1. Jobs for Veterans Act Public Law 107-288
State Funding Formula
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2. 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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3. 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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4. 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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5. 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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6. Major Elements continued
The Funding Formula is to be Phased - In Over the Three Year Period Beginning October 1, 2002
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7. Major Elements continued
The First Year of the Phase-in, (FY 2003), is Lost
Bill enacted Nov. 7, 2002
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8. 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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9. 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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10. Basis Funding Formula - Data & Methodology cont’d
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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11. Basis Funding Formula - Data & Methodology cont’d.
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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12. Basis Funding Formula - Data & Methodology cont’d.
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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13. Funding Formula “Hold Harmless”
Hold Harmless Funding Level for the Phase – In Period
For FY % 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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14. Funding Formula 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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15. 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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16. Other Funding Criteria cont’d
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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17. 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. .
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