QUEST disaster recovery dislocated worker grants

CLASSIFICATION
   EMPLOYMENT AND TRAINING ADMINISTRATION                DWG
               ADVISORY SYSTEM                           CORRESPONDENCE SYMBOL
          U.S. DEPARTMENT OF LABOR                       OWI-DASG
             Washington, D.C. 20210                      DATE
                                                         July 5, 2022

ADVISORY:       TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 2-22

TO:             STATE WORKFORCE AGENCIES
                STATE WORKFORCE ADMINISTRATORS
                STATE WORKFORCE LIAISONS
                STATE AND LOCAL WORKFORCE BOARDS AND CHAIRS
                STATE LABOR COMMISSIONERS
                INDIAN AND NATIVE AMERICAN PROGRAM GRANTEES

FROM:           BRENT PARTON
                Acting Assistant Secretary

SUBJECT:        QUEST: Disaster Recovery National Dislocated Worker Grants Funding
                Announcement

1. Purpose. To announce the availability of up to $140 million for Quality Jobs, Equity,
   Strategy, and Training (QUEST) Disaster Recovery National Dislocated Worker Grants
   (DWGs), with award amounts of up to $15 million. These funds will enhance the public
   workforce system’s ongoing efforts to empower America’s unemployed and underemployed
   workers through worker and business engagement, elevate equity, and connect jobseekers
   with high-quality jobs.

2. Actions Requested. Interested and eligible entities must submit QUEST DWG funding
   applications no later than August 4, 2022, according to the instructions below. Share this
   guidance with all staff who administer DWGs, Unemployment Insurance, and Employment
   Services in order to plan responsive funding applications.

3. Summary and Background.
   a. Summary – The QUEST DWG initiative will support employment equity and individual,
      community, and industry resilience as the nation prioritizes economic and employment
      recovery from the COVID-19 pandemic. Successful applicants will propose projects that
      include partnership development, community outreach, business engagement, and
      comprehensive career and training services, and that also may include disaster relief
      employment. QUEST DWGs focus on serving individuals whose employment has been
      negatively impacted by the pandemic, including individuals from historically
      marginalized and underserved populations who have been disproportionately impacted.

   b. Background – The COVID-19 pandemic resulted in substantial effects on the health and
      prosperity of the nation, its people, and its businesses. While these impacts were

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        widespread and varied, they were not evenly distributed across populations. Women,
        immigrants, lower-wage workers, people of color, people with disabilities, individuals
        who were formerly incarcerated, and other workers from historically marginalized
        communities were more likely to face unsafe working conditions, be laid off, or forced to
        leave the workforce to protect the health and safety of themselves or care for family
        members.

        Even as the overall economy continues to rebound from the pandemic (the average
        national unemployment rate has dropped precipitously from 6.4% in January 2021 to
        3.6% in April 2022 and payroll employment has expanded by more than 500,000 jobs
        each month in 20221), the emerging new economy is not benefitting all industries or
        populations equally. Many of the workers most negatively impacted by the pandemic
        continue to face persistent challenges with finding quality jobs amidst the ongoing
        economic effects of the COVID-19 crisis. Historically marginalized individuals,
        including African Americans, Native Americans, Asian Americans, Native Hawaiians
        and Pacific Islanders, Latinos or Hispanics, and people with disabilities, as well as young
        adults aged 20 to 24 years, part-time workers, and people without high school diplomas,
        experienced the most significant employment hardships during the first year of the
        pandemic. Nearly all of these groups have not regained their pre-pandemic employment
        rates and continue to experience the most significant employment barriers.2 The QUEST
        DWGs will support those individuals who have suffered the most as a result of the
        pandemic have equitable access to work at safe, well-paying employment, which further
        builds their own and the community’s resilience to any continued economic impacts of
        the pandemic.

        A comprehensive, equitable recovery requires strength and resilience in industries critical
        to our economy’s stability and growth, such as sectors responsible for our nation’s
        infrastructure, care economy, and climate resilience. In some instances, these were the
        same industries and workers that experienced disruption at the height of the pandemic
        and that now have an opportunity to reshape their workplaces and workforce to improve
        resilience, equity, and job quality. Aligned with the Biden-Harris Administration’s Good
        Jobs Agenda to improve job quality nationwide, the Department of Labor’s Good Jobs
        Initiative focuses efforts on ensuring that jobs created during this recovery are with
        “high-road” employers - those who offer high-quality job opportunities. High-quality
        jobs, for the purposes of the QUEST DWG, include family-sustaining wages and
        benefits, have predictable hours and schedules, are filled through transparent and
        nondiscriminatory hiring and promotion practices, offer clear paths for advancement,
        always prioritize worker health and safety, and include workers’ voices in the workplace.
        The QUEST DWGs will advance these efforts to recover from the pandemic and allow
        grantees to create a resilient, skilled workforce in critical, in-demand industry sectors,
        such as:

1
  Bureau of Labor Statistics, U.S. Department of Labor, News Release, State Employment and Unemployment –
May 2022 at https://www.bls.gov/news.release/pdf/laus.pdf, (visited May 7, 2022).
2
  U.S. Bureau of Labor Statistics, May Economic News Release, Table A-2 Employment status of the civilian
population by race, sex, and age, https://www.bls.gov/news.release/empsit.t02.htm and Table 3 Employment status
of the Hispanic or Latino population by sex and age, https://www.bls.gov/news.release/empsit.t03.htm.

       •   Infrastructure-related sectors, including manufacturing, construction,
           communications, transportation, distribution and logistics.
       •   Care Economy sectors such as health, elder and child care, where worker shortages
           and resignations were felt acutely during the pandemic.
       •   Environmental remediation and climate change mitigation-related industries,
           including in support of environmental justice outcomes, which help mitigate the
           climate conditions especially harmful to those dealing with the long-term health
           effects resulting from COVID-19.
       •   Other critical industries identified by QUEST DWG applicants, particularly industries
           that are recovering from the pandemic such as leisure/hospitality and growth
           industries where employers offer high-quality jobs or are improving job quality,
           better insulating workers from future pandemic-related economic shocks.

