Federal Adjustment of Dollar Amounts and Rates

Workforce Services Information Notice
WSIN25-17

Issued: January 23, 2026

In October 2024, the U.S. Office of Management and Budget’s (OMB) revised Uniform Guidance, 2 CFR Part 200, became effective. These revisions apply to all federal grant awards issued on or after October 1, 2024, including any amendments to grant awards that result in the award of additional funds, or any incremental funding awarded by the Department of Labor’s Employment and Training Administration on or after October 1, 2024.

Part of these updates made federal adjustments to certain dollar amounts specified in existing Employment Development Department (EDD) Directives and became effective October 1, 2024 (unless otherwise stated). The following list covers these three areas:

  1. Adjustments to Amount Thresholds
  2. Adjustments to Expenditure Rates
  3. Index of Adjustments by Directive

Please note that these Directives continue to apply in all other respects.

Adjustments to Amount Thresholds

“Equipment”: Defined threshold amount increased from $5,000 to $10,000. The following Directives were impacted:

  • WSD23-01: Operational Guidance for National Dislocated Worker Grants
  • WSD17-08: Procurement of Equipment and Related Services
  • WSD16-10: Property – Purchasing, Inventory, and Disposal

Federal Funding Accountability and Transparency Act (FFATA) Reporting Requirements: The minimum federal funding triggering FFATA reporting increased from $25,000 to $30,000. The following Directive is impacted:

  • WSD15-20: FFATA Compensation Data Reporting Requirements

Laborer/Mechanic Contract Compliance: The threshold amount triggering certain requirements for contracts that involve the employment of mechanics or laborers is $100,000, not $10,000. The following Directive is impacted:

  • WSD18-06: Subrecipient and Contractor Distinctions

“Micro-Purchase Threshold”: Defined threshold amount increased from: (a) $10,000 as a default amount to $15,000; and (b) from $20,000 for contracts awarded and performed, or purchase made, inside the United States, to $25,000. The following Directives are impacted:

  • WSD23-01: Operational Guidance for National Dislocated Worker Grants
  • WSD17-08: Procurement of Equipment and Related Services

“Modified Total Direct Cost (MTDC)”: Defined threshold amount for new awards issued on or after October 1, 2024, increased from $25,000 to $50,000. The following Directive was impacted:

Procurement Approval: Prior approval threshold increased from $5,000 to $10,000. The following Directives are impacted:

  • WSD17-08: Procurement of Equipment and Related Services
  • WSD16-16: Allowable Costs and Prior Written Approval

“Simplified Acquisition Threshold”: Defined threshold amount increased from $250,000 to $350,000. The following Directives are impacted:

  • WSD18-06: Subrecipient and Contractor Distinctions
  • WSD17-08: Procurement of Equipment and Related Services

Single Audit Requirement: Threshold requirement for conducting a single audit increased from expending $750k or more, to $1M or more. The following Directives are impacted:

“Supplies”: Defined threshold amount increased from $5,000 to $10,000. The following Directives are impacted:

  • WSD23-01: Operational Guidance for National Dislocated Worker Grants
  • WSD17-08: Procurement of Equipment and Related Services

Adjustments to Expenditure Rates

Consultant Services: Maximum daily rate increased from $750/day to $815/day. The following Directive is impacted:

Indirect Costs: De minimis rate increased from 10% to 15%. The following Directive is impacted:

Property Disposition Expense: Amount subrecipient may deduct from property disposition proceeds increased from $500 or 10%, whichever is less, to a flat $1,000. The following Directive is impacted:

  • WSD16-10: Property – Purchasing, Inventory, and Disposal

Index of Adjustments by Directive

WSD23-01: Operational Guidance for National Dislocated Worker Grants

  • Amount Thresholds:
    • Equipment
    • Micro-Purchase Threshold
    • Supplies

WSD22-06: Audit Resolution

  • Amount Thresholds: Single Audit Requirement

WSD21-05: Consultant Services and Pay

  • Expenditure Rates: Consultant Services

WSD20-03: Audit Requirements

  • Amount Thresholds: Single Audit Requirement

WSD18-15: Indirect Cost Rates

  • Amount Thresholds: Modified Total Direct Cost
  • Expenditure Rates: Indirect Costs

WSD18-06: Subrecipient and Contractor Distinctions

  • Amount Thresholds:
    • Laborer/Mechanic Contract Compliance
    • Simplified Acquisition Threshold

WSD17-08: Procurement of Equipment and Related Services

  • Amount Thresholds:
    • Equipment
    • Micro-Purchase Threshold
    • Procurement Approval
    • Simplified Acquisition Threshold
    • Supplies

WSD16-16: Allowable Costs and Prior Written Approval

  • Amount Thresholds: Procurement Approval

WSD16-10: Property – Purchasing, Inventory, and Disposal

  • Amount Thresholds: Equipment
  • Expenditure Rates: Property Disposition Expense

WSD15-20: FFATA Compensation Data Reporting Requirements

  • Expenditure Thresholds: Federal Funding Accountability and Transparency Act (FFATA) Reporting Requirements

While the EDD aims to provide this updated information for convenience, all relevant parties are reminded of their legal obligation to stay informed of all applicable federal and state laws. Federal amounts and rates referenced in EDD Directives are periodically updated based on inflation and other developments.

Inquiries

If you have any questions, contact your Regional Advisor.

/s/ KIMBERLEE MEYER, Chief
Central Office Workforce Services Division