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2011 Work Opportunity Tax Credit allotments
Summary ETA issued final fiscal year 2011 state allotments for administering the Work Opportunity Tax Credit. It described the funding formula and required quarterly financial and performance reports, with attachments listing each state allotment and the WOTC statement of work. ETA now lists this year-specific advisory Canceled.
Document
Federal guidance
Agency
U.S. Department of Labor, Employment and Training Administration (ETA)
Document number
TEGL No. 3-11
Date issued
July 18, 2011
Status
Withdrawn
ETA lists this advisory Canceled as of 2026-10-24; its signed letter prints Expiration Date: Continuing and Rescissions: None. The allotments covered fiscal year 2011.
Status last verified October 24, 2026
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Accessible letter PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2011/TEGL3_11acc.pdf
CLASSIFICATION
EMPLOYMENT AND TRAINING ADMINISTRATION WOTC
ADVISORY SYSTEM CORRESPONDENCE SYMBOL
OWI
U.S. DEPARTMENT OF LABOR
DATE
Washington, D.C. 20210 July 18, 2011
ADVISORY: TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 3-11
TO: ALL STATE WORKFORCE AGENCIES
ALL STATE WORKFORCE LIAISONS
FROM: JANE OATES /s/
Assistant Secretary
SUBJECT: Work Opportunity Tax Credit (WOTC) Fiscal Year 2011 Funding
Allotments
l. Purpose. To provide the State Workforce Agencies (SWAs) with final funding
allotments for the administration of the WOTC program through September 30, 2011.
2. References. The Full-Year Continuing Appropriations Act of 2011; Section 1221 of
the American Recovery and Reinvestment Act (P.L. 111-5); Section 51 of the Internal
Revenue Code of 1986, as amended; Wagner-Peyser Act, Section 7(d); Small Business
and Work Opportunity Tax Act of 2007 (P.L. 110-28); Tax Relief and Health Care Act
of 2006 (P.L. 109-432); Working Families Tax Relief Act of 2004 (P.L. 108-311); Small
Business Job Protection Act of 1996 (P.L. 104-188); the November 2002, Third Edition
of ETA Handbook 408 Handbook (the Handbook); and the August 2009 Addendum
to the Handbook.
3. Background. On December 7, 2010, the Employment and Training Administration
(ETA) issued program funds to the State Workforce Agencies (SWAs) from
Continuing Resolution (CR) 1 and again on February 17, 2011 from CRs 2-4 for the
uninterrupted administration of the WOTC program.
4. Funding. ETA is issuing the balance of Fiscal Year (FY) 2011 funds to the SWAs for
the operation of authorized activities of the WOTC Program through September 30,
2011. The balance of FY 2011 funds is being issued based on the appropriated level
for FY 2010, which totaled $18,520,000, minus the 0.2 percent rescission required in
the FY 2011 Appropriations Act, or $18,482,960. After allocating $20,000 for the
Virgin Islands, funds are distributed to states by administrative formula with a
$66,000 minimum allotment and a 95 percent stop-loss/120 percent stop-gain from
the prior year allotment share percentage.
RESCISSIONS EXPIRATION DATE
None Continuing
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The FY 2011 formula allotment data factors and related percentages are as follows:
(1) Fifty percent based on each state's relative share of total certifications issued
from October 1, 2009 through September 30, 2010 for the WOTC program;
(2) Thirty percent based on each state's relative share of the Civilian Labor Force
(CLF), averages for the 12-month period, from October 2009 through September
2010; and
(3) Twenty percent based on each state's relative share of adult recipients of
Temporary Assistance for Needy Families (TANF), averages for the 12-month
period, from October 1, 2008 through September 30, 2009.
Attachment I shows the distribution of full FY 2011 WOTC funding amounts by state
according to this formula, including those funds previously awarded in December
and February.
5. General Administration. SWAs are responsible for administering the WOTC
Program including the certification process, promoting the program to the employer
sector, reducing and eliminating existing backlogs and reporting program data on a
quarterly basis.
In addition, the WOTC must be administered in accordance with the policies and
procedural guidance set forth in the November 2002, Third Edition of ETA
Handbook No. 408 (Handbook) and the August 2009 Addendum to this Handbook
and Sec. 51 of the Internal Revenue Code of 1986, as amended. Current Federal
Regulations at 20 CFR 658.400 Subpart E cover the complaint procedures. Other
applicable requirements are listed in the Statement of Work (Attachment II).
6. Reporting. SWAs must report expenditures quarterly using the U.S. DOL ETA
Financial Report (ETA-9130). Quarterly financial reports are due within 45 days
following the end of each quarter. Timely submission of these reports is extremely
important to ensure proper accounting of funds. Regional Offices will conduct a
financial reconciliation at the end of the fiscal year. Questions regarding financial
management and reporting for FY 2011 or for existing prior year fund balances
should be addressed to the appropriate Regional Office.
SWAs should use the Web-based EBSS Tax Credit Reporting System, currently in
place, to report quarterly program activities and outcomes. A schedule of report due
dates is available at: http://www.doleta.gov/business/incentives/opptax.