       The Department of Labor, Employment and Training Administration (ETA) is committed
       to furthering high-quality jobs and supporting a skilled workforce with up to $140 million
       in QUEST Disaster Recovery DWGs. These grants are Disaster Recovery DWGs
       authorized under Title I, Section 170 of the Workforce Innovation and Opportunity Act
       (WIOA), implementing regulations at 20 CFR 687.100–200, and guidance published in
       Training and Employment Guidance Letter (TEGL) No. 16-21, Updated National
       Dislocated Worker Grant Program Guidance.

4. QUEST DWG Funding Opportunity.
   a. Goal of the QUEST DWG. The goal of the QUEST DWG is to enable individuals who
      have been adversely affected by the COVID-19 pandemic and the social and economic
      inequities that the pandemic exacerbated, to enter, return to, or advance in high-quality
      jobs in growth industries including infrastructure, environment and climate, the care
      economy, and other critical sectors as defined by the applicant with high-quality jobs.
      The activities of the QUEST DWG will yield improved individual and community
      resilience to the ongoing effects of the COVID-19 pandemic.

       To achieve the goal of the QUEST DWG, grantees will design and implement a project
       aligned with this guidance and TEGL No. 16-21, Updated National Dislocated Worker
       Grant Program Guidance.

   b. Eligibility.
              i. Qualifying Event. ETA issues this guidance under 20 CFR 687.110(b), which
                   describes the events that qualify for Disaster Recovery DWG funds. Unlike
                   typical Disaster Recovery DWG applications, QUEST DWG applicants do not
                   need to document a qualifying event in their application, as the qualifying
                   event for the QUEST DWG is the HHS Public Health Emergency declaration
                   for coronavirus that was first announced on January 27, 2020 and remains in
                   effect as of this publication. This declaration covers the entire United States,
                   including all Outlying Areas.

                  See section 4.d. below for information on required application elements.

ii. Applicant Eligibility. Under 20 CFR 687.120(b), the following entities are
    eligible to apply for QUEST DWGs:

        A. States;
        B. Outlying areas;
        C. Indian tribal governments as defined by the Robert T. Stafford
           Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122(6)).

iii. Participant Eligibility. Eligible participants for WIOA Disaster Recovery
     DWGs are defined as follows:

        A. Individuals temporarily or permanently laid off as a consequence of
           the COVID-19 pandemic disaster. This category may provide
           flexibility to grantees to enroll participants as ETA has determined that
           “laid off” in this context is different from “dislocated.” For purposes
           of the QUEST DWG, grantees have latitude to determine that
           individuals who were working prior to COVID but who became
           unemployed because of COVID are eligible to participate in grant
           activities; for example, an individual who was fired for failing to
           report to work in order to stay home and care for a family member
           might be, for the purposes of this grant, “laid off as a consequence of
           the declared disaster.” Grantees should develop a policy with which to
           define and interpret this eligibility criterion under the grant.

        B. Long-term unemployed individuals, as defined by the applicant.
           Applicants should note that the term “long-term unemployed
           individuals” for purposes of the QUEST DWG is not tied to the
           Bureau of Labor Statistics definition (unemployed for 26 weeks or
           more) and might be interpreted to include individuals who have no
           work history, have been incarcerated, or have otherwise not worked
           for an extended period. Grantees should develop a policy by which to
           define and interpret this eligibility criterion under the grant.

        C. Dislocated workers as defined by WIOA Section 3(15).

        D. Self-employed individuals who became unemployed or significantly
           underemployed due to the COVID-19 pandemic disaster. Successful
           grantees should apply any existing policies that define and interpret the
           “significantly underemployed” eligibility criterion under the grant and
           must develop such a policy if one does not exist.

            Note: Direct services such as career, training, supportive services, or
            disaster relief employment must be limited to the eligible participants
            above. Further, grantees should design and implement grant activities
            that prioritize services and outcomes for any underserved and

                   historically marginalized populations that otherwise meet the
                   eligibility categories above.

                   However, some of these grants' activities may also benefit other non-
                   DWG populations. For example, cohort training to introduce QUEST
                   DWG participants to transportation and logistics industry standards
                   may be offered to WIOA Adult program participants if class size and
                   seat availability permit.

c. Grant Activities.
         i. Required Grant Activities. Applicants for QUEST DWG funds must commit
             to executing the following types of activities:

                A. Develop or Expand Strategic Partnerships – Applicants must create a
                   data-informed project design that includes the development or
                   expansion of strategic partnerships that will ensure that the grant will
                   achieve the goals of the QUEST Initiative. While ETA does not
                   require any specific entities to be partners in a QUEST DWG
                   application, we encourage applicants to consider how partnerships
                   might enable the project to most effectively and comprehensively
                   develop or strengthen an economy built on equity, job quality,
                   sustainability, and shared prosperity. Examples of strategic
                   partnership activities include:
                   • developing partnerships with organizations that serve, train, and
                       hire individuals from underserved and marginalized communities
                       most impacted by the COVID-19 pandemic,
                   • expanding partnerships with business or industry associations
                       hiring workers into quality jobs,
                   • ensuring worker voice by soliciting input from and partnering with
                       dislocated workers, individual workers, labor unions, labor-
                       management partnerships, and other relevant organizations,
                   • building and expanding partnerships that bring together workers,
                       employers, and labor to advance demand-driven workforce
                       strategies, such as labor-management partnerships, and
                   • cultivating formal sector partnerships with demand industries and
                       high quality employers.

                   Applications for QUEST DWGs must include letters of commitment
                   from at least two partners (see Application Information below), but
                   applicants may include as many partners as they deem appropriate and
                   may add partners as necessary throughout the life of the project.

