Unemployment Data and Methods for Able-Bodied Adults Without Dependents

SNAP - Unemployment Data and Methods for ABAWD Waivers - Jan 2020.pdf

Supplemental Nutrition Assistance Program: Waivers under Section 6(o) of the Food and Nutrition Act of 2008

Unemployment Data and Methods for Able-Bodied Adults Without Dependents

OMB: 0584-0479

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Food and
Nutrition
Service

1320 Braddock Place
Alexandria, VA
22314

SUBJECT: Supplemental Nutrition Assistance Program (SNAP) – Unemployment
Data and Methods for Able-Bodied Adults Without Dependents
(ABAWD) Waivers
TO:

State SNAP Directors
All Regions

On December 5, 2019, the Food and Nutrition Service (FNS) published the final
rule, Supplemental Nutrition Assistance Program: Requirements for Able-Bodied
Adults Without Dependents.
Effective April 1, 2020, the final rule changes the definition of the geographic areas
that can be waived and other criteria under which an area may qualify for a waiver of
the SNAP participation time limit for ABAWDs. In order to have a waiver as of April
1, 2020, and thereafter, States must request a waiver that meets the new standards in
7 CFR 273.24(f) and should submit that request as soon as possible to their respective
FNS Regional Office contact(s) and copy [email protected]. FNS
encourages States to submit these waiver requests no later than February 1, 2020, to
ensure timely processing.
The enclosure provides States with information on how to obtain Bureau of Labor
Statistics and Census Bureau data and step-by-step instructions on how to use that
data to calculate an unemployment rate in support of an ABAWD waiver request.
These technical sources and methods are consistent with those that FNS has
endorsed in the past, but have been adapted where appropriate to account for the
final rule’s changes to the definition of the geographic area that can be waived and
recent changes to the Census Bureau’s data tool. Please note, this technical
information does not provide an exhaustive list of criteria, methodologies, or data
that States could submit in support of an ABAWD waiver request under the final
rule, nor does it address other areas of ABAWD waiver policy. The Office of
Management and Budget’s Office of Information and Regulatory Affairs has
designated this memorandum as not a major rule under the Congressional Review
Act.
Please contact your respective FNS Regional Office with any questions about this
memorandum.
Sincerely,
Digitally signed by

SASHA
SASHA GERSTEN-PAAL
2020.01.21
GERSTEN-PAAL Date:
16:46:35 -05'00'

Sasha Gersten-Paal
Acting Director
Program Development Division
Enclosure
USDA is an Equal Opportunity Provider, Employer and Lender

ABAWD Waiver Data and Methods

January 2020

I. DEFINITION OF WAIVER AREA
Under 273.24(f)(4) in the final rule, the waiver area is defined as an area considered a Labor
Market Area (LMA) by the Department of Labor (DOL), the intrastate part of an interstate LMA,
an Indian reservation area, or a U.S. Territory.
LMAs: A complete list of LMAs is published by DOL’s Bureau of Labor Statistics (BLS),
available on this webpage. States must support a waiver request for an LMA using its
corresponding LMA unemployment data in order to qualify for approval.
The intrastate part of an interstate LMA: Interstate LMAs are LMAs that cross State lines.
In the case of an interstate LMA, the intrastate part of the LMA (e.g. the part of the LMA
that is within the requesting State) may only qualify for a waiver based on data from the
entire interstate LMA.
An Indian reservation area or a U.S. Territory: Indian reservation areas and U.S. Territories
are each considered to be an area for the purposes of waivers.

