SCSEP stand-alone state plan guidance for 2024–2027

CLASSIFICATION
   EMPLOYMENT AND TRAINING ADMINISTRATION                 SCSEP
               ADVISORY SYSTEM                            CORRESPONDENCE SYMBOL
          U.S. DEPARTMENT OF LABOR                        OWI/DNPTTA
             Washington, D.C. 20210                       DATE
                                                          February 13, 2024

ADVISORY:       TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 09-23

TO:             SENIOR COMMUNITY SERVICE EMPLOYMENT PROGRAM
                GRANTEES
                STATE AND TERRITORIAL GOVERNORS
                STATE AND TERRITORIAL WORKFORCE ADMINISTRATORS
                STATE WORKFORCE LIAISONS
                STATE WORKFORCE BOARD CHAIRS

FROM:           BRENT PARTON
                Principal Deputy Assistant Secretary

SUBJECT:        Requirements, Priorities, and Technical Assistance for Senior Community
                Service Employment Program (SCSEP) Stand-Alone State Plans for Program
                Years (PYs) 2024-2027 for States, Territories, and Outlying Areas

1. Purpose. To provide states, territories, and outlying areas with guidance for submission of
   four-year SCSEP Stand-Alone State Plans, including the submission process and deadline for
   submission. Note that, while this guidance aligns with the Workforce Innovation
   Opportunity Act (WIOA) guidance in many instances, this TEGL pertains only to states that
   are submitting a SCSEP Stand-Alone State Plan for PYs 2024-2027. States that are
   including SCSEP as part of a Combined State Plan for 2024–2027 should refer to Training
   and Employment Guidance Letter (TEGL) 04-23 that the Employment and Training
   Administration (ETA) issued on October 31, 2023 for instructions on submission of
   Combined State Plans.

2. Action Requested. States submitting a SCSEP Stand-Alone Plan should send it via email
   with “SCSEP Four-Year Plan” in the subject line to [email protected], with a copy
   to their Federal Project Officer no later than March 29, 2024. Please include as an
   attachment a letter from the Governor naming the designee. ETA will review and approve
   State Plans so that they are in effect by the beginning of PY on July 1, 2024. For plans
   submitted after the due date, ETA will do its best to approve the plan before July 2024.

3. Summary and Background.

   a. Summary – This TEGL provides information and guidance for submission of the SCSEP
      Four-Year Stand-Alone plan for PYs 2024-2027. The State Plan is intended to foster
      coordination among the various SCSEP grantees and sub-recipients operating within the
      state and to facilitate the efforts of stakeholders, including state and local boards under

   RESCISSIONS                                             EXPIRATION DATE
   TEGL 04-21; TEGL 07-19                                  Continuing

              WIOA, to work collaboratively through a participatory process to accomplish the SCSEP
              goals (20 CFR 641.300).

      b. Background –Section 503(a) of the Older Americans Act (OAA) and SCSEP regulations
         at 20 CFR 641, Subpart C requires the Governor or the Governor’s designee to submit a
         SCSEP Four-Year State Plan and allows the state to submit the plan as an independent
         document. The plan includes a four-year strategy for the statewide provision of
         community service employment and other authorized activities for eligible individuals
         under SCSEP and describe the planning and implementation process for SCSEP services
         in the state, considering the current relative distribution of eligible individuals and
         employment opportunities within the state.

              This TEGL provides instructions for submitting a SCSEP Stand-Alone State Plan as an
              independent document, although ETA encourages states to include SCSEP as part of a
              WIOA Combined State Plan to foster closer coordination with other WIOA and non-core
              programs. Under WIOA, the Unified and Combined State Plans communicate the state’s
              vision for the state workforce development system. This SCSEP state plan submission
              adapts to specific priorities outlined in the WIOA planning requirements to promote
              better alignment of federal investments across job training and education programs to
              coordinate service delivery across programs for shared customers, to improve efficiency,
              and to ensure that the workforce system matches individuals with high-quality job
              opportunities and employers. Additionally, planning enables the workforce system to
              provide a wider range of collaborative, coordinated, and streamlined services to shared
              customers including pre-employment transition services and co-enrollment.

              To include SCSEP in a Combined State Plan, please refer to ETA guidance for
              submission of Unified and Combined State Plans TEGL 04-23, Requirements for
              Workforce Innovation and Opportunity Act (WIOA) State Plans for Program Years (PY)
              2024 - 2027.

