used to determine the state amounts of TaOA funds
in the FY 2019 Initial Allocation to determine the amounts available in the FY 2019
Second Distribution of TaOA funds. This formula and methodology are based on the
regulations at 20 CFR §§ 618.910 through 618.940. For FY 2019, the amounts to be
provided to states in the Second Distribution are set out in the Attachment to this TEGL
and were determined by applying the provisions as described in 20 CFR § 618.910(f)
which are summarized below:
A. TAA Formula Funds:
1. Trend in number of workers covered by certifications during the most recent four
consecutive calendar quarters for which data are available;
2. Trend in number of workers participating in training during the most recent four
consecutive calendar quarters for which data are available;
3. Number of workers estimated to be participating in training during the fiscal year;
and
4. Estimated amount of funding needed to provide approved training to such workers
during the fiscal year.
Factor 1 will be established using the most recent four quarters (FY 2018 Quarter
3 through FY 2019 Quarter 2) of data for certified workers by state, and the
quarters will be weighted 40 percent, 30 percent, 20 percent, and 10 percent from
the most recent to the earliest quarter. This approach will establish a trend, giving
the most recent quarters a greater impact on the factor than earlier quarters.
Factor 2 will be established using the most recent four quarters (FY 2018 Quarter
3through FY 2019 Quarter 2) of data for workers participating in training by state,
and the quarters will be weighted 40 percent, 30 percent, 20 percent, and 10
percent from the most recent quarter to the earliest quarter. As with Factor 1, this
approach will establish a trend, giving the most recent quarters a greater impact on
the factor than earlier quarters.
Factor 3 will be determined by dividing the weighted average number of training
participants for the state determined in Factor 2 by the sum of the weighted
averages for all states. The next step in determining this factor is to multiply the
resulting ratio by the projected national average of training participants for the
fiscal year, using estimates from the Department’s most recent budget submission
or update.
Factor 4 will be calculated by multiplying the estimated number of participants in
Factor 3 by the average training cost per participant in the state. The average
training cost will be calculated by dividing total training expenditures for the most
recent four quarters by the average number of training participants for the same
period.
Once each of the four factors have been determined for each state, under 20 CFR
§ 618.910(f)(3), all four factors will be assigned an equal weight. For FY 2019,
the weight is 25 percent of the total for each factor. Using the steps above, the
Department determined each state’s percentage of the national total for each
factor. Using each state’s percentage of each of these weighted factors, the
Department determined the unadjusted percentage that the state will receive of the
total amount available for the Second Distribution.
B. States that did not Receive an Initial Allocation:
As TEGL No. 12-18 explains, consistent with 20 CFR § 618.910(e)(2)(i), in instances
where the formula approach would give a state less than $100,000, the state will not
receive an Initial Allocation. In addition, as provided in 20 CFR § 618.930, only
states that received an Initial Allocation may receive funds in the Second Distribution.
Those states that do not receive funds through the Initial Allocation or Second
Distribution may request TAA Program TaOA reserve funds in accordance with 20
CFR § 620 and the procedures described in TEGL No. 12-18 and in Section 4.b.
below. The Attachment to TEGL No. 12-18 identifies Alaska, Delaware, the District
of Columbia, Nevada, and Wyoming as states that did not receive an FY 2019 Initial
Allocation. After the Department issued that TEGL, Nevada requested, and the
Department approved, $225,000 in FY 2019 TaOA reserve funds.
C. TaOA Funds Available as of the Second Distribution:
The total amount of FY TaOA funds available in the Second Distribution is
comprised of 90 percent of the aggregate amount for FY 2019 TaOA funds after
sequestration or (90 percent of $401,020,000)1 minus the sum of the Initial Allocation
($260,663,000), or $100,255,000.
b) Process for Requesting TaOA Reserve Funds States may request TaOA reserve funds
in accordance with 20 CFR § 618.920(b) at any time during this fiscal year. States must
use the Reserve Funding Request Form ETA-9117 (OMB No. 1205-0275) to request
these funds. To be eligible for TaOA reserve funds, a state must demonstrate that at
least 50 percent of TaOA funds made available to that state in the current fiscal year
and the two preceding fiscal years have been expended or that the state needs additional
funds to meet unusual or unexpected events. A state requesting reserve funds must also
provide a documented estimate of expected funding needs through the end of the fiscal
year.
