WIA annual report narrative guidance

Accessible letter PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2008/tegl14-00c2_acc.pdf

CLASSIFICATION
      EMPLOYMENT AND TRAINING ADMINISTRATION             WIA/Performance Reporting
                  ADVISORY SYSTEM                        System
             U.S. DEPARTMENT OF LABOR                    CORRESPONDENCE SYMBOL
                Washington, D.C. 20210                   PROTECH
                                                         DATE
                                                         September 25, 2008

TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 14-00, Change 2


TO:           ALL STATE WORKFORCE ADMINISTRATORS
              ALL STATE WORKFORCE LIAISONS

FROM:         BRENT R. ORRELL /s/
              Deputy Assistant Secretary

SUBJECT:      Workforce Investment Act (WIA) Annual Report Narrative

1. Purpose. To provide additional guidelines to the states about the WIA Annual Report
narrative and update procedures for submission of the report to the Employment and
Training Administration (ETA).

2. References. The Workforce Investment Act of 1998 (WIA), sections 136 and 185; 20
CFR Part 667.300(d), (e)(1)(2); TEGL-14-00, and TEGL 14-00, Change 1, Guidance on
the Workforce Investment Act (WIA) Management Information and Reporting System,
TEGL 14-03 and TEGL 14-03, Change 1, Performance Reporting Submission
Procedures for the Workforce Investment Act Standardized Record Data (WIASRD), the
Annual Report, and the Quarterly Reports under Title IB of the Workforce Investment Act
(WIA) for Program Year (PY) 2003 and 2004; TEGL 17-05 Common Measures Policy
for the Employment and Training Administration’s (ETA) Performance Accountability
System and Related Performance Issues; TEGL 13-06 and TEGL 13-06, Change 1,
Instructions for Workforce Investment Act and Wagner-Peyser Act State Planning and
Waiver Requests for Years Three and Four of the Strategic Five-Year State Plan
(Program Years 2007 and 2008); and OMB Circular No. A-94 Revised Guidelines and
Discount Rates for Benefit-Cost Analysis of Federal Programs.

3. Background. Each state that receives an allotment under WIA section 127 (youth
activities) or section 132 (adult and dislocated worker activities) of the Workforce
Investment Act of 1998 must prepare and submit an Annual Report of performance
progress to the Secretary in accordance with WIA sections 136 and 185.


 RESCISSIONS                                            EXPIRATION DATE
 None                                                   Continuing

There are two components to the WIA Annual Report: (1) the required performance
results, as specified in Form ETA 9091, the WIA Title 1B Annual Report (see TEGL 14-
00, Change 1, Attachment G, and the revised ETA 9091 approved by the Office of
Management and Budget (OMB) on 2/22/2006, OMB No. 1205-0420) at:
http://www.doleta.gov/performance/Guidance/WIA/WIA-Annual-Report-Specifications-
Expires-02282009.doc; and (2) a narrative report. This change to TEGL 14-00, focuses
on the narrative report and what states are encouraged to address.

4. WIA Annual Report Narrative. For the narrative component, states are encouraged
to develop an Annual Report that showcases their unique programs and recent
accomplishments. Such a report can describe these accomplishments in the most
advantageous manner to all stakeholders and partners, including Congress, Governors,
state legislators and workforce investment boards (WIB). States may want to highlight
“success stories” that focus attention on successful programming for participants,
employers, and communities. Messages from the Governor or information about State
WIB members, market analysis, strategies for improvement, and effects on major
industries may also be included.

States may want to include information from their Strategic Plans that highlight
innovative service delivery strategies, including program activities that support high
growth/high demand industries, the outcomes expected, as well as the actual outcomes
for their major customer segments. States may indicate actual Federal outlays for
selected activities, if the information is available.

WIA sections 136(d)(1)and (2) and 185(d) outline information that must be included in
the annual report narrative. Among these requirements is the status of state evaluation
activities, the cost of workforce investment activities relative to the effect of the activities
on the performance of participants, and the assurance that all required elements are
reported uniformly so that a state by state comparison can be made.

Status of State Evaluation Activities:
States should also include information about evaluation studies, if any were conducted, of
workforce investment activities as described in WIA section 136(e). The narrative
should include:

        ƒ   The questions the evaluation will/did address;
        ƒ   A description of the evaluation’s methodology; and
        ƒ   Information about the timing of feedback and deliverables.

These evaluation studies conducted under WIA title 1B are to promote, establish, and
implement methods for continuous improvement in the efficiency and effectiveness of
the statewide workforce investment system to improve employability for job seekers and
competitiveness for employers.




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Costs of Workforce Investment Activities:
States should explain how the mix of services for adults, dislocated workers, and youth
activities affected the outcomes. For adults and dislocated workers, the activities that
states may wish to address are core, intensive, and training services. For youth activities,
states may wish to include information about front-end costs (e.g., intake, assessment and
case management) and aggregated direct service costs for the ten youth program elements
described in WIA section 129(c)(2).

In TEGL 14-00, Change 1, Attachment H, WIA Financial Statement and Guidance on
Cost-Effectiveness Analysis: (http://wdr.doleta.gov/directives/attach/TEGL14-00-
ch1AttachH.pdf), ETA provided states one example of how to address the cost of
workforce activities relative to the effect of the activities on the performance of
participants. Over the years, however ETA has observed a varying spectrum of methods
for calculating and presenting cost-related activities and measures in the WIA State
Annual Reports, often without definitions or explanations about how the results were
calculated.

