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ARPA grant opportunity for state UI technology modernization
Summary ETA offered states ARPA funding to modernize unemployment insurance technology through modular projects and participation in federal activities. Initial applications were due July 28, 2023. ETA cancelled this letter through UIPL No. 10-23 after Congress rescinded unobligated ARPA funds.
Document
Federal guidance
Agency
U.S. Department of Labor, Employment and Training Administration (ETA)
Document number
UIPL No. 07-23
Date issued
May 26, 2023
Status
Rescinded
UIPL No. 10-23, issued July 13, 2023, expressly cancelled this letter after Congress rescinded unobligated ARPA funds.
Status last verified October 24, 2026
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CLASSIFICATION
EMPLOYMENT AND TRAINING ADMINISTRATION Unemployment Insurance
ADVISORY SYSTEM CORRESPONDENCE SYMBOL
U.S. DEPARTMENT OF LABOR OUI/DPM
Washington, D.C. 20210 DATE
May 26, 2023
ADVISORY: UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 07-23
TO: STATE WORKFORCE AGENCIES
FROM: BRENT PARTON
Acting Assistant Secretary
SUBJECT: Announcement of a Grant Opportunity to Support State Unemployment
Insurance (UI) Information Technology (IT) Modernization Activities Under
the American Rescue Plan Act (ARPA)
1. Purpose. To notify states of the availability of funding for UI modernization, with a focus
on improving the flexibility of IT systems through modular and evidence-driven approaches.
This funding includes up to $600 million for states to support UI IT modernization activities
and up to $53 million for states to participate in ARPA program activities offered by the U.S.
Department of Labor (Department) related to IT modernization, under a single grant award.
2. Action Requested. The initial grant application for the funding opportunities described
under Section 4.c. of this Unemployment Insurance Program Letter (UIPL) are due by the
close of business on July 28, 2023. States may pursue one or both funding opportunities
described in this UIPL using a streamlined grant application process.
The Department’s Employment and Training Administration (ETA) requests that State
Workforce Agency Administrators:
• Review the funding opportunities for State UI IT Modernization, described in
Section 4.c.i. of this UIPL, and for State Participation in Department-Sponsored
ARPA Program Activities, described in 4.c. ii. of this UIPL, to determine if the state
will apply for one or both components as described under this announcement.
• Coordinate with appropriate state staff to develop an Initial Application as described
in Section 4.c.iii.B. of this UIPL, respectively.
• Submit the application materials for one or both components described in this UIPL
via www.grants.gov by the close of business on July 28, 2023.
RESCISSIONS EXPIRATION DATE
None Continuing
3. Summary and Background.
a. Summary – This UIPL announces a funding opportunity, with one component to
support state UI IT modernization activities, and second component to support state
participation in Department-sponsored ARPA program activities.
Support for state UI IT modernization activities. The grant opportunity for state
UI IT modernization includes a total of $600 million for UI IT modernization
activities, as described in Section 4.c.i. of this UIPL.1 Regardless of size and
modernization status, each state may receive up to $11.25 million under this
component to engage in one or more of the activities identified by the Department in
Attachment I to this UIPL. The main objective is to assist states in adopting modular
approaches that make their systems easier to maintain and modify. This involves
breaking down large, complex systems into smaller components that can be managed
and updated independently. The grant opportunity focuses on targeted but high value
activities that support an incremental and evidence-driven approach to IT
modernization, rather than complete system overhauls. It is also aimed at promoting
software reuse across states and so states are encouraged, but not required, to consider
how resulting code or artifacts developed through these funds can be made available
as open source for other states to reference, adapt, or use themselves. Attachment I to
this UIPL provides a detailed description of the activities for IT modernization work
for which this funding may be used. Attachment II to this UIPL provides promising
practices and sample projects that align with these activities.
Support for state participation in Department-sponsored ARPA program
activities. The second component of this funding opportunity will support state
participation in Department-sponsored ARPA program activities. As described in
Section 4.b. of this UIPL, part of the Department’s multi-faceted approach to UI IT
modernization is to engage with states to develop and test various solutions,
resources, and approaches that can be used by the system more broadly. Examples of
these Department-sponsored ARPA program activities are described in Section 4.b.i.
of this UIPL. States may express interest in participating in these activities to their
ETA Regional Office. The list of available Department-sponsored ARPA program
activities is expected to change over time based on state need, interest, and capacity.
The second component of the grant funding offered in this UIPL for states to
participate in Department-sponsored ARPA program activities includes a total of $53
million. Each state may receive up to $1.0 million for this purpose. In anticipation of
current and future Department-sponsored ARPA program activities, states are
strongly encouraged to apply for the funding being made available with this
announcement. States that opt not to pursue funding under this opportunity may still
Since Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, the Federated States of
Micronesia, the Republic of the Marshall Islands, and the Republic of Palau do not operate regular UC programs,
this grant opportunity is not being made available to these jurisdictions.
participate in current and future Department-sponsored ARPA program activities,
though additional funding to cover such participation may not be available.
Two-step application process. The grant application and award process for both
components of the funding announced with this UIPL will be completed in two
stages. To receive funding, the state must complete an Initial Application as described
in Section 4.c.iii.B. of this UIPL. Upon receipt and processing of the Initial
Application, a Notice of Award (NOA) will be sent to the state.
• To drawdown funds from this NOA for state UI IT modernization
activities (up to $11.25 million per state), the state must submit a Full
Project Amendment, as described in Section 4.c.iii.C. of this UIPL that
includes, among other things, a Budget Information Narrative (see
Attachment VI of this UIPL) and Full Project Amendment, with detailed
information about the projects to be undertaken. The Full Project
Amendment must be submitted within 90 calendar days of the NOA.
• To drawdown funds from this NOA for Department-sponsored ARPA
program activities (up to $1 million per state), the state must submit a
Participation Package, as described in Section 4.c.iii.D. of this UIPL.
States may participate in more than one Department-sponsored ARPA
program activity. The state must submit and gain approval of a
Participation Package for each activity. Participation Package(s) may be
submitted at any time during the Period of Performance.
Grant terms and conditions. The period of performance for both opportunities
under this grant is five years and is described further in Section 4.c.iv. of this
UIPL. Additionally, as described in Section 4.c.iii.A. of this UIPL, receipt of
funding under this UIPL is conditioned on the requirements below:
• The state provides all confidential unemployment compensation (UC)
information to the Department of Labor’s Office of Inspector General
(DOL-OIG) for purposes of investigating fraud and performing audits.
• Prior to drawing the funding awarded under this UIPL the state must:
o for funding of State UI IT Modernization Activities - submit a Full
Project Amendment (described in Section 4.c.iii.C.) and agree to
share lessons learned and report outcomes; and
o for funding to support Participation in Department-sponsored
ARPA Program Activities – submit a Participation Package
(described in Section 4.c.iii.D.) and agree to provide feedback on
the effectiveness and experience of their participation.
This grant is subject to the requirements of 2 CFR Parts 200 and 2900, Uniform
Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards.
Relationship with other ARPA grant opportunities. The Department recognizes
that states may also receive funding under other ARPA grants to strengthen integrity,
promote equitable access, and ensure the timely payment of benefits in the UI
program. The activities funded under this UIPL are designed to complement those
opportunities, either by funding new IT-focused activities or by expanding on or
enhancing existing efforts.
b. Background – On March 11, 2021, ARPA was signed into law (Public Law (Pub. L.)
117-2). Section 9032, ARPA, creates a new Section 2118 of the Coronavirus Aid,
Relief, and Economic Security (CARES) Act (Pub. L. 116-136) and appropriates
$2,000,000,000 to be used to detect and prevent fraud, to promote equitable access,
and to ensure timely payment of benefits to eligible workers with respect to
Unemployment Compensation programs. ARPA describes allowable uses of these
funds, including awarding grants for such purposes to states and territories
administering UC programs and for systemwide infrastructure investment and
development.
Section 9032, ARPA, was a response to the challenges experienced during the
pandemic, and the difficulties many states face in modernizing antiquated UI IT
systems. Recognizing the importance of system infrastructure investment, Section
2118 specifies that infrastructure investments and grants to states are allowable uses
of the funds. Within the context of IT Modernization, the Department reminds states
of the impact that the activities described in Attachment I to this UIPL can have on
customer experience. An effective approach to strengthening the nation’s UI systems
starts with the recognition that modernization is a continual process of addressing
unmet needs, rather than just adopting a specific technology.