4. Planning Priorities, Performance Negotiations, and Public Comment.

a. SCSEP Planning Priorities. SCSEP state planning should include strategies to improve job
   quality for older workers and create access to good jobs in industry sectors with relevant
   opportunities in the state. State grantees can review the Good Jobs Principles 1 published by
   the Departments of Labor and Commerce in their strategic plans, particularly in developing
   community service assignments and/or on-the-job work experiences that prioritize critical job
   quality and equity components such as worker safety and health, or competitive wages .
   States should partner with host agencies and employers/firms that are committed to
   developing career pathways for underrepresented and underserved populations.

         i.      Flexible, High-Quality Community Service Assignments

                 A core feature of SCSEP is the placement of participants in community service
                 assignments (CSA), which are part-time, temporary, employment opportunities at
1
    See https://www.dol.gov/general/good-jobs/principles

      host agency sites. Through these CSA placements, participants gain valuable skills,
      increase their confidence to reenter the workforce and earn income while assisting
      local organizations that provide needed services within their community . Program
      participants are paid the highest applicable required wage using project grant funds:
      either the minimum wage applicable under the Fair Labor Standards Act of 1938; the
      state or local minimum wage for the most nearly comparable covered employment; or
      the prevailing rate of pay for persons employed in similar public occupations by the
      same employer.

      Consistent with previous guidance, grantees may continue to use alternative types of
      CSAs that enable the provision of SCSEP services in-person, via remote or telework
      arrangements, and/or via hybrid approaches. States must ensure that all CSAs
      provide adequate supervision, development of needed soft skills, provision of
      appropriate training aligned to participants’ IEPs, and access to any digital tools
      and/or broadband connectivity necessary for the work assigned . Grantees
      implementing remote or hybrid assignments must also ensure that all participants are
      served equitably, including those who are not able to participate in remote, telework,
      or hybrid flexible work arrangements.

ii.   Strategic Use of Training and Supportive Services

      In conjunction with the CSA, SCSEP grantees provide or help coordinate training and
      supportive services that support participants’ ability to reach the program and
      employment goals identified in their IEPs. The type of training and supportive
      services that grantees provide vary and are based on the needs and goals of individual
      participants. In general, SCSEP grantees must have service delivery strategies that
      are designed to effectively prepare participants for placement into unsubsidized
      employment. Service delivery strategies must consider the job requirements of
      demand occupations in the community served, identify skill gaps and other barriers to
      employment among the SCSEP-eligible population, and design and offer training
      opportunities that address the identified skill gaps.

      Changes to Request Submissions for Additional Funds for Participant Training
      and/or Supportive Services (ATSS) (OAA Section 502(c)(6)(C), 42 USC
      3056(c)(6)(C)). The OAA permits SCSEP grantees to request approval from ETA to
      use additional program funds for costs associated with participant training and
      supportive services, generally referred to as “ATSS requests.” Under this SCSEP
      State Plan TEGL, ETA is not asking that state SCSEP grantees submit ATSS requests
      as part of their state plans; rather, state SCSEP grantees may submit such requests
      subsequently in response to the forthcoming PY 2024 allotment TEGL. However, for
      planning purposes, this section of this TEGL highlights key changes to ETA policies
      related to ATSS requests and approvals that state SCSEP grantees should consider.

      Approved ATSS requests allow grantees to use up to an additional 10 percent of grant
      funds for additional training and supportive services, and conversely, to use not less
      than 65 percent of grant funds for participants’ wages and fringe benefits, rather than

       the standard 75 percent minimum. In general, ETA expects ATSS training
       components will provide training that prepares participants with skills relevant for
       employment in in-demand occupations in their community. Further, ETA expects
       that ATSS supportive services components will supplement and enhance the
       supportive services provided through primary grant funds, enabling more participants
       to mitigate, and overcome financial and/or logistical barriers to SCSEP participation.

       In the past, ATSS requests were required with the grant document submission at the
       beginning of each new program year. To allow long-term strategic planning for use
       of ATSS funds, beginning in PY 2024, ETA encourages state SCSEP grantees to
       consider submitting ATSS requests that span the duration of the state planning cycle
       (up to four years) under the initial program year 2024 funding application process .
       This four-year approach remains consistent with the current SCSEP regulations while
       allowing for greater continuity and less year-to-year planning burden for grantees.
       This change will help grantees successfully support participants by providing
       continuity of service offerings from year to year, promoting the stability of
       employment for staff directly charged with implementing ATSS, and streamlining the
       annual ETA grant review and approval processes.