Among the most common cost calculations reported by the states is the “Cost per
Participant” indicator. ETA recognizes that such an indicator may not fully demonstrate
improved effectiveness, efficiencies, nor explain how the allocation of resources affected
the outcomes. Further, moving towards implementation of indicators that demonstrate
improved effectiveness and efficiency related to costs requires thoughtful planning,
research, implementation, and review.

ETA is conducting a study to determine how costs and other measures of efficiency
might be utilized to assess overall program effectiveness in the near future. To that end,
the Attachment to this TEGL offers further examples of potential cost measures. ETA
encourages states to include an explanation on what costs, allotments, obligations, or
expenditures have been considered for cost measures in the narrative. States are also
encouraged to discuss how the costs are calculated in terms of system measures, program
measures, and the numbers of overall participants, exiters, or particular services received.
This information may be displayed in charts or contained in a narrative with explanations
on how the indicators are defined and results are calculated.

Additional Information:
In addition to the required components of the WIA Annual Report narrative, ETA
encourages states to include the following information in its narrative:

   A. A discussion of how the state is using the waiver process to improve performance,
      including waivers approved, how the waiver has changed the activities of the state
      and local areas, and how activities carried out under the waivers have directly or
      indirectly affected state and local area performance.

   B. A discussion of the activities funded by the state’s discretionary (“15 percent”)
      funds. Table N of ETA 9091, requires states to provide the cost of state-wide
      activities, including mandatory and allowable state-wide activities. In this section



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       of the narrative report, states may describe activities undertaken--in whole or in
       part--with their discretionary funds, and how those activities directly or indirectly
       affect performance.

   C. A discussion of the initiatives and activities outlined in the WIA and Wagner-
      Peyser Act State Strategic Plan to improve performance.

       TEGL 13-06, provided instructions to states for modifying their existing State
       Plans to extend the life of their Plans to cover two additional years, Program
       Years 2007 and 2008. In TEGL 13-06, ETA updated the section entitled
       “National Strategic Direction” of the Planning Guidance (Stand Alone and
       Unified) issued on April 12, 2005. The revised “National Strategic Direction”
       outlined the following priorities:

       • Build a demand-driven system within a regional economic development
         context;
       • Implement system reform, with streamlined governance and alignment of
         economic and workforce development regions;
       • Enhance an integrated service delivery system that focuses on services rather
         than programs;
       • Advance a vision for serving youth most in need;
       • Expand the Workforce Information System as the foundation for strategic
         planning and career guidance;
       • Strengthen partnerships with community and faith-based organizations;
       • Increase the use of flexibility provisions in WIA to design innovative programs
         that fuel regional economic competitiveness and create employment
         opportunities for career seeker customers; and
       • Utilize an integrated and enhanced performance accountability system.

       In their Strategic State Plans, many states described initiatives that supported the
       Department’s strategic direction, some of which were in the preliminary stages.
       States may have progressed considerably in implementing such initiatives after
       submitting their State Plan. This section of the narrative may be used to describe
       state activities in the time periods between State Plans. States may provide an
       updated status of these initiatives and activities, including a discussion of how
       these initiatives have directly or indirectly affected performance. States may also
       use this portion of the narrative to describe activities or initiatives that began after
       the submission of the Strategic State Plan.

5. Due Date. The report is due no later than October 1, following each program year.
For example, the report for Program Year (PY) 2007 will be due October 1, 2008. The
Annual Report, which includes the required performance reports and the narrative, will
reflect accurate performance outcome information that becomes available by the time the
Annual Report for the program year is due. The failure to submit the performance
progress reports by the deadline may lead to incentive grant ineligibility for a state.



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6. Submission. An electronic copy of the WIA State Annual Report narrative is due to
[email protected] by October 1. States should also submit an electronic copy to their
respective ETA Regional Administrator. ETA will publish each state’s report on the
Internet. Acceptable formats include WordPerfect, Microsoft Word, Acrobat, and other
commonly used formats. In an effort to be more “green,” hard copies of the report may
be submitted, but are no longer required.

7. Action Required. Distribute this TEGL to those personnel responsible for
developing the WIA Annual Report narrative, including personnel responsible for
performance reporting, and to all local areas responsible for administering the WIA
programs.

8. Inquiries. Questions concerning this TEGL should be directed to your appropriate
Regional Office.

9. Attachment. Cost of Program Activities Relative to the Effect of Activities on
Participant Performance.




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Attachment PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2008/tegl14-00c2a1.pdf

ATTACHMENT

          Costs of Program Activities Relative to the Effect of Activities on
                            Participant Performance

Examples of costs in relation to effect of participant services and outcomes

(1) Unit Costs = total cost by service / total participation by service

          Expenditures                  Participation                     Unit Costs
   Core   Intensive Training     Core    Intensive Training     Core      Intensive Training
    $         $        $          #          #        #          $            $        $



(2) Cost per Participant = total costs by year / total participants in the same year

(3) Cost per Exiter = total costs by year / total exiters in the same year

(4) Cost per Entered Employment = total costs by year / total exiters entering
    employment in the same year

(5) Cost per Retained Employment = total costs by year / total number of participants
    retained in the same year.

(6) Cost per Average Earnings Increase = total costs by year / average earnings increase
    in the same year

(7) Cost per exiter receiving a particular service (such as an intensive or training service)
    = total costs per one or more particular services by year/ total number of exiters who
    received the same particular services in the same year

(8) Cost per positive outcome (e.g., placed in a job, the military, a registered
    apprenticeship program, education program, or advanced training program) = total
    cost by year / total number of exiters with a positive outcome in the same year

(9) Cost per recognized certificates received = total costs by year / total number of
    recognized certificates received in the same year.

(10) Return on Investment (ROI) = as defined on an annual basis for exiters with positive
   outcomes including certificates attained.




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