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Fiscal year 2018 trade assistance grant applications
Summary ETA instructed state agencies to submit an SF-424 through Grants.gov to access fiscal year 2018 Trade Adjustment Assistance Training and Other Activities grants. States continued using standard procedures for TRA and A/RTAA funds. The letter describes grant application steps, timelines and terms in three attachments. ETA now lists this fiscal-year advisory as Canceled.
Document
Federal guidance
Agency
U.S. Department of Labor, Employment and Training Administration (ETA)
Document number
TEGL No. 18-17
Date issued
June 15, 2018
Status
Withdrawn
ETA lists this FY 2018 advisory Canceled as of 2026-10-24, although its PDF prints Expiration Date: Continuing.
Status last verified October 24, 2026
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This document has been withdrawn. Ezel checks what federal law requires today, under current federal labor law, and answers your situation with citations.
About this page: The full text below is the official document from U.S. Department of Labor, Employment and Training Administration (ETA). Ezel adds the plain-English summary and tracks the document's status. The official source linked on this page is authoritative for any reliance.
CLASSIFICATION
EMPLOYMENT AND TRAINING ADMINISTRATION Trade Adjustment Assistance
ADVISORY SYSTEM CORRESPONDENCE SYMBOL
U.S. DEPARTMENT OF LABOR OTAA
Washington, D.C. 20210 DATE
June 15, 2018
ADVISORY: TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 18-17
TO: STATE WORKFORCE AGENCY ADMINISTRATORS
STATE WORKFORCE LIAISONS
AFFILIATE AMERICAN JOB CENTER MANAGERS
COMPREHENSIVE AMERICAN JOB CENTER MANAGERS
STATE WORKFORCE ADMINISTRATORS
STATE AND LOCAL WORKFORCE BOARD CHAIRS AND DIRECTORS
STATE LABOR COMMISSIONERS
RAPID RESPONSE COORDINATORS
TRADE ADJUSTMENT ASSISTANCE LEADS
FROM: ROSEMARY LAHASKY /s/
Deputy Assistant Secretary
SUBJECT: Fiscal Year (FY) 2018 Trade Adjustment Assistance (TAA) Training and Other
Activities (TaOA) Grant Management Guidance
1. Purpose. To assist State Workforce Agencies (SWAs) or agencies designated by Governors
as “Cooperating State Agencies” (CSAs) (also jointly referred to as “States,” “Recipients,”
“Grantees,” “Applicant,” or “You”) gain access to FY 2018 TAA Program TaOA funds by
completing and submitting Standard Form (SF) 424, Application for Federal Assistance,
through www.grants.gov.
2. References.
Consolidated Appropriations Act, 2018 (Pub. L. 115-141);
Chapter 2 of Title II of the Trade Act of 1974, as amended (Pub. L. 93-618) (Trade
Act) (codified at 19 U.S.C. §§ 2271 et seq.);
20 CFR part 618, Trade Adjustment Assistance, Subpart I;
Training and Employment Guidance Letter (TEGL) No. 15-12, Delivery of Benefits
and Services to Trade Adjustment Assistance (TAA) Program Recipients through the
American Job Center Network Delivery System;
TEGL No. 05-15, Operating Instructions for Implementing the Amendments to the
Trade Act of 1974 enacted by the Trade Adjustment Assistance Reauthorization Act of
2015 (TAARA 2015);
TEGL No. 05-15, Change 1 to the Trade Adjustment Assistance (TAA) Operating
Instructions for Implementing the Amendments to the Trade Act of 1974 enacted by
the Trade Adjustment Assistance Reauthorization Act of 2015 (TAARA 2015);
RESCISSIONS EXPIRATION DATE
None Continuing
TEGL No. 16-16, One-Stop Operations Guidance for the American Job Center
Network; and
TEGL No. 17-16, Infrastructure Funding of the One-Stop Delivery System.