       ETA will provide additional details and instructions regarding submission of ATSS
       requests in the PY 2024 allotment TEGL.

iii.   Preparation for Unsubsidized Employment in Appropriate Sectors
       ETA strives for as many participants as possible to achieve unsubsidized
       employment, recognizing that SCSEP participants have a broad range of skill sets,
       interests, and barriers to employment. ETA particularly encourages strategic plans
       that propose innovative, holistic solutions to address the needs of SCSEP participants
       with more significant barriers to employment. ETA expects grantees to propose
       effective strategies to:
       1. Assess the participant pool and identify those participants whose individualized
          employment plans (IEPs) contain a goal of unsubsidized employment that is
          attainable with additional support and training.
       2. Identify characteristics among participants such as disability, limited English
          proficiency, former incarceration, or low literacy skills and actively assist those
          participants with obtaining unsubsidized employment.
       ETA specifically encourages grantees to offer strategies for providing practical short-
       term training opportunities for in-demand occupations that utilize on-the-job
       experience (OJE) or skill-specific training, as well as effective strategies and services
       to help participants achieve self -sufficiency, such as referrals to other services or
       programs, as identified in their IEPs.

iv.    Focus on Job Quality and Equity
       The Good Jobs Initiative, led by the Department of Labor in partnership with the
       Department of Commerce, provides critical information to workers, employers, and
       government agencies to help improve job quality and create access to good jobs, free

            from discrimination and harassment for all working people and particularly for
            underserved communities. The Good Jobs Principles establish a common vision for
            the essential elements of a quality job. Among the eight Good Jobs Principles are
            principles particularly relevant for SCSEP such as adopting a competitive wage scale;
            establishing more predictable work schedules; examining ho w benefits may be
            offered; and creating opportunities for inclusion, accessibility, and career
            advancement. ETA encourages state SCSEP grantees to consider how they can
            promote and advance the Good Jobs Principles in their SCSEP projects and
            incorporate strategies to help SCSEP participants learn about, prepare for, and obtain
            high quality jobs. This could include educating participants on job quality indicators
            (i.e., competitive wages or employee benefits) to better inform their job search
            efforts, discussing job quality considerations with employer partners, working with
            host agencies to identify ways to address job quality in participant assignments, or
            advising employer partners and host agencies on how to adhere to non –discrimination
            laws, adopt practices that ensure workers know their rights, and work continuously to
            remove discriminatory barriers within their organization.

            As defined in E.O. 14091 and first defined in E.O. 13985, the term “equity” means
            the “consistent and systematic fair, just, and impartial treatment of all individuals,
            including individuals who belong to underserved communities that often have been
            denied such treatment.” An equity gap exists when there is significant and persistent
            inequity or disparity for marginalized communities, in that individuals who belong to
            these communities are denied a full opportunity to participate in aspects of economic,
            social, and civic life, including employment or educational opportunities.2 All
            workers should be respected, empowered, treated fairly, and should not face systemic
            barriers to advancement. ETA encourages state SCSEP grantees to include strategies
            to increase equity in participant recruitment and service delivery. Such strategies
            could include identifying training providers and/or other partners that work closely
            with historically marginalized populations, including veterans, returning citizens, or
            people of color, and/or identifying Minority Business Enterprises as employer
            partners. Section 515 of the OAA requires that DOL conduct an analysis in SCSEP
            of the levels of participation and the outcomes achieved by minority individuals for
            each grantee by service area and in the aggregate. The results of this analysis are
            captured in the SCSEP Minority Report (Vol. 2), which provides a comparison of the
            participation of minority groups in SCSEP to their proportion in the population, and
            the employment outcomes of minorities in SCSEP compared to non -minorities. In
            drafting their state plans, state SCSEP grantees should refer to findings from the
            Minority Report and other relevant sources of equity data to help shape their
            strategies.

b. Performance Negotiations for the Senior Community Service Employment Program.
   The extent to which grantees meet or exceed the seven core performance measures, outlined
   in OAA section 513, is a factor used to determine program success (42 U.S.C. § 3056k).
   Successful program indicators include service to the most-in-need individuals, increased

2
  Executive Order 14091, Further Advancing Racial Equity and Support for Underserved Communities Through the
Federal Government, (Feb 2023).

