(A)      The Ohio department of job and family services (ODJFS) issues the department of labor (DOL) Workforce Innovation and Opportunity Act (WIOA) allocations to local area WIOA fiscal agent on behalf of the local workforce development boards (LWDBs) to provide to adults with barriers to employment, the services they need to succeed in the labor market. These services include increased access to opportunities for employment, education, training and support services.

(B)      This allocation is composed of one hundred per cent federal funds. The catalog of federal domestic Assistanceassistance (CFDA) number is 17.258.

(C)     The period of performance and liquidation period for this allocation will be communicated by ODJFS through the county finance and information system (CFIS). Funds must be expended by the end of the period of performance and reported no later than the end of the liquidation period.

(D)     ODJFS authorizes the WIOA adult funds on a program year (PY) and/or a federal fiscal year (FFY) basis.

(E)      Methodology.

ODJFS uses the following formulas to allocate formulary funding for local areas. Statistics used to calculate funding are provided by the office of workforce development (OWD) as described in the state plan approved by the DOL.

(1)      ODJFS allocates one-third of the funds based on the relative number of unemployed individuals in areas of substantial unemployment in each local area, compared to the total number of unemployed individuals in areas of substantial unemployment in the state.

(2)      ODJFS allocates one-third of the funds based on the relative excess number of unemployed individuals in each local area compared to the total excess number of unemployed individuals in the state.

(3)      ODJFS allocates one-third of the funds based on the relative number of disadvantaged adults in each local area compared to the total number of disadvantaged adults in the state.

(4)      Hold harmless provision

(a)      ODJFS applies the "hold harmless" provision which states that the local area will not receive an allocation amount for a PY that is less than ninety per cent of the average allocation percentage of the local area for the two preceding PYs.

(b)      ODJFS will calculate the amounts necessary for increasing allocations to local areas in accordance with the hold harmless provision by proportionately reducing the allocations made to other local areas.

(c)      If the amount of the WIOA funds appropriated in a fiscal year are not sufficient to provide the amount specified in paragraph (E)(4)(b) of this rule to all local areas, ODJFS will proportionally reduce the amounts allocated to each local area.

(5)      Should the DOL issue a rescission of funds, ODJFS will determine the level of adjustments needed to comply with the rescission.

(F)      Allowable expenditures.

Allowable expenditures must comply with all requirements of the state and local area subgrant agreement, as well as any incorporated assurances, certifications, and 2 C.F.R. Parts 200 and 2900.

(1)      Career pathways

Career pathways provide participants education and training services that align with the skill needs of industries in the involved economy. The focus on career pathways enables individuals to participate in activities that support industry or sector partnerships and provide increased focus on the attainment of industry-recognized certificates and credentials linked to in-demand occupations. Career pathways include:

(a)      Counseling that supports education and career goals;

(b)      Education and training for workforce preparation and specific occupation or occupation cluster;

(c)      Services that accelerate the educational and career advancement of the participant; and

(d)      Training that assists the participant's attainment of a secondary diploma or its recognized equivalent.

(2)      Incumbent worker training services up to twenty per cent, as described in WIOA section 134(d)(4).

(3)      Supportive services, including needs related payments as described in WIOA sections 134(d)(2) and 134(d)(3).

(4)      Under WIOA section 133(b)(4), a local area may utilize the WIOA adult funding for allowable services under dislocated worker employment and training activities.

(5)      Local areas electing to use a percentage of the WIOA adult grant for dislocated worker activities shall use the coding established in CFIS.

(6)      All funding is subject to the OWD program policy regarding expenditure rates and recapture of unused funds.

(G)     Administration.

(1)      The costs of administration are the costs associated with performing the following:

(a)      Accounting, budgeting, financial and cash management;

(b)      Procurement and purchasing;

(c)      Property and personnel management;

(d)      Payroll;

(e)      Audits and coordinating the resolution of findings arising from audits, reviews, investigations and incident reports;

(f)       General legal services;

(g)      Developing systems and procedures, including information systems, required for these administrative functions; and

(h)      Fiscal agent responsibilities.

(2)      In accordance with 20 C.F.R. part 683.215, the definition of WIOA administration specifies that all costs incurred for functions and activities of sub-recipients and contractors are program costs, unless the sub-recipient or contractor is performing only administrative functions.

(3)      A local area may use up to ten per cent of the allocation amounts for the administrative cost of carrying out WIOA activities.

(4)      Sub-recipients and contractors performing program functions that are funded with WIOA adult funds do not report the costs associated with performing these program functions as administrative costs against the area's ten per cent administration expense limit.

A local area may use up to ten per cent of the allocation amounts for the administrative cost of carrying out WIOA activities. These funds may be used for administrative costs as described in rule 5101:9-31-06 of the Administrative Code.

(H)     Statewide activities.

(1)      The governor may set aside a portion of the funds for this allocation as defined in federal legislation for statewide activities, including five per cent for administrative activities.

(2)      The governor or LWDBs may increase the on-the-job training reimbursement rate to seventy-five per cent under certain conditions as defined in WIOA section 134(c).

(3)      ODJFS may periodically allocate statewide funding for special projects.

(I)       Allocated funds may not be used on construction or purchase of facilities, buildings, or foreign travel.

(J)      The local area shall maintain documentation in accordance with the records retention requirements in rule 5101:9-9-21 of the Administrative Code. This documentation may be subject to inspection, monitoring, and audit by the ODJFS office of fiscal and monitoring services (OFMS) and the Ohio auditor of state (AOS).

Effective: 06/25/2017

Certification: CERTIFIED ELECTRONICALLY

Date: 06/15/2017

Promulgated Under: 111.15

Statutory Authority: 5101.02, 6301.03

Rule Amplifies: 5101.02, 6301.03

Prior Effective Dates: 6/22/15