Adjustment Proposals

FOR GOVERNMENT
USE ONLY
Date Submitted:

Trade Adjustment Assistance for Firms Program
Adjustment Proposal Coversheet
(Please use Adobe version)
ITEM 1- IDENTIFYING INFORMATION
Firm Name:
Address:
City:

Certification Date:
State:

Petition ID:

NAICS
(5-digits):

Zip:

Name and Title of the Firm’s Contact Person
Last Name:

E-mail:
Title:

First Name:

Trade Adjustment Assistance Center:

TAAC Project Manager:

Salutation:.Mr.

TAAC Phone:

TAAC E-mail:
NAFTA
Impacted:

Figures for the two most recent years for which data is available.
Period (MM/YY)

Period (MM/YY)

Period Ending Employment

Net Sales

Operating Income

No

ITEM 2- ADJUSTMENT PROPOSAL OUTCOMES MATRIX
Project
Timeframe

Firm Weakness or
Strength Enhancement

Proposed Consulting

Projected Outcome

Cost ($)

ITEM 3- ADJUSTMENT ASSISTANCE
Total Consulting ($)
Firm Share

Consulting Cost
Share (%)

Post Certification ($)

Post Certification
Cost Share (%)

Total Assistance ($)

0.00

50%

0.00

25%

0.00

Government Share 0.00

50%

0.00

75%

0.00

100%

0.00

100%

0.00

Total Amount
Requested

0.00

ITEM 4- ADJUSTMENT PROPOSAL ASSISTANCE
Did the TAA certified firm received assistance in preparing their adjustment proposal? Yes
Yes
If so, please provide the name, company, and contact information of anyone outside of the certified firm and the TAAC who
assisted in preparing the firm’s adjustment proposal, including but not limited to contractors and attorneys.
Name:
Company:
Address:
City:
E-mail Address:

State:

Zip-Code:
Phone No.:

TAAC Transmittal Letter
Date
Bryan Borlik
Director, Trade Adjustment Assistance Division
U.S. Department of Commerce
Economic Development Administration
1401 Constitution Avenue, NW, Room 71030
Washington, DC 20230
Re: Adjustment Proposal – Firm Name
Dear Mr. Borlik:


Purpose:
Authenticate TAAC endorsement of the Adjustment Proposal (AP).
Detail the level of the firm’s involvement in the preparation of the AP.
Summarize the type of assistance requested.
If the firm has previously been certified for TAAF and/or received an AP, include the date of the
firm’s first certification, the date of the prior AP approval, and the amount of AP funds awarded
and expended by the firm.
 If the firm is amending their current active AP (within the 5-year limit) refer to current EDA
guidance for procedure.
 Confirm that the proposal meets the statutory requirements.
 Confirm that the TAAC has communicated all steps involved in the AP approval and
implementation process to the firm.
 Confirm that the firm may not begin any activity related to implementation, including securing
services related to implementation in advance of the approval of the AP by EDA.





 Content:
 This proposal was developed by the TAAC in close cooperation with the TAAF-certified firm.
 This Adjustment Proposal calls for: (list the projects, including cost share).
 (TAAC’s name) Trade Adjustment Assistance Center finds that this Adjustment Proposal meets
the three legal requirements of the legislation. (Confirm that the AP is 1. reasonably calculated, 2.
Makes full use of the firm’s resources, and 3. Gives adequate consideration to the firm’s
separated workers).
 State if any project (business recovery strategies) in the AP is for the purpose of assisting the firm
with developing or increasing export opportunities and/or export initiatives.
 State if any project (business recovery strategies) in the AP is for the purpose of assisting the firm
with staff capacity building (with a goal retaining and creating jobs).
 Format:
 Standard letter format on TAAC’s letterhead
 One page
 Signed by TAAC Director

Sincerely,

XXX
TAAC Director

Firm Transmittal Letter
Date
Bryan Borlik
Director, Trade Adjustment Assistance for Firms
Economic Development Administration
United States Department of Commerce
1401 Constitution Avenue, NW, HCHB Room 71028
Washington, DC 20230
Dear Mr. Borlik:
 Purpose:
 State firm’s involvement in plan preparation
 State management’s endorsement of the plan
 Summarize type of assistance
 Transmit proposal
 Content:
 (Firm name) is requesting (list projects, including cost share)
 (Extent to which the firm was involved in the proposal’s preparation)
 The management at (firm name) is fully committed to carrying out this recovery program
 Format:
 Standard letter format on firm’s letterhead
 One page
 Signed by authorized senior official of the firm
Sincerely,
XXX
Authorized senior official of the firm, Title

Table of Contents
(Electronic bookmaring on Adobe can substitute for a Table of Contents)

