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Application process for WIA incentive grants based on 2012 performance

Summary ETA told eight eligible states how to apply for WIA Section 503 incentive grants based on program year 2012 performance. It listed each award, described authorized uses, and required application and budget materials by May 30, 2014. The linked attachments include federal forms and a budget checklist; ETA now labels this change Canceled.
Document
Federal guidance
Agency
U.S. Department of Labor, Employment and Training Administration (ETA)
Document number
TEGL No. 20-01, Change 12
Date issued
May 14, 2014
Status
Withdrawn
ETA lists this advisory Canceled as of 2026-10-24; its PDF prints Expiration Date: Continuing and Rescissions: None. No cancellation instrument is identified.
Status last verified October 24, 2026

Is this still the rule?

This document has been withdrawn. Ezel checks what federal law requires today, under current federal labor law, and answers your situation with citations.

This document has been withdrawn
ETA lists this advisory Canceled as of 2026-10-24; its PDF prints Expiration Date: Continuing and Rescissions: None. No cancellation instrument is identified. It no longer reflects the agency's current position. Treat this page as historical context, not current guidance, and verify current law before relying on anything here.
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.

Accessible letter PDF: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2014/TEGL_20_01_Change12_Acc.pdf

CLASSIFICATION
   EMPLOYMENT AND TRAINING ADMINISTRATION               WIA/Performance Measures
               ADVISORY SYSTEM                          CORRESPONDENCE SYMBOL
          U.S. DEPARTMENT OF LABOR                      DSPP/OPDR
             Washington, D.C. 20210                     DATE
                                                         May 14, 2014


ADVISORY:         TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 20-01,
                  Change 12

TO:               STATE WORKFORCE LIAISONS
                  STATE WORKFORCE AGENCIES

FROM:             PORTIA WU /s/
                  Assistant Secretary

SUBJECT:          Application Process for Workforce Investment Act (WIA) Section 503
                  Incentive Grants Based on Program Year (PY) 2012 Performance

1. Purpose. This guidance letter provides the procedures states should follow to apply for WIA
   Section 503 Incentive Grants and reminds states of the authorized use of these grant funds.

2. References.
   • WIA (Pub. L. 105-220) Sections 211 and 503, (20 U.S.C. §§ 9211, 9273);
   • Carl D. Perkins Vocational and Technical Education Act of 1998 (Perkins III) (20 U.S.C.
      2301 et seq.);
   • 20 CFR part 664, 666.200 - 666.230, and 666.205(c);
   • Carl D. Perkins Career and Technical Education Act of 2006 (Perkins IV) (20 U.S.C.
      2301 et seq. as amended by Pub. L. 109-270, and its predecessor);
   • Workforce Investment Act of 1998 (WIA); Notice of Incentive Funding Availability Based
      on Program Year (PY) 2012 Performance (79 FR 72);
   • Training and Employment Guidance Letter (TEGL) No. 9-07, Revised Incentive and
      Sanction Policy for Workforce Investment Act Title IB Programs (October 10, 2007); and
   • TEGL No. 14-00, Change 3, Workforce Investment Act (WIA) Annual Report Narrative
      (August 24, 2009).

3. Background. Section 503 of WIA provides for incentive grants to reward states for
   successful performance in workforce and education programs. The provisions authorizing
   incentive grant awards are found in WIA Sections 503 (20 U.S.C. § 9273) and 211 (20
   U.S.C. § 9211). A total of $9,884,265 is appropriated and available for incentive grants
   based on PY 2012 performance. You can find the Department of Labor’s (Department or
   DOL) regulations on incentive awards at 20 CFR 666.200 through 666.230.


 RESCISSIONS                                            EXPIRATION DATE
 None                                                   Continuing

4. Eligibility. The list of states eligible to receive incentive grant awards based on PY 2012
   performance, and the amount of the award for which each are eligible was published in the
   Federal Register on April 15, 2014. The Department determined eligibility for a Section 503
   incentive grant award by state performance under WIA Title IB and Title II programs. (WIA
   Title II is also known as the Adult Education and Family Literacy Act.) States that are
   eligible for incentive grant awards have 45 days from April 15, 2014, as stated in the Federal
   Register notice, to submit their application for these awards.