3. Background. The Trade Act Title II, Chapter 2, established the Trade Adjustment Assistance
for Workers (TAA), Alternative Trade Adjustment Assistance (ATAA), and Reemployment
Trade Adjustment Assistance (RTAA) programs. These programs, collectively referred to as
the Trade Adjustment Assistance Program (TAA Program), provide assistance to workers who
have been adversely affected by foreign trade. Under Section 239 of the Trade Act, the states,
as agents of the United States, provide benefits and services to eligible workers certified to
receive TAA Program benefits. Each state provides these services through one or more state
agencies, one of which is designated as the CSA in an agreement between the state’s Governor
and the Secretary of Labor (Secretary); this agreement is known as the Governor-Secretary
Agreement1. The Governor-Secretary Agreement incorporates by reference, the TAA
Program Annual Funding Agreement (AFA), explains program requirements, limitations on
the use of TaOA funds, assurances, and other important grant provisions that states must
comply with in order to access TAA Program funding. The Standard Terms and Conditions
template that governs the TAA Program grant award is available at:
https://doleta.gov/grants/resources.cfm. Attachment 3 of this TEGL sets out the TAA
Program Requirements.
Until FY 2018, AFAs were executed between the Department of Labor (“Department,”
“DOL,” “Grantor,” or “We”) and each state at the beginning of each fiscal year by having
each CSA return a signed SF-424, Application for Federal Assistance (Office of Management
and Budget Approval No. 4040-0007), via email to the Department’s Office of Grants
Management (OGM). Effective with the current FY 2018 funding cycle, the Department
is streamlining the TaOA grant funding process by requiring each state to submit the
signed SF-424 through www.grants.gov. The period of performance for the FY 2018 TAA
Program grant awards continues until September 30, 2020.
4. Scope. This guidance provides instructions to states on the required process for accessing FY
2018 TaOA funds. States should continue to follow standard procedures, as they have
previously, in order to access FY 2018 TRA and A/RTAA funds and contact their assigned
Federal Project Officer (FPO) if they have questions regarding these funds. The funding is
made available under CFDA Number 17.245 Trade Adjustment Assistance for TaOA, TRA,
ATAA, and RTAA.
5. Action Requested. SWA Administrators are requested to immediately provide copies of this
guidance to all staff involved in the preparation and submission of the SF-424s for TAA
Program grant awards. SWA Administrators are asked to ensure that the staff person or
persons responsible for performing these activities are fully aware of the required FY 2018
TAA Program TaOA grant application processes and timelines. DOL is requesting that each
SWA Administrator ensure that the SF-424 for TaOA grant funding for their state is submitted
to ETA via www.grants.gov within 30 calendar days from the issue date on this TEGL.
1 In FY 2016, after the enactment of the TAARA 2015, the Governor-Secretary Agreements were revised and re-executed.
6. Application Process. The Department strongly encourages states to begin the submission
process through www.grants.gov promptly, as it is often time consuming and could take up to
four weeks for successful completion. States must have the Duns & Bradstreet (DUNS)
Number of the organization responsible for managing the grant award, which must be
registered with System for Award Management, otherwise known as www.SAM.gov
(formerly CCR) before submitting the SF-424. In addition to other information requested on
the SF-424, each state must: 1) enter the announcement number of this TEGL, ETA-TEGL
No. 18-17, into the opportunity number field of the application, and 2) enter the applicable
amount set out for the state in Attachment 1 of this TEGL as the estimated dollar amount of
funds requested for FY 2018. Attachment 2 of this TEGL provides detailed instructions for
submitting the SF-424 and includes links to resources, including a step-by-step guide and
other information available at www.grants.gov.
7. Grant Award Process. Upon receiving the application submitted by a State through
www.grants.gov, OGM, in conjunction with OTAA, will review the application materials and
request revisions as necessary. Once approved, the application will be incorporated with the
AFA, which will be executed by the Department’s Grant Officer and transmitted to the
Authorized Representative and Point of Contact identified on the submitted SF-424. Any
subsequent changes to the information submitted on the SF-424 (people identified, address,
etc.) must be submitted to the Department as a request to modify the AFA via the assigned
FPO. Links to reporting databases, as well as general guidance on how to administer a grant
award, may be found in the Grantee Handbook available at:
https://doleta.gov/grants/award_management.cfm.
8. Inquiries. For further information about this announcement, please contact Rahel Bizuayene,
Grants Management Specialist, Office of Grants Management, at (202) 693-3438. Applicants
should e-mail all technical questions to [email protected] and must specifically
reference ETA-TEGL No. 18-17, along with their question(s), and include a contact name,
fax, and phone number with the inquiry. This TEGL is available at https://www.grants.gov.
