(a) Title III funds available to States and substate grantees may be
used to provide needs-related payments to participants in accordance
with the approved State or substate plan, as appropriate.
(b) In accordance with the approved substate plan, needs-related
payments shall be provided to an eligible dislocated worker only in
order to enable such worker to participate in training or education
programs under this part. To be eligible for needs-related payments:
(1) An eligible worker who has ceased to qualify for unemployment
compensation must have been enrolled in a training or education program
by the end of the thirteenth week of the worker's initial unemployment
compensation benefit period, or, if later, by the end of the eighth week
after an employee is informed that a short-term layoff will in fact
exceed 6 months.
(2) For purposes of paragraph (b)(1) of this section, the term
enrolled in a training or education program means that the worker's
application for training has been approved and the training institution
has furnished written notice that the worker has been accepted in the
approved training program beginning within 30 calendar days.
(3) An eligible worker who does not qualify for unemployment
compensation must be participating in a training or education program
(section 314(e)(1)).
(c) Needs-related payments shall not be provided to any participant
for the period that such individual is employed, enrolled in, or
receiving on-the-job training, out-of-area job search, or basic
readjustment services in programs under the Act, nor to any participant
receiving trade readjustment allowances, on-the-job training, out-of-
area job search allowances, or relocation allowances under Chapter 2 of
Title II of the Trade Act of 1974 (19 U.S.C. 2271, et seq.) or part 617
of this chapter (section 314(e)(1)).
(d) The level of needs-related payments to an eligible dislocated
worker in programs under this part shall not exceed the higher of:
(1) The applicable level of unemployment compensation; or
(2) The poverty level (as by the published by the Secretary of
Health and Human Services) (section 314(e)(2)).
