Final Rule 20 CFR Part 662

[Federal Register: August 11, 2000 (Volume 65, Number 156)]

[Rules and Regulations]

[Page 49293-49342]

From the Federal Register Online via GPO Access [wais.access.gpo.gov]

[DOCID:fr11au00-7]

PART 662--DESCRIPTION OF THE ONE-STOP SYSTEM UNDER TITLE I OF THE

WORKFORCE INVESTMENT ACT

Subpart A--General Description of the One-Stop Delivery System

Sec.

662.100 What is the One-Stop delivery system?

Subpart B--One-Stop Partners and the Responsibilities of Partners

662.200 Who are the required One-Stop partners?

662.210 What other entities may serve as One-Stop partners?

662.220 What entity serves as the One-Stop partner for a

particular program in the local area?

662.230 What are the responsibilities of the required One-Stop

partners?

662.240 What are a program's applicable core services?

662.250 Where and to what extent must required One-Stop partners

make core services available?

662.260 What services, in addition to the applicable core

services, are to be provided by One-Stop partners through the One-

Stop delivery system?

662.270 How are the costs of providing services through the One-

Stop delivery system and the operating costs of the system to be

funded?

662.280 Does title I require One-Stop partners to use their funds

for individuals who are not eligible for the partner's program or

for services that are not authorized under the partner's program?

Subpart C--Memorandum of Understanding for the One-Stop Delivery System

662.300 What is the Memorandum of Understanding (MOU)?

662.310 Is there a single MOU for the local area or are there to

be separate MOU's between the Local Board and each partner?

Subpart D--One-Stop Operators

662.400 Who is the One-Stop operator?

662.410 How is the One-Stop operator selected?

662.420 Under what conditions may the Local Board be designated or

certified as the One-Stop operator?

662.430 Under what conditions may One-Stop operators designated to

operate in a One-Stop delivery system established prior to the

enactment of WIA be designated to continue to act as a One-Stop

operator under WIA without meeting the requirements of

Sec. 662.410(b)?

Authority: Section 506(c), Pub. L. 105-220; 20 U.S.C. 9276(c).

Subpart A--General Description of the One-Stop Delivery System

Sec. 662.100 What is the One-Stop delivery system?

(a) In general, the One-Stop delivery system is a system under

which entities responsible for administering separate workforce

investment, educational, and other human resource programs and funding

streams (referred to as One-Stop partners) collaborate to create a

seamless system of service delivery that will enhance access to the

programs' services and improve long-term employment outcomes for

individuals receiving assistance.

(b) Title I of WIA assigns responsibilities at the local, State and

Federal level to ensure the creation and maintenance of a One-Stop

delivery system that enhances the range and quality of workforce

development services that are accessible to individuals seeking

assistance.

center in each local area that must provide the core services specified

in WIA section 134(d)(2), and must provide access to other programs and

activities carried out by the One-Stop partners.

(d) While each local area must have at least one comprehensive

center (and may have additional comprehensive centers), WIA section

134(c) allows for arrangements to supplement the center. These

arrangements may include:

(1) A network of affiliated sites that can provide one or more

partners' programs, services and activities at each site;

(2) A network of One-Stop partners through which each partner

provides services that are linked, physically or technologically, to an

affiliated site that assures individuals are provided information on

the availability of core services in the local area; and

(3) Specialized centers that address specific needs, such as those

of dislocated workers.

(e) The design of the local area's One-Stop delivery system,

including the number of comprehensive centers and the supplementary

arrangements, must be described in the local plan and be consistent

with the Memorandum of Understanding executed with the One-Stop

partners.

Subpart B--One-Stop Partners and the Responsibilities of Partners

Sec. 662.200 Who are the required One-Stop partners?

(a) WIA section 121(b)(1) identifies the entities that are required

partners in the local One-Stop systems.