9. Attachments.
• Attachment 1: Estimated FY2018 TaOA Funding Levels
• Attachment 2: Additional Submission Instructions
• Attachment 3: Program Requirements
State
Attachment (official PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2018/TEGL_18-17_Attachment_1_Acc.pdf)
Attachment 1:
FY 2018 Training and Other Activities’ (TaOA) Program Funds Estimates1
State Amount
Alabama $4,891,001.00
Alaska $181,000.00
Arizona $4,220,322.00
Arkansas $7,156,456.00
California $19,495,668.00
Colorado $3,843,904.00
Connecticut $3,372,617.00
Delaware $470,547.00
District of Columbia $-
Florida $3,604,124.00
Georgia $5,063,171.00
Hawaii $819,734.00
Idaho $2,764,234.00
Illinois $19,977,908.00
Indiana $9,004,438.00
Iowa $11,482,212.00
Kansas $3,759,932.00
Kentucky $14,632,634.00
Louisiana $1,299,644.00
Maine $6,107,933.00
Maryland $1,461,638.00
Massachusetts $9,286,501.00
Michigan $13,838,954.00
Minnesota $12,297,948.00
Mississippi $1,445,909.00
Missouri $12,852,390.00
Montana $798,161.00
Nebraska $873,457.00
Nevada $-
New Hampshire $646,258.00
New Jersey $6,433,947.00
New Mexico $5,461,461.00
New York $12,624,318.00
North Carolina $9,472,380.00
North Dakota $60,700.00
Ohio $12,829,450.00
Oklahoma $9,312,836.00
Oregon $17,635,020.00
Pennsylvania $58,776,517.00
Puerto Rico $1,925,374.00
Rhode Island $1,031,624.00
South Carolina $8,718,192.00
South Dakota $1,209,306.00
Tennessee $3,931,251.00
Texas $35,489,107.00
Utah $3,257,981.00
Vermont $543,338.00
Virginia $2,137,416.00
Washington $13,840,022.00
West Virginia $3,148,350.00
Wisconsin $7,816,429.00
Wyoming $115,286.00
Total $391,419,000
1
States must enter the amounts provided in this chart on their SF-424 as their FY 2018 TaOA estimate. As funds become available, the
Department will determine the actual amount of FY 2018 TAA Program TaOA funds each state will receive by applying the
methodology and formula as provided in the applicable regulations specified under 20 CFR §618.900.
Attachment (official PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2018/TEGL_18-17_Attachment_2_Acc.pdf)
Attachment 2:
Additional Submission Instructions
Recognizing that submission of documentation for TAA Program funding for FY 2018 is a
change from previous procedure, the following is provided as additional instruction beyond
what is already available on the www.grants.gov website. In the event you encounter a
problem with www.grants.gov and do not find a resolution in any of the other resources, call
1-800-518-4726 or 606-545-5035 to speak to a Customer Support Representative, or email
[email protected].
States are strongly advised to initiate the application submission and validation process via
www.grants.gov as soon as possible and to plan for time to resolve technical problems.
Please note that validation does not mean the state’s application has been accepted as
complete or has been accepted for review. Rather, www.grants.gov only verifies the
submission of certain parts of the application.
Before you begin to write the application, the Department strongly recommends that you
initiate and complete the “Get Registered” registration steps at:
https://www.grants.gov/web/grants/register.html.
Before registering, you should read through the registration process carefully. These steps
can take as many as four weeks to complete, and this time should be factored into plans for
timely electronic submission in order to avoid unexpected delays that could result in the
rejection of your application. The www.grants.gov website also contains the Step-By-Step
Guide to Organization Registration to help applicants walk through the process.
The next step in the registration process is creating a username and password with
www.grants.gov to become an Authorized Organizational Representative (AOR). AORs will
need to know the DUNS Number of the organization for which they will be submitting
applications to complete this process. To read more detailed instructions for creating a
profile on www.grants.gov visit:
https://www.grants.gov/web/grants/applicants/registration.html.
After creating a profile on www.grants.gov, the E-Biz Point of Contact (E-Biz POC), a
representative from your organization who is the contact listed for SAM, will receive an
email to grant the AOR permission to submit applications on behalf of their organization.
The E-Biz POC will then log into www.grants.gov and approve an individual as the AOR,
thereby giving him or her permission to submit applications. To learn more about AOR
Authorization visit: https://www.grants.gov/web/grants/applicants/registration/authorize-
roles.html or to track AOR status visit:
https://www.grants.gov/web/grants/applicants/registration/track-role-status.html.