Quarterly performance reports are due within 45 days following the end of each
quarter.
7. Action Requested. State Administrators are requested to immediately transmit this
TEGL to the appropriate staff.
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8. Inquiries. Questions regarding these allotments may be directed to the appropriate
Regional Office.
9. Attachments:
I. FY 2011 States’ Allotments
II. WOTC Statement of Work
Official attachment PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2011/TEGL3_11att1.pdf
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Attachment I
U. S. Department of Labor
Employment and Training Administration
Work Opportunity Tax Credits
FY 2011 State Allotments
State Amount
Total $18,482,960
Alabama 291,281
Alaska 66,000
Arizona 466,217
Arkansas 221,574
California 2,169,138
Colorado 199,398
Connecticut 187,339
Delaware 66,000
District of Columbia 66,000
Florida 940,019
Georgia 554,814
Hawaii 66,000
Idaho 79,041
Illinois 801,476
Indiana 476,580
Iowa 246,210
Kansas 206,917
Kentucky 263,226
Louisiana 361,040
Maine 95,492
Maryland 332,607
Massachusetts 316,145
Michigan 609,023
Minnesota 253,377
Mississippi 184,249
Missouri 459,385
Montana 66,000
Nebraska 128,298
Nevada 103,258
New Hampshire 66,000
New Jersey 433,957
New Mexico 141,978
New York 887,418
North Carolina 474,351
North Dakota 66,000
Ohio 956,608
Oklahoma 299,852
Oregon 230,891
Pennsylvania 606,722
Puerto Rico 89,412
Rhode Island 66,000
South Carolina 242,400
South Dakota 66,000
Tennessee 672,880
Texas 1,282,179
Utah 145,946
Vermont 66,000
Virginia 372,511
Washington 428,721
West Virginia 152,551
Wisconsin 372,479
Wyoming 66,000
State Total 18,462,960
Virgin Islands 20,000
Official attachment PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2011/TEGL3_11att2.pdf
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Attachment II
Work Opportunity Tax Credit Program
Statement of Work
Instructions.
State Workforce Agencies (SWAs) are to use the balance of Fiscal Year 2011 funds for the following
program activities:
1. Determining eligibility of individuals as members of targeted groups, on a timely basis, and
performing a quality review by a second staff person for each determination within 48 hours of
receipt.
2. Issuing employer certifications, denials, or notices of invalidation for tax credits on a timely basis
and in accordance with the policies and procedures set forth in the ETA Handbook No. 408, Third
Edition, November 2002 (the Handbook) and the August 2009 Addendum to the Handbook.
3. Processing existing backlogs.
4. Developing working agreements with partner agencies in the One-Stop Service Delivery System
and coordinating efforts to promote WOTC to employers and job seekers and other Workforce
Investment Act (WIA) partners.
5. Establishing and implementing an Appeals Resolution and Policy Clarification System in
accordance with the guidelines provided in the Handbook (Chapter VIII, Section F, pp.VIII-5-8).
6. Establishing and maintaining appropriate forms review, record keeping, and reporting capability
related to the orderly management of WOTC certification requests.
7. Establishing and maintaining an orderly system for regularly verifying the eligibility of a random
sample of individuals certified under the WOTC Program and initiating effective corrective
action when appropriate as indicated by results of such activities.
8. Negotiating formal cooperative agreements with local WIA areas, State Vocational Rehabilitation
Agencies, Veterans Administration, Employment Networks and other state and local agencies
and organizations for the purposes of issuing Conditional Certifications where appropriate,
and/or augmenting WOTC outreach activities.
9. Negotiating formal cooperative agreements with appropriate state agencies, including the
Departments of Health and Human Services, Agriculture, Housing and Urban Development and
the Social Security Administration to expedite verification of information provided to the SWA
when determining target group eligibility.
10. Training state and participating agency staff, and providing monitoring and technical assistance
to these agencies, as appropriate, for conducting target group preliminary eligibility
determinations and issuing Conditional Certifications.
11. Cooperating with employment and training organizations already working with the private
sector such as: veterans’ organizations, employer committees, and WIA Boards to inform
employers about the tax benefits to be derived from participation and the eligibility requirements
under the WOTC Program.
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Grant Agreement Conditions.
By entering into this agreement, the SWA agrees to the following conditions:
1. Provisions of the Internal Revenue Code of 1986, Section 51, as amended, must be adhered to in
conducting the program. By law, the SWAs are designated as the ONLY agencies that can issue a
Certification. The SWAs can enter into cooperative agreements with certain participating
agencies and together provide other WOTC related program services (e.g., issuing Conditional
Certifications, conducting outreach activities).
2. The most current edition of the program Handbook for the WOTC shall guide conditions and
standards of performance for administration and operation of the program. The state shall
maintain a verification and quality control process in accordance with guidance in this
Handbook.
3. Funding utilization will be reviewed against the quarterly spending plan, and when expenditures
are substantially below plan, ETA may de-obligate funds for redistribution.
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