                B. Community and Participant Outreach – Applicants must develop an
                   operational plan for community and participant outreach that is
                   culturally and linguistically appropriate to ensure that eligible
                   participants know about and can participate and succeed in the grant’s

   services, particularly historically marginalized individuals and
   communities. Grant funds may be used to create and execute focused
   outreach campaigns to reach historically marginalized communities
   and other priority participant populations adversely affected by the
   COVID-19 pandemic.

C. Business Engagement – QUEST DWGs must include business
   engagement activities. In addition to assisting businesses with finding
   the workers they seek, strong business engagement enables grantees to
   work closely enough with businesses to share information on the value
   and business benefits of increasing job quality and equity, and support
   in creating or expanding high-quality jobs. For purposes of this grant,
   business engagement may include both strategic and operational
   activities. At the strategic level, applicants should consider activities
   that are intended to:
   • develop long-term relationships with the employer community
       with an emphasis on expanding high quality jobs,
   • provide solutions to the needs of individual employers, industry
       associations, or other groups to identify and address current or
       emerging skills needs,
   • develop sector-based approaches,
   • provide information on the services available through the
       workforce system,
   • support the development of high-quality employment opportunities
       across an industry/sector, and
   • develop and scale career pathway models incorporating worker
       voice, equity, and demand-driven workforce approaches, such as
       through labor-management partnerships.

   At the operational level, QUEST grants may provide valuable
   solutions to hiring, retention, and other staffing challenges, particularly
   employers hiring workers into high-quality jobs and employers which
   aim to improve the quality of their jobs. Direct services to individual
   employers or business groups could include:
   • collaborating to identify a position’s skills needs to increase the
       use of skill-based hiring,
   • developing work-based learning opportunities including registered
       apprenticeships,
   • improving the transparency of career paths and promotional
       opportunities through opportunity mapping,
   • technical assistance on improving equity and job quality, and
       demand-driven workforce models such as labor-management
       partnerships.

   To maximize opportunities and build on existing relationships,
   applicants are encouraged to align the business engagement activities

                              for this grant with existing, ongoing business engagement activities
                              operated by state or local Rapid Response teams, state or local
                              workforce development boards, or others, wherever possible.

                          D. Employment and Training Activities – Grantees must design
                             employment and training activities, which for DWGs encompasses
                             career, training, and supportive services, that enable participants
                             impacted by the COVID-19 pandemic including its social and
                             economic inequities to gain the skills and experience necessary to
                             qualify for, obtain, and advance in safe and sustainable jobs,
                             particularly high-quality jobs in growth industry sectors. QUEST
                             DWG grantees are encouraged to incorporate work-based learning or
                             entrepreneurial training in their program design. Grantees must
                             provide supportive services as appropriate to increase the likelihood of
                             program participants’ successful completion of workforce services and
                             the longer-term training associated with economic mobility. Grantees
                             are strongly encouraged take a demand-driven approach that focuses
                             employment and training activities on partnering with employers to
                             prepare and place participants in high quality employment in priority
                             sectors.

                              Grantees are also encouraged to review intake and eligibility policies
                              and procedures to reduce delays in services and eliminate any
                              eligibility requirements not required by law, to enable the broadest
                              participation in grant-funded services. See TEGL No. 19-16 for
                              definitions of allowable career, training, and supportive services.

                 ii. Disaster-Relief Employment. In addition to the required activities listed
                     above, applicants may choose to carry out disaster-relief employment by
                     creating jobs that respond to or address the ongoing health, employment or
                     social impacts of the COVID-19 pandemic.

                     Applicants choosing to incorporate DRE activities must adhere to the wage,
                     employment duration, and other requirements defined in TEGL 16-21,
                     published on June 16, 2022, (and all other applicable ETA guidance)
                     including that disaster-relief employment participants must receive wages at
                     the same rates as employees who are similarly situated in similar occupations
                     by the same employer and who have similar training, experience, and skills.
                     When determining the appropriate wage to be paid, QUEST DWGs should
                     account for the possibility that other entities could be a common-law joint
                     employer of the participants, together with the worksite employer.3 This
                     determination involves a number of factors. Grant recipients may request
                     technical assistance after receipt of an award under the QUEST program if

3 Entities may qualify as employers under the common law if they have a right to control the manner and means by
which the disaster relief work is accomplished. This is distinct from the definition of employment under the Fair
Labor Standards Act.

               they have questions or challenges in understanding how to determine whether
               an entity is a joint employer for purposes of the project Further, in cases
               where the disaster-relief employer, does not have other employees doing the
               same or similar work and with similar training, experience, and skills, grant
               recipients must ensure, as required under TEGL 16-21, that the wages that
               they will pay to participants are in line with the industry standard for that type
               of work in the area and are at least $15 per hour (unless otherwise negotiated).

              Note: All activities must be permissible under 20 CFR 687.180(b). The
              Department may place award conditions on a grant to address allowable or
              potentially proposed unallowable activities with applicants; approval of a grant
              award does not automatically mean all proposed activities in the application are
              allowed.

d. Application Information. ETA will only fund applications that are responsive to the
   requirements of WIOA and this TEGL. As described in Section 4a above, the goal of the
   QUEST DWG is to assist individuals who have been adversely affected by the COVID-
   19 pandemic and the social and economic inequities that it exacerbated, to enter, return
   to, or advance in high-quality jobs that are safe, sustainable, stable, equitable, and support
   worker voice in the workplace. QUEST DWG projects should help dislocated workers
   and other eligible participants, including underserved and historically marginalized
   individuals, develop economic resilience to future economic shocks through employment,
   training, and entry into high-quality jobs, especially in growing and critical industries.
   The applicant must submit all the information required and can do so in the form of the
   suggested application (see Attachment B). The required information includes the
   following:

            i. Priority Industries. Applicants must identify the industries for which they
               intend to focus participant training and other activities, and provide
               information on why placing participants in employment in these industries
               will help address the adverse effects of the pandemic on the participants.
               Grantees should describe the priority growth industries, such as those
               pertaining to our nation’s physical infrastructure, social infrastructure such as
               the care economy, and climate-resilience sectors, and other industries where
               participants may be employed in high-quality jobs.

