Skip to content
  ETA Home   National Emergency Grants>    

Eligibility

A. Eligible Entities for Grant Awards

Individuals and businesses are not eligible to apply for National Emergency Grants.

For Intrastate Projects:

  • The designated state WIA program grantee agency
  • A LWIA (and its fiscal agent)
  • A consortium of local boards for adjoining local areas
  • A designated organization receiving WIA funding through the Native American Program provision of the Act

For Interstate Projects:

  • A consortium of local boards for adjoining local areas.
  • A consortium of states.

For consortium arrangements, one of the eligible entities must be designated to serve as the grant applicant and recipient. Consortium arrangements must be supported by a formal Memorandum of Understanding (MOU) that is executed among the participating local boards/states.

Eligible applicants for Disaster projects, projects to provide special assistance to trade-impacted workers (i.e., both Dual Enrollment and Health Insurance Coverage, and industry-wide projects are limited to states.

In those cases where the state is the grantee but the project will operate in one or more designated local areas, the state may want to consult with applicable local area Workforce Investment boards in the development of applications for NEG funds.


B. Eligible Circumstances for Funding

NEG funds may be used to provide assistance in the following circumstances:

  • Plant closures and mass layoffs affecting 50 or more workers at a single site of employment;
  • Layoffs at several companies in a single local community including layoffs not meeting the single site criterion that, in total, have significantly increased the total number of unemployed individuals in the community. Priority will be given to those applications where the layoffs resulted in an increase of 1 percent in the local area unemployment during the preceding 12 months.
  • Layoffs at multiple locations (multi--company) that occur within a 4--month period and in which each layoff impacts 50 or more workers;
  • Closures and realignments of military installations;
  • Emergencies or disasters that have been declared eligible for public assistance by the Federal Emergency Management Agency (FEMA); and
  • Special assistance, including health insurance coverage assistance, to trade--impacted workers and other individuals eligible under the Trade Adjustment Assistance Reform Act of 2002.

The Secretary may determine that other circumstances are appropriate for NEG funding.

For Regular projects, applicants may submit a single application to cover eligible layoffs at multiple employers and/or employment sites.

The acceptable conditions for multiple event applications are:

  • Where the state is the applicant, independently eligible events (i.e., layoffs of 50 or more) that have occurred within the state during the 120-day period (4 months) preceding the date of application;
  • Where a local board, or consortium of local boards, is the applicant, all layoffs must be within the service area of the local board, or the area covered by the consortium agreement, and must meet the 50 or more threshold and have occurred within the 120-day period preceding the date of application;
  • An application for an industry-wide project which can include layoffs of less than 50 as long as the firms are within the three digit NAIC sector cited in the application;
  • Layoffs at supplier firms to a primary firm that meet the definition of primary and secondary firms in the Trade Act. The application must plan assistance to the primary firms, where the layoff must be 50 or more, and to the supplier firm(s), where the number of layoffs may be less than 50.

When an application is being submitted for an industry-wide project, the applicant must indicate on the Project Synopsis that the eligible event is "industry-wide."

Eligible applicants for Disaster projects, projects to provide special assistance to trade-impacted workers (i.e., both Dual Enrollment and Health Insurance Coverage), and industry-wide projects are limited to states.

DOL expects that states, as the entities responsible for ensuring the effective use of all funds within the state to respond to worker dislocations, will either assume the role of grantee or will work collaboratively with local board applicants to ensure an effective intervention strategy through Rapid Response and verify the need for the requested NEG funds to provide assistance to the eligible workers.


C. Individuals Eligible for Assistance

Individuals who are eligible for assistance vary by type of NEG project. The general categories of eligible individuals are:

  1. A dislocated worker under WIA Section 101(9) is:

    1. An individual who:
      (1) Has been terminated or laid off, OR has received a notice of termination or layoff, from employment;
      (2) Is eligible for or has exhausted entitlement to unemployment compensation, OR has been employed for a duration sufficient to demonstrate to appropriate staff of the One-Stop Center attachment to the workforce but is not eligible for unemployment compensation due to insufficient earnings or having performed services for an employer not covered under the state's unemployment compensation law; AND
      (3) Is unlikely to return to a previous industry or occupation.
    2. An individual who:
      (1) Has been terminated or laid off, OR has received a notice of termination or layoff, from employment as a result of any permanent closure of, or any substantial layoff at, a plant, facility or enterprise; or
      (2) Is employed at a facility at which the employer has made a general announcement that such facility will close within 180 days; OR is employed at a facility at which the employer has made a general announcement that such facility will close. [NOTE: Eligibility for other than Core Services requires an announcement by the employer that the facility will close within 180 days, or an individual layoff notice.]
    3. An individual who was self-employed but is unemployed as a result of general economic conditions in the community in which the individual resides or because of natural disasters, as defined by a state.
    4. An individual who has been providing unpaid services to family members in the home and who:
      (1) Has been dependent on the income of another family member but is no longer supported by that income; AND
      (2) Is unemployed or underemployed and is experiencing difficulty in obtaining or upgrading employment.
  2. A civilian employee of the Department of Defense or the Department of Energy employed at a military installation that is being closed, or that will undergo realignment, within the next 24 months. (WIA Section 173(c)(A)(ii))
  3. An individual who is employed in a non-managerial position with a Department of Defense contractor, AND who is determined to be at risk of termination from employment as a result of reductions in defense expenditures, and whose employer is converting operations from defense to non--defense applications in order to prevent worker layoffs. (WIA Section 173(c)(A)(iii)
  4. A member of the Armed Forces who:
    1. Was on active duty or full-time National Guard duty;
    2. Is involuntarily separated from active duty or full-time National Guard duty, OR is separated from active duty or full-time National Guard duty pursuant to a special separation benefits program or voluntary separation incentive program;
    3. Is not entitled to retired or retained pay incident to the separation described in (b); AND
    4. Applies for employment and training assistance before the end of the 180-day period beginning on the date of separation. (WIA Section 173(c)(A)(iv))
  5. For Disaster Projects, an individual who is temporarily or permanently laid off as a consequence of a disaster event qualifying for public assistance through a FEMA declaration. (WIA Section 173(d)(2))
  6. For Disaster Projects, an individual who is long-term unemployed, as defined by the state. (WIA Section 173(d)(2))
  7. For Trade-WIA Dual Enrollment Projects, an individual covered by a certification under the Trade Adjustment Assistance Reform Act of 2002 who also qualifies as an eligible dislocated worker under the Workforce Investment Act, and is co-enrolled/registered in both trade and WIA.
  8. For Trade Health Insurance Coverage Assistance Projects (WIA Section 173(f) and (g):
    1. An individual who is eligible for a trade readjustment allowance (TRA) under the TAA program, or would be eligible for TRA except that he/she has not yet exhausted his/her unemployment insurance (UI) benefits and qualified family members of the eligible individual;
    2. Certain recipients of pension benefits through the Pension Benefit Guaranty Corporation; and
    3. Recipients of wage subsidies in the Alternative Trade Adjustment Assistance Program. Not all of these groups are eligible for each type of NEG project assistance.