WIOA Youth Guidance  TEGL published on March 26, 2015  Includes the following: ▪OSY Expenditure Requirement ▪Youth Committees ▪Transitioning ISY ▪Additional WIOA Youth Changes ▪Transitioning Youth Service Provider Contracts ▪Examples of Local Areas Successfully Serving OSY ▪Resources

WIOA Provisions for OSY ●WIOA requires 75% of state AND local Youth funding be used for out-of-school youth ○For Statewide: only direct expenditures on youth services ○Administrative costs not subject to 75% requirement ○Exception for minimum allotment states ○Funds tracked by program year State & Local Youth Funding 75% for Out-of-schoolyouth

OSY Expenditure Requirement  States and local areas “must work towards spending 75% of PY 2015 funds on OSY”  If a state/local area cannot meet 75% OSY expenditures with PY ‘15 funds, they must: ▪Demonstrate increased OSY expenditures compared to previous year ▪Show increase of at least 10 percentage points and no lower than a 50% OSY expenditure rate ▪Be prepared to describe how they will achieve the 75% OSY expenditure rate with PY 2016 funds.

OSY Eligibility Requirements

Additional Conditions (Must Meet 1) ●School dropout ●Within the age of compulsory school attendance, but has not attended school for at least the most recent complete school year calendar quarter ●Recipient of a secondary school diploma or its recognized equivalent who is low- income and either basic skills deficient or an English language learner ●Subject to the juvenile or adult justice system ●A homeless individual defined in sec (6), Violence Against Women Act (42 U.S.C e–2(6)), a homeless child or youth, a runaway, in foster care or has aged out of the foster care system, a child eligible for assistance under section 477, Social Security Act (42 U.S.C. 677), or in an out-of-home placement ●Pregnant or parenting ●An individual with a disability ●Low-income individual who requires additional assistance to enter or complete an educational program or to secure or hold employment

OSY Eligibility and Income ●Low income is not required for all OSY ●Low income is only required if use “condition” III or VIII o III. R ecipient of a secondary school diploma or its recognized equivalent who is low-income and either basic skills deficient or an English language learner o VIII. L ow-income individual who requires additional assistance to enter or complete an educational program or to secure or hold employment

OSY Expenditure Rates in PY12 Average OSY expenditure rate nationally is 57% Ranges from a low of 37% to a high of 84% 2 states already above 75% 22 states at 60% or above 0%100% 75% Goal

Youth Committees  While WIOA eliminates the requirement for Local Boards to establish a Youth Council, the Department encourages Local Boards to establish a standing committee to provide information and to assist with planning, operational, and other issues relating to the provision of services to youth.  WIOA further permits a Local Board to designate an existing Youth Council as a youth standing committee if the Youth Council fulfills the requirements of a standing committee.

Transitioning ISY  It is critical that local areas not prematurely exit ISY from the program due to the shift in emphasis under WIOA to OSY.  States and local areas may choose to use most of the remaining PY 2014 funds for services to ISY, in order to assist them in successfully completing the program.  Local Boards may consider strategies for serving ISY that are lower cost and reach more students, such as providing labor market information, career awareness, employer presentations, and employer visits.  Local areas also should partner with school districts to coordinate services for in-school youth.

Changes to Youth Eligibility  Youth enrolled beginning July 1, 2015 must meet the new eligibility criteria provided in WIOA. On July 1, 2015, all WIA youth participants who are still enrolled in the WIA youth program must be grandfathered into the WIOA youth program, even if the participant would not otherwise be eligible for WIOA.  ISY eligibility: ●Age 14 to 21 ●Attending School (as defined by state law) ●Low-income* ●And one or more additional conditions *Youth in high poverty areas and youth receiving or eligible to receive a free or reduced price school lunch are considered low-income

New Youth Program Elements ●Financial literacy ●Entrepreneurial skills training ●Services that provide labor market and employment information in the local area ●Activities that help youth transition to postsecondary education and training ●Education offered concurrently with and in the same context as workforce preparation activities and training for a specific occupation or occupational cluster Five New Elements (total of 14 program elements)

Priority on Work Experience  At least 20% of local Youth formula funds must be used for work experience including: ●Summer and year-round employment opportunities ●Pre-apprenticeship ●Internships and job shadowing ●On-the-job training  Administrative costs not subject to the 20% requirement  State and local areas must track funds spent on work experience beginning with PY 2015 funds. DOL will provide additional guidance on the types of expenditures that count toward the work experience expenditure requirement.

Youth Service Provider Contracts  In preparing for the transition from WIA to WIOA, it is important to incorporate the major changes under WIOA into Requests for Proposals (RFPs) and youth provider contracts immediately.  WIOA requirements must be incorporated by amending/modifying the option years of current contracts. In competing new contracts, the Department encourages local areas to use one-year contracts which may contain option years, rather than multi-year contracts, at the beginning of WIOA.  Under WIOA, while local areas must continue to competitively procure youth service providers and make all program elements available, they are not required to provide all program elements using WIOA youth funds.

TEGL Resources  The TEGL contains a number of examples of local areas successfully serving OSY as well as a number of resources that will help states and local areas implement WIOA youth.  ETA is hosting year-long webinar series called “Enough is Known for Action” focused on key WIOA priorities including serving OSY, serving ISY, work experience, and credentials. ▪Webinar is last Wednesday of every month at 2pm Eastern  And lots more TA to come!