Page 651 TITLE 29—LABOR § 1652

PRIOR PROVISIONS

A prior section 1651, Pub. L. 97–300, title III, §301, Oct.

13, 1982, 96 Stat. 1364; Pub. L. 99–496, §10, Oct. 16, 1986,

100 Stat. 1264, related to allocation of funds, prior to

the general revision of this subchapter by Pub. L.

100–418.

EFFECTIVE DATE; TRANSITION PROVISIONS

Section 6305 of Pub. L. 100–418 provided (a) that the

amendments made by sections 6302 and 6304 of Pub. L.

100–418, amending this subchapter and sections 1516 and

1532 of this title, were to be effective for program years

beginning on or after July 1, 1989, (b) that the Secretary of Labor and Governors were, during the program year beginning July 1, 1988, to continue to administer this subchapter in the same manner as such subchapter was administered during prior program years,

except to the extent necessary to provide for an orderly

transition to and implementation of the amendments

made by subtitle D (§§6301–6307) of title VI of Pub. L.

100–418, enacting sections 565 and 1505 of this title,

amending this subchapter and sections 1502, 1516, 1532,

and 1752 of this title, and enacting provisions formerly

set out below, that the Secretary and Governors could,

for such purposes, use funds appropriated for fiscal year

1989 or any preceding fiscal year to carry out appropriate transition and implementation activities, (c)

that a State job training coordinating council was to

comply with the changes in membership required by

the amendment made by section 6304(b) of Pub. L.

100–418, amending section 1532 of this title, not later

than Jan. 1, 1989, (d) that the designation of substate

areas and substate grantees required by the amendment to this subchapter was to be completed not later

than Mar. 1, 1989, (e) that provisions of section 1653 of

this title were to apply to the program year beginning

July 1, 1988, except that, for such program year subsection (b)(1) of such section was to be applied by substituting ‘‘30 percent’’ for ‘‘20 percent’’, and subsection

(e) of such section was to be applied by substituting ‘‘70

percent’’ for ‘‘80 percent’’, and (f) that the Secretary of

Labor was to prescribe such regulations as may be required to implement the amendments made by subtitle

D not later than Nov. 1, 1988, prior to repeal by Pub. L.

103–382, title III, §391(i), Oct. 20, 1994, 108 Stat. 4023.

ADDITIONAL STUDIES

Section 6306(c) of Pub. L. 100–418 directed National

Commission for Employment Policy to conduct research related to the provisions of title VI, probably

meaning subtitle D (§§6301–6307) of title VI of Pub. L.

100–418, and submit a report on that research to Congress not later than 18 months after Aug. 23, 1988, prior

to repeal by Pub. L. 103–382, title III, §391(i), Oct. 20,

1994, 108 Stat. 4023.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1661, 1661e,

1662d, 1662d–1, 1662e of this title.

§ 1652. Allotment

(a) Allotment of funds

From the funds appropriated pursuant to section 1502(b) of this title for any fiscal year, the

Secretary shall—

(1) allot 80 percent of such funds in accordance with the provisions of subsection (b) of

this section; and

(2) reserve 20 percent for use under part B of

this subchapter, subject to the reservation required by subsection (e) of this section.

(b) Allotment among States

(1) Subject to the provisions of paragraph (2),

the Secretary shall allot the amount available

in each fiscal year under subsection (a)(1) of this

section on the basis of the following factors:

(A) One-third of such amount shall be allotted among the States on the basis of the relative number of unemployed individuals who

reside in each State as compared to the total

number of unemployed individuals in all the

States.

(B) One-third of such amount shall be allotted among the States on the basis of the relative excess number of unemployed individuals who reside in each State as compared to

the total excess number of unemployed individuals in all the States. For purposes of this

paragraph, the term ‘‘excess number’’ means

the number which represents unemployed individuals in excess of 4.5 percent of the civilian

labor force in the State.

(C) One-third of such amount shall be allotted among the States on the basis of the relative number of individuals who have been unemployed for 15 weeks or more and who reside

in each State as compared to the total number

of such individuals in all the States.

(2) As soon as satisfactory data are available

under section 1752(e) of this title, the Secretary

shall allot amounts appropriated to carry out

part A of this subchapter for any fiscal year to

each State so that—

(A) 25 percent of such amount shall be allotted on the basis of each of the factors described in subparagraphs (A), (B), and (C) of

paragraph (1), respectively, for a total of 75

percent of the amount allotted; and

(B) 25 percent of such amount shall be allotted among the States on the basis of the relative number of dislocated workers in such

State in the most recent period for which satisfactory data are available under section

1752(e) of this title and, when available, under

section 1752(f) of this title.

(c) Reservations for State activities and for substate grantees in need

(1) The Governor may reserve not more than 40

percent of the amount allotted to the State

under subsection (a)(1) of this section for—

(A) State administration, technical assistance, and coordination of the programs authorized under this subchapter;

(B) statewide, regional, or industrywide

projects;

(C) rapid response activities as described in

section 1661c(b) of this title;

(D) establishment of coordination between

the unemployment compensation system and

the worker adjustment program system; and

(E) discretionary allocation for basic readjustment and retraining services to provide

additional assistance to areas that experience

substantial increases in the number of dislocated workers, to be expended in accordance

with the substate plan or modification thereof.

