Regional Innovation Grants under WIA emergency grants

Accessible letter PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2007/TEGL16-03_ch5_acc.pdf

CLASSIFICATION
 EMPLOYMENT AND TRAINING ADMINISTRATION              National Emergency Grants
             ADVISORY SYSTEM
                                                     CORRESPONDENCE SYMBOL
        U.S. DEPARTMENT OF LABOR
             Washington, D.C. 20210                  ONR
                                                     DATE April 27, 2007


TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 16-03, Change 5

TO:          ALL STATE WORKFORCE AGENCIES
             ALL STATE WORKFORCE LIAISONS
             ALL STATE RAPID RESPONSE COORDINATORS

FROM:        EMILY STOVER DeROCCO /s/
             Assistant Secretary

SUBJECT:     Regional Innovation Grants - Use of National Emergency Grant Funds
             Under the Workforce Investment Act, as Amended, to Support Regional
             Strategic Planning Activities Related to Major Economic Dislocations

1. Purpose. To announce the availability of Regional Innovation Grants, utilizing
   limited National Emergency Grant (NEG) funds, to state workforce agencies and
   local workforce investment boards (WIBs) to initiate comprehensive, sustainable,
   and integrated regional planning using the Workforce Innovation in Regional
   Economic Development (WIRED) conceptual framework and principles. The
   activities from this grant will result in a strategic and transformative regional plan
   that, when implemented, will counteract the effects of events resulting from an
   economic shock in a region and will prepare workers and businesses to compete and
   succeed in a global economy.

2. References.

   •   Workforce Investment Act (WIA), section 173, 29 U.S.C. 2918
   •   WIA Regulations at 20 CFR Part 671
   •   Training and Employment Guidance Letter (TEGL) No. 16-03, "National
       Emergency Grant Policy Guidance,” issued January 26, 2004
   •   “Workforce Investment Act: National Emergency Grants – Application
       Procedures,” Federal Register Notice, 69 Fed. Reg. 23051(April 27, 2004)
   •   Workforce Innovation in Regional Economic Development (WIRED) Web site
       www.doleta.gov/wired, WIRED Fact Sheet, WIRED Solicitation for Grant
       Applications-3rd Generation (SGA\DFA PY-06-09)

 RESCISSIONS                                         EXPIRATION DATE
                                                                   continuing

3. Background. TEGL No. 16-03, issued on January 26, 2004, contains policies for
   submitting applications for NEG funds and for operating NEG projects. The TEGL
   identified four types of applications, including “community impact.” This TEGL
   modifies the description of community impact projects to incorporate Regional
   Innovation Grants (RIGs) pursuant to the Secretary's authority to use NEG resources
   to approve other types of projects “where it can be clearly demonstrated that such
   adjustments will achieve a greater positive benefit for the workers and/or
   communities being assisted” (20 CFR 671.170(b)(5)).

   WIRED Overview
   Global competition, a 21st century economic reality, is typically seen as a national
   challenge, but the front lines of the battlefield are regional, where companies,
   workers, researchers, educators, entrepreneurs and governments come together to
   create a competitive advantage. That advantage stems from the ability to transform
   new ideas and new knowledge into advanced, high quality products or services – in
   other words, to innovate. And those regions that are successful demonstrate the
   ability to network innovation assets – people, institutions, capital and infrastructure
   – to generate growth and prosperity in the region’s economy.

   The U.S. Department of Labor (DOL), Employment and Training Administration
   (ETA) has undertaken an initiative called Workforce Innovation in Regional
   Economic Development (WIRED) to create these conditions in regions, integrating
   economic and workforce development activities and demonstrating that talent
   development can drive economic transformation in regional economies across the
   United States.

   Conceptual Framework
   The WIRED Initiative is applying the following five-step conceptual framework to
   the activities taking place in each of the regions where investments have been made.

            1. Define the regional economy by identifying the surrounding communities that
      share common characteristics, looking beyond traditional political boundaries.

