TEN_06-21.pdf

ETA Advisory File Text

TRAINING AND EMPLOYMENT NOTICE NO. 6-21 DATE September 15 2021EMPLOYMENT AND TRAINING ADMINISTRATION U.S. DEPARTMENT OF LABOR WASHINGTON D.C. 20210 TO FROM STATE WORKFORCE AGENCIES LENITA JACOBS-SIMMONS Acting Assistant Secretary SUBJECT Accessing Unemployment Insurance UI Identity Verification and Fraud Protection Identity Proofing Services using the U.S. Department of Labor s Department Blanket Purchase Agreements BPA 1.Purpose. To provide states with instructions on how to access the BPA resources including procedures to establish orders against the Department s BPAs for identity proofing services. The resources include the State BPA Ordering Guide Roles and Responsibilities of StatesI Funding Attestation Template and Frequently Asked Questions FAQ . 2. Action Requested. The Department s Employment and Training Administration ETAF requests that State Workforce Agency Administrators provide information contained in this Training and Employment Notice TEN to appropriate staff. 3. Summary and Background. a.Summary The American Rescue Plan Act ARPA sets objectives for the use of the 2.0 billion appropriated to the Secretary of Labor by the Act. These objectives are to detect and prevent fraud promote equitable access and ensure the timely payment of benefits regarding the unemployment compensation UC programs. In support of these objectives the Department competitively awarded multiple BPAs to vendors capable of providing National Institute of Standards and Technology NIST - compliant1 Identity Assurance Level 2 IAL2 and Authenticator Assurance Level 2 AAL2 UI applicant claimant identity proofing services. The Department developed resources to provide states with procedures to establish orders against the Department- awarded BPAs. b.Background Identity theft is a major concern for UC programs and is a growing nationwide and worldwide problem. In calendar year 2020 the Federal Trade Commission received over 1.3 million reports of identity theft. 1 NIST Special Publication SP 800-63 provides technical requirements for implementing digital identity services. The publication includes an overview of identity frameworks using authenticators credentials and assertions in a digital system and a risk-based process to select assurance levels at https pages.nist.gov 800-63-3 sp800-63-3.html. 2 The type of identity theft most reported was Government Documents and Benefits Fraud . Since the onset of the Coronavirus Disease 2019 COVID-19 pandemic and with implementation of the ensuing temporary UC benefit programs the UI program has become an increased target for international and domestic criminal organizations perpetrating identity fraud. As discussed in UIPL Nos. 23-20 28-20 28-20 Change 1 28-20 Change 2 and 22- 21 ETA strongly encourages states to adopt an array of solutions and techniques to detect and fight fraud to have robust strategies in place to verify the identity of individuals applying for unemployment benefits and to strengthen efforts to recover overpayments including fraudulently paid UC. In UIPL Nos. 28-20 Change 2 and 22-21 the Department specifically called out the importance of NIST-compliant identity proofing and strongly encouraged all states to implement IAL2 and AAL2 identity proofing before claimants start filling out the UI claims applications and when re-accessing their accounts. IAL2 and AAL2 standards are recommended for UC programs due to the personally identifiable information PII collected from individuals and employers in processing claims. States are also reminded of the required administrative procedures when processing claims and determining UI eligibility in cases where an individual s identity is questioned as discussed in UIPL No. 16-21. On March 11 2021 ARPA Public Law Pub. L. 117-2 was enacted. Section 9032 ARPA creates a new Section 2118 of the Coronavirus Aid Relief and Economic Security CARES Act Pub. L. 116-136 and provides for a 2 000 000 000 appropriation to the Secretary of Labor to detect and prevent fraud to promote equitable access and to ensure timely payment of benefits to eligible workers with respect to UC programs. ETA is committed to supporting states by providing funding and investing in the most innovative and successful tools and resources to stay ahead of fraud schemes which includes providing states with options to access NIST-compliant identity proofing and authentication solutions. On June 7 2021 the Department issued a Request for Quotation to solicit vendors capable of providing NIST-compliant IAL2 and AAL2 identity proofing services which included stringent service level business performance and equity requirements. On July 12 2021 the Department issued multiple award BPAs to provide a procurement vehicle to meet identity proofing needs. 