States with STC Programs Applying for Grants

EMPLOYMENT AND TRAINING ADMINISTRATION ADVISORY SYSTEM U.S. DEPARTMENT OF LABOR Washington, D.C. 20210	CLASSIFICATION Unemployment Insurance
	CORRESPONDENCE SYMBOL OUI/DUIO
	DATE

ADVISORY: UNEMPLOYMENT INSURANCE PROGRAM LETTER NO.

TO: STATE WORKFORCE AGENCIES

FROM: Byron Zuidema

Deputy Assistant Secretary

SUBJECT: Office of Management and Budget (OMB) Approval of the Extension with Revision of Approved Collection, OMB Control No. 1205-0499, for the Short-Time Compensation (STC) Grants.

1. Purpose. To announce OMB approval of the extension with revision of approved collection, OMB Control No. 1205-0499, for the quarterly progress reports (QPR) for the STC Grants. Approval of OMB Control No. 1205-0499 is extended through June 30, 2019.

2. References.

• Paperwork Reduction Act of 1995, Pub. L. 104-13, 44 U.S.C. 3501 et seq.;

• Layoff Prevention Act of 2012, Sections 2161 - 2166 of the Middle Class Tax Relief and Job Creation Act of 2012 (Act), Pub. L. 112-96 (Feb. 22, 2012); and

• Unemployment Insurance Program Letter (UIPL) No. 27-12, Short-Time Compensation Grant Funding.

3. Background. The STC program helps employers with a state-approved STC plan avert layoffs through the reduction of work hours for an entire group of employees, rather than forcing employers to layoff some workers while others continue working full time. STC provides a portion of a weekly unemployment insurance benefit payment to those eligible individuals whose workweeks have been reduced. These employees benefit from the program because they do not suffer a complete loss of employment and the loss of wages is partially offset by STC paid during the period when their hours are reduced. Employers benefit from the program because they are able to reduce labor costs temporarily while still maintaining their skilled workforce, protecting the employer’s investments in recruitment and training.

4. STC Grant(s). Section 2164 of the Act provided for grants to states for STC program activities. States had the opportunity to apply for one or both of the following two types of funding:

(1) A grant to implement or improve a state STC program; and

(2) A grant to promote and enroll employers in the STC program.

The deadline to apply for these STC grants was December 31, 2014.

The following sixteen (16) states received STC grant funds: Arkansas, California, Connecticut, Iowa, Massachusetts, Michigan, Missouri, New Hampshire, New York, Ohio, Oregon, Pennsylvania, Rhode Island, Texas, Washington, and Wisconsin. A total of $46,154,004 was awarded to states. Of this total amount $16,264,548 was awarded to administer the program and $29,889,456 to promote and enroll employers in the program.

5. STC Quarterly Progress Report (QPR). The U.S. Department of Labor’s Employment and Training Administration (ETA) has oversight responsibility for monitoring the STC grants awarded to state workforce agencies (SWA). As part of the monitoring process, SWAs that received a STC grant(s) must submit a QPR. The QPR serves as a monitoring instrument to track the SWA’s progress toward completing STC grant activities.

The QPR provides narrative updates on STC grant activities and ensures that the state achieves the goals set forth in the STC grant application. The QPR has five sections for states to document quarterly STC grant activities: implementation and/or improved administration, promotion and enrollment, outcomes, success stories, and technical assistance needs. ETA Regional Offices will monitor the state’s quarterly progress using the STC Grant QPR and match it against the timeline and outcomes submitted in the approved STC grant application. The report is due 45 days after the quarter ends. The table below shows the due dates for each reporting quarter.

Reporting Quarters	Due Dates
October 1st – December 31st	February 14th
January 1st – March 31st	May 15th
April 1st – June 30th	August 14th
July 1st – September 30th	November 14th

If the due date of the report falls on a Saturday, Sunday, or holiday, the report is due the

previous business day.

