Waiver of 80 Percent Obligation and Extension of RR and Layoff Aversion Funding for PY 19-20

Workforce Services Information Notice
WSIN19-38

Issued: March 27, 2020

The Employment Development Department has two important announcements regarding Workforce Innovation and Opportunity Act (WIOA) funds for Program Year (PY) 2019-20.

Waiver of 80 Percent Obligation

The state is issuing a waiver of the Local Workforce Development Area (Local Area) requirement to obligate at least 80 percent of their WIOA formula funds by the end of the first program year for which they were allocated. For additional information and guidance regarding this state imposed requirement, refer to Funds Utilization Requirements for WIOA Funds (WSD15-08)(PDF), issued on November 18, 2015.

This waiver is being granted in an effort to reduce the negative impacts of the COVID-19 outbreak to Local Areas’ program planning efforts. This waiver applies to PY 19-20 Youth, Adult, and Dislocated Worker funds only. All PY 19-20 formula funds must be fully expended by June 30, 2021.

Extension of Rapid Response by Formula and Layoff Aversion Funds

The state will be extending the terms of the Rapid Response (RR) by formula and Layoff Aversion funding for PY 19-20. These funds must be spent by June 30, 2021. Funds not expended, by the term end date, will be deobligated.

For additional information and guidance, regarding RR and Layoff Aversion, refer to Rapid Response and Layoff Aversion Activities (WSD16-04)(PDF), issued on July 22, 2016.

If you have any questions regarding this information, please contact your assigned Regional Advisor.

/s/JAIME L. GUTIERREZ, Chief
Central Office Workforce Services Division