Mr. Douglas E. Stites
Director
Michigan Employment Security Commission
7310 Woodward Avenue
Detroit, MI 48202
Dear Mr. Stites:
I am pleased to respond to Governor Engler's April 29, 1997 request for Wagner-Peyser Act waivers for Michigan. Although we are not able to grant all the Wagner-Peyser
Act waivers submitted by Michigan, we appreciate the effort that was put forth to develop
requests that contribute to an overall strategy to improve the delivery of Wagner-Peyser
program services. Michigan's efforts in this area are to be commended.
The State's request was considered under the special appropriations act authority
granting the Secretary of Labor authority to waive certain requirements of Titles I-III of JTPA,
and Sections 8-10 of the Wagner-Peyser Act. This authority was granted to the Secretary in
the Department of Labor's (DOL) Appropriation Act for 1997 [Pub. L. 104-208, section
101(e)].
This is a one-year authority and applies only to Wagner-Peyser funds available for
expenditure during the period July 1, 1997 through June 30, 1998. Enclosed you will find a
Waiver Request Disposition statement; a copy of our formal response to the Governor; and
three copies of the Waiver Agreement for review and signature of the appropriate signatory
official. The Agreement will also serve as an Addendum to the Governor-Secretary
Agreement. We ask that the Waiver Agreement documents (3 originals) be signed by the
appropriate official and returned to the Grant Officer for execution at the address indicated
below:
Mr. Melvin J. Howard
Acting Regional Administrator
U.S. Department of Labor - ETA
230 S. Dearborn Street
Chicago, IL 60604
Upon execution by the appropriate USDOL grant officer a copy of the agreement will
be returned for the State's official files. The agreement will be effective July 1, 1997.
Thank you for submitting requests for Wagner-Peyser Act waivers. We appreciate
Michigan's efforts to develop waivers that contribute to improving the administration of
Wagner-Peyser Act programs. We anticipate this is the first step in a Federal- State
partnership to develop waivers that contribute to streamlining the overall administration and
delivery of Wagner-Peyser program services. If we can be of assistance as you develop
additional waivers, please do not hesitate to contact us.
Sincerely,
Melvin J. Howard
Acting Regional Administrator
Enclosures
OVERVIEW
Upon execution the enclosed Waiver Agreement document will serve as an addendum
to the Governor-Secretary Agreement. The granted waivers are authorized for the period of
Program Year 1997 (July 1, 1997 through June 30, 1998). Below is a discussion, including the
disposition, of the State's Wagner-Peyser Act waiver requests.
Requests to waive program design components were honored except in the case where
the request conflicted with the Department's guiding principles for waivers and the One-Stop
Career Centers and School-to-Work Systems principles or were outside the authority granted
by the 1997 Appropriations Act.
These waivers are based upon the Governor's request, meetings and discussions among
staff, and the Department's familiarity with the program in Michigan. They do not necessarily
constitute an endorsement of the examples in Michigan's waiver request.
WAIVERS
A. Submission of a Wagner-Peyser Annual Plan for PY 1997 as required by Wagner-Peyser § 8(a), and 20 CFR 652.6(a) is waived. The Wagner-Peyser Annual Plan submitted
previously for Program Year 1996 will serve as a two-year (Program Year 1996-1997) plan
and the certifications and assurances therein will apply for the period July 1, 1996 through
June 30, 1998.
B. The State's waiver requests, in two areas for more flexible funding restrictions
involving the use of administrative grants and use of Unemployment Insurance (UI) funds for
Wagner-Peyser labor exchange activities, are denied. These requests are applicable to Title III
of the Social Security Act. The 1997 Appropriations Act does not give authority to the
Department of Labor to waive any requirements of the Social Security Act.
C. Michigan's waiver request applicable to Wagner-Peyser § 10(a) is denied. Reporting
service activity provided to "individuals" in the ETA 9002 report is necessary to establish
comparative rates of service by the Veterans Employment and Training Service (VETS) and
ensure definitive performance standards are met as required by USC Title 38. The 1997
Appropriations Act does not grant the Department of Labor authority to waive statutes or
regulations outside the Wagner-Peyser or the Job Training Partnership Acts.
Pursuant to the statutory waiver authority at Pub. L. No. 104-208 § 101(e) for Wagner-Peyser
funds available for expenditure during Program year 1997 (July 1, 1997 through June 30,
1998), the U.S. Department of Labor and the State of Michigan agree to the following:
A. The Secretary of Labor waives the following provision of the Wagner-Peyser Act:
B. In consideration of this waiver, the State of Michigan agrees to the performance
improvements referred to in clause 8 of the Job Training Partnership Act Grant Agreement
Modification.
This waiver agreement shall be open to further modification as authorized under the waiver
authority. The agreement shall serve as an addendum to the current Governor-Secretary
Agreement. The effective date of this agreement shall be July 1, 1997.
GRANTEE:
_________________________________________________________________
Governor or Wagner-Peyser Signatory Official | Date |
U.S. DEPARTMENT OF LABOR:
__________________________________________________________________
MELVIN J. HOWARD | Date |
Grant Officer
WAGNER-PEYSER GRANT RECIPIENT:
Michigan Employment Security Commission
7310 Woodward Avenue
Detroit, MI 48202