1. Purpose. To provide revised dislocated worker formula allotted funds for PY 2003.

2. References.

(a) TEGL 23-02

(b) Consolidated Appropriations Resolution, 2003, Public Law 108-7, February 20, 2003

3. Background. We are revising the original calculations of the split between the amounts for state formula and the National Reserve for the July 1 and the October 1 distributions of the PY 2003 allotments. According to the Conference Committee Report (H. Rpt. 108-10), the 2003 appropriation overrode the statutory 80%/20% split between formula and National Reserve Funds in the total dislocated worker appropriation as it applies to the July and October distributions. Instead of the 80%/20% split, the Appropriations Act provides $1,157,162,000 and $306,608,000 for the formula and National Reserve, respectively. The conference report maintained the 80%/20% split for the October 1, 2003, funds, leaving the July portion to absorb the full impact of the change in the split. The published table in TEGL 23-02, Attachment IV-C, was based on calculations which incorrectly applied the same proportionate split between state formula and National Reserve as in the total appropriation to both the July 1 and October 1 portions.

Total allotments for each grantee for the full year are not affected. The correction results in increased July 1 amounts for all states and decreased July 1 amounts for the National Reserve and the outlying areas, with offsetting adjustments to the October 1 distribution to maintain the total amounts.

4. Notice of Obligation (NOO). The July 1, 2003, NOO's will reflect the revised amounts for dislocated worker activities. The attached table shows the revised PY 2003 allotments for dislocated worker activities. This table replaces Table IV-C in TEGL 23-02 and reflects the fiscal year 2003 rescission.

5. Action Required. States should provide this guidance to the appropriate staff.

6. Inquiries. Questions on this TEGL should be addressed to the appropriate Regional Office contact as soon as possible.

7. Attachment. WIA Dislocated Worker Activities PY 2003 Allotments.