UIPL No. 03-23, published on March 6, 2023, announced to states the availability of
Department-funded operational and technical resources and services to states to assist
in implementing ARPA-related projects. These projects include state-specific IT
programming/development support to facilitate the implementation of application and
UI system enhancements necessary to implement state ARPA-formula-funded grant
projects offered in UIPL Nos. 22-21, 23-21, 02-22, and future ARPA-formula-funded
grant projects.
Training and Employment Notice (TEN) No. 16-21 informed states about grant
opportunities to build and pilot model technologies as part of the Claimant
Experience pilot. The $53 million funding opportunity detailed in Section 4.c.ii. of
this UIPL supplements this guidance and provides additional resources for states to
engage with the Department on projects related to technology modernization and
operational improvements.
Additionally, states are reminded that state labor market information (LMI) offices,
claimants, employers, and third-party agents (TPAs) are important stakeholders and
partners when states are modernizing their UI IT systems and need to be included
during the UI modernization project lifecycle (see TEN No. 14-19).
4. UI IT Modernization. The Department is taking a multi-faceted approach to modernization
for the UI program. This includes investing in state business processes and projects
specifically focused on three goals of ARPA: strengthening integrity, promoting equitable
access, and ensuring the timely payment of benefits. See UIPL Nos. 22-21 and its Changes;
23-21 and its Changes, 02-22 and its Changes; and 11-22.
First, this UIPL announces an investment in individual state IT modernization activities and
systems in a way that lowers the cost of change (as described further in Section 4.a. of this
UIPL). Second, this UIPL announces an investment to support state participation in
Department-sponsored ARPA program activities that capitalize on economies of scale and
commonalities across state UI programs (as described further in Section 4.b. of this UIPL).
As part of this investment, the Department is making available a total of $600 million for
state UI IT modernization activities and a total of $53 million to support state participation in
Department-sponsored ARPA program activities. The funding details of this grant are
described in Section 4.c. of this UIPL.
a. Vision for the Modernization of State UI IT Systems. The Department is making
available funding to support individual state UI IT modernization activities. An
effective approach to modernization starts with the viewpoint that technology is
always evolving and that state systems must be responsive to changing needs. It is
critical for all states to develop a system architecture that can scale to meet increases
in demand, which often occur at the same time states need to adapt to new federal
programs and changing fraud threats. However, many states struggle to adapt their
systems due in part to how the systems were designed and constraints that accompany
legacy technology. The resulting inflexibility and brittleness of these systems means
that even relatively “simple” changes can be prohibitively costly, time-consuming,
and risky.
The technical term for the brittle and inflexible systems commonly in use today is
called “monolithic.” Monolithic software is designed to operate as one big chunk
rather than as a series of independently managed parts. The challenge with monoliths
is that they are more difficult to maintain and evolve because the various components
of the system cannot be easily changed or replaced without affecting the system more
broadly.
Instead of monolithic system architectures, the Department encourages states to
pursue modular and incremental approaches when modernizing their systems. This
approach involves “breaking down” complex monoliths into smaller, more
interchangeable components (i.e., modules) that are easier to change and maintain.
Modular approaches can also make it easier for states to integrate new technologies
and may be accomplished using a wide range of tactics, including using standard
interfaces, leveraging Application Programming Interfaces (APIs), adopting cloud
technology, using open-source software, and adopting user-centric and agile
development practices.
b. Department-Sponsored ARPA Program Activities. The Department is providing a
variety of resources aimed at helping states modernize and improve in measurable
ways – working with states to identify, develop, and test solutions and approaches,
including modular technologies, which have the potential to benefit the system more
broadly. Given the collaborative and evidence-driven nature of these ARPA program
activities, some level of staff time from participating states is typically required.
The Department-sponsored ARPA program activities and related resources are
expected to evolve over time based on identified state need, interest, and capacity.
For example, the Department previously provided funding to two states to participate
in the Claimant Experience Pilot as announced in TEN No. 16-21.
Given the collaborative and evidence-driven nature of these ARPA program
activities, some level of staff time from participating states is typically required.
Funding is available to support state participation costs, as described further in
Section 4.c.ii. of this UIPL.
i. Examples of Department-Sponsored ARPA program activities. Some
examples of Department-sponsored activities that are available at the time of
publication for this UIPL include:
• Plain Language. Investment in clear language and information
architecture to improve the customer experience, including the
development of centralized plain language resources developed by the
Department published at: https://www.dol.gov/agencies/eta/ui-
modernization/language-portfolio.
• Mobile Usability. Investment in improving the mobile usability of UI
program digital services, described at:
https://www.dol.gov/agencies/eta/ui-modernization/blogs/go-mobile-
friendly.
• Claim Status. Investment in tracking tools that provide claimants with
clear information on the status of their claim and information about action
steps, including a model claims status toolkit published here:
https://www.dol.gov/agencies/eta/ui-modernization/claims-status.
• ID proofing through Login.gov and U.S. Postal Service (USPS).
Investment in federal public options for digital and in-person identity
verification.
ii. Expressing Interest to Participate in Department-Sponsored ARPA Program
Activities. The Department will continue to notify states of available
Department-sponsored activities through the ARPA pages on WorkforceGPS,
https://www.workforcegps.org/resources/2023/04/UI_Content/Public_ARPA_
External and the UI Modernization reference site,
https://www.dol.gov/agencies/eta/ui-modernization. States interested in
learning about these Department-sponsored resources should first look at
samples of work with other states and contact their ETA Regional Office,
which will connect them with the appropriate offices within the Department.
Upon expression of interest, the Department will contact the state for further
engagement, which will include discussion around project details, scope,
timing, resource commitment, project expectations, and funding. After these
conversation(s), the state and Department will make informed decisions about
how to proceed, including expectations and responsibilities.
All states that choose to participate in one or more of the Department-
sponsored ARPA program activities will be asked to execute a Partnership
Agreement between the state and the Department detailing the deliverable
associated with a specific Department-sponsored ARPA program activity, as
well as the respective roles and responsibilities of the state and the
Department for the applicable activity.2
c. Grant to Support UI IT Modernization Efforts. The Department is making
funding available to support state UI IT modernization activities, as well as funding to
support state participation in Department-sponsored ARPA program activities, under
a single grant award. States may choose to pursue funding under one or both of these
investments.
In anticipation of current and future Department-sponsored ARPA program activities,
as described in Section 4.b. of this UIPL, states are strongly encouraged to apply for
these funds immediately. States that opt not to pursue funding under this opportunity
may still participate in current and future Department-sponsored ARPA program
activities; however, additional funding to cover such participation may not be
available.
i. State UI IT Modernization Activities. Through this funding opportunity,
the Department is providing up to $600 million for states to invest in at least
one of the following modular and evidence-driven approaches. Each of these
activities are described in more detail in Attachment I to this UIPL.
Attachment II to this UIPL describes promising practices and sample projects
that align with these activities.
The Department may incorporate a data sharing agreement as part of the Partnership Agreement with the state,
which also may cover multiple Department-sponsored IT modernization activities with a Partnership Addendum
providing specific terms for each respective activity in which the state chooses to participate.
• Cloud migration;
• Outcome-driven enhancements;
• Modular and API-driven approaches;
• Automation and efficiency;
• Agile development practices;
• Defining and measurably improving the customer experience (CX);
• Flexible content changes;
• Promoting software reuse; and
• Other projects that support more modular and evidence-driven
approaches toward modernization.
A. Allowable Uses. States may use these funds to cover costs
associated with the activities listed above and described in
Attachment I to this UIPL.
B. Amount per State. Each state,3 regardless of size, may receive up
to $11.25 million for these purposes.
The Department anticipates that additional funding may be made available in
the future to further support these state efforts if states do not all request the
full amount available under this UIPL. If this were to occur, the Department
will issue a change to this UIPL to inform states of the requirements to apply
for any remaining available funding for UI IT modernization activities.
ii. Participation in Department-Sponsored ARPA Program Activities.
Through this funding opportunity, the Department is also announcing a total
of $53 million for states to participate in Department-sponsored IT
modernization activities, as described in Section 4.b. of this UIPL.
In anticipation of current and future Department-sponsored ARPA program
activities, states are encouraged to apply for these funds immediately and then
drawdown the amounts as necessary to participate in approved activities.
States that opt not to pursue this component of funding under this opportunity
may still participate in current and future Department-sponsored activities;
however, funding to cover such participation may not be available and states
would need to use funding from other sources.
A. Allowable Uses. States may use the funds available under this
grant opportunity to cover the costs associated with participation in
one or more of the Department-sponsored ARPA program
activities. Use of these grant funds require participation in one or
more of the Department-sponsored activities.
