NAFTA Title III income-support eligibility clarifications

Training and Employment Guidance Letter No. 07-93, Change 1

Issue date: March 8, 1995
Classification: NAFTA
Correspondence symbol: TWRA
Expiration date: Continuing

TO: All State JTPA Liaisons; All State Worker Adjustment Liaisons; All State Wagner-Peyser Administering Agencies

FROM: Barbara Ann Farmer, Administrator for Regional Management

SUBJECT: Transitional Adjustment Assistance Provisions Related to the Implementation of the North American Free Trade Agreement

Purpose. To provide clarifications on the NAFTA-Transitional Adjustment Assistance Program under section 250 of the Trade Act of 1974 and its relationship with the Title III program under the Job Training Partnership Act (JTPA).

Reference. Training and Employment Guidance Letter No. 7-93 dated April 19, 1994.

Background. TEGL No. 7-93 provided information on the NAFTA-Title III program and the benefits and services available for NAFTA-impacted workers who would not be eligible to receive assistance under the NAFTA-TAA program. In response to inquiries from States concerning the NAFTA-Title III program, clarifications are being provided on eligibility for needs-related payments.

Discussion. Under the NAFTA-Title III program funded with National Reserve funds, the date of last layoff, rather than the initial benefit period used under NAFTA-TAA, is used to determine eligibility for income support payments. If a dislocated worker has experienced a series of layoffs and callbacks, this could result in the individual being eligible for such payments under NAFTA-Title III.

The list of extenuating circumstances which would allow the additional 30-day grace period for meeting the required time for enrolling in training is the same for NAFTA-TAA and NAFTA-Title III programs. The intent in TEGL 7-93 was that the same list apply. If an individual's training enrollment date is 1) past the end of the 16th week, or the sixth week after the Secretary has issued a certification (whichever is later); and 2) past the 30 days grace period added to the 16 weeks/6 week cutoff if extenuating circumstances apply, the individual is not eligible for income support payments under either the NAFTA-TAA (using the initial UI benefit period) or NAFTA-Title III program (using the date of last layoff).