(a) The first reallotment of funds among States will occur during
PY 2001 based on obligations in PY 2000.
(b) The Secretary determines, during the first quarter of the
program year, whether a State has obligated its required level of at
least 80 percent of the funds allotted under WIA sections 127 and 132
for programs serving youth, adults, and dislocated workers for the
prior year as separately determined for each of the three funding
streams. Unobligated balances are determined based on allotments
adjusted for any allowable transfer between the adult and dislocated
worker funding streams. The amount to be recaptured from each State for
reallotment, if any, is based on State obligations of the funds
allotted to each State under WIA sections 127 and 132 for programs
serving youth, adults, or dislocated workers, less any amount reserved
(up to 5 percent at the State level and up to 10 percent at the local
level) for the costs of administration. This amount, if any, is
separately determined for each funding stream.
(c) The Secretary reallots youth, adult and dislocated worker funds
among eligible States in accordance with the provisions of WIA sections
127(c) and 132(c), respectively. To be eligible to receive a
reallotment of youth, adult, or dislocated worker funds under the
reallotment procedures, a State must have obligated at least 80 percent
of the prior program year allotment, less any amount reserved for the
costs of administration of youth, adult, or dislocated worker funds. A
State's eligibility to receive a reallotment is separately determined
for each funding stream.