Since Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, the Federated States of
Micronesia, the Republic of the Marshall Islands, and the Republic of Palau do not operate regular UC programs,
this grant opportunity is not being made available to these jurisdictions.
Grant funds may be used for state expenses incurred for
implementing a new centralized service, or centrally provided
solution, or participating in the design and testing of an ARPA
program activity meant to test the development of a service whose
delivery can be expanded nationally, such as the login.gov or
USPS examples described above. Funding provided by this grant
may be used by states for the cost of hiring vendors or acquiring
software or hardware, but only to the extent such costs are incurred
as part of the state’s participation in a Department-sponsored
activity.
B. Amount per State. Each state,4 regardless of size, may request up
to $1 million for these purposes.
iii. Application Instructions. The grant application and award process for
funding under this UIPL will be completed in two stages. To receive funding,
the state must agree to the conditions described in Section 4.c.iii.A. of this
UIPL and complete an Initial Application as described in Section 4.c.iii.B. of
this UIPL. Upon receipt and processing of the Initial Application, a NOA will
be sent to the state. The Period of Performance is described in Section 4.c.iv.
of this UIPL and the Reporting Requirements are described in Section 4.c.v.
of this UIPL.
To drawdown funds from this NOA for state UI IT modernization activities
(up to $11.25 million per state), the state must submit a Full Project
Amendment, as described in Section 4.c.iii.C. of this UIPL.
To drawdown funds from this NOA for Department-sponsored ARPA
program activities (up to $1 million per state), the state must submit a
Participation Package, as described in Section 4.c.iii.D. of this UIPL. States
may participate in more than one Department-sponsored ARPA program
activity. The state must submit a Participation Package for each activity.
Participation Package(s) may be submitted at any time during the Period of
Performance.
A. Conditions of Receiving Grant Funding under this UIPL. By
submitting an Initial Application as described in Section 4.c.iii.B. of
this UIPL, the state must agree to the following conditions.
1. The state will disclose UC information to DOL-Office of
Inspector General (OIG). As discussed in UIPL No. 04-17,
Since Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, the Federated States of
Micronesia, the Republic of the Marshall Islands, and the Republic of Palau do not operate regular UC programs,
this grant opportunity is not being made available to these jurisdictions.
Change 1, states must refer allegations that they reasonably
believe constitute UC fraud, waste, abuse, mismanagement, or
misconduct to the DOL-OIG. As a condition of receiving a
grant under this UIPL, the state also agrees to provide all
confidential UC information to DOL-OIG for purposes of
investigating fraud and performing audits through weeks of
unemployment ending on or before the end of the Period of
Performance as described in Section 4.c.iv. of this UIPL.
2. For funding of State UI IT Modernization Activities:
a. The state agrees to submit a Full Project Amendment to
drawdown funds for State UI IT Modernization
Activities, as described in Section 4.c.iii.C. of this
UIPL, within 90 calendar days after receiving the NOA.
The grant funds will not be released until the Full
Project Amendment is approved; consequently, no
grant funds from this component may be drawn down
by the state until after the Full Project Amendment has
been approved by the Grant Officer.
b. The state agrees to share lessons learned and report
outcomes on one or more of desired outcome metrics in
Attachment I to this UIPL.
3. For funding to support Participation in Department-sponsored
ARPA Program Activities:
a. The state agrees to submit a Participation Package to
drawdown funds to participate in Department-
Sponsored ARPA program activities, as described in
Section 4.c.iii.D. of this UIPL. Recognizing that the
inventory of Department-sponsored ARPA program
activities will change and evolve over time, there is no
deadline for submitting a Participation Package. States
may also submit more than one Participation Package
may be submitted (i.e., if the activities that the state
wants to participate in change, the state would submit
an Amended Participation Package to participate in
additional Department-sponsored ARPA program
activities). The grant funds approved for the activity
will not be released until the Participation Package for
the activity is approved by the Department;
consequently, no grant funds for an activity may be
drawn down by the state until after the applicable
Participation Package has been approved.
b. The state agrees to provide feedback on the
effectiveness and experience of their participation,
which may include collecting and sharing relevant
metrics and responding through surveys.
States that anticipate serious challenges with meeting the timeframe
for submitting a Full Project Amendment may submit an extension
request via their ETA Regional Office as soon as possible before the
end of the 90-calendar day period. ETA expects that requests for an
extension will be rare. Approvals can only be provided by the Grant
Officer.
B. Initial Application. The Initial Application must be submitted via
www.grants.gov by the close of business July 28, 2023. The Initial
Application package must include:
• SF-424 – An SF-424 (instructions provided in Attachment V to
this UIPL). Please note that if the state intends to apply for both
components of the UI IT Modernization Grant funds, the total
amount of funds (i.e., the sum of both funding components, up to
$12.25 million per state) requested under the single grant award
must be included in the SF-424.
To attest compliance with the conditions described in Section
4.c.iii.A. of this UIPL, the state must check the “I AGREE” box
under Item 21 and include the appropriate language in Item 15 (as
indicated in the instructions for completing the SF-424 under
Attachment V of this UIPL). States should maintain any
supporting documentation that serves as evidence for meeting the
required conditions.
• Initial Project Plan – States applying to receive funding for State
UI IT Modernization Activities must submit a high-level
description as described in Attachment III of this UIPL. This
initial project plan includes a short description of the UI IT
projects the state intends to undertake, indicating which of the nine
types of activities (reference Attachment I of this UIPL) the state
intends to use grant funds to complete.
• Letter expressing interest in and anticipated need for funding
to participate in Department-sponsored ARPA program
activities – States applying to receive funding for participation in
Department-sponsored ARPA program activities must submit a
letter indicating their interest in participating in these activities and
their request for a specific funding amount for this purpose.
Upon receipt and processing of the Initial Application, a NOA will be
sent to the state.
C. Full Project Amendment for State UI IT Modernization Grant
Activities. As noted in Section 4.c.iii.A. of this UIPL, the Full Project
Amendment must be submitted to the appropriate ETA Regional
Office, within 90 calendar days of the date of issuance of the NOA.
The Full Project Amendment package must include:
• Copy of previously submitted SF-424 from the Initial
Application.
• SF-424A.
• Negotiated Indirect Cost Rate Agreement (NICRA).
• Full Project Plan: The Department will provide a template
via a Change to this current UIPL for states to complete
when submitting their full Project Plan. Attachment IV to
this UIPL provides questions for states to consider as they
are thinking through the development of a Full Project
Plan.
• States are encouraged to contact their ETA Regional Office
and participate in supportive webinars, office hours, and
other tools provided by the Department when developing
their Full Project Plan.
Upon receipt of the Full Project Amendment, the Department will
review and work with the state to approve the proposal. Please note
that a submittal of the Full Project Amendment does not constitute
approval by ETA, as final approval must be provided by the Grant
Officer. Once approved, the Full Project Amendment will comprise an
official amendment to the initial NOA, and the conditions of the award
that previously restricted access to funds will be resolved.
D. Participation Package Modification for Department-sponsored
ARPA Program Activities. As noted in Section 4.c.iii.A. of this
UIPL, a Participation Package must be submitted when a state and the
Department agree to collaborate on Department-sponsored ARPA
program activities and the state requires funding to support this
participation. The Department will collaborate with the state,
including through negotiations on a participation agreement that
includes expectations and responsibilities, and the amount of funding
needed for the IT solutions services to be provided. The Participation
Package must include:
• Copy of previously submitted SF-424 from the Initial
Application.
• SF-424A.
• Negotiated Indirect Cost Rate Agreement (NICRA).
• A fully executed Partnership Agreement between the state
and the Department detailing the deliverable associated
with a specific Department-sponsored ARPA program
activity, as well as the respective roles and responsibilities
from the state and the Department for the applicable
activity.5
• Budget Information Narrative.
• Full Project Plan.
Upon receipt of the Participation Package, the Department will review
and work with the state to approve the proposal. Please note that a
submittal of the required Participation Package does not constitute
approval by ETA, as final approval must be provided by the Grant
Officer. Once approved, the Participation Package will be an official
amendment to the initial NOA, and the conditions of the award that
previously restricted access to additional funds will be resolved.
iv. Period of Performance. The five-year period of performance for grants
awarded under this UIPL begins on the date the award is executed (e.g., the
date of the NOA). States must fully obligate all funds one quarter before the
period of performance ends and must liquidate all funds within 90 days
thereafter. Funding for state staff costs may not be obligated for use at a
future date and the obligation may only occur at the time the staff performs
services on the project/activity.