Statement of Need and Market Analysis ............................................................................................................................ 6
Brief Firm History ........................................................................................................................................................ 6
Industry Information .................................................................................................................................................... 6
Management Review .................................................................................................................................................. 6
Financial Review ........................................................................................................................................................ 6
Marketing and Sales Review ........................................................................................................................................ 6
Operations Overview ................................................................................................................................................... 6
SWOT. ...................................................................................................................................................................... 6
Recovery Strategy .......................................................................................................................................................... 7
Implementation Plan ....................................................................................................................................................... 7
Adjustment Proposal Timeline & Milestones (EXAMPLE) ................................................................................................ 8
Consideration for separated workers............................................................................................................................... 11
Use of firms own resources............................................................................................................................................ 11

Statement of Need and Market Analysis
Brief Firm History
o Firms shall provide a brief overview of the firm’s history, current financial position, products produced or
services provided and its market position.
Industry Information
o Include information concerning the impact of imports on the firm’s market, growth in the firms industry,
primary raw materials, principal technology and competition and any changes in the overall market place.
Management Review
o This can take many forms, but as a general guide, it may include organizational structure, management
experience or skills, team work, succession plans, and business planning and decision making.
Financial Review
o

This can take many forms, but as a general guide, it may include liquidity, solvency, inventory and
receivables, profitability, and investment analysis. For example, vertical, horizontal, or ratio analysis or zeta
score.

Marketing and Sales Review
O Firms shall include a short analysis of the firm’s current marketing strategy. Examples include: detailing
product line, product strategy, distribution, field sales force, pricing, exports, new product development, trade
shows, advertising and promotion, and delivery services.
Operations Overview
O Firms shall provide an overall review of existing input resources, which include: facilities, capital equipment,
layout and workflow, direct labor, production scheduling and quality control, purchasing, cost system and
product quality.
SWOT
O

O

Firms shall assess their strengths and weaknesses (Strengths, Weaknesses, Opportunities, and Threats
analysis [SWOT]) in contrast to its prime market competitors and its estimated market share and sales. The
firm must address each of the following areas: Industry position, Management, Finance, Marketing and sales,
Manufacturing and Management Information Systems.
In addition, firms must specify the tasks that will improve the weaknesses highlighted in the SWOT analysis.

Adjustment Proposal SWOT Analysis (EXAMPLE)
Selected
Categories
Management

Financial
Production

Support Systems
Marketing & Sales

Strengths

Weaknesses

Opportunities

Threats

Solutions

Very experienced top
management nearing
retirement and owner
will retire soon.

Business Succession
Plan and Family
Succession Plan

Building and
equipment are fully
depreciated and
must compete with
manufacturers in
low cost countries.

-Certification for ISO
9000.
- Documentation of
procedures.
- Trained Quality
Assurance personnel.

Firm has no formal
marketing plan.

Marketing plan

Recovery Strategy
o

o

Purpose:
o Identification of objectives/goals and overall approach or method for achieving objectives.
o Explanation of why the projects were chosen and how the projects will assist the firm in becoming
more competitive in the global market. Make the link between the weaknesses that need to be
addressed and/or the strengths that can be enhance and the chosen projects.
Can take the format of an executive summary.

Implementation Plan
o

Purpose:
o To help the TAAC and firm take the recovery plan from the theoretical stage to the implementation
stage.
o To confirm that assistance consists of knowledge-based services and not expenditures for capital
improvements or purchase of business machinery or supplies.
o Illustrate the timely relationship between the projects.
o Illustrate whether the projects are expected to be completed within two to five years of
implementation.
o Provide a timely basis on which to track the progress of the projects.

o

Content:
o The firm must clearly describe the scope and detail of a plan of action that discusses: the specific
tasks that will be undertaken to improve firm position and the rationale for the proposed task and
projected outcomes.
o

o

Provide quantitative monthly or quarterly projections of the accomplishments to be achieved for
each function or activity. When accomplishments cannot be quantified by activity or function, list
them in chronological order to show the schedule of accomplishments and their target dates. An
implementation plan that shows the timing and interrelationships of the major events or
benchmarks necessary to implement the recovery plan and realize its objectives must be
presented.

Format:
o Either in chart or Scope of Work Format. See the examples provided in the following pages.
o The format of the timeline can vary as long as the relationship between the projects and the timespan of the projects are illustrated clearly. Microsoft Project or Excel, among other software tools,
can be used for project timelines.

Please Note (The following is not part of the AP, but provides general guidance)
o Project outcomes
o Intended to help analyze which projects are most effective for which firms
o Should be Specific, Measurable (when possible), Achievable, Relevant, Results-Oriented, and
Timely
o Outcomes should be specific to the project. Some examples are provided below:
o The website redesign is expected to increase the number of visits to the firm’s website by at least
5%
o The new sales plan is expected to reach at least four new customers
o The lean manufacturing efforts are expected to increase productivity
o Outcomes should be achievable
o Are the necessary resources and human capital available to carry out the projects?
o Outcomes should be relevant
o Do the outcomes remedy the firm’s weaknesses and enhance their individual strengths?
o Outcomes should be results-oriented
o What are the expected results of the projects?

o
o

o Do the projects’ outcomes assist the firm in becoming more competitive in the global market?
Outcomes should be timely
o Can the projects be achieved within the five year deadline?
Outcomes should be measurable when possible
o What are the key performance indicators for the projects?
o Attempt to minimize arbitrary quantitative measures by using the market and firm analysis to
estimate expected outcomes.
o Again, TAACs will not be penalized for missing projected outcomes. They are simply used to
evaluate the effectiveness of common projects.