4. Ordering and Funding. The ARPA UI Identity Proofing BPAs were competitively awarded through the General Services Administration GSA Multiple Award Schedule MAS program in accordance with Federal Acquisition Regulation FAR 8.405-3. The Department-awarded BPAs provide a procurement vehicle to obtain critical identity proofing services. This vehicle consists of multiple award BPAs intended to streamline the ordering process for administering UC programs that have identity proofing procurement needs. The BPAs were awarded to three vendors referred to as BPA holders. They are LexisNexis V3Gate and TransUnion. a. Ordering Identity Proofing Services Using the BPAs. The Department developed resources to provide states with procedures to establish orders against the BPAs. States interested in participating in the Department-awarded BPAs can review the State BPA Ordering Guide Roles and Responsibilities of States Funding Attestation Template 3 and the FAQ document available on the ARPA and UC Featured Content of the UI Community of Practice CoP on WorkforceGPS or directly here a password is required to access the UI CoP . The requesting state s representative will work closely with Department personnel to take the necessary steps to establish orders against the BPAs. The Department created templates and samples of the required procurement documents and Department personnel are available to assist states in completing these documents. b. Funding to Support Identity Proofing Services. UIPL Nos. 28-20 Change 2 and 22-21 provide states with funding to combat fraud and allow states to use these funds to procure implement and pay reoccurring subscription costs and or ongoing maintenance costs for NIST-compliant IAL2 and AAL2 solutions including when the state is ordering against the Department s BPAs as a procurement vehicle to obtain identity proofing services. States may use the funding provided in the above listed UIPLs and may use other Federal grant funds available for this purpose to pay for costs associated with identity proofing services. As part of the process for ordering under the Department s BPAs the Department will review all funding sources proposed by a state on the Funding Attestation Template to ensure compliance with Federal law as applicable. 5. Inquiries. Please direct inquiries to covid-19 dol.gov with a copy to the appropriate ETA Regional Office. 6. References. American Rescue Plan Act of 2021 ARPA including Title IX Subtitle A Crisis Support for Unemployed Workers Pub. L. 117-2 UIPL No. 22-21 Grant Opportunity to Support States with Fraud Detection and Prevention Including Identity Verification and Overpayment Recovery Activities in All Unemployment Compensation UC Programs issued August 11 2021 https wdr.doleta.gov directives corr doc.cfm docn 4240 UIPL No. 16-21 Identity Verification for Unemployment Insurance UI Claims issued April 13 2021 https wdr.doleta.gov directives corr doc.cfm DOCN 9141 UIPL No. 14-21 Change 1 State Responsibilities After the Temporary Unemployment Benefit Programs under the Coronavirus Aid Relief and Economic Security CARES Act as amended End Due to State Termination of Administration or When the Programs Expire issued July 12 2021 https wdr.doleta.gov directives corr doc.cfm DOCN 9502 UIPL No. 14-21 American Rescue Plan Act of 2021 ARPA - Key Unemployment Insurance UI Provisions issued March 15 2021 https wdr.doleta.gov directives corr doc.cfm DOCN 5669 UIPL No. 28-20 Change 2 Additional Funding to Assist with Strengthening Fraud Detection and Prevention Efforts and the Recovery of Overpayments in the Pandemic Unemployment Assistance PUA and Pandemic Emergency Unemployment Compensation PEUC Programs as well as Guidance on Processes for Combatting Identity Fraud issued August 11 2021 https wdr.doleta.gov directives corr doc.cfm docn 7207 4 UIPL No. 28-20 Change 1 Additional Funding for Identity Verification or Verification of Pandemic Unemployment Assistance PUA Claimants and Funding to Assist with Efforts to Prevent and Detect Fraud and Identity Theft as well as Recover Fraud Overpayments in the PUA and Pandemic Emergency Unemployment Compensation PEUC Programs issued January 15 2021 https wdr.doleta.gov directives corr doc.cfm DOCN 9897 UIPL No. 28-20 Addressing Fraud in the Unemployment Insurance UI System and Providing States with Funding to Assist with Efforts to Prevent and Detect Fraud and Identity Theft and Recover Fraud Overpayments in the Pandemic Unemployment Assistance PUA and Pandemic Emergency Unemployment Compensation PEUC Programs issued August 31 2020 https wdr.doleta.gov directives corr doc.cfm DOCN 8044 and UIPL No. 23-20 Program Integrity for the Unemployment Insurance UI Program and the UI Programs Authorized by the Coronavirus Aid Relief and Economic Security CARES Act of 2020 - Federal Pandemic Unemployment Compensation FPUC Pandemic Unemployment Assistance PUA and Pandemic Emergency Unemployment Compensation PEUC Programs issued May 11 2020 https wdr.doleta.gov directives corr doc.cfm DOCN 4621. 7. Attachment s . Not Applicable.