Grant funds may only be used for costs of activities incurred no earlier than
the beginning of the calendar quarter preceding the calendar quarter upon
execution of the award.
v. Reporting Requirements. For the grant awarded under this UIPL, states must
provide:
A. ETA 9178-ARPA – a quarterly narrative progress report
containing updates on the implementation and progress of each
grant project/activity. The form ETA 9178-ARPA is provided as
Attachment VII to this UIPL;
The Department may opt to execute this Partnership Agreement to include a data sharing agreement with the state
that may be applied to multiple Department-sponsored ARPA program activities and accompanied by a Partnership
Addendum for each respective activity that the state chooses to participate in.
B. ETA 9130 (OMB Control No. 1205-0461 Expiration Date:
01/31/2025) – a quarterly financial report.
C. A Note on the UI IT Modernization Pre-Implementation
Planning Checklist. (OMB Control No. 1205-0527 Expiration
Date: 06/30/2023) The Department published UIPL No. 11-18,
Change 1, announcing revisions to ETA 9177, UI IT
Modernization Pre-Implementation Planning Checklist Report.
The information gathered in the ETA 9177 Report must be used by
states to prepare for the implementation of new UI IT systems and
to ensure the availability of mission-critical functions. The ETA
9177 Report is required when a state is modernizing a major
component of a UI IT system or systems. A major component can
be a full benefits or tax system, or it can be a significant
component subset, such as continued claims certification or
adjudication. An ETA 9177 Report submission is not necessary
when a state is merely upgrading subcomponents of a system, such
as enhancing the front-end interface for claims intake. Other
instances where a state is not required to submit an ETA 9177
Report include ongoing maintenance activities: database upgrade,
IT server upgrades, replacing any obsolete hardware/software, etc.
When proceeding with approved activities for the State UI IT
Modernization Grants, states should review the ETA 9177 Report
and associated UIPL to determine what, if any, reporting may be
required under ETA 9177.
Any additional reporting requirements that may be established will be addressed
in changes to this UIPL.
d. Office of Management and Budget (OMB) Information Collection. In general,
under the Paperwork Reduction Act of 1995 (PRA), no person is required to respond
to a collection of information unless such collection displays a valid OMB control
number. However, Section 2116 of the Coronavirus Aid, Relief, and Economic
Security (CARES) Act provides that the PRA does not apply to Subtitle A of Title II
of Division A of the CARES Act. ARPA amended Subtitle A of Title II of Division
A of the CARES Act by adding Section 2118, which provides funding and authority
for these grants to states. Thus, the PRA does not apply to information collections
required for these grants.
5. Inquiries. Please direct inquiries to the appropriate ETA Regional Office.
6. References.
• American Rescue Plan Act of 2021 (ARPA), including Title IX, Subtitle A, Crisis
Support for Unemployed Workers (Pub. L. 117-2);
• Coronavirus Aid, Relief, and Economic Security (CARES) Act, Title II, Subtitle A –
Relief for Workers Affected by Coronavirus Act (Pub. L. 116-136);
• Sections 302(a) and 303 of the Social Security Act; 2 C.F.R. Parts 200 and 2900,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for
Federal Awards;
• UIPL No. 03-23, Availability of U.S. Department of Labor (Department) Funded
Resources and Services to State American Rescue Plan Act (ARPA) Grantees, issued
March 6, 2023, https://www.dol.gov/agencies/eta/advisories/uipl-03-23;
• UIPL No 02-22, Grant Opportunity to Support States Following a Consultative
Assessment for Fraud Detection and Prevention, Promoting Equitable Access, and
Ensuring the Timely Payment of Benefits, including Backlog Reduction, for all
Unemployment Compensation (UC) Programs, November 2, 2021,
https://www.dol.gov/sites/dolgov/files/ETA/advisories/UIPL/2021/UIPL_02-22.pdf;
• UIPL No 23-21, Grant Opportunity for Promoting Equitable Access to
Unemployment Compensation (UC) Programs, issued August 17, 2021,
https://www.dol.gov/sites/dolgov/files/ETA/advisories/UIPL/2021/UIPL_23-21.pdf;
• UIPL No. 22-21, Grant Opportunity to Support States with Fraud Detection and
Prevention, Including Identity Verification and Overpayment Recovery Activities, in
All Unemployment Compensation (UC) Programs, issued August 11, 2021,
https://www.dol.gov/agencies/eta/advisories/unemployment-insurance-program-
letter-no-22-21;
• UIPL No 22-21 Change 2, Additional American Rescue Plan Act (ARPA) Funding
and Support for States to Strengthen Unemployment Insurance (UI) Program
Integrity, including Identity (ID) Verification, Fraud Prevention and Detection, and
Overpayment Recovery Efforts in All Unemployment Compensation (UC) Programs
and Required and Strongly Recommended Strategies, Tools, and Services for UI
Fraud Risk Mitigation and Improper Payment Reduction, issued on April 27, 2023,
https://www.dol.gov/agencies/eta/advisories/uipl-22-21-change-2;
• UIPL No. 11-18, Change 1, Employment and Training Administration (ETA) 9177
Report – Pre-Implementation Planning Checklist Report for State Unemployment
Insurance 9UI) Information Technology (IT) Modernization Projects – Additional
Updates to the ETA 9177 Report and Reporting Instructions, issued on July 16, 2020,
https://www.dol.gov/agencies/eta/advisories/unemployment-insurance-program-
letter-no-11-18-change-1;
• UIPL No 04-17, Disclosure of Confidential Unemployment Compensation (UC)
Information to the Department of Labor's Office of Inspector General (OIG), issued
December 16, 2016, https://www.dol.gov/agencies/eta/advisories/unemployment-
insurance-program-letter-no-04-17;
• UIPL No. 04-17, Change 1, Requirement for States to Refer Allegations of
Unemployment Compensation (UC) Fraud, Waste, Abuse, Mismanagement, or
Misconduct to the Department of Labor's (Department) Office of Inspector General's
(DOL-OIG) and to Disclose Information Related to the Coronavirus Aid, Relief, and
Economic Security (CARES) Act to DOL-OIG for Purposes of UC Fraud
Investigation and Audits, issued August 3, 2021,
https://www.dol.gov/agencies/eta/advisories/unemployment-insurance-program-
letter-no-04-17-change-1;
• TEN 16-21, Announcing Grant Awards Made to States Selected to Participate in the
Unemployment Insurance (UI) Information Technology (IT) Modernization Project -
Claimant Experience Pilot, issued December 2, 2021,
https://www.dol.gov/agencies/eta/advisories/training-and-employment-notice-no-16-
21 ; and
• TEN 14-19, Importance of Including Labor Market Information Stakeholders in
Planning and Implementation for Unemployment Insurance (UI) Information
Technology Modernization Projects, issued January 13, 2020,
https://www.dol.gov/agencies/eta/advisories/training-and-employment-notice-no-14-
19.
7. Attachments.
• Attachment I: State UI IT Modernization Activities and Outcome Metrics
• Attachment II: Promising Practices and Sample Projects
• Attachment III: Initial Project Plan for State UI IT Modernization Efforts
• Attachment IV: Full Project Plan: Questions to Consider
• Attachment V: Instructions for Completing the SF-424 and SF-424A
• Attachment VI: General Instructions for the Completion of a Budget Information
Narrative
• Attachment VII: Form ETA 9178-ARPA
• Attachment VIII: Glossary of Key Terms for IT Modernization
Attachment I to UIPL No. 07-23
State UI IT Modernization Activities and Outcome Metrics
Each state may receive up to $11.25 million to implement at least one of the UI IT Modernization activities described in the table below.
Refer to Section 4.c.i of this UIPL.
Activity Description Examples of Desired Outcome Metrics
Cloud State migration from legacy platforms, such as More easily scale resources to meet changing demands
Migration mainframes, to cloud-based technology that will and/or more quickly deploy new IT applications or
measurably improve the flexibility and security of IT enhancements such as:
systems compared to existing metrics or conditions.
1. Reduction in hardware and infrastructure costs:
The objective of a cloud-based migration is not only States can evaluate the cost savings resulting from
to move data securely from mainframes to a cloud- reduced hardware and infrastructure costs
based system (e.g., “lift and shift”), but to use that associated with the migration to cloud-based
transformation to improve the architecture of the technology.
data so that systems are ultimately more resilient and • This can be measured by comparing the cost of
responsive to changing needs. maintaining legacy platforms with the cost of using
cloud-based technology.
2. Improved system performance: States can
measure the improvement in system performance
resulting from the migration to cloud-based
technology.
• This can be evaluated through metrics such as
system uptime, response time, and user satisfaction.