           ii. Project Summary. The Project Summary provides a brief overview of the
               applicant’s QUEST DWG project and must describe:
                  A. The strategic partners who have or will inform a successful project
                      design.
                  B. The individuals, communities, industries, and companies the project
                      will engage or serve.
                  C. The mix of required and allowable activities that will be used.
                  D. How the proposed project will achieve the QUEST DWG goal.

          iii. Strategic Partners. Applicants must describe existing or planned partnerships
               that will support and inform project design and grant activities and ensure
               successful outcomes. Applicants must provide the name of each partner
               (organization or individual) and their anticipated role in grant activities.
               Where applicable, applicants should also include a plan for how new partners
               are identified and included in the project.

              A successful application will include partnerships with at least two
              organizations and include at least two partnership letters that demonstrate
              commitment to the QUEST DWG project must be included in the application.
              Applicants who plan to partner with more than two entities or individuals are
              only required to submit two letters of commitment though may submit as
              many as they wish.

          iv. Community and Participant Outreach. Applicants must describe how they
              plan to conduct outreach activities to underserved and historically
              marginalized communities and participants, including how such outreach will
              be culturally and linguistically competent and designed to reach those who
              were most adversely affected by the COVID-19 pandemic.

          v. Business Engagement. Applicants must describe the business engagement
             activities, both at the strategic and operational levels, that they intend to carry
             out to support achieving the goal of the grant.

          vi. Employment and Training Activities. Grantees must describe the types of
              demand-driven employment and training activities that they will prioritize,
              including work-based learning where appropriate, that will enable participants
              impacted by the COVID-19 pandemic including its social and economic
              inequities to gain the skills and experience necessary to qualify for, obtain,
              and advance in safe and sustainable jobs, particularly high-quality jobs in
              growth industry sectors. Grant activities should emphasize preparing and
              placing participants in high quality employment in priority sectors and
              industries.

         vii. Achieving the Goal of QUEST DWG. The applicant must demonstrate that its
              project will achieve the goal of the QUEST DWG. Applicants must describe
              how the activities planned for the grant will address the health, employment or
              economic impacts of the COVID-19 pandemic, and support participants’
              transitions into high-quality jobs.

e. Availability of Funds and Application Review and Award. The Department is making
   up to $140 million available under this TEGL. Applicants may apply for grants of up to
   $15 million each. To receive funding for a QUEST DWG, applicants must meet all
   eligibility requirements described in this TEGL and submit a responsive application that
   addresses the mandatory programmatic components outlined in this document.

   ETA will award funds to responsive, high-quality applications on a first come, first
   served basis while funding remains available. Available funds for this grant could be
   depleted by other unforeseen DWG funding needs, such as natural disasters and national
   emergencies. ETA encourages applicants to submit quality final applications before the
   deadline. While applicants may submit subsequent versions of their application if they
   realize that edits are needed, doing so may cause an application not to be funded. ETA
   will consider the latest submitted application to be the official submission. The deadline
   for all application packages is August 4, 2022, at 11:59pm EDT. ETA may stop
   accepting applications earlier than this date if available funds are depleted before the
   official closing date.

   Final award amounts will be determined subject to the availability of funds. If the total
   requests are less than the available funding or additional funds become available, grant
   awards may be increased proportionately. The Department will negotiate the final
   funding amount. ETA may require grant recipients to revise budget documents before
   award execution to account for discrepancies between funding requests and actual award
   amounts.

   The period of performance for QUEST DWGs is two years, and grant funds will have an
   anticipated start date of September 30, 2022, and an end date of September 30, 2024.
   However, the Department reserves the right to provide a period of performance
   extensions beyond this date, as it deems appropriate and necessary, to achieve the
   purposes of these awards.

f. Administrative Costs.
         i. Administrative costs under this award follow the definition in the Workforce
            Innovation and Opportunity Act at 20 CFR 683.215.
           ii. 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 the Department at 2 CFR
               Part 2900.

g. Application Requirements. To achieve greater efficiency and as part of ETA’s ongoing
   effort to streamline the grant award process, grantees must submit the following items
   through Grants.gov at www.grants.gov:
       • An electronically signed copy of an SF-424 - Application for Federal Assistance
            (OMB Control No. 4040-0004);
       • An SF-424A - Budget Information – Non-Construction Programs (OMB Control
            No. 4040-0006);
       • A Budget Narrative to explain the projected costs reflected in each line item of the
            SF-424A, demonstrating how grant funds will be used. See Attachment B for
            instructions on completing the budget narrative; and
       • A completed QUEST DWG Project Synopsis form (Attachment B).

   If an applicant fails to provide any of the documents or information described above their
   application will be deemed non-responsive and will not be funded.

   An electronically submitted SF-424 through Grants.gov constitutes the official signed
   document and must reflect the total amount requested in item #18, Estimated Funding.
   Item #11 must include the Catalog of Federal Domestic Assistance Number, 17.277.
   ETA encourages application submission as soon as possible; however, applications
   must be received by 11:59 pm EDT on August 4, 2022. ETA will award all QUEST
   Dislocated Worker Grants by September 30, 2022.

h. Grants.gov Submission Process. Applicants must submit the application package
   through Grants.gov. Applicants who need to register with Grants.gov may do so at the
   following hyperlink: https://www.grants.gov/web/grants/applicants/organization-
   registration.html. Registration is a one-time process; applicants with a Grants.gov
   account do not need to register again.

