[Federal Register Volume 66, Number 45 (Wednesday, March 7, 2001)]
[Notices]
[Pages 13784-13790]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-5537]
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DEPARTMENT OF LABOR
Employment and Training Administration
Workforce Investment Act Allotments and Wagner-Peyser Act
Preliminary Planning Estimates for Program Year (PY) 2001
AGENCY: Employment and Training Administration, Labor.
ACTION: Notice.
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SUMMARY: This notice announces States' Workforce Investment Act (WIA)
allotments for Program Year (PY) 2001 (July 1, 2001-June 30, 2002) for
WIA title I Youth, Adults and Dislocated Worker programs; and
preliminary planning estimates for public employment service activities
under the Wagner-Peyser Act for PY 2001. This is the second year in
which allotments are made to States and outlying areas under WIA. The
allotments for States are based on formulas defined in the Act. The
allotments for the outlying areas are based on formula at the
Secretary's discretion under WIA Title I. As required by WIA section
182(d), on February 17, 2000, a Notice of the discretionary formula for
allocating PY 2000 funds for the outlying areas was published in the
Federal Register at 65 FR 8236 (February 17, 2000). The rationale for
the formula and methodology was fully explained in the February 17,
2000 Notice. The formula for PY 2001 is the same as PY 2000 and is
described in detail in the section on Youth allotments.
Comments are invited upon the formula used to allot funds to the
outlying areas.
DATES: Comments must be received by April 6, 2001.
ADDRESSES: Submit written comments to the Employment and Training
Administration, Office of Financial and Administrative Management, 200
Constitution Ave, NW., Room N-4702, Washington, DC 20210, Attention:
Ms. Sherryl Bailey, 202-693-2813, 202-693-2859 (fax), e-mail:
[email protected].
FOR FURTHER INFORMATION CONTACT: For WIA Title I allotments, contact:
Youth Activities Allotments: Lorenzo Harrison at 202-693-3528; Adult
and Dislocated Worker Employment and Training Activities Allotments:
John Beverly at 202-693-3502; and Wagner-Peyser preliminary planning
estimates: Gay Gilbert at 202-693-3428. (These are not toll-free
numbers.) Information may also be found at the website--http://usworkforce.org.
SUPPLEMENTARY INFORMATION: The Department of Labor (DOL or Department)
is announcing Workforce Investment Act (WIA) allotments for Program
Year (PY) 2001 (July 1, 2001-June 30, 2002) for WIA title I Youth
Activities, Adults and Dislocated Workers Activities; and, in
accordance with Section 6 (b)(5) of the Wagner-Peyser Act, preliminary
planning estimates for public employment service (ES) activities under
the Wagner-Peyser Act for PY 2001. This document provides information
on the amount of funds available during PY 2001 to States with an
approved WIA title I and Wagner-Peyser 5-Year Strategic Plan and
information regarding allotments to the outlying areas. The allotments
and estimates are based on the funds appropriated by the Department of
Labor Appropriations Act, 2001, part of the Consolidated Appropriations
Act, 2001, Public Law 106-554.
Attached is a listing of the allotments for PY 2001 for programs
under WIA title I Youth Activities, Adults and Dislocated Workers
Employment and Training Activities; and preliminary planning estimates
for public employment service activities under the Wagner-Peyser Act.
Final Wagner-Peyser Act planning estimates will be published in the
Federal Register.
Youth Activities Allotments
PY 2001 Youth Activities funds under WIA total $1,377,965,000
(including $275 million for Youth Opportunity grants). Attachment I
contains a breakdown of the $1,102,965,000 in WIA title I Youth
Activities program allotments by State for PY 2001 and provides a
comparison of these allotments to PY 2000 Youth Activities allotments
for all States, outlying areas, Puerto Rico and the District of
Columbia.