5. Amount of Incentive Awards. WIA Section 503(c)(1) sets the range of incentive grant
   awards from $750,000 to $3 million, depending upon the amount of appropriated funds
   available. If the total amount available for grants is insufficient to award the minimum grant
   to each eligible state, the minimum and maximum grant amounts will be adjusted by a
   uniform percentage as required by WIA Section 503(c)(2). For PY 2012 incentive awards,
   the criterion for determining the amount of the incentive grant within this range was the size
   of the state’s programs, as measured by the state’s relative share of the combined Title IB
   and Title II formula grants awarded to that state. The Department divided the total award of
   $9,884,265 among 8 eligible states. See the list of eligible states and their respective award
   amount below:
       • Georgia               $1,428,125
       • Idaho                    845,837
       • Indiana                1,130,999
       • Maine                    819,433
       • Oklahoma                 911,238
       • Pennsylvania           1,438,783
       • South Carolina         1,079,016
       • Texas                  2,230,834

6. Authorized Use of Funds. Regulations at 20 CFR 666.210 authorize the state to use its
   incentive grant award to carry out an innovative program consistent with the requirements of
   any one or more of the programs within Title IB or Title II of WIA or the Perkins Act. This
   provides states greater flexibility in using these funds, and governors and state agencies are
   not limited to only one type of innovative program.

     The Department will identify incentive grant funds awarded to states as WIA Title V PY
     2013 funds. States must expend the funds by June 30, 2016. 1 Since this timeframe differs
     from the typical program timeframes used by WIA Title II and Perkins IV programs,
     cooperation among state agencies to ensure timely expenditure of these funds is strongly
     encouraged.

     States may expend funds for activities authorized under WIA Title IB or Title II, and/or the
     Perkins Act. While DOL administrative provisions apply to the statutory life of the funds,
     the individual program provisions apply to the use of funds. For example, if States use the
     incentive funds for a WIA Title IB activity for youth services, the applicable program
1
 Typically, states would have three years to spend a program year’s funds. However, because incentive grants, taken from Fiscal Year 2014
funds, will be awarded at the end of PY 2013, states will be given through June 30, 2016, to expend the funds.


   requirements for youth programs in 20 CFR 664 and WIA Title IB would apply to that
   portion of the funds. If innovative WIA Title II and/or Perkins IV programs are planned, the
   provisions of WIA Title II and/or Perkins IV would apply to that portion of the funds.

   States are encouraged to plan activities that promote cooperation and collaboration among
   the agencies administering WIA Title IB and Title II, and Perkins Act programs. The
   Secretaries of Labor and Education encourage governors and their state agency
   representatives to take advantage of the broad flexibility Congress intended for these funds
   by planning for activities that are:

   A.   Innovative — Services and activities beyond those the state conducts with its regular
        funds from these programs, particularly activities that are authorized through more than
        one program, that align Federal, state and local workforce, education, economic
        development services and activities for innovative job-driven training strategies.
        Innovative approaches incorporating Sector Strategies where training and services are
        closely targeted to specific occupations and industries are desirable as well;
   B.   Comprehensive and coordinated — Combined activities and services that are authorized
        by different programs; and
   C.   Targeted to improving system performance — Activities that serve needs and
        populations that are likely to result in improving state systems of employment, training,
        and education, including those linking to career pathways and high-growth industries.
        Additionally, activities and programs focusing on sub-populations such as veterans,
        those with disabilities, and long-term unemployed are also favorable.

