{"data":{"id":"us/20-cfr-683.540","jurisdiction":"us","citation":"20 CFR 683.540","heading":"What is the State's role in assisting local areas in using Workforce Innovation and Opportunity Act Pay-for-Performance contract strategies?","body":"(a) Using funds from the Governor's Reserve the State may:\n(1) Provide technical assistance to local areas including assistance with structuring WIOA Pay-for-Performance contracting strategies, performance data collection, meeting performance data entry requirements, and identifying levels of performance.\n(2) Conduct evaluations of local WIOA Pay-for-Performance contracting strategies, if appropriate.\n(3) Conduct other activities that comply with limitations on the use of the Governor's Reserve.\n(b) Using non-Federal funds, Governors may establish incentives for Local WDBs to implement WIOA Pay-for-Performance contract strategies as described in this subpart.\n(c) In the case of a State in which local areas are implementing WIOA Pay-for-Performance contract strategies, the State must:\n(1) Collect and report to the Department data on the performance of service providers entering into WIOA Pay-for-Performance contracts, measured against the levels of performance benchmarks specified in the contracts, pursuant to sec. 116(d)(2)(K) of WIOA and § 677.160 of this chapter and in accordance with any additional guidance issued by the Secretary.\n(2) Collect and report to the Department State and/or local evaluations of the design and performance of the WIOA Pay-for-Performance contract strategies, and, where possible, the level of satisfaction with the strategies among employers and participants benefitting from the strategies, pursuant to sec. 116(d)(2)(K) of WIOA and § 677.160 of this chapter, and in accordance with any guidance issued by the Secretary.\n(3) Monitor local areas' use of WIOA Pay-for-Performance contract strategies to ensure compliance with § 683.500 and the contract specifications in § 683.510, and State procurement policies.\n(4) Monitor local areas' expenditures to ensure that no more than 10 percent of a local area's adult and dislocated worker allotments and no more than 10 percent of a local area's youth allotment is reserved and used on WIOA Pay-for-Performance contract strategies.\n(d) The Secretary will issue additional guidance on State roles in WIOA Pay-for-Performance contract strategies.","path":["Title 20—Employees' Benefits","CHAPTER V—EMPLOYMENT AND TRAINING ADMINISTRATION, DEPARTMENT OF LABOR","PART 683—ADMINISTRATIVE PROVISIONS UNDER TITLE I OF THE WORKFORCE INNOVATION AND OPPORTUNITY ACT","Subpart E—Pay-for-Performance Contract Strategies"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-20.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:45Z","sha256":"1ff06b26ae15cf1fd87cc82f452179e78323e3a060519bfb750124dcf4f86f3b","source_id":"us-cfr","stale":true,"prev":"us/20-cfr-683.530","next":"us/20-cfr-683.600"},"notice":"GroundRules: Original legal text. Not legal advice."}