   To submit the required application package, applicants must:
           i. Select the SEARCH GRANTS tab on the Grants.gov homepage.
          ii. Under the section, BASIC SEARCH CRITERIA, enter the Funding
              Opportunity Number: ETA-TEGL-02-22-DWG.
         iii. Select the link to the applicable Opportunity Number provided in the search
              results.
         iv. Select the PACKAGE tab.
          v. Under the ACTIONS column, select APPLY.

   Submitting the SF-424 through www.grants.gov constitutes an electronically signed SF-
   424, Application for Federal Assistance. This submission process may, at times be
   complicated and time-consuming. As such, the Department strongly encourages
   applicants to initiate the process as soon as possible in order to allow time to resolve
   unanticipated technical problems.

   Applicants are required to supply a Unique Entity Identifier (UEI) on the SF-424. If your
   entity is registered with the System for Award Management (SAM) SAM.gov, your UEI
   has already been assigned and is viewable under your entity record. Organizations not
   registered with SAM.gov can obtain more information about a UEI at www.sam.gov.
   Before submitting, applicants must also ensure their registration with SAM.gov.
   Applicants may find instructions for registering with SAM at https://www.sam.gov. An
   awardee must maintain an active SAM registration with current information at all times
   during which it has an active Federal award or an application under consideration. To
   remain registered in the SAM database after the initial registration, entities must review
   and update the registration at least every 12 months from the date of initial registration.
   Failure to register with SAM and maintain an active account will result in Grants.gov
   rejecting the application submission.

   For technical issues encountered during application submission, applicants may call 800-
   518-4726 or 606-545-5035 to speak to a Customer Support Representative or email
   [email protected]. The Contact Center is open 24 hours a day, seven days a week, but
   closes on federal holidays.

i. Other Award Considerations. At its discretion, ETA intends to fund applicants who
   adequately demonstrate eligibility according to the application requirements set out in
   Section 4g above. ETA may elect to award a grant with or without discussions with the
   applicant. Should a grant be awarded without discussions, the award will be based on the
   applicant’s signature on the SF-424, including an electronic signature, which constitutes a
   binding offer by the applicant.

   NOTE: The Department will determine if the applicant had any restriction on spending
   for any ETA grant due to adverse monitoring findings within the past three years.
   Depending on the severity of the findings, the Grant Officer may elect not to provide the
   applicant a grant award or to impose conditions on the award.

   All applications deemed complete and responsive by the Grant Officer will undergo a
   risk review process. Before making an award, ETA will review information available
   through any OMB-designated repository of government-wide eligibility qualification or
   federal integrity information, such as the Federal Awardee Performance and Integrity
   Information System (FAPIIS), Dun and Bradstreet, and “Do Not Pay.” Additionally,
   ETA will comply with the requirements of 2 CFR Part 180 (Government-wide
   Debarment and Suspension (Non-Procurement)). This risk evaluation may incorporate
   results of the evaluation of the applicant’s eligibility (application screening) or the quality
   of its application (technical review). If ETA determines that an entity is responsible and
   an award will be made, special conditions corresponding to the degree of risk assessed
   may be applied to the award. Risk-related criteria evaluated include:

       •   Financial stability;
       •   Quality of management systems and ability to meet the management standards
           prescribed in the Uniform Grant Guidance;
       •   History of performance. The Applicant’s record in managing awards, cooperative
           agreements, or procurement awards, if it is a prior recipient of such Federal
           awards, including timeliness of compliance with applicable reporting
           requirements, and if available, the extent to which any previously awarded
           amounts will be expended before future awards;
       •   Reports and findings from audits performed under Sub-part F – Audit
           Requirements of the Uniform Grant Guidance (2 CFR sections 200.500 –
           200.520) or the reports and findings of any other available audits and monitoring
           reports containing finds, issues of non-compliance, or questioned costs; and
       •   The applicant’s ability to effectively implement statutory, regulatory, or other
           requirements imposed on recipients.

   The selection of an organization as a recipient does not constitute approval of the grant
   application as submitted. Before the actual grant is awarded, the Department may enter
   into negotiations about such items as program components, staffing and funding levels,
   and administrative systems in place to support grant implementation. If the negotiations
   do not result in a mutually acceptable submission, the Grant Officer reserves the right to

   terminate the negotiations and decline to fund the application. The Department reserves
   the right not to fund any application related to this TEGL.

j. Reporting. QUEST DWG recipients must submit the following reports no later than 45
   days after the end of each quarter:
           i. Performance Reporting.
               A. WIOA Joint Quarterly Narrative Template (ETA-9179) – Submission of
                   the quarterly project narrative reports using the WIOA Joint Narrative
                   Template (OMB Control No. 1205-0448).
               B. Participant Individual Record Layout (PIRL) Reports (ETA-9172) -
                   Grantees must submit an individual record file quarterly on all participants
                   and exiters. All relevant data elements on the individual record layout
                   must be completed. Those data elements relevant to the DWG program are
                   indicated in the DOL-only PIRL by an “R” in the DWG column. While
                   many of these elements are also required for other programs, the PIRL
                   contains data elements that are specifically for individuals participating in
                   a DWG.

               Performance accountability requirements for all DWGs, including QUEST
               DWGs, is in TEGL No. 14-18, Performance Accountability Guidance
               Relating to Reporting Performance and Aligning Performance Definitions and
               Policies Across Workforce Employment and Training Programs Administered
               by the U.S. Department of Labor. Information on DWG performance is
               available at https://www.dol.gov/agencies/eta/dislocated-
               workers/performance.

               ETA expects an applicant to have the appropriate systems or partnerships in
               place to submit required performance data as described in this section.
               QUEST DWG applicants must commit to submitting the required
               performance data to receive a grant award under this funding announcement.