   As states plan how they will make use of Section 503 incentive funds, the Employment and
   Training Administration (ETA) encourages them to take an expansive view of how the funds
   can be integrated into efforts to improve the effectiveness of the public workforce system.
   State Workforce Agencies can work together to focus on workforce education and training
   projects that will facilitate innovative workforce and education policies within a state.
   Examples of projects ETA is especially interested in are those programs that expand: a) on-
   the-job training, b) statewide career pathway systems, and/or c) Registered Apprenticeship.

7. Application Process. To receive award grant funds, states that qualify must apply by
   submitting an application for an incentive grant to DOL. The electronic application must
   include an electronic signature of the state’s designee authorized to submit the application.
   DOL will work with the Department of Education to review the applications. The
   application may take the form of a letter from the governor to DOL’s Assistant Secretary for
   Employment and Training (address is listed below), and must include the following:

   A.   Assurances

        The application, developed by the State Board, must include assurances that:

         i.   The state legislature was consulted with respect to the development of the
              application;


     ii.   The application was approved by the governor, the eligible agency for adult
           education (as defined in Section 203(4) of WIA (20 U.S.C. 9202(4)), and the state
           agency responsible for career and technical education programs (as defined in
           Section 3(12) of Perkins IV (20 U.S.C. 2302(12)); and

    iii.   The state and eligible agency, as appropriate, exceeded the state adjusted levels of
           performance for WIA Title IB and the state adjusted levels of performance for
           WIA Title II in PY 2012.

B. Additional Information

    The state must provide a description of the planned use of incentive grants as part of the
    application process to ensure that the state’s planned activities are authorized under
    WIA Title IB or Title II, and/or Perkins Act, as required by WIA Section 503(a). When
    describing the planned activities in response to number ii below, the state should note
    under which program the authorized activities fall.

    The state’s incentive grant document should include other descriptive information in the
    state’s plan (see numbers iii and iv below). The Departments of Labor and Education
    will use this information in monitoring the use of incentive grants and in reports to
    Congress on state performance.

      i.   Identify the state agency and contact person that will receive and administer the
           funds on behalf of all the state’s agencies. The agency may be the state workforce
           agency or another state agency that receives funds under the WIA Title II or
           Perkins IV grants. This agency will be responsible for reporting on the use of all
           funds. If agencies other than the grant recipient will be undertaking program
           activities with the funds, please identify the sub-grantee(s) and the amount(s) they
           will be provided.

     ii.   Describe the planned activities. This information should include the statutory
           authority for the activity and a description of how the activities are innovative,
           comprehensive and coordinated, and targeted to improving system performance in
           accordance with the major objectives set forth in the state’s current WIA Strategic
           Plan, WIA Title II State Plan, or Perkins IV State Plan, as appropriate. Include
           information on how services build on, rather than duplicate, services offered
           under the state’s plans for Perkins IV or WIA Titles IB or II. Describe how these
           funds are being used collaboratively with other partner programs to benefit
           service to clients.

    iii.   Describe ways in which the activities are related to improving performance levels
           on the state indicators of performance for each different activity planned. For
           example, describe how the activities will strengthen the state’s ability to improve
           literacy levels, increase employment, increase transitions to further education and
           training, and/or improve technical and academic skills.


        iv.   Describe any state consultation with stakeholder groups and the public on the use
              of incentive award funds. States are encouraged to seek public input on the use of
              state incentive funding, including that of representatives of adult education, career
              and technical education programs, and other workforce system partners. States
              should provide a summary of all issues raised during consultation with
              stakeholder groups and the public and how issues on the use of award funds were
              addressed.

        Grantees must also provide:
        i.    Standard Form (SF) 424, Application for Federal Assistance. The SF-424 must
              clearly identify the applicant, be signed by an individual with authority to enter
              into a grant agreement, and include the applicant’s Data Universal Numbering
              System (DUNS) number and Employer Identification Number (EIN). The current
              version of SF-424 is available at:
              http://apply07.grants.gov/apply/forms/sample/SF424_2_1-V2.1.pdf.

        ii.   SF-424A, Budget Information Form and Budget Narrative. Applicants must
              include a SF-424A. The current version of SF-424A is available at:
              http://apply07.grants.gov/apply/forms/sample/SF424A-V1.0.pdf.

       iii.   Brief Budget Narrative. Applicants must include a budget narrative to support the
              funding request. See attachment C for the Budget Narrative Checklist/Template.