3. Faster deployment of new applications: States
can measure the time it takes to deploy new
applications, enhancements, and or more easily
Activity Description Examples of Desired Outcome Metrics
respond to new federal program requirements after
the migration to cloud-based technology.
• This can be evaluated by comparing the time it
takes to deploy applications using legacy platforms
with the time it takes using cloud-based
technology.
4. Increased system availability: States can measure
the increased system availability resulting from the
migration to cloud-based technology.
• This can be evaluated by comparing the
downtime of legacy platforms with the downtime of
cloud-based technology.
5. Improved scalability: States can measure the
improved scalability resulting from the migration to
cloud-based technology.
This can be evaluated by comparing the ability
of legacy platforms to scale resources to meet
changing demands with the ability of cloud-
based technology to scale resources.
Activity Description Examples of Desired Outcome Metrics
Outcome- Replace or enhance applications with new solutions Greater customer self-service:
driven that will measurably improve state IT system Self-service in the context of customer experience and
Enhancements performance compared to existing metrics or the UI program refers to a customer's ability to access
conditions. Examples of applications include but information and perform certain actions related to their
are not limited to claims status portals, front end web UI claim without requiring assistance from a UI
page redesigns, dynamic fact finding, redesigned representative. This includes features such as online
claimant initial and continued claims applications, application filing, checking the status of a claim,
dynamic online help tools, automated workflows, requesting benefit payments, and updating personal
improved batch job performance and monitoring. information, among others. Self-service options can
This category can also be used to improve (e.g., provide customers with greater convenience, control,
refactor) legacy code and or architecture that results and speed in managing their UI claims, while also
in measurable improvements. reducing the workload and costs for UI agencies.
1. Customer self-service adoption rate: Measure the
number or share of claimants who use the new
application to complete tasks on their own.
• Filing claims, managing documents, or checking
the status of their claim.
2. Call center volume reduction: Measure the
decrease in call center volume after implementing
the new application.
• Indicates that more claimants can complete tasks
on their own.
3. Staff productivity or efficiency improvement:
Measure the increase in staff productivity or
efficiency after rollout.
• Time saved on manual data entry or processing.
Activity Description Examples of Desired Outcome Metrics
4. First-payment promptness improvement:
Measure the improvement in first-payment
promptness.
• Indicates that the new application has reduced
the time it takes to process claims and issue
payments.
5. User satisfaction: Conduct surveys or gather
feedback from users to measure satisfaction with the
new application.
• Includes ease of use, clarity of instructions, and
user experience.
Modular and Improve the flexibility of IT systems by breaking 1. Time and cost savings: Measure the time and cost
API-driven down complex “monolithic” systems into smaller, savings achieved by implementing a modular
Approaches more manageable components. approach by comparing it with the time and cost
• Monolithic refers to a legacy software design required to make similar changes using the legacy
pattern where all (or many) components are tightly system.
integrated and dependent on each other making
even simple IT changes costly, time-intensive, and 2. System uptime: Measure the system uptime and
risky. availability after implementing a modular approach
to determine if the system is more reliable and
Instead, a modular approach allows for changes to stable.
be made to a single component more easily than if
those same changes were applied to the system as a
whole. 3. Maintenance time and costs: Measure the time
and cost savings achieved by implementing a
Activity Description Examples of Desired Outcome Metrics
In addition, the use of API-driven approaches can modular approach in terms of maintenance, testing,
further enhance flexibility by allowing different and modification of the IT system.
systems to communicate and exchange data more
easily.
4. System performance: Measure the performance of
Overall, a modular approach provides many benefits, the new modular system compared to the legacy
including easier maintenance, testing, scaling, and/or system to determine if the system is more efficient
modification of the IT system, by allowing more and scalable.
targeted software changes and enabling modules to
be replaced more easily.
Automation Apply new technology or practices to enable 1. Reduced processing time for tasks: Measure the
and Efficiency responsible uses of automation and improve staff time it takes to complete specific tasks before and
efficiency. These investments drive measurable after implementing new technology or practices.
improvements: This can show how much time is saved and how
• Reduced costs much more work can be accomplished.
• Improved accuracy
• Improved timeliness 2. Increased accuracy: Measure the number of errors
• Freeing up staff from manual processes so they or mistakes made before and after implementing
can focus on higher value tasks. new technology or practices. This can demonstrate
how much more accurate the system has become.
New Technology Examples: Robotic Process
3. Cost savings: Measure the cost of performing tasks
Automation (RPA), Optical Character Recognition
(OCR), Natural Language Processing (NLP), before and after implementing new technology or
Chatbots, Data Analytics tools, etc. practices. This can demonstrate how much money
is saved through automation or increased
New Practices Example: Lean Six Sigma is a efficiency.
system aimed at reducing defects in technology
processes. The focus for Lean Six Sigma is data-
Activity Description Examples of Desired Outcome Metrics
driven decision making, continuous improvement, 4. Staff productivity: Measure the amount of work
and a customer-centric approach, with technology as completed by staff before and after implementing
a core enabler of this approach. new technology or practices. This can demonstrate
how much more work is being accomplished and
how staff can focus on higher value tasks.
5. Improved customer experience: Measure the
satisfaction of customers before and after
implementing new technology or practices. This
can demonstrate how much more efficient and
effective the system has become in meeting the
needs of its customers.
Agile Implement “Agile Development and Deployment 1. Reduced time-to-market for new features or
Development Practices” such as DevOps and Continuous applications.
Practices Integration/Continuous Deployment (CI/CD), to
improve the flexibility and sustainability of IT 2. Increased productivity and efficiency of
systems. development teams.
Agile is a software development methodology that 3. Reduced development and maintenance costs.
emphasizes iterative development, where value is
delivered incrementally and shaped by user 4. Improved software quality with fewer defects and
feedback. It includes several supporting practices, faster bug fixes.
such as DevOps--which promotes effective
collaboration between software developments and 5. Higher customer satisfaction due to quicker delivery
business stakeholders--with the goal of delivering of features and responsiveness to feedback.
software more quickly and reliably.
Activity Description Examples of Desired Outcome Metrics
CI/CD is a similar practice that involves automating 6. Improved collaboration between development and
the process of building, testing, and deploying business stakeholders, leading to better alignment of
software changes. Often, these practices are used IT systems with business needs.
together to increase the speed, efficiency, and quality
of software development and deployment. To measure these outcomes, states can track metrics
such as cycle time, lead time, deployment frequency,
These practices will drive measurable defect rate, customer feedback, team productivity, and
improvements, such as reducing the time it takes to cost savings.
develop and deploy new features, fewer defects, • These metrics can be compared against baseline
fewer manual tasks, and or cost savings. data or industry benchmarks to demonstrate the
impact of implementing Agile practices.
Defining and Establish baseline metrics for the customer Data analytics, user research, and testing.
Measurably experience (CX) for any website or portal where Additional CX outcome measurements include time to
Improving the customers can access information, services, or file online, the percent of filers who successfully file a
Customer resources related to state programs and services and claim in each session and reducing drop off in the user
Experience engage in activities that will measurably improve at flow. Explain how new IT system changes will
(CX) least one of those metrics. measurably improve these goals.
Some suggested metrics to consider include: 1. Time and accuracy of task completion: Measure
• Usage metrics, including the number of visits the average time it takes for claimants to complete
to the portal versus the number of logins to assess specific tasks on the portal, such as filing a new claim
usage rates and identify potential areas of friction or or submitting weekly certifications and how better
other trends experiences can improve accuracy, drive faster
• Completion rates, such as the % of claims payments, and reduce improper payments
completed online versus those that require in-person
assistance
2. Abandonment rate: Measure the percentage of
claimants who start a task on the portal but abandon
Activity Description Examples of Desired Outcome Metrics
• User feedback collected from surveys or other it before completing it. This can indicate that the
forms that can be used to identify areas for task is too complex or difficult to complete.
improvement
• Task completion rates, the % of users who 3. Click-through rate: Measure the percentage of
successfully complete defined tasks on the portal, users who click on links or buttons on the portal that
such as filing a claim or submitting documentation lead to other pages or tasks. A low click-through
• Error rates, the frequency and type of errors rate may indicate that the design or layout of the
encountered or made by claimants, either due to portal is confusing or difficult to navigate.
system downtime, or confusion that leads to
claimants submitting incorrect or incomplete 4. Error rate: Measure the percentage of users who
information. encounter errors while using the portal, such as
system downtime or technical errors. This can
indicate areas for improvement in the portal's
infrastructure.
5. User satisfaction: Conduct surveys or collect
feedback from claimants about their experience
using the portal. Ask about their overall
satisfaction, ease of use, and any suggestions for
improvement.