   median earnings, and effective on-the-job experiences that lead to unsubsidized employment
   and/or increased employment outcomes for older workers. As outlined in 20 CFR 641.720,
   expected levels of performance for the first two years of the grant agreement are initially
   determined prior to the beginning of the first program year in the grant cycle. For grant years
   three and four, grantees may request to re-negotiate adjustments to these goals based on
   factors such as populations with barriers to employment, poverty levels, and unemployment
   in the areas served. ETA will use an objective statistical model to account for actual
   economic conditions and participant characteristics. At the conclusion of performance level
   negotiations, ETA will make available for public review the final negotiated expected levels
   of performance for each grantee. Performance-level negotiations for the Program Years
   2024 and 2025 will begin in the Spring of 2024.

c. Advice and Public Comment: SCSEP state grantees must make the four-year state plan
   available for public comment before submission. The Governor, or the Governor’s designee,
   should follow established state procedures to solicit and collect public comments on the state
   plan (20 CFR 641.350) and must seek the advice and recommendations of the following
   organizations and individuals with expertise in older worker issues (20 CFR 641.315):
   • Representatives of the state and area agencies on aging;
   • state and local boards under WIOA;
   • public and private nonprofit agencies and organizations providing employment services,
      including each grantee operating a SCSEP project within the state, except as provided
      under OAA sections 503(a)(9) and 506(a)(3) and 20 CFR 641.320(b);
   • social service organizations providing services to older individuals;
   • grantees under title III of OAA;
   • affected communities;
   • unemployed older individuals;
   • community-based organizations serving older individuals;
   • business organizations; and
   • labor organizations.

   The state plan must describe the procedures used to obtain such advice in public comments,
   including the timeline for ensuring an open and inclusive planning process (20 CFR
   641.325(f) – (g)), as well as the public comments received and a summary of the co mments
   (20 CFR 641.325(h)). National grantees also have planning responsibilities and must
   coordinate with state grantees in the states where they operate except as provided at 20 CFR
   641.320(b).

5. Inquiries. Please direct inquiries to the appropriate Regional Office.

6. References.

   •   Older Americans Act, Title V (42 USC 3056, et seq.), as amended through Public Law
       116-131 (Mar 25, 2020);
   •   Workforce Innovation and Opportunity Act (WIOA), Pub. L. 113-128, Sec. 121, Funding
       of One-Stop Infrastructure;
   •   Paperwork Reduction Act of 1995, Pub. L. 104-13 (May 22, 1995);

   •   TEGL 04-23, Requirements for Workforce Innovation and Opportunity Act (WIOA) State
       Plans for Program Years (PY) 2024 – 2027 (Oct 31, 2023);
   •   TEGL 18-22, Program Year (PY) 2023 Planning Instructions and Allotments for Senior
       Community Service Employment Program (SCSEP) State, Territorial, and National
       Grantees (May 15, 2023);
   •   TEN 16-22, The Employment and Training Administration is Implementing
       GrantSolutions for Grant Award Processing and the Payment Management System for
       Financial Reporting (Jan 18, 2023);
   •   TEGL 17-20, Senior Community Service Employment Program – Updated Guidance on
       Priority of Service, Durational Limits, and State Plan Submissions (Apr 15, 2021);
   •   TEGL 14-18, Attachment 9 Aligning Performance Accountability Reporting, Definitions,
       and Policies Across Workforce Employment and Training Programs Administered by the
       U.S. Department of Labor (DOL), Senior Community Service Employment Program
       (March 25, 2019);
   •   TEGL 17-16, Infrastructure Funding of the One-Stop Delivery System (Jan 18, 2017);
   •   TEGL 12-06, Revised Income Inclusions and Exclusions and Procedures for Determining
       Senior Community Service Employment Program (SCSEP) Eligibility (Dec 28, 2006);
   •   Federal Poverty Guidelines, Federal Register 88 FR 3424 (January 17, 2024); or HHS
       website at https://aspe.hhs.gov/poverty-guidelines; and
   •   SCSEP Performance Data Collection Approval (Office of Management and Budget No.
       1205-0040) (expiration date Nov 30, 2024).

7. Attachment(s).
      Attachment I: Required Contents of SCSEP Four-Year State Plan

                                                                                 Attachment I

                  Required Content of the SCSEP Four-Year State Plan

SCSEP grantees are required to comprehensively address the following programmatic areas and
elements in their SCSEP Stand-Alone State Plan. Please consider and incorporate the priorities
listed below, as well as the priorities included in Training and Employment Guidance Letter
(TEGL) 04-23 Requirements for Workforce Innovation and Opportunity Act (WIOA) State
Plans for Program Years (PY) 2024-2027 into your four-year strategic planning.