        Please use the checklist below to confirm that all portions of the SF-424 and SF-424A
        are complete. If one or more section(s) is incomplete, the application will be returned,
        affecting the ability to process the application on time.

                      SF-424 signed by the authorized representative
                      DUNS number and EIN entered on SF-424
                      No match funds should be listed on SF-424A
                      Line items must add up to the total amount of the award on SF-424A
                      Line items in the budget narrative match the SF 424A


8. Inquiries. Please direct questions concerning the WIA incentive grant application process to
   Karen Staha at [email protected] (202-693-2917) or Luke Murren at
   [email protected] (202-693-3733) in the Division of Strategic Planning and
   Performance, Office of Policy Development and Research.

9. Action Requested. As explained in 20 CFR 666.205(c), states have 45 days from the
   publication date of the Federal Register notice announcing eligible states and incentive
   amounts, to submit the required application materials. The Department advises applicants
   that mail in the Washington, D.C. area may be delayed due to mail decontamination
   procedures. Therefore, the Department encourages states to submit applications
   electronically. To ensure funds can be appropriately allotted by the end of the program year,
   application materials are due by May 30, 2014, and should be sent electronically to:


      Karen Staha at [email protected]
      Luke Murren at [email protected]

   The street address follows:

      U.S. Department of Labor
      Employment and Training Administration
      Attn: Luke Murren
      200 Constitution Avenue, NW, Room N-5641
      Washington, D.C. 20210

   A courtesy copy should also be sent to the Regional Performance Specialists in your
   respective ETA regional office.

   States are encouraged to submit their applications prior to the due date. The Department
   must obligate funds to states by June 30, 2014. ETA regional staff will be available to
   provide any technical assistance to states in preparing and expediting the applications.

10. Attachments.
    • Attachment A - Standard Form 424
       http://apply07.grants.gov/apply/forms/sample/SF424_2_1-V2.1.pdf
    • Attachment B - Standard Form 424A
       http://apply07.grants.gov/apply/forms/sample/SF424A-V1.0.pdf
    • Attachment C - Budget Narrative Checklist/Template

Attachment 1: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2014/SF424_2_1-V2.1.pdf

OMB Number: 4040-0004
                                                                                                                       Expiration Date: 8/31/2016

Application for Federal Assistance SF-424

* 1. Type of Submission:                 * 2. Type of Application:      * If Revision, select appropriate letter(s):

         Preapplication                       New

         Application                          Continuation              * Other (Specify):

         Changed/Corrected Application        Revision

* 3. Date Received:                      4. Applicant Identifier:


5a. Federal Entity Identifier:                                              5b. Federal Award Identifier:


State Use Only:

6. Date Received by State:                         7. State Application Identifier:

8. APPLICANT INFORMATION:

* a. Legal Name:

* b. Employer/Taxpayer Identification Number (EIN/TIN):                     * c. Organizational DUNS:


d. Address:

* Street1:

  Street2:

* City:

  County/Parish:

* State:

  Province:

* Country:                USA: UNITED STATES
* Zip / Postal Code:

e. Organizational Unit:

Department Name:                                                            Division Name:


f. Name and contact information of person to be contacted on matters involving this application:

Prefix:                                                     * First Name:

Middle Name:

* Last Name:

Suffix:

Title:

Organizational Affiliation:


* Telephone Number:                                                                     Fax Number:

* Email:

Application for Federal Assistance SF-424

* 9. Type of Applicant 1: Select Applicant Type:


Type of Applicant 2: Select Applicant Type:


Type of Applicant 3: Select Applicant Type:


* Other (specify):


* 10. Name of Federal Agency:


11. Catalog of Federal Domestic Assistance Number:


CFDA Title:


* 12. Funding Opportunity Number:


* Title:


13. Competition Identification Number:


Title:


14. Areas Affected by Project (Cities, Counties, States, etc.):

                                                                   Add Attachment   Delete Attachment   View Attachment


* 15. Descriptive Title of Applicant's Project:


Attach supporting documents as specified in agency instructions.