Activity Description Examples of Desired Outcome Metrics
Flexible Invest in a content management system (CMS), or States can document measurable outcome examples
Content similar tools and approaches, to make both public for flexible content changes. This will verify that
Changes and internal-facing content changes to your system these changes reduce complexity for claimants, and/or
more easily reduce the potential for errors that contribute to delays
and improper payments.
For example, a CMS enables the creation,
modification, and publication of digital content in a 1. Content creation and publishing efficiency:
centralized manner and can help streamline the Measure the time it takes to create and publish new
content creation process, improve content quality, content on the portal. A successful CMS should
and promote consistency across communication help reduce the time required for these tasks.
channels. These investments will enable plain
language changes to be made more easily and or
provide multilingual support to the public. 2. Content quality and accuracy: Monitor user
feedback and complaints to evaluate the quality and
accuracy of the content. Regularly updating and
improving the content should lead to fewer user
complaints and increased satisfaction.
3. Usability and accessibility: Use analytics tools to
monitor the portal's usage and user behavior and
ensure that the CMS is helping to create a user-
friendly experience. Monitor user engagement with
features such as multilingual support to evaluate the
success of these enhancements.
4. Consistency and compliance: Evaluate whether
the CMS has helped promote consistency in the
messaging and presentation of content across
communication channels. Compliance with federal
and state regulations regarding content should also
Activity Description Examples of Desired Outcome Metrics
be monitored.
5. Cost-effectiveness: Evaluate whether the use of the
CMS has led to cost savings by reducing the time
and resources required for content creation and
maintenance.
6. Overall, the success of a CMS should be measured
in terms of its ability to provide a streamlined, user-
friendly experience that improves access to and
understanding of UI programs and resources.
Promoting Engage in any modernization effort that results in a Include open-source software, reusable code and/or
Software component, or artifacts, that can be shared with other design artifacts made available in a publicly available
Reuse states and achieves one or more of the following: 1) repository such as Git-Hub, RFI/RFP templates,
measurably improves the customer experience; 2) requirements documents, system architecture
reduces the cost of IT systems maintenance and or diagrams, and/or related materials that may be useful
change based on baseline metrics or conditions; 3) to other states.
drive efficiencies that measurably reduce system
issues/defect or backlogs.
(Relates to any of the other areas, but with evidence of
sharing related components for reuse with other
states/the UI system).
Activity Description Examples of Desired Outcome Metrics
Other Project Propose an idea that aligns with this focus and States are encouraged to draw from the recommended
that Supports directly improves the flexibility of IT systems and/or metrics included in the other eight categories to
more Modular promotes evidence-driven approaches to support proposals for alternative ideas.
and Evidence – modernization
Driven
Approaches
towards
Modernization
Attachment II to UIPL No. 07-23
Promising Practices and Sample Projects
The Department has identified the following promising practices for states to consider when
developing their Full Project Plans.
• Targeted and High-Value Changes: The funds should be utilized for specific
improvements that enhance the flexibility and performance of state systems in measurable
ways. It is important to focus on making incremental changes rather than complete system
overhauls.
• Software Reuse and Collaboration: States are strongly encouraged to participate in making
the resulting code or artifacts from their efforts available as open source. They should also
consider referencing, adapting, or reusing components developed by other states as part of
this effort. This promotes software reuse and the sharing of best practices across states,
aligning with the DOL's broader vision for UI IT modernization.
• Agile and Human-Centered Approach: States should adopt agile methodologies and
prioritize a human-centered approach. This means delivering software in iterative and
incremental cycles, seeking early and frequent feedback from users, and using that feedback
to inform the evolution of solutions. This approach ensures that user needs are met
effectively and efficiently.
• Continual Process of Modernization: Modernization is an ongoing process that involves
changes to technology, people, and processes. States should consider how new technologies
will require corresponding process changes and evaluate the need for new or different skills
to fully support the modernized systems.
• Augmenting, not Replacing, Staff with Technology: When considering the use of
technology to streamline or automate functions, states should prioritize augmenting current
staff rather than replacing them. They should carefully evaluate how to implement
appropriate safeguards and controls to ensure the effective, accurate, and ethical deployment
of technology.
In support of these promising practices, the following table reflects projects that states might
consider, in line with the nine allowable activities described in Section 4.c.i. and Attachment I to
this UIPL.
Sample Project Associated
Activity
States may choose to migrate systems, or specific applications, from Cloud Migration
legacy hosting platforms to the cloud. By doing so states can realize
several benefits, including reduced infrastructure costs, improved
scalability, and performance, particularly during periods of high claims
volume, as well as improved security, accessibility, and collaboration
between agencies.
States may choose to decouple system components, like claimant portals Modular & API-
from mainframes, so that those new components can be managed driven Approaches
independently and are easier to maintain and change.
Sample Project Associated
Activity
States may choose to implement application program interfaces (APIs) Modular & API-
to enable more seamless integration and interoperability between driven Approaches
different systems and platforms, including new components that may
interface with existing vendor or vendor-provided solutions.
States may choose to make enhancements to their claimant portals, such Improving the
as making it mobile-friendly, adopting plain language, and or improving Customer
the user experience, in measurable ways. In particular, the Department Experience
strongly encourages states to make enhancements that promote claimant
self-service, reduce the need for manual state intervention, and/or
reduce the potential for errors and delays.
States may use funds to hire staff that enable and leverage data Improving the
collection and feedback from claimants to drive strategic insights and Customer
measurable improvements to the customer experience. Experience
Some examples of the types of roles states may choose to invest in
include product managers, user researchers, and content designers.
States may choose to update legacy code to comply with accessibility Improving the
standards, such as WCAG (Web Content Accessibility Guidelines) to Customer
improve access for individuals with varying needs, such as visually- Experience
impaired individuals who require screen-readers to access the web.
States may choose to adopt DevOps, a software development approach Adopting Agile
that emphasizes collaboration, communication, and automation between Development
software and business teams, to drive faster and more frequent software Practices
releases with fewer defects. Adopting a practice like DevOps requires
new skillsets and cultural shifts, but also automating processes and
tools, such as automating builds, tests, and deployments, implementing
continuous integration and continuous deployment (CI/CD) pipelines,
and embracing infrastructure as code that allows for infrastructure to be
managed and scaled programmatically.
States may choose to invest in a content management system (CMS) Flexible Content
that allows staff to make public-facing content changes more quickly Changes
and easily.
State can choose to identify and refactor (e.g., improve) legacy code in Outcome-driven
ways that measurably improve the speed of processing UI claims and/or enhancements
improve system performance in terms of downtime, response time, and
resource utilization metrics.
States may choose to implement robust error handling mechanisms and Outcome-driven
improved data validation to measurably reduce error rates. enhancements
Attachment III to UIPL No. 07-23
Initial Project Plan for State UI IT Modernization Efforts
As described in Section 4.c.iii.B. of this UIPL, states applying to receive funding for State UI IT
Modernization Activities must submit an Initial Project Plan as part of their Initial Application.
The Initial Project Plan focuses on information to help the Department effectively support states
in further development of the Full Project Amendment, such as which categories the state is
interested in pursuing, as well as information about the existing state technology system(s).
Initial Project Plan
About the State’s Existing UI IT System
☐ State
☐ Vendor
1. Is your UI IT system vendor or state If vendor, please identify the vendor(s) and scope of
owned? their system:6
☐ Cloud
☐ Mainframe
2. Does your system operate on cloud ☐ Other:
infrastructure or on mainframes?
3. Do you have any current or upcoming ☐ No
UI IT modernization efforts planned or in
process? ☐ Yes
For example, a state may use a vendor to support one component of their system but not another. Please specify.
If yes, what efforts are planned/in process? What is
the status?
☐ No
4. In addition to ARPA Tiger Teams,7 have ☐ Yes
you recently (within the last calendar year)
conducted any assessments of your If yes, what changes were recommended?
technology systems and received
recommendations for changes?
5. What, if any, other state agencies must
be involved in your UI IT projects?
6. Are you interested in sharing code and ☐ No
or other artifacts as open source with other
states through this grant opportunity? ☐ Yes
7. Are you interested in referencing or ☐ No
reusing components that come out of this
effort and are made available by other
states? ☐ Yes
About the State’s Proposed Activities under this Grant
☐ Cloud migration
☐ Outcome-driven enhancements
1. Which of the 9 allowable activities ☐ Modular and API-driven approaches
outlined in Attachment I of this UIPL are
you interested in pursuing with your grant ☐ Automation and efficiency
award? (You may select more than one.)
☐ Agile development practices
☐ Defining and measurably improving the
customer experience (CX)
Reference UIPL No. 02-22 and its Changes for additional details.