Before determining the amount available for States, the total
available for the outlying areas was reserved at 0.25 percent of the
full amount appropriated for Youth Activities, in accordance with WIA
provisions, resulting in $3,444,913, an increase of $317,500, or 10.2
percent, over the PY 2000 level. From the total funds for outlying
areas for the WIA Youth Activities program, WIA section 127(b)(1)(B)
requires that competitive grants be awarded to Guam, American Samoa,
the Commonwealth of the Northern Mariana Islands, and the Freely
Associated States, and further provides that the amount for such grants
is not to exceed the amount reserved for the Freely Associated States
for the JTPA II-B Summer Youth and the JTPA II-C Youth Training for PY
1997. WIA has corresponding requirements for competitive grants for the
Adult Activities and Dislocated Worker Activities programs. The
Secretary determined that a total of $1,000,000 would be reserved for
the required competitive grants for all three programs for PY 2001, the
same level as PY 2000. For the WIA Youth Activities program, the amount
of competitive grants was set at $222,535, the maximum allowed by WIA
which is the amount of JTPA PY 1997 total Youth allotments for the
Freely Associated States, the same level as PY 2000. The method of
distribution of the remaining WIA Youth Activities non-competitive
funds to all outlying areas, including the Virgin Islands, is not
specified by WIA, but is at the Secretary's discretion. The methodology
used is the same as used for PY 2000, i.e., distributed among the areas
by formula based on relative share of number of unemployed, a 90
percent hold-harmless of the prior year share, a $75,000 minimum, and a
130 percent stop gain of the prior year share. Data used for the
relative share calculation in the formula were the same as used for PY
2000 for all outlying areas. These data were obtained from the Bureau
of the Census for American Samoa, Commonwealth of the Northern Mariana
Islands, Federated States of Micronesia, Republic of Palau, and the
U.S. Virgin Islands, based on mid-decade surveys for those areas
conducted with the assistance of the Bureau. For Guam, data from a
similar survey were not available from the Bureau, so data from the
Guam June 1995 labor force survey were used. For the Republic of the
Marshall Islands, where 1995 unemployment data were not available, 1988
survey data in combination with 1995 population
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estimates were used as the basis of the formula. Updated 2000 special
Census data are expected to be available for next year's allotment
calculations.
The total amount available for Native Americans is 1.5 percent of
the total amount for Youth Activities excluding Youth Opportunity
Grants, in accordance with WIA section 127. This total is $16,544,475,
up $1,530,000, or 10.19 percent, from the PY 2000 Youth Activities
level for Native Americans.
After determining the amount for the outlying areas and Native
Americans, the amount available for allotment to the States for PY 2001
is $1,082,975,612, more than PY 2000 by $100,152,500, or an increase of
10.19 percent. This total amount was above the required $1 billion
threshold specified in Section 127(b)(1)(C)(iv)(IV); therefore, for the
first time, the WIA additional minimum provisions were triggered: (1)
Minimum 1998 dollar (not percentage) (JTPA II-B and II-C combined)
allotment, and (2) 2-tier small State minimum allotment (.3 percent of
first $1 billion and .4 percent of amount over $1 billion), rather than
.25 percent. These provisions were in addition to the traditional
provision of a 90 percent hold-harmless from the prior year allotment
percentage. Also, as required by WIA, the provision applying a 130
percent stop-gain of the prior year allotment percentage was used. The
three formula factors required in WIA use the following data for the PY
2001 allotments:
(1) The number of unemployed for areas of substantial unemployment
(ASU's) are averages for the 12-month period, July 1999 through
preliminary June 2000;
(2) The number of excess unemployed individuals or the ASU excess
(depending on which is higher) are averages for the same 12-month
period used for ASU unemployed data; and
(3) The number of economically disadvantaged youth (age 16 to 21,
excluding college students and military) are from the 1990 Census.
(2000 Census data are not expected to be available for use until PY
2003 allotment calculations.)
Adult Employment and Training Activities Allotments
The total Adult Employment and Training Activities appropriation is
$950,000,000, the same level as PY 2000. Attachment II shows the PY
2001 Adult Employment and Training Activities allotments and comparison
to PY 2000 allotments by State.
Similarly to the Youth Activities program, the total available for
the outlying areas was reserved at 0.25 percent of the full amount
appropriated for Adults, or $2,375,000, the same level as PY 2000. The
Adult Activities program portion of the $1,000,000 total for
competitive grants for all three programs (described above in Youth
Activities) required for the outlying areas (Guam, American Samoa, the
Commonwealth of the Northern Mariana Islands, and the Freely Associated
States) was set at $290,780. This amount is less than the maximum
allowed by WIA (PY 1997 Adult allotments for the Freely Associated
States). The amount represents a 12.2 percent share of the total Adult
Activities program funds for all outlying areas and is calculated to be
the same share as for the Dislocated Worker Activities program, after
subtracting the Youth Activities program portion from the $1,000,000
total described above. The remaining non-competitive WIA title I Adult
Activities funds for grants to all outlying areas, including the Virgin
Islands, for which the methodology is at the Secretary's discretion
(described in the Youth Activities section), were distributed among the
areas by the same principles, formula and data as used for outlying
areas for Youth Activities.
After determining the amount for the outlying areas, the amount
available for allotments to the States is $947,625,000, the same as PY
2000. Unlike the Youth Activities program, the WIA minimum provisions
were not triggered for the PY 2001 allotments because the total amount
available for the States was below the $960 million threshold required
for Adults in section 132(b)(1)(B)(iv)(IV). Instead, as required by
WIA, the minimum allotments were calculated using the JTPA section
202(a)(3) (as amended by section 701 of the Job Training Reform
Amendments of 1992) minimums of 90 percent hold-harmless of the prior
year allotment percentage and 0.25 percent State minimum floor. Also,
like the Youth Activities program, a provision applying a 130 percent
stop-gain of the prior year allotment percentage was used. The three
formula factors use the same data as used for the Youth Activities
formula, except that data for the number of economically disadvantaged
adults (age 22 to 72, excluding college students and military) from the
1990 Census were used. (2000 Census data are not expected to be
available for use until PY 2003 allotment calculations.)