            2. Create a leadership group that represents the major assets of a region and
      provides a forum for those leaders to craft a region-wide economic vision and
      strategy.

            3. Conduct a regional assessment to fully map the area’s assets and identify the
      strengths, weaknesses, opportunities and risks based on those assets.

            4. Develop an economic strategy and corresponding talent development strategy
      with an implementation plan that identifies specific goals and tasks, providing
      both a vision of the region’s economic future and a blueprint for how to achieve
      that vision.

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            5. Identify resources -- both to support the region’s plan and invest in the region’s
      talent and economy -- from a wide range of sources including employers,
      foundations, angel and venture capital networks, and federal, state and local
      governments.

   This five-step framework is not a linear process, instead requiring constant revision
   and reevaluation. Traditional systems and structures must be challenged in this
   process and all programs and resources realigned to support the region’s economic
   and talent development strategy.

4. Purpose of NEG Regional Innovation Grants. National Emergency Grants are
   discretionary grants awarded by the Secretary of Labor, pursuant to Section 173 of
   WIA, as amended. Funds are to be awarded to provide employment and training
   assistance for dislocated workers as authorized under WIA Section 173 and 20 CFR
   part 671, and are intended to temporarily expand service capacity at the state and
   local levels by providing time-limited assistance in response to significant
   dislocation events.

   The WIRED conceptual framework offers a strategic planning solution that greatly
   enhances and complements the current approach to NEGs and takes the workforce
   system’s response to major dislocation events to another level. ETA believes that a
   well developed regional strategy that actively engages all the key players and
   leverages their collective assets and resources to devise innovative strategies that
   focus on infrastructure, investments, and talent development, instead of a narrow
   focus on temporary services and infrastructure expansion, will facilitate a quality,
   timely, and effective system-wide response to unanticipated economic events.
   Studies of community actions taken to respond to major dislocations have shown
   that areas which undertook effective timely planning successfully transitioned
   workers and workforces into newly focused economies, while others with less
   inclusive strategic planning languished in trying to recover economically.

   To that end limited NEG funds are being made available for Regional Innovation
   Grants to assist state workforce agencies and WIBs in the development of a
   comprehensive, integrated, strategic regional plan, based on the WIRED strategic
   conceptual framework, with a focus on addressing present and future significant
   economic dislocation events. In order to qualify for these funds, state workforce
   agencies and WIBs must develop the application and operate any grant approved in
   concert with other key regional stakeholders. By the term of the grant, states and
   WIBs will have a complete, transformative strategy that will enable them to identify
   and secure appropriate resources and help them implement a strategy that will
   shorten or eliminate the time from worker dislocation to reemployment and,
   ultimately, support regional economic growth and competitiveness and workers’
   employment and advancement.


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5. Rapid Response Assistance. As with all mass layoffs and plant closures, funds
   reserved by the Governor to initiate early intervention assistance following the
   public announcement of a mass layoff or closure (with or without WARN) will serve
   as the initial state contribution to grant activities undertaken for states that apply for
   a NEG Regional Innovation Grant. The application will explain how the services
   and activities will be integrated. If the regional labor market affected is an inter-
   state area, the application will discuss how the multi-state Rapid Response will
   interact. Rapid Response funds will play another key role in this initiative as well:
   pursuant to WIA section 134(a)(2)(A)(ii) states must provide additional assistance to
   local areas to supplement local formula dislocated worker program resources.

6. General Requirements and Expectations. The information in this section of the
   TEGL provides the requirements and expectations for NEG Regional Innovation
   Grants:

   a. Prerequisites. All of the following prerequisites must be met and fully
      addressed in the application in order to apply for NEG Regional Innovation
      Grants:

       ● Have a significant worker dislocation or a pending dislocation as shown
         through a general announcement of a significant mass layoff or plant closure,
         or an issuance of WARN, or have an unexpected event such as a disaster,
         including all natural and manmade disaster events that the Federal
         Emergency Management Agency (FEMA) has declared an area eligible for
         public assistance.
       • Commit state and local WIA Dislocated Worker program resources, including
         Rapid Response funds, to provide training or retraining services for the
         affected workers, as well as staff-assisted core and intensive services. The
         NEG requirement of 70 percent expenditure of all available WIA Dislocated
         Worker program funds will be waived for the Regional Innovation Grants.
       • Commit to utilizing the pre-layoff window authorized by WIA section
         101(9)(B) to provide core, intensive and retraining services for impacted
         workers to limit the period of transition to new employment. This includes
         notices of expected layoff, discussed in TEGL No. 16-03, Change 4.
       • Show evidence of knowledge of the WIRED principles and concepts.
       • Demonstrate understanding of the labor market and economic landscape of
         the region.
       • Show evidence of support by regional key players including workforce and
         economic development entities, public education systems, and employers.

   b. Allowable Use of Funds. It is expected that the use of the NEG Regional
      Innovation Grants to assist workers being dislocated by a mass layoff, plant
      closure, or disaster may include, but not be limited to, the following activities:


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   •   Bringing together senior leaders representing critical assets and systems
       throughout the region to develop and design plans and policies, leading to
       regional transformation that responds to the current and future needs of
       workers impacted by major dislocations;
   •   Preparing and developing an exhaustive inventory to map all of the regional
       assets;
   •   Conducting outreach to potential stakeholders;
   •   Establishing systems and organizational structures, including additional staff
       resources necessary to work with partners in the region and to manage the
       process and plan development;
   •   Developing systems and structures that will be ongoing and responsive to
       future dislocation events;
   •   Conducting a detailed assessment to identify the region’s strengths,
       weaknesses, opportunities and threats (S.W.O.T.);
   •   Identifying the social networks supporting the proposed regional strategy;
   •   Identifying and facilitating plans to enhance, as appropriate, current and
       long-range regional educational capacity to meet the skills needed to qualify
       for high-demand/growth occupations being developed in the region for
       workers affected by dislocation events;
   •   Leveraging and aligning resources as part of the planning effort to ensure
       that efforts can move from planning to implementation;
   •   Developing working agreements with key regional stakeholders;
   •   Developing effective and regular external and internal communications
       among planning partners and the region; and
   •   Meeting other indigenous needs of the region.

c. Regional Implementation Plan. By the term of the grant, it is ETA's expectation
   that strategic planning activities will result in a completed regional
   implementation plan, supported by secured resources and short and long term
   talent development strategies and assistance to dislocated workers. The WIRED
   implementation plan will demonstrate the region's approach regarding:

   ● Key goals in the WIRED transformation process;
   ● Key strategies and activities;
   ● Governance of the project and how it will operate;
   ● How each of the component parts of the project will be integrated;
   ● Role of each partner in the delivery of specific activities;
   ● Time schedule on which each of these activities will take place;
   ● Performance metrics that will be used to measure results;
   ● Nature and level of resources that will be allocated; and
   ● How the region will ensure the education, workforce, and economic
     development systems will be fully integrated.


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    d. National Emergency Grant Assistance. RIG grantees may also request NEG
       funds (subject to availability) to provide re-employment related assistance to
       individuals who meet the criteria established under WIA section 101(9) or (10)
       and the NEG policies contained in TEGL No. 16-03. States and WIBs that are
       awarded Regional Innovation Grants may apply for NEG funding either
       simultaneously while developing a regional implementation strategy/plan or
       after the RIG is completed, depending on the immediate needs of the state and
       local areas to adequately respond to workers involved in a dislocation event. In
       the event that there is significant advance notification of worker dislocation
       and/or early intervention, and pre-training services for impacted workers, such
       as assessments and career guidance, can commence before a NEG is needed, ETA
       encourages RIG grantees to complete their regional implementation
       strategy/plan before applying for a NEG. ETA believes that developing a
       regional strategy that aligns the workforce investment, economic development
       and educational needs and assets of the region will not only lead to a more
       effective and strategic use of NEG funds in the present and future but will also
       provide better outcomes for workers and businesses in those transitioning
       economies.

