Extended performance period for unemployment equity grants

RESCISSIONS: None
EXPIRATION DATE: Continuing

CLASSIFICATION
   EMPLOYMENT AND TRAINING ADMINISTRATION                  Unemployment Insurance
               ADVISORY SYSTEM                             CORRESPONDENCE SYMBOL
          U.S. DEPARTMENT OF LABOR                         OUI/DPM
             Washington, D.C. 20210                        DATE
                                                           April 4, 2022


ADVISORY:       UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 23-21,
                Change 3

TO:             STATE WORKFORCE AGENCIES

FROM:           ANGELA HANKS
                Acting Assistant Secretary

SUBJECT:       Extension of Period of Performance for Awards related to Grant Opportunity
               Announced in Unemployment Insurance Program Letter (UIPL) No. 23-21

1. Purpose. To advise states that the period of performance for awards that promote equitable
   access to unemployment compensation (UC) programs is extended to March 31, 2024.

2. Action Requested. The U.S. Department of Labor’s (Department) Employment and
   Training Administration (ETA) requests that State Workforce Agency Administrators
   provide information contained in this UIPL to appropriate staff.

3. Summary and Background.

       a. Summary – On August 17, 2021, the Department issued UIPL No. 23-21 advising
          states of the availability of funding for activities that promote equitable access to UC
          programs. In that UIPL, states were advised that grant applications should be
          submitted no later than October 18, 2021. The Department determined that states
          needed additional time to submit such applications, and extended the deadline to
          November 30, 2021, in UIPL No. 23-21, Change 1, issued on November 1, 2021. In
          response to state requests for more time, the Department further extended the
          deadline for submitting these grant applications to December 31, 2021 in UIPL No.
          23-21, Change 2, issued on December 20, 2021.

          The Department is providing feedback and technical assistance to states on a rolling
          basis to help them not only meet the requirements for approval described in the
          funding opportunity announcement, but also to help ensure their proposed projects
          and activities are likely to have successful outcomes and potentially become best
          practices. As a result of the time this process requires, states have requested an
          extension of the period of performance for this funding opportunity. The
          Department is announcing an extension of the period of performance and that UI
          equity grant funds must be obligated by states by March 31, 2024, and liquidated
          within 90 days thereafter.


        b. Background – On March 11, 2021, the President signed the American Rescue Plan
           Act of 2021 (ARPA) 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 provides a $2,000,000,000 appropriation to the
           Secretary of Labor to detect and prevent fraud, to promote equitable access, and to
           ensure timely payment of benefits to eligible workers with respect to UC programs.
           In support of ARPA’s goals, the Department issued UIPL No. 23-21, announcing a
           grant opportunity for activities that promote equitable access to UC programs.
           Section 6.b. noted that UI equity grant funds must be obligated by states by
           September 30, 2023, and liquidated within 90 days thereafter. See section 4.b. of
           UIPL No. 23-21 for information on allowable uses for such funds to promote
           equitable access to UC programs.

4. Guidance. Section 6.a. of UIPL No. 23-21 sets out the required actions that states must
   complete in applying for a grant under this offering. Based on feedback from multiple
   applicants, the Department determined that states may need additional time to revise their
   applications as well as to perform their proposed projects and activities. Therefore, the
   Department is amending Section 6.b. of UIPL No. 23-21 and is extending the period of
   performance for this opportunity to March 31, 2024. The section now reads:

       Timeframe for Obligation and Liquidation of Funds. These UI equity grant funds
       must be obligated by states by March 31, 2024, and liquidated within 90 days thereafter.
       Funding for state staff 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.

   Other than this extension of the period of performance and the above-mentioned extensions
   of the deadline to submit grant applications, announced in UIPL Nos. 23-21, Change 1 and
   Change 2, all other guidance and information in UIPL No. 23-21 remain the same. Thus,
   states with an approved UI equity grant application may request a modification extending
   the period of performance for their grant activities.

5. Inquiries. Please direct inquiries to the appropriate ETA Regional Office.

6. References.
   •    American Rescue Plan Act, Pub L. 117-2, enacted March 11, 2021;
   •    CARES Act, Pub. L. 116-136, enacted March 23, 2020;
   •    UIPL No. 23-21, Grant Opportunity for Promoting Equitable Access to Unemployment
        Compensation (UC) Programs, issued August 17, 2021,
        https://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=7400 ;
   •    UIPL No. 23-21, Change 1, Extension of Time to Submit Request for Funding under
        Grant Opportunity Announced in Unemployment Insurance Program Letter (UIPL) No.
        23-21, issued November 1, 2021,
        https://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=4662; and


   •   UIPL No. 23-21, Change 2, Further Extension of Time to Submit Request for Funding
       under Grant Opportunity Announced in Unemployment Insurance Program Letter
       (UIPL) No. 23-21, issued December 20, 2021,
       https://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=9824.

7. Attachment(s). None.