DIRECTIVE	:	TRAINING AND EMPLOYMENT INFORMATION NOTICE NO. 11-96
TO	:	ALL STATE JTPA LIAISONS ALL STATE EMPLOYMENT SECURITY AGENCIES ALL STATE WORKER ADJUSTMENT LIAISONS ALL ONE-STOP CAREER CENTER SYSTEM LEADS
FROM	:	BARBARA ANN FARMER Administrator for Regional Management
SUBJECT	:	Statutory and Regulatory Waiver Authority of the Job Training Partnership Act and Wagner-Peyser Act

1. Purpose. To provide language from the fiscal year 1997 appropriation process which grants limited statutory and regulatory waiver authority for provisions of the Job Training Partnership Act (JTPA) and the Wagner-Peyser Act.

2. References. The Department of Labor Appropriations Act, 1997 and Conference Report (Public Law 104-208, September 30, 1996, sections 101(e) and 105).

3. Background. The Department of Labor Appropriations Act, 1997, contains three waiver provisions that have the potential to make a significant contribution to promoting innovative changes to the nation's workforce development systems. Each provision authorizes waivers as well as limits eligibility for such waivers. An overview of the authority is given below.

   Generally, these provisions provide:

   A)  waiver authority to the Secretary of Labor to grant to States limited statutory and regulatory waivers of the Job Training Partnership Act and the Wagner-Peyser Act "only for funds available for expenditure in program year 1997" which may include program year 1995 and 1996 funds;

   B)  a workforce flexibility partnership ("Work-Flex") demonstration under which authority to grant certain JTPA and Wagner-Peyser statutory and regulatory waivers is delegated to not more than six States for up to five years; and

   C) a narrow authority to grant limited waivers to those States which have a prior Memorandum of Understanding with the United States. In effect, this provision extends for a year a current agreement with the State of Oregon.

   Common to all of these provisions is a focus on outcomes and accountability for federal funds. Additionally, each provision has a limitation on what statutory and regulatory sections may be waived. See attachment for the details.

   ETA is currently developing procedures for these waiver authorities and will be issuing guidance to the JTPA and Wagner Peyser systems as soon as possible.

4. Inquiries. Questions about this TEIN should be directed to your ETA Regional Administrator.

5. Attachment. The Department of Labor Appropriations Act, 1997 and Conference Report (Public Law 104-208, September 30, 1996, abridged sections 101(e) and 105) corresponding to sections A), B), and C) above.