    7. Eligible Applicants. Applicants are limited to state workforce investment agencies
    or a multi-state agency consortium, a local WIB or a consortium of local workforce
    boards. Joint applications for multi-state regions or a consortium of local boards
    must identify the entity that will be the grant recipient, and all applicants must
    identify the project operator/subrecipient, if applicable.

    8. Award Limit. The Department will award up to $250,000 for any one regional
    project.

    9. Administrative Cost Limitations. For awards made pursuant to this notice, the
    administrative cost limit will be negotiated for each grant under 20 CFR 170(b)(2).

10. Requirements for Submitting NEG Regional Innovation Grants. All applications
    are to be submitted through the NEG electronic system (eSystem). If an entity does
    not have a NEG eSystem password and PIN, please contact Jeanette Provost at (202)
    693-3359 or at [email protected].

    The application utilizes the following identifiers:

    •   NEG Project Type: Regular
    •   Application Type: Planning/Regional Innovation Grants
    •   Application components include:
        • Standard Form (SF)–424, Application and Reporting Form
        • Project Synopsis Form
        • Employer Data Form

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        •   Project Operators Form
        •   A Project Narrative that is double-spaced, with a ten page limit that outlines
            the type of planning activities that will be undertaken, and at a minimum
            includes:
            o Identification of regional economy including factors that contribute to the
                formation (economic interdependence, assets, and/or networks)
            o Preliminary assessment of labor market impacts from major dislocations
                in the region
            o Identification of a core regional leadership group and key project partners
            o The collaboration and coordination planned and the roles of strategic
                partners
            o Proposed and/or actual leveraged resources for the implementation phase
            o Services expected to be provided to eligible dislocated workers, using
                WIA and other resources, during the planning and implementation phase
            o Timeline for completion and implementation of the regional strategy
            o Description of the type of planning activities to be undertaken and
                services to be procured with grant funds
            o Proposed transformational strategies to be implemented, if known,
                including the identification of target industries and economic sectors
            o Projected outcomes and impacts for planning and implementation of the
                regional strategy
            o SF 424A Budget Information Form and Budget Narrative

    •   The Office of National Response, Division of Worker Dislocation and Special
        Response (DWDSR), will provide technical assistance regarding the use of the
        NEG eSystem and how to complete the application process, if needed.

11. Deadline for Submitting Applications. Applications will be taken on a rolling,
    continual basis. All applications will be reviewed within 30 working days and
    notification of award will be provided no later than 60 working days after the
    application is submitted into the NEG eSystem.

12. Grant Period. The grant period for RIGs is 18 months from the date of execution of
    the grant documents. ETA may approve a no-cost extension to grantees, with
    significant justification, for an additional period of time at its own discretion.
    Grantees that have completed the implementation plan before the term of the grant
    and have funds remaining, may use the available funds for employment and
    training services to impacted workers, if the grantee’s request for such a
    modification is approved by the Grant Officer.

13. Reporting. In addition to the quarterly financial reporting requirements for all
    NEG projects, pursuant to 20 CFR 671.170(b)(4), a quarterly narrative progress
    report will be required to be submitted to the designated Federal Project Officer.


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14. Performance. Performance will be based upon the successes achieved in relation to
    the goals established by states and WIBs, and approved by the Grant Officer and
    reported in the quarterly progress reports.

15. Technical Assistance. ETA is compiling resource tool kits, such as a regional
    assessment tool, asset mapping tool, and promising practices regarding workforce
    and economic development strategies. These resources will be disseminated widely
    to the workforce investment system and economic development community and
    will assist RIG grantees with the development of their regional plans.

16. Action Required. Please distribute this information to all applicable state and local
    officials, including state and local Workforce Investment Board chairs.

17. Inquiries. All inquiries should be addressed to the Office of National Response,
    Division of Worker Dislocation and Special Response Regional Innovation Grant
    Coordinators, Sharon McDowell, at (202) 693-3537 and Nancy Williams, at (202) 693-
    3523 or to Fred Tello, Grant Officer, at (202) 693-3333.


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