(a) Formula grants to States:
(1) As part of the 15 percent that a State may reserve for
Statewide activities, the State may spend up to five percent (5%) of
the amount allotted under sections 127(b)(1), 132(b)(1) and 132(b)(2)
of the Act for the administrative costs of Statewide workforce
investment activities.
(2) Local area expenditures for administrative purposes under WIA
formula grants are limited to no more than ten percent (10%) of the
amount allocated to the local area under sections 128(b) and 133(b) of
the Act.
(3) Neither the five percent (5%) of the amount allotted that may
be reserved for Statewide administrative costs nor the ten percent
(10%) of the amount allotted that may be reserved for local
administrative costs need to be allocated back to the individual
funding streams.
(b) Limits on administrative costs for programs operated under
subtitle D of title I will be identified in the grant or contract award
document.
(c) Although administrative in nature, costs of information
technology--computer hardware and software--needed for tracking and
monitoring of WIA program, participant, or performance requirements; or
for collecting, storing and disseminating information under the core
services provisions at sections 134(d)(2)(E), (F), (G), (H) and (I) of
the Act, are excluded from the administrative cost limit calculation.
(d) In a One-Stop environment, administrative costs borne by other
sources of funds, such as the Wagner-Peyser Act, are not included in
the administrative cost limit calculation. Each program's
administrative activities area chargeable to its own grant and subject
to its own administrative cost limitations.