An application submitted through www.grants.gov constitutes a submission as an
electronically signed application. The registration and account creation with
www.grants.gov, with E-Biz POC approval, establishes an AOR. When an application is
submitted through www.grants.gov, the name of the AOR on file will be inserted into the
signature line of the application. SWAs must register the individual who is able to make
legally binding commitments for your organization as the AOR. This step is often
missed and it is crucial for valid submissions.
When a registered applicant submits an application with www.grants.gov, an electronic time
stamp is generated within the system when the application is successfully received by
www.grants.gov. Within two business days of application submission, www.grants.gov will
send the applicant two email messages to provide the status of the application’s progress
through the system.
The first email, sent almost immediately, will contain a tracking number and will
confirm receipt of the application by www.grants.gov.
The second email will indicate that the application has either been successfully
validated or has been rejected due to errors.
If the applicant’s registration in SAM is expired, www.grants.gov will reject the application.
Only applications that have been successfully submitted in www.grants.gov by the deadline
and subsequently successfully validated will be considered. It is the state’s sole
responsibility to ensure a timely submission. While it is not required that an application be
successfully validated before the deadline for submission, it is prudent to reserve time before
the deadline in case it is necessary to resubmit an application that has not been successfully
validated in www.grants.gov. Therefore, enough time should be allotted for submission (two
business days) and, if applicable, additional time to address errors and receive validation
upon resubmission (an additional two business days for each ensuing submission).
To ensure consideration, the components of the application must be saved as .doc, .docx, .xls,
.xlsx, .rtf or .pdf files. If submitted in any other format, the applicant bears the risk that
compatibility or other issues may prevent a state’s application from being considered. The
Department will attempt to open the document, but will not take any additional measures in
the event of problems with opening it (i.e., conversions of any kind).
The Department strongly advises applicants to use the various tools and documents,
including Frequently Asked Questions, which are available on the “Applicant Resources”
page at: https://www.grants.gov/web/grants/applicants/applicant-faqs.html.
To receive updated information about critical issues, new tips for users and other time
sensitive updates as information is available, you may subscribe to www.grants.gov updates
at: https://www.grants.gov/web/grants/manage-subscriptions.html.
Attachment (official PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2018/TEGL_18-17_Attachment_3_Acc.pdf)
Attachment 3:
Program Requirements
A. Overview:
The TAA Program includes training, employment and case management services, job search
allowances, relocation allowances, Trade Readjustment Allowances (TRA), Reemployment
Trade Adjustment Assistance (RTAA), and Alternative Trade Adjustment Assistance
(ATAA). TAA Program TaOA funds provided under this grant award may be used to cover
the cost of training (and related costs), employment and case management services, job
search allowances, relocation allowances, and related-state administration. Funds for TRA,
RTAA, and ATAA are governed by the terms and conditions of the Unemployment
Insurance Annual Funding Agreement.
B. States’ Responsibilities:
TEGL No. 16-16, One-Stop Operations Guidance for the American Job Center (AJC)
network, provides guidance on states’ responsibilities for ensuring that the Workforce
Innovation and Opportunity Act (WIOA) partner programs are integrated into the one-stop
system. The TAA Program is a required one-stop partner under the WIOA statute and
regulations. As a WIOA required partner, the TAA Program is responsible for providing
access to TAA benefits and services to adversely affected workers through the AJC network.
Under WIOA and the Trade Act, states must integrate TAA services into their one-stop
delivery system; provide rapid response and appropriate career services to worker groups on
whose behalf a petition has been filed; and disseminate benefit information that provides
workers an accurate understanding of the TAA Program’s benefits and services in such a way
that it is transparent to the worker applying for them. CSAs must also use their state’s AJCs
as the main point of contact for participant intake and delivery of TAA benefits and services.
1) Program Access
If the TAA Program is carried out in a local area, the CSA must provide access to the
TAA Program services in at least one of the Local Area’s comprehensive AJCs. (20 CFR
§678.305(d) and §678.415). Under WIOA, a CSA may provide access in one of three
ways:
a) Option 1. Having a program staff member physically present at the AJC;
b) Option 2. Having a staff member from a different partner program physically
present at the AJC appropriately trained to provide information to customers
about the programs, services, and activities available through all partner
programs; or
c) Option 3. Making available a direct linkage through technology to a program
staff member who can provide meaningful information or services.