II. OBTAINING UNEMPLOYMENT DATA FOR LABOR MARKET AREAS (LMAs)
FROM THE BUREAU OF LABOR STATISTICS
States can consult the complete list of LMAs published by BLS to identify the LMAs that fall
within their jurisdiction. In addition, BLS currently publishes corresponding Local Area
Unemployment Statistics (LAUS data) for all LMAs. However, the LAUS database does not
include the term “LMA” as a searchable area type. Instead, an LMA is searchable based on its
statistical area type. Therefore, States must identify the LMA’s statistical area type in order to
obtain its LAUS data. States can review column D of the list of LMAs to identify the name and
statistical area type of a particular LMA. Then, using these two pieces of information, the State
can search for and obtain labor force and unemployment data for the LMA on the LAUS
database (https://www.bls.gov/lau/#data).
An LMA could be any of the following statistical area types:
•
•
•
•

A metropolitan statistical area (area type “B” within the LAUS database)
A micropolitan statistical area (area type “D” within the LAUS database)
A county or county equivalent (area type “F” within the LAUS database)
A multi-entity small labor market area (area type “J” within the LAUS database)

Below is a screen shot from the LAUS database One-Screen Data Search, with the relevant
statistical areas for searching for an LMA marked with a green dot.

USDA is an Equal Opportunity Provider, Employer and Lender

Unemployment Data and Methods for ABAWD Waivers
January 2020

Please keep in mind that interstate LMAs are listed under only one state, not every state in
which the LMA is located. Therefore, the requesting State may need to select a neighboring
State in order to obtain data for the LMA.
BLS Local Area Unemployment Statistics are available at www.bls.gov/lau and can be accessed
using the steps below:
1. Scroll down to Featured LAU
Searchable Databases
2. Click on One-Screen Data
Search
3. Select the area(s) for which
data is needed. Data for LMAs
are generally found in area
types B, D, F, and J (not all States
will have area type J)
4. Select Not Seasonally Adjusted
data. Click on Get Data

Page 2 of 16

Unemployment Data and Methods for ABAWD Waivers
January 2020

III. WAIVERS BASED ON A 12-MONTH AVERAGE UNEMPLOYMENT RATE
OVER 10 PERCENT
State agencies can support a waiver request for a geographic area based on a recent 12-month
average unemployment rate over 10 percent, consistent with 273.24(f)(2)(i) of the final rule.
CALCULATING AN AVERAGE UNEMPLOYMENT RATE FOR AN AREA
1. Obtain monthly labor force data for the 12-month period
2. Obtain monthly unemployment data for the same period
3. Total the monthly labor force data
4. Total the monthly unemployment data
5. Divide the unemployment total by the labor force total
6. If the quotient has more than four decimal places, truncate it to four decimal places
(drop the fifth and all subsequent decimal places)
7. Multiply the quotient by 100. The result is the average unemployment rate for the
12-month period
Points of Emphasis:
 Use not seasonally adjusted data
 Monthly labor force and unemployment data must be obtained and provided
 Do not include the annual total that is sometimes included in the BLS columns

Page 3 of 16

Unemployment Data and Methods for ABAWD Waivers
January 2020



Do not use an average of the monthly unemployment rates. Calculating monthly
unemployment rates, then averaging the monthly unemployment rates is not valid.
Instead, aggregate the monthly labor force data over the data look-back period and
aggregate the unemployment data over the data look-back period. Use these two
aggregated numbers to calculate the unemployment rate over the data look-back
period.

The following table is an example of the documentation and calculations needed to support a
waiver based on a recent 12-month average unemployment rate over 10 percent. To obtain
accurate results, the State must use the method demonstrated in the example that follows. As
a best practice, all calculations should be documented in tables or spreadsheets and provided
with the request.
Area A, State X
Year
Month
Labor Force
Unemployment
2019
Jan
14301
2192
2019
Feb
14354
2225
2019
Mar
14185
1836
2019
Apr
14481
1957
2019
May
14360
1735
2019
Jun
14399
1810
2019
Jul
14239
1790
2019
Aug
14175
1772
2019
Sep
14147
1843
2019
Oct
14261
1851
2019
Nov
14486
2170
2019
Dec
14217
1936
Total
171605
23117
Average Unemployment Rate
13.5%