               QUEST DWG grantee performance goals will mirror the relevant state’s
               current WIOA State Negotiated Levels of Performance for the title I
               Dislocated Worker Program. WIOA State Negotiated Levels of Performance
               are published at the following link:
               https://www.dol.gov/agencies/eta/performance/goals/negotiated-performance-
               levels.

           ii. Financial Reporting.
               DWG grantees must submit quarterly financial reports using the ETA-9130
               (G) Financial Report. Guidance and instructions are available at the following
               link: https://www.dol.gov/agencies/eta/grants/management/reporting.

   k. Evaluation. As a condition of grant award, grantees are required to participate in an
      evaluation, if undertaken by DOL. The evaluation may include an implementation
      assessment across grantees, an impact and/or outcomes analysis of all or selected sites
      within or across grantees, and a benefit/cost analysis or assessment of return on
      investment. Conducting an impact analysis could involve random assignment (which
      involves random assignment of eligible participants into a treatment group that would
      receive program services or enhanced program services, or into control group(s) that
      would receive no program services or program services that are not enhanced). We may
      require applicants to collect data elements to aid the evaluation. As a part of the
      evaluation, as a condition of award, grantees must agree to: (1) make records available to
      the evaluation contractor on participants, employers, and funding; (2) provide access to
      program operating personnel, participants, and operational and financial records, and any
      other relevant documents to calculate program costs and benefits; and (3) in the case of
      an impact analysis, facilitate the assignment by lottery of participants to program
      services, including the possible increased recruitment of potential participants; and (4)
      follow evaluation procedures as specified by the evaluation contractor under the direction
      of DOL.

   l. Paperwork Reduction Act (PRA) Statement. The OMB Information Collection No
      1225-0086, Expires July 31, 2022.

       According to the Paperwork Reduction Act of 1995, no persons are required to respond
       to a collection of information unless such collection displays a valid OMB control
       number. Public reporting burden for this collection of information is estimated to
       average 20 hours per response, including time for reviewing instructions, searching
       existing data sources, gathering and maintaining the data needed, and completing and
       reviewing the collection of information.

       This information is being collected for the purpose of awarding a grant. DOL will use
       the information collected through this solicitation to ensure that grants are awarded to the
       applicants best suited to perform the functions of the grant. This information is required
       to be considered for this grant.

5. Inquiries. Questions regarding this guidance should be directed to Grant Specialist at DOL-
   [email protected] with QUEST DWG in the subject line.

6. References.
      • Workforce Innovation and Opportunity Act (WIOA), sec. 170, Pub. L. No. 113-128,
         128 STAT. 1425, 1573-1576 (July 22, 2014);
      • 20 CFR pt. 687;
      • Training and Employment Guidance Letter (TEGL) No. 16-21, Updated National
         Dislocated Worker Grant Program Guidance (June 16, 2022);
      • TEGL No. 14-18 – Aligning Performance Accountability Reporting, Definitions, and
         Policies Across Workforce Employment and Training Programs Administered by the
         U.S. Department of Labor (DOL) (March 25, 2019); and

       •   TEGL No. 19-16 – Guidance on Services Provided through the Adult and Dislocated
           Worker Programs under the Workforce Innovation and Opportunity Act (WIOA) and
           the Wagner-Peyser Act Employment Service (ES), as amended by title III of WIOA,
           and for the implementation of the WIOA Final Rules (March 1, 2017).

7. Attachments.
      A. QUEST DWG Terminology
      B. Suggested Application Form
      C. Instruction Sheet for Budget Narrative

                                                                                         ATTACHMENT A

                                       QUEST DWG Terminology

The QUEST DWG TEGL uses terminology that may not be commonly understood. Working
definitions follow to ensure that QUEST DWG applicants have a shared understanding of the
terms referenced in the TEGL.

Culturally appropriate outreach (also known as culturally sensitive and culturally competent
outreach) acknowledges and incorporates the importance of racial, ethnic, cultural, and linguistic
experiences of the communities and individuals involved with a particular program, policy, or
procedure.1

Equity refers to fairness and justice and is distinguished from equality: Whereas equality means
providing the same to all, equity means recognizing that we do not all start from the same place
and must acknowledge and make adjustments to imbalances. The process is ongoing, requiring
us to identify and overcome intentional and unintentional barriers arising from bias or systemic
structures.2

High-quality jobs, also referred to as high-quality employment opportunities and good jobs, pay
an average wage of at least $15/hour or the local living wage, whichever is higher, provide an
average of at least 30 hours/week of paid employment, have transparent and nondiscriminatory
hiring practices and clear paths for professional development and advancement, provide access
to employer-provided benefits, including health care, paid vacation, and sick leave, prioritize
worker health and safety and are in companies and organizations that support workers’ rights.

High-road employers are businesses and organizations that offer high-quality jobs.

Historically-marginalized populations are groups of people who have been excluded from full
participation in mainstream educational, economic, cultural, social, and political activities.
Examples of marginalized populations include, but are not limited to, groups excluded due to
race, gender identity, sexual orientation, age, physical ability, language, and immigration status.
Marginalization occurs due to unequal power relationships between social groups.3

1 Source: Race & Social Justice Initiative, Inclusive Outreach and Public Engagement Guide.
2 Source: National Association of Colleges and Employers
3 Baah FO, Teitelman AM, Riegel B. Marginalization: conceptualizing patient vulnerabilities in the framework of
social determinants of health—An integrative review. Nursing Inquiry. 2019;26(1):e12268.

                                                      A-1

                                                                                             ATTACHMENT B

             Suggested Application for Quality Jobs, Equity, Strategy, and Training (QUEST)
                     Disaster Recovery National Dislocated Worker Grants (DWGs)

The information in this suggested application must be submitted along with other required application
materials as described in the QUEST DWG Training and Employment Guidance Letter (TEGL) no.
2-22. If more space is required than this suggested application provides, please attach up to five
additional pages of information. Note that ETA will not review any information in excess of five
additional pages.