The options above offer a wide range of possibilities to partners. Option 2 could require
varying levels of assistance depending on the trade-affected worker’s needs. For
example, this could be as simple as having an adequately trained WIOA staff member
providing basic program information to an AJC customer regarding group and individual
eligibility requirements of the TAA Program. In this example, the partner staff member
has been trained on TAA Program eligibility requirements, as well as how to search for
and file a TAA petition. Once a determination is rendered on a petition, the partner staff
member will connect the worker to appropriately trained AJC staff who can further assist
them. If the petition is certified, the worker is eligible to apply for individual benefits and
appropriately trained AJC staff must guide them through the application and enrollment
process. This option allows the customer to receive high-quality service through the
AJC, in a timely manner. In this example, it would be essential that the Wagner-Peyser
Act Employment Service staff person document his or her time and effort to ensure that
the charges to the appropriate program, namely the TAA Program, for salaries and wages
are based on records that accurately reflect the work performed, consistent with federal
cost principles in the Uniform Guidance at 2 CFR §200.430.
The third option provided above, Option 3, a direct linkage, can take many forms as well.
As described in 20 CFR §678.305(d)(3), a “direct linkage” means providing a direct
connection at the AJC within a reasonable time, by phone or through a real-time Web-
based communication, to a program staff member who can provide program information
or services, including career services, to the customer. Solely providing a phone number,
website, information, pamphlets, or materials does not constitute a “direct linkage.”
The flexibility provided through the three optional methods for assuring customer access
to required AJC partner services and activities at the comprehensive centers ensures that
the TAA Program remains accessible through the AJC network.
2) Compliance with Regulations and Guidance
In performing its responsibilities under the Governor-Secretary Agreement, as a condition
for receipt of funds, the state agrees to fully comply with all program regulations and
administrative directives, including, but not limited to:
a) 20 CFR part 617, 29 CFR part 90, and 20 CFR part 618 and any succeeding
regulations governing the TAA Program;
b) Joint WIOA Final Rule published in the Federal Register at:
https://www.gpo.gov/fdsys/pkg/FR-2016-08-19/pdf/2016-15977.pdf;
c) DOL-Only WIOA Final Rule published in the Federal Register at:
https://www.gpo.gov/fdsys/pkg/FR-2016-08-19/pdf/2016-15975.pdf;
d) Consolidated Appropriations Act, 2018 (P.L. 115-141, March 23, 2018);
e) 2 CFR part 200 (Uniform Administrative Requirements, Cost Principles, and
Audit Requirements for Federal Awards) and 2 CFR part 2900 (DOL’s
Supplement to 2 CFR part 200);
f) Chapter 2 of Title II of the Trade Act of 1974, as amended (Pub. L. 93-618)
(Trade Act) (codified at 19 U.S.C. §§ 2271 et seq.);
g) Trade Adjustment Assistance Reform Act of 2002, Division A, Title I,
Subtitle A of the Trade Act of 2002 (Pub. L. 107-210) (as amended by the
Miscellaneous Trade and Technical Corrections Act of 2004 (Pub. L. 108-
429)) (TAARA);
h) Trade and Globalization Adjustment Assistance Act of 2009, Division B, Title
I, Subtitle I of the American Recovery and Reinvestment Act of 2009
(TGAAA), (Pub. L. 111-5);
i) Trade Adjustment Assistance Extension Act of 2011 (Pub. L. 112-40)
(TAAEA);
j) Balanced Budget and Emergency Deficit Control Act (BBEDCA), as
amended by the Budget Control Act of 2011 (BCA);
k) Trade Adjustment Assistance Reauthorization Act of 2015 (Pub. L. 114-27,
Title IV)(TAARA 2015);
l) TEGL No. 15-12, Delivery of Benefits and Services to Trade Adjustment
Assistance (TAA) Program Recipients through the American Job Center
Network Delivery System;
m) TEGL No. 05-15, Operating Instructions for Implementing the Amendments
to the Trade Act of 1974 Enacted by the Trade Adjustment Assistance
Reauthorization Act of 2015 (TAARA 2015);
n) TEGL No. 05-15, Change 1 to the Trade Adjustment Assistance (TAA)
Operating Instructions for Implementing the Amendments to the Trade Act of
1974 Enacted by the Trade Adjustment Assistance Reauthorization Act of
2015 (TAARA 2015);
o) TEGL No. 16-16, One-Stop Operations Guidance for the American Job
Center Network; and
p) TEGL No. 17-16, Infrastructure Funding of the One-Stop Delivery System.
