N.Y. Labor Law § 847: Limitations on uses of funds

§ 847. Limitations on uses of funds. 1. Not less than sixty percent of

the funds expended by substate grantees must be used for retraining

services as defined in section eight hundred thirty-five of this

article.

2. Not more than twenty-five percent of the funds expended by any

substate grantee or the governor may be used to provide needs-related

services pursuant to section eight hundred forty-six of this article and

other supportive services as defined in this act.

3. Not more than twelve percent of the funds expended by substate

grantees pursuant to paragraph three of section eight hundred

forty-eight of this article shall be used for administrative expenses.

4. (a) Twelve percent of the funds allocated to the state for state

level activities in each year shall be made available to the department

for administrative expenses. Provided further that not more than twelve

percent of such funds shall be expended by the department pursuant to

subdivision one of section eight hundred forty-eight of this article for

administrative expenses including technical assistance and fiscal and

compliance auditing.

(b) Six hundred seventy-five thousand dollars of the funds allocated

to the state for state level activities in subdivision one of section

eight hundred forty-eight of this article in each year shall be made

available for statewide projects and demonstration programs authorized

pursuant to section eight hundred forty-one of this article.

(c) Sixteen percent, plus three hundred thousand dollars, of the funds

allocated to the state for state level activities in each year shall be

made available for rapid response activities authorized pursuant to

section eight hundred forty of this article, including the funding of

innovative programs for the delivery of rapid response services to

dislocated workers. No single state agency, department, board or

commission shall receive a suballocation from the department of more

than twenty percent of the funds allocated by this paragraph. Any funds

suballocated to the department of economic development shall be for

feasibility studies as provided in section eight hundred forty-four of

this article.

(d) Fifty percent of funds allocated to the state for state level

activities in each year remaining after funding is provided for the

purposes described in paragraphs (a), (b) and (c) of this subdivision,

which amount shall not exceed one million seventy-six thousand three

hundred fifty dollars, shall be made available for the provision of

employer specific skills training.

Not more than five percent of the funds expended pursuant to this

paragraph shall be expended for administrative activities by the state

education department. All remaining monies made available for the

purpose described in section eight hundred forty-three of this article

shall be suballocated to the state department of education.

(e) Fifty percent of funds allocated to the state for state level

activities in each year remaining after funding is provided for the

purposes described in paragraphs (a), (b) and (c) of this subdivision

and any amount remaining after funding is provided for employer specific

skills training pursuant to paragraph (d) of this subdivision, shall be

made available for the purposes described in subdivision two of section

eight hundred forty-one of this article. Such funding shall be made

available to substate areas or to the department for the purpose of

responding to plant closings and substantial layoffs including

employment losses involving exceptional circumstances as defined in

subdivision three of section eight hundred forty of this article as

authorized by the commissioner which were unanticipated at the time of

submission of the annual plan required by section eight hundred

thirty-nine of this article. Substate grantees shall have precedence in

receiving such funding. Notwithstanding the requirements of this

paragraph, not more than one-third of such money may be made available

to substate areas for the purpose of responding to significant layoffs

which were unanticipated at the time of submission of the annual plan

required by section eight hundred thirty-nine of this article. For the

purpose of this paragraph significant layoffs shall mean any reduction

in force which is not the result of a plant closing and which results in

an employment loss at a single site of employment of at least

thirty-three percent of the employees (excluding employees regularly

working less than twenty hours per week). Not more than seven percent of

expended funds shall be retained by the substate grantees for

administrative expenses. Each substate grantee with a demand for

services which exceed those otherwise available under the substate plan

shall be eligible for grants according to the following criteria:

(i) the substate grantee must demonstrate its need through submission

of a written request which includes the amount of additional funding

needed, number of dislocated workers or additional dislocated workers to

be served, type of services to be provided, and a description of the

substantial or significant layoff or plant closing which led to the

request;

(ii) requests for additional funding which would provide added

retraining services or regional or statewide services to identify

dislocated workers or additional dislocated workers who are most in need

of services and the types of services they need shall be considered

before funds are released for added basic readjustment services; and

(iii) any funds undistributed at the end of the program year shall be

included as part of the funding made available for activities under

section eight hundred forty-six of this article in each succeeding

program year and allocated pursuant to subdivision three of section

eight hundred forty-eight of this article.

(f) The commissioner shall report to the chairs and ranking minority

members of the senate and assembly labor, finance and ways and means

committees, no later than March first of each year on (i) the amount of

each suballocation or contract made from funds made available through

paragraphs (b) and (c) of this subdivision, including any funds

recaptured pursuant to subdivision four of section eight hundred

forty-eight of this article, (ii) the entity receiving such

suballocation or contract and (iii) the purpose of such suballocation or

contract.

5. Not more than twelve percent of the funds expended pursuant to

paragraph (a) of subdivision two of section eight hundred forty-eight of

this article shall be retained by the substate grantees for

administrative expenses.