Page 4 of 16

Unemployment Data and Methods for ABAWD Waivers
January 2020

IV. WAIVERS BASED ON A 24-MONTH AVERAGE UNEMPLOYMENT RATE 20
PERCENT ABOVE THE NATIONAL AVERAGE & AT LEAST 6 PERCENT
States can also support waiver requests based on data from BLS or a BLS cooperating agency
showing an area has a 24-month average unemployment rate that is both 20 percent above the
national average for a recent 24-month period and at least 6.0 percent, consistent with
273.24(f)(2)(ii) of the final rule.
In order for the 24-month data period to be considered recent, the number of months from the
end of the last month of the 24-month period through the last month that the waiver would be
effective cannot exceed 21 months. To clarify, the number of months cannot exceed 21 months,
but could be less than 21 months, as shown in the table below. For example, a waiver that
would expire on March 31, 2021 (March 2021 being the last month of the waiver) could be
supported by data from a 24-month period that ends no earlier than June 30, 2019. The table
below provides additional examples of how to determine the allowable data look-back period
based on the last month in which the requested waiver would be effective.
Last Month of Waiver:
Jan 2021
Feb 2021
Mar 2021
Apr 2021
May 2021
Jun 2021
Jul 2021
Aug 2021
Sep 2021
Oct 2021
Nov 2021
Dec 2021

24-Month Period for Calculating an Area’s
Unemployment Rate Can End No Earlier than:
Apr 2019
May 2019
Jun 2019
Jul 2019
Aug 2019
Sep 2019
Oct 2019
Nov 2019
Dec 2019
Jan 2020
Feb 2020
Mar 2020

To obtain accurate results, the State must use the method provided by example in the pages
that follow. Monthly labor force data and unemployment data must be obtained and
aggregated, then used to calculate the unemployment rate for the requested area and for the
nation, respectively. As a best practice, all calculations should be documented in tables or
spreadsheets and provided with the request.
Use Not Seasonally Adjusted data, as previously noted in Section III. Please also note the
specific directions on how to round data, as explained in the following example.

Page 5 of 16

CALCULATING A 24-MONTH AVERAGE UNEMPLOYMENT RATE FOR AN AREA
STEP 1: Obtain the area’s labor force data for the selected 24-month period and calculate the total.
The 24-month period need not align with the calendar year, although this example does. Be careful to
not include annual totals that may be in the BLS data. This data can also be downloaded in vertical
tables.
Labor Force

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

2018

16449 16467 16298 16457 17037 16943 17220 16579 15994 15850 15817 15749

2019

15653 15825 15703 15840 16148 16311 16605 16483 16257 16047 15852 15630

Total

389,214

STEP 2: Obtain the same 24 months of unemployment data and calculate the total.
Unemployment
Jan
Feb Mar Apr May Jun
Jul
Aug Sep Oct Nov Dec
2018

1128 1221 1051 1071 1432 1348 1609 1107 749 846 917 917

2019

1000 1117

998

917

928

Total

918

1093

955

804 796 801 736

24,459

STEP 3: Divide the total unemployment by the total labor force.
24,459 divided by 389,214 = 0.062842
If the quotient has more than four decimal places, drop the fifth and all subsequent
decimal places. 0.062842 is truncated to 0.0628.
STEP 4: Multiply the quotient in Step 3 by 100, to express it as a percentage.
.0628 x 100 = 6.28 percent
STEP 5: Round the percentage to one decimal place. This is the area’s average unemployment rate for
the 24-month period. The State would compare this number to the 20 percent above the national
average unemployment rate threshold to determine if the area qualifies for an ABAWD waiver.
6.28 percent is rounded to 6.3 percent; the area’s average unemployment rate for the
24-month period is 6.3 percent.
CALCULATING THE 24-MONTH UNEMPLOYMENT RATE FOR THE U.S.
(THE NATIONAL AVERAGE UNEMPLOYMENT RATE)
STEP 1: Obtain the monthly national labor force for the 24-month period from
https://www.bls.gov/cps/ and calculate the total. Use the One-Screen Data Search tool for Labor
USDA is an Equal Opportunity Provider, Employer and Lender

