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WIAPL 08-07 (National Emergency Grants (NEGs) - Self-Sufficiency for the Wilmington Airpark Dislocated Workers)
Workforce Investment Act Policy Letter No. 08-07
February 19, 2009
TO: WIA Local Workforce Investment Boards (WIBs), Fiscal Agents, Administrative Entities, and One-Stop Operators
FROM: Douglas E. Lumpkin, Director
SUBJECT: National Emergency Grants (NEGs) - Self-Sufficiency for the Wilmington Airpark Dislocated Workers

I.Purpose

This policy establishes guidelines to be used within the areas affected by the Wilmington Airpark closure when determining self-sufficiency of an individual to participate in activities authorized under the Workforce Investment Act (WIA).

This NEG policy applies to all targeted participants served by the following Project Operators: Local Area 7 - Clinton, Montgomery, Highland, Greene, and Fayette; Local Area 12 - Butler, Clermont, and Warren; Local Area 1 - Scioto, Adams, Brown, and Pike; Local Area 13 - Hamilton; Local Area 11 - Franklin; and Local Area 20 - Ross, Fairfield, and Pickaway. In instances where a local WIB policy conflicts with this issuance, the NEG policy shall be followed when the service is paid with NEG funds. Workers impacted by the downsizing of the Wilmington Airpark who reside outside of the aforementioned areas should be referred to the Wilmington transition center to access available services. Out-of-area One-Stops may also make arrangements to access available NEG services through any one of the project operators.

NEG services are available to eligible dislocated workers identified in the approved NEG resulting from the downsizing of the Wilmington Airpark regardless of their counties of residence. Local WIBs outside of the project operators listed above may use local funds, as appropriate, to serve this targeted group if accessing NEG-funded services is not feasible for the

workers. Non-project operators may follow their local policies when using their local formula funds for impacted workers.

II.Effective Date

October 1, 2008

III.Background

NEGs are discretionary awards intended to temporarily expand service capacity at the state and local levels by providing time-limited funding assistance in response to significant dislocation events. In August 2008, the Ohio Department of Job and Family Services, Office of Workforce Development applied for NEG funds to aid the areas and workers affected by the downsizing of the Wilmington Airpark in Wilmington, Ohio. Due to the number of workers and counties impacted in Ohio, the state wants to ensure that workers will receive consistent and efficient services from the One-Stop center network, thereby providing a seamless transition regardless of the county of residence or local workforce investment area of the workers.

IV.Guidance Statement

The Workforce Investment Act requires that in order for employed adults and dislocated workers to move from core services to intensive services, they must be in need of such services in order to obtain or retain employment that allows for self-sufficiency. USDOL recognizes that dislocated workers may require a wage higher than a self-sufficiency standard for the adult population.

For purposes of NEG self-sufficiency eligibility, project operators must determine that the dislocated worker is in need of intensive services to achieve self-sufficiency. Workers who have received notice of layoff, but have not yet been laid off and who do not have any other sources of employment are not subject to a review of self-sufficiency.

Determination of self-sufficiency status requires a two-step assessment of the worker's employment:

1.Determine if the employment is "interim employment."

2.If the employment is not "interim", a determination if the hourly wage is at least 85% or higher than the wage at dislocation.

Interim Employment

Interim employment is employment that has been accepted for income maintenance prior to, and/or during, participation in intensive or training services with the intention of ending such employment at the completion of the intensive or training services with entry into permanent unsubsidized employment as a result of the services. Interim employment is accepted because the affected workers have lost the customary work for which their training, experience, or work history qualifies them. Interim employment can be part-time or full-time. Consideration may be made to categorize employment as "interim" when the worker does not have access to health care and is seeking a new job that provides this coverage. Such employment must be with an employer other than that from which the individual was laid off.

An eligible worker who is in interim employment following dislocation is not considered self-sufficient even if the hourly wage exceeds 85% of the dislocation wage.

Wage Standard for Non-Interim Employment:

Employed workers whose hourly wage is at least 85% of the dislocation wage are considered to be "self-sufficient," unless the employment is considered to be "interim employment." Workers who are determined to be "self-sufficient" may be served in core services only (either registered or non-registered core).

A.Documentation

Documentation to demonstrate self-sufficiency is required for all employed individuals. This would include verification of current hourly wage and dislocation wage, unless employment is categorized as "interim." If employment is interim, an applicant statement and/or related documentation must be obtained that verifies this condition.

B.Reporting

All participants served under this NEG will be counted in statewide performance and must be entered in SCOTI WIA, Special Grants. Participants may be co-enrolled in local formula funded WIA programs. Co-enrolled participants will be counted in both statewide and local performance.

C.Local Implementation of NEG Policies

In order to access NEG funds for targeted individuals, local WIBs must pass a resolution to adopt the statewide NEG policies for targeted individuals or modify existing policies to adopt the statewide NEG policies.

D.Using Local Formula Funds

Local WIBs identified as project operators for this NEG may elect to serve eligible workers under the NEG using local formula funds if desired. However, in order to ensure consistent and equitable service delivery, local WIBs must modify existing local policies to adopt the statewide NEG policies when serving this population. WIBs would then be authorized to serve eligible workers using local formula funds following the statewide NEG policies rather than the locally approved WIB policies.

Affected workers served with local formula funds must be enrolled in SCOTI WIA, and identified by a unique code entered in the local use field in the basic intake screen as an individual covered under this NEG. Separate reporting requirements to further explain this process have been issued by the ODJFS, Office of Workforce Development.

V.Technical Assistance

For additional information, you may send your questions to the Office of Workforce Development: WIAQNA@JFS.OHIO.GOV.

VI.References

USDOL approved National Emergency Grant, Wilmington Airpark

20 CFR 671.140