If a state fails to submit the STC Grant QPR and/or is not adequately meeting the state’s quarterly goals established for completing STC grant activities as approved per the application, the STC grant may be subject to recoupment of funds as described in UIPL No. 27-12, Section 10.

The Information Collection Request (ICR) for the STC Grant QPR was initially approved by the Office of Management and Budget (OMB) pursuant to the Paperwork Reduction Act of 1995 (OMB Control No. 1205-0499) through January 31, 2016. Approval has been extended through June 30, 2019. A copy of the QPR was originally provided in UIPL No. 27-12, Attachment III.

6. Extension with Revisions. Information collection under OMB Control No. 1205-0499 was revised to exclude the collection of information that is no longer applicable. Previously, OMB Control No. 1205-0499 also included approval for the completion of an STC grant application checklist and the application for an STC grant (see UIPL No. 27-12, Attachment II), entering into an agreement with the Secretary of Labor (Secretary) for the temporary financing of STC payments by the Federal Government, and entering into an agreement with the Secretary to operate a temporary Federal STC program (for states without STC programs in state law). However, no further funds for STC grants are available for award and authority for the temporary Federal STC activities has expired and, consequently, approval for such activities is no longer needed. Therefore, OMB Control No. 1205-0499 was revised accordingly. The QPR form itself remains the same, except for a change in the identification of the grant type (on the top of the form). A copy of the QPR form is attached to this UIPL.

7. OMB Approval. OMB has approved the extension with revisions, pursuant to the Paperwork Reduction Act of 1995, under OMB Control No. 1205-0499 through June 30, 2019.

8. Action Requested. State administrators of states that received STC grants are requested to provide the above information to appropriate staff.

9. Inquiries. Direct all inquiries to the appropriate ETA Regional Office.

10. Paperwork Reduction Act. The Paperwork Reduction Act of 1995 (PRA), 44 U.S.C. 3501 et seq., provides that no persons are required to respond to a collection of information unless such collection displays a valid OMB control number. The information collection mentioned in this UIPL has been approved under control number 1205-0499.

11. Attachment. Short-Time Compensation (STC) Grant Quarterly Progress Report (QPR).

Attachment

Short-Time Compensation (STC) Grant Quarterly Progress Report (QPR)

State: STC Grant Type:

Project Director: _____ Quarter Ending: __

Purpose: To track STC grant activities and ensure that the state achieves the desired goals set forth in the STC grant application.

Report Due Dates: The report is due 45 days after the quarter ends (i.e., on November 14, February 14, May 15, and August 14).

Section I. Implementation and/or Improved Administration Activities. Include a narrative description of the implementation and/or administrative activities that occurred this quarter. If the state’s quarterly goal is not achieved, please explain. Please consider the following in the narrative, as applicable:

• Progress toward implementing/improving procedures/systems for the STC program.

• Progress in developing and/or enhancing systems to automate the STC program.

• STC program administrative activities (i.e., staff hired and/or staff training).

Section II. Promotion and Enrollment Activities. Include a narrative description of the promotion and enrollment activities that occurred this quarter. If the state’s quarterly goal is not achieved, then explain. Please consider the following in the narrative, as applicable:

• Progress in the state’s promotion and enrollment activities.

• Creation and support of Rapid Response teams or other partnerships established to advise employers about the STC program.

• Education and assistance to employers about the STC program.

• Development of outreach materials and messaging tools.

• Promotional activities (i.e., meetings attended, media, mailings).

Section III. Outcomes. Include a narrative description of the outcomes that occurred this quarter. If the states’ quarterly goal is not achieved, then explain. Please consider the following in the narrative:

• If the state included outcome goals in its application, describe the progress made toward these outcome goal(s).

Section IV. Success Stories. Include any STC program or grant success stories or achievements for the quarter. Please consider providing:

• Include any employer or claimant success stories.

Section V. Technical Assistance Needs. Describe any STC program or grant-related technical assistance needs.