Force Statistics. Again, be sure to use Not Seasonally Adjusted data. To calculate a 24-month average
for a period other than a calendar or fiscal year, the State would need to calculate the national average
unemployment rate for the selected 24-month period.
NATIONAL LABOR FORCE (NUMBERS IN THOUSANDS)
Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

2018 158676 159482 159912 159817 159979 161337 161911 160863 161049 160465 160466 159880
2019 160037 161494 161548 161280 161765 163277 163734 161909 161958 162723 162665 162510
Total

3,868,737

STEP 2: Obtain the monthly national unemployed for the 24-month period and calculate the total.
NATIONAL UNEMPLOYED (NUMBERS IN THOUSANDS)
Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

2018 8149

7887

7284

6555

6572

7250

7441

7287

6556

6242

6286

6278

2019 7189

7091

6671

5932

5756

6812

6730

6370

5766

5771

5650

6029

Total

159,554

STEP 3: Divide the total unemployment by the total labor force:
159,554 divided by 3,868,737 = .041242
If the quotient has more than four decimal places, drop the fifth and all subsequent
decimal places. .041242 is truncated to .0412
STEP 4: Obtain the unemployment rate 20 percent above national average (multiply by 1.2). The
national average must be multiplied by 1.2 prior to any rounding. Only after multiplying the national
average by 1.2 can the figure be rounded.
.0412 x 1.2 = .04944
Truncate to four decimal places: .0494
STEP 5: Express as a percentage by multiplying by 100: 4.94
STEP 6: Round to one decimal place: 4.94 is rounded to 4.9 percent.

V. ESTIMATING UNEMPLOYMENT RATES FOR INDIAN RESERVATION AREAS
The State also has the opportunity to support a request to waive Indian reservation areas and tribal
lands using unemployment rates, but BLS does not produce data specific to these areas and other
unemployment data is often unavailable.
Page 7 of 16

However, the State can estimate unemployment rates for these areas by applying data from the
U.S. Census Bureau’s American Community Survey (ACS) to available BLS data, consistent with
273.24(f)(6)(i)(A) of the final rule. The instructions below only cover how to estimate unemployment
rates for these areas by applying ACS data to BLS data. Some tribal governments generate their own
labor force and/or unemployment data, which if available could also be used to support a waiver.
INSTRUCTIONS ON ESTIMATING UNEMPLOYMENT RATES FOR RESERVATION AREAS
STEP 1.1: Use https://data.census.gov/cedsci/to obtain 5-year ACS estimates for unemployed and
labor force total in the reservation area and the county or counties in which it is located. If the
reservation area crosses county lines, unemployed and labor force data must be obtained for each
county in which the reservation area is located.
STEP 1.2: Select the Advanced
Search option.

Page 8 of 16

STEP 1.3: Open Surveys, then select
ACS 5-Year Estimates Detailed Tables.
The ACS will now appear in the Selected
Filters block at the bottom of the page.

STEP 1.4: In the search bar at the top of the webpage, begin typing B23025: Employment Status for
the Population 16 Years and Over. Select the table when it populates below your search bar.

Page 9 of 16

STEP 1.5: Select Geographies to apply geographic filters to the table.

STEP 1.6: Make sure the Show Summary Levels button is toggled. Select 270 – American Indian
Area/Alaska Native Area/ Hawaiian Home Land-State-County. Use the search bar or scroll to find the
desired reservation area. This example uses the portion of the Duck Valley Reservation Area located in
Owyhee County, Idaho.
Note: If it is not possible to click on 270 – American Indian Area/Alaska Native Area/ Hawaiian
Home Land-State-County, make sure the Product at the top of the table is ACS 5-Year Estimates
Detailed Tables, not 1-Year Estimates.

Page 10 of 16

STEP 1.7: Select Idaho (part); Duck Valley Reservation. Then, select Owyhee County (part); Idaho
(part); Duck Valley Reservation, NV—ID

STEP 1.8: Select Close in the bottom-right corner to return to the filtered table. The data can be
downloaded as a zip file that contains Excel spreadsheets by selecting Download, and then selecting
CSV format. Be careful to use the 5-Year estimates when downloading the file, not the 1-Year
estimates.