3) Compliance with Requirements
In performing its responsibilities under this award, the state hereby certifies and assures
that it will fully comply with the following requirements:
a) Real Property. The requirements and restrictions related to real property in 2
CFR §200.439, including compliance with 2 CFR § 200.439(b)(3). This
provision provides that capital expenditures for improvements to land or
buildings which materially increase their value or useful life are unallowable
as a direct cost, except with the prior written approval of the Grant Officer.
b) Equipment. Equipment purchases under the TAA Program are subject to the
provisions at 2 CFR § 200.313. Consistent with 2 CFR §2900.16, prior
approval is hereby provided for equipment purchases under the TAA
Program.
c) Oversight Roles and Responsibilities. Each recipient and subrecipient of
funds under the Trade Act must conduct regular oversight and monitoring of
its program and those of any subrecipients and contractors as required under
Section 239(i) of the Act, as well as under 2 CFR part 200, including 2 CFR
§200.328, § 200.330, §200.331, and Department exceptions at 2 CFR part
2900, in order to:
i. Determine that expenditures have been made against the proper cost
categories and within the cost limitations specified in the Act, the
regulations, and administrative guidance;
ii. Determine whether there is compliance with other provisions of the
Act, the regulations, and administrative guidance;
iii. Assure compliance with 2 CFR part 200 and the Department’s
exceptions at 2 CFR 2900; and
iv. Determine compliance with the nondiscrimination, disability, and
equal opportunity requirements of sec. 188 of WIOA, including the
Assistive Technology Act of 1998 (29 U.S.C. 3003).
d) Procedures and Resolution of Findings.
(a) Resolution of subrecipient-level findings.
(1) The Governor is responsible for resolving findings that arise from
the monitoring reviews, investigations, other Federal monitoring
reviews, and audits (including under 2 CFR part 200) of subrecipients
awarded funds through the Trade Act.
(i) A State must use the written monitoring and audit resolution,
debt collection and appeal procedures that it uses for other Federal
grant programs.
(ii) If a State does not have such written procedures, it must
prescribe standards and procedures to be used for this grant
program.
(2) For subrecipients awarded funds through a recipient of grant funds,
the direct recipient of the grant funds must have written monitoring
and resolution procedures in place that are consistent with 2 CFR part
200.
(b) Resolution of state findings.
(1) The Secretary is responsible for resolving findings that arise from
Federal audits, monitoring reviews, investigations, incident reports,
and audits under 2 CFR part 200 for direct recipients of Federal
awards under the Trade Act.
(2) The Secretary will use the Department’s audit resolution process,
consistent with 2 CFR part 2900, Subpart F.
(3) A final determination issued by a Grant Officer under this process
may be appealed to the DOL Office of Administrative Law Judges
under the procedures in 2 CFR § 2900.22.
e) Nondiscrimination. Requirements and restrictions for nondiscrimination and
equal opportunity, which are provided in 29 CFR part 38, Implementation of
the Nondiscrimination and Equal Opportunity Provisions of WIOA.
C. Use of Funds:
Funds obligated under this grant award may be used for training (and related costs),
employment and case management services, job search allowances, relocation allowances,
and related state administration costs incurred in the provision of TAA Program benefits and
services to trade-affected workers in accordance with the requirements of the Trade Act in
effect at the time of filing of the petition under which the workers are covered.
The following limitations apply to FY 2018 appropriated funds obligated to the state under
this grant award:
1) State expenditures for related state administration costs must not exceed ten percent
(10%) of the total amount of TaOA funds awarded in a FY; and
2) State expenditures for employment and case management services costs must not be less
than, but may exceed, five percent (5%) of TaOA funds awarded in a FY.
D. Deobligation of Funds:
The Recipient agrees to accept a deobligation of the TaOA funds, as set forth in the Notice
Of Award, in the event of underutilization of those funds. The Grantor will consider
underutilization of TaOA funds to exist when the Recipient will be unable to use some or
all of the unexpended and/or unobligated balance of such funds provided to the recipient
within a reasonable period of time. Underutilized funds will be recaptured only after
notification to and consultation with the Recipient.