  I.   Economic Projections and Impact
         A. Discuss long-term projections for jobs in industries and occupations in the state
            that may provide employment opportunities for older workers. (20 CFR
            641.302(d)). Alternately, states may discuss this in the economic analysis section
            of strategic plan, if submitting a Unified or Combined State Plan.
         B. Describe how the long-term job projections discussed in the economic analysis
            section of strategic plan relate to the types of unsubsidized jobs for which SCSEP
            participants train and the types of skills training provided. (20 CFR 641.302(d))
         C. Discuss current and projected employment opportunities in the state (such as by
            providing information available under §15 of the Wagner-Peyser Act (29 U.S.C.
            491-2) by occupation), and the types of skills possessed by eligible individuals.
            (20 CFR 641.325(c)).

 II.   Service Delivery and Coordination
         A. Provide a detailed description of what actions will be taken to coordinate SCSEP
             with other programs, including:
              1. Actions to coordinate activities of SCSEP grantees with WIOA Title I
                   programs, including plans for using the WIOA one-stop delivery system and
                   its partners to serve individuals aged 55 and older. (20 CFR 641.302(g),
                   641.325(e))
              2. Actions to coordinate activities of SCSEP grantees with the activities carried
                   out in the State under the other titles of the OAA. (20 CFR 641.302(h))
              3. Actions to coordinate SCSEP with other private and public entities and
                   programs that provide services to older Americans, such as community and
                   faith-based organizations, transportation programs, and programs for those
                   with special needs or disabilities. (20 CFR 641.302(i))
              4. Actions to coordinate SCSEP with other labor market and job training
                   initiatives. (20 CFR 641.302(j))
              5. Actions the State will take to ensure that SCSEP is an active partner in the
                   one-stop delivery system and the steps the State will take to encourage and
                   improve coordination with the one-stop delivery system. (20 CFR 641.335)
           B. Describe the long-term strategy for engaging employers to develop and promote
               opportunities for the placement of SCSEP participants in unsubsidized
               employment. (20 CFR 641.302(e)) (Alternately, the State may discuss this in the
               State strategies section of strategic plan if submitting a Combined Plan.)
           C. Describe the long-term strategy for serving minorities under SCSEP. (20 CFR
               641.302 (c))

                                                                                     Attachment I

           D. Provide a list of community services needed and the places where these services
              are needed most. Specifically, the plan must address the needs and location(s) of
              those individuals most in need of community services and the groups working to
              meet their needs. (20 CFR 641.330)
           E. Describe the long-term strategy to improve SCSEP services, including planned
              long-term changes to the design of the program within the State, and planned
              changes in the use of SCSEP grantees and program operators to better achieve
              the goals of the program. This may include recommendations to the Department
              as appropriate. (20 CFR 641.302(k))
           F. Describe a strategy for continuous improvement in the level of performance for
              SCSEP participants’ entry into unsubsidized employment, and to achieve, at a
              minimum, the levels specified in OAA Section 513(a)(2)(E)(ii). (20 CFR
              641.302(f))

III.   Location and Population Served, including Equitable Distribution
           A. Describe the localities and populations most in need of the type of projects
               authorized by title V. (20 CFR 641.325 (d))
           B. List the cities and counties where the SCSEP project will take place. Include the
               number of SCSEP authorized positions and indicate if and where the positions
               changed from the prior year.
           C. Describe any current slot imbalances and proposed steps to correct inequities to
               achieve equitable distribution.
           D. Explain the state’s long-term strategy for achieving an equitable distribution of
               SCSEP positions within the state that moves positions from over-served to
               underserved locations within the State in compliance with 20 CFR 641.365 and;
              1. Equitably serves both rural and urban areas (20 CFR 641.302(a)(2) and
              2. Serves individuals afforded priority for service under 20 CFR 641.520. (20
                  CFR 641.302(a), 641.365)
           E. Provide the ratio of eligible individuals in each service area to the to tal eligible
               population in the state. (20 CFR 641.325(a))
           F. Provide the relative distribution of eligible individuals who:
              1. Reside in urban and rural areas within the state.
              2. Have the greatest economic need.
              3. Are minorities.
              4. Are limited English proficient.
              5. Have the greatest social need. (20 CFR 641.325(b)).
              6. Formerly incarcerated individuals, as defined in TEGL 17-20.
           G. Describe the steps taken to avoid disruptions to service for participants to the
              greatest extent possible, in positions redistribution, as provided in 20 CFR
              641.365; when new Census or other reliable data becomes available; or when
              there is over-enrollment for any other reason. (20 CFR 641.325(i), 641.302(b))