Page 11 of 16

STEP 2.1: Calculate the employed and unemployed census shares for the reservation and the county
by dividing the reservation estimate by the county estimate.
a) Reservation Estimate Employed / County Estimate Employed = Reservation Employed Share
Example: 97 / 4,687 =0.02069554
Truncate to six decimal places (drop the seventh and all subsequent decimal places): 0.020695
The employed share for Duck Valley Reservation is 0.020695
b) Reservation Estimate Unemployed / County Estimate Unemployed = Reservation
Unemployed Share
Example: 20 / 312 = 0.064102564
Truncate to six decimal places: 0.064102
The unemployed share for Duck Valley Reservation is 0.064102
An example of how these calculations may appear in a table or spreadsheet:
Employed
Employed
Unemployed
Share
Owyhee County (part); Idaho (part);
Duck Valley Reservation, NV-ID

97

Owyhee County

4,687

0.020695

20

Unemployed
Share
0.064102

312

STEP 2.2: Apply the census shares to the BLS county employment and unemployment totals for the
selected time period to estimate the reservation unemployment rate. For directions on how to obtain
the BLS county data for the selected time period, consult Section II. For this example, the 24-month
period of July 2017 through June 2019 is used.
To estimate the reservation unemployment and employment totals, multiply the employed and
unemployed census shares by the employment and unemployment totals from BLS for the relevant
county. Then, combine the results to get the estimated reservation labor force.
a) Reservation employed share multiplied by BLS county employment total
Example: 0.020695 x 126,780 = 2,623.7121
Reservation employment total = 2,624
b) Reservation unemployed share multiplied by BLS county unemployment total
Example: 0.064102 x 4,680 = 299.99736
Reservation unemployment total = 300
c) Reservation employment total plus reservation unemployment total equals the reservation
labor force total
Example: 2,624 + 300 = 2,924
Reservation labor force total = 2,924

Page 12 of 16

STEP 2.3: Divide the reservation unemployment total by the reservation labor force to get the
estimated reservation unemployment rate.
Example: 300/2,924 = 0.102599
Estimated reservation unemployment rate = 10.3%
The table below summarizes the entire process:
Owyhee County BLS Data:
July 2017 – June 2019
Unemployment
4,680
Employment
126,780
Labor Force
Reservation Estimated Unemployment Rate

Reservation
Census
Share
0.064102
0.020695

Reservation Estimate
300
2,624
2,624 + 300 = 2,924
300/2,924 = 10.3%

In some cases, two or more reservation areas cross the same county’s boundaries. In these cases,
calculate the census shares and estimate the unemployment rates for each reservation area
independently, one at a time.
ESTIMATING UNEMPLOYMENT RATES FOR RESERVATION AREAS LOCATED IN MULTIPLE
COUNTIES
An individual reservation area could be located in more than one county. In these cases, calculate the
census shares, unemployment, employment, and labor force for each county part individually. Next,
aggregate the figures to obtain the totals for the reservation area. Using the totals, estimate the
unemployment rate for the reservation area (example below).
County BLS Data:
July 2017 – June 2019
5,164

Unemployment
(county A part)
Unemployment
2,225
(county B part)
Employment
118,848
(county A part)
Employment
10,100
(county B part)
Total Reservation Unemployment
Total Reservation Labor Force

Reservation Estimated Unemployment Rate

Reservation
Census Share
0.092331
0.023000
0.010296
0.034000

Reservation Estimate
477
51
1,224
343
477+51 = 528
(477+51) +
(1,224+343) = 2,095
(477+51)/2,095 = 25%

