TEGL_10-18_Acc.pdf

ETA Advisory File Text

EMPLOYMENT AND TRAINING ADMINISTRATION ADVISORY SYSTEM U.S. DEPARTMENT OF LABOR Washington D.C. 20210 CLASSIFICATION WOTC CORRESPONDENCE SYMBOL OWI DATE February 8 2019 RESCISSIONS None EXPIRATION DATE Continuing ADVISORY TRAINING AND EMPLOYMENT GUIDANCE LETTER NO. 10-18 TO FROM SUBJECT STA TE WORKFORCE DEVELOPMENT AGENCIES STATE WORKFORCE ADMINISTRATORS WORK OPPORTUNITY TAX CREDIT COORDINATORS MOLLY E. CONWAY s Acting Assistant Secretary Work Opportunity Tax Credit Funding Allotments for Fiscal Year 2019 1.Purpose. To convey the Work Opportunity Tax Credit WOTC Fiscal Year FY 2019 grant funding allotments and application requirements for the State Workforce Development Agencies also known as State Workforce Agencies SWA . 2.Action Requested. State Administrators are requested to provide this information to appropriate staff. The Employment and Training Administration ETA requests SWAs submit applications for funding for the FY 2019 state allotments which totals 18 485 000 Attachment I . Grantees must meet the application requirements detailed in Section 4 within 30 calendar days from the date of issuance of this Training and Employment Guidance Letter TEGL . 3.Summary and Background. a.Summary This TEGi announces the availability of WOTC FY 2019 state allotments to conduct WOTC activities and grant award application requirements for grantees to receive funding allocations. In addition it provides general administrative policies and procedural guidance set forth by ETA and requirements outlined in the WOTC Statement of Work Attachment IIF. b.Background On September 28 2018 the Department of Defense and Labor Health and Human Services and Education Appropriations Act 2019 and Continuing Appropriations Act 2019 Pub. L. 115-245 was signed into law which provides Department of Labor funding appropriations for FY 2019. Section 142 a of the Protecting Americans from Tax Hikes Act of 2015 PATH ActF amended Section 51 c of the Internal Revenue Code to extend WOTC through December 31 2019. The U.S. Departments of Labor and Treasury jointly administer WOTC. The Department of Treasury through the Internal Revenue Service administers all tax-related provisions and requirements of the federal tax credit. The Department of Labor through ETA awards grants to states for administration of WOTC. 2 4.Funding Application Administration and Reporting Requirements. a.Funding. States must enter the allocations provided in Attachment I on their Application for Federal Assistance SF-424 Form OMB Control No. 4040-0004 as their request for FY 2019 funding. After allocating 20 000 to the Virgin Islands ETA distributes the remaining funds to the SWAs by administrative formula with a 66 000 minimum allotment and a 95 percent stop-loss 120 percent stop-gain from the previous year allotment share percentage. 50 percent is based on each state s relative share of total certifications issued from October 1 2016 through September 30 2017 for WOTC 30 percent is based on each state s relative share of the Civilian Labor Force averages for the 12-month period from July 1 2017 through June 30 2018 and 20 percent is based on each state s relative share of adult recipients of Temporary Assistance for Needy Families averages from October 1 2016 through September 30 2017. b.Application Requirements for FY 2019 Funding. ETA requires that grantees submit an electronically signed copy of a SF-424 Form through Grants.gov for Funding Opportunity Number ETA-WOTC-TEGL-10-18-FY2019 at https www.grants.gov within 30 calendar days from the date of this TEGL s issuance. The official electronically signed SF-424 Form must reflect the state amount listed in the FY 2019 State Allotments table Attachment I for the requested funding total in item 18 and the Catalog of Federal Domestic Assistance Number 17.271 for item 11. Each applicant must have a Dun and Bradstreet Data Universal Numbering System DUNS Number available and must be registered with the System for Award Management SAM at https www.sam.gov SAM before submitting an application. Note You must access this link with a supported browser type such as Chrome Firefox or Safari. To submit the required documents applicants must follow the Apply for Grants link on Grants.gov and download the links for the grant application package. For this grant opportunity applicants should not follow the Find Grants link as this is not a competitive funding opportunity. If applicants encounter a problem with Grants.gov and do not find an answer in any of the other resources call 1-800-518-4726 or 1- 606-545-5035 to speak to a Customer Support Representative or email support grants.gov. c.General Administration. SWAs are responsible for using the FY 2019 funding allotments to conduct the following WOTC activities through September 30 2019 1 implementing the certification process and issuing final determination to employers or their authorized representatives 2 promoting WOTC to employers 3 reducing and eliminating existing backlogs and 4 reporting performance data on a quarterly basis. 3 In addition SWAs must administer the WOTC in accordance with the policies and procedural guidance set forth by ETA and requirements outlined in the WOTC Statement of Work Attachment II. d. Reporting Requirements. Quarterly Financial Report SWAs must report expenditures quarterly using ETA Form 9130. Financial reports are due no later than 45 days following the end of each quarter. Timely submission of these reports is important to ensure proper accounting of funds. Quarterly Performance Report SWAs must use the web-based Enterprise Business Service System Tax Credit Reporting System to report quarterly activities and outcomes using ETA Form 9058. Performance reports are due no later than 45 days following the end of each quarter. Timely submission of these reports is important for administration purposes. 5. Inquiries. Please direct all questions to the appropriate Regional WOTC Coordinator listed on the WOTC website at https www.doleta.gov business incentives opptax contact regional-offices.cfm. 6. References. Department of Defense and Labor Health and Human Services and Education Appropriations Act 2019 and Continuing Appropriations Act 2019 Pub. L. 115-245 Consolidated Appropriations Act 2018 Pub. L. 115-141 The PATH Act Pub. L. 114-113 Section 51 of the Internal Revenue Code of 1986 as amended and Guidance on the Handling and Protection of Personally Identifiable Information PII Training and Employment Guidance Letter 39-11. 7. Attachments. Attachment I FY 2019 State Allotments Attachment II WOTC Statement of Work