   Add Attachments         Delete Attachments         View Attachments

Application for Federal Assistance SF-424

16. Congressional Districts Of:

* a. Applicant                                                                             * b. Program/Project

Attach an additional list of Program/Project Congressional Districts if needed.

                                                                     Add Attachment        Delete Attachment       View Attachment

17. Proposed Project:

* a. Start Date:                                                                                 * b. End Date:

18. Estimated Funding ($):

* a. Federal

* b. Applicant

* c. State

* d. Local

* e. Other

* f. Program Income

* g. TOTAL

* 19. Is Application Subject to Review By State Under Executive Order 12372 Process?

     a. This application was made available to the State under the Executive Order 12372 Process for review on                             .

     b. Program is subject to E.O. 12372 but has not been selected by the State for review.

     c. Program is not covered by E.O. 12372.

* 20. Is the Applicant Delinquent On Any Federal Debt? (If "Yes," provide explanation in attachment.)
     Yes                No

If "Yes", provide explanation and attach
                                                                     Add Attachment        Delete Attachment       View Attachment

21. *By signing this application, I certify (1) to the statements contained in the list of certifications** and (2) that the statements
herein are true, complete and accurate to the best of my knowledge. I also provide the required assurances** and agree to
comply with any resulting terms if I accept an award. I am aware that any false, fictitious, or fraudulent statements or claims may
subject me to criminal, civil, or administrative penalties. (U.S. Code, Title 218, Section 1001)

     ** I AGREE

** The list of certifications and assurances, or an internet site where you may obtain this list, is contained in the announcement or agency
specific instructions.

Authorized Representative:

Prefix:                                                      * First Name:

Middle Name:

* Last Name:

Suffix:

* Title:

* Telephone Number:                                                                   Fax Number:

* Email:

* Signature of Authorized Representative:                                                                                * Date Signed:

Attachment 2: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2014/SF424A-V1.0.pdf

BUDGET INFORMATION - Non-Construction Programs                                   OMB Number: 4040-0006
                                                                                                                          Expiration Date: 06/30/2014
                                                         SECTION A - BUDGET SUMMARY
     Grant Program    Catalog of Federal
                                                Estimated Unobligated Funds                      New or Revised Budget
      Function or    Domestic Assistance
        Activity           Number              Federal               Non-Federal       Federal        Non-Federal                   Total
         (a)                (b)                  (c)                     (d)             (e)              (f)                        (g)

1.                                         $                   $                   $             $                       $


2.


3.


4.


5.   Totals                                $                   $                   $             $                       $


                                                                                                                     Standard Form 424A (Rev. 7- 97)
                                                                                                           Prescribed by OMB (Circular A -102) Page 1

                                                    SECTION B - BUDGET CATEGORIES

6. Object Class Categories                                       GRANT PROGRAM, FUNCTION OR ACTIVITY                                   Total
                                              (1)          (2)                   (3)                   (4)                              (5)


     a. Personnel                             $           $                       $                    $                     $

     b. Fringe Benefits

     c. Travel

     d. Equipment

     e. Supplies

     f. Contractual

     g. Construction

     h. Other

     i. Total Direct Charges (sum of 6a-6h)                                                                                  $

     j. Indirect Charges                                                                                                     $


     k. TOTALS (sum of 6i and 6j)             $           $                       $                    $                     $


7. Program Income                             $           $                       $                    $                     $

                                                         Authorized for Local Reproduction                               Standard Form 424A (Rev. 7- 97)
                                                                                                             Prescribed by OMB (Circular A -102) Page 1A

                                                         SECTION C - NON-FEDERAL RESOURCES
                       (a) Grant Program                                 (b) Applicant             (c) State        (d) Other Sources              (e)TOTALS

8.                                                                  $                       $                   $                         $


9.