E. Recapture and Reallotment of FY Funds:
In addition to the information provided in the deobligation of funds clause above, section
245(c) of the Trade Act of 1974, as restored by the TAARA 2015, provides that the
Secretary may recapture and reallot funds that were allotted to any state to carry out
employment and case management services, training, job search allowances, and relocation
allowances, that remain unobligated by the state during the second or third fiscal year after
the funds were obligated.
F. Remedies:
All TAA Program funds must be expended in accordance with the provisions of the AFA
and any special terms and conditions of approved funding requests. Any expenditure of
funds that does not comply with these provisions will be subject to the enforcement
remedies at 2 CFR § 200.338 and 20 CFR § 617.52(c) and § 617.59(f), or any succeeding
regulations. The state will take such action as is reasonably necessary to recover for the
account of the United States all amounts paid out as program benefits or services which
were erroneously paid to ineligible claimants or others, and to restore any losses or
misapplication of funds allocated to the state for TAA Program benefits or services.
G. Merit Staff:
The state agrees that staff employed to carry out state administration of the TAA Program
and funded by the TAA Program, including staff of the state agency and the state
Employment Service agency that perform functions under both the TAA Program and the
state unemployment compensation (UC) program and/or ES programs, and will comply
with 20 CFR § 618.890.
H. Administrative Costs:
1) The administrative cost limit for the fiscal year program funding allocation for
training, job search assistance, and relocation allowances is included above in
paragraph C of Attachment 3 of this TEGL, with which states must comply.
2) For purposes of the TAA Program, the costs of administration are the costs associated
with performing the following:
a) overall general administrative functions of the TAA Program and the coordination
thereof within the AJC network established under WIOA:
i. Accounting, budgeting, financial, and cash management functions;
ii. Procurement and purchasing functions;
iii. Property management functions;
iv. Personnel management functions;
v. Payroll functions;
vi. Coordinating the resolution of findings arising from audits, reviews,
investigations and incident reports;
vii. Audit functions;
viii. General legal services functions;
ix. Developing systems and procedures, including information systems,
required for these administrative functions;
x. Processing applications for benefits under the Trade Act;
xi. Rendering and issuing eligibility determinations under the Trade Act;
xii. Processing waivers of training requirements under section 231 of the
Trade Act;
xiii. Collecting, validating, and reporting data required under the Trade
Act;
xiv. Administering Reemployment Trade Adjustment Assistance (RTAA)
under section 246 of the Trade Act;
xv. Performing oversight and monitoring responsibilities related to
administrative functions;
xvi. Costs of goods and services required for administrative functions of
the program, including goods and services such as rental or purchase
of equipment, utilities, office supplies, postage, and rental and
maintenance of office space;
xvii. Travel costs incurred for official business in carrying out
administrative activities or the overall management of the TAA
Program; and
xviii. Costs of information systems related to administrative functions (for
example, personnel, procurement, purchasing, property management,
accounting and payroll systems) including the purchase, systems
development and operating costs of such systems.
3) Awards to subrecipients or contractors that are solely for the performance of
administrative functions are classified as administrative costs.
4) Personnel and related non-personnel costs of staff that perform both administrative
functions are specified above. Programmatic services or activities must be allocated
as administrative or program costs to the benefitting cost objectives/categories based
on documented distributions of actual time worked or other equitable cost allocation
methods.
5) Specific costs charged to an overhead or indirect cost pool that can be identified
directly as a program cost are to be charged as a program cost. Documentation of
such charges must be maintained. (Not all indirect costs are administrative and not all
administrative costs are indirect).
6) Except as provided at above, all costs incurred for functions and activities of
subrecipients and contractors are not considered administrative costs.
7) Costs of the following information systems capabilities including the purchase,
systems development, and operational costs (e.g., data entry) are charged to the
program category:
a) Tracking or monitoring of participant and performance information, including
employment and case management services and activities; and
b) Tracking or reporting employment statistics information, including job listing
information, job skills information, and demand occupation information.
8) Wherever possible, states must make efforts to streamline the administrative activities
and services referenced in this section by minimizing duplication, effectively using
information technology to improve services and leveraging resources across
programs.
9) States should consult the appropriate Regional Office for additional technical
assistance related to classification of costs under the Trade Act.
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