Page 13 of 16

VI. STATUTORY AND REGULATORY AUTHORITY
Relevant statutory and regulatory authority include Section 6(o)(4) of the Food and Nutrition Act of
2008, as amended, and 7 CFR 273.24(f).
SECTION 6(O)(4) OF THE FOOD AND NUTRITION ACT OF 2008, AS AMENDED
(4) WAIVER.—
(A) IN GENERAL.—On the request of a State agency and with the support of the chief executive officer
of the State, the Secretary may waive the applicability of paragraph (2) to any group of individuals in
the State if the Secretary makes a determination that the area in which the individuals reside—
(i) has an unemployment rate of over 10 percent; or
(ii) does not have a sufficient number of jobs to provide employment for the individuals.
(B) REPORT.—The Secretary shall report the basis for a waiver under subparagraph (A) to the
Committee on Agriculture of the House of Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate.
7 CFR 273.24(f)
(f) Waivers(1) General. The State agency, with the support of the chief executive officer of the State, may request
FNS approval to temporarily waive the time limit for a group of individuals in the State in the area in
which the individuals reside. To be considered for approval, the request must be supported by
corresponding data or evidence demonstrating that the requested area:
(i) Has an unemployment rate of over 10 percent; or
(ii) Does not have a sufficient number of jobs to provide employment for the individuals.
(2) Core standards. FNS will approve waiver requests under (1)(i) and (ii) that are supported by any
one of the following:
(i) Data from the Bureau of Labor Statistics (BLS) or a BLS-cooperating agency that shows an area
has a recent 12-month average unemployment rate over 10 percent; or
(ii) Data from the BLS or a BLS-cooperating agency that shows an area has a 24-month average
unemployment rate 20 percent or more above the national rate for a recent 24-month period, but in
no case may the 24-month average unemployment rate of the requested area be less than 6 percent.
In order for the 24-month data period to be considered recent, the number of months from the end of
the last month of the 24-month data period through the last month that the waiver would be effective
must not exceed 21 months.
(3) Other data and evidence in an exceptional circumstance. FNS may approve waiver requests that
are supported by data or evidence other than those listed under paragraph (f)(2) of this section if the
request demonstrates an exceptional circumstance in an area. The request must demonstrate that the
exceptional circumstance has caused a lack of sufficient jobs or an unemployment rate over 10percent,
Page 14 of 16

for example data from the BLS or a BLS-cooperating agency that shows an area has a most recent
three-month average unemployment rate over 10 percent. In addition, the request must demonstrate
that the impact of the exceptional circumstance is ongoing at the time of the request. Supporting
unemployment data provided by the State must rely on standard BLS data or methods.
(4) Definition of area. For the purposes of this paragraph, “area” means:
(i) An area considered a Labor Market Area (LMA) by DOL. The State agency must support a waiver
for an LMA using corresponding LMA data from the BLS. If such corresponding data is unavailable,
the State agency may obtain corresponding data by combining data from sub-LMA areas that are
collectively considered to be a LMA by DOL.
(ii) The intrastate part of an interstate LMA. Intrastate parts of interstate LMAs may qualify for
waivers based on data from the entire interstate LMA. If the State Agency’s geographic boundaries
are entirely within one interstate LMA, such as the District of Columbia, the entire State may qualify
for a waiver based on data from the entire interstate LMA.
(iii) A reservation area or a U.S. Territory. Each of these is considered to be an area for the purposes
of waivers.
(5) Duration of waiver approvals. In general, FNS will approve waivers for one year. FNS may approve
waivers for a shorter period at the State agency’s request. Waivers under paragraph (f)(2)(ii) of this
section will be approved in accordance with paragraph (f)(2)(ii).
(6) Areas with limited data or evidence. Waiver requests for an area for which standard BLS data or
data from a BLS-cooperating agency is limited or unavailable, such as a reservation area or U.S.
Territory, are not required to conform to the criteria for approval under paragraphs (f)(2), (f)(3), and
(f)(5). The supporting data or evidence provided by the State must be recent and must correspond to
the requested area.
(i) FNS may approve waivers for these areas if the requests are supported by sufficient data or
evidence, such as:
(A) Estimated unemployment rate based on available data from BLS and the U.S. Census Bureau;
(B) A low and declining employment-to-population ratio;
(C) A lack of jobs in declining occupations or industries; or
(D) An academic study or other publication describing the area as lacking a sufficient number of
jobs to provide employment for its residents.

Page 15 of 16


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