☐ Flexible content changes
☐ Promoting software reuse
☐ Other project that supports more modular and
evidence-driven approaches toward modernization.
2. What specific problems or challenges in
your current IT system will this award help
your state address?
Note: These challenges should relate to the
thematic focus of this grant opportunity,
which is aimed at helping states improve
the flexibility and performance of their IT
systems through modular and evidence-
driven approaches.
Attachment IV to UIPL No. 07-23
Full Project Plan: Questions to Consider
As described in Section 4.c.iii. of this UIPL, states must submit a Full Project Amendment
within 90 calendar days of receiving their Notice of Award for State UI IT Modernization
Efforts. Included in this amendment is a Full Project Plan.
This Attachment provides questions for states to consider as they are thinking through
development of this plan. The Department will provide a template via a Change to this UIPL for
states to complete when submitting their Full Project Amendment.
• Which of the 9 activities will you pursue with this grant award?
o You can select more than one activity, and that the
activities you choose may be different from the items
Statement of Purpose initially proposed in your Initial Application.
• Please describe the problem(s) that these funds will help solve, and
how addressing them will help improve the flexibility and
performance of your IT system?
• Given the problems to solve, what does success look like?
Goals/Key Outcomes &
Describe in terms of outcomes and supporting measures that can be
Measures
objectively verified.
• How will you achieve these results? What are the key activities
associated with your plan?
• Describe your timeline and approach. How will you sequence these
activities and what are the key milestones you will use to show
progress?
• Who will you partner with for this project? If your state must go
Project Plan
through procurement to identify vendors, how will that impact
timelines and milestones?
• How will you validate the effectiveness of these activities,
including through user testing when appropriate?
• What are the costs associated with this plan? How will you allocate
funds from your award to support it?
• Do you anticipate needing additional support from DOL to
Additional Support successfully execute on the goals and plans described above?
• What type of help/assistance might you need?
Attachment V to UIPL No. 07-23
Instructions for Completing the SF-424 and SF-424A
Application for Federal Assistance (SF-424)
Use the current version of the form for submission. Expired forms will not be accepted. SF-424,
Expiration Date 11/30/2025, Office of Management and Budget (OMB) Control No. 4040-0004
(Grants.gov).
Section # 8, APPLICANT INFORMATION:
• Legal Name: The legal name must match the name submitted with the System for Award
Management (SAM). Please refer to instructions at https://www.sam.gov/SAM/.
• Employer/Tax Identification Number (EIN/TIN): Input your correct 9-digit EIN and
ensure that it is recorded within SAM.
• Unique Entity Identifier (UEI): Starting on April 4, 2022, the DUNS Number was
replaced by a new, non-proprietary identifier requested in and assigned by the System for
Award Management (SAM) at SAM.gov. This new identifier is being called the Unique
Entity Identifier (UEI), or the Entity ID. To learn more about SAM’s rollout of the UEI,
please visit the U.S. General Service Administration (GSA), Unique Entity Identifier
Update webpage. Before submitting, a state must also ensure its registration with
SAM.gov is current. (SAM replaced the Central Contractor Registry.) States can find
instructions for registering with SAM at https://sam.gov/content/entity-registration. An
awardee must maintain an active SAM registration with current information at all times
during which it has an active Federal award or an application under consideration. To
remain registered in the SAM database after the initial registration, states must review
and update the registration at least every 12 months from the date of initial registration.
Failure to register with SAM and maintain an active account will result in a rejection of
your submission.
• Address: Input your complete address including Zipcode+4; Example: 20110-0831. For
lookup, use the link at https://tools.usps.com/go/ZipLookupAction_input.
• Organizational Unit: Input appropriate Department Name and Division Name, if
applicable.
• Name and contact information of person to be contacted on matters involving this
application: Provide complete and accurate contact information including telephone
number and email address for the point of contact.
Section # 9, Type of Applicant 1: Select Applicant Type: Input “State Government
Section # 10, Name of the Federal Agency: Input “Employment and Training Administration”.
Section # 11, Catalog of Federal Domestic Assistance Number: Input “17.225”; CFDA Title:
Input “Unemployment Insurance”.
Section # 12, Funding Opportunity Number and Title: Input “UIPL No. 07-23 UI IT
Modernization Grant 2023”.
Section # 13, Competition Identification Number: Leave Blank.
Section # 14, Areas Affected by Project: Input the place of performance for the project
implementation; Example “NY” for New York.
Section # 15, Descriptive Title of Applicant’s Project:
• Input “UIPL No. 07-23, UI IT Modernization Grant 2023”.
• Additionally, input: “State acknowledges and agrees that, prior to accessing any
funding under this grant award, State must submit the required amendments to the
award, including all the components described as part of the Full Project
Amendment and/or Participation Package and within the timeframe described in
UIPL No. 07-23, cooperate in the resolution of any issues, with final approval of
the modified grant provided by the Grant Officer”.
Section # 16, Congressional Districts of
a. Applicant: Input the Congressional District of your home office. For lookup, use link at
www.house.gov with Zip code + 4.
b. Program/Project: Input the Congressional District where the project work is performed.
If it is the same place as your home office, input the congressional district for your home
office. For lookup, use link at www.house.gov with Zipcode+4.
Section # 17, Proposed Project Dates.
a. Start Date: Input a valid start date for the project (earliest start date will be April 1,
2023).
b. End Date: Input a valid end date for the project (March 31, 2028).
Section # 18, Estimated Funding ($):
Input the applicable funding allotment as listed for your modernization activity
Section #s 19 – 20: Complete as per instructions for Form SF-424.
Section # 21, Authorized Representative: Please select the “I AGREE” check box and
provide complete information for your authorized signatory including contact information such
as telephone number and email address. If your Authorized Representative has changed from
your previous application submission for this program, please include a letter from higher-level
leadership authorizing the new signatory for the application submission.
Remember to have the SF-424 signed and dated by the Authorized Representative.
Budget Information - Non-Construction Programs (SF-424A)
• Use the current version of the form for the submission. Expired forms will not be
accepted. SF 424A, Expiration Date 02/28/2025, OMB Control No. 4040-0006
https://apply07.grants.gov/apply/forms/sample/SF424A-V1.0.pdf
• Section B – Budget Categories: Ensure that TOTALS in Section 6, Object Class
Categories matches the Estimated Funding requested in the SF-424.
• If indirect charges are specified in Section 6, Object Class Categories, then include
either:
o (a) The approved indirect cost rate with a copy of the Negotiated Indirect Cost
Rate Agreement (NICRA), a description of the base used to calculate indirect
costs along with the amount of the base, and the total indirect costs requested; OR
o (b) For those applicant states that meet the requirements to use the 10 percent de
minimis rate as described in 2 C.F.R. 200.414(f), a description of the modified
total direct cost base (see 2 C.F.R. 200.1 for definition) used in the calculation
along with the amount of the base, and the total indirect costs requested based on
the 10 percent de minimis rate.
Attachment VI to UIPL No. 07-23
General Instructions for the Completion of a Budget Information Narrative
The Budget Information Narrative must include the following information:
• Each line item on the SF‐424A must be explained, and the cost provided for each. Each
line item on the SF‐424A pertains to projected costs at the recipient level, except for the
Contractual line item. Contractual should include costs at the project operator level.
• The total for each line item on the Budget Information Narrative must match the total for
each line item on the SF‐424A.
• If a grant modification requests to realign the budget, the narrative must address the
reason for the change in each affected line item.
1. Personnel – List all staff positions by title. State 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.
2. Fringe Benefits – Provide the overall fringe benefit percentage which reflects the
recipient’s organizational fringe, and list the components included, such as health
insurance, FICA, retirement, etc. Provide the fringe benefit calculation for each staff
position listed under the Personnel line item.
3. Travel – Specify the type and purpose of the travel, the number of travelers, approximate
mileage, per diem rates, estimated number of trips, and other associated travel costs.
4. Equipment – Identify each item of equipment to be purchased. Equipment has an
estimated acquisition cost per unit of $5,000 or more, and a useful life of one year or
more. List the quantity and unit cost per item. Items with a unit cost of less than $5,000
are classified as supplies.
5. Supplies – Supplies include all tangible personal property other than “equipment.”
Identify supply categories (e.g., office supplies, cell phones, personal tools for disaster
clean‐up, etc.). List the cost associated with each category.
6. Contractual –
• Identify each project operator and the funding allocation made to the organization.
• Provide total projected costs (NOT for each project operator but as a lump sum)
for each of the following categories: Administrative Costs, Career Services,
Supportive Services, Training (itemize work-based training and classroom
training), and Other Costs (itemized).
