Jobs for Veterans Act Public Law 107288

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Jobs for Veterans ActPublic Law 107-288

• State Funding Formula

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Major Elements (Formula)

• Funds to States are to be Made Available Based
  on an Approved State Plan
• Funds are to Support the DVOP/LVER Programs and
  Services to Transitioning Service Members
• Criteria for the Funding Formula is to be
  Established in Regulations

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Major Elements continued

• The Act Requires the Funding to Reflect a Ratio
  of
• The Total Numbers of Veterans Residing in the
  State That are Seeking Employment
• to
• The Total Numbers of Veterans That are Seeking
  Employment In All States

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Major Elements continued

• In Developing the State Funding Formula, the Act
  Allows the Secretary to Use Such Criteria As the
  Civilian Labor Force and Unemployment Data

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Major Elements continued

• The Statute Permits the Secretary to Establish
  Minimum Funding Levels and Hold Harmless
  Criteria to Mitigate the Impact Upon States Who
  May Be Adversely Impacted By the New Formula

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Major Elements continued

• The Funding Formula is to be Phased - In Over the
  Three Year Period Beginning October 1, 2002

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Major Elements continued

• The First Year of the Phase-in, (FY 2003), is
  Lost
• Bill enacted Nov. 7, 2002

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Major Elements continued

• Phase-in Period Now is Two Years
• FY 2004
• FY 2005
• Formula Fully Implemented by FY 2006

C                    
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Basis Funding Formula - Data Methodology

• Total Numbers of Veterans Residing in the State
  That are Seeking Employment Is Best Determined by
  
• Current Population Survey (CPS) and
• Local Area Unemployment Statistics (LAUS)

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Basis Funding Formula - Data Methodology contd

• CPS Provides the Most Reliable Source of the
  Number of Veterans in the Civilian Labor Force
• LAUS Measures State Unemployment
• OMB Requires the Use of LAUS Data in Allocating
  Federal Funds When Allocation is Based on
  Unemployment

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Basis Funding Formula - Data Methodology contd.

• The Total Numbers of Veterans Residing in the
  State That are Seeking Employment (CPS)
• divided by
• The Total Numbers of Veterans That are Seeking
  Employment for All States
• Equals 50 of the allocation

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Basis Funding Formula - Data Methodology
contd.

• The Unemployment Level in Each State (LAUS)
• divided by
• The Unemployment Level for All States (LAUS)
• Equals Remaining 50 of the Allocation

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Funding FormulaHold Harmless

• Hold Harmless Funding Level for the Phase In
  Period
• For FY 2004 - 80 of the States Previous Years
  Allocation
• FY 2005 Rate Will be Published in Notice of
  Public Rule Making (NPRM)
• FY 2006 Beyond 90 of the States Previous
  Years Allocation

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Funding FormulaMinimum Funding Level

• Minimum Funding Level
• No State will Receive Less than 0.28 of the
  Prior Years Funding Level
• Same Percentage As Applied in the Wagner-Peyser
  Act

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Other Funding Criteria

• Four Percent of Funds will be Distributed for TAP
  and Other Exigencies.
• TAP
• Active Duty Personnel Are Not Included in CPS or
  LAUS
• Funding Will be Based On a Per TAP Workshop Basis
  as Identified in the State Plan

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Other Funding Criteria contd

• Other Exigencies
• Sharp turns in unemployment
• Swings in numbers of Transitioning service
  members
• Change in Economic Conditions
• Funding for Exigent Conditions will be made
  Available to States based on an Approved Modified
  State Plan

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Effective Date of the Rule

• Interim Final Rule is Effective July 30, 2003
• Notice of Public Rule Making and the Final Rule
  will be Published Prior to September 30, 2004.
• .