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NEG Application Guidelines and Information: Funding

Applications for NEG funds can be funded in whole or in part. Applicants should assume that all NEGs will be funded incrementally. In addition, applicants may submit a request for NEG funding on an emergency basis. The conditions associated with each of these are described in the following sections.

A. Emergency Funding

Any event that qualifies for a Disaster project can be considered an emergency, if submitted within 15 days of FEMA public assistance declaration. A dislocation where no advance notification of layoff was provided to workers can also be considered an emergency. In emergency situations, the applicant may submit a streamlined application. An emergency application must be submitted within 15 calendar days of the emergency, unless logistical barriers (e.g., damaged communication systems resulting from a disaster event) prevent submission within this timeframe.

B. Incremental Funding

As noted previously, applicants should expect that all NEG awards will be funded incrementally. In these cases, a maximum funding level will be approved by the Secretary, but a lesser amount will be initially awarded. The grantee will be required to submit, at a later date, a request(s) for the balance of needed funds, as supported by enrollments and expenditures. The maximum approved "up to" amount is not a commitment on the part of the Department to release the full amount when such funds are not documented as needed.

The number of funding increments will be determined by the ability to develop a confident projection of full funding needs, whether there have been prior performance issues with the grantee or the project operator(s), or where the grantee and/or project operators do not have previous experience with NEGs or with projects of the size or complexity of the one proposed in the application. Prior performance issues can include: participant and/or expenditure levels, performance outcomes, and compliance problems in project implementation. Resolution of applicable compliance or technical assistance issues will be a condition of the grant award and a pre-condition for receipt of additional funding increments.