This guidance letter updates the procedures states should follow to apply for WIA Section 503 Incentive Grants based on PY 2006 performance.

To inform states that OMB has approved the extension for the collection of the ETA-9000 Report on Internal Fraud Activities.

To initiate and issue supplemental instructions for the preparation of the FY 2009 SQSP.

To provide states with data analyses that suggest effective ways to improve detection, prevention and recovery of UI benefit overpayments.

To initiate the FY 2009 SQSP process and to issue supplemental instructions for the preparation of the FY 2009 SQSP

To inform the states about plans for transmitting to them Census 2000 updated statistics on persons in poverty or below the Lower Living Standard Income Level, for use in future annual WIA within state allocation formulas, beginning with PY2004 (notwithstanding any statutory changes made as part of the WIA reauthorization process).

This Training and Employment Guidance Letter (TEGL) revises the position allocations and funding amounts for grantees for PY 2008 as contained in TEGL 26-07, attachment H, to: (1) reserve $5,000,000 for program support activities utilizing the Secretary’s discretionary authority under section 506(a)(1) of the Older Americans Act (OAA) Amendments, Pub. L. No. 109-365; (2) to establish the due date of July 31, 2008, for budget modifications required by this TEGL for grantees’ PY 2008 grants; and to extend the due date for any performance improvement plans that may be required to August 15, 2008.

To provide states and outlying areas with FY 2003 Congressional Rescissions for WIA Adults and Dislocated Workers; WIA Title I Adults and Dislocated Workers and Youth Activities allotments for PY 2003; final allotments for PY 2003 public employment service (ES) activities, as required by Section 6(b)(5) of the Wagner-Peyser Act, as amended; Reemployment Services allotments for PY 2003; Work Opportunity and Welfare-to-Work (WtW) Tax Credit allotments for FY 2003.

To announce the grant application process and to transmit guidance for the development and management of the PY 2008 Workforce Information grants to states.

To provide adjusted funding levels for Program Year (PY) 2002 allotments for the dislocated worker program under WIA Title I Section 132(c) on recapture and reallotment.