(2) In addition, the Governor may reserve not

more than 10 percent of the amount allotted to

the State under subsection (a)(1) of this section

for allocation among substate grantees. The

amount so reserved shall be allocated on the

basis of need and distributed to such grantees

not later than 9 months after the beginning of

the program year for which the allotment was

made.
§ 1653 TITLE 29—LABOR Page 652

(d) Within State distribution

The Governor shall allocate the remainder of

the amount allotted to the State under this part

to substate areas for services authorized in this

part, based on an allocation formula prescribed

by the Governor. Such formula may be amended

by the Governor not more than once for each

program year. Such formula shall utilize the

most appropriate information available to the

Governor to distribute amounts to address the

State’s worker readjustment assistance needs.

Such information shall include (but is not limited to)—

(1) insured unemployment data;

(2) unemployment concentrations;

(3) plant closing and mass layoff data;

(4) declining industries data;

(5) farmer-rancher economic hardship data;

and

(6) long-term unemployment data.

(e) Reservation for territories

Not more than 0.3 percent of the amounts appropriated pursuant to section 1502(b) of this

title and available under subsection (a)(2) of this

section for any fiscal year shall be allocated

among the Commonwealth of the Northern Mariana Islands and the other territories and possessions of the United States.

(Pub. L. 97–300, title III, §302, as added Pub. L.

100–418, title VI, §6302(a), Aug. 23, 1988, 102 Stat.

1525; amended Pub. L. 102–367, title I, §102(b),

title VII, §702(a)(11), Sept. 7, 1992, 106 Stat. 1024,

1112.)

PRIOR PROVISIONS

A prior section 1652, Pub. L. 97–300, title III, §302, Oct.

13, 1982, 96 Stat. 1365; Pub. L. 99–496, §11, Oct. 16, 1986,

100 Stat. 1264, related to identification of dislocated

workers, prior to the general revision of this subchapter by Pub. L. 100–418.

AMENDMENTS

1992—Subsec. (a). Pub. L. 102–367, §102(b), substituted

‘‘1502(b)’’ for ‘‘1502(c)’’ in introductory provisions.

Subsec. (b)(2). Pub. L. 102–367, §702(a)(11), substituted

‘‘part A of this subchapter’’ for ‘‘part B of this subchapter and this part’’.

Subsec. (e). Pub. L. 102–367, §102(b), substituted

‘‘1502(b)’’ for ‘‘1502(c)’’.

EFFECTIVE DATE OF 1992 AMENDMENT

Amendment by Pub. L. 102–367 effective July 1, 1993,

see section 701(a) of Pub. L. 102–367, set out as an Effective Date of 1992 Amendment; Transition Provisions

note under section 1501 of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1653, 1661, 1661c,

1661f, 1662a, 1662b, 1662c of this title.

§ 1653. Recapture and reallotment of unexpended

funds

(a) General reallotment authority

For program years beginning July 1, 1989, and

thereafter, the Secretary shall, in accordance

with the requirements of this section, reallot to

eligible States the funds allotted to States from

funds appropriated for such program year that

are available for reallotment.

(b) Amount available for reallotment

The amount available for reallotment is equal

to—

(1) the amount by which the unexpended balance of the State allotment at the end of the

program year prior to the program year for

which the determination under this section is

made exceeds 20 percent of such allotment for

that prior program year; plus

(2) the unexpended balance of the State allotment from any program year prior to the

program year in which there is such excess.

(c) Method of reallotment

(1) The Secretary shall determine the amount

that would be allotted to each eligible State by

using the factors described in section 1652(b) of

this title to allocate among eligible States the

amount available pursuant to subsection (b) of

this section.

(2) The Secretary shall allot to each eligible

high unemployment State the amount determined for that State under the procedure in

paragraph (1) of this subsection.

(3) The Secretary shall, by using the factors

described in section 1652(b) of this title, allot to

eligible States the amount available that remains after the allotment required by paragraph

(2) of this subsection.

(d) State procedures with respect to reallotment

The Governor of each State shall prescribe

uniform procedures for the expenditure of funds

by substate grantees in order to avoid the requirement that funds be made available for reallotment under subsection (b) of this section. The

Governor shall further prescribe equitable procedures for making funds available from the

State and substate grantees in the event that a

State is required to make funds available for reallotment under such subsection.

(e) Definitions

(1) For the purpose of this section, an eligible

State means a State which has expended at least

80 percent of its allotment for the program year

prior to the program year for which the determination under this section is made.

(2) For the purpose of this section, an eligible

high unemployment State means a State—

(A) which meets the requirement in subsection (c)(1) of this section, and

(B) which is among the States which has an

unemployment rate greater than the national

average unemployment for the most recent 12

months for which satisfactory data are available.

(3) For purposes of this section, funds awarded

from discretionary funds of the Secretary shall

not be included in calculating any of the reallotments described in this section.

(Pub. L. 97–300, title III, §303, as added Pub. L.

100–418, title VI, §6302(a), Aug. 23, 1988, 102 Stat.

1527.)

PRIOR PROVISIONS

Prior sections 1653 to 1658 were omitted in the general

revision of this subchapter by Pub. L. 100–418.

Section 1653, Pub. L. 97–300, title III, §303, Oct. 13,

1982, 96 Stat. 1366, authorized activities under provisions of former subchapter. For applicability to program year beginning July 1, 1988, see section 6305(e) of

Pub. L. 100–418, set out as an Effective Date; Transition

Provisions note under section 1651 of this title.

Section 1654, Pub. L. 97–300, title III, §304, Oct. 13,

1982, 96 Stat. 1366, related to matching requirements for

funds.