 QUEST DWG Applicant and Project Information
 Instructions: Please provide the information indicated in this table.
 Legal Name of Grant Applicant:

 Applicant Point of Contact
 Name:                                                    Title:
 Email:                                                   Tel:
 Type of Applicant Select the box for eligible entity type below
        ☐ State Workforce Agency
        ☐ Outlying Area Workforce Agency
        ☐ Indian tribal governments as defined by the Robert T. Stafford Disaster Relief and Emergency
        Assistance Act (42 U.S.C. 5122(6))

 Number of Participants Projected to be Served by
 the Proposed Project (insert figure in the space right.)
 Participant Eligibility Attestation
 ☐ Confirm that your QUEST DWG project will only serve eligible individuals described below and in
 section 4.b.iii of the TEGL by checking the box at left.
    •   Individuals temporarily or permanently laid off as a consequence of the COVID-19 pandemic disaster.
    •   Long-term unemployed individuals, as defined by the applicant.
    •   Dislocated workers as defined by WIOA Section 3(15)
    Self-employed individuals who became unemployed or significantly underemployed due to the COVID-19
    pandemic disaster.

 Priority Industries. Indicate which industries the
 project will engage by checking the relevant boxes at         ☐ Infrastructure
 right.                                                        ☐ Care Economy
                                                               ☐ Climate and Environment
                                                               ☐ Other Growth Industry (Please name):

                                                         B-1

Project Service Area. Describe the geographic areas
                                                           ☐ Outlying Areas
to be served by the proposed grant. See section
4.d.iii of the TEGL for additional information.            ☐ A subset of the state’s Local Workforce
                                                           Development Areas (list the LWDAs):
                                                           ☐ Counties/Parishes (list the counties/parishes):
                                                           ☐ Other geographic areas such as Statewide and
                                                           Native American Employment and Training areas
                                                           (please define):

The rationale for Project Service Area: Provide a
brief (no more than 250 words) description of why
the service area for this proposed project was chosen,
including how providing services in the areas will
address the goal of the QUEST DWG.
Performance Goals: Select the appropriate box at
right to indicate an understanding that performance        ☐ Yes
goals for the QUEST DWG mirror the negotiated              ☐ No - Please explain:
goals established for the state’s WIOA Dislocated
Worker Programs per section 4.j of the TEGL.

                                                     B-2

Project Summary: Alignment with QUEST DWG Goal: Instructions: Per section 4.d.iii,
applicants must briefly describe their proposed project and how it will achieve the goal of the QUEST DWG.
Please address:
    • The strategic partners who have or will inform a successful project design.
    • The individuals, communities, industries, and companies the project will engage or serve.
    • The required, and any allowable, activities that will be used.
    • How the proposed project will achieve the QUEST DWG goal

Please limit the Project Summary length to no more than 500 words.

Required Grant Activity: Developing Strategic Partnerships
Instructions: Briefly describe existing and planned partnerships that will inform the project design and ensure
successful outcomes. Please note each partner’s area of expertise (business, training and education, community
service provider, other), and their expected contribution to the QUEST DWG project’s successful design,
implementation, and outcomes.

Please limit the following narrative to no more than 300 words.

Instructions: Per section 4.d.iv of the TEGL, applicants must provide the name of each partner (organization or
individual) and their anticipated role in grant activities. Where applicable, applicants should also include a plan for
how new partners are identified and included in the project as needed.
Partner Name                            Partner Type                        Partner Role(s) In Proposed Project
                                        (Employer/industry,
                                        education, economic
                                        development, community

                                                           B-3

                                      organization, etcetera.)
Ex. Community Health                  Community organization          Outreach to potential participants
Association

Strategic Partner Commitment Letters:
                                                                      ☐ Yes
Select the relevant box at right to indicate whether commitment
                                                                      ☐ No
letters from at least two of the Strategic Partners are included in
the grant application.

Required Grant Activity: Community and Potential Participant Outreach
Instructions: Per section 4.d.v, briefly describe the plan to reach priority communities and participants,
including how such outreach will be culturally and linguistically competent and designed to reach those who
were most adversely affected by the COVID-19 pandemic.

Please limit the following narrative to no more than 200 words.

                                                         B-4

Required Grant Activity: Business Engagement
Instructions: Per section 4.d.iv, please
    • Describe the business engagement strategy including how the project will identify business needs and
        provide examples of the services and solutions the QUEST DWG will offer.
    • Note how business engagement activities (both strategic and operational) support the goal of the
        QUEST DWG project.
    • Highlight how the business engagement strategy aligns with any existing business engagement
        strategies and activities underway in the proposed project’s geographic area.
    • Identify any employers or industries that the QUEST DWG project anticipates engaging, and why
        they were selected.
    • Note which, if any of the employers, currently offer jobs with family-sustaining wages, benefits,
        predictable hours and schedules, transparent and nondiscriminatory hiring and promotion practices,
        and support for workers’ voices.

Please limit the following narrative to no more than 300 words.

                                                         B-5

Required Grant Activity: Employment & Training Activities
Applicants must describe the employment and training activities included in the proposed QUEST project
design. These activities should enable participants impacted by the COVID-19 pandemic including its social
and economic inequities to gain the skills and experience necessary to qualify for, obtain, and advance in
safe and sustainable jobs, particularly high-quality jobs in growth industry sectors.

Please limit the following narrative to no more than 250 words.

                                                    B-6

Allowable Grant Activity: Disaster Relief Employment
Instructions: If the applicant’s project design includes allowable disaster-relief employment, please
    • Describe the jobs that will be created.
    • Describe the impacts of the COVID-19 pandemic that created the need for these jobs.
    • Describe how the work done in each job will directly address the health, employment, or economic
        impacts of the pandemic.
    • Describe how the wage, employment duration, and other requirements defined in Training and
        Employment Guidance Letter 16-21 published on June 16, 2022, will be met.

Please limit the following narrative to no more than 300 words.

