SOUTH BAY WORKFORCE INVESTMENT BOARD - 2011

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granted through June 30, 2011. This waiver permits the use of a sliding scale for the employer contribution based on the size of the business. Under this waiver, the following sliding scale is permitted: (1) no less than a 10 percent match for employers with 50 or fewer employees; (2) no less than a 25 percent match for employers with 51 — 250 employees; and (3) no less than a 50 percent match for employers with more than 250 employees. No request process is required for local areas to implement the employer match sliding scale. This waiver provides a valuable tool to local boards in their support of California's small businesses and their employees. The sliding scale for employer match provides the necessary flexibility for small businesses to participate in the WIA customized training program. Accordingly, the intent of this waiver is to encourage greater employer participation which will lead to increased employment rates for skilled job seekers. This waiver applies to both WIA and ARRA formula funds. Transfer of Adult and Dislocated Worker Formula Funds The DOL granted California an extension of the waiver to permit an increase of the funds transfer limitation at WIA Section 133(b)(4). This waiver is granted through June 30, 2011. Under this waiver, local boards may transfer up to 50 percent of the adult funds and up to 50 percent of the dislocated worker funds allocated to the local area between the adult and dislocated worker funding streams. This transfer limit provides the local areas flexibility while ensuring consistency with the Congressional intent regarding the level of funding appropriated for WIA adult and dislocated worker programs. This waiver does not apply to funds made available through the ARRA. However, the State is permitted to transfer up to 30 percent of ARRA funds between programs under WIA and under the DOL Appropriations Act of 2009. The local boards must submit transfer requests in writing to the appropriate Regional Advisor. For policies and procedures regarding the transfer of funds, please refer to WSD10 -5, "Transfer of Funds for WIA Adult and Dislocated Worker Programs." New Waivers Increase in Employer Reimbursement for On- the -Job Training The DOL granted California a waiver of WIA Section 101(31)(B) to permit an increase in employer reimbursement for on-the-job training through a sliding scale based on the size of the business. This waiver is granted through June 30, 2011. Under this waiver, the following reimbursement amounts are permitted: (1) up to 90 percent for employers with 50 or fewer employees, (2) up to 75 percent for employers with 51 — 250 employees, and (3) up to 50 percent reimbursement for employers with more than 250 employees. Local areas may provide on- the -job training to adults with WIA adult funds, and on- the -job training to dislocated workers with WIA dislocated worker funds. In the event that funds allocated to a local area for adult employment and training activities are limited, priority for intensive and training services funded with adult funds should be used for low- income adults [WIA Section 134 (d)(4)(E)]. Page 5 of 7 67