In our last post, we asked whether the sudden economic downturn required updating the just-submitted state plans or local and regional plans to reflect the new reality of the economy.
The state plan modification requirements are found in 20 CFR 676.135 (unified plans) and 676.145 (combined plans). Regional plan modification requirements are found in 679.530 and local plan modification requirements are found in 679.580.
Reviewing the rules, workforce development plans are required to reflect current labor market and economic conditions. However there is no rule requiring the changes to be made at times other than during plan creation every four years and plan updates at the two-year interval.
Please note, however, that there are several other conditions that do require a state plan modification, including:
- Federal or state law changes that “substantially affect” the strategies, goals or priorities of the state plan;
- Changes in statewide vision, strategies, or policies;
- Changes in negotiated performance levels;
- Changes in local workforce development area fund allocation methodology;
- Changes in state agency organization;
- Changes to the state workforce development board membership or structure; or
- “Similar substantial changes to the State’s workforce development system.”
It is easy to imagine that the economic impact from COVID response has triggered one or more of the listed activities in any state which would require an update to the state plan.
Regional and local plan requirements do not contain the same lists of plan modification triggers, but both 679.530 and 679.580 instruct the Governor to establish procedures governing the modification of plans, so a particular state policy may contain additional requirements.
Even though there is no requirement, any plan may be modified if the board chooses to make changes. Any changes are subject to a public comment period, and a review period by the Governor (for local and regional plans) or the U.S. Secretary of Labor (for state plans).