Dislocated Worker Employment and Training Activities Allotments
The total Dislocated Worker appropriation is $1,590,040,000, an
increase of $1,015,000, or .06 percent from the PY 2000 level. The
total appropriation includes 80 percent allotted by formula to the
States, while 20 percent is retained for National Emergency Grants,
technical assistance and training, demonstration projects, and for the
outlying areas Dislocated Worker allotments. Attachment III shows the
PY 2001 Dislocated Worker Activities fund allotments by State.
Similarly to the Youth and Adults programs, the total available for
the outlying areas was reserved at 0.25 percent of the full amount
appropriated for Dislocated Workers Activities, resulting in
$3,975,100, an increase of $2,537 from PY 2000. The Dislocated Worker
Activities program portion of the $1,000,000 total for competitive
grants for all three programs (described above in Youth Activities)
required for the outlying areas (Guam, American Samoa, the Commonwealth
of the Northern Mariana Islands, and the Freely Associated States) was
set at $486,685. This amount is less than the maximum allowed by WIA
(PY 1997 Dislocated Worker allotments for the Freely Associated
States). The amount represents a 12.2 percent share of the total
Dislocated Worker Activities program funds for all outlying areas and
is calculated to be the same share as for the Adult Activities program,
after subtracting the Youth Activities program portion from the
$1,000,000 total described above. The remaining non-competitive WIA
Title I Dislocated Worker Activities funds for grants to all outlying
areas, including the Virgin Islands, for which the methodology is at
the Secretary's discretion, were distributed among the areas by the
same pro rata share as the areas received for the PY 2001 WIA Adult
Activities program, the same methodology used in PY 2000.
The amount available for allotments to the States is eighty percent
of the Dislocated Workers appropriation, or $1,272,032,000, a gain of
.06 percent over PY 2000. Since the Dislocated Worker Activities
formula has no floor amount or hold-harmless provisions, funding
changes for States directly reflect the impact of changes in number of
unemployed. The three formula factors required in WIA use the following
data for the PY 2001 allotments:
(1) The number of unemployed are averages for the 12-month period,
October 1999 through September 2000;
(2) The number of excess unemployed are averages for the 12-month
period, October 1999 through September 2000; and
(3) The number of long-term unemployed are averages for calendar
year 1999.
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Wagner-Peyser Act Preliminary Planning Estimates
The public employment service program involves a Federal-State
partnership between the U.S. Department of Labor and the State
Employment Security Agencies. Under the Wagner-Peyser Act, funds are
allotted to each State to administer a labor exchange program
responding to the needs of the State's employers and workers through a
system of local employment services offices that are part of the One-
Stop service delivery system established by the State. Total funding
for Wagner-Peyser remained the same as PY 2000, but due to reduced
reserves for postage, available funds for the States and outlying areas
increased by $2 million. Attachment IV shows the Wagner-Peyser Act
preliminary planning estimates for PY 2001. These preliminary planning
estimates have been produced using the formula set forth at Section 6
of the Wagner-Peyser Act, 29 U.S.C. 49e. They are based on monthly
averages for each State's share of the civilian labor force (CLF) and
unemployment for the 12 months ending September 2000. Final planning
estimates will be published in the Federal Register, based on calendar
year 2000 data, as required by the Wagner-Peyser Act.
State planning estimates reflect $16,000,000, or 2.1 percent of the
total amount appropriated, which is being withheld from distribution to
States to finance postage costs associated with the conduct of Wagner-
Peyser Act labor exchange services for PY 2001.
The Secretary of Labor is required to set aside up to three percent
of the total available funds to assure that each State will have
sufficient resources to maintain statewide employment service (ES)
activities, as required under section 6(b)(4) of the Wagner-Peyser Act.
In accordance with this provision, the three percent set-aside funds,
or $22,372,050, are included in the total planning estimate. The set-
aside funds are distributed in two steps to States which have lost in
relative share of resources from the previous year. In Step 1, States
which have a Civilian Labor Force (CLF) below one million and are also
below the median CLF density are maintained at 100 percent of their
relative share of prior year resources. All remaining set-aside funds
are distributed on a pro-rata basis in Step 2 to all other States
losing in relative share from the prior year but not meeting the size
and density criteria for Step 1.
Under Wagner-Peyser Act section 7, ten percent of the total sums
allotted to each State shall be reserved for use by the Governor to
provide performance incentives for public ES offices; services for
groups with special needs; and for the extra costs of exemplary models
for delivering job services.
Signed at Washington, DC, this 2nd day of March, 2001.
Raymond J. Uhalde,
Deputy Assistant Secretary for Employment and Training.
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[FR Doc. 01-5537 Filed 3-6-01; 8:45 am]
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