10.


11.


12. TOTAL (sum of lines 8-11)                                       $                       $                   $                         $
                                                         SECTION D - FORECASTED CASH NEEDS
                                               Total for 1st Year         1st Quarter             2nd Quarter           3rd Quarter              4th Quarter

13. Federal                                $                        $                       $                   $                         $
14. Non-Federal                            $

15. TOTAL (sum of lines 13 and 14)         $                        $                       $                   $                         $

                             SECTION E - BUDGET ESTIMATES OF FEDERAL FUNDS NEEDED FOR BALANCE OF THE PROJECT
                       (a) Grant Program                                              FUTURE FUNDING PERIODS (YEARS)
                                                                       (b)First        (c) Second          (d) Third                              (e) Fourth

16.                                                                 $                       $                   $                         $


17.


18.


19.


20. TOTAL (sum of lines 16 - 19)                                    $                       $                   $                         $
                                                       SECTION F - OTHER BUDGET INFORMATION
21. Direct Charges:                                                            22. Indirect Charges:


23. Remarks:

                                                            Authorized for Local Reproduction                                          Standard Form 424A (Rev. 7- 97)
                                                                                                                            Prescribed by OMB (Circular A -102) Page 2

Attachment 3: https://www.dol.gov/sites/dolgov/files/ETA/advisories/TEGL/2014/TEGL_20_01_Attachment_C_Acc.pdf

Attachment C
                                                  WIA Incentive Award
                                                   Budget Narrative1
     The below budget narrative template provides a crosswalk between a grantees budget
     narrative and the corresponding line items on the SF 424A. It is very important that the
     dollar amounts entered on the SF 424A exactly match what is described in the narrative.

     Please use the descriptions of each category below when drafting your budget narrative;
     these items should accompany a general statement about what project(s) are envisioned to
     be funded with the incentive grant.

Line                                             Object Class Categories
No.
6a          Personnel
                Description: List all staff positions by title. Give the annual salary of each person, the percentage of
                each person’s time devoted to the project, the amount of each person’s salary funded by the grant and
                the total personnel cost for the period of performance.


6b          Fringe Benefits
                Description: Provide a breakdown of the amounts and percentages that comprise fringe benefit costs
                such as health insurance, FICA, retirement, etc.


6c          Travel
                Description: Specify the purpose, mileage, per diem, estimated number of in-state and out-of-state trips
                and other costs for each type of travel.


6d          Equipment
                Description: Identify each item of equipment to be purchased which has an estimated acquisition cost
                of $5,000 or more per unit and a useful lifetime of more than one year. List the quantity and unit cost
                per item. Items with a unit cost of less than $5,000 are supplies.


6e          Supplies
                Description: Supplies include all tangible personal property other than “equipment.” The detailed
                budget should identify categories of supplies (e.g. office supplies). List the quantity and unit cost per
                item.


     1
         The budget narrative must provide a description of costs associated with each line item on the SF-424A.

6f   Contractual
       Description: Identify each proposed contract and specify its purpose and estimated cost. If applicable,
       identify any sub-recipient agreements, including purpose and estimated costs.


6g   Construction
       Description: Construction costs are not allowed and this line must be left as zero. Minor alterations to
       adjust an existing space for grant activities (such as a classroom alteration) may be allowable. The
       Department does not consider this as construction and the costs must be shown on other appropriate
       lines such as Contractual.


6h   Other
       Description: List each item in sufficient detail for the Department to determine whether the costs are
       reasonable or allowable. List any item, such as stipends or incentives, not covered elsewhere here.


6j   Indirect Charges
       Description: If indirect charges are included in the budget, include the approved indirect cost rate with
       a copy of the Indirect Cost Rate Agreement, a description of the base used to calculate indirect costs
       and total cost of the base, and the total indirect charges requested.

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