Adjustment Proposal Timeline & Milestones (EXAMPLE)
Task
1

Marketing plan
Business
Succession Plan
ISO Certification
QA
Implementation
QA training

2

3

4

5

6

7

8

9

10

Timeframe
(Months/Quarters/ Years)
11 12 13 14 15 16

17

18

19

20

21

22

23

24

Implementation Plan Option 1: Chart Example (Pick one either chart or SOW)
Adjustment Assistance Implementation Plan
Identified Weakness
or Strength
Enhancement
Ex: Firm has no formal
marketing plan.

Ex: Very experienced
top management
nearing retirement and
owner will retire soon.

Ex: Building and
equipment are fully
depreciated and must
compete with
manufacturers in low
cost countries.

Task Details
o Research existing customers, potential customers, competitors,
and potential competitors.
o Evaluate customer needs, market segments, value drivers, and
potential areas of growth and decline.
o Estimate and forecast sales of current and potential target
markets.
o Identify specific target markets.
o Develop strategic marketing plan.
o Develop a tactical plan.
o Provide lead generation services including script preparation,
pre-qualifying calls and data collection.
o Evaluate current business family financial positions.
o Develop plan for continued business operation.
o Develop plan for wealth transfer to ownership.

o Review current documents and practices.
o Perform gap analysis between current documents/processes
and those required by ISO 9000 standards.
o Advise personnel on corrective actions and perform the
necessary personnel training.
o Assist mgmt. with documentation and other required certification,
verification and audit steps.
o Register firm as ISO 9000 certified.
o Identify QA curriculum and enroll selected personnel.

Output/ Deliverables

Anticipated Outcome

Marketing plan

Diversify markets and
increase sales by 5% in
the first two years after
project implementation.

Business Succession
Plan and Family
Succession Plan that
satisfactorily address
issues of operational
management structure for
the company and
ownership and wealth
transfer.
o Certification for ISO
9000.
o Documentation of
procedures.
o Trained Quality
Assurance personnel.

Smooth ownership
transition, better
business decision
making and direction for
business strategy

o 10% Reduction in
costs
o improved quality

Implementation Plan Option 2: Scope of Work Example (Pick one either chart or SOW)
Management
Project 1
Objectives/ Anticipated Outcomes:
Smooth ownership transition, better business decision making and direction for business strategy.
Weakness or Strength Enhancement Addressed:
Very experienced top management nearing retirement and owner will retire soon.
Tasks to Be Completed:
o Evaluate current business family financial positions.
o Develop plan for continued business operation.
o Develop plan for wealth transfer to ownership.
Deliverables/Output:
Business Succession Plan and Family Succession Plan that satisfactorily address issues of operational management
structure for the company and ownership and wealth transfer.
Marketing/ Sales
Project 2
Objectives/ Anticipated Outcomes:
Diversify markets and increase sales.
Weakness or Strength Enhancement Addressed:
Firm has no formal marketing plan.
o
o
o
o
o
o
o

Tasks to Be Completed:
Research existing customers, potential customers, competitors, and potential competitors.
Evaluate customer needs, market segments, value drivers, and potential areas of growth and decline.
Estimate and forecast sales of current and potential target markets.
Identify specific target markets.
Develop strategic marketing plan.
Develop a tactical plan.
Provide lead generation services including script preparation, pre-qualifying calls and data collection.
Deliverables/Output:
Marketing plan

Production (Manufacturing/ Operations)
Project 3
Objectives/ Anticipated Outcomes:
o Reduction in costs
o Improved quality
Weakness or Strength Enhancement Addressed:
Building and equipment are fully depreciated and must compete with manufacturers in low cost countries.
o
o
o
o
o
o

Tasks to Be Completed:
Review current documents and practices.
Perform gap analysis between current documents/processes and those required by ISO 9000 standards.
Advise personnel on corrective actions and perform the necessary personnel training.
Assist mgmt. with documentation and other required certification, verification and audit steps.
Register firm as ISO 9000 certified.
Identify QA curriculum and enroll selected personnel.

Deliverables/Output:
o Certification for ISO 9000.
o Documentation of procedures.
o Trained Quality Assurance personnel.

Consideration for separated workers
o

Firm’s policy of rehiring preferences for such workers, making efforts to find new work for a number of such workers, or assisting
workers in obtaining benefits under available programs.

Use of firms own resources
o

Indication of efforts to use own resources
o Firm’s commitment to TAA cost share
o Firm’s commitment to projects related, but not part of TAA
o Previous investments the firm has made
o Under certain circumstances resources of related firms or stockholders will also be considered