I. Purpose
The purpose of this policy is to provide guidance on the use of the
United States Department of Labor (USDOL) approved waivers of Workforce Innovation
and Opportunity Act (WIOA) laws and regulations.
II. Effective
Date
December 21, 2017 through June 30, 2020
III. Background
The Comprehensive Case Management and Employment Program (CCMEP)
was created to transform the network of human services and workforce programs across
Ohio. To help Ohioans move beyond poverty to meaningful employment, Ohio has modernized
its system by integrating youth programs funded by Temporary Assistance for Needy
Families (TANF) and WIOA to create a new way to work.
By integrating WIOA and TANF youth programs, Ohio may more effectively
utilize and leverage federal dollars from these funding sources to support the needs
of customers who are eligible for these separate funding sources. Braiding funds
allows the WIOA youth program to provide more comprehensive services to participants
while maximizing partner resources to assist youth.
To allow more flexibility with WIOA youth program funds to implement
CCMEP, Ohio requested the following waivers:
1. Waiver of section
129(a)(4) of the Workforce Innovation and Opportunity Act (WIOA) and 20 C.F.R. 681.410
which requires that the local workforce development area (local area) expend at
least 75 percent of local area WIOA youth funds to provide services to out-of-school
youth. This waiver allows the State to satisfy the 75 percent expenditure threshold
for out-of-school youth using a combination of WIOA and Temporary Assistance for
Needy Families (TANF) funds.
2. Waiver of section 129(a)(4) of WIOA and
20 C.F.R. 681.410 to allow calculation of the 75 percent out-of-school youth expenditure
threshold at the State level rather than local level; and
3. Waiver of 20 C.F.R. 681.550 to allow local
workforce development boards (WDBs) to use individual training accounts (ITAs) for
in-school youth.
On December 21, 2017, the Ohio Department of Job and Family Services
received a letter from the United States Department of Labor (USDOL) fully approving
Ohio's requested waivers. These waivers are approved through Program Year (PY) 2019
or June 30, 2020, consistent with the approval period of Ohio's four-year WIOA state
plan.
IV. Requirements
A. Waiver
of the requirement that the local area expend at least 75 percent of local area
WIOA youth funds to provide services to out-of-school youth.
Under CCMEP, with its emphasis on co-funding to benefit a more cost-effective
service delivery, the number of disconnected youth that can be served will increase,
particularly given the large infusion of TANF dollars. This will ultimately allow
WIOA youth dollars to have a further reach and greater impact in local communities.
Additionally, by allowing the calculation of the expenditure rate to be statewide,
there would be more flexibility amongst all the local areas to serve the population
of participants unique to that local area.
To recognize the influx of TANF dollars being invested in the WIOA
out-of-school youth population under CCMEP, the Office of Workforce Development
(OWD) will include the amount of TANF dollars spent on co-enrolled WIOA out-of-school
youth during a program year (PY) both the numerator and denominator of the out-of-school
rate calculation. The formula below defines the calculation to be used beginning
with PY 2016 funds:
Out-of-School
Youth (OSY) Rate Calculation Under Waiver Authority
|
WIOA OSY
expenses
| + |
TANF
spent on co-enrolled WIOA OSY
|
Total
WIOA OSY + In-School Youth expenses
|
TANF
spent on co-enrolled WIOA OSY
|
To align TANF spending to a WIOA program year, the time period for
CCMEP TANF expenses to be included in both the numerator and denominator will be
the TANF expenses for co-enrolled out-of-school youth reported in the twelve months
preceding the end-date of the WIOA Youth funds at the local area level. For example,
PY16 Youth funds are available to local areas until June 30, 2018, so the calculation
will include TANF dollars invested in local services benefitting out-of-school youth
from July 1, 2017 until June 30, 2018.
The example below compares the out-of-school youth rate calculation
under current WIOA law to the proposed waiver flexibility for a local area that
spent $400,000 of its $600,000 in PY16 WIOA Youth program funds during the two years
of availability as well as $200,000 of its CCMEP TANF funds spent during the second
year of the Youth grant on services for out-of-school youth who are co-enrolled:
Of $600,000 in Youth spending, $400,000 $400,000 was $600,000 Spent on OSY: =
67% | The area also invests WIOA TANF $200,000 of its TANF $400,000 + $200,000 = $600,000 Funds on co-enrolled $600,000 $200,000 $800,000 OSY WIOA youth: =
75% |
|
|
To determine the amount of TANF funds spent on co-enrolled WIOA out-of-school
youth, OWD will pro-rate the CCMEP TANF expenditures in a program year based on
the number of participants served in each CCMEP TANF population during that year
(i.e., served with TANF funds only, co-enrolled in WIOA in-school youth, and co-enrolled
in WIOA out-of-school youth). Only the proportion of CCMEP TANF expenses for the
program year attributable to co-enrolled WIOA out-of-school youth based on relative
participant counts in the three categories will be included in the out-of-school
youth rate calculation.
B. Waiver
to allow local workforce development boards (WDBs) to use individual training accounts
(ITAs) for in-school youth.
The intent of using ITAs in the WIOA out-of-school program is to
expand training options, increase program flexibility, enhance customer choice,
and reduce paperwork. Ohio wanted in-school youth to also have this option. This
waiver encourages this population to seriously look at career pathways and in-demand
occupations and empowers them to make their own decisions.
Under this waiver, local WDBs and CCMEP lead agencies may use ITAs
for in-school youth. Local WDB directors should contact the lead agencies and/or
youth program providers to coordinate this activity and ensure local area policies
pertaining to ITAs will be adhered to.
By using an ITA, the local WDB does not have to competitively procure
training services funded by WIOA for in-school youth. However, training services
must still be provided in a manner which maximizes informed consumer choice in selecting
an eligible training provider.
This waiver expands the population of individuals who may receive
an ITA. Therefore, the requirements for providing an ITA found in Workforce Innovation
and Opportunity Act Policy Letter (WIOAPL) No. 15-11.1, Use of Individual Training
Accounts, and paragraph (E)(4)(a) of rule 5101:14-1-02 of the Administrative Code
will also include in-school youth in addition to out-of-school youth.
V. Technical
Assistance
Ongoing support, guidance, training and technical assistance on workforce
development area designation, subsequent designation, or redesignation requirements,
including stakeholder consultation, are available to all local areas.
Requests for technical assistance may be sent to ODJFS, Office of
Workforce Development: WIOAQNA@jfs.ohio.gov or CCMEPQNA@jfs.ohio.gov.
VI. References
Workforce Innovation and Opportunity Act, §§ 129 and 189, Public
Law 113-128.
20 C.F.R. §§ 679.600 - 679.620, 681.410 and 681.550.
ODJFS, Workforce Innovation and Opportunity Act Policy Letter No.
15-11.1, Use of Individual Training Accounts, (January 8, 2018).