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
July 1, 2022-June 30, 2024
III.Rescission
Workforce Innovation and Opportunity Act (WIOA) Policy Letter No. 17-04.2, Waivers
for Implementation of the Comprehensive Case Management and Employment Program (September 29, 2022).
IV.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 WIOA Section 129(a)(4) and 20 CFR 681.410 which require that local workforce
development areas expend at least 75 percent of local area youth funds to
provide services to out-of-school youth (OSY) and calculation of the local area
expenditure for each local area.
2.Waiver of 20 CFR 681.550 to allow WIOA
individual training accounts (ITAs) for in-school youth (ISY).
3.Waiver of 20 CFR 681.590(b) to allow
local workforce development areas to count both WIOA local youth formula funds
and TANF funds toward the minimum 20 percent expenditure requirement for paid
or unpaid work experience.
4.Waiver associated with the requirement
at WIOA Section 129(a)(4)(A) and 20 CFR 681.410 that States expend 75% of
Governor’s reserve Youth funds on Out of School Youth (OSY).
On June 7, 2022, 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) 2023 or June 30, 2024.
V.Requirements
A. Waiver
to allow TANF funds to count toward the 75 percent expenditure requirement for
out-of-school youth and to calculate the expenditure requirement on a statewide
basis.
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 PY22 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, PY21 Youth funds are
available to local areas until June 30, 2023, so the calculation will include
TANF dollars invested in local services benefitting out-of-school youth from
July 1, 2021 until June 30, 2023.
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 PY20 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 was spent on
OSY:
$400,000 (divided by) $600,000
= 67% |
The area also invests $200,000 of its TANF funds on
co-enrolled OSY WIOA Youth:
WIOATANF
$400,000 + $200,000 = $600,000 $600,000 $200,000 $800,000
= 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 the use of individual training accounts (ITA) for in-school youth (ISY),
ages 16-21 years.
The intent of using ITAs in the WIOA ISY program is to expand
training options, increase program flexibility, enhance customer choice, and
reduce paperwork. This waiver encourages the youth population to seriously look
at career pathways and in-demand occupations and empowers them to make their
own decisions, thereby taking responsibility for their actions.
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. 15-11.2, Use of Individual Training Accounts, and paragraph
(E)(4)(a) of rule 5101:14-1-02 of the Ohio Administrative Code will also
include in-school youth in addition to out-of-school youth.
C.Waiver
to allow TANF funds to count towards the 20 percent work experience expenditure
requirement.
The
purpose of this waiver is to increase participant enrollment in work experiences
by having TANF funded, co-enrolled participants count towards the 20 percent requirement
defined in 20 CFR 681.590. The waiver supports the principles of streamlining
services, increasing accountability and accessibility, state and local flexibility
and ease of administration.
Both WIOA youth and TANF expenditures will count toward the 20
percent expenditure requirement for paid or unpaid work experience for youth
co-enrolled in those programs. In addition to WIOA local youth program funds
spent on paid and unpaid work experiences, including wages and staff costs for
development and management of work experiences, local areas in Ohio may include
TANF work experience expenditures in the calculation of the 20 percent work
experience expenditure requirement.
If TANF
funds are used for a co-enrolled youth’s work experience wages, those funds
must be added to the numerator and denominator of the existing 20 percent work
experience calculation.
Of $500,000 in WIOA Youth spending, $50,000 was spent
on work experience:
$50,000 (divided by) $500,000
=10% |
The area also invests $100,000 of its TANF funds on work
experiences for co-enrolled WIOA Youth:
WIOATANF
$50,000 + $100,000 =$150,000 $500,000$100.000 $600,000
= 25% |
This will allow for more youth to be served in the WIOA Youth
program, more work experiences to be developed, and, ultimately, better
outcomes for co-enrolled WIOA and TANF youth.
D.Waiver associated
with the requirement at WIOA Section 129(a)(4)(A) and 20 CFR 681.410 that the
State expend 75 percent of Governor’s reserve youth funds on OSY.
The state of Ohio requested a waiver to lower the minimum OSY
expenditure requirement for providing direct services to youth to 50 percent. This
waiver will allow more flexibility of funding special projects with WIOA
Statewide Activities funding to meet the mission of the state and address the
effects that the COVID-19 pandemic and shutdown of schools to in-person learning
had on students.
The goal of this waiver is to promote innovative special
projects through the implementation of evidence-based programs and strategies
that increase services to at-risk, in-school youth in local schools and
communities, despite their education status.
This waiver will
allow local areas to partner with Ohio schools to identify students who are
most in need, provide necessary services, and leverage federal funding for
positive results.
VI.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: CCMEPQNA@jfs.ohio.gov.
VII.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. 15-11.2, Use of Individual Training Accounts, (August 11, 2020).