(b) The required partners are the entities that are responsible for

administering the following programs and activities in the local area:

(1) Programs authorized under title I of WIA, serving:

(i) Adults;

(ii) Dislocated workers;

(iii) Youth;

(iv) Job Corps;

(v) Native American programs;

(vi) Migrant and seasonal farmworker programs; and

(vii) Veterans' workforce programs; (WIA sec. 121(b)(1)(B)(i));

(2) Programs authorized under the Wagner-Peyser Act (29 U.S.C. 49

et seq.); (WIA sec. 121(b)(1)(B)(ii));

(3) Adult education and literacy activities authorized under title

II of WIA; (WIA sec. 121(b)(1)(B)(iii));

(4) Programs authorized under parts A and B of title I of the

Rehabilitation Act (29 U.S.C. 720 et seq.); (WIA sec.

121(b)(1)(B)(iv));

(5) Welfare-to-work programs authorized under sec. 403(a)(5) of the

Social Security Act (42 U.S.C. 603(a)(5) et seq.); (WIA sec.

121(b)(1)(B)(v));

(6) Senior community service employment activities authorized under

title V of the Older Americans Act of 1965 (42 U.S.C. 3056 et seq.);

(WIA sec. 121(b)(1)(B)(vi));

(7) Postsecondary vocational education activities under the Carl D.

Perkins Vocational and Applied Technology Education Act (20 U.S.C. 2301

et seq.); (WIA sec. 121(b)(1)(B)(vii));

(8) Trade Adjustment Assistance and NAFTA Transitional Adjustment

Assistance activities authorized under chapter 2 of title II of the

Trade Act of 1974 (19 U.S.C. 2271 et seq.); (WIA sec.

121(b)(1)(B)(viii));

(9) Activities authorized under chapter 41 of title 38, U.S.C.

(local veterans' employment representatives and disabled veterans

outreach programs); (WIA sec. 121(b)(1)(B)(ix));

(10) Employment and training activities carried out under the

Community Services Block Grant (42 U.S.C. 9901 et seq.); (WIA sec.

121(b)(1)(B)(x));

(11) Employment and training activities carried out by the

Department of Housing and Urban Development; (WIA sec.

121(b)(1)(B)(xi)); and

(12) Programs authorized under State unemployment compensation laws

(in accordance with applicable Federal law); (WIA sec.

121(b)(1)(B)(xii).)

Sec. 662.210 What other entities may serve as One-Stop partners?

(a) WIA provides that other entities that carry out a human

resource program, including Federal, State, or local programs and

programs in the private sector may serve as additional partners in the

One-Stop system if the Local Board and chief elected official(s)

approve the entity's participation.

(b) Additional partners may include:

(1) TANF programs authorized under part A of title IV of the Social

Security Act (42 U.S.C. 601 et seq.);

(2) Employment and training programs authorized under section

6(d)(4) of the Food Stamp Act of 1977 (7 U.S.C. 2015(d)(4));

(3) Work programs authorized under section 6(o) of the Food Stamp

Act of 1977 (7 U.S.C. 2015(o));

(4) Programs authorized under the National and Community Service

Act of 1990 (42 U.S.C. 12501 et seq.); and

(5) Other appropriate Federal, State or local programs, including

programs related to transportation and housing and programs in the

private sector. (WIA sec. 121(b)(2).)

identified in paragraph (b) of this section be included as a partner in

all of the local One-Stop delivery systems in the State.

Sec. 662.220 What entity serves as the One-Stop partner for a

particular program in the local area?

(a) The ``entity'' that carries out the program and activities

listed in Secs. 662.200 and 662.210 and, therefore, serves as the One-

Stop partner is the grant recipient, administrative entity or

organization responsible for administering the funds of the specified

program in the local area. The term ``entity'' does not include the

service providers that contract with or are subrecipients of the local

administrative entity. For programs that do not include local

administrative entities, the responsible State Agency should be the

partner. Specific entities for particular programs are identified in

paragraph (b) of this section. If a program or activity listed in

Sec. 662.200 is not carried out in a local area, the requirements

relating to a required One-Stop partner are not applicable to such

program or activity in that local One-Stop system.