1 See section 4.b. of TEGL No. 12-18 for more information on the National Aggregate of TaOA funds and the
application of sequestration for FUBA funds.
A state must base its estimate on an analysis that includes at least the following:
o The average cost of training in the state;
o The expected number of participants in training through the end of the fiscal
year; and
o The remaining funds the state has available for TaOA.
c) Recapture and Reallotment of TaOA Funds Section 245(c) of the Trade Act provides
authority for the Department to recapture unobligated TaOA funds from states that have
not fully used their funding in the second and third fiscal year after the fiscal year in
which the funds were provided to the state and reallot those funds to other states to
provide and administer TaOA. The Department may implement Section 245(c) by
establishing procedures for recapture of these funds and realloting them to meet state
funding needs for TaOA, as specified in TEGL No. 5-15, Change 1, Attachment A,
Section D.1.1.
5. Inquiries. Recipients should direct inquiries regarding this guidance to the appropriate
Regional Office.
6. References.
a. References
Department of Defense and Labor, Health and Human Services, and Education
Appropriations Act, 2019 and Continuing Appropriations Act, 2019 (Department
of Labor Appropriations Act, 2019), Division B, Title I (Pub. L. 115-245),
September 28, 2018;
Chapter 2 of Title II of the Trade Act of 1974, as amended (Pub. L. 93-618) (1974
Act, as amended) (Trade Act);
Trade Adjustment Assistance Reform Act of 2002, Division A, Title I, Subtitle A
of the Trade Act of 2002 (Pub. L. 107-210) (as amended by the Miscellaneous
Trade and Technical Corrections Act of 2004 (Pub. L. 108-429)) (TAARA);
Trade and Globalization Adjustment Assistance Act of 2009, Division B, Title I,
Subtitle I of the American Recovery and Reinvestment Act of 2009 (Pub. L. 111-
5) (TGAAA);
Trade Adjustment Assistance Extension Act of 2011 (Pub. L. 112-40) (TAAEA);
The Balanced Budget and Emergency Deficit Control Act of 1985 (Pub. L. 99-
177) (BBEDCA), as amended by the Budget Control Act of 2011(Pub. L. 112-25)
(BCA), and further amended by The American Taxpayer Relief Act of 2012
(ATRA) (Pub. L.112-240);
Trade Adjustment Assistance Reauthorization Act of 2015 (Pub. L. 114-27, Title
IV) (TAARA 2015);
20 CFR part 618, Trade Adjustment Assistance, subpart I;
Training and Employment Guidance Letter (TEGL) No. 05-15, Operating
Instructions for Implementing the Amendments to the Trade Act of 1974 Enacted
by the Trade Adjustment Assistance Reauthorization Act of 2015 (TAARA 2015),
and its Change 1 and;
TEGL No. 12-18, Initial Allocation of Fiscal Year (FY) 2019 Trade Adjustment
Assistance (TAA) Training and Other Activities (TaOA) Funds and Process for
Requesting TAA Reserve Funds.
