5101:9-31-06 Workforce Investment Act (WIA) administration adjustment.

(A) For a county department of job and family services (CDJFS) providing WIA activities, all WIA shared costs are allocated to WIA program allocations via the county's financial reporting system. Under the WIA program, some of these costs may be eligible to be claimed against the WIA administration allocations. If a CDJFS has determined that a portion of the WIA shared costs should be allocated to WIA administration, an adjustment must be made.

(B) Adjustments are made after the final random moment sample (RMS) percentages are submitted and financials have been completed. The CDJFS shall make an adjustment in the WIA data subset only after the public assistance data subset transfer to the WIA data subset has occurred at the local level transferring costs from the adult, dislocated worker, and youth WIA program to the WIA administration based on the federal definition of administration for the WIA program as found in 20 C.F.R. 667.220 .

(C) The following WIA Title I functions and activities constitute eligible costs of administration subject to the administrative cost limit:

(1) The costs of administration are that allocable portion of necessary and reasonable allowable costs of state and local workforce investment boards, direct recipients, including state grant recipients under subtitle B of Title I and recipients of awards under subtitle D of Title I, as well as local grant recipients, local grant subrecipients, local fiscal agents, and one-stop operators that are associated with those specific functions identified in paragraph (C)(2) of this rule and that are not related to the direct provision of workforce investment services, including services to participants and employers.

(2) The costs of administration are the costs associated with the following:

(a) Performing the following overall general administrative functions and coordination of those functions under WIA Title I:

(i) Accounting, budgeting, financial and cash management functions;

(ii) Procurement and purchasing functions;

(iii) Property management functions;

(iv) Personnel management functions;

(v) Payroll functions;

(vi) Coordinating the resolution of findings arising from audits, reviews, investigations and incident reports;

(vii) Audit functions;

(viii) General legal services functions;

(ix) Developing systems and procedures, including information systems, required for these administrative functions; and

(b) Performing oversight and monitoring responsibilities related to WIA administrative functions;

(c) Costs of goods and services required for administrative functions of the program, including goods and services such as rental or purchase of equipment, utilities, office supplies, postage, and rental and maintenance of office space;

(d) Travel costs incurred for official business in carrying out administrative activities or the overall management of the WIA system;

(e) Costs of information systems related to administrative functions (for example, personnel, procurement, purchasing, property management, accounting and payroll systems) including the purchase, systems development and operating costs of such systems; and

(f) Awards to subrecipients or vendors that are solely for the performance of administrative functions.

(3) The associated costs listed in this paragraph are allocated as follows:

(a) Personnel and related non-personnel costs of staff who perform both administrative functions specified in paragraph (C)(2) of this rule and programmatic services or activities must be allocated as administrative or program costs to the benefiting cost objectives/categories based on documented distributions of actual time worked or other equitable cost allocation methods.

(b) Specific costs charged to an overhead or indirect cost pool that can be identified directly as a program cost are to be charged as a program cost. Documentation of such charges must be maintained.

(c) Except as provided in paragraph (C)(3)(a) of this rule, all costs incurred for functions and activities of subrecipients and vendors are program costs. A CDJFS that has entered into a formal competitively procured agreement to provide WIA services to a local area shall report all costs as program costs.

(d) Costs of information systems listed in this paragraph, including the purchase, systems development, and operating (e.g., data entry) costs, are charged to the program category:

(i) Tracking or monitoring of participant and performance information;

(ii) Employment statistics information, including job listing information, job skills information, and demand occupation information;

(iii) Performance and program cost information on eligible providers of training services, youth activities, and appropriate activities;

(iv) Local area performance information; and

(v) Information relating to supportive services and unemployment insurance claims for program participants.

(e) Continuous improvement activities are charged to administration or program category based on the purpose or nature of the activity to be improved. Documentation of such charges must be maintained.

(D) Based on the definition of administration for the WIA as found in paragraph (C) of this rule, appropriate administration costs will be calculated using form JFS 01869 "WIA Administration Cost Allocation" (rev. 10/2004). This form and all supporting documentation is maintained at the local level agency when an adjustment transferring costs from program to administration is made by the local area at the end of each applicable quarter of the SFY. Local areas shall use direct program and classification codes and report the adjusted entry on the JFS 01992 "Workforce Investment Act (WIA) Quarterly Financial Statement" in accordance with rule 5101:9-7-29 of the Administrative Code.

(E) The WIA local area shall retain documentation in accordance with the records retention requirements in rule 5101:9-9-21 of the Administrative Code. This documentation may be subject to inspection, monitoring, and audit by the ODJFS office of fiscal and monitoring services and the Ohio auditor of state.

Replaces: 5101:9-31-06

Effective: 07/02/2011
Promulgated Under: 111.15
Statutory Authority: 5101.02 , 6301.03
Rule Amplifies: 5101.02 , 6301.03
Prior Effective Dates: 7/10/06