(b)(1) For title II of WIA, the entity that carries out the program

for the purposes of paragraph (a) is the State eligible entity. The

State eligible entity may designate an eligible provider, or a

consortium of eligible providers, as the ``entity'' for this purpose;

(2) For title I, Part A, of the Rehabilitation Act, the entity that

carries out the program for the purposes of paragraph (a) of this

section is the designated State agency or designated unit specified

under section 101(a)(2) that is primarily concerned with vocational

rehabilitation, or vocational and other rehabilitation, of individuals

with disabilities; and

(3) Under WIA, the national programs, including Job Corps, the WIA

Indian and Native American program, the Migrant and Seasonal

Farmworkers program, and the Veterans' Workforce Investment program,

are required One-Stop partners. Local Boards must include them in the

One-Stop delivery system where they are present in their local area. In

local areas where the national programs are not present, States and

Local Boards should take steps to ensure that customer groups served by

these programs have access to services through the One-Stop delivery

system.

Sec. 662.230 What are the responsibilities of the required One-Stop

partners?

All required partners must:

(a) Make available to participants through the One-Stop delivery

system the core services that are applicable to the partner's programs;

(WIA sec. 121(b)(1)(A).)

(b) Use a portion of funds made available to the partner's program,

to the extent not inconsistent with the Federal law authorizing the

partner's program, to:

(1) Create and maintain the One-Stop delivery system; and

(2) Provide core services; (WIA sec. 134(d)(1)(B).)

Board relating to the operation of the One-Stop system that meets the

requirements of Sec. 662.300, including a description of services, how

the cost of the identified services and operating costs of the system

will be funded, and methods for referrals (WIA sec. 121(c));

(d) Participate in the operation of the One-Stop system consistent

with the terms of the MOU and requirements of authorizing laws; (WIA

sec. 121(b)(1)(B).) and

(e) Provide representation on the Local Workforce Investment Board.

(WIA sec. 117(b)(2)(A)(vi).)

Sec. 662.240 What are a program's applicable core services?

(a) The core services applicable to any One-Stop partner program

are those services described in paragraph (b) of this section, that are

authorized and provided under the partner's program.

(b) The core services identified in section 134(d)(2) of the WIA

are:

(1) Determinations of whether the individuals are eligible to

receive assistance under subtitle B of title I of WIA;

(2) Outreach, intake (which may include worker profiling), and

orientation to the information and other services available through the

One-Stop delivery system;

(3) Initial assessment of skill levels, aptitudes, abilities, and

supportive service needs;

(4) Job search and placement assistance, and where appropriate,

career counseling;

(5) Provision of employment statistics information, including the

provision of accurate information relating to local, regional, and

national labor market areas, including--

(i) Job vacancy listings in such labor market areas;

(ii) Information on job skills necessary to obtain the listed jobs;

and

(iii) Information relating to local occupations in demand and the

earnings and skill requirements for such occupations;

(6) Provision of program performance information and program cost

information on:

(i) Eligible providers of training services described in WIA

section 122;

(ii) Eligible providers of youth activities described in WIA

section 123;

(iii) Providers of adult education described in title II;

(iv) Providers of postsecondary vocational education activities and

vocational education activities available to school dropouts under the

Carl D. Perkins Vocational and Applied Technology Education Act (20

U.S.C. 2301 et seq.); and

(v) Providers of vocational rehabilitation program activities

described in title I of the Rehabilitation Act of 1973 (29 U.S.C. 720

et seq.);

(7) Provision of information on how the local area is performing on

the local performance measures and any additional performance

information with respect to the One-Stop delivery system in the local

area;

(8) Provision of accurate information relating to the availability

of supportive services, including, at a minimum, child care and

transportation, available in the local area, and referral to such

services, as appropriate;

(9) Provision of information regarding filing claims for

unemployment compensation;

(10) Assistance in establishing eligibility for--

(i) Welfare-to-work activities authorized under section 403(a)(5)

of the Social Security Act (42 U.S.C. 603(a)(5)) available in the local

area; and

(ii) Programs of financial aid assistance for training and

education programs that are not funded under this Act and are available

in the local area; and

(11) Followup services, including counseling regarding the

workplace, for participants in workforce investment activities

authorized under subtitle (B) of title I of WIA who are placed in

unsubsidized employment, for not less than 12 months after the first

day of the employment, as appropriate.

Sec. 662.250 Where and to what extent must required One-Stop partners

make core services available?

(a) At a minimum, the core services that are applicable to the

program of the partner under Sec. 662.220, and that are in addition to

the basic labor exchange services traditionally provided in the local

area under the Wagner-Peyser program, must be made available at the

comprehensive One-Stop center. These services must be made available to

individuals attributable to the partner's program who seek assistance

at the center. The adult and dislocated worker program partners are

required to make all of the core services listed in Sec. 662.240

available at the center in accordance with 20 CFR 663.100(b)(1).

