ATTACHMENT C

Dislocated Worker State Formula
PY 2003 Reallotment Methodology

Source data: State WIA 6/30/03 financial status reports
Statewide Activities (plus State Administrative breakout)
Rapid Response Activities
Local Administration
Local Dislocated Worker Program
Dislocated Worker program = sum of:
Estimated Dislocated Worker portion of Statewide Activities (less State Administrative portion)
Rapid Response Activities
Estimated Dislocated Worker portion of Local Administration
Local Dislocated Worker program
Years covered: PY 2002 and FY 2003
Methodology for disaggregating Statewide Activities/Local Admin report data by program:
  Statewide Activities - 15% Local Administration - 10%
Auth

Fed NOO $ to state by pgm
less est Local Admin Auth by pgm

less rptd Local Pgm Auth by pgm
less rptd Rapid Response Auth (DW only)

Prorated using reported Local Program Auth by program
Oblig Prorated using Statewide Auth est by pgm Considered 100% Obligated

Reallotment calculations:
(1) Each state’s obligated balance of PY 2002 (including FY 2003) funds for the Dislocated Worker (DW) program is calculated. State obligations are considered to be the total of the estimated DW share of statewide activities obligations, Rapid Response obligations, 100% of local DW program authorized, and 100% of estimated DW portion of local admin authorized. The DW total unobligated balance is the DW 2002 allotment amount (adjusted for rescissions and PY 2002 recapture/reallotment amounts) less the calculated total DW obligations. (Navajo Nation funds are added back to the New Mexico and Arizona for reallotment purposes and treated like a local area.)
(2) Section 667.150 of the regulations provides that the recapture calculations exclude the reserve for state administration. Therefore, additional data on state administrative amounts included in the PY 2002 and FY 2003 Statewide Activities amounts authorized and obligated as of 6/30/03 are obtained (not normally available on WIA financial reports) from the states potentially liable for recapture.
(3) For those states potentially liable for recapture, the DW portion of the state administrative amounts authorized and obligated is estimated using the DW relative share of the state allotment amounts for all programs (adjusted for rescissions, but not the PY 2002 reallotment). Actual DW portions reported by states, rather than estimates, are used when provided. The DW total allotment for these states is reduced by the DW portion of the state administrative amount authorized and the DW total obligations for these states are reduced by the DW portion of the state administrative amounts obligated. These calculations are done separately for PY 2002 and FY 2003.
(4) States (including those adjusted by State administrative data) with unobligated balances for combined PY 2002/FY 2003 exceeding 20% of the combined PY2002/FY2003 DW allotment (adjusted for rescissions and PY 2002 recapture/reallotment amounts) will have their DW 2003 funding reduced (recaptured) by the amount of the excess.
(5) As calculated above, states with unobligated balances not exceeding 20% will receive a share of the total recaptured amount based on their share of the total PY 2002/FY2003 DW allotments amount (adjusted for rescissions and PY 2002 recapture/reallotment amounts) for all such states.