TEGL 13-00 Attachment III

 

Work Opportunity Tax Credit (WOTC)/Welfare-to-Work (WtW) Tax Credit Plan Narrative Instructions

Statement of Work.  State agencies will submit detailed narrative descriptions of their plans for carrying out the following functions:

  1. Determining eligibility of individuals as members of targeted groups, on a timely basis, and performing a quality review by a second staff person for each determination within 48 hours;

  2. Issuing employer certifications, denials, or notices of invalidation for tax credits on a timely basis and in accordance with the policies and procedures set forth in the second edition of ETA Handbook 408;

  3. Establishing and implementing an Appeals' Resolution and Policy Clarification System in accordance with the guidelines provided in the second edition of ETA Handbook 408 (Chapter VIII, Section F, pp VIII-4-8);

  4. Establishing and maintaining appropriate forms review, record keeping, and reporting capability related to the orderly management of WOTC/WtW certification requests;

  5. Establishing and maintaining an orderly system for regularly verifying the eligibility of a random sample of individuals certified under the WOTC/WtW programs, and initiating effective corrective action when appropriate as indicated by results of such activities;

  6. Negotiating formal cooperative agreements with Workforce Investment Areas under the Workforce Investment Act (WIA), State Vocational Rehabilitation agencies, and other State and local agencies and organizations for the purposes of issuing conditional certifications where appropriate, and/or augmenting WOTC/WtW marketing activities;

  7. Negotiating formal cooperative agreements with appropriate State agencies, including the Departments of Health and Human Services, Agriculture and Housing and Urban Development to expedite verification of information provided to the SESAs by participating target group members;

  8. Training, as appropriate, State and participating agency staff, and providing monitoring and technical assistance to these agencies, as appropriate; and

  9. Cooperating with employment and training organizations already working with the private sector, such as Job Corps Centers, veterans organizations, Job Service Employer Committees (JSECs) and Workforce Investment Boards, to inform employers about requirements for use of WOTC/WtW.

 

Special Assurances

  1. Provisions of the Internal Revenue Code Section 51, as amended, must be adhered to in conducting the program. By law, SESAs are designated to provide WOTC/WtW program services.

  2. Conditions and standards of performance for administration and operation of the program shall be guided by the second edition of ETA Handbook No. 408 for the Work Opportunity Tax Credit program. The State shall maintain a verification and quality control program in accordance with Handbook guidance.

  3. Fund utilization will be reviewed against the quarterly spending plan and when expenditures are substantially below plan, ETA may deobligate funds for redistribution.