Background: Earlier this year, the Employment and Training Administration consulted with stakeholders and partners in the delivery system in the development of agency-wide goals which would also be included in the draft Government Performance and Results Act plan. The final goals reflect suggestions and additions made during that consultation process. Action Required: Please distribute the attached goals to appropriate officials within the State and to all SDAs/SSAs in your State. Please continue to take every opportunity to work closely with your Regional Administrator in efforts to meet and exceed these goals.

Reference: TEIN No. 5-93, Change 1, dated June 23, 1994. Background: JTPA policy requires termination of participants within a reasonable time after they stop receiving training or services. This requirement was designed to provide programs some latitude in securing jobs for their customers, while at the same time, providing for more equitable performance assessments by precluding SDAs/SSAs from retaining indefinitely participants who are "unsuccessful." Without some policy on termination, performance standards create strong incentives for local programs to avoid terminating failures even when individuals no longer have any contact with the program. Currently, the 90-day requirement is applied differently for Title II and Title III, causing confusion in the field-- particularly among those local programs administering both JTPA titles. For Title II, only one 90-day period is permitted and it starts after the completion of planned employment and training.Thus, the 90-day period begins when training is completed, even if the SDA continues to provide job search assistance. For Title III the 90-day period starts after the completion of all planned employment, training or services. In response to recent requests from States to waive these limitations on how long participants can remain in the program without receiving services, the Department reexamined its policy and reporting instructions on program termination. Some requests asked for the time period to be extended to 180 days or longer to accommodate lengthy job searches and thereby improve performance outcomes. To fairly evaluate these requests, the Department raised this issue at regional MIS meetings and also reviewed available SPIR data to determine if local program performance improved when all job placements were credited, including those placements that occurred after 90 days from training. Program performance did not significantly improve when persons who remained in the program for periods longer than those prescribed in the reporting requirements were included. The Department did, however, recognize the need for a consistent policy on this issue across Titles II-A/C and III and Section 204(d). The Department further recognized that certain requirements may in some cases hinder programs' responsiveness to customer needs and might hinder programs' flexibility in coordinating services with other programs included under states' emerging workforce development/one-stop delivery systems. DOL will not waive the 90 day limit on how long a person can remain in the program while awaiting further services. To simplify the reporting burden and make its reporting policy consistent between titles, however, the Department is instituting a revised policy which permits multiple spells of "inactivity" between client services where appropriate and does not make distinctions between types of services. Thus, individuals will be able to remain in the program for up to 90 days regardless of the type of services they had received previously, eliminating the requirement to terminate after 30 days those individuals who received services and no training. This policy also permits a program to retain an individual for more than one 90-day period as long as subsequent services are substantial and occur with some frequency. Policy: Effective Program Year 1996, participants in Titles II-A/C and III and Section 204(d) may remain in the program for up to 90 days after last receiving planned training, employment or services. To keep a participant actively enrolled in the program, the individual should be receiving frequent and substantial services. For Titles II-A/C and Section 204(d), substantial services are defined as those authorized in Section 204(b) of the Act. For Title III, substantial services are defined as those authorized in Sections 314(c) and (d), and also certain services prior to layoff or termination from employment authorized in Section 314(h). For all programs, frequent is defined as occurring at least every 90 days. Revised SPIR Reporting Instruction: Accordingly, the SPIR reporting instructions are being revised for the following item: "33. Date of termination. Record the date (MMDDYY) at which an individual is no longer receiving planned employment, training or services (except post-termination services), including the last period of inactive status. Participants may remain in inactive status for up to 90 days after last receipt of substantial services (i.e., those services authorized in Section 204(b) of the Act for Titles II-A/C and Section 204(d) programs, and those services authorized in Sections 314(c), (d) and (h) for Title III)." Revised Guidance Attached: Appendix C, "Guidance on Period(s) of Inactive Status" attached, provides further discussion of the revised policy and reporting issues. It replaces Appendix C from TEIN 5-93, Change 1. Action Required: State Liaisons are asked to distribute the information in this Change Notice to all officials within the State who need such information to administer JTPA Titles II-A/C, Title III and Section 204(d) services and SPIR reporting.