7. Attachment.
Attachment I: FY 2019 TAA TaOA Second Distribution Amounts, By State
Attachment I
FY 2019 TAA Training and Other Activities (TaOA) Second Distribution Amounts, By State
State Second Distribution Amounts1 State Admin Max. 10%2 Case Management Min. 5%3
Alabama $ 687,532.00 $ 68,753.20 $ 34,376.60
Alaska $ - $ - $ -
Arizona $ 383,317.00 $ 38,331.70 $ 19,165.85
Arkansas $ 1,419,549.00 $ 141,954.90 $ 70,977.45
California $ 7,918,770.00 $ 791,877.00 $ 395,938.50
Colorado $ 1,235,876.00 $ 123,587.60 $ 61,793.80
Connecticut $ 3,026,398.00 $ 302,639.80 $ 151,319.90
Delaware $ - $ - $ -
District Of Columbia $ - $ - $ -
Florida $ 1,343,375.00 $ 134,337.50 $ 67,168.75
Georgia $ 2,140,252.00 $ 214,025.20 $ 107,012.60
Hawaii $ 228,057.00 $ 22,805.70 $ 11,402.85
Idaho $ 516,623.00 $ 51,662.30 $ 25,831.15
Illinois $ 5,037,872.00 $ 503,787.20 $ 251,893.60
Indiana $ 3,364,403.00 $ 336,440.30 $ 168,220.15
Iowa $ 1,473,936.00 $ 147,393.60 $ 73,696.80
Kansas $ 960,266.00 $ 96,026.60 $ 48,013.30
Kentucky $ 2,223,717.00 $ 222,371.70 $ 111,185.85
Louisiana $ 242,749.00 $ 24,274.90 $ 12,137.45
Maine $ 448,699.00 $ 44,869.90 $ 22,434.95
Maryland $ 289,083.00 $ 28,908.30 $ 14,454.15
Massachusetts $ 3,215,955.00 $ 321,595.50 $ 160,797.75
Michigan $ 2,019,798.00 $ 201,979.80 $ 100,989.90
Minnesota $ 3,004,828.00 $ 300,482.80 $ 150,241.40
Mississippi $ 258,951.00 $ 25,895.10 $ 12,947.55
Missouri $ 3,262,462.00 $ 326,246.20 $ 163,123.10
Montana $ 95,051.00 $ 9,505.10 $ 4,752.55
Nebraska $ 440,981.00 $ 44,098.10 $ 22,049.05
Nevada $ - $ - $ -
New Hampshire $ 203,112.00 $ 20,311.20 $ 10,155.60
New Jersey $ 2,329,885.00 $ 232,988.50 $ 116,494.25
New Mexico $ 885,689.00 $ 88,568.90 $ 44,284.45
New York $ 3,887,228.00 $ 388,722.80 $ 194,361.40
North Carolina $ 2,227,987.00 $ 222,798.70 $ 111,399.35
North Dakota $ 194,700.00 $ 19,470.00 $ 9,735.00
Ohio $ 5,715,754.00 $ 571,575.40 $ 285,787.70
Oklahoma $ 1,201,127.00 $ 120,112.70 $ 60,056.35
Oregon $ 6,864,129.00 $ 686,412.90 $ 343,206.45
Pennsylvania $ 9,072,192.00 $ 907,219.20 $ 453,609.60
Puerto Rico $ 411,139.00 $ 41,113.90 $ 20,556.95
Rhode Island $ 161,554.00 $ 16,155.40 $ 8,077.70
South Carolina $ 2,113,127.00 $ 211,312.70 $ 105,656.35
South Dakota $ 453,139.00 $ 45,313.90 $ 22,656.95
Tennessee $ 1,951,371.00 $ 195,137.10 $ 97,568.55
Texas $ 6,119,229.00 $ 611,922.90 $ 305,961.45
Utah $ 543,254.00 $ 54,325.40 $ 27,162.70
Vermont $ 326,361.00 $ 32,636.10 $ 16,318.05
Virginia $ 1,705,162.00 $ 170,516.20 $ 85,258.10
Washington $ 5,215,507.00 $ 521,550.70 $ 260,775.35
West Virginia $ 1,778,222.00 $ 177,822.20 $ 88,911.10
Wisconsin $ 1,656,632.00 $ 165,663.20 $ 82,831.60
Wyoming $ - $ - $ -
TOTAL $ 100,255,000.00 $ 10,025,500.00 $ 5,012,750.00
1
The Second Distribution Amounts column sets out the TaOA Second Distribution amount for each state, in accordance with 20 CFR §
618.930 which requires the Department to advise states of their share of 90 percent of the FY allocation of funds by July 15.
2
The related State Administration Maximum (State Admin Max.) 10% column sets out the maximum amount from the TaOA funds each
state receives in the Second Distribution that the state may use for related state administration by that state.
3
The Case Management Minimum (Case Management Min.) 5% column sets out the minimum available to each state from the TaOA
funds each state receives in the Second Distribution that states must use for the provision of employment and case management services.
See Section 4.b. of TEGL No. 12-18 regarding the statutory restrictions on use of TaOA funds to provide employment and case
management services for workers covered by petitions certified under the 2002 Program.
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