7. Construction – 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. DOL does not consider this as construction, and the costs
must be shown on other appropriate lines such as Contractual.
8. Other – List each item in sufficient detail for DOL to determine whether the costs are
reasonable or allowable. Costs included under Other should not fit into any other line-
item category.
Indirect Charges – If charging indirect costs to the grant, this line item must be populated.
Include the current approved Negotiated Indirect Cost Rate Agreement, signed by the Federal
cognizant agency, as an attachment
Attachment VII to UIPL No. 07-23
Form ETA 9178-ARPA
U.S. Department of Labor (DOL) OMB No. N/A[1]
Employment and Training Administration Expiration Date: N/A
Form ETA 9178-ARPA
Quarterly Narrative Progress Report
American Rescue Plan Act (ARPA) Grants
General Information
Report Quarter Date of
State Name: Grant Number:
Ending: Submission:
Project
UIPL Number:
Name:
Project Contact Information
Name: Agency:
Title Address:
Ext
Phone: City:
:
E-Mail: State: Zip Code:
Project Report
A. Summary of Project
Please limit your response to 1000 characters or less.
States must use this section to provide a detailed executive summary of the
project/activity/solution (project). Each funded project will have its own separate quarterly
progress report (ETA 9178-ARPA) through the quarter the project ends. States must use this
section to provide a short summary of the project’s purpose. This summary should only change
during the life of the grant if the state has received an approved modification. Modifications
only apply to grants that require a full application.
B. Timeline for Grant Activities and Milestones or Deliverables
Please limit your response to 1000 characters or less.
States must use this section to provide the timelines for and the progress achieved in completing
grant activities, key milestones, and deliverables for this quarter. A timeline must still be
developed for all project activities. The timeline must provide a project flow that includes start
and end dates, a schedule of activities, and projected outcomes. In order to reap the most
benefit from the timeline, the timeline must be updated each quarter noting the actual date of
completion as each activity is accomplished. Items to incorporate in the timeline include
project goals, milestones, special events, important deadlines, and deliverables.
C. Project Implementation and Funding Status
Please limit your response to 1000 characters or less.
States must use this section to provide a description of the implementation of key activities
and/or project status for the current quarter. Place an ‘X’ in one of the four checkboxes
provided below to provide an assessment of implementation progress. The assessment must be
supported by the status narrative noting if the project is on schedule, behind schedule, ahead of
schedule, or complete this quarter. Once the project is marked as complete this quarter, the
state is no longer required to submit an ETA 9178-ARPA report for the project.
In addition, please provide the funding status for this project for the end of the quarter,
including the total project funding, total obligated, funding balance, and time remaining to
expend funds/expenditure target.
Ahead of Complete this
State Self- On Schedule Behind Schedule
Schedule Quarter
Assessment:
Total Project
Total Obligated Funding Balance Expenditure Target
Funding
D. Project Challenges, Risk Mitigation Efforts/Modification Requests, and Technical
Assistance Needs
Please limit your response to 1500 characters or less.
States must use this section to summarize any significant challenges to project implementation
encountered during the quarter and describe any risk mitigation efforts or actions taken to
address the identified challenges. In addition, a status update must be provided on the
resolution of challenges identified in previous quarters. This section should also include any
questions you have for DOL and note any identified needs for technical assistance from DOL or
others. The narrative must also indicate whether the grantee is requesting a modification to any
project strategies and how the modification request changes the original project proposal. If a
modification has been requested, the narrative must also indicate the status of the modification
request. Modifications only apply to grants that require a full application. If states have
nothing to report, that should be specified.
E. Best Practices, Promising New Strategies and Success Stories
Please limit your response to 1000 characters or less.
States must use this section to describe promising approaches, innovative processes, or grant
success stories. States must also describe any lessons learned and how those lessons learned
will be implemented. Throughout the implementation of the project, states may discover new
strategies that emerge as a result of data-driven continuous improvement. As progress is made
with a new and promising strategy, or as data is gathered to support it, states must document the
progress and data each quarter. If states have nothing to report, that must be specified.
F. Additional Outcome Information
Please limit your response to 1000 characters or less.
This section requires states to report grant-specific outcomes not captured in other sections of
the quarterly narrative progress report, including, but not limited to, outcomes measuring
equitable service delivery, outcomes measuring fraud detection and prevention, outcomes
measuring backlog reduction, and specific outcomes included in the grant application.
Certification
Name of Grantee Certifying Official:
Phone:
E-Mail Address:
Instructions to Complete ETA 9178-ARPA
Project Contact Information:
This section is to provide the contact information (i.e., Name, Title, Address, etc.) for the state
official who is responsible for the day-to-day operation and implementation of the project. This
may be a different person that the certifying official.
Certification:
Name of Grantee Certifying Official - Use this section to provide the name of the state official
who is certifying submission of the report to the U.S. Department of Labor (Department).
Phone - Provide the area code and telephone number ((###) ###-####) of the authorized state
official.
E-Mail Address - Provide the email address of the authorized state official.
General Instructions
States receiving ARPA Grant Funds are required to submit quarterly progress reports to the
Department’s Employment and Training Administration (ETA) in order to comply with the
reporting and record keeping requirements of these funds. Each state recipient of funds must
submit a narrative Quarterly Progress Report (QPR) containing updates on the progress and
implementation of the project(s) undertaken as a result of the funding.
Report Form and Instructions
The QPR provides narrative updates on the implementation of project(s) undertaken as a result of
the funding and the status of each project per quarter.
Due Dates
All quarterly reports are due to ETA no later than 45 days after the end of each reporting quarter.
The table below shows the expected due dates for each reporting quarter.
Reporting Quarters Due Dates
October 1st – December 31st February 14th
January 1st – March 31st May 15th
April 1st – June 30th August 14th
July 1st – September 30th November 14th
If a due date falls on a Saturday, Sunday, or holiday, the report is due the previous business day.
Submission Procedures
Information contained in the quarterly report (ETA 9178-ARPA) must be submitted by email
directly to the ETA Regional office. An ETA Federal Project Officer will review and accept the
report within 30 days of receipt.
Office of Management and Budget (OMB) Approval. Section 2116(a) of the CARES Act, 5
U.S.C. 9032(a), states that “Chapter 35 of Title 44, United States Code, (commonly referred to as
the ‘Paperwork Reduction Act of 1995’) shall not apply to the provisions of, and the
amendments made by, this subtitle.” As the OMB approval process is waived for these reporting
instructions, these instructions should be considered final.
[1] Refer to section 2116(a) of P.L. 116-136, the Coronavirus Aid, Relief, and Economic Security
Act, March 27, 2020
Attachment VIII to UIPL No. 07-23
Glossary of Key Terms for IT Modernization
Note: This is not an exhaustive list; if you have questions about any of the terms used in this
UIPL please reach out to your ETA Regional Office.
An approach to software development that emphasizes collaboration,
Agile flexibility, and the ability to adapt to change and develop software
incrementally, usually known as sprints.
Application
Functionality that enables different software applications (or modules)
Programming
to talk to each other and exchange data.
Interfaces (APIs)
A way of hosting and accessing an application over the internet, rather
Cloud Technology
than on local computers or servers, like mainframes.
Software that allows users to create, manage, and publish digital
Content Management
content, such as web pages, without needing to know how to code or
System (CMS)
program.
Continuous
Integration & A set of practices that automate the testing, building, and deployment of
Continuous software to make it easier and faster to release updates.
Deployment (CI/CD)
The time, effort, and resources required to make changes to a system,
Cost of Change
including procurement, development, testing, and deployment.
Customer Experience The overall, end to end experience a customer has when interacting
(CX) with a product, service, or organization.
A set of agile practices that combine software development and IT
DevOps
operations to improve the speed and reliability of software delivery.
A process of making changes to a system gradually, one step at a time,
Incremental
rather than all at once.
Legacy Technology / Older technology or systems that are no longer widely used or
Systems supported but may still be in use by some organizations.
A continual process of addressing unmet needs through technology and
Modernization
process improvements
An approach that involves breaking down a system into smaller,
independent parts, which can be developed and tested separately. This
Modular
makes it easier to make changes and updates without affecting the
whole system.
A large, complex system, where all parts are tightly connected and
Monolith changing one part can have unintended consequences for the rest of the
system.
Software that is developed and distributed by a community of
Open-Source Software
developers and made available to use, modify, and distribute.
A design approach that focuses on the needs and preferences of users,
User-centered with the goal of creating products and services that are easy to use and
provide a good user experience.
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