Policy Chapters and Sections

Adult and Dislocated Worker Allocations

Chapter: 6 Section: 1.1
Effective Date: 6/13/2017
Expiration Date: Continuing
Published Date: 6/22/2022 1:34:15 PM
Status: Current
Version: 11

Tags: Allocation, Major Modification

  1. WIOA allots funds for the Adult and Dislocated Worker programs in two separate appropriations.
    1. The first appropriation, termed “base funds”, becomes available for obligation on July 1.
    2. “Advance funds”, which is the second appropriation, becomes available for obligation on October 1. 
      1. Congress appropriates these “advance funds” in the Fiscal Year (FY) immediately prior to when they become available on October 1.
  2. First Quarter Limitation
    1. “Advance” funds issued on October 1 (i.e., future fiscal year appropriations) cannot pay prior fiscal year expenditures. 
    2. States and local areas cannot expend more than what was allotted on July 1 through September 30.
    3. For a breakdown of available Adult and Dislocated Worker funding, see Attachments B-2, B-3, C-2, and C-3 of the annual funding notice.
  3. Transfer Authority is provided in the annual funding notice and outlines the procedures to evaluate transfer requests and establishes the amount allowed by the Governor in accordance with WIOA Section 133(b)(4) and described in 20 CFR 683.130.
  4. An LWIB may reserve up to twenty percent (20%) of their combined total of adult and dislocated worker allotments for Incumbent Worker Training per WIOA Section 134(d)(4)(A)(i) and described in 20 CFR 680.800.
    1. Incumbent Worker Training must meet the special requirements of an employer (including a group of employers) to retain a skilled workforce or avert the need to lay off employees by assisting the workers in obtaining the skills necessary to retain employment. 
    2. A commitment by the employer to retain or avert the layoffs must be in place prior to the training for the incumbent worker(s).
  5. The LWIB may reserve up to ten percent (10%) of their combined total of adult and dislocated worker allotments for Transitional Job Training per WIOA Section 134(d)(5) and described in 20 CFR 680.190.
    1. Transitional Job Training is limited to individuals who experience chronic unemployment or have inconsistent work history that creates a barrier to employment and includes only work experience subsidized either by the public, private, or non-profit sectors. 
  6. WIOA Section 133(b)(2)-(3) and WIOA Section 128(b) provides that a LWIB may reserve up to ten percent (10%) of their youth allotment and/or the combined total adult and dislocated worker allotments for Pay-for-Performance contract strategies.
    1. Follow 20 CFR 683.500 through 683.530 and 20 CFR 361.160 when implementing Pay-for-Performance contracts. 
  7. The Illinois Workforce Innovation Board (IWIB) requires an LWIB to ensure that the minimum percentage of the annual formula-allocated program expenditures are on allowable training costs for the combined WIOA Title I Adult and Dislocated Worker programs as described in the Training Expenditure Requirement section of the policy manual.