                                                    B-7

Achieving the QUEST Goal
Applicants must demonstrate that proposed projects will achieve the goal of the QUEST DWG and enable
participants adversely affected by the COVID-19 pandemic and the social and economic inequities that the
pandemic exacerbated, to enter, return to, or advance in high-quality jobs in growth industries including
infrastructure, environment and climate, the care economy, and other critical sectors defined by the
applicant. The activities of the proposed QUEST DWG project should result in improved individual and
community resilience to the ongoing effects of the COVID-19 pandemic.

Please limit the following narrative to no more than 300 words.

                                                    B-8

                                                                               ATTACHMENT C

           QUEST DWG Instruction Sheet for Completing the Budget Narrative

You must complete the SF-424A Budget Information Form (available at
https://www.grants.gov/web/grants/forms/sf-424-family.html#sortby=1). In preparing the
Budget Information Form, you must provide a concise narrative explanation to support each line
item on the SF‐424A, which includes an itemization of the component costs adding up to the
total projected cost for each line item. The calculations provided in the Budget Narrative must
be accurate, and the line item cost projections in the narrative must match the associated cost
identified on the SF‐424A. Each category should include the total cost for the period of
performance. Use the following guidance for preparing the Budget Narrative.
   Personnel: List all staff positions by title (both current and proposed) including the roles
   and responsibilities. For each position give the annual salary, the percentage of time devoted
   to the project, and the amount of each position’s salary funded by the grant.
   Fringe Benefits: Provide a breakdown of the amounts and percentages that comprise fringe
   benefit costs such as health insurance, FICA, retirement, etc.
   Travel: For grantee staff only, specify the purpose, number of staff traveling, mileage, per
   diem, estimated number of in-state and out-of-state trips, and other costs for each type of
   travel.
   Equipment: Identify each item of equipment you expect to purchase that has an estimated
   acquisition cost of $5,000 or more per unit (or if your capitalization level is less than $5,000,
   use your capitalization level) and a useful lifetime of more than one year (see 2 CFR 200.1
   for the definition of Equipment). List the item, quantity, and the unit cost per item.
   Items with a unit cost of less than $5,000 are supplies, not “equipment.” In general, we do
   not permit the purchase of equipment during the last funded year of the grant.
   Supplies: Identify categories of supplies (e.g., office supplies) in the detailed budget and list
   the item, quantity, and the unit cost per item. Supplies include all tangible personal property
   other than “equipment” (see 2 CFR 200.1 for the definition of Supplies).
   Contractual: Under the Contractual line item, delineate contracts and subawards
   separately. Contracts are defined according to 2 CFR 200.1 as a legal instrument by which a
   non-federal entity purchases property or services needed to carry out the project or program
   under a federal award. A subaward, defined by 2 CFR 200.1 means an award provided by a
   pass-through entity to a subrecipient for the subrecipient to carry out part of a federal award
   received by the pass-through entity. It does not include payments to a contractor or
   payments to an individual that is a beneficiary of a federal program.
   For each proposed contract and subaward, specify the purpose and activities to be provided,
   and the estimated cost.
   Construction: Construction costs are not allowed and this line must be left as zero. Minor
   alterations to adjust an existing space for grant activities (such as a classroom alteration) may
   be allowable. We do not consider this as construction and you must show the costs on other
   appropriate lines such as Contractual.

                                               C-1

Other: Provide clear and specific detail, including costs, for each item so that we are able to
determine whether the costs are necessary, reasonable, and allocable. List items, such as
stipends or incentives, not covered elsewhere.
Indirect Costs: If you include an amount for indirect costs (through a Negotiated Indirect
Cost Rate Agreement or De Minimis) on the SF-424A budget form, then include one of the
following:
    a) If you have a Negotiated Indirect Cost Rate Agreement (NICRA), provide an
    explanation of how the indirect costs are calculated. This explanation should include
    which portion of each line item, along with the associated costs, are included in your cost
    allocation base. Also, provide a current version of the NICRA.
    or
    b) If you intend to claim indirect costs using the 10 percent de minimis rate, please
    confirm that your organization meets the requirements as described in 2 CFR
    200.414(f). Clearly state that your organization does not have a current negotiated
    (including provisional) rate, and is not one described in 2 CFR 200, Appendix
    VII(D)(1)(b).
    Applicants choosing to claim indirect costs using the de minimis rate must use Modified
    Total Direct Costs (see 2 CFR 200.1 below for definition) as their cost allocation
    base. Provide an explanation of which portion of each line item, along with the
    associated costs, are included in your cost allocation base. Note that there are various
    items not included in the calculation of Modified Total Direct Costs. See the definitions
    below to assist you in your calculation.
         •   2 CFR 200.1 Modified Total Direct Cost (MTDC) means all direct salaries and
             wages, applicable fringe benefits, materials and supplies, services, travel, and up
             to the first $25,000 of each subaward (regardless of the period of performance of
             the subawards under the award). MTDC excludes equipment, capital
             expenditures, charges for patient care, rental costs, tuition remission, scholarships
             and fellowships, participant support costs and the portion of each subaward in
             excess of $25,000. Other items may be excluded only when necessary to avoid a
             serious inequity in the distribution of indirect costs, and with the approval of the
             cognizant agency for indirect costs. The definition of MTDC in 2 CFR 200.1 no
             longer allows any sub-contracts to be included in the calculation. You will also
             note that participant support costs are not included in modified total direct
             cost. Participant support costs are defined below.
         •   2 CFR 200.1 Participant Support Cost means direct costs for items such as
             stipends or subsistence allowances, travel allowances, and registration fees paid
             to or on behalf of participants or trainees (but not employees) in connection with
             conferences or training projects.
See Section IV.B.4. and Section IV.E.1 for more information. Additionally, the following
link contains information regarding the negotiation of Indirect Cost Rates at
DOL: https://www.dol.gov/agencies/oasam/centers-offices/office-of-the-senior-procurement-executive/cost-price-determination-division.

                                             C-2

Note that the SF-424, SF-424A, and Budget Narrative must include the entire federal grant
amount requested (not just one year).

                                          C-3