(b) The applicable core services may be made available by the

provision of appropriate technology at the comprehensive One-Stop

center, by co-locating personnel at the center, cross-training of

staff, or through a cost reimbursement or other agreement between

service providers at the comprehensive One-Stop center and the partner,

as described in the MOU.

services must be proportionate to the use of the services at the

comprehensive One-Stop center by the individuals attributable to the

partner's program. The specific method of determining each partner's

proportionate responsibility must be described in the MOU.

(d) For purposes of this part, individuals attributable to the

partner's program may include individuals who are referred through the

comprehensive One-Stop center and enrolled in the partner's program

after the receipt of core services, who have been enrolled in the

partner's program prior to receipt of the applicable core services at

the center, who meet the eligibility criteria for the partner's program

and who receive an applicable core service, or who meet an alternative

definition described in the MOU.

(e) Under the MOU, the provision of applicable core services at the

center by the One-Stop partner may be supplemented by the provision of

such services through the networks of affiliated sites and networks of

One-Stop partners described in WIA section 134(c)(2).

Sec. 662.260 What services, in addition to the applicable core

services, are to be provided by One-Stop partners through the One-Stop

delivery system?

In addition to the provision of core services, One-Stop partners

must provide access to the other activities and programs carried out

under the partner's authorizing laws. The access to these services must

be described in the local MOU. 20 CFR part 663 describes the specific

requirements relating to the provision of core, intensive, and training

services through the One-Stop system that apply to the adult and the

dislocated worker programs authorized under title I of WIA. Additional

requirements apply to the provision of all labor exchange services

under the Wagner-Peyser Act. (WIA sec. 134(c)(1)(D).)

Sec. 662.270 How are the costs of providing services through the One-

Stop delivery system and the operating costs of the system to be

funded?

The MOU must describe the particular funding arrangements for

services and operating costs of the One-Stop delivery system. Each

partner must contribute a fair share of the operating costs of the One-

Stop delivery system proportionate to the use of the system by

individuals attributable to the partner's program. There are a number

of methods, consistent with the

requirements of the relevant OMB circulars, that may be used for

allocating costs among the partners. Some of these methodologies

include allocations based on direct charges, cost pooling, indirect

cost rates and activity-based cost allocation plans. Additional

guidance relating to cost allocation methods may be issued by the

Department in consultation with the other appropriate Federal agencies.

Sec. 662.280 Does title I require One-Stop partners to use their funds

for individuals who are not eligible for the partner's program or for

services that are not authorized under the partner's program?

No, the requirements of the partner's program continue to apply.

The Act intends to create a seamless service delivery system for

individuals seeking workforce development services by linking the One-

Stop partners in the One-Stop delivery system. While the overall effect

is to provide universal access to core services, the resources of each

partner may only be used to provide services that are authorized and

provided under the partner's program to individuals who are eligible

under such program. (WIA sec. 121(b)(1).)

Subpart C--Memorandum of Understanding for the One-Stop Delivery

System

Sec. 662.300 What is the Memorandum of Understanding (MOU)?

(a) The Memorandum of Understanding (MOU) is an agreement developed

and executed between the Local Board, with the agreement of the chief

elected official, and the One-Stop partners relating to the operation

of the One-Stop delivery system in the local area.

(b) The MOU must contain the provisions required by WIA section

121(c)(2). These provisions cover services to be provided through the

One-Stop delivery system; the funding of the services and operating

costs of the system; and methods for referring individuals between the

One-Stop operators and partners. The MOU's provisions also must

determine the duration and procedures for amending the MOU, and may

contain any other provisions that are consistent with WIA title I and

the WIA regulations agreed to by the parties. (WIA sec. 121(c).)

Sec. 662.310 Is there a single MOU for the local area or are there to

be separate MOU's between the Local Board and each partner?