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References: a. The Job Training Partnership Act (JTPA), as amended; b. JTPA Final Rules, as published in the Federal Register on September 2, 1994; c. Training and Employment Guidance Letter No. 4-95 (February 21, 1996): "Instructions for Submission of State Plans under Title II and Title III of the Job Training Partnership Act for Program Years (PYs) 1996 and 1997; and PY 1996 Wagner-Peyser Act Program Planning Guidance". d. Training and Employment Information Notice No. 33-92 (June 1, 1993): "Child Labor Restrictions Applicable to Youth Participants in Job Training Partnership Act (JTPA) Funded Programs". e. Training and Employment Guidance Letter No. 7-95 (July 31, 1996): "Job Training Partnership Act (JTPA) Intertitle Transfers of Funds". f. Fair Labor Standards Act of 1938 (29 U.S.C. 203 (m)), as amended by the Minimum Wage Increase Act of 1996. g. The Small Business Job Protection Act of 1996 (P.L. 104-188). h. Employment Service Program Letter (ESPL) No. 5-97 (November 25, 1996): "Work Opportunity Tax Credit Administrative and Quarterly Reporting Forms". Background: a. Summer Jobs Funding Level. The Department of Labor is obligating $871 million to the States for the CY 1997 Summer Youth Employment Program under Title II-B of the Job Training Partnership Act. (State allocations are attached.) This year's funding represents a significant increase over the $625 million that was made available last year for the CY 1996 program. As was the case with last year's funds, these funds are being obligated as fiscal year, not program year funds. Notices of Obligation (NOO's) will be issued under the current PY 1996 JTPA grant agreement to obligate these funds to the States, and they will not be combined with Title II-A and Title II-C funds. As was done last summer, States will be required to submit a separate JTPA Title II-B Quarterly Status Report (JQSR) for these FY 1997 Title II-B funds, and they will not be combined with Title II-A and Title II-C PY 1997 data. Additionally, States will draw cash under the Payment Management System (PMS) for Title II-B FY 1997 funds, and these II-B funds will be accounted for separately, similarly to how the FY 1996 Title II-B funds are being handled. Program Emphases: In this year's summer program, the Department maintains its commitment to providing the Nation's disadvantaged youth with solid work experiences, which for many youth represent the first step into the labor force. The Department of Labor's vision of the summer program is one where new entrants to the labor force and those with limited job histories: 1. build and refine a strong work foundation and employment competencies, and experience the discipline of work; and, 2. gain an appreciation of the connection between work and learning which is critical to a long-term attachment to and success in a rapidly changing labor market. This message regarding the connection between work and learning is consistent with the on-going School-to-Work message communicated by the Departments of Labor and Education to States, SDAs, local school systems, employers, and youth. We need to help youth acquire the knowledge, skills, abilities, and labor market information they need to make a smooth transition from school to career-oriented work or further education or training.

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References: Sections 162 and 303 of the JTPA; Training and Employment Guidance Letter (TEGL) No. 3-95, dated February 5, 1996. Background: TEGL No. 3-95 describes the reallotment process that was used to identify and reallot unexpended formula funds that were in excess of statutory limits at the end of Program Year 1995. Reallotment of funds has been based on expenditure reports submitted by the States. Action: Copies of the attachment should be distributed to appropriate staff. Equitable procedures for making funds available for reallotment, and distribution of funds requirements, are addressed in the notice.

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References: Chapter IV, ET Handbook No. 384, Second Edition, 20 CFR 614.12 and 5 U.S.C. 8521(a)(2). Instructions: State Employment Security Agencies (SESAs) shall use the attached schedule to determine Federal military wages for UCX "first claims" filed beginning with the first day of the first week which begins after April 5, 1997, pursuant to 20 CFR 614.12. SESAs will continue to use the existing schedule for UCX "first claims" filed before the effective date of the attached revised schedule. As provided by 20 CFR 614.12(d), the attached schedule shall be published as a notice in the Federal Register. Action Required: Administrators should provide the above instructions and the attached revised schedule to appropriate staff.