(a) A single ``umbrella'' MOU may be developed that addresses the

issues relating to the local One-Stop delivery system for the Local

Board, chief elected official and all partners, or the Local Board,

chief elected official and the partners may decide to enter into

separate agreements between the Local Board (with the agreement of the

chief elected official) and one or more partners. Under either

approach, the requirements described in this subpart apply. Since funds

are generally appropriated annually, financial agreements may be

negotiated with each partner annually to clarify funding of services

and operating costs of the system under the MOU.

(b) WIA emphasizes full and effective partnerships between Local

Boards, chief elected officials and One-Stop partners. Local Boards and

partners must enter into good-faith negotiations. Local Boards, chief

elected officials and partners may request assistance from a State

agency responsible for administering the partner program, the Governor,

State Board, or other appropriate parties. The State agencies, the

State Board, and the Governor may also consult with the appropriate

Federal agencies to address impasse situations after exhausting other

alternatives. The Local Board and partners must document the

negotiations and efforts that have taken place. Any failure to execute

an MOU between a Local Board and a required partner must be reported by

the Local Board and the required partner to the Governor or State

Board, and the State agency responsible for administering the partner's

program, and by the Governor or the State Board and the responsible

State agency to the Secretary of Labor and to the head of any other

Federal agency with responsibility for oversight of a partner's

program. (WIA sec. 121(c).)

available under this section any partner that fails to execute an MOU

may not be permitted to serve on the Local Board. In addition, any

local area in which a Local Board has failed to execute an MOU with all

of the required partners is not eligible for State incentive grants

awarded on the basis of local coordination of activities under 20 CFR

665.200(d)(2). These sanctions are in addition to, not in lieu of, any

other remedies that may be applicable to the Local Board or to each

partner for failure to comply with the statutory requirement.

Subpart D--One-Stop Operators

Sec. 662.400 Who is the One-Stop operator?

(a) The One-Stop operator is the entity that performs the role

described in paragraph (c) of this section. The types of entities that

may be selected to be the One-Stop operator include:

(1) A postsecondary educational institution;

(2) An Employment Service agency established under the Wagner-

Peyser Act on behalf of the local office of the agency;

(3) A private, nonprofit organization (including a community-based

organization);

(4) A private for-profit entity;

(5) A government agency; and

(6) Another interested organization or entity.

(b) One-Stop operators may be a single entity or a consortium of

entities and may operate one or more One-Stop centers. In addition,

there may be more than one One-Stop operator in a local area.

shall specify the operator's role. That role may range between simply

coordinating service providers within the center, to being the primary

provider of services within the center, to coordinating activities

throughout the One-Stop system. (WIA sec. 121(d).)

Sec. 662.410 How is the One-Stop Operator selected?

(a) The Local Board, with the agreement of the chief elected

official, must designate and certify One-Stop operators in each local

area.

(b) The One-Stop operator is designated or certified:

(1) Through a competitive process,

(2) Under an agreement between the Local Board and a consortium of

entities that includes at least three or more of the required One-Stop

partners.identified at Sec. 662.200, or

(3) Under the conditions described in Secs. 662.420 or 662.430.

(WIA sec.121(d), 121(e) and 117(f)(2))

be carried out in accordance with the ``sunshine provision'' at 20 CFR

661.307.

Sec. 662.420 Under what limited conditions may the Local Board be

designated or certified as the One-Stop operator?

(a) The Local Board may be designated or certified as the One-Stop

operator only with the agreement of the chief elected official and the

Governor.

(b) The designation or certification must be reviewed whenever the

biennial certification of the Local Board is made under 20 CFR

663.300(a). (WIA sec. 117(f)(2).)

Sec. 662.430 Under what conditions may One-Stop operators designated

to operate in a One-Stop delivery system established prior to the

enactment of WIA be designated to continue as a One-Stop operator under

WIA without meeting the requirements of Sec. 662.410(b)?

Under WIA section 121(e), the Local Board, the chief elected

official and the Governor may agree to certify an entity that has been

serving as a One-Stop operator in a One-Stop delivery system

established prior to the enactment of WIA (August 7,1998) to continue

to serve as a One-Stop operator without meeting the requirements for

designation under Sec. 662.410(b) if the local One-Stop delivery system

is modified, as necessary, to meet the other requirements of this part,

including the requirements relating to the inclusion of One-Stop

partners, the execution of the MOU, and the provision of services.(WIA

sec. 121(e).)